Gladstone Land Corp (LAND) 2024 Q1 法說會逐字稿

Greetings and welcome to the Gladstone Land Corporation first quarter earnings conference call. (Operator Instructions) As a reminder, this conference is being recorded. It's now my pleasure to introduce your host, David Gladstone, Chief Executive Officer. Thank you, sir, you may begin.

您好，歡迎參加格拉斯頓土地公司第一季財報電話會議。（操作員指示）謹此提醒，本次會議正在錄製中。現在我很高興向您介紹主持人，執行長大衛·格拉德斯通 (David Gladstone)。謝謝您，先生，您可以開始了。

Thank you, LaTonya. That was nice introduction and this is, as you said, David Gladstone and we welcome you all to the quarterly conference call for Gladstone Land. Thank you all for calling in today. We appreciate you taking time out of your day to listen to our presentation before I begin, we're going to start with Michael LiCalsi. He's our General Counsel, and Michael, go ahead.

謝謝你，拉托尼亞。這是一個很好的介紹，正如您所說，這是大衛·格萊斯頓，我們歡迎大家參加格萊斯頓土地的季度電話會議。感謝大家今天打電話來。我們感謝您在我開始之前抽出時間來聽我們的演講，我們將從 Michael LiCalsi 開始。他是我們的總法律顧問，邁克爾，繼續吧。

Thanks, David. Today's report may include forward-looking statements under the Securities Act of 1933 and the Securities Exchange Act of 1934, including those regarding our future performance. These forward-looking statements involve certain risks and uncertainties that are based on our current plans, which we believe to be reasonable. Now, many factors may cause our actual results to be materially different from any future results expressed or implied by these forward-looking statements, including all the risk factors in our Forms 10 K and 10 Q and other documents that we file with the SEC can find them on our website, which is w. w. w. dot Gladstone Land.com specifically go to the Investors page where you can find them on the SEC's website at w. w. w. dot SEC dot GOV.

謝謝，大衛。今天的報告可能包含根據 1933 年證券法和 1934 年證券交易法做出的前瞻性陳述，包括有關我們未來績效的陳述。這些前瞻性陳述涉及基於我們目前計劃的某些風險和不確定性，我們認為這些計劃是合理的。現在，許多因素可能導致我們的實際結果與這些前瞻性陳述所表達或暗示的任何未來結果有重大差異，包括我們的 10 K 和 10 Q 表格以及我們向 SEC 提交的其他文件中的所有風險因素。在我們的網站上找到它們，即w. w。 w。 dot Gladstone Land.com 特別轉到“投資者”頁面，您可以在 SEC 網站 w 上找到他們。 w。 w。點 SEC 點 GOV。

We undertake no obligation to publicly update or revise any of these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law that today will discuss FFO, which is funds from operations. FFO is a non-GAAP accounting term, defined as net income, excluding the gains or losses from the sale of real estate and any impairment losses from property plus depreciation and amortization of real estate assets. We may also discuss core FFO, which we generally define as FFO adjusted for certain nonrecurring revenues and expenses and adjusted FFO, which further adjusts core FFO for certain noncash items such as converting cash excuse me, GAAP rents to normalized cash rents. And we believe these are better indications of our operating results and allow for better comparability of our period-over-period performance, please visit our website. Once again, that's Gladstone. Land.com sign up for our e-mail notification service can also find us on Facebook keyword. There is The Gladstone Companies. We're also on Twitter and that's at GladstoneComps.

我們沒有義務公開更新或修改任何這些前瞻性陳述，無論是由於新資訊、未來事件或其他原因，除非法律要求今天將討論 FFO（來自營運的資金）。FFO是一個非公認會計準則會計術語，定義為淨利潤，不包括房地產銷售的損益以及財產的任何減損損失加上房地產資產的折舊和攤銷。我們也可以討論核心FFO，我們通常將其定義為針對某些非經常性收入和支出進行調整的FFO，以及調整後的FFO，後者進一步調整某些非現金項目的核心FFO，例如將現金，請原諒，GAAP租金轉換為標準化現金租金。我們相信這些可以更好地反映我們的經營業績，並且可以更好地比較我們的同期業績，請訪問我們的網站。再說一次，那是格萊斯頓。Land.com 註冊我們的電子郵件通知服務也可以在 Facebook 關鍵字上找到我們。有格拉德斯通公司。我們也使用 Twitter，即 GladstoneComps。

Today's call is simply an overview of our results. So we ask that you review our press release and our Form 10 Q both issued yesterday for more detailed information.

今天的電話會議只是我們結果的概述。因此，我們要求您查看昨天發布的新聞稿和表格 10 Q，以了解更多詳細資訊。

Now with that, I'm going to turn it back over to David Gladstone. David?

現在，我要把它轉回大衛·格萊斯頓。大衛？

Okay. Thank you, Michael. I'll start with a brief overview, as I always do, we currently own about 112,000 acres on 168 different farms and about 49,000 acre feet of water assets, and we're currently increasing that 1 acre foot is equal to about 326,000 gallons. So we're nearly 16 billion gallons of water. This is protecting our land because without water lands not worth much. And together, the land and all the water are valued at a total of approximately $1.5 billion of frams are in 15 different states. More importantly, in 29, different growing regions and our water assets are all in California.

好的。謝謝你，麥可。我將像往常一樣首先簡要概述一下，我們目前擁有 168 個不同農場的約 112,000 英畝土地和約 49,000 英畝英尺的水資源，目前我們正在增加，1 英畝英尺相當於約 326,000 加侖。所以我們有近 160 億加侖的水。這是在保護我們的土地，因為沒有水，土地就不值錢了。土地和所有水域的總價值約為 15 億美元，分佈在 15 個不同的州。更重要的是，29、不同的種植區域和我們的水資產都在加州。

Our farms are leased to 90 different tenant farmers and the tenants on these farms are growing 60 different types of crops, mostly fruits, mostly vegetables and a lot of nuts. And you can find all of these in the produce section of your grocery store, which is where most of these crops are sold, may just deviate here a minute when we have diversification like this and we are well diversified, you have some problems in each of the regions. And so those are in the diversification that you're trying to maintain. For example, almonds and pistachios are both have reduced demand.

我們的農場出租給 90 個不同的佃農，這些農場的佃戶種植 60 種不同類型的農作物，主要是水果、蔬菜和大量堅果。你可以在你的雜貨店的農產品區找到所有這些，這是大多數農作物的銷售地，當我們有這樣的多元化時，可能會稍微偏離這裡，而且我們已經多元化了，你在每個方面都會遇到一些問題的地區。因此，這些都屬於您試圖維持的多元化。例如，杏仁和開心果的需求都減少了。

So prices are low today and it may take years for the balance to come back. Almonds are an international crop and people are not eating as many almonds as they did in the past. And the price of producing almonds has risen due to inflation and farming costs. So some people cannot afford to buy almonds and pistachios and that reduced demand makes it a problem for all our farmers in that area and their farms that have problems. For example, Michigan blueberries had a good pretty good crop this year and reasonably good sales, but are farmers.

