Company Overview - The company owns 137 farms comprising 101,079 acres across 13 states in the U.S.[16] - The company has diversified its crop portfolio, now including permanent crops such as almonds, blueberries, and wine grapes, in addition to annual row crops[16] - The company operates under an Umbrella Partnership Real Estate Investment Trust (UPREIT) structure, controlling 100.0% of the common units of limited partnership interest in the Operating Partnership[16] - The company’s shares of common stock began trading on the Nasdaq Global Market under the symbol "LAND" on January 29, 2013[16] - The company has issued 6.00% Series B and Series C Cumulative Redeemable Preferred Stock, and a newly-designated 5.00% Series D Cumulative Term Preferred Stock[16] - The company is externally managed by Gladstone Management Corporation, with administrative services provided by Gladstone Administration, LLC[16] Investment Strategy - The investment strategy focuses on acquiring triple-net-leased farmland and farm-related properties, with plans to expand geographically across the U.S.[18] - The company anticipates future acquisitions of farmland that grows commodity crops on a selective basis[16] - The company plans to continue expanding its crop varieties, focusing on fresh produce and certain permanent crops[18] - The company may also acquire commercial properties that support agricultural communities, enhancing its portfolio[17] - The company aims to maximize stockholder returns through monthly cash distributions, land appreciation, and capital gains from property sales[17] Financial Management and Risks - The company faces risks related to tenant defaults and the potential inability to pay rent, impacting cash distributions to stockholders[12] - The company is subject to various risks including adverse weather, economic changes, and regulatory developments affecting its concentrated real estate portfolio[12] - The company’s cash flow is exposed to risks related to declining crop prices and lower-than-average crop production due to its participation rent component[12] - The company intends to use leverage by borrowing against properties to maximize investment opportunities[18] - The company employs a leveraged strategy to maximize returns, with no limitations on borrowing against single investment properties or overall borrowing levels[26] Tenant and Lease Management - The company’s farmland investments are primarily leased to independent farming operations, which may have limited financial resources[12] - The company evaluates tenant creditworthiness based on experience, financial strength, and adherence to quality standards[24] - Rental income is primarily generated through triple-net leases, with terms ranging from 3 to 10 years for annual row crops and 7 to 15 years for permanent crops[21] - The majority of leases are structured as triple-net leases, with original terms ranging from 3 to 10 years for annual row crops and 7 to 15 years for permanent crops[21] - The company monitors tenant credit quality through periodic site visits and has not identified any changes in credit quality to date[25] Geographic Expansion - The company currently owns properties in 13 states and intends to acquire more farmland in regions like the Pacific Northwest and Mid-Atlantic[18] - The company currently owns properties in 13 different states across the U.S. and plans to expand its geographic focus to other areas in the Southeast, Pacific Northwest, Midwest, and Mid-Atlantic[25] Operational Structure - The company does not currently have any employees and relies on the Adviser and Administrator for necessary services[37] - As of December 31, 2020, the Adviser and Administrator collectively had 67 full-time employees, with 36 in investment management and due diligence[38] - The company anticipates that the number of employees from the Adviser and Administrator dedicated to its matters will increase as more investments are acquired[37] Compliance and Regulations - The company is subject to various environmental laws and regulations, which could impose significant liabilities and affect its operations[41] - The company expects that compliance with various laws and regulations will not materially affect capital expenditures or results of operations for the year ending December 31, 2021[41] - The company has adopted a policy to minimize conflicts of interest, requiring independent director approval for transactions involving officers or directors[28] COVID-19 Impact - The company granted short-term rent extensions to two tenants due to COVID-19, totaling approximately $340,000 in semi-annual rental payments[40] - The company has not received further requests for rent relief from tenants since the initial COVID-19 impact, indicating a potential stabilization in rental income[40] - During 2020, the company granted short-term rent extensions to two tenants totaling approximately $340,000 due to COVID-19 related delays[40] Competition - The company faces competition from various entities, including agricultural investment firms and other agricultural REITs, which may impact its market position[39]

Gladstone Land Corp (NASDAQ:LAND) Q3 2020 Earnings Conference Call November 5, 2020 8:30 AM ET Company Participants David Gladstone - Chief Executive Officer Michael LiCalsi - General Counsel & Secretary Lewis Parrish - Chief Financial Officer & Assistant Treasurer Conference Call Participants Craig Kucera - Wunderlich Securities Operator Greetings and welcome to the Gladstone Land Corporation Earnings Call for the Quarter ended September 30, 2020. At this time, all participants are in a listen-only mode. A ...

