Agriculture banks are reporting higher profitability

Banks focusing on agriculture loans are reporting higher profits recently.

Researchers at the University of Illinois crunched the numbers and found that ag banks on average have a return on assets at 1.07 percent, which is compared to non-ag banks at 1.03 percent.

They also found ag banks are more efficient, too, with the efficiency ratio up several points during the fourth quarter.

Related Stories
Tight Credit, Strong Yields Define Early December Agriculture
Read the U.S. Department of Agriculture’s official press release published on Monday, December 8, 2025.
Joe Peiffer with Ag & Business Legal Strategies advises farmers on end-of-year financial planning, including preparing records, avoiding common credit mistakes, and evaluating equipment purchases for 2026.
Lewie Pugh with the Owner-Operator Independent Drivers Association (OOIDA) discusses the gap in truck driver education programs and how it impacts road safety and supply chain economics.
Cattle imports from Mexico remain stalled amid the New World screwworm outbreak. At the same time, Tyson closures add pressure on Nebraska producers and markets ahead of the USDA’s upcoming Cattle on Feed Report.
USTR Jamieson Greer signals a narrower trade deal with China, adding more market uncertainty. The Farm Bureau also supports reviewing China’s missed trade commitments under the Phase One.

LATEST STORIES BY THIS AUTHOR:

Farm legal expert Roger McEowen reviews the history of the Waters of the United States (WOTUS) rule and outlines how shifting definitions across multiple administrations have created regulatory confusion for landowners.
Leslee Oden, president of the National Turkey Federation, and Jay Jandrain, CEO of Butterball, joined us in the studio on Monday to discuss the history, significance, and expectations surrounding this year’s presidential turkey pardon.
The U.S. Department of Labor (DOL) estimates that the move will save farmers and ranchers $2.5 billion each year. The group warns that new methods for calculating the adverse-effect wage rate would result in lower pay for foreign workers.
Higher rail tariffs and tighter Canadian supplies will keep oat transportation costs firm into 2026.
These “USDA Foods” are provided to USDA’s Food and Nutrition Service (FNS) nutrition assistance programs, including food banks that operate The Emergency Food Assistance Program (TEFAP), and are a vital component of the nation’s food safety net.