因此，今天的價格很低，可能需要數年時間才能恢復平衡。杏仁是一種國際作物，人們吃的杏仁數量已經不像過去那麼多了。由於通貨膨脹和農業成本，生產杏仁的價格已經上漲。因此，有些人買不起杏仁和開心果，而需求的減少對該地區所有農民及其有問題的農場來說都是一個問題。例如，密西根州的藍莓今年收成相當不錯，銷售量也相當不錯，但都是農民。

Our one farmer there had a very tragic accident. He was injured and he couldn't farm. So we are moving forward with the sale of those farms and we believe will be okay once we've sold them. Hopefully that happens this year. And we have a few great farms that do not have the varieties that people want to make wine, so selling them. We're going to sell a couple of those as well, such is the nature of owning farmland is just like owning businesses. You own one stock. I didn't want stock or just think that owning farmland is immune from the ups and downs of the economy or the business of farming. I think during the rest of the calendar year 2024, we'll sort out these problems. There are other parts of farming that have problems such as tomatoes.

我們那裡的一位農民遭遇了一場非常悲慘的意外。他受傷了，無法耕種。因此，我們正在推動這些農場的出售，我們相信一旦出售它們就會好起來。希望今年會發生這種情況。我們有一些很棒的農場，但沒有人們想要釀酒的品種，所以要賣掉它們。我們還將出售其中的一些，這就是擁有農田的本質就像擁有企業一樣。您擁有一隻股票。我不想要股票，或只是認為擁有農地可以免受經濟或農業業務的起伏影響。我認為在 2024 年剩餘時間內，我們將解決這些問題。農業的其他部分也存在問題，例如西紅柿。

Mexico has been subsidized, subsidizing tomatoes and hurt tomato farmers. We are very lucky not to be in tomato farms. So we miss that problem. Likewise, we invest did not invest in citrus. It's been terrible for the citrus farmers in Florida. At this, we have a few citrus trees, but there, not in Florida and the trees have been devastated in Florida by disease and they may never turn around. There aren't just coming in from being produced other where other countries and there's reduced drinking of orange juice. I remember as a child drinking, lots of orange juice people don't drink as much orange juices they did 20 years ago. So our smart not to be in Florida orange juice business.

墨西哥一直在補貼，補貼西紅柿，傷害了西紅柿種植者。我們很幸運沒有在番茄農場。所以我們錯過了這個問題。同樣，我們投資的不是柑橘。對於佛羅裡達州的柑橘種植者來說，情況非常糟糕。目前，我們有一些柑橘樹，但在那裡，不是在佛羅裡達州，這些樹在佛羅裡達州被疾病摧毀，它們可能永遠不會好轉。橙汁不僅來自其他國家生產，而且橙汁的飲用量也在減少。我記得小時候喝柳橙汁的時候，很多人喝的柳橙汁已經不像20年前那麼多了。所以我們明智地不從事佛羅裡達橙汁業務。

So I'll just give you that overview. I thought of that last night and decided put that into our discussion. And now I'll give you a quick update of some of the tenants issues that we've been working through, and we've been telling you about them. We currently have two properties encompassing four out of there 168 farms that were that we have and these are vacant and properties encompass 11 farms in direct operating the management agreement.

因此，我將向您提供概述。我昨晚想到了這一點，並決定將其納入我們的討論中。現在，我將向您快速介紹一些我們一直在解決的租戶問題的最新情況，並且我們一直在向您介紹這些問題。目前，我們擁有兩處房產，涵蓋我們擁有的 168 個農場中的 4 個，這些房產目前處於空置狀態，而房產則涵蓋直接營運管理協議的 11 個農場。

So we've had to take over a number of farms and doing on our own. In addition, we are recognizing revenue from leases with two tenants who were collectively leaking leasing four of our farms from a cash basis regarding the vacancy in our farms that now are operating farms. We're in discussions with various potential buyers or tenants to buy or lease these properties. And I think we'll have a lot of this done during the next six months. So I'm hopeful that when we report to you, Ian in July that now we fixed a lot of that, there are two tenants on nonaccrual status.

所以我們不得不接管一些農場並自己做。此外，我們正在確認與兩名租戶的租賃收入，這兩名租戶集體以現金方式租賃了我們四個農場，因為我們現在正在經營農場的農場空置。我們正在與各種潛在買家或租戶討論購買或租賃這些房產。我認為我們將在接下來的六個月內完成很多工作。因此，我希望當我們在 7 月向 Ian 報告時，我們已經解決了很多問題，有兩個租戶處於非應計狀態。

No one of them is now current on their rental payments to us. And we are continuing to work with a collection of other tenants on a total year over year impact on our operating results, various tenants issued decreased our net operating income by about $750,000 for the first quarter. And as mentioned on the past several calls, we continue to be cautious with new investments because our cost of capital remains high, more farmland rental rate, having increased enough to cover all the extra costs that farmers have. And because farmland values remain high, that is the farmers who are the people who own the land has remained, the values have remained high and they want the high price for it. We just don't feel like it's worth taking that risk.

他們中沒有人現在向我們支付租金。我們正在繼續與其他租戶合作，研究對我們經營業績的同比總體影響，發放的各種租戶使我們第一季的淨營業收入減少了約 75 萬美元。正如過去幾次電話會議中提到的，我們繼續對新投資持謹慎態度，因為我們的資本成本仍然很高，農地租金更高，已經增加到足以覆蓋農民的所有額外成本。因為農地價值仍然很高，也就是說擁有土地的農民仍然存在，價值仍然很高，他們想要高價。我們只是覺得不值得冒這個險。

So as a result, acquisition activity remains slow for us and probably be for that for another couple of quarters and with inflation still above the Fed's target, that's the main problem right now is the Federal Reserve needs to cut rates and that might begin sometime this year. But they won't near be nearly good enough for the very large farmers. We don't have many of those, but for the small farmer, it really pushes them down pretty bad. But overall, the existing farmland portfolio continues to perform more or less as expected, with the exception of those issues I just mentioned.

因此，我們的收購活動仍然緩慢，並且可能會持續幾個季度，通膨仍高於聯準會的目標，目前的主要問題是聯準會需要降息，這可能會在今年某個時候開始年。但對於大型農民來說，它們還遠遠不夠好。我們沒有很多這樣的東西，但對於小農來說，這確實把他們壓得很低。但整體而言，除了我剛才提到的問題外，現有農地組合的表現或多或少仍符合預期。

As you know, we so one of the properties that resulted in a nice gain for us. This was a large farm in Florida and that we bought for about $54 million years ago. We've gotten rent, nice rents on it as we've gone along, but we sold it and we got $66 million for it. Net of closing costs is about a $10 million gain for us and that's been a tremendous winner for us. And I'll note that the price was sold. It was sold for about $2 million more than we had it appraised at at prior to the sale.

