<PAGE>
                    U. S. SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-QSB

[X]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
     EXCHANGE ACT OF 1934

                  For the quarterly period ended JUNE 30, 2005

[ ]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
     EXCHANGE ACT OF 1934

             For the transition period from __________ to __________

                        COMMISSION FILE NUMBER: 000-50265

                                GBC Bancorp, Inc.
        (Exact name of small business issuer as specified in its charter)

<TABLE>
<S>                                                          <C>
           Georgia                                                58-2265327
(State or other jurisdiction of                                 (IRS Employer
 incorporation or organization)                              Identification No.)
</TABLE>

                  165 NASH STREET, LAWRENCEVILLE, GEORGIA 30045
                    (Address of principal executive offices)

                                 (770) 995-0000
                           (Issuer's telephone number)

                                       N/A
              (Former name, former address and former fiscal year,
                          if changed since last report)

Check whether the issuer (1) filed all reports required to be filed by Section
13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter
period that the registrant was required to file such reports) and (2) has been
subject to such filing requirements for the past 90 days.

Yes   X   No
    -----    -----

State the number of shares outstanding of each of the issuer's classes of common
equity, as of August 1, 2005: 1,752,708; $1 par value

Transitional Small Business Disclosure Format   Yes       No   X
                                                    -----    -----
<PAGE>
                        GBC BANCORP, INC. AND SUBSIDIARY

                                      INDEX

<TABLE>
<CAPTION>
                                                                            PAGE
                                                                            ----
<S>                                                                         <C>
PART I.   FINANCIAL INFORMATION

          ITEM 1. FINANCIAL STATEMENTS

             CONSOLIDATED BALANCE SHEET - JUNE 30, 2005..................     3

             CONSOLIDATED STATEMENTS OF INCOME AND
                COMPREHENSIVE INCOME - THREE MONTHS ENDED JUNE 30, 2005
                AND 2004 AND SIX MONTHS ENDED JUNE 30, 2005 AND 2004.....     4

             CONSOLIDATED STATEMENTS OF CASH FLOWS - SIX MONTHS ENDED
                JUNE 30, 2005 AND 2004...................................     5

             NOTES TO CONSOLIDATED FINANCIAL STATEMENTS..................     6

          ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR
             PLAN OF OPERATIONS..........................................     9

          ITEM 3. CONTROLS AND PROCEDURES................................    16

PART II.  OTHER INFORMATION

          ITEM 6 - EXHIBITS AND REPORTS ON FORM 8-K......................    17

          SIGNATURES.....................................................    18
</TABLE>


                                        2
<PAGE>
                         PART I - FINANCIAL INFORMATION

ITEM I - FINANCIAL STATEMENTS

                        GBC BANCORP, INC. AND SUBSIDIARY

                           CONSOLIDATED BALANCE SHEET
                                  JUNE 30, 2005
                                   (UNAUDITED)

<TABLE>
<S>                                                                <C>
                           ASSETS

Cash and due from banks                                            $  4,617,792
Federal funds sold                                                    7,878,000
Securities available-for-sale, at fair value                         31,521,083

Loans                                                               294,080,373
Less allowance for loan losses                                        3,274,957
                                                                   ------------
      Loans, net                                                    290,805,416

Premises and equipment                                                  320,462
Cash surrender value of life insurance                                5,626,893
Accrued interest                                                      1,802,806
Other assets                                                          4,344,695
                                                                   ------------
      TOTAL ASSETS                                                 $346,917,147
                                                                   ============

            LIABILITIES AND STOCKHOLDERS' EQUITY

DEPOSITS
   Noninterest-bearing                                             $ 31,346,047
   Interest-bearing                                                 277,714,090
                                                                   ------------
      TOTAL DEPOSITS                                                309,060,137
Securities sold under repurchase agreements                           2,641,876
Other liabilities                                                     5,340,973
                                                                   ------------
      TOTAL LIABILITIES                                             317,042,986
                                                                   ------------

COMMITMENTS AND CONTINGENCIES

STOCKHOLDERS' EQUITY

   Common stock, par value $1; 3,000,000 shares authorized;
      1,752,708 shares issued and outstanding                         1,752,708
   Capital surplus                                                   18,529,280
   Retained earnings                                                  9,577,497
   Accumulated other comprehensive income                                14,676
                                                                   ------------
      TOTAL STOCKHOLDERS' EQUITY                                     29,874,161
                                                                   ------------
      TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                   $346,917,147
                                                                   ============
</TABLE>

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.


