Federal Agricultural Mortgage Corp. (NYSE:AGM) Q3 2019 Earnings Conference Call - Final Transcript
Nov 06, 2019 • 11:00 am ET
Good morning and welcome to the Farmer Mac Third Quarter 2019 Investor Conference Call. All participants will be in listen only mode.
I would now like to turn the conference over to Brad Nordholm Chief Executive Officer. Please go ahead.
Bradford T. Nordholm
Thank you operator and good morning. This is Brad Nordholm and I'm very pleased to welcome you to our 2019 third quarter investor conference call. We have a number of positive developments to discuss today.
But before we can do that I would like to turn to Steve Mullery our General Counsel to comment on forward-looking statements that we may be using today during the presentation.
Stephen P. Mullery
Thanks Brad. Some of the statements made on this conference call may be forward-looking statements under the securities laws. We make these statements based on our current expectations and assumptions about future events and business performance and we may not be obligated to update these statements after this call. We caution you that forward-looking statements are subject to risks and uncertainties. Actual results may differ materially from the results expressed or implied by the forward-looking statements. In evaluating Farmer Mac you should consider these risks and uncertainties as well as those described in our 2018 annual report on Form 10-K and our third quarter 2019 Form 10-Q filed with the SEC. In analyzing its information Farmer Mac sometimes uses measures of financial performance that are not presented in accordance with generally accepted accounting principles in the United States also known as non-GAAP measures. Disclosures and reconciliations of Farmer Mac's non-GAAP measures can be found in the most recent Form 10-Q and earnings release posted on Farmer Mac's website farmermac.com under the Financial Information portion of the Investors section.
A recording of this call will be available on our website for two weeks starting later today.
Bradford T. Nordholm
Thanks Steve and good morning to everyone. Thanks very much for joining us. This morning I'm going to provide you with a high level overview of our third quarter 2019 results. Then I'm going to turn the call over to Zack Carpenter our Chief Business Officer who will discuss customer and market developments. Kurt Covington, our Chief Credit Officer will then give you an update on the current agricultural environment and related credit conditions. And finally, Greg Ramsey, our principal financial officer will cover our financial results. Our third quarter 2019 results continued our strong momentum from the first half of the year. We had another quarter of solid core earnings. And we also had portfolio growth in our rural utility and agribusiness lines of business. Outstanding business volume grew $186 million to $20.9 billion during the quarter. And we've grown net business volume year-to-date as of September 30 by $1.2 billion, compared to $533 million over the same period last year. I would note that the delta between the $1.2 billion from 2000 this year and the $533 million from last year is materially greater than the CoBank transaction that we announced in February of 2019.