Company: FGBI
Filing Date: 2025-11-17
Form Type: 10-Q
Source: 0001408534-25-000092
Chunk: 221

Company: First Guaranty Bancshares, Inc.
Filing Date: 2025-11-17
Form: 10-Q
Item: Part I, Item 2
Chunk 221
---
 at the time of transfer to held to maturity. 

•First Guaranty's Board of Directors declared cash dividends of $0.01 and $0.08 per common share in the third quarter of 2025 and 2024. The reduction in the common stock dividend payment was done in order to preserve capital as part of First Guaranty’s new business strategy announced in the third quarter of 2024. First Guaranty has paid 129 consecutive quarterly dividends as of September 30, 2025.

•First Guaranty paid preferred stock dividends of $1.7 million during the first nine months of 2025 and 2024.  

-38-

Financial Condition

Changes in Financial Condition from December 31, 2024 to September 30, 2025 

Assets

Total assets at September 30, 2025 were $3.8 billion, a decrease of $175.4 million from December 31, 2024. Assets decreased primarily due to a decrease in net loans of $464.9 million partially offset by increases in cash and cash equivalents of $190.0 million and investment securities of $94.0 million at September 30, 2025 compared to December 31, 2024.

Loans

Net loans decreased $464.9 million, or 17.5%, to $2.2 billion at September 30, 2025 from December 31, 2024. First Guaranty adopted a change in its business plan in July 2024 that focused on reducing risk in the balance sheet, including risk associated with the loan portfolio.  As part of this strategy, First Guaranty has reduced loan originations, charged-off loan balances and conducted select loan sales, which have each contributed to a decline in loan balances.  Non-farm non-residential loan balances decreased $156.6 million due to the sale of loans and paydowns. Construction and land development loans decreased $98.9 million principally due to the sale of loans, charge-offs, and the conversion of existing loans to permanent financing. Commercial lease loan balances decreased $85.2 million primarily due to paydowns on the existing lease portfolio. First Guaranty's commercial lease portfolio generally has higher yields than commercial real estate loans but shorter average lives. Multifamily loans decreased $27.5 million primarily due to paydowns and charge-offs. Commercial and industrial loans decreased $