Company: FGBI
Filing Date: 2025-11-17
Form Type: 10-Q
Source: 0001408534-25-000092
Chunk: 99

Company: First Guaranty Bancshares, Inc.
Filing Date: 2025-11-17
Form: 10-Q
Item: Part I, Item 1
Chunk 99
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$3.2 billion primarily due to growth in interest-bearing deposits. The average rate of our total interest-bearing liabilities decreased by 51 basis points to 3.98% for the nine months ended September 30, 2025 from 4.49% for the nine months ended September 30, 2024. The primary source of the decrease in liabilities cost was associated with the repricing of interest bearing demand deposits for public funds that are primarily indexed to Treasury rates. As a result, our net interest rate spread decreased 6 basis points to 1.73% for the nine months ended September 30, 2025 from 1.79% for the nine months ended September 30, 2024. Our net interest margin decreased 17 basis points to 2.35% for the nine months ended September 30, 2025 from 2.52% for the nine months ended September 30, 2024.

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Interest Income

Three months ended September 30, 2025 compared to the three months ended September 30, 2024. Interest income decreased $3.9 million, or 6.8%, to $53.5 million for the three months ended September 30, 2025 as compared to the prior year period. The decrease in interest income was attributable to a $464.7 million decrease in the average balance of loans, along with a 40 basis point decrease in yield of loans. The average balance of our total interest-earning assets, primarily associated with securities and interest-earning deposits with banks, increased, partially offset by the decrease in the average yield of interest-earning assets. The average balance of our interest-earning assets increased $164.2 million to $3.8 billion for the three months ended September 30, 2025 as compared to the same period in the prior year. The average yield of interest-earning assets decreased by 71 basis points to 5.63% for the three months ended September 30, 2025 compared to 6.34% for the three months ended September 30, 2024.

Interest income on securities increased $3.4 million to $6.4 million for the three months ended September 30, 2025 as compared to the prior year period primarily as a result of an increase in average balance and average yield of securities.