Farm Credit Canada’s loan portfolio grew by almost $2 billion to $25.1 billion the Crown corporation says in its newly released annual report for 2012.
FCC disbursed $7.7 billion to farmers, processors and suppliers in the agriculture value chain through 47,000 loans during 2012, the report says.
“The bottom line is that agriculture has never mattered more to Canada and the world,” said Greg Stewart, FCC president and CEO, in releasing the report for the fiscal year ending March 31, 2013.
Other financial highlights in the report include:
• The corporation saw a net income of $513.4 million, which provides for a dividend payment to the Government of Canada as well as significant reinvestment in agriculture through increased lending to customers and the development of agriculture knowledge, products and services;
• There was an improvement in the allowance for credit losses at 2.5 per cent of loans receivable reflecting reduced risk in the loan portfolio and a strong agriculture economy;
• FCC saw an improved debt-to-equity ratio of 6.7:1 indicating continued financial strength and an ongoing ability to serve the agriculture industry.