                                        3
<PAGE>
                        GBC BANCORP, INC. AND SUBSIDIARY

           CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
                  THREE MONTHS ENDED JUNE 30, 2005 AND 2004 AND
                     SIX MONTHS ENDED JUNE 30, 2005 AND 2004
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                                THREE MONTHS ENDED          SIX MONTHS ENDED
                                                                     JUNE 30,                   JUNE 30,
                                                             -----------------------   ------------------------
                                                                2005         2004          2005         2004
                                                             ----------   ----------   -----------   ----------
<S>                                                          <C>          <C>          <C>           <C>
INTEREST INCOME
   Loans                                                     $5,719,112   $3,685,362   $10,686,778   $7,160,986
   Taxable securities                                           281,223      199,845       556,226      395,020
   Nontaxable securities                                         48,385       48,550        97,022       97,351
   Federal funds sold                                            68,574       15,938       125,248       30,592
                                                             ----------   ----------   -----------   ----------
      TOTAL INTEREST INCOME                                   6,117,294    3,949,695    11,465,274    7,683,949
                                                             ----------   ----------   -----------   ----------

INTEREST EXPENSE
   Deposits                                                   2,132,118    1,274,372     3,910,547    2,522,021
   Repurchase agreements                                         14,034        2,000        24,823        3,000
                                                             ----------   ----------   -----------   ----------
      TOTAL INTEREST EXPENSE                                  2,146,152    1,276,372     3,935,370    2,525,021
                                                             ----------   ----------   -----------   ----------
      NET INTEREST INCOME                                     3,971,142    2,673,323     7,529,904    5,158,928
PROVISION FOR LOAN LOSSES                                       149,579      294,775       405,266      466,012
                                                             ----------   ----------   -----------   ----------
      NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES     3,821,563    2,378,548     7,124,638    4,692,916
                                                             ----------   ----------   -----------   ----------

OTHER INCOME
   Service charges on deposit accounts                           50,490       86,611        92,258      182,659
   Gain on Sale of Loans                                        832,467      149,834     1,352,876      455,834
   Gain on Sale of Other Real Estate Owned                         (384)                    43,364
   Other operating income                                       101,272      201,919       192,830       89,681
                                                             ----------   ----------   -----------   ----------
      TOTAL OTHER INCOME                                        983,845      438,364     1,681,328      728,174
                                                             ----------   ----------   -----------   ----------

OTHER EXPENSES
   Salaries and employee benefits                             1,376,747    1,140,821     2,717,633    2,246,884
   Equipment and occupancy expenses                             208,238      221,732       421,127      453,509
   Other operating expenses                                     709,459      449,421     1,218,490      822,434
                                                             ----------   ----------   -----------   ----------
      TOTAL OTHER EXPENSES                                    2,294,444    1,811,974     4,357,250    3,522,827
                                                             ----------   ----------   -----------   ----------
      NET INCOME BEFORE INCOME TAXES                          2,510,964    1,004,938     4,448,716    1,898,263

INCOME TAX EXPENSE                                              917,000      360,000     1,619,000      648,000
                                                             ----------   ----------   -----------   ----------
      NET INCOME                                              1,593,964      644,938     2,829,716    1,250,263
                                                             ----------   ----------   -----------   ----------
OTHER COMPREHENSIVE INCOME (LOSS):
   Unrealized gains (losses) on securities
      available-for-sale arising during period, net of tax      296,241     (576,948)      (36,004)    (425,474)
                                                             ----------   ----------   -----------   ----------
      COMPREHENSIVE INCOME                                   $1,890,205   $   67,990   $ 2,793,712   $  824,789
                                                             ==========   ==========   ===========   ==========
BASIC EARNINGS PER SHARE                                     $     0.91   $     0.38   $      1.62   $     0.73
                                                             ==========   ==========   ===========   ==========
DILUTED EARNINGS PER SHARE                                   $     0.87   $     0.36   $      1.54   $     0.70
                                                             ==========   ==========   ===========   ==========
CASH DIVIDENDS PER SHARE                                     $       --   $       --   $        --   $       --
                                                             ==========   ==========   ===========   ==========
</TABLE>

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.


