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Dec 31, 2024
Farmer Mac Q4 2024 Earnings Report
Farmer Mac reported strong earnings growth with a 24% increase in diluted EPS and higher net interest income for Q4 2024.
Key Takeaways
Farmer Mac reported Q4 2024 net income of $50.8 million, up from $40.8 million in Q4 2023. Revenue increased to $93.37 million, reflecting higher net interest income. Diluted EPS grew 24% year-over-year to $4.63, while core EPS slightly declined to $3.97. The company also announced a 7% increase in its quarterly dividend.
Net income increased 24.5% to $50.8 million.
Revenue rose to $93.37 million, driven by higher net interest income.
Diluted EPS grew to $4.63, while core EPS decreased to $3.97.
Farmer Mac announced a 7% dividend increase, marking 14 consecutive years of dividend growth.
Farmer Mac
Farmer Mac
Farmer Mac Revenue by Geographic Location
Revenue by Geographic Location
Total Revenue
CapyFin.com Forward Guidance
Farmer Mac expects continued earnings growth in 2025, supported by strong liquidity, capital levels, and a diversified business mix.
Positive Outlook
- Strong liquidity position with 264 days of cash reserves.
- Continued growth in net interest income and net effective spread.
- Ongoing dividend increases supported by earnings potential.
- Resilient capital position with a Tier 1 Capital Ratio of 14.2%.
- Favorable business environment for rural infrastructure financing.
Challenges Ahead
- Potential headwinds from interest rate fluctuations impacting loan demand.
- Economic uncertainty may affect agricultural and infrastructure lending.
- Regulatory changes could impact operations and funding costs.
- Market volatility may lead to fluctuations in net interest margin.
- Higher operating expenses expected due to strategic investments.