Guaranty records profits of $953K

Springfield-based Guaranty Federal Bancshares Inc. (Nasdaq: GFED) posted first-quarter profits of $953,000, a 14.3 percent increase compared to $834,000 in the same quarter a year ago.

The holding company for Guaranty Bank reported 25-cent earnings per diluted share for the quarter that ended March 31, up 5 cents from first-quarter 2012, according to a news release.

Officials laid out five areas that contributed to first-quarter financials:

• Though net interest income decreased by 0.05 percent to $5 million, officials said the roughly flat figure was notable due to a weak economy and a net loan decline of $15.2 million since Dec. 31.
• Noninterest income improved by 20.4 percent to $1 million from $847,000.
• Noninterest expense rose 9.3 percent to $4.4 million from $4 million, though officials said the primary factor was a $231,000 one-time charge related to losses on three customer deposit accounts. The company has claimed the charge to its insurance carrier for a partial recovery.
• Provision for loan losses dropped to $400,000 from $900,000 a year ago. Allowance for loan losses decreased to 1.76  percent of gross loans from 1.83 percent at the end of 2012.
• Nonperforming assets decreased sightly to $19.6 million, $300,000 less than at year-end.

Guaranty, which operates nine branches in Springfield, Nixa and Ozark, as well as two loan production offices in Marshfield and Branson, claimed assets of $650 million as of March 31, and deposits of $503.6 million, according to the release.

GFED shares were trading at $9.93 as of 9:37 a.m., compared to a 52-week range of $6.29 to $10.61.