Farmland Partners Stock Price, News & Analysis
Company Description
Farmland Partners Inc. (NYSE: FPI) is an internally managed real estate company that focuses on owning and acquiring high-quality North American farmland. The company is structured as a real estate investment trust (REIT) for U.S. federal income tax purposes and has elected to be taxed as a REIT beginning with the taxable year ended December 31, 2014. Farmland Partners Inc. combines farmland ownership with a lending platform that provides financing to farmers and landowners secured by farm real estate and other agriculture-related assets.
Core Business and Farmland Ownership
Farmland Partners Inc. states that it owns and seeks to acquire high-quality farmland across North America. According to its public disclosures, the company owns and/or manages farmland across multiple U.S. states, with acreage levels and state coverage reported in its periodic updates. The company’s farmland portfolio has included properties in states such as Arkansas, California, Colorado, Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi, Missouri, Nebraska, North Carolina, Ohio, South Carolina, Texas and West Virginia, with total owned and/or managed acres exceeding one hundred thousand acres in recent periods as reported in its news releases.
The company’s farmland holdings are used for agricultural production. Earlier descriptions of its portfolio note that a majority of its properties are used to grow primary crops such as corn, soybeans, wheat, rice and cotton, with other properties used to grow specialty crops. Farmland Partners Inc. also reports ownership of land and buildings for several agriculture equipment dealerships in Ohio that are leased to Ag Pro under the John Deere brand.
REIT Structure and Revenue Sources
Farmland Partners Inc. has elected to be taxed as a real estate investment trust (REIT). As disclosed in its filings and news releases, the company generates revenue from multiple sources associated with its farmland and related assets. These sources include rental income from leasing farmland and related facilities, crop sales, and other revenue items. The company also makes loans to third-party farmers (both tenant and non-tenant) and landowners secured by farm real estate and other agricultural-related assets, and it reports interest and related income from this lending activity in its financial statements and press releases.
In its reported financial results, Farmland Partners Inc. presents operating revenues that include rental income, crop sales and other revenue. The company also discusses non-GAAP measures such as Adjusted Funds From Operations (AFFO), Adjusted EBITDAre and Net Operating Income (NOI) in its earnings materials, reflecting its focus on cash flow and operating performance from its farmland and related assets.
Geographic Footprint and Asset Mix
Farmland Partners Inc. reports that it owns and/or manages farmland across a broad geographic footprint in the United States. In recent public statements, the company has described owning and/or managing farmland in more than a dozen states, including both row-crop regions and areas with permanent plantings. Its consolidated balance sheets and related disclosures list real estate assets such as land, grain facilities, groundwater, irrigation improvements, drainage improvements, permanent plantings and other improvements, as well as construction in progress.
The company’s disclosures also show that it has engaged in both acquisitions and dispositions of farmland properties over time. It has reported acquiring new properties while also selling farms and recognizing gains on disposition of assets. These activities affect the total acres owned and managed, the composition of its portfolio and the reported book value of its real estate assets.
Lending Activities and the FPI Loan Program
In addition to owning farmland, Farmland Partners Inc. reports that it makes loans to farmers and landowners secured by farm real estate and other agricultural-related assets. Public disclosures reference an "FPI Loan Program" under which the company issues loans to third-party farmers (both tenant and non-tenant) and landowners. The company’s balance sheets include "loans and financing receivables" as an asset category, and its news releases describe new loan originations and repayments under this program.
This lending activity is presented as complementary to the company’s farmland ownership, providing another way to deploy capital in the agricultural sector while maintaining security interests in farm-related collateral.
Capital Management, Dividends and Share Repurchases
Farmland Partners Inc. regularly reports on its capital structure, debt levels, liquidity and equity activity. Its financial disclosures describe mortgage notes and bonds payable, credit facilities and available liquidity, including cash and undrawn credit capacity. The company has reported significant reductions in total indebtedness over time and has discussed the impact of debt repayment on interest expense.