如您所知，我們是為我們帶來可觀收益的資產之一。這是佛羅裡達州的一個大農場，我們多年前花了大約 5400 萬美元買下了它。我們已經得到了租金，隨著我們的發展，租金也不錯，但我們賣掉了它，我們得到了 6600 萬美元。扣除成交成本後，我們大約獲得了 1000 萬美元的收益，這對我們來說是一個巨大的贏家。我會注意到價格已售出。它的售價比我們出售前的估價高出約 200 萬美元。

So during the quarter, we valued it lower and we sold it for. I think that's a good indication that we have an oil price, a lot of our farms on the leasing front, since the beginning of the quarter, we renewed or amended for leases on farms in two different states. In total, these renewals are expected to result in a decrease and an increase of annual net operating income of about $800,000 per year. That's on the prior leases. However, a majority of the decrease is due to one lease agreement executed on another farm in California in which we reduce that fixed base rent in exchange for increasing the upside potential in participation rents.

因此，在本季度，我們對其估值較低，然後將其出售。我認為這是一個很好的跡象，表明我們的油價上漲，我們的許多農場都處於租賃狀態，自本季度初以來，我們續簽或修改了兩個不同州農場的租賃合約。總的來說，這些續約預計將導致年度淨營業收入減少和增加約 80 萬美元。這是之前的租約上的。然而，減少的大部分是由於在加州的另一個農場簽署的一份租賃協議，我們減少了固定基本租金，以換取增加參與租金的上行潛力。

Looking ahead, we have five leases scheduled to expire over the next six months in total makes up about 9% of our total lease revenue. We're in discussion with groups to lease these farms and aren't currently anticipating any additional vacancies as a result of these. However, two of the expiring leases on not farms in California, and those will likely decrease the base rent in exchange for increasing participation rents. That's how some of the problems that are.

展望未來，我們有五份租約計劃在未來六個月內到期，總計約占我們總租賃收入的 9%。我們正在與團體討論租賃這些農場，目前預計不會因此而產生任何額外的空缺。然而，其中兩項即將到期的租約並非位於加州的農場，這些租約可能會降低基本租金，以換取增加參與租金。有些問題就是這樣的。

I just one other item I'd like to mention, as mentioned on the last quarterly call, our team in California has been working to implement various projects and strategies to take advantage of the surplus water supplies that have come to count to be available in California.

我想提的另一件事是，正如上一季度電話會議中提到的，我們在加州的團隊一直在努力實施各種項目和策略，以利用剩餘的供水加州。

As many of you know, there have been huge rains. We've had two very wet winters, which is unusual for California. And the rains have not just been a little things that we sometimes see in the East have been rains of biblical proportions and people have had wash away. And we've had a few farms that worse were impacted a bit, but that one farm actually took on too much water, so they couldn't do as much forward. So it's coming back this year.

眾所周知，最近發生了大雨。我們經歷了兩個非常潮濕的冬天，這對加州來說是不尋常的。降雨不只是我們有時在東方看到的小雨，而是聖經中規模的降雨，人們被沖走了。我們有一些農場受到了一些更嚴重的影響，但其中一個農場實際上消耗了太多的水，所以他們無法做那麼多的事情。所以今年它又回來了。

One such project involves construction of a live groundwater recharge facility on two of our farms and both of which were completed last year. These these are, in essence water banks, allowing us to enter into various agreements with both local water districts and private individuals that are expected to result in additional ground water credits by allowing water to be stored on our water banks. During the quarter, we were able to obtain an additional 2,676 acre feet or that's 872 million gallons of water credits for a total cash cost of approximately $345,000, or right at $129 per acre foot, which is significantly below market.

其中一個項目涉及在我們的兩個農場建造活地下水補給設施，這兩個設施都已於去年完工。這些本質上是水銀行，使我們能夠與當地水區和私人簽訂各種協議，預計透過允許在我們的水銀行儲存水來獲得額外的地下水信用。在本季度，我們能夠額外獲得 2,676 英畝英尺（即 8.72 億加侖）的水信用額，總現金成本約為 345,000 美元，即每英畝英尺 129 美元，明顯低於市場水平。

These will come in handy as time goes on. Valuations of farms are now based on how much water they have and usually they have to have two sources of water. We still believe these type of projects are important in achieving long term sustainable water supplies for our farms in California, and we intend to continue to focus on water security for our farms throughout 2024.

隨著時間的推移，這些將會派上用場。農場的估值現在基於其擁有的水量，通常必須有兩個水源。我們仍然相信此類計畫對於實現加州農場的長期可持續供水非常重要，並且我們打算在 2024 年繼續關注我們農場的水安全。

And just to note, our portfolio currently has adequate supply of water to date, none of our farms have been followed or not from because of the uric here, irrigation problems due to the inadequacy of water. In some places, there have been problems and we're not seeing that on our farms. We also wonder about the effects of government regulations and they do regulate used. So we gone through that with many of our farms and we seem to be in good shape there. And we do look forward that this projects that we have with their reserved water that we have formed could go at least one year unabated, but I think they may go on as much as two years based on how much water we've captured.

需要注意的是，到目前為止，我們的投資組合目前有充足的水供應，我們的農場沒有一個因為這裡的尿酸、由於水不足而出現灌溉問題而被跟踪或不被跟踪。在某些地方，存在問題，但我們的農場沒有看到這種情況。我們也想知道政府法規的影響，它們確實對使用進行了監管。因此，我們的許多農場都經歷過這個過程，而且我們的狀況似乎很好。我們確實期望我們用我們形成的儲備水進行的這個項目至少可以持續一年不減，但我認為根據我們捕獲的水量，它們可能會持續長達兩年。

So let me stop here and I'll turn it over to Lewis Parrish. He is our CFO, and if he knows the numbers. Lewis?

讓我在這裡停下來，我將把它交給劉易斯·帕里什 (Lewis Parrish)。他是我們的財務官，如果他知道這些數字的話。路易斯？

Thank you, Dave, and good morning, everyone. I'll begin by briefly going over our recent financing activity. We did not incur any new borrowings during the quarter, but we did repay about $16 million of bonds that matured in. On the equity side, we raised about $250,000 in net proceeds from sales of the Series E preferred stock during the quarter.

謝謝戴夫，大家早安。我將首先簡要回顧我們最近的融資活動。本季我們沒有發生任何新借款，但我們確實償還了約 1600 萬美元到期的債券。在股權方面，本季我們透過出售 E 系列優先股籌集了約 25 萬美元的淨收益。

Now moving on to operating results. For the first quarter, we had net income of about $13.6 million and net income to common shareholders of $7.4 million or $0.21 per share. Adjusted FFO for the current quarter was approximately $5.1 million or $0.143 per share compared to $5.9 million or $0.166 per share in the prior year quarter.

