Financial Data and Key Metrics Changes - In 2025, the company achieved record revenue of $410 million, a 13% increase from the previous year, and produced $183 million in core earnings, marking the 10th consecutive year of record annual core earnings [3][4] - The net effective spread reached an all-time quarterly record of $101.4 million in Q4 2025, reflecting a 16% increase year-over-year [17] - Core earnings for the full year were $182.9 million, up 6.6% compared to the prior year, despite a 14% increase in operating expenses [20][21] Business Line Data and Key Metrics Changes - The Agricultural Finance segment's outstanding business volume grew by $1 billion in 2025, primarily driven by the Farm and Ranch segment [9] - The Infrastructure Finance line of business saw outstanding business volume increase to $11.8 billion, up over $2.8 billion from the prior year, with significant contributions from Power Utilities and Renewable Energy segments [11][12] - The Corporate AgFinance segment experienced a net growth of $63 million during 2025, reflecting ongoing support for larger agribusinesses [11] Market Data and Key Metrics Changes - The USDA projects a 5% increase in demand for real estate mortgages in 2026 compared to 2025 levels, indicating a robust agricultural real estate market [6] - The Broadband Infrastructure segment grew by $700 million in 2025, driven by data center-related demand [13] Company Strategy and Development Direction - The company is focused on diversifying its portfolio into higher spread, mission-aligned businesses while maintaining strong underwriting standards [8] - A new product is anticipated to be introduced in 2026 to support investor demand for agricultural assets [5] - The company aims to balance capital allocation between prudent growth, balance sheet strength, and consistent shareholder returns [4][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience despite market volatility, including interest rate movements and commodity price fluctuations [6][15] - The company expects continued customer demand for liquidity and capital efficiency as market conditions evolve [15] - Management highlighted the importance of maintaining a strong capital position to support future growth, particularly in more capital-intensive segments [25] Other Important Information - The company returned $78 million to shareholders through dividends and share repurchases in 2025 [4] - The total allowance for losses as of December 31, 2025, was $39.7 million, or 17% of nonaccrual assets [23] Q&A Session Summary Question: Credit issues and run rate provision - Management noted that $32 million of the provision was attributable to automatic provisions from portfolio growth, with no systemic issues identified [32][40] Question: Spread expectations for the year - Management indicated that spread levels depend on product mix and growth opportunities, with strong growth anticipated across all segments [34][35] Question: Details on credit provisioning related to specific segments - Management clarified that credit issues were borrower-specific and not indicative of systemic problems, with high loan quality across segments [40][42] Question: Expense outlook for 2026 - Management expects a level of expense growth due to increased business volume and strategic investments, while maintaining an efficiency ratio target of 30% [46][47] Question: Outlook for volume mix heading into 2026 - Management expressed a positive outlook for broad gains across all segments, particularly in Farm and Ranch and Infrastructure Finance [52][53]

Financial Data and Key Metrics Changes - In 2025, the company achieved record revenue of $410 million, a 13% increase from the previous year, and produced $183 million in core earnings, marking the 10th consecutive year of record annual core earnings [3][4] - The net effective spread reached $383 million for the full year, an increase of $43.5 million or 13% from the prior year [19][20] - Core earnings for the full year were $182.9 million, up 6.6% compared to the prior year, despite a 14% increase in operating expenses [20][21] Business Line Data and Key Metrics Changes - The Agricultural Finance segment's outstanding business volume grew by $1 billion, primarily driven by the Farm and Ranch segment [9][10] - The Infrastructure Finance segment's outstanding business volume increased to $11.8 billion, up over $2.8 billion from the prior year, with significant contributions from all three segments [11][12] - The Farm and Ranch AgVantage securities portfolio grew by $500 million in the fourth quarter, reversing a previous trend of decline [10] Market Data and Key Metrics Changes - The USDA projects a 5% increase in demand for real estate mortgages in 2026 compared to 2025 levels [6] - The broadband infrastructure segment grew by $700 million in 2025, more than double the prior year's growth, driven by data center-related demand [13][14] Company Strategy and Development Direction - The company is focused on diversifying its portfolio into higher spread, mission-aligned businesses while maintaining strong underwriting standards [8] - A new product is anticipated to be introduced in the market this year to support strong investor demand for agricultural assets [5] - The company aims to balance capital allocation between prudent growth, balance sheet strength, and consistent shareholder returns [4][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience despite volatility and uncertainty in the economic environment, including interest rate movements and commodity price fluctuations [6][15] - The company expects continued customer demand for liquidity and capital efficiency as market conditions evolve [15][25] Other Important Information - The company returned $78 million to shareholders through dividends and share repurchases in 2025 [4] - The total allowance for losses as of December 31, 2025, was $39.7 million, or 17% of nonaccrual assets [23] Q&A Session Summary Question: Credit issues and run rate provision - Management noted that $32 million of the provision was attributable to automatic provisions from portfolio growth, and they do not foresee any significant changes in credit quality [29][32] Question: Spread expectations for the year - Management indicated that spread levels depend on product mix and growth opportunities, with strong growth anticipated across all segments [34][35] Question: Details on credit provisioning - Management clarified that the credit provisioning issues were borrower-specific and not systemic, with high overall loan quality across segments [39][40] Question: Expense outlook for 2026 - Management expects a level of expense growth due to increased business volume and strategic investments, while maintaining an efficiency ratio target of 30% [46][47] Question: Volume mix outlook for 2026 - Management anticipates strong pipelines across infrastructure finance and agricultural finance, with notable growth expected in the Farm and Ranch AgVantage segment [50][53]

