Federal Agricultural Mortgage Corporation (AGM) has reported 56.92 percent jump in profit for the quarter ended Dec. 31, 2016. The company has earned $28.76 million, or $2.38 a share in the quarter, compared with $18.33 million, or $1.35 a share for the same period last year. Revenue during the quarter surged 63.19 percent to $55.56 million from $34.04 million in the previous year period. Net interest income for the quarter rose 18.54 percent over the prior year period to $36.71 million. Non-interest income for the quarter rose 199.80 percent over the last year period to $19.31 million.
Federal Agricultural Mortgage Corporation has made provision of $0.46 million for loan losses during the quarter, down 86.30 percent from $3.37 million in the same period last year.
"Our 2016 results reflect another strong year for Farmer Mac," said president and chief executive officer Tim Buzby. "We achieved record outstanding business volume of $17.4 billion and 14.5 percent core earnings growth. Our credit quality is showing signs of normalization in some metrics, which we have been anticipating as part of the agricultural credit cycle, but is within our expectations and remains near historically favorable levels. Last year we increased our common stock dividend 63 percent, and with our 38 percent increase this year we believe we are on track to reach our targeted 30 percent core earnings payout for the 2018 year. Farmer Mac has increased its quarterly common stock dividend each of the past six years, and we believe these increases are supported by our earnings potential and overall capital position and are representative of Farmer Macs commitment to enhancing shareholder value over the long-term. We are also proud of the way we have positioned Farmer Mac for continued success in the future, as over the past several years we have brought in new personnel to fill key positions, created new positions, and significantly expanded our investment in the technology and capacity to better grow our business and more fully deliver upon our mission."
Assets, liabilities remain almost stableTotal assets stood at $15,606.02 million as on Dec. 31, 2016, up 0.42 percent compared with $15,540.35 million on Dec. 31, 2015. On the other hand, total liabilities stood at $14,962.37 million as on Dec. 31, 2016, down 0.16 percent from $14,986.63 million on Dec. 31, 2015. Net loans stood at $4,507.44 million as on Dec. 31, 2016, up 13.77 percent compared with $3,962.04 million on Dec. 31, 2015.
Investments stood at $2,539.03 million as on Dec. 31, 2016, down 8.65 percent or $240.30 million from year-ago. Shareholders equity stood at $643.65 million as on Dec. 31, 2016, up 16.24 percent or $89.93 million from year-ago.
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