                                        4
<PAGE>
                        GBC BANCORP, INC. AND SUBSIDIARY

                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                     SIX MONTHS ENDED JUNE 30, 2005 AND 2004
                                   (UNAUDITED)

<TABLE>
<CAPTION>
                                                                     2005           2004
                                                                 ------------   ------------
<S>                                                              <C>            <C>
OPERATING ACTIVITIES
   Net income                                                    $  2,829,716   $  1,250,263
   Adjustments to reconcile net income to net
      cash provided by operating activities:
      Depreciation                                                     76,188        101,658
      Provision for loan losses                                       405,266        466,012
      Gain on sale of Other Real Estate Owned                         (43,364)            --
      Gain on sale of loans                                        (1,352,876)      (455,834)
      Loans originated for sale                                   (10,104,346)    (4,581,750)
      Proceeds from the sale of loans                              11,457,222      5,037,584
      Increase in interest receivable                                (209,048)      (157,878)
      Increase in interest payable                                    194,797         73,797
      Increase in taxes payable                                        84,186        548,292
      Net other operating activities                                 (508,376)      (688,740)
                                                                 ------------   ------------
         Net cash provided by operating activities                  2,829,365      1,593,404
                                                                 ------------   ------------
INVESTING ACTIVITIES
   Purchases of securities available-for-sale                        (993,794)   (10,655,485)
   Proceeds from maturities of securities available-for-sale          414,643      3,778,318
   Net (increase) decrease in federal funds sold                    9,816,000     (5,586,000)
   Net increase in loans                                          (41,806,639)   (19,360,746)
   Proceeds from sale of Other Real Estate Owned                    1,194,430             --
   Purchase of life insurance                                         (95,340)      (768,289)
   Purchase of premises and equipment                                 (18,954)       (47,357)
                                                                 ------------   ------------
         Net cash used in investing activities                    (31,489,654)   (32,639,559)
                                                                 ------------   ------------
FINANCING ACTIVITIES
   Net increase in deposits                                        26,724,011     31,439,461
   Net increase in securities sold under repurchase agreements        822,407        460,992
   Net proceeds from exercise of stock options                        341,375         70,200
                                                                 ------------   ------------
         Net cash provided by financing activities                 27,887,793     31,970,653
                                                                 ------------   ------------
Net (decrease) increase in cash and due from banks                   (772,496)       924,498
Cash and due from banks at beginning of period                      5,390,288      3,373,507
                                                                 ------------   ------------
Cash and due from banks at end of period                         $  4,617,792   $  4,298,005
                                                                 ============   ============
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION
         Cash paid during the period for :
            Interest                                             $  3,740,573   $  2,598,818
            Income taxes                                         $  1,567,814   $  1,077,808
         Noncash transaction:
            Loans transferred to Other Real Estate Owned         $    602,759   $         --
</TABLE>

SEE NOTES TO CONSOLIDATED FINANCIAL STATEMENTS.


                                        5
<PAGE>
                        GBC BANCORP, INC. AND SUBSIDIARY
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)

NOTE 1. NATURE OF BUSINESS AND BASIS OF PRESENTATION

     The consolidated financial information for GBC Bancorp, Inc. (the
     "Company") included herein is unaudited; however, such information reflects
     all adjustments (consisting solely of normal recurring adjustments) which
     are, in the opinion of management, necessary for a fair statement of
     results for the interim period.

     The results of operations for the three and six month periods ended June
     30, 2005 are not necessarily indicative of the results to be expected for
     the full year.

NOTE 2. STOCK COMPENSATION PLAN

     At June 30, 2005, the Company has a stock-based employee compensation plan.
     The Company accounts for this plan under the recognition and measurement
     principles of APB Opinion No. 25, Accounting for Stock Issued to Employees,
     and related Interpretations. No stock-based employee compensation cost is
     reflected in net income, as all options granted under this plan had an
     exercise price equal to the market value of the underlying stock on the
     date of grant. The following table illustrates the effect on net income and
     earnings per share if the Company had applied the fair value recognition
     provisions of SFAS Statement No. 123, Accounting for Stock-Based
     Compensation, to stock-based employee compensation.

<TABLE>
<CAPTION>
                                                  THREE MONTHS ENDED JUNE 30,
                                                  ---------------------------
                                                       2005         2004
                                                    ----------   ---------
<S>                                               <C>            <C>
Net income, as reported                             $1,593,964   $ 644,938
Deduct: Total stock-based employee compensation
   expense determined under fair value based
   method for all awards                                    --    (344,897)
                                                    ----------   ---------
Pro forma net income                                $1,593,964   $ 300,041
                                                    ==========   =========
Earnings per share:
   Basic - as reported                              $      .91   $     .38
                                                    ==========   =========
   Basic - pro forma                                $      .91   $     .17
                                                    ==========   =========
   Diluted - as reported                            $      .87   $     .36
                                                    ==========   =========
   Diluted - pro forma                              $      .87   $     .17
                                                    ==========   =========
</TABLE>


                                        6
<PAGE>
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)