Financial Data and Key Metrics Changes - Farmer Mac achieved record revenue of $410 million in 2025, a 13% increase from the previous year, and produced $183 million in core earnings, marking the 10th consecutive year of record annual core earnings [3][4] - The company reported a net effective spread of $383 million for the full year, an increase of 13% from the prior year, and a quarterly net effective spread of $101.4 million, reflecting a 16% increase year-over-year [18][20] Business Line Data and Key Metrics Changes - The Agricultural Finance segment's outstanding business volume grew by $1 billion in 2025, primarily driven by the Farm and Ranch segment [10] - The Infrastructure Finance line of business saw outstanding business volume increase to $11.8 billion, up over $2.8 billion from the prior year, with significant contributions from power utilities and renewable energy segments [12][14] - The corporate Ag Finance segment experienced a net growth of $63 million during 2025, indicating ongoing support for larger agribusinesses [12] Market Data and Key Metrics Changes - The USDA projects a 5% increase in demand for real estate mortgages in 2026 compared to 2025 levels, indicating a robust agricultural real estate market [6] - The broadband infrastructure segment grew by $700 million in 2025, more than double the previous year's growth, driven by data center-related demand [15] Company Strategy and Development Direction - Farmer Mac is focused on diversifying its portfolio into higher spread, mission-aligned businesses while maintaining strong underwriting standards [9] - The company plans to introduce a new product in 2026 to support investor demand for agricultural assets, aligning with its mission [5] - A balanced capital allocation approach prioritizing prudent growth, balance sheet strength, and consistent shareholder returns is emphasized [4] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience despite market volatility, including interest rate movements and commodity price fluctuations [7] - The company anticipates continued customer demand for liquidity and capital efficiency as market conditions evolve [17] - Management highlighted the importance of maintaining a strong capital position to support future growth, particularly in more capital-intensive segments [27] Other Important Information - Farmer Mac returned $78 million to shareholders through dividends and share repurchases in 2025, with a quarterly dividend increase to $1.60 per share [4] - The company completed its seventh farm securitization transaction, enhancing liquidity in the agricultural mortgage market [5] Q&A Session Summary Question: Credit issues and run rate provision - Management noted that $32 million of the provision expense was attributable to automatic provisions from portfolio growth, with no systemic issues identified [33][36] Question: Spread expectations for the year - Management indicated that spread levels depend on product mix and growth opportunities, with strong growth anticipated across all segments [37][39] Question: Details on problem loans - Management clarified that the credit issues were borrower-specific and not indicative of systemic problems, with ongoing monitoring of affected loans [42][45] Question: Impact of government payments on farmers - Management confirmed that government payments are expected to support farmers, particularly in the row crop space, benefiting the agricultural economy [48][49] Question: Expense growth outlook - Management indicated that expense growth will continue in 2026 due to increased business volume and strategic investments, while maintaining an efficiency ratio target of 30% [50][51] Question: Volume mix outlook for 2026 - Management expressed optimism for strong growth in the infrastructure finance and agricultural finance segments, particularly in farm and ranch AgVantage [54][58]

Equity Investor Presentation Fourth Quarter 2025 Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about Farmer Mac's plans, objectives, expectations, beliefs and intentions and other statements including words such as "may," "potential," "believe," "expect," "consider," "intend," "should," "could," "continue," and "commit," or the negative ...

