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| Best of NAMA 2026 |
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9 MONTHS: FARM CREDIT SYSTEMS' NET INCOME UP 10%: $6.6 BILLION
Nov. 3, 2026
Source: Farm Credit System news release
NEW YORK - The Farm Credit System today reported combined net income of $2.3 billion for the third quarter and $6.6 billion for the nine months ended September 30, 2026, as compared with combined net income of $2.1 billion and $6.0 billion for the same periods of the prior year.
"The System's third quarter results reflect the benefit of a disciplined approach to serving agriculture and rural America," remarked Tracey McCabe, President and CEO of the Federal Farm Credit Banks Funding Corporation. "As conditions continue to vary across agricultural sectors, we remain well positioned to meet the evolving needs of our member-borrowers while maintaining a prudent approach to credit and risk."
Results of Operations
Third Quarter and Nine-Month 2026 Results Compared to Third Quarter and Nine-Month 2025 Result
Net interest income increased $218 million or 6.7% to $3.4 billion for the third quarter of 2026 and $680 million or 7.2% to $10.2 billion for the nine months ended September 30, 2026, as compared with the same periods of the prior year. The increase in net interest income primarily resulted from higher levels of average earning assets, driven largely by increased loan volume and, to a lesser extent, growth in investments held for liquidity. Average earning assets increased $26.4 billion or 4.9% to $566.6 billion for the three months ended September 30, 2026 and $30.9 billion or 5.8% to $565.6 billion for the nine months ended September 30, 2026, as compared with the same periods of the prior year.
The net interest margin was 2.44% and 2.40% for the three and nine months ended September 30, 2026, as compared with 2.39% and 2.36% for the same periods of the prior year. The increase in the net interest margin for the three- and nine- onth periods primarily resulted from increases in the net interest spread of seven basis points for both periods to 1.93% and 1.91%, as compared with 1.86% and 1.84% for the same periods of the prior year. The increase in the net interest spread was primarily due to lower debt funding costs. The net interest margin during these periods was negatively impacted by decreases of two and three basis points in income earned on earning assets funded by noninterest-bearing sources (principally capital).
To read the entire report click here.
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