現在轉向經營業績。第一季度，我們的淨利潤約為 1,360 萬美元，普通股股東的淨利潤為 740 萬美元，即每股 0.21 美元。本季調整後的 FFO 約為 510 萬美元或每股 0.143 美元，而去年同期為 590 萬美元或每股 0.166 美元。

Dividend declared per common share were $0.140 in the current quarter compared to $0.138 in the prior-year quarter. Primary drivers behind the decrease in AFFO from the lost income from the farm we sold in January and a decrease in the revenues associated with certain properties that were either vacant or on nonaccrual status during portions of the quarter. This was partially offset by decreases in certain operating expenses during Q1 2024.

本季宣布的每股普通股股息為 0.140 美元，而去年同期為 0.138 美元。AFFO 減少的主要原因是我們 1 月出售的農場收入損失，以及本季部分時間內空置或非應計狀態的某些房產相關收入的減少。這被 2024 年第一季某些營運費用的減少部分抵消。

[six] base cash rents decreased by about $1 million on a year-over-year basis is primarily due to the reasons just mentioned, that is the lost revenues from the farm we sold and certain other workout properties. This decrease was partially offset by additional rents earned from craft capital improvements we made on certain of our farms participation rents decreased by about $200,000 during the current quarter. This is really just due to the timing of when certain information about crop sales is made available to us as a filing. We had not yet received enough information to record certain participation rate amounts during the first quarter. So we'll continue to press release information and hopefully be able to finalize it in time for the second quarter filing.

[6] 基本現金租金年減約 100 萬美元，主要是由於剛才提到的原因，即我們出售的農場和某些其他運動房產的收入損失。這一下降被我們對某些農場進行的工藝資本改進所賺取的額外租金部分抵消，本季參與租金減少了約 20 萬美元。這實際上只是由於有關農作物銷售的某些資訊作為備案提供給我們的時間所致。我們尚未收到足夠的資訊來記錄第一季的某些參與率金額。因此，我們將繼續發布新聞稿訊息，並希望能夠及時完成第二季的備案。

On the expense side, excluding reimbursable expenses and certain nonrecurring or noncash expenses, our core operating expenses decreased by over $500,000 during the current quarter. Property operating expenses decreased in the current quarter due to lower amounts spent to protect water rights on certain farms in California as well as a decrease in both legal and property management fees and G&A expenses decreased due to lower amounts recorded relating related to the upcoming shareholders' meeting. And also a decrease in certain professional fees. Of note, total related party fees remained relatively flat year over year.

在費用方面，不包括可報銷費用和某些非經常性或非現金費用，本季我們的核心營運費用減少了超過 50 萬美元。由於保護加州某些農場水權的費用減少，以及法律和物業管理費用的減少，以及與即將到來的股東相關的記錄金額減少，一般及行政費用在本季度有所下降。某些專業費用也有所減少。值得注意的是，關聯方費用總額較去年同期保持相對持平。

Finally, other expenses decreased primarily due to lower interest expense incurred as a result of loan repayments we've made over the past year.

最後，其他費用減少主要是由於我們去年償還貸款而產生的利息費用減少。

With that, we'll move on to net asset value. We had 35 farms revalued during the quarter, all via third party appraisals. Overall, these valuations decreased by about $3.7 million or 1% from their previous valuations from about a year ago. So as of March 31, our portfolio was valued at about $1.5 billion. And all of this value was supported by third-party appraisals or the actual purchase prices. Based on these updated valuations and including the fair value of our debt and our preferred securities.

這樣，我們將繼續討論資產淨值。本季我們對 35 個農場進行了重新評估，全部通過第三方評估。總體而言，這些估值比大約一年前的估值下降了約 370 萬美元，即 1%。截至 3 月 31 日，我們的投資組合估值約為 15 億美元。所有這些價值都有第三方評估或實際購買價格的支持。基於這些更新的估值，包括我們債務和優先證券的公允價值。

Net asset value per common share at March 31, was $18.50, down from $19.06 at December 31. And the majority of this decrease is due to the change in fair value of our preferred securities as well as a decrease in valuations of certain farms that were reappraised or not turning to liquidity, including availability on our lines of credit and other undrawn notes. We currently have access to over $200 million of liquidity, including nearly $60 million of cash on hand.

截至 3 月 31 日，每股普通股淨資產值為 18.50 美元，低於 12 月 31 日的 19.06 美元。下降的主要原因是我們的優先證券的公允價值發生變化，以及某些農場的估值下降，這些農場經過重新評估或沒有轉向流動性，包括我們的信貸額度和其他未提取票據的可用性。我們目前擁有超過 2 億美元的流動資金，其中包括近 6,000 萬美元的庫存現金。

We also have over $130 million of unpledged properties. Over 99.9% of our current borrowings are at fixed rates and on a weighted average basis, these rates are fixed at 3.39% for another 4.2 years. As a result, we have experienced minimal impact on our operating results from increases in interest rates and with respect to our current borrowings, we believe we are well protected, should interest rates remain higher for longer.

我們還有超過 1.3 億美元的未抵押財產。我們目前超過 99.9% 的借款均為固定利率，以加權平均計算，利率在未來 4.2 年固定為 3.39%。因此，利率上升對我們的經營業績的影響微乎其微，就我們目前的借款而言，我們相信，如果利率長期保持在較高水平，我們將受到良好的保護。

Regarding upcoming debt maturities, we have about $35 million coming due over the next 12-months. However, about $17 million of that represents various loan maturities. And given the value that is real underlying collateral we do not foresee any problems, refinancing any of these loans if we choose to do so. So removing those maturities, we have about $18 million of amortizing principal payments coming due over the next 12-months, which is about 3% of our current debt outstanding. In addition, we have about $6 million of loans that they aren't maturing, but they have a fixed rate term that is expiring over the next six months or sorry, over the next 12 months.

關於即將到期的債務，我們將在未來 12 個月內到期約 3,500 萬美元。然而，其中約 1700 萬美元代表不同的貸款期限。鑑於真正的基礎抵押品的價值，我們預計不會出現任何問題，如果我們選擇這樣做的話，對任何這些貸款進行再融資。因此，除去這些到期日，我們還有約 1,800 萬美元的攤銷本金將在未來 12 個月內到期，大約占我們目前未償債務的 3%。此外，我們還有大約 600 萬美元的貸款尚未到期，但它們有固定利率期限，將在未來 6 個月內到期，或者抱歉，在未來 12 個月內到期。

Finally, regarding our common distributions, we recently raised our common dividend again to $0.0466 per share per month. This marks the 34th time we've raised our common dividend over the past 37 quarters, resulting in an overall increase of more than 55% over that period.

最後，關於我們的共同分配，我們最近再次將普通股息提高至每月每股 0.0466 美元。這是我們在過去 37 個季度中第 34 次提高普通股股息，同期整體股息成長超過 55%。

With that, I'll turn the program back over to David.

