FEDERAL AGRICULTURAL MORTGAGE CORP
For the period ended Mar 31, 2026. Filed May 5, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2026 · Filed May 5, 2026
Extracted filing text, with the paragraph anchors used by the comparison.
See the whole filing, with its images and exhibitsContents
Item 2. Results of Operations
Reconciliations of net income attributable to common stockholders and EPS to core earnings and Core EPS are presented in the following tables along with information about the composition of core earnings:
Table 5
| Reconciliation of Net Income Attributable to Common Stockholders to Core Earnings | ||
|---|---|---|
| For the Three Months Ended | ||
| March 31, 2026 | March 31, 2025 | |
| (in thousands, except per share amounts) | ||
| Net income attributable to common stockholders | $51,832 | $43,985 |
| Less reconciling items: | ||
| Losses on undesignated financial derivatives due to fair value changes (see Table 11) | (679) | (2,573) |
| Gains on hedging activities due to fair value changes | 362 | 1,099 |
| Unrealized gains on trading securities | 53 | 9 |
| Net effects of amortization of premiums/discounts and deferred gains on assets consolidated at fair value(1) | 44 | 28 |
| Net effects of terminations or net settlements on financial derivatives | 335 | (1,070) |
| Income tax effect related to reconciling items | (24) | 526 |
| Sub-total | 91 | (1,981) |
| Core earnings | $51,741 | $45,966 |
| Composition of Core Earnings: | ||
| Revenues: | ||
| Net effective spread(2) | $101,999 | $89,990 |
| Guarantee and commitment fees(3) | 6,715 | 5,488 |
| Other(4) | 1,185 | 1,315 |
| Total revenues | 109,899 | 96,793 |
| Credit related expense (GAAP): | ||
| Provision for losses | 4,308 | 1,684 |
| Other credit related expense/(income) | 889 | (33) |
| Total credit related expense | 5,197 | 1,651 |
| Operating expenses (GAAP): | ||
| Compensation and employee benefits | 21,257 | 17,752 |
| General and administrative | 11,262 | 10,758 |
| Regulatory fees | 863 | 1,000 |
| Total operating expenses | 33,382 | 29,510 |
| Net earnings | 71,320 | 65,632 |
| Income tax expense(5) | 12,288 | 14,000 |
| Preferred stock dividends (GAAP) | 7,291 | 5,666 |
| Core earnings | $51,741 | $45,966 |
| Core EPS: | ||
| Basic | $4.77 | $4.22 |
| Diluted | $4.74 | $4.19 |
| Weighted-average shares: | ||
| Basic | 10,844 | 10,896 |
| Diluted | 10,922 | 10,983 |
(1)Reflects the amortization recorded during the reporting period on those assets for which the premium, discount, or deferred gain was a result of consolidation accounting rather than a cash transaction.
(2)NES is a non-GAAP measure. See MD&A—Use of Non-GAAP Measures—Net Effective Spread for more information and Table 9 for a reconciliation of NII to NES.
(3)Includes NII of $0.9 million and $1.0 million for the three months ended March 31, 2026 and 2025, respectively, related to consolidated trusts owned by third parties reclassified from net interest income to guarantee and commitment fees.
(4)Reflects reconciling adjustments for the reclassification to exclude expenses related to undesignated financial derivatives and terminations or net settlements on financial derivatives, and reconciling adjustments to exclude fair value adjustments on financial derivatives and trading assets and the recognition of deferred gains over the estimated lives of certain Farmer Mac Guaranteed Securities and USDA Securities.
(5)Includes the tax impact of non-GAAP reconciling items between net income attributable to common stockholders and core earnings.
Table 6
| Reconciliation of GAAP Basic EPS to Core Earnings - Basic EPS | ||
|---|---|---|
| For the Three Months Ended | ||
| March 31, 2026 | March 31, 2025 | |
| (in thousands, except per share amounts) | ||
| GAAP - Basic EPS | $4.78 | $4.04 |
| Less reconciling items: | ||
| Losses on undesignated financial derivatives due to fair value changes (see Table 11) | (0.06) | (0.23) |
| Gains on hedging activities due to fair value changes | 0.03 | 0.10 |
| Unrealized gains on trading securities | 0.01 | — |
| Net effects of amortization of premiums/discounts and deferred gains on assets consolidated at fair value | — | — |
| Net effects of terminations or net settlements on financial derivatives | 0.03 | (0.10) |
| Income tax effect related to reconciling items | — | 0.05 |
| Sub-total | 0.01 | (0.18) |
| Core Earnings - Basic EPS | $4.77 | $4.22 |
| Shares used in per share calculation (GAAP and Core Earnings) | 10,844 | 10,896 |
| Reconciliation of GAAP Diluted EPS to Core Earnings - Diluted EPS | ||
|---|---|---|
| For the Three Months Ended | ||
| March 31, 2026 | March 31, 2025 | |
| (in thousands, except per share amounts) | ||
| GAAP - Diluted EPS | $4.75 | $4.01 |
| Less reconciling items: | ||
| Losses on undesignated financial derivatives due to fair value changes (see Table 11) | (0.06) | (0.23) |
| Gains on hedging activities due to fair value changes | 0.03 | 0.10 |
| Unrealized gains on trading securities | 0.01 | — |
| Net effects of amortization of premiums/discounts and deferred gains on assets consolidated at fair value | — | — |
| Net effects of terminations or net settlements on financial derivatives | 0.03 | (0.10) |
| Income tax effect related to reconciling items | — | 0.05 |
| Sub-total | 0.01 | (0.18) |
| Core Earnings - Diluted EPS | $4.74 | $4.19 |
| Shares used in per share calculation (GAAP and Core Earnings) | 10,922 | 10,983 |
The following sections provide more detail about specific components of our results of operations.
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.