When people talk about "graphical Web browsers" in a historical context, they're not just talking about browsers that run in a GUI. The term specifically refers to browsers that can display graphics and text in the same window. The earliest versions of WorldWideWeb (Tim Berners-Lee's original browser) couldn't do this. It used NSText (NeXTStep's native text-display object) for displaying pages, and at the time NSText didn't support inline images, so WorldWideWeb relegated images to separate windows at the time. It did eventually become a graphical browser in this regard, once NSText had the necessary inline image support, but ViolaWWW beat it to the punch.

You don't hear much about graphical browsers anymore, not because they died out but because they became such an overwhelming majority that it no longer made much sense to make any distinction. But a few non-graphical browsers are still in development; Lynx is probably the most famous of them.