CFC Tabulates Initial Results for 2017 Key Ratio Trend Analysis

FOR IMMEDIATE RELEASE

June 04, 2018

Contact: Brad Captain, Corporate Relations Group

DULLES, Va.—The National Rural Utilities Cooperative Finance Corporation (CFC) has analyzed preliminary data for its 2017 Key Ratio Trend Analysis (KRTA), an annual assessment of financial trends among electric distribution cooperatives nationwide. CFC expects to release final KRTA numbers later this month.

Preliminary KRTA results are based on data submitted by 804 electric distribution cooperatives for the year ending Dec. 31, 2017. Notable trends include a 1.04 percent decline in kilowatt-hour (kWh) sales for the typical cooperative for the year. That compares with a median 0.48 percent kWh growth posted in 2016, but marks the second drop in three years.

Even with declining kWh sales, electric cooperatives continued to maintain strong financial metrics. The median system’s equity as a percentage of assets increased to 45.21 percent in 2017 from 44.83 percent in 2016; median modified debt service coverage (MDSC) and times interest earned ratio (TIER) were 1.80 and 2.56, respectively.

In 2017, electric cooperatives also saw consumer growth climb 0.65 percent versus 0.62 percent in 2016, while the median blended interest rate for the typical cooperative’s debt portfolio continued its 17-year slide, to 3.96 percent in 2017.

About CFC

Created and owned by America’s electric cooperative network, the National Rural Utilities Cooperative Finance Corporation (CFC)—a nonprofit finance cooperative with approximately $26 billion in assets—provides unparalleled industry expertise, flexibility and responsiveness to serve the needs of our member-owners. CFC is an equal opportunity provider. Visit us online at www.nrucfc.coop.

About KRTA

CFC has published KRTA—an annual report that tracks the median value of 145 financial and operational ratios for participating electric distribution cooperatives over the previous five years—since 1975. Based on unaudited data reported by electric distribution cooperatives, KRTA provides electric cooperative CEOs and directors/trustees with a complete picture of their system’s financial performance.