FORT WORTH, Texas — Lone Star Ag Credit, a customer-owned rural lending cooperative headquartered in Fort Worth, reported solid financial results for the second quarter of 2018.
Lone Star provides financing for rural land, rural homes, agribusinesses, livestock, and agricultural equipment and operating expenses. At the end of the second quarter, the cooperative had $1.6 billion in total loans and $1.7 billion in total assets. Credit quality was strong, with 98.9 percent of total loans classified as acceptable or special mention.
The cooperative also reported $18.7 million in net income for the six months ended June 30, 2018, compared with $6.0 million for the same period of the prior year.
In July, its board of directors voted to return the co-op’s surplus earnings from 2017 to eligible members through its patronage program. Lone Star will distribute $7.1 million to more than 5,000 eligible borrowers in the third quarter.
The payment is one of the ways that the cooperative shares its success with its customers, who are also stockholders and co-op members. This year’s patronage dividends effectively lower the interest rate that recipients paid on their loans in 2017 by an average of 0.49 percentage point.
Lone Star Ag Credit serves 48 counties and has credit offices in Abilene, Cleburne, Corsicana, Denton, Fort Worth, Georgetown, Hillsboro, Lampasas, New Boston, Paris, Sherman, Stephenville, Sweetwater, Waco and Weatherford.
For more information, contact a local branch office or visit LoneStarAgCredit.com.
–Lone Star Ag Credit
For more articles out of Texas, click here.