Financial Performance - Total operating revenues increased by 54.1% to $41,907,000 for the nine months ended September 30, 2020, compared to $27,203,000 for the same period in 2019[152]. - Net income attributable to the Company surged by 505.3% to $4,812,000 for the nine months ended September 30, 2020, from $795,000 in the prior year[152]. - Operating income increased by 60.5% to $20,512,000 for the nine months ended September 30, 2020, compared to $12,782,000 in 2019[152]. - For the three months ended September 30, 2020, total operating revenues increased by 27.0% to $13,989 million from $11,012 million in the same period of 2019[150]. - Net income for the three months ended September 30, 2020, was $1,581,000, compared to $523,000 for the same period in 2019, representing a significant increase[188]. Lease and Rental Income - Total annualized straight-line rent for existing leases as of September 30, 2020, was $41.9 million, an increase from $27.2 million in the same period of 2019, representing a 54% growth[50]. - The company reported lease revenues of $13,989,000 for the three months ended September 30, 2020, compared to $11,012,000 for the same period in 2019, representing a year-over-year increase of approximately 26.9%[105]. - Fixed lease payments rose by 42.7% to $37,450,000 for the nine months ended September 30, 2020, from $26,236,000 in the prior year[152]. - The company granted rent extensions totaling approximately $343,000 to two tenants due to COVID-19, which were fully collected post-September 30, 2020[115]. - The company anticipates rental payments to continue being paid on time for the foreseeable future, despite potential future rent relief requests[121]. Borrowings and Debt Management - As of September 30, 2020, the company had total borrowings of $503.5 million, up from $481.9 million as of December 31, 2019, reflecting a 4.4% increase[54]. - The weighted-average interest rate on borrowings was 4.03% for the nine months ended September 30, 2020, compared to 3.99% for the same period in 2019[55]. - The company has adequate liquidity to cover near-term debt obligations and operating expenses[121]. - The company issued a New MetLife Term Note with an aggregate commitment of $75 million, maturing on January 5, 2030, with an undrawn commitment of $75 million as of the reporting date[57]. - Scheduled principal payments for the aggregate notes and bonds payable total $495.1 million as of September 30, 2020, with $15.4 million due in the remaining three months of 2020[63]. Equity and Stock Performance - The estimated net asset value (NAV) per common share as of September 30, 2020, is $11.97, up from $11.06 as of June 30, 2020, reflecting an increase of approximately 8.2%[196]. - The closing price of common stock on September 30, 2020, was $15.02 per share, indicating a premium over the estimated NAV per common share[199]. - The company issued approximately $30.148 million in Series B Preferred Stock and $15.525 million in Series C Preferred Stock since January 1, 2020[180]. - The Series B Preferred Stock began trading on Nasdaq under the ticker symbol "LANDO" on October 19, 2020[112]. - The company filed a universal registration statement allowing for the issuance of up to $1.0 billion in securities, with total gross proceeds of approximately $9.2 million from common stock issued under this statement by September 30, 2020[94]. Operational Highlights - The company expanded its portfolio from 12 farms leased to 7 tenants at IPO to 127 farms leased to 75 tenants, growing over 50 different types of crops[122]. - The company currently owns 127 farms comprising 93,999 acres across 13 states in the U.S.[119]. - The company acquired 12 farms since July 1, 2020, with a total purchase price of $74.772 million and annualized straight-line rent of $3.970 million[129]. - The company has several properties under signed purchase agreements and is actively seeking additional acquisitions despite the COVID-19 pandemic[171]. - The company plans to complete capital improvements on various farms, with obligations extending through Q3 2024 and Q2 2025 for several locations[86]. Fees and Expenses - Total fees to the Adviser for the three months ended September 30, 2020, amounted to $1.899 million, compared to $862,000 for the same period in 2019[83]. - The base management fee under the 2020 Advisory Agreement is calculated at an annual rate of 0.50% of the prior calendar quarter's Gross Tangible Real Estate[72]. - Total operating expenses, net of credits, increased by 23.0% to $6.858 million from $5.575 million in the same period of 2019[150]. - Interest expense for the three months ended September 30, 2020, was $5.202 million, an increase of 18.2% from $4.401 million in the same period of 2019[150]. - General and administrative expenses decreased for the three months ended September 30, 2020, primarily due to lower professional fees[167]. Market and Economic Conditions - The ongoing COVID-19 pandemic is expected to impact the company's operations and financial condition, with potential effects on rental rates and farmland values[120]. - The geographic diversity of the portfolio mitigates exposure to economic issues in any single market[124]. - The farmland portfolio's value is expected to remain stable, with no anticipated credit freeze in agricultural lending[121]. - The company has not received additional requests for rent relief from tenants due to COVID-19, and expects rental payments to continue being made on time[173]. - The company expects rental rates on upcoming lease renewals to remain relatively flat compared to existing leases[128].