NOTE 2. STOCK COMPENSATION PLAN (CONTINUED)

<TABLE>
<CAPTION>
                                                  SIX MONTHS ENDED JUNE 30,
                                                  -------------------------
                                                      2005         2004
                                                   ----------   ----------
<S>                                               <C>           <C>
Net income, as reported                            $2,829,716   $1,250,263
Deduct: Total stock-based employee compensation
   expense determined under fair value based
   method for all awards                                   --     (344,897)
                                                   ----------   ----------
Pro forma net income                               $2,829,716   $  905,366
                                                   ==========   ==========
Earnings per share:
   Basic - as reported                             $     1.62   $      .73
                                                   ==========   ==========
   Basic - pro forma                               $     1.62   $      .53
                                                   ==========   ==========
   Diluted - as reported                           $     1.54   $      .70
                                                   ==========   ==========
   Diluted - pro forma                             $     1.54   $      .50
                                                   ==========   ==========
</TABLE>

NOTE 3. EARNINGS PER SHARE

     Presented below is a summary of the components used to calculate basic and
     diluted earnings per common share.

<TABLE>
<CAPTION>
                                                   THREE MONTHS ENDED JUNE 30,
                                                   ---------------------------
                                                        2005         2004
                                                     ----------   ----------
<S>                                                <C>            <C>
Basic Earnings Per Share:
   Weighted average common shares outstanding         1,751,069    1,717,209
                                                     ==========   ==========
   Net income                                        $1,593,964   $  644,938
                                                     ==========   ==========
   Basic earnings per share                          $      .91   $      .38
                                                     ==========   ==========

Diluted Earnings Per Share:
   Weighted average common shares outstanding         1,751,069    1,717,209
   Net effect of the assumed exercise of stock
      options based on the treasury stock method
      using average market prices for the year           90,470       88,620
                                                     ----------   ----------
   Total weighted average common shares and
      common stock equivalents outstanding            1,841,540    1,805,829
                                                     ==========   ==========
   Net income                                        $1,593,964   $  644,938
                                                     ==========   ==========
   Diluted earnings per share                        $      .87   $      .36
                                                     ==========   ==========
</TABLE>


                                        7
<PAGE>
                   NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
                                   (UNAUDITED)

NOTE 3. EARNINGS PER SHARE (CONTINUED)

<TABLE>
<CAPTION>
                                                   SIX MONTHS ENDED JUNE 30,
                                                   -------------------------
                                                       2005         2004
                                                    ----------   ----------
<S>                                                <C>           <C>
Basic Earnings Per Share:
   Weighted average common shares outstanding        1,745,370    1,716,250
                                                    ==========   ==========
   Net income                                       $2,829,716   $1,250,263
                                                    ==========   ==========
   Basic earnings per share                         $     1.62   $      .73
                                                    ==========   ==========
Diluted Earnings Per Share:
   Weighted average common shares outstanding        1,745,370    1,716,250
   Net effect of the assumed exercise of stock
      options based on the treasury stock method
      using average market prices for the year          91,780       82,667
                                                    ----------   ----------
   Total weighted average common shares and
      common stock equivalents outstanding           1,837,150    1,798,917
                                                    ==========   ==========
   Net income                                       $2,829,716   $1,250,263
                                                    ==========   ==========
   Diluted earnings per share                       $     1.54   $      .70
                                                    ==========   ==========
</TABLE>

NOTE 4. CURRENT ACCOUNTING DEVELOPMENTS

     There are no recent accounting pronouncements that have had, or are
     expected to have, a material effect on the Company's financial statements.


                                        8
<PAGE>
                        GBC BANCORP, INC. AND SUBSIDIARY

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF OPERATIONS

The following is management's discussion and analysis of certain significant
factors which have affected the financial position and operating results of GBC
Bancorp, Inc. and its bank subsidiary, Gwinnett Banking Company, during the
periods included in the accompanying consolidated financial statements.

FORWARD-LOOKING STATEMENTS

We may from time to time make written or oral forward-looking statements,
including statements contained in our filings with the Securities and Exchange
Commission and reports to stockholders. Statements made, other than those
concerning historical information, should be considered forward-looking and
subject to various risks and uncertainties. Such forward-looking statements are
made based upon management's belief as well as assumptions made by, and
information currently available to, management pursuant to "safe harbor"
provisions of the Private Securities Litigation Reform Act of 1995. Our actual
results may differ materially from the results anticipated in forward-looking
statements due to a variety of factors, including governmental monetary and
fiscal policies, deposit levels, loan demand, loan collateral values, securities
portfolio values, interest rate risk management, the effects of competition in
the banking business from other commercial banks, thrifts, mortgage banking
firms, consumer finance companies, credit unions, securities brokerage firms,
insurance companies, money market funds and other financial institutions
operating in our market area and elsewhere, including institutions operating
through the Internet, changes in governmental regulation relating to the banking
industry, including regulations relating to branching and acquisitions, failure
of assumptions underlying the establishment of allowance for loan losses,
including the value of collateral underlying delinquent loans and other factors.
We caution that such factors are not exclusive. We do not undertake to update
any forward-looking statements that may be made from time to time by, or on our
behalf.

