EX-99.1 2 ex99-1.htm PRESS RELEASE 7-15-2004 Press Release 7-15-2004

Exhibit 99.1
Contact: Don M. Gibson                                                  For Immediate Release
417-520-4333


GUARANTY FEDERAL BANCSHARES, INC. ANNOUNCES
A 9% INCREASE IN QUARTERLY EARNINGS PER SHARE

SPRINGFIELD, MO – (July 15, 2004) – Guaranty Federal Bancshares, Inc, (NASDAQ:GFED), the holding company for Guaranty Bank:

Second Quarter 2004 Financial Highlights

  • Earnings per share increases 9% over prior year quarter
  • Net interest income increases 10% over prior year quarter
  • Net interest margin increases 15 basis points over prior year quarter to 3.06%
  • Annualized return on average assets increases 3 basis points over prior year quarter to 1.01%
  • Annualized return on average equity increases 14 basis points over prior year quarter to 10.25%
  • Loans increase 4% from March 31, 2004
  • Deposits increase 6% from March 31, 2004

Guaranty Federal Bancshares, Inc, (NASDAQ:GFED), the holding company for Guaranty Bank, today announced earnings for the second quarter ended June 30, 2004 were $0.36 per share, ($1,015,000), up from the $0.33 per share ($931,000) the Company earned during the same quarter in the prior year. This represents a 9% increase in quarterly earnings per share.

Earnings for the six months ended June 30, 2004 were $0.71 per share, ($1,984,000), up from the $0.65 per share ($1,816,000) the Company earned during the period in the prior year. This represents a 9% increase in earnings per share compared to the same period one year ago.

The Company announced a plan to repurchase 300,000 shares of common stock on November 22, 2002. To date the Company has repurchased 86,942 shares of common stock under this plan at an average cost of $17.02 per share.

The discussion set forth above may contain forward-looking comments. Such comments are based upon the information currently available to management of the Company and management’s perception thereof as of the date of this release. When used in this release, words such as “anticipates,” “estimates,” “believes,” “expects,” and similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. Such statements are subject to risks and uncertainties. Actual results of the Company’s operations could materially differ from those forward-looking comments. The differences could be caused by a number of factors or combination of factors including, but not limited to: changes in demand for banking services; changes in portfolio composition; changes in management strategy; increased competition from both bank and non-bank companies; changes in the general level of interest rates; the effect of regulatory or government legislative changes; technology changes; fluctuation in inflation; and other factors set forth in reports and other documents filed by the Company with the Securities and Exchange Commission from time to time.

Guaranty Federal Bancshares, Inc. has a subsidiary corporation offering full banking services. The principal subsidiary, Guaranty Bank, is located in Springfield, Missouri, and has nine branches and 18 ATM locations located in Greene and Christian Counties. In addition Guaranty Bank is a member of the Privileged Status ATM network, which provides its customers surcharge free access to over 60 area ATM’s and over 1,000 ATM’s nationwide.

 
  
Quarter ended
Six Months ended
Operating Data:
  
30-Jun-04
30-Jun-03
30-Jun-04
30-Jun-03
   
 
  
(Dollar amounts are in thousands, except per share data)
 
  
 
 
 
 
Total interest income
  
$
4,872
   
5,187
   
9,713
   
10,492
 
Total interest expense
    
1,935
   
2,580
   
3,985
   
5,359
 
Provision for loan losses
    
225
   
150
   
414
   
405
 
   
 
 
 
 
Net interest income after
    
 
    
 
    
 
    
 
  
provision for loan losses
    
2,712
   
2,457
   
5,314
   
4,728
 
Noninterest income
    
877
   
844
   
1,727
   
1,937
 
Noninterest expense
    
2,079
   
2,069
   
4,122
   
4,120
 
   
 
 
 
 
 
    
 
    
 
    
 
    
 
  
Income before income tax
    
1,510
   
1,232
   
2,919
   
2,545
 
Income tax expense
    
495
   
301
   
935
   
729
 
   
 
 
 
 
 
    
 
    
 
    
 
    
 
  
Net income
  
$
1,015
   
931
   
1,984
   
1,816
 
   
 
 
 
 
Net income per share-basic
  
$
0.36
   
0.33
   
0.71
   
0.65
 
   
 
 
 
 
Net income per share-diluted
  
$
0.35
   
0.33
   
0.68
   
0.64
 
   
 
 
 
 
 
    
 
    
 
    
 
    
 
  
Annualized return on average assets
    
1.01
%
  
0.98
%
  
1.01
%
  
0.96
%
Annualized return on average equity
    
10.25
%
  
10.11
%
  
10.17
%
  
9.86
%
Net interest margin
    
3.06
%
  
2.91
%
  
3.06
%
  
2.87
%
                           
   
 
    
As of 
    
As of
    
 
  
Financial Condition Data:
    
 
    
30-Jun-04
   
31-Dec-03
   
 
  
         
 
       
 
    
 
    
 
    
 
    
 
  
Cash and cash equivalents
    
 
  
$
10,692
   
22,657
   
 
  
Investments
    
 
    
16,502
   
16,731
   
 
  
Loans, net of allowance for loan losses
    
 
    
366,251
   
332,130
   
 
  
6/30/2004 - $4,133; 12/31/2003 - $3,886
   
 
    
 
    
 
    
 
  
Other assets
    
 
    
16,198
   
15,239
   
 
  
         
 
       
Total Assets
    
 
  
$
409,643
   
386,757
   
 
  
         
 
       
 
    
 
    
 
    
 
    
 
  
Deposits
    
 
  
$
258,813
   
237,131
   
 
  
FHLB advances
    
 
    
108,086
   
108,837
   
 
  
Other liabilities
    
 
    
3,439
   
2,811
   
 
  
         
 
       
Total liabilities
    
 
    
370,338
   
348,779
   
 
  
Stockholder's equity
    
 
    
39,305
   
37,978
   
 
  
         
 
       
Total liabilities and stockholder equity
    
 
  
$
409,643
   
386,757
   
 
  
         
 
       
 
    
 
    
 
    
 
    
 
  
Book value per share
    
 
  
$
14.00
   
13.62
   
 
  
         
 
       
 
    
 
    
 
    
 
    
 
  
Non performing assets
    
 
  
$
1,256
   
2,434