First Guaranty posts $56.0M 2025 net loss
First Guaranty Bancshares, Inc. reported a challenging 2025, with a net loss of $56.0 million and a loss per common share of $4.17, compared with a profit in 2024.
Rhea-AI Filing Summary
First Guaranty Bancshares, Inc. reported a challenging 2025, with a net loss of $56.0 million and a loss per common share of $4.17, compared with a profit in 2024. Results were driven by heavy credit costs, including a $81.7 million provision for credit losses, $77.2 million in loan charge-offs, and a $12.9 million goodwill impairment.
Despite the full-year loss, the bank returned to profitability in the fourth quarter, earning $2.5 million in net income and $0.12 per common share. Total loans fell to $2.1 billion, down 23.2%, as management intentionally shrank the portfolio to reduce risk, while deposits rose to $3.6 billion, up 4.5%, supporting liquidity. Nonperforming assets declined from $126.3 million to $95.5 million, and the risk-weighted capital ratio improved to 13.48% as of December 31, 2025.
Positive
- Return to quarterly profitability: After losses in the first three quarters of 2025, the company generated fourth-quarter net income of $2.5 million and earnings of $0.12 per common share, indicating early signs of earnings stabilization.
- Improved asset quality and capital: Nonperforming assets declined from $126.3 million to $95.5 million by year-end 2025, and the risk-weighted capital ratio increased 114 basis points to 13.48%, reflecting progress in balance-sheet repair.
Negative
- Sharp swing to full-year loss: 2025 net loss was $56.0 million, with a loss per common share of $4.17, driven by elevated credit costs and a $12.9 million goodwill impairment, reversing 2024 profitability.
- Heavy credit losses and loan shrinkage: Provision for credit losses reached $81.7 million and loan charge-offs totaled $77.2 million in 2025, while total loans fell 23.2% to $2.1 billion, signaling significant credit stress and reduced earning assets.
Insights
Large 2025 loss from credit issues, but Q4 turned profitable.
First Guaranty moved from 2024 profitability to a 2025 net loss of $56.0 million, with loss per common share of $4.17. The main drivers were a sharply higher provision for credit losses of $81.7 million and a $12.9 million goodwill impairment.
Management deliberately reduced balance-sheet risk, shrinking total loans to $2.1 billion, a 23.2% decline, while increasing deposits to $3.6 billion, up 4.5%. This mix shift favors liquidity over growth and suggests a defensive stance while credit issues are worked through.
The fourth quarter showed stabilization, with net income of $2.5 million and earnings of $0.12 per common share. Future filings may clarify whether positive earnings can be maintained while keeping credit costs and charge-offs, which reached $77.2 million in 2025, at more normal levels.
Credit clean-up hit 2025 results but strengthened capital and asset quality.
Credit remediation was intensive: loan charge-offs totaled $77.2 million in 2025, and the provision for credit losses was $81.7 million. These actions pushed return on average assets to -1.43% and return on average common equity to -27.05%, clearly pressuring profitability.
At the same time, asset quality and capital metrics improved. Nonperforming assets fell from $126.3 million at September 30, 2025 to $95.5 million at year-end, aided by subsequent sale of a $7.0 million OREO property in early January 2026. The risk-weighted capital ratio rose 114 basis points to 13.48%.
These figures indicate a strategy focused on shedding problem loans and bolstering capital, at the cost of near-term earnings. Subsequent disclosures may show whether credit costs normalize and nonperforming assets continue to trend down from the $95.5 million year-end level.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, or exhibit attachments filed with this report.
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 20, 2026
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction | (Commission File Number) | (I.R.S. Employer | ||||||
| incorporation or organization) | Identification Number) | |||||||
| (Address of principal executive offices) | (Zip Code) | |||||||
| (Registrant’s telephone number, including area code) | ||||||||
| Not Applicable | ||||||||
| (Former name or former address, if changed since last report) | ||||||||
Check the appropriate box if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
Item 2.02. Results of Operations and Financial Condition
On February 20, 2026 First Guaranty Bancshares, Inc. released its Fourth Quarter 2025 Report to shareholders. The Press Release is enclosed as Exhibit 99.1 to this report. The information in Exhibit 99.1 shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933.
Item 9.01. Financial Statements and Exhibits.