Financial Data and Key Metrics Changes - The company achieved a record net effective spread of $97.8 million and core earnings of $49.6 million for Q3 2025 [6][25] - Year-to-date net effective spread and core earnings reached $281 million and $143 million, respectively, reflecting double-digit year-over-year growth [7][25] - The total allowance for losses was $37.2 million, or 12 basis points of total outstanding business volume [11] Business Line Data and Key Metrics Changes - The infrastructure finance line of business grew by $600 million this quarter to $11 billion, driven by strong interest in data centers and renewable energy projects [17] - The renewable energy segment more than doubled year-over-year to $2.3 billion, with expectations for continued growth [18] - The broadband infrastructure segment also doubled year-over-year to $1.3 billion, reflecting increased demand for data centers [20] - The agricultural finance portfolio grew by $285 million in Q3, outpacing scheduled maturities [21] Market Data and Key Metrics Changes - The company reported a modest uptick in 90-day delinquencies, attributed to seasonal impacts rather than identifiable trends [11] - Despite market uncertainties, the company has not seen significant effects on its portfolio related to political developments or government actions [12] Company Strategy and Development Direction - The company is focused on diversifying its loan portfolio into newer lines of business, including renewable energy and broadband infrastructure, to leverage competitive advantages [7][14] - The securitization program is a strategic initiative aimed at optimizing the balance sheet and enhancing growth opportunities [15] - The company plans to continue evaluating capital management tools to optimize its overall capital position [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the overall health of the portfolio, supported by strong asset quality metrics [4][24] - The company anticipates continued growth in its diversified business segments despite broader market uncertainties [24] - Management noted that the agricultural sector is experiencing financial pressures, but they believe farmers are adapting to market conditions [42][45] Other Important Information - The company successfully issued $100 million of Series H preferred stock, strengthening its capital position [13] - Management is in the process of searching for a new CFO, with expectations for an announcement in Q4 2025 [26] Q&A Session Summary Question: Outlook for spreads given Fed rate cuts - Management indicated that a cut in interest rates should have no impact on the net effective spread due to their asset-liability management strategy [30] Question: Impact of tariffs on crops - Management noted that while there are financial pressures in major crops, some prices have increased, and they do not see systemic risks affecting their portfolio [42][45] Question: Changes in loan structure and prepayment expectations - Management confirmed that they are seeing significant increases in loan applications and approvals, with a focus on new money loans [52][58] Question: Credit provision levels - Management characterized the provision as episodic and not indicative of systemic issues, with no significant increases expected in the near term [38][66] Question: Share repurchase activity - Management disclosed a repurchase of approximately 30,000 shares for about $5 million [68]

Financial Data and Key Metrics Changes - The company achieved a record net effective spread of $97.8 million and core earnings of $49.6 million for Q3 2025 [6][25] - Year-to-date net effective spread and core earnings reached $281 million and $143 million, respectively, reflecting double-digit year-over-year growth [7][25] - The total allowance for losses was $37.2 million, or 12 basis points of total outstanding business volume, indicating a well-diversified portfolio [11][13] Business Line Data and Key Metrics Changes - The infrastructure finance line of business grew by $600 million to $11 billion, driven by strong interest in data centers and renewable energy projects [17] - The renewable energy segment more than doubled year-over-year to $2.3 billion, with expectations for continued growth [18] - The broadband infrastructure segment also doubled year-over-year to $1.3 billion, reflecting increased demand for data centers [20] Market Data and Key Metrics Changes - The agricultural finance portfolio showed strong loan purchase growth, with a $285 million increase in the farm and ranch loan purchase portfolio [21] - Despite market uncertainties, the company reported stable credit quality metrics, with a modest uptick in 90-day delinquencies attributed to seasonal impacts [11][12] Company Strategy and Development Direction - The company is focused on diversifying its loan portfolio into newer lines of business, including renewable energy and broadband infrastructure, to enhance growth and resilience [7][14] - A successful preferred stock issuance strengthened the capital base, supporting long-term growth objectives [4][13] - The securitization program is a strategic initiative aimed at optimizing the balance sheet and enhancing growth opportunities [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the overall health of the portfolio, citing strong asset quality metrics despite market volatility [4][12] - The company anticipates continued growth in its diversified business segments, particularly in infrastructure finance and renewable energy [18][24] - Management noted that they have not seen significant effects on the portfolio from political developments or government actions [12] Other Important Information - The company repurchased approximately 30,000 shares of Class C common stock for about $5 million, demonstrating a commitment to returning capital to shareholders [15][68] - The company is in the process of searching for a new CFO, with expectations for an announcement in the fourth quarter of 2025 [26] Q&A Session Summary Question: Outlook for spreads given Fed rate cuts - Management indicated that a cut in interest rates by the Fed should have no impact on the net effective spread due to their asset-liability management strategy [29][30] Question: Impact of tariffs on agriculture - Management noted that while there are financial pressures in major crops, they have not seen significant impacts on their portfolio, and market stabilization payments are expected soon [41][45] Question: Changes in loan structure and prepayment expectations - Management confirmed an increase in loan applications and approvals, with a focus on new money loans, and indicated that prepayments are expected to remain low [52][58] Question: Credit provision levels and charge-offs - Management characterized the credit provision as episodic and not indicative of systemic risks, with a mix of growth and specific allowances impacting the current levels [36][66]

