$NRUC

NATIONAL RURAL UTILITIES COOPERATIVE FINANCE CORP /DC/

CIK:0000070502|SEC Filings

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	12 Months Ended
	May 31, 2026	May 31, 2025	May 31, 2024
Income Statement [Abstract]
Interest income	$ 1,796,660	$ 1,703,233	$ 1,593,351
Interest expense	(1,494,894)	(1,442,279)	(1,339,088)
Net interest income	301,766	260,954	254,263
Benefit for credit losses	10,362	8,111	5,516
Net interest income after benefit for credit losses	312,128	269,065	259,779
Non-interest income:
Fee and other income	28,719	23,597	22,792
Derivative gains (losses)	82,166	(5,851)	392,037
Investment securities gains	1,128	5,674	10,772
Total non-interest income	112,013	23,420	425,601
Non-interest expense:
Salaries and employee benefits	(80,083)	(72,171)	(67,401)
Other general and administrative expenses	(73,812)	(70,944)	(58,970)
Other non-interest expense	(7,176)	(9,168)	(3,189)
Total non-interest expense	(161,071)	(152,283)	(129,560)
Income before income taxes	263,070	140,202	555,820
Income tax provision	(334)	(188)	(1,504)
Net income	262,736	140,014	554,316
Less: Net income attributable to noncontrolling interests	(624)	(281)	(967)
Net income attributable to CFC	$ 262,112	$ 139,733	$ 553,349

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	May 31, 2026	May 31, 2025	May 31, 2024
Cash flows from operating activities:
Net income	$ 262,736	$ 140,014	$ 554,316
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization of deferred loan fees	(2,629)	(2,978)	(6,463)
Amortization of debt issuance costs and discounts	36,273	33,862	29,827
Amortization of guarantee fees	18,503	19,584	20,679
Depreciation and amortization	13,966	12,615	10,469
Benefit for credit losses	(10,362)	(8,111)	(5,516)
Unrealized gains on equity and debt securities	(1,006)	(8,241)	(16,461)
Derivative forward value (gains) losses	(18,213)	105,070	(264,871)
Advances on loans held for sale	(653,032)	(442,700)	(326,500)
Proceeds from sales of loans held for sale	670,732	424,000	324,000
Changes in operating assets and liabilities:
Accrued interest receivable	5,270	(79,975)	(17,524)
Accrued interest payable	13,589	31,545	51,032
Deferred income	981	1,218	1,218
Other	(26,280)	(18,369)	(33,583)
Net cash provided by operating activities	310,528	207,534	320,623
Cash flows from investing activities:
Advances on loans held for investment, net	(1,357,873)	(2,516,664)	(2,005,187)
Investments in fixed assets, net	(1,763)	(4,697)	(6,154)
Proceeds from sales and maturities of trading securities	83,878	173,997	202,903
Proceeds from redemption of equity securities	0	25,000	0
Principal payments received under sales-type leases	968	574	167
Cash impact of VIE deconsolidation	0	0	(10,341)
Net cash used in investing activities	(1,274,790)	(2,321,790)	(1,818,612)
Cash flows from financing activities:
Proceeds from (repayments of) short-term borrowings ≤ 90 days, net	210,451	1,322,246	(536,592)
Proceeds from short-term borrowings with original maturity > 90 days	2,066,051	2,174,997	3,062,591
Repayments of short-term borrowings with original maturity > 90 days	(2,208,147)	(2,738,517)	(2,739,584)
Payments for issuance costs for revolving bank lines of credit	(5,910)	(5,737)	(2,612)
Proceeds from issuance of long-term debt, net of discount and issuance costs	4,783,962	4,044,549	4,520,730
Payments for retirement of long-term debt	(3,632,491)	(2,810,566)	(2,591,494)
Payments for issuance costs for subordinated deferrable debt	(4,083)	(1,387)	(1,165)
Proceeds from issuance of subordinated deferrable debt	629,381	43,811	103,500
Payments for retirement of subordinated deferrable debt	(650,236)	0	(100,000)
Proceeds from issuance of members’ subordinated certificates	1,146	12	103
Payments for retirement of members’ subordinated certificates	(57,620)	(12,949)	(25,579)
Payments for retirement of patronage capital	(52,978)	(46,846)	(110,202)
Additions (repayments) for membership fees, net	4	0	(436)
Repayment of finance leases	(972)	(576)	(167)
Net cash provided by financing activities	1,078,558	1,969,037	1,579,093
Net increase (decrease) in cash, cash equivalents and restricted cash	114,296	(145,219)	81,104
Beginning cash, cash equivalents and restricted cash	143,122	288,341	207,237
Ending cash, cash equivalents and restricted cash	257,418	143,122	288,341
Supplemental disclosure of cash flow information:
Cash paid for interest	1,438,720	1,373,281	1,261,683
Cash paid for income taxes	771	680	578
Noncash investing and financing activities:
Finance lease ROU assets obtained in exchange for lease obligations	1,107	4,870	2,575
Recognition of net investment in lease through exchange of lease ROU assets	1,107	4,870	2,575
Derecognition of lease ROU assets	$ (1,107)	$ (4,870)	$ (2,575)

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	May 31, 2026	May 31, 2025
Assets:
Cash and cash equivalents	$ 248,819	$ 134,712
Restricted cash	8,599	8,410
Total cash, cash equivalents and restricted cash	257,418	143,122
Investment securities:
Debt securities trading, at fair value	31,144	113,663
Equity securities, at fair value	11,021	11,252
Total investment securities, at fair value	42,165	124,915
Loans to members	38,422,128	37,079,978
Less: Allowance for credit losses	(29,947)	(40,615)
Loans to members, net	38,392,181	37,039,363
Accrued interest receivable	264,952	270,222
Other receivables	26,679	24,377
Fixed assets, net	75,619	81,667
Derivative assets	554,116	555,855
Other assets	91,217	85,528
Total assets	39,704,347	38,325,049
Liabilities:
Accrued interest payable	308,506	294,917
Debt outstanding:
Short-term borrowings	5,159,771	5,091,416
Long-term debt	28,345,934	27,163,701
Subordinated deferrable debt	1,310,282	1,329,485
Members’ subordinated certificates:
Membership subordinated certificates	627,272	628,637
Loan and guarantee subordinated certificates	253,671	309,914
Member capital securities	247,297	246,163
Total members’ subordinated certificates	1,128,240	1,184,714
Total debt outstanding	35,944,227	34,769,316
Deferred income	29,948	31,596
Derivative liabilities	31,414	51,368
Other liabilities	78,116	74,386
Total liabilities	36,392,211	35,221,583
CFC equity:
Retained equity	3,292,893	3,084,713
Accumulated other comprehensive loss	(2,369)	(2,236)
Total CFC equity	3,290,524	3,082,477
Noncontrolling interests	21,612	20,989
Total equity	3,312,136	3,103,466
Total liabilities and equity	$ 39,704,347	$ 38,325,049