Financial Data and Key Metrics Changes - The company reported a net income of approximately $182,000 and a net loss to common shareholders of about $2.1 million, equating to $9.5 per common share [25] - Adjusted FFO for the current quarter was $10.1 per share, down from $25.3 per share in the first quarter [25] - Cash rents decreased by about $139,000 or 1% quarter-over-quarter, primarily due to a lease executed during the first quarter that included a rent-free period [26] Business Line Data and Key Metrics Changes - The company invested about $21 million in new farms during the quarter, with operations remaining strong and existing farms being leased at increased rental rates [8] - The company has about 89,000 acres across 150 farms valued at approximately $912 million, with 100% occupancy and 70 different tenants [16][17] - New leases executed or extended during the quarter are expected to increase annual net income by about $173,000, representing a 24% increase over prior leases [20] Market Data and Key Metrics Changes - Approximately 90-95% of products grown by farmers leasing the company's farms are sold to grocery stores, with demand for produce remaining high, up by 10% over 2019 [12] - The company noted that grocery store prices are up about 10%, particularly in the produce section [45] - The NCREIF Farmland Index has averaged an annual return of about 13.6% over the past 15 years, outperforming the S&P Index [38] Company Strategy and Development Direction - The company focuses on investing in farmland that grows fresh produce, which is seen as a hedge against inflation and a stable investment [40] - The company aims to increase dividends at a rate that outpaces inflation, having raised its common dividend 19 times over the past 22 quarters [32] - The company is exploring opportunities to acquire additional farms, with several potential acquisitions in negotiation [8][33] Management's Comments on Operating Environment and Future Outlook - Management indicated that farmers are currently very busy, impacting the company's ability to negotiate new contracts [33] - The company expects continued strong demand for fresh produce, with a focus on organic and non-GMO products [36] - Management expressed optimism about closing several farm acquisitions by year-end, despite challenges posed by the pandemic [48][49] Other Important Information - The company has raised about $6 million in net proceeds through sales of common stock and Series C Preferred Stock [23] - The loan-to-value ratio was about 52% as of June 30, indicating a comfortable leverage position [28] - The company has over $50 million in liquidity available for future acquisitions [30] Q&A Session Summary Question: What do you attribute the increase in opportunities to? - Management noted that farmers are busy, which has slowed down negotiations and due diligence processes due to local government shutdowns [43] Question: Has the pricing been impacted by procedural delays? - Management indicated that grocery store prices have remained steady, with an increase of about 10% in the produce section [45] Question: What is the expected CapEx budget for the rest of the year? - Management did not disclose a specific CapEx budget but noted that most projects from the first half of the year are nearing completion, leading to lower expected expenditures in the latter half [53] Question: Are you competing with federal rate programs for liquidity? - Management stated that they do not see significant competition from federal programs, as the market for farm financing is not as organized as other sectors [59]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2020 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _______________ to _______________ Commission file number: 001-35795 GLADSTONE LAND CORPORATION (Exact name of registrant as specified in its ...

