Company: AGM-PH
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0000845877-25-000252
Chunk: 272

Company: FEDERAL AGRICULTURAL MORTGAGE CORP
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 2
Chunk 272
---
 on financial derivatives$(1,062)$(1,934)$872 (45)%$(3,618)$(1,654)$(1,964)119 %

These changes in fair value are primarily the result of fluctuations in long-term interest rates. Payments or receipts to terminate undesignated derivative positions or net cash settled forward sales contracts on the debt of other GSEs and undesignated U.S. Treasury security futures and initial cash payments received 

71

upon the inception of certain undesignated swaps are included in "Losses due to terminations or net settlements" in the table above. See Note 4 to the consolidated financial statements for more information about our financial derivatives. 

Operating Expenses. The components of operating expenses for the three and nine months ended September 30, 2025 and 2024 are summarized in the following table:

Table 13

 For the Three Months EndedFor the Nine Months EndedChangeChangeSeptember 30, 2025September 30, 2024$%September 30, 2025September 30, 2024$% (dollars in thousands)Compensation and employee benefits$17,743 $15,237 $2,506 16 %$53,126 $48,334 $4,792 10 %General and administrative11,052 8,625 2,427 28 %32,669 25,784 6,885 27 %Regulatory fees1,000 725 275 38 %3,000 2,175 825 38 %Total Operating Expenses$29,795 $24,587 $5,208 21 %$88,795 $76,293 $12,502 16 %

The increase in compensation and employee benefits expenses for the three and nine months ended September 30, 2025 compared to 2024 was largely due to increased headcount.

The increase in G&A expenses for the three and nine months ended September 30, 2025 compared to 2024 was primarily attributable to an increase in information technology infrastructure costs, transactional legal fees, hiring expenses, and servicing advance expenses. 

Income Tax Expense. The following table presents income tax expense and the effective income tax rate for the three and nine months ended September 30, 2025 and 2024:

Table 14 For the Three Months EndedFor the Nine Months EndedChangeChangeSeptember