CRITICAL ACCOUNTING POLICIES

We have adopted various accounting policies which govern the application of
accounting principles generally accepted in the United States in the preparation
of our financial statements. Our significant accounting policies are described
in the footnotes to the consolidated financial statements at December 31, 2004,
as filed in our annual report on Form 10-KSB.

Certain accounting policies involve significant judgments and assumptions by us
which have a material impact on the carrying value of certain assets and
liabilities. We consider these accounting policies to be critical accounting
policies. The judgments and assumptions we use are based on historical
experience and other factors, which we believe to be reasonable under the
circumstances. Because of the nature of the judgments and assumptions we make,
actual results could differ from these judgments and estimates which could have
a material impact on our carrying values of assets and liabilities and our
results of operations.

We believe the allowance for loan losses is a critical accounting policy that
requires the most significant judgments and estimates used in preparation of our
consolidated financial statements. Please see the portion of this discussion
that addresses our allowance for loan losses for a description of our processes
and methodology for determining our allowance for loan losses.


                                        9
<PAGE>
LIQUIDITY AND CAPITAL RESOURCES

Our liquidity is monitored on a periodic basis by management and State and
Federal regulatory authorities. We monitor our liquidity requirements under two
categories, operational needs and emergency needs. The operational needs
category establishes the cash requirements to sufficiently fund our deposit
reserve requirements and pay operating expenses. The emergency need category
establishes sufficient cash requirements to fund the volatility of deposits. As
determined under these categories, our liquidity as of June 30, 2005 was
considered satisfactory.

At June 30, 2005, our capital ratios were adequate based on regulatory minimum
capital requirements. The minimum capital requirements and the actual capital
ratios on a consolidated and bank-only basis are as follows:

<TABLE>
<CAPTION>
                                    ACTUAL           REGULATORY
                             --------------------     MINIMUM
                             CONSOLIDATED    BANK   REQUIREMENT
                             ------------   -----   -----------
<S>                          <C>            <C>     <C>
Leverage capital ratios          8.84%       8.55%      5.00%
Risk-based capital ratios:
   Core capital                  9.73        9.41       6.00
   Total capital                10.79       10.48      10.00
</TABLE>

OFF-BALANCE SHEET RISK

We are a party to financial instruments with off-balance sheet risk in the
normal course of business to meet the financing needs of our customers. These
financial instruments include commitments to extend credit and standby letters
of credit. Such commitments involve, to varying degrees, elements of credit risk
and interest rate risk in excess of the amount recognized in the balance sheets.

Our exposure to credit loss in the event of nonperformance by the other party to
the financial instrument for commitments to extend credit and standby letters of
credit is represented by the contractual amount of those instruments. We use the
same credit policies in making commitments and conditional obligations as we do
for on-balance sheet instruments. A summary of our commitments is as follows:

<TABLE>
<CAPTION>
                                 JUNE 30,
                                   2005
                               ------------
<S>                            <C>
Commitments to extend credit   $116,789,053
Letters of credit                 4,662,806
                               ------------
                               $121,451,859
                               ============
</TABLE>


                                       10
<PAGE>
Commitments to extend credit are agreements to lend to a customer as long as
there is no violation of any condition established in the contract. Since many
of the commitments are expected to expire without being drawn upon, the total
commitment amounts do not necessarily represent future cash requirements. The
amount of collateral obtained, if deemed necessary by us upon extension of
credit, is based on our credit evaluation of the customer.

Standby letters of credit are conditional commitments issued by us to guarantee
the performance of a customer to a third party. Those letters of credit are
primarily issued to support public and private borrowing arrangements. The
credit risk involved in issuing letters of credit is essentially the same as
that involved in extending loans to customers. Collateral is required in
instances which we deem necessary.

RELATED PARTY TRANSACTIONS

We lease our main office banking facilities under a noncancelable operating
lease agreement from GBC Properties, LLC, a limited liability company formed by
our organizers. The lease term is for 15 years with the monthly rental payment
adjusting every fifth year for changes in the Consumer Price Index. The lease
agreement requires us to pay normal operating and occupancy expenses of the
facilities.