Exhibit 99.1 Press Release February 20, 2026 captioned "Fourth Quarter 2025 Report"
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| FIRST GUARANTY BANCSHARES, INC. | |||||||||||
| (Registrant) | |||||||||||
| Date: February 20, 2026 | |||||||||||
| By: | /s/Eric J. Dosch | ||||||||||
| Eric J. Dosch | |||||||||||
| Chief Financial Officer | |||||||||||
INDEX TO EXHIBITS
| Exhibit Number | Description | ||||
Exhibit 99.1 | Press Release February 20, 2026 captioned "Fourth Quarter 2025 Report" | ||||
PR ES O R TE D FI R ST -C LA SS M A IL U. S. P O ST AG E PA ID B AT O N R O UG E, L A PE R M IT N O . 9 84 Total Assets $4.1 Billion Deposits $3.6 Billion Locations 30 ATMs 40 $2.5 Million 4Q 2025 Earnings $(56.0) Million YTD2025 Earnings 130 Consecutive dividends paid and counting 91 Years in Banking Total Loans $2.1 Billion Member FDIC FIRST GUARANTY BANCSHARES, INC. 4th Quarter Report 2025 fgb.net | FI R ST G UA R A N TY B A N CS H A R ES , I N C. Po st O ffi ce B ox 2 00 9 H am m on d, L ou is ia na 7 04 04 -2 00 9 NASDAQ Symbol: FGBI We’re Social: Scan here or go to investors.fgb.net to visit our Investor Relations site. Have Questions? Vanessa Drew | InvestorRelations@fgb.net At A Glance (unaudited) FGB Branch Locations Abbeville, LA 799 West Summer Drive Alexandria, LA 1701 Metro Drive Amite, LA 632 West Oak Street Benton, LA 189 Burt Boulevard Bossier City, LA 4221 Airline Drive Bunkie, LA 1110 Shirley Drive Denham Springs, LA 2231 South Range Avenue Dubach, LA 117 East Hico Street Greensburg, LA 6151 Hwy. 10 Hammond, LA 2111 West Thomas Street Hammond, LA 400 East Thomas Street Hessmer, LA 2705 Main Street Homer, LA 401 North Second Street Independence, LA 455 West Railroad Avenue Jennings, LA 500 North Cary Avenue Kentwood, LA 301 Avenue F Marksville, LA 211 East Tunica Drive Moreauville, LA 10710 Highway 1 Oil City, LA 126 South Highway 1 Ponchatoula, LA 500 West Pine Street Vivian, LA 212 North Pine Street Walker, LA 29815 Walker Rd S Watson, LA 33818 Hwy. 16 Denton, TX 2209 W University Dr Fort Worth, TX 2001 N. Handley Ederville Road Garland, TX 603 W. Main St, #101 McKinney, TX 8951 Synergy Dr, #100 Waco, TX 7600 Woodway Drive Vanceburg, KY 15 Second Street Bridgeport, WV 1000 Jerry Dove Dr Suite #100
A Message to Our Shareholders Consolidated Balance Sheets (in thousands, except share data) Consolidated Statements of Income (in thousands, except share, per share data & percentages) Consolidated Statements of Income (in thousands, except share, per share data & percentages) Years Ended December 31, 2025 2024 (unaudited) Interest Income: Loans (including fees) $ 158,607 $ 190,382 Deposits with other banks 29,643 17,399 Securities (including FHLB stock) 25,029 13,925 Total Interest Income 213,279 221,706 Interest Expense: Demand deposits 49,590 65,331 Savings deposits 4,629 5,173 Time deposits 61,287 49,166 Borrowings 10,831 13,598 Total Interest Expense 126,337 133,268 Net Interest Income 86,942 88,438 Less: Provision for credit losses 81,729 20,034 Net Interest Income after Provision for Credit Losses 5,213 68,404 Noninterest Income: Service charges, commissions and fees 3,287 3,189 ATM and debit card fees 2,961 3,132 Net gains on sale of loans - 1,481 Net (losses) gains on sale of assets (524) 13,306 Other 2,752 3,631 Total Noninterest Income 8,476 24,739 Total Business Revenue, Net of Provision for Loan Losses 13,689 93,143 Noninterest Expense: Salaries and employee benefits 30,470 38,304 Occupancy and equipment expense 10,282 10,187 Goodwill Impairment 12,900 - Other 28,597 28,646 Total Noninterest Expense 82,249 77,137 (Loss) Income Before Income Taxes (68,560) 16,006 Less: (Benefit) Provision for income taxes (12,538) 3,558 Net (Loss) Income (56,022) 12,448 Less: Preferred stock dividends 2,328 2,329 (Loss) Income Available to Common Shareholders $(58,350) $10,119 Per Common Share: (Loss) Earnings $(4.17) $0.81 Cash dividends paid $0.04 $0.41 Book Value Per Common Share $12.23 $17.75 Weighted Average Common Shares Outstanding 13,985,460 12,501,035 Return on Average Assets -1.43% 0.34% Return on Average Common Equity -27.05% 4.58% Three-Months Ended December 31, 2025 2024 (unaudited) Interest Income: Loans (including fees) $35,300 $46,101 Deposits with other banks 8,356 5,652 Securities (including FHLB stock) 7,339 5,967 Total Interest Income 50,995 57,720 Interest Expense: Demand deposits 11,493 14,339 Savings deposits 973 1,245 Time deposits 15,682 16,517 Borrowings 2,606 3,042 Total Interest Expense 30,754 35,143 Net Interest Income 20,241 22,577 Less: Provision for credit losses 2,638 6,021 Net Interest Income after Provision for Credit Losses 17,603 16,556 Noninterest Income: Service charges, commissions and fees 772 846 ATM and debit card fees 695 780 Net gains on sale of loans - - Net (losses) gains on