Gladstone Land Reports Diluted AFFO of $0.349 per Share as Revenue Jumps 77%
Key Facts
Gladstone Land reported adjusted funds from operations (AFFO) of $0.349 per diluted share in the third quarter of 2026, compared with $0.039 in the same period last year. Operating revenue was $31.471 million, up 77% from $17.785 million a year earlier. Results also showed net income rising to $11.025 million from $2.087 million. Net income attributable to common shareholders was $6.115 million, compared with a loss of $3.915 million in the third quarter of 2025. The company attributed a major part of the revenue growth to participation rents tied to tenants’ crops.
Participation rental income was about $16.8 million, compared with about $5.4 million in the year-earlier period. The company said the increase was primarily related to early recognition of a bonus on the 2025 pistachio crop. Strong almond and pistachio prices also contributed to growth in this line item. This highlights the importance of the timing of crop revenue recognition in assessing quarterly results, alongside regular rental income. Total operating revenue rose alongside this increase, according to the company’s results.
The company said the initial base price for split-shell pistachios from the 2026 crop was $2.50 per pound, up 67% from the initial price for the 2025 crop. The total price for the 2025 crop, including the bonus, was $2.90 per pound, up 21% from the final price for the 2024 crop. But management said the 2026 crop was expected to be light because of alternate bearing. It added that a heat wave in California during March affected pollination. Higher announced prices therefore come alongside uncertainty about crop volume.
The chief executive said uncertainty over the 2026 pistachio crop’s results would be reflected in the company’s 2027 earnings. He added that strong pricing and constrained supply could help support prices in the near term. He said the impact of the 2026 crop on future results would depend on the season’s outcome after the expected crop decline and the impact on pollination. These factors show that the 2025 crop bonus that supported third-quarter revenue does not, on its own, represent the outlook for the next crop. The company said 2026 agricultural results remain tied to earnings performance in the following year.
Gladstone Land announced monthly cash distributions of $0.0467 per share for each of October, November and December 2026. Total announced distributions for the fourth quarter amount to $0.1401 per share. In trading on November 9, 2026, LAND closed at $6.98, according to EL7 data. The close preceded the release of results in the company’s statement. The reported figures combine improved quarterly metrics with ongoing distributions, while the upcoming pistachio crop remains a key factor affecting 2027 results.