The company’s Board of Directors has declared regular quarterly cash dividends on its common stock and Class A Common OP units, and in some periods has declared one-time special dividends. Farmland Partners Inc. has also reported repurchases of its common stock, including the number of shares repurchased and the weighted average price paid. These actions are described in its earnings releases and related materials.
Financial Reporting and Non-GAAP Metrics
Farmland Partners Inc. provides detailed financial information in its annual and quarterly reports and in accompanying press releases. The company reports net income, operating revenues, operating expenses and other income or expense items. It also presents non-GAAP financial measures such as AFFO, Adjusted EBITDAre and NOI, along with reconciliations to net income. These measures are used by the company to discuss performance related to its farmland operations, disposition gains, interest expense and other factors.
The company’s SEC filings, including Forms 10-K, 10-Q and 8-K, provide additional context on its financial condition, results of operations, acquisitions and dispositions, debt arrangements and dividend declarations. For example, Form 8-K filings have been used to furnish earnings press releases and related financial information.
Corporate Status and Exchange Listing
Farmland Partners Inc. is incorporated in Maryland, as indicated in its SEC filings. The company’s common stock trades on the New York Stock Exchange under the ticker symbol FPI. Recent Form 8-K filings referencing earnings releases and conference calls indicate that the company continues to report financial results and provide updates to investors.
Frequently Asked Questions (FAQ)
- What does Farmland Partners Inc. do?
Farmland Partners Inc. is an internally managed real estate company that owns and seeks to acquire high-quality North American farmland and makes loans to farmers and landowners secured by farm real estate and other agricultural-related assets. - How does Farmland Partners Inc. generate revenue?
According to its financial disclosures, the company generates revenue from rental income on farmland and related properties, crop sales and other revenue sources. It also reports income associated with loans and financing receivables secured by farm real estate and agricultural-related assets. - What is Farmland Partners Inc.’s corporate structure?
Farmland Partners Inc. is an internally managed real estate company that has elected to be taxed as a real estate investment trust (REIT) for U.S. federal income tax purposes, beginning with the taxable year ended December 31, 2014. - Where does Farmland Partners Inc. operate?
The company reports owning and/or managing farmland across multiple U.S. states. Its public statements list states such as Arkansas, California, Colorado, Illinois, Indiana, Iowa, Kansas, Louisiana, Mississippi, Missouri, Nebraska, North Carolina, Ohio, South Carolina, Texas and West Virginia as locations of its farmland portfolio in recent periods. - On which exchange is Farmland Partners Inc. stock listed?
Farmland Partners Inc.’s common stock is listed on the New York Stock Exchange under the ticker symbol FPI, as noted in its news releases and SEC filings. - Does Farmland Partners Inc. pay dividends?
Yes. The company’s Board of Directors has declared regular quarterly cash dividends on its common stock and Class A Common OP units, and in some periods has declared one-time special dividends, as described in its press releases and financial reports. - What types of assets, besides farmland, does the company own?
In addition to farmland, the company reports owning grain facilities, groundwater, irrigation and drainage improvements, permanent plantings and other improvements. It also owns land and buildings for several agriculture equipment dealerships in Ohio leased to Ag Pro under the John Deere brand. - How does Farmland Partners Inc. use non-GAAP financial measures?
The company reports non-GAAP measures such as AFFO, Adjusted EBITDAre and NOI in its earnings materials, along with reconciliations to net income. These measures are used to discuss aspects of performance related to its farmland operations and capital structure. - Is Farmland Partners Inc. still an active reporting company?
Recent Form 8-K filings and earnings press releases indicate that Farmland Partners Inc. continues to report quarterly and annual financial results and to communicate with investors through conference calls and supplemental information. - What role do acquisitions and dispositions play in the company’s strategy?
The company’s public disclosures describe ongoing acquisition of farmland properties and dispositions of selected farms, along with gains on sale. These activities affect its portfolio size, composition and reported financial results.