這樣，我會將程式轉回給大衛。

Thank you, Louis. And we continue to stay active in the market should good opportunities present themselves. But many of these farmers all just waited out, they're not going to sell their farm at a discount, which they would need to do today's in today's market. So prices of farms have not decreased, not decreased. Some of them have a little bit, but need to increase and decrease a lot so that we don't have as much problems, renting them out. Interest rates are still too high today, but we're hopeful that rates will be lower by this fall so that we can start buying more farms again and just a final note, I'd like to make we believe that investing in this farmland and the farming crops that contribute to the healthy lifestyle, such as fruits and vegetables and nuts follows the trend that we're seeing in the marketplace today. So we're in good shape on that area of selecting where we were going to put our money overall demand for prime farmland growing berries and vegetables.

謝謝你，路易斯。如果好的機會出現，我們將繼續在市場上保持活躍。但這些農民中的許多人只是等待，他們不會以折扣價出售他們的農場，而他們今天在市場上需要這樣做。所以農場的價格沒有下降，沒有下降。其中一些有一點，但需要增加和減少很多，這樣我們就不會遇到那麼多問題，把它們出租出去。今天的利率仍然太高，但我們希望今年秋天利率會降低，以便我們可以再次開始購買更多農場，最後一點，我想讓我們相信，投資這片農田和有助於健康生活方式的農作物，如水果、蔬菜和堅果，遵循了我們今天在市場上看到的趨勢。因此，我們在選擇將資金用於主要農田種植漿果和蔬菜的整體需求的領域方面處於良好狀態。

Certainly that side is stable to strong in almost all the areas where we farmed are located, particularly along both the Coast East Coast and West Coast the East Coast of Florida and the West Coast, California. This is where the good farmland is for us. And please remember that purchasing stock in this company is a long-term investment in farmland. It's similar to other hard assets such as goal, farmland, dirt that just stays where it is and continues to produce is wonderful. And as long as we have water in California, I think we're going to be in good shape. A lot of things are being driven by urban developers, especially California and Florida, where we have many farms.

當然，在我們耕種的幾乎所有地區，這一面都是穩定到強勁的，特別是沿著東海岸和西海岸、佛羅裡達州東海岸和加利福尼亞州西海岸。這就是我們的好農地。請記住，購買該公司的股票是對農地的長期投資。它類似於其他硬資產，如球門、農田、泥土，只要留在原處並繼續生產就很棒。只要加州有水，我想我們就會保持良好狀態。很多事情都是由城市開發商推動的，尤其是加州和佛羅裡達州，那裡有很多農場。

And unlike gold and other alternative assets. It's this is an active investment with cash flows to investors, and we believe we are better than a bond because of bonds, no debt. You don't get the bond interest rate going up on the existing bonds. So we're expecting inflation, particularly in the food sector to continue to increase over time. And we expect the values of the underlying farmland to increase. As a result, we expect this especially to be true in fresh produce and on the food sector and the trend of more people in the U.S. eating healthy foods continues to grow. So rather than make continued explain what we do and maybe we get some questions later, you want to come in and tell them how to do that.

與黃金和其他另類資產不同。這是一項積極的投資，為投資者帶來現金流，我們相信我們比債券更好，因為有債券，沒有債務。現有債券的債券利率不會上漲。因此，我們預期通貨膨脹，尤其是食品業的通貨膨脹將隨著時間的推移而繼續加劇。我們預計底層農田的價值將會增加。因此，我們預期新鮮農產品和食品產業尤其如此，並且越來越多的美國人吃健康食品的趨勢持續成長。因此，與其繼續解釋我們所做的事情，也許稍後我們會收到一些問題，不如你進來告訴他們如何做。

Hi, we're ready for the Q&A, please.

大家好，我們已經準備好要進行問答了。

(Operator Instructions) Rob Stevenson, Janney.

（操作員說明）Rob Stevenson，Janney。

Good morning, guys. David, or all of the 14 of the Michigan farms are leased to the same operator that you talked about as having the accident or there are multiple operators in there?

早上好傢伙。David，或者密西根州所有 14 個農場都租給了您所說的發生事故的同一家運營商，或者那裡有多個運營商？

Multiple. But I think it's only two now we're down to two.

多種的。但我認為現在只有兩個了，我們已經減少到兩個了。

It was it was the same operator, but now we are working with a couple of different groups for them to lease, operate and potentially sell down the road.

原來是同一個運營商，但現在我們正在與幾個不同的團體合作，讓他們租賃、經營並可能在未來出售。

Okay. So all of the 14 Michigan farms that you talked about are blueberry farms.

好的。所以你談到的密西根州所有 14 個農場都是藍莓農場。

Yes.

是的。

Okay. Then they are off five. Are the California farms, not farms or is there something else in there as well that's causing you issues?

好的。然後他們就差五分了。是加州農場，不是農場還是那裡還有其他東西給您帶來了問題？

It's all that's sorry to say it that way.

這麼說真是抱歉。

It's that's okay. And then I guess lastly, well, just to wrap it up, what was what is the Washington farm?

沒關係。最後我想，好吧，總結一下，華盛頓農場是什麼？

No nonaccruals that was on cherries, apples and wine grapes. We're in the process of removing the Permian plantings and now marketing it to either be sold or leased as open ground or kind of a new development project for a potential buyer.

沒有櫻桃、蘋果和釀酒葡萄的非應計費用。我們正在拆除二疊紀種植園，現在將其作為空地出售或租賃，或作為潛在買家的新開發項目進行行銷。

Okay. And then I guess what we're talking about and what's what farms will grow like the Florida farm that you had, the big gain on was what was that growing without oranges?

好的。然後我想我們正在談論的是什麼以及農場會像你在佛羅裡達州的農場一樣種植什麼，最大的收穫是沒有橙子的情況下種植什麼？

Or is that something else?

還是別的什麼？

Now as vegetable produce kind of stuff that you'd see in the grocery store?

現在你會在雜貨店看到蔬菜製品嗎？

I don't think there was let us there. But I think it was a lot of lot of produce that you'd see in the grocery store in the produce section. It was a very nice farm. Unfortunately, you have bombarded from from the people in Mexico and they can't make as much money. So people wanted us to lower the rent and we decided we wouldn't play that game of trying to beat the people in Mexico. So we put it up for sale. And as you probably have guessed, there are a lot of people who want farmland in Florida because it's being redeveloped. In fact, if you look around not too far from where that farm is, you'll find a lot of new golf golf outing places. And and just as a note we have the big farm right next to this one.

我不認為有人讓我們在那裡。但我認為你在雜貨店的農產品區會看到很多農產品。那是一個非常好的農場。不幸的是，你受到了墨西哥人民的轟炸，他們賺不到那麼多錢。所以人們希望我們降低租金，我們決定不再玩那種試圖擊敗墨西哥人民的遊戲。所以我們把它掛牌出售。正如您可能已經猜到的那樣，有很多人想要佛羅裡達州的農田，因為它正在重新開發。事實上，如果你環顧一下離那個農場不遠的地方，你會發現很多新的高爾夫球場。順便提一下，我們的大農場就在這個農場旁邊。

So there may be another one that comes along, we'll so we'll see it's a it's a different kind of farm water farm and the state of Florida is paying us to clean up the water that's coming down there. So we're in we're in good shape on that. So we have to keep that one for a while. But ultimately, we may want to wear, you may want to get out of that. And there are people that like having a farmland that's leased to Florida.

