Farm Credit Services of America Announces 2016 First Quarter Financial Results
May 04, 2016
OMAHA, NEBRASKA – (May 4, 2016) – Farm Credit Services of America (FCSAmerica), a customer-owned financial cooperative serving more than 50,000 farmers and ranchers in a four-state area, reported net income of $99.9 million in the first three months of 2016. This compares to net income of $113.5 million for the same period in 2015.
Several factors contributed to the lower levels of net income, including increases in the provision for credit losses and noninterest expenses and slight decreases in noninterest income. The increase in the provision for credit losses was primarily driven by the grain sector.
Offsetting the decreases in net income was an increase in net interest income due to growth in loan volume over the past twelve months.
“Our mission is to be a reliable financial partner to agriculture through all its cycles, and we are helping producers in the grain and livestock sectors make adjustments in this environment of lower revenues and tighter margins,” said Doug Stark, FCSAmerica’s president and CEO. “We have the financial resources to remain a reliable and consistent lender to agriculture during this cycle.”
Loan volume increased by $241.6 million from $23.9 billion at the end of 2015. Members’ equity increased to $4.4 billion from $4.3 billion at year-end. Total assets were $24.9 billion through March 2016.
About Farm Credit Services of America
Farm Credit Services of America is proud to finance the growth of rural America, including the special needs of young and beginning producers. With nearly $25 billion in assets and $4.4 billion in members’ equity, FCSAmerica is one of the region’s leading providers of credit and insurance services to farmers, ranchers, agribusiness and rural residents in Iowa, Nebraska, South Dakota and Wyoming. Learn more at www.fcsamerica.com.