Financial Data and Key Metrics Changes - Total assets increased by approximately $24 million primarily due to proceeds from equity issuances [25] - Net income for the quarter was about $3.1 million, with net income to common shareholders at approximately $934,000 or $0.045 per common share [27] - Adjusted FFO for the first quarter increased by about $1.9 million, or 53%, with AFFO per share rising to $0.253 from $0.167 [27][28] Business Line Data and Key Metrics Changes - Rental income increased by about $443,000, or 4%, quarter-over-quarter, mainly due to additional revenue from recent acquisitions [28] - The company executed new leases or extended existing leases on 11 properties, resulting in an expected increase in annual net income of about $649,000, or 13.5% [17][18] Market Data and Key Metrics Changes - Approximately 90% to 95% of produce grown is sold to grocery stores, with minimal impact from government closings on farmers and tenants [9][10] - The company owns about 88,000 acres across 113 farms in 10 states, with a total fair value of approximately $892 million [13] Company Strategy and Development Direction - The company aims to focus on acquiring new farms and diversifying its portfolio, with plans to continue active acquisitions in the coming quarters [34] - The strategy emphasizes investing in farmland that grows fresh produce, aligning with market trends towards healthier food options [35][36] Management's Comments on Operating Environment and Future Outlook - Management noted that the demand for produce remains strong, with a shift in consumer spending from restaurants to grocery stores [10] - The company expects to continue reporting positive news and aims to exceed $1 billion in assets within the next year [34] Other Important Information - The company raised its common dividend to $0.0447 per share per month, marking an overall increase of 49% in monthly distributions over the past 21 quarters [33] - The management fee structure was amended to be based on real estate assets rather than common equity, aligning better with industry standards [19][20] Q&A Session Summary Question: Were there any questions from participants? - There were no questions from participants, indicating satisfaction with the income and dividends produced by the company [42]

Financial Performance - Total operating revenues for Q1 2020 reached $15,280,000, a 95.1% increase from $7,830,000 in Q1 2019[164]. - Net income attributable to common stockholders for the three months ended March 31, 2020, was $934,000, compared to a loss of $496,000 in the same period of 2019[105]. - Basic and diluted earnings per common share for the three months ended March 31, 2020, were $0.04, compared to $(0.03) for the same period in 2019[105]. - Operating income for Q1 2020 was $7,197,000, reflecting a 123.2% increase from $3,225,000 in Q1 2019[166]. - Net income attributable to the Company for Q1 2020 was $3,059,000, a significant increase of 2,813.3% from $105,000 in Q1 2019[166]. - Funds from Operations (FFO) available to common stockholders increased to $5,336 for Q1 2020, up from $2,136 in Q1 2019, representing a year-over-year growth of 149%[203]. - Adjusted Funds from Operations (AFFO) available to common stockholders reached $5,442 in Q1 2020, compared to $2,462 in Q1 2019, marking a 121% increase[203]. - Diluted FFO per share for Q1 2020 was $0.25, compared to $0.12 for Q1 2019, indicating a 108% increase[203]. Lease and Rental Income - Lease revenues for the three months ended March 31, 2020, totaled $15,280,000, a 95% increase from $7,830,000 in the same period of 2019[103]. - Lease revenues from same-property basis increased by 39.6% to $10,806,000, up from $7,740,000 in the prior year[167]. - Lease revenue from California, Florida, and Arizona accounted for approximately $6.8 million (44.6%), $3.3 million (21.8%), and $3.3 million (21.8%), respectively, of total lease revenue for the three months ended March 31, 2020[48]. - Aggregate lease revenue attributable to a single tenant accounted for approximately $3.0 million, or 19.6%, of total lease revenue for the three months ended March 31, 2020[47]. - The company recognized an early lease termination payment of approximately $3.0 million during the three months ended March 31, 2020[168]. Debt and Financing - As of March 31, 2020, the company had total borrowings of $477,526,000, a slight decrease from $481,929,000 as of December 31, 2019[50]. - The weighted-average interest rate on borrowings was 3.98% for the three months ended March 31, 2020, compared to 3.93% for the same period in 2019[51]. - The New MetLife Facility includes a $75.0 million long-term note payable and $75.0 million in revolving lines of credit, with an undrawn commitment of $75.0 million as of March 31, 2020[53]. - The company incurred new long-term borrowings of $8.1 million at a fixed interest rate of 2.66% on January 10, 2020[133]. - The fair value of long-term borrowings is approximately $481.3 million, compared to a carrying value of approximately $480.6 million[213]. Equity and Stock