NYSE$FPI

Farmland Partners Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

FPI's operating performance significantly improved and guidance was raised.

Farmland Partners Inc. reported a strong third quarter in 2022, with AFFO increasing by $5.7 million and operating income up over 200% compared to Q3 2021. The company benefited from higher rents, increased auction and brokerage fee revenue, increased direct operations gross profit, and lower litigation expenses. The outlook for 2022 remains positive, and the company increased both the bottom and top ends of its guidance range.

  • Net income increased by $3.8 million to $1.1 million, or $0.01 per share.
  • AFFO increased by $5.7 million to $2.5 million, or $0.05 per share.
  • Debt decreased by $16.0 million, while maintaining $48.0 million of undrawn capacity under its Rutledge line of credit.
  • Approximately 60% of leases expiring in 2022 were renewed at average rent increases in excess of 15%.

Headline financials

Total Revenue

$13.1M

Previous: $10.1M+30.0%
EPS (adj)

$0.05

Previous: -$0.09+155.6%
Capital Expenditures

-$40.1M

Previous: -$33.2M-20.7%
Free Cash Flow

-$39M

Previous: -$35.7M-9.0%
Net Income

$1.09M

Previous: -$2.55M+142.8%
Operating Income

$4.73M

Previous: $1.43M+229.5%
Gross Profit

$13.1M

Previous: $10.1M+30.0%
Cash & Equivalents

$8.87M

Previous: $21.4M-58.5%
Total Assets

$1.13B

Previous: $1.1B+2.8%

Revenue & EPS history

Farmland Partners · Revenue · Quarterly

$13.1M

Q3 2022+30%vs Q3 2021
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

Farmland Partners · $12.3M total across 3 segments · Q3 2022

  • Rental Income
    $9.08M
  • Crop Sales
    $2.47M
  • Other Revenue
    $705K

Forward guidance

Farmland Partners Inc. raised its 2022 AFFO guidance range to $0.27 to $0.31 from $0.26 to $0.30.

Tailwinds

  • Increased bottom end of AFFO guidance range.
  • Increased top end of AFFO guidance range.
  • Operations benefitted from higher rents on fixed leases.
  • Increased auction and brokerage fee revenue.
  • Increased direct operations gross profit.

Headwinds

  • Inflation leading to increased interest rates.
  • Increased interest rates will impact many borrowers, including FPI, in 2023.
  • Volatility of the capital markets and the market price of the Company’s common stock.
  • Changes in the Company’s business strategy, availability, terms and deployment of capital.
  • Adverse developments related to crop yields or crop prices.

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 Q3 2022

Historical avgQ3 2022

+1.2%

Avg return

Earnings day

+0.9%

Avg return

5 days after

+2.5%

Avg return

30 days after

59%

29 / 49 earnings

Positive

+13.6%

Q4 2018

Best reaction

-13.4%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.9%-7.9%-10.5%
Q4 2025+2.8%+8.0%-7.2%
Q3 2025+2.1%-2.1%-2.6%
Q2 2025+0.8%+1.2%+1.5%
Q1 2025-0.3%+3.8%+15.3%
Q4 2024+7.5%+0.6%-5.9%
Q3 2024+6.5%+7.7%+15.5%
Q2 2024-8.2%-10.8%-11.6%
Q1 2024+3.2%+3.9%-1.0%
Q4 2023+7.6%+2.8%+1.2%
Q3 2023-1.7%-3.6%+18.9%
Q2 2023-11.0%-12.6%-16.7%
Q1 2023+4.6%+5.5%+16.4%
Q4 2022-13.4%-13.9%-17.9%
Q3 2022+5.4%+5.9%+0.4%
Q2 2022-0.3%+2.7%+3.0%
Q1 2022+9.7%+4.6%+4.3%
Q4 2021+4.4%+3.2%+15.9%
Q3 2021-4.4%-6.5%-0.9%
Q2 2021-0.6%-1.4%+1.5%
Q1 2021+2.8%+0.2%-1.4%
Q4 2020-12.9%-13.4%-0.8%
Q3 2020+9.8%+16.5%+27.0%
Q2 2020-3.6%-2.2%-5.3%
Q1 2020+0.2%-7.3%+11.9%
Q4 2019+11.9%+13.3%+17.5%
Q3 2019-2.7%-2.8%-2.7%
Q2 2019+5.6%+7.9%+9.9%
Q1 2019-1.2%-0.6%-2.9%
Q4 2018+13.6%+14.5%+25.7%
Q3 2018+0.7%+6.9%-15.4%
Q2 2018-5.7%-3.8%-2.1%
Q1 2018+5.2%+0.9%+13.9%
Q4 2017+6.1%+7.4%+11.0%
Q3 2017+4.1%+4.9%+3.1%
Q2 2017+6.7%+4.9%-4.7%
Q1 2017-1.4%-4.7%-11.4%
Q4 2016+4.6%+3.8%-0.6%
Q3 2016-2.4%+0.4%+7.1%
Q2 2016+0.0%-3.1%-1.1%
Q1 2016-0.3%
Q4 2015-0.4%
Q3 2015-1.2%
Q2 2015+0.6%
Q1 2015+2.2%
Q4 2014+0.6%
Q3 2014+1.3%
Q2 2014-1.3%
Q1 2014+2.3%
Q4 2013
Q3 2013
Q2 2013
Q1 2013
Q4 2012

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