sale of assets (162) 62 Other 801 812 Total Noninterest Income 2,106 2,500 Total Business Revenue, Net of Provision for Loan Losses 19,709 19,056 Noninterest Expense: Salaries and employee benefits 6,721 7,866 Occupancy and equipment expense 2,432 2,831 Goodwill Impairment - - Other 7,637 7,191 Total Noninterest Expense 16,790 17,888 Income Before Income Taxes 2,919 1,168 Less: Provision for income taxes 469 158 Net Income 2,450 1,010 Less: Preferred stock dividends 582 582 Income Available to Common Shareholders $1,868 $428 Per Common Share: Earnings $0.12 $0.03 Cash dividends paid $0.01 $0.01 Weighted Average Common Shares Outstanding 15,357,735 12,504,717 Return on Average Assets 0.25% 0.10% Return on Average Common Equity 3.92% 0.76% Michael R. Mineer Chief Executive Officer/President First Guaranty Bancshares, Inc. Sincerely, Assets Cash and cash equivalents: Cash and due from banks $845,150 $563,778 Federal funds sold 551 430 Cash and cash equivalents 845,701 564,208 Interest-earning time deposits with banks 250 250 Investment securities: Available for sale, at fair value 676,592 281,097 Held to maturity, at cost and net of allowance for credit losses of $150 and $150 (estimated fair value of $268,094 and $251,458 respectively) 322,675 321,622 Investment securities 999,267 602,719 Federal Home Loan Bank stock, at cost 10,206 9,706 Loans, net of unearned income 2,069,802 2,693,780 Less: allowance for credit losses 40,755 34,811 Net loans 2,029,047 2,658,969 Premises and equipment, net 59,585 67,789 Goodwill - 12,900 Intangible assets, net 2,638 3,474 Other real estate, net 35,084 319 Accrued interest receivable 12,455 14,850 Other assets 84,088 37,544 Total Assets $4,078,321 $3,972,728 Liabilities and Shareholders’ Equity Deposits: Noninterest-bearing demand $414,604 $404,056 Interest-bearing demand 1,165,061 1,387,068 Savings 213,936 234,444 Time 1,839,276 1,450,692 Total deposits 3,632,877 3,476,260 Short-term advances from Federal Home Loan Bank Repurchase agreements - 7,119 - 7,009 Accrued interest payable 17,637 20,437 Long-term advances from Federal Home Loan Bank 135,000 135,000 Senior long-term debt 14,203 15,169 Junior subordinated debentures 29,805 44,745 Other liabilities 15,462 19,059 Total Liabilities 3,852,103 3,717,679 Shareholders’ Equity Preferred Stock, Series A - $1,000 par value 100,000 shares authorized; non-cumulative perpetual; 34,500 issued and outstanding, respectively 33,058 33,058 Common stock - $1 par value 100,600,000 shares authorized; 15,793,433 and 12,504,717 shares issued and outstanding 15,793 12,505 Surplus 170,621 149,389 Retained earnings 14,055 72,965 Accumulated other comprehensive (loss) income (7,309) (12,868) Total Shareholders’ Equity 226,218 255,049 Total Liabilities & Shareholders’ Equity $4,078,321 $3,972,728 December 31, 2025 2024 (unaudited) Dear Shareholders, First Guaranty made strong progress in the fourth quarter of 2025. We reduced nonperforming assets by $30.8 million from $126.3 million at September 30, 2025 to $95.5 million at December 31, 2025. We further reduced nonperforming assets in early January 2026 with the sale of a $7.0 million OREO property. First Guaranty generated positive earnings to our common shareholders of $1.9 million in the fourth quarter of 2025. This is an improvement as we previously recorded losses for the prior three quarters of 2025. We improved our risk weighted capital ratio 114 bps to 13.48% at December 31, 2025 from 12.34% at September 30, 2025. Net income for the fourth quarter of 2025 was $2.5 million. Net (loss) income for year of 2025 was a loss of $56.0 million. Earnings per common share were $0.12 for the fourth quarter of 2025 and a loss of $4.17 for the year ended December 31, 2025. The earnings loss for 2025 was driven primarily by losses in our loan portfolio. The provision for credit losses for the fourth quarter of 2025 was $2.6 million and was $81.7 million for the year. Loan charge-offs were $47.8 million for the fourth quarter of 2025 and $77.2 million for the year of 2025. Total loans at December 31, 2025 were $2.1 billion, a decrease of $624.0 million, or 23.2%, compared with December 31, 2024. The reduction in loans was part of our plan to reduce risk in the balance sheet. Total deposits were $3.6 billion at December 31, 2025, an increase of $156.6 million, or 4.5%, compared with December 31, 2024. The increase in deposits was part of our plan to increase balance sheet liquidity. We continue to move forward with our business strategy to reduce balance sheet risk, improve earnings, and grow capital. We plan to build on the progress achieved in 2025 as we move into the coming year. Please feel free to reach out to me with any questions. Additional information on our performance is located on our investor relations website.