Issuance - The company issued 1,229,531 shares of Series B Preferred Stock during the three months ended March 31, 2020, generating gross proceeds of approximately $30.1 million and net proceeds of approximately $27.7 million[97]. - The Series B Preferred Stock offering generated total gross proceeds of approximately $147.5 million, with net proceeds of about $133.5 million after expenses[137]. - The company filed a new prospectus supplement for a continuous offering of up to 26,000,000 shares of Series C Preferred Stock, which superseded the previous offering[98]. - The company had 6,477,647 shares of Series B Preferred Stock issued and outstanding, with an aggregate liquidation value of approximately $149.4 million[89]. - The company has an At-the-Market Program allowing for the issuance of common stock up to $30.0 million[141]. Tenant Performance and Lease Management - All tenants were current on rental payments, except for one tenant with an outstanding payment of approximately $56,000, which is expected to be collected[115]. - The company has not received any requests for rent relief due to COVID-19, indicating stable tenant performance[115]. - The company plans to seek favorable lease modification terms if any rent relief is granted in the future[115]. - The company expects rental payments to continue to be paid on time for the foreseeable future, with all tenants current on payments except for one tenant owing approximately $56,000[122]. - The company is currently negotiating lease renewals for an expiring lease in California, expecting to maintain or slightly increase the rental rate[127]. Portfolio and Asset Management - Gladstone Land Corporation owns 113 farms comprising 87,860 acres across 10 states in the U.S.[119]. - The company has diversified its portfolio to include 70 different tenants growing over 45 types of crops, expanding from 12 farms at IPO in January 2013[123]. - The company currently owns properties in 10 different states across the U.S. and plans to expand its geographic focus[163]. - The company aims to achieve net capitalization rates ranging from 5% to 7% or more on acquired farmland[158]. - The total fair value of the real estate portfolio as of March 31, 2020, was $891,555, with 71.1% derived from third-party appraisals[207]. Management Fees and Expenses - Total fees to the Adviser for the three months ended March 31, 2020, amounted to $2.368 million, compared to $336,000 for the same period in 2019[83]. - The base management fee under the 2020 Advisory Agreement is calculated at an annual rate of 0.50% of the prior calendar quarter's Gross Tangible Real Estate[71]. - The base management fee increased by 14.3% to $1,034,000 for the three months ended March 31, 2020, compared to $905,000 in the same period of 2019[178]. - The incentive fee is payable quarterly if the Pre-Incentive Fee FFO exceeds a hurdle rate of 1.75% of the prior calendar quarter's Total Adjusted Common Equity[72]. - Total operating expenses for Q1 2020 were $8,083,000, a 75.5% increase from $4,605,000 in Q1 2019[166].

Gladstone Land Corporation (NASDAQ:LAND) Q4 2019 Earnings Conference Call February 20, 2020 8:30 AM ET Company Participants David Gladstone - Chairman and Chief Executive Officer Michael LiCalsi - General Counsel and Secretary Lewis Parrish - Chief Financial Officer Conference Call Participants Rob Stevenson - Janney Ben Zucker - Aegis Capital James Villard - Ladenburg Thalmann Operator Ladies and gentlemen, thank you for standing by and welcome to the Gladstone Land Corporation’s Fourth Quarter and Year En ...

Part I [Business](index=5&type=section&id=Item%201.%20Business) Gladstone Land Corporation is an externally-managed agricultural REIT that owns and leases farmland across the United States, focusing on triple-net leases and diversifying crop types - The company is an agricultural REIT owning **113 farms** comprised of **87,860 acres** across 10 U.S. states, primarily leasing properties on a triple-net basis[8](index=8&type=chunk) - The company's strategy is to maximize stockholder returns through monthly cash distributions, land appreciation, and capital gains from property sales, with key components including geographic expansion, crop diversification, and leverage[9](index=9&type=chunk) - The company is externally managed by Gladstone Management Corporation (the "Adviser") and receives administrative services from Gladstone Administration, LLC (the "Administrator"), both of which are affiliates[8](index=8&type=chunk)[22](index=22&type=chunk) - The company faces competition for farmland acquisitions from various entities, including agricultural investment firms like Hancock Agricultural Investment Group, other agricultural REITs such as Farmland Partners, Inc., and privately-held funds[33](index=33&type=chunk) [Risk Factors](index=14&type=section&id=Item%201A.