Company: FGBI
Filing Date: 2025-08-18
Form Type: 10-Q
Source: 0001408534-25-000070
Chunk: 58

Company: First Guaranty Bancshares, Inc.
Filing Date: 2025-08-18
Form: 10-Q
Item: Part I, Item 1
Chunk 58
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. The $31.2 million provision made in 2025 included a $0.5 million negative provision for credit losses related to unfunded commitments. First Guaranty's unfunded commitments declined during the first six months of 2025 which resulted in a reduced liability. The provisions made were taken to provide for current credit losses and to maintain the allowance proportionate to risks inherent in the loan portfolio. 

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The loan portfolio factors in the first six months of 2025 that primarily affected the allocation of the allowance included the following:

•Construction and land development loans decreased during the first six months of 2025 due to the sale of loans. The allowance decrease was due primarily to charge-offs of the portfolio. 

•One-to-four family residential loans decreased $9.9 million during the first six months of 2025. The allowance increase related to this portfolio was due to changes in the qualitative analysis of the portfolio, and a $0.9 million increase in the allowance for loan individually evaluated.

•Multifamily loans decreased $20.3 million during the first six months of 2025. The allowance increase related to this portfolio was due to changes in the qualitative analysis of the portfolio, and a $3.3 million increase in the allowance for loan individually evaluated.

•Non-farm non-residential loans decreased by $107.3 million during the first six months of 2025. The allowance increase related to this portfolio was due to changes in the qualitative analysis of the portfolio related to economic conditions, and a $8.9 million increase in the allowance for loans individually evaluated. 

•Commercial and industrial loans decreased $19.4 million during the first six months of 2025. The allowance increase related to this portfolio was due to changes in the qualitative analysis of the portfolio, and a $3.5 million increase in the allowance for loans individually evaluated. 

•Commercial leases decreased $61.0 million during the first six months of 2025. The allowance increase related to this portfolio was due to changes in the qualitative analysis of the portfolio.

•Consumer and other loans decreased $4.0 million during the first six months of 2025. The decrease in the related loan loss allowance balance was due primarily to charge-offs and qualitative analysis of the portfolio.

First Guaranty charged off $8.0 million in loan balances during the first six months of 2025. The details of the $8.0 million in charged-off loans were as follows:

1.First Guaranty charged