所以可能會有另一個出現，我們會看到這是一個不同類型的農場水農場，佛羅裡達州正在付錢給我們清理那裡的水。所以我們在這方面處於良好狀態。所以我們必須保留它一段時間。但最終，我們可能想穿，你可能想擺脫它。有些人喜歡擁有一塊租給佛羅裡達州的農地。

Okay. Then I guess to wrap up this topic, the Louis, the [$750,000] impact from the 20 farms, is that spread relatively evenly on a per farm basis among the 20? Or is there certain of those farms represent a disproportionate amount of that [$750,000]?

好的。然後我想總結這個主題，Louis，20 個農場的 [750,000 美元] 影響，在 20 個農場中每個農場的分佈相對均勻嗎？或者是否有某些農場代表了不成比例的數量？[750,000 美元]？

Net farms with it would be weighted more heavily in terms of the income differential.

擁有它的淨農場在收入差異方面的權重將更大。

Okay. That's helpful. And then I guess the other question I have is you guys talked in detail about the water. You bought some more. You have a bunch of it on the on the books now on this get mark to market on a regular basis. And I guess the question here is it with all of the rain and everything in the aquifers four is got water worth less today than if we were in a drought situation. And so that that's going to fluctuate like securities mark-to-market on a quarterly basis or is that or GAAP not treating it?

好的。這很有幫助。然後我想我的另一個問題是你們詳細討論了水。你又買了一些。現在你在帳本上有很多關於定期上市的內容。我想這裡的問題是，所有的雨水和第四個含水層中的所有東西今天的水價值都比我們處於乾旱情況時要低。那麼這會像證券按季度計價一樣波動，還是 GAAP 沒有處理它？

Similarly now these are being held at cost on our books and the water. We've got the water we've acquired lately. It's including the cash paid the cash amount we paid of about $130 per acre foot. Some of that we did get granted from a water district. So we didn't pay any money directly for the water. But so in our books, including the cash we pay, plus the income recognized that as a result of receiving that water, I think it's on our books for maybe $290 or $300 per acre foot. That is still below market even in a wet year as we were last year or average year as they're calling it right now on. But keep in mind that just a few years ago and water was trading regularity for between [$1,500 to $2,000] plus per acre foot so that's the that's the time that we're really holding it forward. That doesn't mean we're going to sell it for that amount.

同樣，現在這些都以成本價存放在我們的書籍和水上。我們已經拿到了最近獲得的水。其中包括我們支付的現金金額，每英畝英尺約 130 美元。其中一些確實是從水區獲得的。所以我們沒有直接支付水費。但在我們的帳簿中，包括我們支付的現金，加上因接收這些水而確認的收入，我認為我們的帳簿上的價格可能是每英畝英尺 290 美元或 300 美元。即使在去年這樣的潮濕年份或他們現在所說的平均年份，這仍然低於市場水平。但請記住，就在幾年前，水的交易價格在每英畝英尺 [1,500 美元至 2,000 美元] 之間，所以那是我們真正堅持下去的時候。這並不意味著我們會以這個價格出售它。

We very well may keep it to them to use our own farms and make sure that our farms are optimizing their production potential.

我們很可能會讓他們使用我們自己的農場，並確保我們的農場正在優化其生產潛力。

But even even in that average or wet year, it's the rate that we're able to acquire water.

但即使在平均或潮濕的年份，這也是我們能夠獲取水的速度。

And as a result of some of these projects, it's still below market and will be just even that much more So better off during a drier critical years.

由於其中一些項目的實施，其價格仍然低於市場水平，並且在乾燥的關鍵年份甚至會更好。

Okay. And then last one for me. How are you guys thinking about selective pruning in the portfolio? So obviously, you know, you may wind up selling some or all of the 20 farms that you talked about, et cetera, there that that are having issues. But any other farms similar to the Florida asset, which isn't under any real duress, et cetera, that you guys are thinking about monetizing and either redeploying into something else or buying back stock or reducing debt or anything along those lines at this point, given some market prices for land in certain markets.

好的。然後是我的最後一張。你們如何看待投資組合中的選擇性修剪？很明顯，你知道，你最終可能會出售你談到的 20 個有問題的農場中的部分或全部。但是任何其他類似於佛羅裡達資產的農場，沒有受到任何真正的脅迫，等等，你們正在考慮貨幣化，或者重新部署到其他地方，或者回購股票，或者減少債務，或者類似的事情。某些市場的土地市場價格。

Well, if you pay us enough, we'll sell it all the time. It's nice. The prices aren't that different. So we aren't out marketing right now. However, I do think that marketing on some of the farms that we have that we've identified as we've talked about for you to sell, may tell us we should sell some other land as well but we're not out there looking for sales every day. It's a it's an interesting market.

好吧，如果你付我們足夠的錢，我們就會一直賣掉它。這真好。價格差異不大。所以我們現在還沒有進行行銷。然而，我確實認為，我們已經確定要出售的一些農場的營銷可能會告訴我們，我們也應該出售其他一些土地，但我們並沒有在那裡尋找每天進行銷售。這是一個有趣的市場。

And Rob, I just I look at that and I see these farmers and you talk to them about selling the farm and to us and they go back to you two or three generations that they've owned the property. And so it's it's like an emotional thing to make a sale. We are the same way we have good farms and it would be kind of silly to sell them if we can keep them rented and making money for us. That's our business holding farms and renting them out.

羅布，我只是看著這個，我看到這些農民，你和他們談論出售農場，然後和我們談論，他們會回溯到你兩三代人，他們已經擁有了這片土地。因此，銷售就像是一件情緒化的事情。就像我們擁有良好的農場一樣，如果我們可以出租它們並為我們賺錢，那麼出售它們就有點愚蠢了。這就是我們持有農場並將其出租的業務。

So probably not enough as desirous of some people who may want to just exit, but we're not going to go sell everything we have there is I believe no way of proving it today. The difference between what we're valuing these assets and what we could get for them. But it's not huge. These analysts that these brokers who we buy and sell farms all the time are people who know what the price of a farm is worth. Unfortunately, most of them have been hired back families that want to move the farm from bed to son or daughter. And as a result, they're looking for the lowest possible value for the farm. So these guys that are in the valuation business have been trained to do very lowball kinds of values that helps us when we're getting ready to buy something, but it's not the true value.