%20Risk%20Factors) The company faces significant risks including tenant and geographic concentration, agricultural vulnerabilities, financial dependence on external capital, and potential conflicts of interest from its external management structure - A single tenant, Tenant A, accounted for approximately **10.9%** of the rental revenue for the year ended December 31, 2019, posing a significant concentration risk[39](index=39&type=chunk) - The real estate portfolio is concentrated in a limited number of states, making the company vulnerable to adverse weather, economic, or regulatory changes in those specific markets[40](index=40&type=chunk) - The company's agricultural properties are subject to risks from adverse weather, seasonal variability, crop diseases, and contaminants, which could affect tenants' ability to pay rent[64](index=64&type=chunk) - To maintain its REIT qualification, the company must distribute at least 90% of its taxable income, making it highly dependent on third-party capital for future needs, including property acquisitions[68](index=68&type=chunk) - Potential conflicts of interest exist with the Adviser, which also manages other affiliated entities, including Gladstone Commercial (a real estate company) and Gladstone Capital and Gladstone Investment (investment companies)[102](index=102&type=chunk) [Unresolved Staff Comments](index=31&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports no unresolved staff comments from the SEC - None[150](index=150&type=chunk) [Properties](index=31&type=section&id=Item%202.%20Properties) As of December 31, 2019, the company owned 111 farms totaling 86,535 acres across 10 states, with California and Florida as primary holdings Property Portfolio Summary as of December 31, 2019 | State | No. of Farms | Total Acres | Net Cost Basis ($ thousands) | Encumbrances ($ thousands) | | :--- | :--- | :--- | :--- | :--- | | California | 42 | 14,830 | $420,537 | $261,957 | | Florida | 23 | 20,770 | $211,132 | $133,327 | | Arizona | 6 | 6,280 | $55,941 | $22,427 | | Colorado | 10 | 31,448 | $42,125 | $27,089 | | Nebraska | 8 | 7,104 | $27,439 | $17,246 | | Other States | 22 | 5,103 | $37,597 | $23,003 | | **Total** | **111** | **86,535** | **$794,769** | **$485,049** | [Legal Proceedings](index=32&type=section&id=Item%203.%20Legal%20Proceedings) The company is not currently subject to any material legal proceedings, nor is it aware of any threatened against it - The company is not currently party to any material legal proceedings[154](index=154&type=chunk) [Mine Safety Disclosures](index=32&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This section is not applicable to the company - Not applicable[155](index=155&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=33&type=section&id=Item%205.%20Market%20for%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company's common stock trades on Nasdaq under 'LAND,' consistently paying monthly distributions since its 2013 IPO, with 570,879 OP Units exchanged for common stock since January 2019 - Common stock is traded on Nasdaq under the symbol "LAND"[157](index=157&type=chunk) - The company has paid uninterrupted quarterly distributions (paid monthly) on its common stock since its IPO on January 29, 2013[157](index=157&type=chunk) - Since January 1, 2019, 570,879 OP Units were redeemed in exchange for 570,879 shares of common stock[159](index=159&type=chunk) [Selected Financial Data](index=34&type=section&id=Item%206.%20Selected%20Financial%20Data) This item is not applicable as the company qualifies as a smaller reporting company - This item is not applicable to smaller reporting companies[163](index=163&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=34&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) In 2019, total operating revenues increased 10.9% to $40.7 million, driven by property acquisitions, while net income attributable to common stockholders was a loss of $2.5 million due to preferred stock dividends Key Operating Results (2019 vs. 2018) | Metric | 2019 (in thousands) | 2018 (in thousands) | Change (%) | | :--- | :--- | :--- | :--- | | Total Lease Revenues | $40,692 | $29,362 | 38.6% | | Total Operating Revenues | $40,692 | $36,687 | 10.9% | | Operating Income | $19,306 | $12,112 | 59.4% | | Net Income | $1,762 | $2,766 | (36.3)% | | Net (Loss) Attributable to Common Stockholders | $(2,499) | $2,250 | NM | - Since January 1, 2019, the company acquired 28 farms for a total purchase price of approximately **$260.2 million**[173](index=173&type=chunk) Non-GAAP Performance Metrics (per share) | Metric | 2019 | 2018 | | :--- | :--- | :--- | | Diluted FFO per share | $0.54 | $0.38 | | Diluted CFFO per share | $0.56 | $0.51 | | Diluted AFFO per share | $0.57 | $0.51 | - The estimated Net Asset Value (NAV) per common share as of December 31, 2019, was **$11.41**[263](index=263&type=chunk)[264](index=264&type=chunk) - The advisory agreement was amended effective January 1, 2020 (the "2020 Advisory Agreement"), changing the base management fee calculation from being based on equity to being based on Gross Tangible Real Estate[191](index=191&type=chunk)[192](index=192&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=56&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This item