Federal Agricultural Mortgage Corp (AGM) · Nov 5, 2026 · Earnings

Farmer Mac Q3 earnings miss EPS as business volume hits record

Miss — GAAP EPS $5.03 vs ~$5.20 consensus

Farmer Mac’s Q3 earnings brought record business volume and revenue, but EPS fell short of consensus as credit provisions increased.

Farmer Mac is expanding its secondary-market financing platform across agriculture and rural infrastructure, with renewable energy, broadband, and power demand driving the newer growth pockets. The pre-filing story was continued volume expansion into those markets, while agricultural credit conditions remained a known operating risk.

The quarter beat on scale, but not on the bottom line. Outstanding business volume reached $38.5 billion, up 24% year over year, and revenue was $122.7 million, above the published consensus of roughly $121.3 million. The problem is earnings: diluted GAAP EPS was $5.03 versus consensus near $5.20, while diluted core EPS was $4.82, down 11% sequentially despite growing 7% year over year. 〔0〕

MetricQ3 2026Q2 2026Q3 2025Consensus
Outstanding business volume (Key Highlights)$38.5B (+24%)$37.2B$31.1B
Revenue (Financial Highlights)$122.7M (+17%)$125.2M$105.1M~$121.3M
Diluted GAAP EPS (Press release)$5.03 (+13%)$5.41$4.44~$5.20
Diluted core EPS (Quarterly non-GAAP performance)$4.82 (+7%)$5.40$4.52
Provision for losses (Income Statement)$11.1M$7.4M$7.4M

Growth is broad, but the mix is becoming more credit-intensive. Infrastructure Finance expanded $0.9 billion during the quarter, led by roughly $0.6 billion of renewable-energy growth, while broadband and renewable-energy volumes were each up 56% year over year. That supports the company’s expansion narrative, but the quarter also carried higher credit costs: provision for losses rose to $11.1 million, including updated loss estimates tied to a single broadband telecommunications credit. 〔1〕

The balance sheet still supports continued expansion, though capital efficiency softened. Farmer Mac ended the quarter with $1.9 billion of capital, 62% above minimum requirements, and an adjusted operating efficiency ratio of 27.5%, below its 30% target. But the Tier 1 capital ratio declined to 12.9% from 13.2% in the prior quarter, while core return on common equity fell to 16.3% from 18.9% as equity grew. 〔2〕

Bottom line: Farmer Mac is still executing its volume-growth strategy, especially in infrastructure finance, but Q3 translated that growth into a below-consensus earnings result because credit provisions and the tougher comparison with Q2 weighed on profitability. The business story remains intact, but this filing is a modest setback rather than a clean continuation of the prior quarter’s earnings momentum.

What to watch next

Q3 earnings conference call, November 5

Original filing on SEC EDGAR

More Federal Agricultural Mortgage Corp news

Farmer Mac Q3 earnings miss EPS as business volume hits record | AGM Stock News
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