FINANCIAL CONDITION

Following is a summary of our balance sheets for the periods indicated:

<TABLE>
<CAPTION>
                               JUNE 30,   DECEMBER 31,
                                 2005         2004
                               --------   ------------
                                (DOLLARS IN THOUSANDS)
<S>                            <C>        <C>
Cash and due from banks        $  4,618     $  5,390
Federal funds sold                7,878       17,694
Securities                       31,521       31,000
Loans, net                      290,806      248,801
Premises and equipment              320          378
Other assets                     11,774       10,672
                               --------     --------
                               $346,917     $313,935
                               ========     ========

Deposits                       $309,060     $282,336
Securities sold under
   repurchase agreements          2,642        1,820
Other liabilities                 5,341        3,040
Stockholders' equity             29,874       26,739
                               --------     --------
                               $346,917     $313,935
                               ========     ========
</TABLE>

Our total assets increased by 10.51% for the first six months of 2005. Deposit
growth of $26,724,000 was invested primarily in the interest earning categories
of loans and federal funds sold. Our loan to deposit ratio has increased to
94.09 % at June 30, 2005 from 88.12% at December 31, 2004. Our total equity
increased by year-to-date net income of $2,830,000, and proceeds from the
exercise of stock options in the amount of $341,000. These increases were
partially offset by unrealized losses on securities available-for-sale, net of
tax, of $36,000.


                                       11
<PAGE>
Our securities portfolio, consisting of U.S. Agency, State, County and
Municipals, and mortgage-backed securities, amounted to $31,521,000 at June 30,
2005. Unrealized gains on securities amounted to $15,000 at June 30, 2005, as
compared to an unrealized gains of $51,000 at December 31, 2004. Management has
not specifically identified any securities for sale in future periods that, if
so designated, would require a charge to operations if the market value would
not be reasonably expected to recover prior to the time of sale.

We have 80% of our loan portfolio collateralized by real estate located in our
primary market area of Gwinnett County, Georgia and surrounding counties. Our
real estate construction portfolio consists of loans collateralized by loans to
build one-to-four-family residential properties. We generally require that loans
collateralized by real estate not exceed 80%-85% of the collateral value.

The remaining 20% of the loan portfolio consists of commercial, consumer, and
other loans. We require collateral commensurate with the repayment ability and
creditworthiness of the borrower.

The specific economic and credit risks associated with our loan portfolio,
especially the real estate portfolio, include, but are not limited to, a general
downturn in the economy which could affect unemployment rates in our market
area, general real estate market deterioration, interest rate fluctuations,
deteriorated or non-existing collateral, title defects, inaccurate appraisals,
financial deterioration of borrowers, fraud, and any violation of banking
protection laws. Construction lending can also present other specific risks to
the lender such as whether the builders can obtain financing for the
construction, whether the builders can sell the home to a buyer, and whether the
buyer can obtain permanent financing. Currently, real estate values and
employment trends in our market area are stable with no indications of a
significant downturn in the local economy.

We attempt to reduce these economic and credit risks not only by adhering to
loan to value guidelines, but also by investigating the creditworthiness of the
borrower and monitoring the borrower's financial position. Also, we establish
and periodically review our lending policies and procedures as well as having
independent loan review. State banking regulations limit exposure by prohibiting
secured loan relationships that exceed 25% of the Bank's statutory capital and
unsecured loan relationships that exceed 15% of the Bank's statutory capital.


                                       12
<PAGE>
RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED JUNE 30, 2005 AND 2004 AND FOR
THE SIX MONTHS ENDED JUNE 30, 2005 AND 2004

Following is a summary of our operations for the periods indicated:

<TABLE>
<CAPTION>
                            THREE MONTHS ENDED
                                 JUNE 30,
                            ------------------
                               2005     2004
                              ------   ------
                                (DOLLARS IN
                                 THOUSANDS)
<S>                         <C>        <C>
Interest income               $6,117   $3,950
Interest expense               2,146    1,276
                              ------   ------
Net interest income            3,971    2,674
Provision for loan losses        150      295
Other income                     984      438
Other expense                  2,294    1,812
                              ------   ------
Pretax income                  2,511    1,005
Income tax                       917      360
                              ------   ------
Net income                    $1,594   $  645
                              ======   ======
</TABLE>

