Dietary Habits and Health - Many Filipinos are trying to eat healthier by reducing carb intake, but often end up consuming more fat and calories with insufficient fiber [2] - Experts have observed that many Filipinos are consuming a "modern diet" high in chicken, pork, beef, fish, seafood, eggs, and processed meats, which is associated with increased risk of type 2 diabetes, obesity, and heart diseases [3] - Diet culture promotes a belief system that glorifies thinness and a specific body ideal, often at the expense of overall well-being, and labels food as good or bad, leading to unnecessary restrictions [7][8] Gut Microbiome and its Impact - The gut microbiome, composed of trillions of bacteria, viruses, fungi, and other microbes, plays a crucial role in regulating metabolism, supporting the immune system, reducing inflammation, and influencing mood and energy levels [11][12] - An imbalance in the gut microbiome, with more bad bacteria and fewer good bacteria, can contribute to the development of modern diseases [12] - Restricting carbohydrates may negatively impact gut health and overall well-being [13] Traditional Filipino Diet and Gut Health - Traditional Filipino diets, rich in rice, vegetables, and fermented foods, can promote a healthier gut profile and support better metabolic health [17][19] - Leftover rice contains resistant starch, a type of carbohydrate that feeds beneficial gut bacteria [18] - The shift from traditional, plant-based diets to modern, processed, and meat-heavy diets is detrimental to gut health and contributes to metabolic disorders [20][21] Recommendations for Better Gut Health - Eating more than 30 different types of plant food per week can increase the diversity of beneficial bacteria in the gut [23] - Incorporating five types of plant food daily – rice or other whole grains, vegetables, fruits, root crops, and nuts, beans, or seeds – can form the foundation of a healthy diet [23] - Adding fermented foods like pago, achara, and buro to the diet can further support gut health [24]

Financial Data and Key Metrics Changes - For the first quarter, the company reported net income of approximately $15.1 million and net income to common shareholders of $9.1 million, or $0.25 per share [26] - Adjusted FFO was about $2 million or $0.06 per share, compared to $5.1 million or $0.14 per share in the same quarter last year, indicating a year-over-year decrease [26][27] - Dividends declared per common share remained at $0.14 for both quarters [26] Business Line Data and Key Metrics Changes - Fixed base cash rents decreased by about $5.7 million compared to the prior year quarter due to vacancies and structural changes in leases [27] - The company expects a total year-over-year decline of about $17 million in fixed base rents for fiscal year 2025 compared to 2024, primarily due to lease adjustments [29] - Participation rents recorded during the current quarter amounted to approximately $465,000, primarily from cash collected on wine grape sales [28] Market Data and Key Metrics Changes - The company has about 103,000 acres of farmland across 15 states, with 29 different growing regions, and holds approximately 55,000 acre-feet of water assets [7][8] - The nut sector is vulnerable to tariffs, with 78% of U.S. grown almonds and pistachios exported annually, and the company is monitoring the impact of tariffs on pricing [21][22] - The weakening of the U.S. dollar may help mitigate some negative impacts from tariffs, as it could stabilize prices for U.S. nuts [24] Company Strategy and Development Direction - The company is cautious with new investments due to high interest rates and costs of capital, leading to a slow acquisition activity [9][35] - The current strategy includes adjusting lease structures to minimize fixed costs for tenants while allowing the company to participate in crop revenues [11][12] - The company plans to maintain liquidity and evaluate its dividend based on the 2025 harvest outcomes [33][57] Management's Comments on Operating Environment and Future Outlook - Management expressed concerns about high interest rates affecting farming operations and the ability to borrow for planting and harvesting crops [35][80] - The company anticipates inflation in the food sector to continue increasing, which may positively impact the value of underlying farmland over time [38] - Management remains optimistic about the potential for strong crop production in the upcoming year, particularly for almonds and pistachios [14][37] Other Important Information - The company has access to over $180 million of capital, including about $40 million in cash, and nearly $150 million of unpledged properties [31] - The company is currently evaluating options for vacant farms and considering potential new crops to plant [51] - The company has no immediate plans for share repurchases, prioritizing liquidity to manage potential future obligations [55][57] Q&A Session Summary Question: Clarification on $17 million lower revenues in '25 versus '24 - Management confirmed that an additional farm was added to the participation rent structure, contributing to the increased revenue loss estimate for '25 [40] Question: Total participation rents expected in 2025 - Management indicated that the expected participation rents would include the $17 million plus additional amounts based on last year's run rate, but some participation rent would be lower due to lease adjustments [41][43] Question: Details on the $2.4 million termination fee - The termination fee was related to three almond farms that are now vacant, and management is exploring options to generate income from these properties [44] Question: Future asset sales and vacant properties - Management stated that they have listed some farms for sale but do not have contracts in place yet, and they are evaluating options for the vacant properties [49][50] Question: Thoughts on repurchasing shares given cash on hand - Management emphasized the importance of maintaining liquidity and being prepared for future obligations rather than repurchasing shares at this time [55][57] Question: Financing for upcoming preferred stock maturity - Management is considering options for financing the preferred stock due in January 2026, including potential asset sales and refinancing discussions with banks [67][71]

Core Viewpoint - Agricultural e-commerce platforms serve as a robust bridge connecting farmers and consumers, facilitating communication and transactions, and allowing regional agricultural products to reach households nationwide [1] Development Background - The widespread use of the internet and significant changes in consumer shopping habits have led to the emergence of agricultural e-commerce platforms, addressing previous challenges such as narrow sales channels and complex intermediaries that harmed farmers' interests [2] - E-commerce platforms enable direct delivery of agricultural products from production sites to consumers, significantly reducing supply chain steps and costs, while improving logistics capabilities due to enhanced rural infrastructure [2] Platform Model - The platform model is a widely adopted business form in the digital age, focusing on creating a multi-faceted interactive platform that integrates various resources to provide diverse services and value to different user groups [3] Current Operational Models - There are two main operational models in the agricultural e-commerce sector: comprehensive e-commerce platforms like Taobao and JD, which cater to a broad user base and diverse product offerings, and vertical platforms that focus on specialized agricultural products, emphasizing quality and brand building [5] Advantages for Farmers - Joining agricultural e-commerce platforms significantly expands farmers' sales regions, breaking traditional geographic barriers and increasing sales volume and income [6] - These platforms provide farmers with direct communication channels to understand market demands and consumer feedback, allowing for agile adjustments to their production and marketing strategies [6] Product Characteristics - Agricultural products sold on e-commerce platforms are characterized by freshness, greenness, and ecological quality, with many items sourced directly from farmers, reducing time from field to table and lowering costs for consumers [8] - The variety of products includes common staples and region-specific specialties, enhancing consumer choice and market reach [8] Logistics and Distribution - Logistics plays a crucial role in agricultural e-commerce, with cold chain logistics being widely used to maintain product quality during transport, thereby reducing losses and ensuring freshness [9] - Challenges remain in logistics costs and delivery limitations, particularly in remote areas, necessitating ongoing research and solutions from e-commerce platforms [9] Development Prospects - Agricultural e-commerce platforms have significant growth potential, driven by increasing consumer demand for healthy and green food, alongside heightened expectations for product quality and safety [11] - Future integration with agricultural industrialization, standardization of production, and the application of big data and AI technologies will enhance product quality and market competitiveness [11]