Guaranty Bancshares Reports $3.12 Billion in Total Assets and $31.5 Million Net Earnings for 2024

Guaranty Bancshares, Inc. (GNTY) reported total assets of $3.12 billion as of December 31, 2024, total net loans of $2.10 billion, total deposits of $2.69 billion, and total shareholders’ equity of $319.1 million. Net interest income before the provision for credit losses increased slightly to $97.9 million in 2024 from $97.0 million in 2023, a 0.9% rise. This increase was driven by a 4.3% increase in interest income on loans and securities, partially offset by a 9.7% increase in interest expense, primarily due to higher interest paid on deposits. Noninterest income decreased by $1.8 million (7.9%) to $20.7 million in 2024, primarily due to a decrease in gains on the sale of loans and a one-time gain on the sale of correspondent bank stock in 2023. Net earnings attributable to Guaranty Bancshares, Inc. were $31.5 million in 2024, compared to $30.0 million in 2023.

The company's loan portfolio decreased by $191.4 million (8.2%) to $2.13 billion in 2024, primarily due to tightened credit underwriting standards, strategic non-renewal decisions, and fewer borrower requests resulting from higher interest rates and project costs. The number of deposit accounts increased by 1,513 to 57,679, while active debit cards held by customers increased by 818 to 43,253. Noninterest expense decreased slightly by $502,000 (0.6%) to $81.9 million in 2024, primarily due to lower employee benefits and bonus expenses. The company's effective tax rate remained relatively stable at 19.18% in 2024 compared to 19.20% in 2023. As of December 31, 2024, the company employed 485 full-time equivalent employees.

Guaranty Bancshares, Inc. expanded its network of banking locations from 18 in 2013 to 33 as of December 31, 2024, through organic growth and strategic acquisitions. Significant acquisitions included Texas Leadership Bank and Preston State Bank in 2015, and Westbound Bank in 2018. The company also opened de novo banking locations in various Texas markets, including a second location in Georgetown in May 2023. The company's strategic plan focuses on maintaining organic growth, pursuing strategic acquisitions, establishing de novo banking locations, and increasing earnings streams through diversified products and services.

The company identified several key risk factors, including interest rate risk, concentration of business in Texas markets, credit risk, operational risks, cybersecurity risks, and regulatory risks. These risks could materially and adversely affect the company's business, financial condition, results of operations, and growth prospects. The company's management discussed its risk management strategies and internal controls to mitigate these risks. The company's independent registered public accounting firm, Whitley Penn LLP, issued an unqualified opinion on the effectiveness of the company's internal control over financial reporting as of December 31, 2024.

The company's outlook is tied to its ability to execute its long-term growth strategy, which includes organic growth, strategic acquisitions, and de novo branching. The success of this strategy depends on various factors, including economic conditions, competition, and the ability to attract and retain qualified personnel. The company also noted the ongoing uncertainty surrounding the implementation of the Dodd-Frank Act and potential future regulatory changes that could impact its operations.