is not applicable as the company qualifies as a smaller reporting company - This item is not applicable to smaller reporting companies[269](index=269&type=chunk) [Financial Statements and Supplementary Data](index=57&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the company's consolidated financial statements for 2019 and 2018, including an unqualified audit opinion on financial statements and internal controls from PricewaterhouseCoopers LLP - Management concluded that the company's internal control over financial reporting was **effective** as of December 31, 2019[273](index=273&type=chunk) - The independent auditor, PricewaterhouseCoopers LLP, issued an **unqualified opinion**, stating the financial statements are presented fairly in all material respects and that the company maintained effective internal control over financial reporting[276](index=276&type=chunk) Consolidated Balance Sheet Highlights (as of Dec 31) | Metric (in thousands) | 2019 | 2018 | | :--- | :--- | :--- | | Total Assets | $816,787 | $565,119 | | Total Liabilities | $537,817 | $384,066 | | Total Equity | $278,970 | $181,053 | [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=102&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants on accounting and financial disclosure - None[449](index=449&type=chunk) [Controls and Procedures](index=102&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of December 31, 2019, with no material changes to internal control over financial reporting during the year - Management concluded that disclosure controls and procedures were effective as of December 31, 2019[450](index=450&type=chunk) - No material changes to internal control over financial reporting occurred during the year ended December 31, 2019[452](index=452&type=chunk) [Other Information](index=102&type=section&id=Item%209B.%20Other%20Information) The company reports no other information - None[452](index=452&type=chunk) Part III [Directors, Executive Officers and Corporate Governance](index=103&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information required by this item is incorporated by reference from the company's definitive Proxy Statement for its 2020 Annual Meeting of Stockholders - Information is incorporated by reference from the 2020 Proxy Statement[455](index=455&type=chunk) [Executive Compensation](index=103&type=section&id=Item%2011.%20Executive%20Compensation) Information required by this item is incorporated by reference from the company's definitive Proxy Statement for its 2020 Annual Meeting of Stockholders - Information is incorporated by reference from the 2020 Proxy Statement[456](index=456&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](index=103&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Stockholder%20Matters) Information required by this item is incorporated by reference from the company's definitive Proxy Statement for its 2020 Annual Meeting of Stockholders - Information is incorporated by reference from the 2020 Proxy Statement[456](index=456&type=chunk) [Certain Relationships and Related Transactions and Director Independence](index=103&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%20and%20Director%20Independence) Information required by this item is incorporated by reference from the company's definitive Proxy Statement for its 2020 Annual Meeting of Stockholders - Information is incorporated by reference from the 2020 Proxy Statement[457](index=457&type=chunk) [Principal Accountant Fees and Services](index=103&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information required by this item is incorporated by reference from the company's definitive Proxy Statement for its 2020 Annual Meeting of Stockholders - Information is incorporated by reference from the 2020 Proxy Statement[457](index=457&type=chunk) Part IV [Exhibits and Financial Statement Schedules](index=104&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists all financial statements, schedules, and exhibits filed as part of the Form 10-K, including key corporate and loan agreements - Lists all financial statements, schedules, and exhibits filed with the report[459](index=459&type=chunk) - Includes key agreements such as the Fourth Amended and Restated Investment Advisory Agreement and various loan agreements with MetLife and Farmer Mac[460](index=460&type=chunk)[461](index=461&type=chunk)[462](index=462&type=chunk) [Form 10-K Summary](index=107&type=section&id=Item%2016.%20Form%2010-K%20Summary) This section is not applicable - Not applicable[466](index=466&type=chunk)

Gladstone Land Corporation (NASDAQ:LAND) Q3 2019 Earnings Conference Call November 7, 2019 8:30 AM ET Company Participants David Gladstone – Chairman and Chief Executive Officer Michael LiCalsi – General Counsel and Secretary Lewis Parrish – Chief Financial Officer Conference Call Participants Rob Stevenson – Janney Ben Zucker – Aegis Capital John Massocca – Ladenburg Thalmann Operator Good morning, ladies and gentlemen. Thank you for standing by. Welcome to the Gladstone Land Corporation’s Third Quarter En ...