Financial Data and Key Metrics Changes - The company achieved record net effective spread of $97.8 million and core earnings of $49.6 million for Q3 2025, with year-to-date net effective spread and core earnings at $281 million and $143 million respectively, reflecting double-digit year-over-year growth [5][6][22] - The total allowance for losses was $37.2 million, or 12 basis points of total outstanding business volume, indicating a well-diversified portfolio [11][12] Business Line Data and Key Metrics Changes - The infrastructure finance line of business grew by $600 million to $11 billion, driven by strong interest in data centers and renewable energy projects [16][19] - The renewable energy segment more than doubled year-over-year to $2.3 billion, with expectations for continued growth supported by a strong near-term pipeline [17] - The broadband infrastructure segment also doubled year-over-year to $1.3 billion, reflecting increased demand for data centers [18] Market Data and Key Metrics Changes - The agricultural finance portfolio reflected strong loan purchase growth, with the farm and ranch loan purchase portfolio growing by $285 million in Q3 2025 [19][20] - Despite market uncertainties, the company reported stable credit quality metrics, with a modest uptick in 90-day delinquencies attributed to seasonal impacts [11][22] Company Strategy and Development Direction - The company is focused on diversifying its loan portfolio into newer lines of business such as renewable energy and broadband infrastructure, which are seen as key growth areas [6][14] - The securitization program is a strategic initiative aimed at optimizing the balance sheet and enhancing growth opportunities [14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the overall health of the portfolio, citing strong asset quality metrics and a diversified business model [4][12] - The company anticipates continued growth in its various segments despite market volatility and uncertainties [22] Other Important Information - The company successfully issued $100 million of Series H preferred stock, strengthening its capital position and improving its Tier 1 capital ratio to 13.9% [12][13] - The company repurchased approximately 30,000 shares of Class C common stock for about $5 million, demonstrating a commitment to returning capital to shareholders [14] Q&A Session Summary Question: Outlook for spreads given Fed rate cuts - Management indicated that a cut in interest rates by the Fed should have no impact on the net effective spread due to their asset-liability management strategy [25][26] Question: Credit provision levels - Management noted that the current provision levels are low compared to other financial institutions and reflect episodic events rather than systemic risks [31][32] Question: Impact of tariffs on agriculture - Management clarified that while there are financial pressures in major crops, they have not seen significant negative impacts on their portfolio, and market stabilization payments are expected soon [36][37] Question: Loan structure and prepayment expectations - Management stated that they are seeing significant increases in loan applications and approvals, with a mix of fixed and variable rate loans, and prepayment speeds are expected to remain low [41][45]

Equity Investor Presentation Third Quarter 2025 Forward-Looking Statements This presentation contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to, statements about Farmer Mac's plans, objectives, expectations, beliefs and intentions and other statements including words such as "may," "likely," "believe," "expect," "consider," "intend," "should," "estimate," "continue," and "commit," or the negative o ...

