Farm Credit Mid-America Reports First Quarter Earnings

first_img Facebook Twitter Farm Credit Mid-America Reports First Quarter Earnings Previous articleMidday UpdateNext articleNew Study Confirms E15 Compatibility with Existing Service Station Equipment Gary Truitt SHARE SHARE Facebook Twitter By Gary Truitt – May 27, 2015 Home Indiana Agriculture News Farm Credit Mid-America Reports First Quarter Earnings Despite a softening agricultural economy in first-quarter 2015, Farm Credit Mid-America reported solid gains, year over year, in its credit portfolio and portfolio credit quality. While net income was at $71.7 million, down 7.6 percent year over year from first-quarter 2014, total portfolio size grew, as total assets were $20.5 billion — a 5 percent increase from first-quarter 2014. Total loans were $18.5 billion, representing a 6.5 percent increase, year over year, from first-quarter 2014.Low customer debt-to-asset ratios reaffirmed the agriculture industry’s strong financial position, despite economic uncertainty, and continued growth in the company’s rural real estate mortgage portfolio signaled increasing producer confidence. Additionally, because agricultural lending tends to follow annual agricultural production cycles, officials anticipate loan levels to increase throughout the planting and growing seasons to meet farm operating and capital needs.“Coming off a strong 2014, our customers are equipped for success in the long-term, and have done a good job getting ahead of what may be challenging times,” said Bill Johnson, president and CEO, Farm Credit Mid-America. “Looking forward, our customers and cooperative as a whole are well positioned to navigate the cyclical nature of our industry.”The association’s portfolio credit quality improved slightly from year-end 2014 as adversely classified loans decreased to 2.1 percent, down from 2.2 percent in 2014. The decrease resulted from improved profitability in the livestock and poultry industries, and improvement in the general economy.For complete results, visit read more