CHS Inc. on Wednesday reported first-quarter net income of $522.9 million, a 33% decline from last year’s record-high results.
Despite favorable energy conditions and robust demand for soy products, the Minnesota-based agribusiness cooperative said profits were offset by weak U.S. export demand for grains and oilseeds.
Quarterly revenue totaled $11.4 billion, down from $12.8 billion the previous year. As earnings soften, CHS is working with Growmark to identify opportunities for the two cooperatives to collaborate and better serve their customers.
"CHS earnings were strong for the first quarter, despite a relative decline from last year's record earnings,” Jay Debertin, president and CEO of CHS, said in a statement. “We continue to see the benefits of our diversified ag and energy portfolio, our strategic footprint and investments in our supply chain.”
CHS’ domestic oilseed processing and international origination capabilities have helped add value to member businesses around the world, he added.
These results follow one of CHS’ strongest years, fueled by favorable conditions that bolstered margins. The company reported net income of $1.9 billion in fiscal year 2023. That is a $200 million improvement from the previous year.
CHS offers a range of products and services, from energy manufacturing and grain processing to crop protection items, fertilizers, seeds and digital farming tools.