<TABLE>
<CAPTION>
                            SIX MONTHS ENDED
                                JUNE 30,
                            ----------------
                              2005     2004
                            -------   ------
                               (DOLLARS IN
                               THOUSANDS)
<S>                         <C>       <C>
Interest income             $11,465   $7,684
Interest expense              3,935    2,525
                            -------   ------
Net interest income           7,530    5,159
Provision for loan losses       405      466
Other income                  1,681      728
Other expense                 4,357    3,523
                            -------   ------
Pretax income                 4,449    1,898
Income tax                    1,619      648
                            -------   ------
Net income                  $ 2,830   $1,250
                            =======   ======
</TABLE>

Our net interest income increased by $1,297,000 and $2,371,000 for the second
quarter and first six months of 2005, respectively, as compared to the same
periods in 2004. Our net interest margin increased to 4.63% during the first six
months of 2005 as compared to 4.02% for the first six months of 2004 and 4.32%
for the entire year of 2004. The increase in net interest income is due
primarily to the increased volume of average loans outstanding, higher loan
interest rates and increase in related loan fees. Our cost of funds increased to
2.64% in the first six months of 2005 as compared to 2.13% in the first six
months of 2004. The increase in cost of funds was a smaller increase than the
increase in loan yields, therefore, creating an increase in interest margins.


                                       13
<PAGE>
The provision for loan losses decreased by $145,000 and $61,000 for the second
quarter and first six months of 2005, respectively, as compared to the same
periods in 2004. The amounts provided are due primarily to overall loan growth,
as well as our assessment of the inherent risk in the loan portfolio. Based upon
our evaluation of the loan portfolio, we believe the allowance for loan losses
to be adequate to absorb losses on existing loans that may become uncollectable.
Our evaluation considers significant factors relative to the credit risk and
loss exposure in the loan portfolio, including past due and classified loans,
past experience, underlying collateral values, and current economic conditions
that may affect the borrower's ability to repay. The allowance for loan losses
is evaluated by segmenting the loan portfolio into unclassified and classified
loans. The unclassified loans are further segmented by loan type with an
allowance percentage applied to each type in order to establish a general
allowance for loan losses. The allowance percentage determined is based upon our
experience specifically and the historical experience of the banking industry
generally. Due to improvements in the economic environment, the historical
experience of low losses and the maturing of the loan portfolio, management may
decrease the general allowances for loan losses in the future. The classified
loans, including impaired loans, are analyzed individually in order to establish
a specific allowance for losses. The allowance for loan losses as a percentage
of total loans was 1.11% at June 30, 2005 as compared to 1.49% at December 31,
2004.

Information with respect to nonaccrual, past due and restructured loans is as
follows:

<TABLE>
<CAPTION>
                                                                             JUNE 30,
                                                                         ---------------
                                                                          2005     2004
                                                                         ------   ------
                                                                           (DOLLARS IN
                                                                            THOUSANDS)
<S>                                                                      <C>      <C>
Nonaccrual loans                                                         $1,606   $1,032
Loans contractually past due ninety days or more as to interest or
   principal payments and still accruing                                      0        0
Restructured loans                                                          304      304
Potential problem loans                                                   2,529    3,899
Interest income that would have been recorded on nonaccrual and
   restructured loans under original terms                                   77       30
Interest income that was recorded on nonaccrual and restructured loans        0        0
</TABLE>

Potential problem loans are defined as loans about which we have serious doubts
as to the ability of the borrower to comply with the present loan repayment
terms and which may cause the loan to be placed on nonaccrual status, to become
past due more than ninety days, or to be restructured.

It is our policy to discontinue the accrual of interest income when, in the
opinion of management, collection of interest becomes doubtful. This status is
accorded interest when (1) there is a significant deterioration in the financial
condition of the borrower and full repayment of principal and interest is not
expected and (2) the principal or interest is more than ninety days past due,
unless the loan is both well-secured and in the process of collection.

Loans classified for regulatory purposes as loss, doubtful, substandard, or
special mention that have not been included in the table above do not represent
or result from trends or uncertainties which management reasonably expects will
materially impact future operating results, liquidity, or capital resources.
These classified loans do not represent material credits about which management
is aware of any information, which causes management to have serious doubts as
to the ability of such borrowers to comply with the loan repayment terms.


