The following is a summary of the National Rural Utilities Cooperative Finance Corporation 5.5% SUB NT 64 (NRUC) Q3 2024 Earnings Call Transcript:
Financial Performance:
The company's loans to members increased by approximately $1.9 billion or 6%, reaching $34.4 billion during the 9 months ended February 2024.
No charge-offs were recorded during the fiscal year, and only 0.25% of loans were classified as non-performing.
The adjusted tier was above its goal at 1.25x.Members' equity was at $2.3 billion, and total assets increased to $35.9 billion
Adjusted net income for the third quarter increased by 11% or $8 million.
Business Progress:
NRUC is managing growth strategically using different funding sources.
There was growth in loans for broadband projects, contributing to the overall increase in loans to members.
The distribution members' loans and power supply members' loans accounted for 94% of total loans.
There is a commitment to maintain strong investment-grade ratings from Fitch, Moody's, and S&P.
The organization is planning a projected debt issuance of approximately $5.1 billion over the next 18 months to refinance existing debt maturities and fund expected loan growth.
Despite the downgrade from A to A- by S&P, the company believes it doesn't reflect the company's strong recovery from storm-related issues and continues to engage with S&P for reconsideration.
More details: National Rural Utilities Coop Fin 5.5% Subord Notes Due 15/05/2064 Usd25 IR
Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.
