Federal Agricultural Mortgage (AGM) - 2024 Q4 - Annual Results

Financial Performance - Farmer Mac reported an outstanding business volume of $29.5 billion for the fiscal year ended December 31, 2024[1][2]. - Net interest income increased by 8% year-over-year to $353.9 million[6]. - Diluted EPS (GAAP) rose by 24% to $4.63 compared to $3.73 in the previous year[5]. - Core earnings per share (Non-GAAP) remained stable at $15.64, with a slight decrease of 3% from the previous year[6]. - Farmer Mac's net income attributable to common stockholders was $180.4 million, up from $172.8 million in the same period last year[6]. - Net income attributable to common stockholders for the year ended December 31, 2024, was $180,428 thousand, a 4.5% increase from $172,838 thousand in 2023[26]. - Total revenues for the year ended December 31, 2024, reached $361,990,000, up from $349,207,000 in 2023, indicating a year-over-year increase of 3.9%[30]. - Core earnings for the year ended December 31, 2024, were $171,630,000, slightly up from $171,156,000 in 2023, reflecting a marginal increase of 0.3%[30]. - Basic earnings per common share for the year ended December 31, 2024, were $16.59, compared to $15.97 in 2023, reflecting a growth of 3.9%[26]. - The diluted earnings per share for the year ended December 31, 2024, was $16.44, compared to $15.81 in 2023, reflecting an increase of 4.0%[33]. Capital and Liquidity - Total core capital stood at $1.5 billion, with a Tier 1 Capital Ratio of 14.2% as of December 31, 2024[6]. - Farmer Mac maintained 264 days of liquidity as of December 31, 2024[6]. - Total assets increased to $31,324,742 thousand as of December 31, 2024, up from $29,524,382 thousand in 2023, representing a growth of 6.1%[25]. - Total liabilities increased to $29,835,716 thousand as of December 31, 2024, from $28,112,519 thousand in 2023, a rise of 6.1%[25]. - Total equity as of December 31, 2024, was $1,489,026 thousand, up from $1,411,863 thousand in 2023, representing an increase of 5.5%[25]. Expenses and Provisions - Total operating expenses for the year ended December 31, 2024, amounted to $105,386,000, up from $97,099,000 in 2023, representing an increase of 8.4%[30]. - Provision for losses for the year ended December 31, 2024, was $11,490,000, significantly higher than $1,136,000 in 2023, indicating a substantial increase in credit-related expenses[30]. - The company reported a total credit-related expense of $11,686,000 for the year ended December 31, 2024, compared to $1,136,000 in 2023, highlighting a significant rise in credit-related costs[30]. Dividends - The Board of Directors declared a quarterly dividend of $1.50 per share, representing a 7% increase year-over-year[7]. Future Outlook - The company expressed optimism about future growth and its ability to fulfill its mission efficiently and profitably[3]. - The company plans to continue focusing on expanding its market presence and enhancing its product offerings in the upcoming fiscal year[30]. Segment Performance - Outstanding business volume in Agricultural Finance as of December 31, 2024, was $20,494,673,000, slightly down from $20,502,780,000 in 2023[35]. - Loans held for investment increased to $11,183,408 thousand in 2024, compared to $9,623,119 thousand in 2023, marking a growth of 16.2%[25]. - Loans in the Power & Utilities segment increased to $2,886,576,000 from $2,616,359,000 year-over-year, reflecting a growth of approximately 10.3%[35]. - The Renewable Energy segment saw loans rise to $1,265,700,000, up from $440,286,000, indicating a significant increase[35]. - Total Infrastructure Finance volume reached $9,028,357,000, compared to $7,968,244,000 in the previous year, marking an increase of approximately 13.3%[35]. - Unfunded loan commitments in the Corporate AgFinance segment rose to $225,734,000 from $145,377,000, showing a growth of about 55.3%[35]. Quarterly Performance - For the three months ended December 31, 2024, total core earnings amounted to $56,210,000, with segment core earnings from Agricultural Finance at $23,977,000 and Infrastructure Finance at $32,233,000[34]. - Interest income for the period was $395,765,000, while interest expense totaled $302,397,000, resulting in a net effective spread of $87,528,000[34]. - Core earnings for December 2024 were reported at $43,554, compared to $44,907 in September 2024, indicating a slight decline[39]. - Total revenues for December 2024 amounted to $92,123, up from $91,526 in September 2024[39]. - The provision for losses in December 2024 was $3,872, an increase from $3,258 in September 2024[39]. - Operating expenses for December 2024 totaled $29,093, compared to $24,587 in September 2024, reflecting a rise in costs[39]. - Net earnings for December 2024 were $59,158, down from $63,485 in September 2024[39]. - Guarantee and commitment fees for December 2024 were $5,086, slightly higher than $4,997 in September 2024[39]. - The total credit-related expense for December 2024 was $3,872, compared to $3,454 in September 2024[39]. - Preferred stock dividends remained consistent at $5,666 for December 2024, unchanged from September 2024[39].