Farm Credit Mid-America Condition and Performance Analysis
Farm Credit Mid-America (FCMA) ended 2025 with $42.07 billion in total assets and $39.52 billion in gross loans, according to a report by Ani Katchova and Daniel Cohen of The Ohio State University. The lending cooperative saw net income grow by 8.8% in 2025, signaling a recovery in profitability after a sharp dip in 2024.
The researchers from the Department of Agricultural, Environmental, and Development Economics analyzed annual financial reports from 2020 to 2025 to evaluate the organization’s stability. They found that the cooperative maintains a strong financial position despite a slowing rate of asset growth.
Where are the loans concentrated?
Indiana holds the largest share of FCMA’s portfolio at just over 20%, followed closely by Ohio at just under 20%, according to the Ohio State University report. Other significant concentrations exist in Tennessee, Kentucky, California, and Arkansas.
The distribution of loans across these states has remained relatively stable since FCMA merged with Farm Credit Mid-South in 2023. The cooperative’s agricultural portfolio is diverse, though corn and soybean loans represent the largest individual crop share at 16.6%.
How is the loan composition shifting?
Real estate mortgage loans remain the primary loan category, accounting for 57.1% of all loans as of 2025. However, the OSU report notes that the share of real estate mortgages is decreasing as production and intermediate-term loans—which make up 22.4% of the portfolio—increase.
Other loan categories have remained consistent since 2022. These include agribusiness loans at 12.1%, rural residential real estate loans at 3.7%, and financial leases and other loans at 3.7%.
Is the lender facing credit risks?
FCMA’s non-accrual loans—those not paid within 90 days—represented about 0.9% of the portfolio in 2025. This is an improvement from 2024, when non-accrual loans nearly tripled, though they still only constituted 1% of the total portfolio at that time.
The organization’s capital ratio also suggests low risk. In 2024, FCMA maintained a total capital ratio of 14.8%, which is significantly higher than the 8% total capital ratio requirement set by the Farm Credit System.
Why is the growth rate slowing?
Total assets grew by 6.3% in 2025, a decline from 9.9% in 2024 and 11.9% in 2023. The OSU researchers attribute this deceleration to the scale of the organization following a period of rapid growth during and after the COVID-19 pandemic.
Despite the slower asset growth, profitability has expanded. Net income and net interest income have grown annually every year since 2020, with the 8.8% increase in 2025 marking a return to typical growth levels for the institution.
Given these trends, the organization may continue to see a stabilization in asset growth as it balances its capital ratios to maximize profit while meeting regulatory thresholds.
Frequently Asked Questions
What is the current total asset value of Farm Credit Mid-America?
As of year-end 2025, the organization’s total assets are valued at $42.07 billion.
Which state has the highest concentration of FCMA loans?
Indiana holds the largest concentration, accounting for just over 20% of the loans in the portfolio.
How does FCMA’s capital ratio compare to regulatory requirements?
FCMA maintained a 14.8% total capital ratio in 2024, well above the Farm Credit System’s requirement of 8%.
How do you think shifting loan preferences from real estate to production could impact rural community stability?