NYSE$AGM

Federal Agricultural Mortgage Corporation · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Farmer Mac's financial performance was strong, marked by substantial growth in core earnings and net effective spread.

Farmer Mac reported a strong first quarter in 2021, with net income attributable to common stockholders at $28.0 million, or $2.58 per diluted common share. Core earnings grew 29% year-over-year to $25.9 million, or $2.39 per diluted common share, and net interest income increased by $12.0 million to $53.3 million.

  • Provided $1.5 billion in liquidity and lending capacity.
  • Net income attributable to common stockholders was $28.0 million, or $2.58 per diluted common share.
  • Core earnings grew 29% from the prior-year period to $25.9 million, or $2.39 per diluted common share.
  • Net interest income grew $12.0 million year-over-year to $53.3 million.

Headline financials

Total Revenue

$62.1M

Previous: $36.2M+71.4%
EPS (adj)

$2.39

Previous: $1.87+27.8%
Net Interest Income (GAAP)

$53.3M

Previous: $41.3M+29.0%
Core Earnings

$25.9M

Previous: $20.1M+28.6%
Net Effective Spread (Non-GAAP)

$53.9M

Previous: $44.2M+22.0%
Free Cash Flow

$33.2M

Previous: $12.8M+159.0%
Net Income

$33.2M

Previous: $12.8M+159.0%
Operating Income

$56.3M

Previous: $27.8M+102.2%
Gross Profit

$62.1M

Previous: $32.4M+91.6%
Cash & Equivalents

$1.01B

Previous: $1.23B-17.8%
Total Assets

$24B

Previous: $23.2B+3.6%
Stock-Based Comp

$1.67M

Previous: $1.29M+28.8%

Revenue & EPS history

Farmer Mac · Revenue · Quarterly

$62.1M

Q1 2021+71.4%vs Q1 2020
Beat estimate in 5 of 16 quarters(31%)
ActualEstimate

Forward guidance

Management's expectations for Farmer Mac's future necessarily involve assumptions and estimates and the evaluation of risks and uncertainties.

Tailwinds

  • Farmer Mac's low cost of funds
  • Farmer Mac's low overhead costs
  • Farmer Mac's high operational efficiency
  • access to flexible, low-cost financing
  • risk management tools

Headwinds

  • the duration, spread, and severity of the COVID-19 pandemic and its effects on the business operations of agricultural and rural borrowers, the capital markets, and Farmer Mac's business operations
  • the actions taken to address the COVID-19 pandemic, including government actions to mitigate the economic impact of the pandemic, how quickly and to what extent normal economic and operating conditions can resume, the possibility of future disruptions to economic recovery caused by any future outbreaks, regulatory measures or voluntary actions to limit the spread of COVID-19, and the duration and efficacy of any restrictions that may be imposed
  • the availability to Farmer Mac of debt and equity financing and, if available, the reasonableness of rates and terms
  • legislative or regulatory developments that could affect Farmer Mac, its sources of business, or the agricultural or rural utilities industries
  • fluctuations in the fair value of assets held by Farmer Mac and its subsidiaries

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

+0.5%

Avg return

Earnings day

+1.8%

Avg return

5 days after

+1.5%

Avg return

30 days after

58%

38 / 65 earnings

Positive

+13.9%

Q3 2016

Best reaction

-14.5%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%+6.4%+6.9%
Q4 2025-14.5%-8.0%-19.4%
Q3 2025+4.6%+3.7%+11.3%
Q1 2025+4.6%+10.4%+8.4%
Q4 2024+6.3%+3.7%-2.1%
Q3 2024+5.0%+12.7%+17.2%
Q2 2024-9.5%-10.3%-3.2%
Q1 2024-10.8%-7.6%-9.5%
Q4 2023-5.0%-5.9%+1.6%
Q3 2023-3.8%-2.9%+2.5%
Q2 2023+4.7%+8.1%-0.3%
Q1 2023-4.9%-1.0%+15.7%
Q4 2022+4.2%+7.0%-7.5%
Q3 2022+1.7%+5.4%+3.0%
Q2 2022+2.2%+6.2%-1.4%
Q1 2022-3.8%-5.5%-4.3%
Q4 2021-5.8%-4.8%-10.5%
Q3 2021-3.7%-1.6%-6.8%
Q2 2021+3.6%+4.4%+6.7%
Q1 2021-5.6%-7.5%-7.5%
Q4 2020+1.3%+4.2%+18.9%
Q3 2020+9.3%+4.5%+16.7%
Q2 2020+8.7%+11.1%+7.3%
Q1 2020-9.3%-8.4%+10.7%
Q4 2019+4.9%+5.1%-20.8%
Q3 2019-4.7%-6.2%-5.5%
Q2 2019+1.3%-2.5%+6.6%
Q1 2019+4.4%+1.4%-11.6%
Q4 2018+10.7%+13.1%-5.3%
Q3 2018+0.5%-0.3%-16.0%
Q2 2018-12.5%-17.2%-15.8%
Q1 2018-0.7%+0.6%+3.0%
Q4 2017+3.9%+4.9%+5.4%
Q3 2017-0.7%+4.1%+5.2%
Q2 2017-2.1%-0.1%-4.4%
Q1 2017+12.1%+11.8%+18.4%
Q4 2016+10.0%+10.1%-0.7%
Q3 2016+13.9%+18.8%+38.5%
Q2 2016+4.5%+2.7%+5.7%
Q1 2016-8.1%
Q4 2015+11.2%
Q3 2015+0.7%
Q2 2015+0.5%
Q1 2015+1.9%
Q4 2014-11.3%
Q3 2014-3.6%
Q2 2014+12.5%
Q1 2014-12.4%
Q4 2013+0.7%
Q3 2013+0.5%
Q2 2013+7.1%
Q1 2013-1.4%
Q2 2012-0.8%
Q4 2012-0.8%
Q3 2012+2.9%
Q4 2011+2.9%
Q1 2011+2.9%
Q1 2012+2.9%
Q4 2009+3.9%
Q2 2011+3.9%
Q3 2011-7.4%
Q3 2010-7.4%
Q2 2010+7.4%
Q4 2010+7.4%
Q1 2010-8.6%

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