因此，對於一些可能想退出的人來說，可能還不夠渴望，但我們不會出售我們擁有的一切，我相信今天沒有辦法證明這一點。我們對這些資產的估值與我們可以從這些資產中獲得的價值之間的差異。但它並不大。這些分析師認為，我們一直買賣農場的經紀人都是知道農場價格的人。不幸的是，他們中的大多數人被雇用回那些想要將農場從床上搬到兒子或女兒手中的家庭。因此，他們正在尋找盡可能低的農場價值。因此，這些從事估值業務的人接受過培訓，可以做出非常低調的價值，當我們準備購買某些東西時，這可以幫助我們，但這並不是真正的價值。

But so I don't know if any of the farms that we own today are worth is so much more than what they've been valued at. So for us, as somebody came in and said your farms worth $1 billion, it's sold. But so we're not we're not in the business of buying and selling farms for capital gains as are some other people. Did that answer your question?

但所以我不知道我們今天擁有的農場的價值是否比它們的估價高得多。所以對我們來說，當有人進來說你們的農場價值 10 億美元時，它就被賣掉了。但我們並不是像其他人一樣從事買賣農場以獲取資本利得的業務。這回答了你的問題嗎？

Yes, David, that did, and thank you very much.

是的，大衛，確實如此，非常感謝你。

Okay, guys, do we have any more questions?

好的，夥伴們，我們還有什麼問題嗎？

(Operator Instructions) John Massocca, B. Riley.

（操作員說明）John Massocca、B. Riley。

Good morning.

早安.

Good morning, John.

早安，約翰。

On JB's, I think about the farms you currently are operating or have under kind of a management agreement as opposed to a lease? And what's the likelihood of any of those moving to a more traditional lease you're in the next couple of quarters, just given maybe where we are in terms of the growing season for whatever the affected farms are you is very pertinent for that.

在新山，我想一下您目前正在經營的農場或根據管理協議而不是租賃擁有的農場？在接下來的幾個季度中，任何一個人轉向更傳統的租賃的可能性有多大，只要考慮到我們在生長季節方面的情況，無論受影響的農場是什麼，都與此非常相關。

People don't buy farms when they're out of the season that they use, they like to buy it and a month or so before their season starts. But we are aware into that and we know things will come along as time goes on.

人們不會在使用季節結束時購買農場，他們喜歡在季節開始前一個月左右購買。但我們意識到這一點，我們知道隨著時間的推移，事情將會發生。

So if I had a farm that was going to be leased and we were holding it at an operating business. We'd make that known to everybody so that we are all feeling the effects of leasing. And I think a lot of these farms it, Janet just depends on what the economy does. If you have an economy that's rolling along and people have money, they are buying batteries and they're buying nuts. But given the strength of the economy now and the lower end, that eats varies and and not hard, just that's one of the things they're not new and they're not eating as much of those things is that in the past, and that's not really true of our drug areas, although very prices have increased and lot of other things that increase. But I don't think that we are going to be out there trying to figure out a way to sell every single farm tomorrow. And it's just not our business.

因此，如果我有一個要出租的農場，並且我們將其持有在經營企業中。我們會讓每個人都知道這一點，以便我們都能感受到租賃的影響。我認為很多這樣的農場，珍妮特只是取決於經濟狀況。如果經濟持續發展，人們有錢，他們就會買電池和堅果。但考慮到現在的經濟實力和低端市場，吃的東西各不相同，而且不難，只是這不是新鮮事之一，他們吃的東西不像過去那麼多，而且對於我們的藥品領域來說，情況並非如此，儘管價格已經上漲，而且許多其他東西也在上漲。但我不認為明天我們會試著找出出售每個農場的方法。這不關我們的事。

And look, I guess maybe as we think about, for instance, the other operating revenue line item is the expectation that that is from where it is in 1Q but kind of notable for the next couple of quarters, just given you may have some operating farms in the portfolio here until 4Q.

看，我想也許正如我們所思考的，例如，另一個營業收入項目是預期，即來自第一季的預期，但在接下來的幾個季度中值得注意，只是考慮到您可能有一些營業收入農場在此投資組合中直至第四季。

But John, a couple of things from that first that other operating revenue that was not due to direct farm operating revenue that was due to water that we got granted by water district for allowing others to store water in our water banks. So that was that was non-cash income based on the our estimate of the fair value of the water credits we received through that through those projects on to your question about the farms that were that are under operating management agreements.

但是約翰，首先有幾件事是，其他營業收入不是來自直接農場營業收入，而是來自水區授予的水，因為我們允許其他人在我們的水岸中儲存水。因此，這是非現金收入，基於我們對透過這些項目獲得的水信用公允價值的估計，以及您關於營運管理協議下的農場的問題。

The revenue we expect to recognize from those in the next couple of quarters is going to be pretty very minimal from converting it to a lease, converting those properties to a standard lease versus just outright selling them. That's something we're currently working through. I don't know that we can put a probability of X percent will be least X percent will be sold where I'm kind of a lot of moving parts right now talking with a few different groups but the revenue recognized over the next couple of quarters from those operations, I would expect to be very minimal.

我們預計在接下來的幾個季度中，將其轉換為租賃、將這些房產轉換為標準租賃而不是直接出售，所帶來的收入將非常小。這是我們目前正在解決的問題。我不知道我們是否可以將 X% 的機率確定為至少 X% 將被出售，我現在正在與幾個不同的團體交談，但在接下來的幾年中確認了收入我預計這些業務的季度收益會非常小。

But I appreciate the clarification there. And then as I think about I think you mentioned you had of the two tenants that are on a cash basis, one of them had paid either all or kind of partial rent. Was that in the quarter. Was that subsequent to quarter end? And how should I think about how much of maybe the annual rent owed would have been paid in that period?

但我很欣賞那裡的澄清。然後，當我想到時，我想你提到你有兩個以現金為基礎的租戶，其中一個已經支付了全部或部分租金。那是在本季嗎？那是在季度末之後嗎？我應該如何考慮在此期間可能支付的年租金的多少？

So net of those properties. Nothing was recognized in Q1 because the tenant who is current payments are due in May and November. So we recognized basically six months of that revenue, six months of revenue from those properties in Q4, nothing in Q1 and then his next payment is due this month. So assuming we do get those amounts down, we'll recognize those amounts in Q2 in total, that's probably about $300,000 or $400,000 of revenue across all of those the farms that went direct leases from us.

所以扣除這些屬性。第一季未確認任何內容，因為目前付款的租戶將於 5 月和 11 月到期。因此，我們基本上確認了六個月的收入，第四季度這些房產的六個月收入，第一季沒有任何收入，然後他的下一筆付款將於本月到期。因此，假設我們確實降低了這些金額，我們將在第二季度總共確認這些金額，這可能是所有從我們直接租賃的農場的收入約為 30 萬美元或 40 萬美元。

And that for a period for kind of time period annually

每年一段時間

That is the six months amount. So 2 times that amount would be the annual rent amount from those farms.

這是六個月的金額。因此，這些農場的年租金是該金額的兩倍。

Okay. And then with the California four leases that are expiring in the quarter. I mean, what percentage or what kind of amount of leases Byron this year does that make up?