                                       14
<PAGE>
Information regarding certain loans and allowance for loan loss data is as
follows:

<TABLE>
<CAPTION>
                                                                SIX MONTHS ENDED
                                                                    JUNE 30,
                                                              -------------------
                                                                2005       2004
                                                              --------   --------
                                                                  (DOLLARS IN
                                                                   THOUSANDS)
<S>                                                           <C>        <C>
Average amount of loans outstanding                           $276,540   $222,998
                                                              ========   ========
Balance of allowance for loan losses at beginning of period   $  3,775   $  3,029
                                                              --------   --------
Loans charged off
   Commercial and financial                                   $    905   $     28
   Real estate construction                                          0         24
   Installment                                                       0          0
   Other                                                             0          0
                                                              --------   --------
                                                                   905         52
                                                              --------   --------
Loans recovered
   Commercial and financial                                          0          0
   Real estate construction                                          0          0
   Installment                                                       0          0
                                                              --------   --------
                                                                     0          0
                                                              --------   --------
Net charge-offs                                                    905         52
                                                              --------   --------
Additions to allowance charged to
   operating expense during period                                 405        466
                                                              --------   --------
Balance of allowance for loan losses at end of period         $  3,275   $  3,443
                                                              ========   ========
Ratio of net loans charged off during the period to
   average loans outstanding                                       .32%       .02%
                                                              ========   ========
</TABLE>

Other income increased by $546,000 and $953,000 for the second quarter and first
six months of 2005, respectively, as compared to the same periods in 2004.
Increase premiums on sale of SBA loans of $897,000 accounted for the majority of
the year-to-date increase and was due to increase demand for SBA loans during
the period which continues to strengthen the department.

Other expenses increased by $482,000 and $834,000 for the second quarter and
first six months of 2005, respectively, as compared to the same periods in 2004.
Salaries and employee benefits have increased by $235,000 and $472,000 during
these periods due to an increase in the commissions paid on SBA Premiums and to
other annual salary increases. Equipment and occupancy expenses have remained
stable. Other operating expenses have increased by $102,000 and $558,000 during
these periods due to our overall growth and the increase in the value of the
directors deferred compensation accrual of $300,000.


                                       15
<PAGE>
We have provided for income taxes at an effective tax rate of 36% for the first
six months of 2005 as compared to 34% for the first six months of 2004.

We are not aware of any known trends, events or uncertainties, other than the
effect of events as described above, that will have or that are reasonably
likely to have a material effect on our liquidity, capital resources or
operations. We are also not aware of any current recommendations by the
regulatory authorities, which, if they were implemented, would have such an
effect.

ITEM 3. CONTROLS AND PROCEDURES

As of the end of the period covered by this report, we carried out an
evaluation, under the supervision and with the participation of our Chief
Executive Officer and the Chief Financial Officer, of the design and operation
of our disclosure controls and procedures. Based on this evaluation, our Chief
Executive and Chief Financial Officer concluded that our disclosure controls and
procedures are effective for gathering, analyzing and disclosing the information
that we are required to disclose in the reports we file under the Securities
Exchange Act of 1934, within the time periods specified in the SEC's rules and
forms. Our Chief Executive Officer and Chief Financial Officer also concluded
that our disclosure controls and procedures are effective in timely alerting
them to material information relating to our company required to be included in
our periodic SEC filings. In connection with the new rules, we are in the
process of further reviewing and documenting our disclosure controls and
procedures, including our internal controls and procedures for financial
reporting, and may from time to time make changes designed to enhance their
effectiveness and to ensure that our systems evolve with our business.

There have been no significant changes in our internal controls or in other
factors that could significantly affect internal controls subsequent to the date
of this evaluation.


                                       16
<PAGE>
                           PART II - OTHER INFORMATION

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K.

     (a)  Exhibits.

<TABLE>
<S>              <C>
          31.1   Certification of Chief Executive Officer Pursuant to Rule
                 13a-14(a) under the Security Exchange Act of 1934, as amended.

          31.2   Certification of Chief Financial Officer Pursuant to Rule
                 13a-14(a) under The Securities Exchange Act of 1934,
                 as amended.

          32     Certification of the Chief Executive Officer and Chief
                 Financial Officer, Pursuant to 18 U.S.C. Section  1350,
                 as Adopted Pursuant to Section 906 of the Sarbanes-Oxley
                 Act of 2002.
</TABLE>

     (b)  Reports on Form 8-K.

          None.


                                       17
<PAGE>
                                   SIGNATURES

          In accordance with the requirements of the Exchange Act, the
registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.

                                       GBC BANCORP, INC.
                                       (Registrant)


DATE: August 10, 2005                  BY: /s/ Larry D. Key
                                           -------------------------------------
                                           Larry D. Key, President and
                                           Chief Executive Officer
                                           (Principal Executive Officer)


DATE: August 10, 2005                  BY: /s/ John Hopkins
                                           -------------------------------------
                                           John Hopkins, Chief Financial Officer
                                           (Principal Financial and
                                           Accounting Officer)


                                       18