Financial Data and Key Metrics Changes - The company achieved record quarterly revenue, net effective spread, and core earnings in Q1 2025, with core earnings increasing by 6% year-over-year to $46 million [5][16] - Gross new business volume reached $1.8 billion, reflecting high single-digit growth in total revenue and net effective spread [6][15] - Outstanding business volume grew by $232 million, ending the quarter at $29.8 billion [7][16] Business Line Data and Key Metrics Changes - The infrastructure finance line of business grew by approximately $750 million, with a notable $300 million AgVantage security closed in the power and utility segment [8][9] - The broadband infrastructure segment grew by 22% since year-end, reaching nearly $1 billion [8] - The renewable energy segment grew by nearly $200 million, a 14% increase since year-end [9] - Farm and ranch loan purchases saw a net increase of $86 million despite $500 million in scheduled maturities [9][10] Market Data and Key Metrics Changes - The company noted a strong demand for refinancing and incremental borrowing in the farm and ranch segment, which is core to its mission [11][12] - The overall credit profile remained strong, with a total allowance for losses of $27 million as of March 31, 2025, reflecting a $1.7 million increase from year-end 2024 [19][20] Company Strategy and Development Direction - The company continues to focus on mission-based profitable growth, diversifying its portfolio to create opportunities in various interest rate environments [6][12] - There is an emphasis on strategic investments and talent acquisition in infrastructure finance and renewable energy to build expertise and capacity [9][12] - The company plans to enhance its securitization program to optimize the balance sheet and target new asset opportunities [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating broader market uncertainties stemming from interest rates, regulatory shifts, and policy changes [5][28] - The company anticipates continued growth in the farm and ranch segment due to agricultural economic tightening and potential government support programs [11][28] - Management highlighted a strong liquidity position with $1 billion in cash and short-term instruments, positioning the company well against potential market disruptions [24][25] Other Important Information - Operating expenses increased by 8% year-over-year due to investments in infrastructure technology and higher licensing fees [17] - The efficiency ratio for Q1 2025 was 29%, reflecting a disciplined approach to expense management [17][24] Q&A Session Summary Question: Impact of tariffs on agricultural shipments to China - Management discussed historical support programs for farmers during tariff disruptions and noted current shifts in trade to Mexico due to high tariffs [31][32] Question: Dynamics of net effective spread across business lines - Management explained that the net effective spread increase was driven by strong loan activity in the farm and ranch segment, with a strong pipeline heading into Q2 [35][37] Question: Renewable energy tax credits and outlook - Management confirmed no similar tax credit activity in Q1 2025 but remains optimistic about future opportunities [55] Question: Applications of AI within the company - Management indicated a focus on using AI to improve internal processes, particularly in loan document management [72][73]

Financial Data and Key Metrics Changes - The company achieved record quarterly revenue, net effective spread, and core earnings in Q1 2025, with core earnings increasing by 6% year-over-year to $46 million [5][16] - Gross new business volume reached $1.8 billion, contributing to a net increase of $232 million in outstanding business volume, totaling $29.8 billion at the end of the quarter [6][16] - Net effective spread reached a record of $90 million or 117 basis points, with sequential and year-over-year improvements of $2.5 million and $6.9 million respectively [16][23] Business Line Data and Key Metrics Changes - The infrastructure finance line of business grew by approximately $750 million, with significant contributions from the broadband infrastructure segment, which grew 22% since year-end [8][9] - The renewable energy segment saw growth of nearly $200 million, a 14% increase since year-end [9] - Farm and ranch loan purchases increased by $86 million despite $500 million in scheduled maturities, indicating strong demand in this segment [9][10] Market Data and Key Metrics Changes - The company noted a strong demand for financing opportunities in rural telecommunication providers driven by fiber line expansion and wireless broadband deployment [8] - The overall credit profile remained strong, with a total allowance for losses of $27 million, reflecting a $1.7 million increase from year-end 2024 [19][20] - Ninety-day delinquencies increased to 54 basis points, up from 37 basis points at year-end, reflecting seasonal patterns [20] Company Strategy and Development Direction - The company continues to focus on mission-based profitable growth, emphasizing diversification of its portfolio to create opportunities in various interest rate environments [6][12] - Strategic investments and talent acquisition in infrastructure finance and renewable energy are prioritized to build expertise and capacity [9][12] - The company plans to enhance its securitization program to optimize the balance sheet and target new asset opportunities [22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating broader market uncertainties stemming from interest rates, regulatory shifts, and policy changes [5][13] - The company anticipates continued growth in the farm and ranch segment due to agricultural economic tightening and potential government support programs [9][11] - Management remains optimistic about the future, focusing on fulfilling its mission efficiently and innovatively [27] Other Important Information - Operating expenses increased by 8% year-over-year due to investments in infrastructure technology and higher licensing fees [17] - The company maintains a strong capital position, with core capital of $1.5 billion exceeding statutory requirements by $601 million [20][21] - The company has approximately $1 billion in cash and short-term instruments, providing a strong liquidity position [23] Q&A Session Summary Question: Impact of tariffs on agricultural shipments to China - Management discussed historical support programs for farmers during tariff disruptions and noted current shifts in trade patterns towards Mexico [30][32] Question: Dynamics of net effective spread across business lines - Management explained that the net effective spread increase was driven by strong loan activity in the farm and ranch segment, with a robust pipeline heading into Q2 [34][36] Question: Changes in funding costs and securitization expectations - Management highlighted improved funding dynamics from Q4 to Q1 and expressed optimism about upcoming securitization transactions [48][49] Question: Renewable energy tax credits and outlook - Management confirmed no new tax credit activity in Q1 but remains optimistic about future opportunities [55] Question: Applications of AI within the company - Management indicated a focus on using AI to improve internal processes, particularly in loan document management [71][72]