好的。然後是加州的四份租約將於本季到期。我的意思是，拜倫今年的租賃量佔多少百分比或多少？

So what we I think we said we have five liters of farm next six months. Two of those are on nut farms. However, I don't know the exact percentage, but the majority of the well, let me back up. I think five of those five leases, they make up about 9% of our annualized revenues. I don't know the exact breakout, but more than two out of five leases, 40% but more than 40% of that revenue is attributed to those net farms. And I don't have the exact breakout right now, but it is more than more than half of that 9% of annualized revenue amount.

所以我認為我們說未來六個月我們有五公升農場。其中兩個位於堅果農場。不過，我不知道確切的百分比，但大部分都不錯，讓我備份一下。我認為這五項租賃中的五項約占我們年化收入的 9%。我不知道具體的突破情況，但五分之二以上的租賃收入，即 40% 但超過 40% 的收入都歸功於這些淨農場。我現在還沒有確切的突破，但它超過了年化收入 9% 的一半以上。

That's helpful. And then kind of more big picture. I mean, given some of the stress we've seen in the California market, you've had some bankruptcies or are you seeing distress maybe acquisition opportunities, things where and you have some corporate farmers that are in a lot of trouble where maybe that the even with all the risks associated with the current operating environment in California, it makes sense for you to acquire assets?

這很有幫助。然後是更宏觀的情況。我的意思是，考慮到我們在加州市場看到的一些壓力，你已經破產了，或者你是否看到了困境，也許是收購機會，你有一些企業農民遇到了很多麻煩，也許即使考慮到與加州當前營運環境相關的所有風險，您收購資產是否有意義？

Well, we haven't seen that many good purchases. There have been some huge bankruptcies, not us, not our people, but some people that we've seen going under and they have then buyer sales. We've see one or two small farms that might be fire sales, but it's really has not had the impact yet that you would expect because many of these farmers are if you want to say it the right way or just small businesses and small businesses, especially in this environment probably impacted much more than large businesses because of the interest rates we have farm that people will lend us money on. We're not that's not a problem for us. The agricultural banks are constantly talking to us about borrowing more money. And they love us because we've always paid our debt.

好吧，我們還沒有看到那麼多好的購買。已經發生了一些大規模的破產，不是我們，不是我們的員工，而是我們看到的一些人破產了，然後他們就被買家出售了。我們已經看到一兩個小農場可能會進行賤賣，但它確實還沒有產生你所期望的影響，因為如果你想說正確的話，這些農民中的許多人都是這樣的，或者只是小企業和小型企業，特別是在這種環境下，影響可能比大型企業大得多，因為我們的利率很高，人們會借錢給我們。我們不是，這對我們來說不是問題。農業銀行一直跟我們說要藉更多的錢。他們愛我們，因為我們總是償還債務。

So as a result, we've not had the problem of the lack of money. We had the problem of the cost of money, and that's true for all the small business people. If you looked at small business America the rates where they are today, including all the inflationary things that are going on have hurt small businesses more than large businesses. If you're a big business, you have huge amounts of money that you're holding on to?

因此，我們沒有出現缺錢的問題。我們面臨資金成本的問題，對於所有小型企業來說都是如此。如果你看看美國的小型企業，他們今天的利率，包括正在發生的所有通貨膨脹，對小型企業的傷害比對大企業的傷害更大。如果你是一家大企業，你持有大量資金嗎？

So, John, I don't know how to tell you how to judge that. We all spend. I mean, I lie awake at night trying to say to myself why it has this quarter going to be it's a it's a moving target of trying to figure out what's going to happen in California. Florida is probably more stable than than California. So we're glad of that because we have a lot of land in Florida. And as you know, the dirt doesn't go away. Somebody will use it to farm at some point in time. And that's the good news. The bad news is you just don't know when some farmers coming being able to step up and rent more property and grow more food. It's the government needs to slow down the inflation rate because all the inputs go up.

所以，約翰，我不知道該如何告訴你如何判斷。我們都花。我的意思是，我晚上徹夜難眠，試圖對自己說為什麼這個季度會是一個移動目標，試圖弄清楚加州會發生什麼。佛羅裡達州可能比加利福尼亞州更穩定。所以我們對此感到高興，因為我們在佛羅裡達州擁有很多土地。如您所知，污垢不會消失。有人會在某個時候用它來耕種。這就是好消息。壞消息是，你只是不知道什麼時候一些農民能夠站出來租用更多的財產並種植更多的糧食。政府需要減緩通貨膨脹率，因為所有投入都增加了。

But that doesn't necessarily flow through to the farmer. I mean, the person who's buying those products in the grocery stores. We had an odd situation in that. A lot of the grocery stores were increasing their prices, some of our products, but they weren't passing it on to the people who are growing them. So you had the grocery stores making more money and the people who are selling or not making more and given how fragmented all of these industries are. I mean they're really tons of people that are in all of these areas. You would think that they'd have some pressure on the grocery stores, but they don't.

但這不一定會流向農民。我的意思是，在雜貨店購買這些產品的人。我們遇到了一個奇怪的情況。許多雜貨店都在提高我們的一些產品的價格，但他們並沒有將其轉嫁給種植這些產品的人。因此，考慮到所有這些行業的分散程度，雜貨店賺了更多的錢，銷售或不賺更多錢的人也賺了更多的錢。我的意思是，他們真的有很多人都在所有這些領域。你可能會認為他們會給雜貨店帶來一些壓力，但事實並非如此。

And so the grocery stores really decide what they're willing to pay for things in of all the things that grocery stores worry about is do they have the product. If somebody produces strawberries and sells it to him, they're happy. They're just not willing to give up more money to get that certainty. It's happening a little bit more now that some of the farms aren't there competing with other farms, but it's still not a one to one kind of ratio. I don't know, John, does that help you?

因此，雜貨店真正決定他們願意支付的費用是雜貨店擔心的所有事情，即他們是否有產品。如果有人生產草莓並將其賣給他，他們會很高興。他們只是不願意放棄更多的錢來獲得這種確定性。現在這種情況發生得更多一些，一些農場不再與其他農場競爭，但仍然不是一對一的比例。我不知道，約翰，這對你有幫助嗎？

No that's really helpful color. I appreciate it. And that that's it for me. Thank you very much.

不，這是非常有用的顏色。我很感激。對我來說就是這樣。非常感謝。

Okay, Latoya, I don't think we have any more questions. Do we?

好的，拉托亞，我想我們沒有其他問題了。我們要不要？

No more questions back to you for closing comments.

結束評論時不再有問題。

While our disappointed, we like people asking questions because we get to answer those and hopefully it helps everybody understand the business we're in. And that's the end of this conference, and we thank you all for calling in.

雖然我們感到失望，但我們喜歡人們提出問題，因為我們可以回答這些問題，並希望這可以幫助每個人了解我們所處的業務。本次會議到此結束，我們感謝大家的來電。

Thank you. This does conclude today's teleconference. You may disconnect your lines at this time. Thank you for your participation and have a great day.

謝謝。今天的電話會議到此結束。此時您可以斷開線路。感謝您的參與，祝您有美好的一天。