Farmland Partners(US:FPI)2025-10-29 20:05Financial Performance - The company recorded net income of $0.5 million, or $0.00 per share, a decrease of 73.3% compared to $1.8 million, or $0.02 per share, for the same period in 2024[3] - The company reported AFFO of $2.9 million, or $0.07 per share, representing a 106.4% increase from $1.4 million, or $0.03 per share, in the same period of 2024[3] - Total operating revenues for the quarter were $11.3 million, down 15.5% from $13.3 million in the same quarter of 2024[5] - Rental income decreased to $5,991,000 in Q3 2025 from $9,753,000 in Q3 2024, representing a decline of 38.3%[19] - Net income for the nine months ended September 30, 2025, was $10,376,000, compared to $1,194,000 for the same period in 2024, showing a significant increase[21] - Funds from Operations (FFO) for Q3 2025 were $2,960,000, up 133.9% from $1,272,000 in Q3 2024[19] - Adjusted EBITDAre for the nine months ended September 30, 2025, was $15,889,000, down from $22,752,000 in 2024, indicating a decrease of 30.3%[21] - The company experienced a net loss available to common stockholders of $128,000 in Q3 2025, compared to a net income of $1,028,000 in Q3 2024[21] Debt and Dividends - The company had total debt outstanding of approximately $170.4 million as of September 30, 2025, down from $204.6 million at December 31, 2024[10] - The company declared a quarterly cash dividend of $0.06 per share, payable on January 15, 2026[8] - The company declared dividends of $0.06 per common share for both Q3 2025 and Q3 2024[21] - The company expects to issue a special dividend for the year ended 2025, projected to be between $0.18 and $0.22 per share[2] Asset Management and Transactions - The company completed 35 property dispositions for approximately $85.5 million, recognizing an aggregate gain on sale of $24.5 million[10] - The company entered into a definitive agreement to sell its brokerage and third-party farm management business for $5.3 million[3] - As of September 30, 2025, the company owned and/or managed approximately 125,200 acres of farmland across 15 states[13] Accounting Measures - The Company calculates FFO according to Nareit's standards, which excludes gains or losses from sales of depreciable operating property and real estate-related depreciation, providing a clearer view of operational performance[23] - AFFO is calculated by adjusting FFO to exclude non-sustainable income and expenses, such as acquisition costs and stock-based compensation, offering a more accurate reflection of ongoing operational performance[24] - Changes in GAAP accounting rules have led to the inclusion of items in FFO that may not correlate with sustainable operating performance, prompting the Company to present both FFO and AFFO as non-GAAP measures[25] - EBITDAre is defined as net income excluding interest, taxes, depreciation, and amortization, and is a key financial measure for evaluating operating performance, though it may not fully capture business performance due to non-cash expenses[27] - Adjusted EBITDAre further refines EBITDAre by excluding stock-based compensation and acquisition-related costs, providing supplemental information on ongoing operating performance[28] - Net Operating Income (NOI) is calculated as total operating revenues minus property operating expenses, offering insights into revenues and expenses directly associated with owning and leasing farmland real estate[30] Interest and Share Count - Interest expense for Q3 2025 was $2,271,000, a decrease of 58.7% from $5,496,000 in Q3 2024[19] - The number of basic weighted average common shares outstanding decreased to 43,187,000 in Q3 2025 from 47,839,000 in Q3 2024[19]