CHS, Inc.
Company Summary
Description
Just as in 1929, CHS is a farmer-owned cooperative working to help America’s farmers be more successful. Today, because of our belief in shared success and farmer-first values, we’ve grown into a Fortune 100 company that over the past five years has returned nearly $2 billion in cash to our farmer and member cooperative owners. Together, we’re making a difference around the world with our depth of energy, grain and food solutions—not to mention our full range of business services and our commitment to stewardship.Website
http://www.chsinc.com/our-company/about-usFinancial Data:
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Date: 4/15/2018
Type: Acquisition
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- Revenues of $7.2 billion compared to revenues of $8.5 billion for the third quarter of fiscal year 2019.
- Improved margins and volumes across much of the Ag segment as a result of more favorable weather conditions for spring planting compared to third quarter of fiscal year 2019.
- Improved trade relations between the United States and foreign trading partners.
- Decreased selling prices and volumes for refined fuels driven by global market conditions including the impact of COVID-19, which has depressed demand for energy products.
- A $42.0 million noncash charge to reduce our refined fuels inventory to its market value.
- Lower margins due to less advantageous market conditions compared to the third quarter of fiscal year 2019. Those lower margins were the result of decreased refining margins, which were partially offset by improved crude oil differentials for heavy Canadian crude oil processed by our refineries and by improved propane margins.
- Decreased selling prices and volumes for refined fuels driven by global market conditions including the impact of COVID-19 and product mix, which has depressed demand for energy products.
- A $42.0 million noncash charge to reduce our refined fuels inventory to its market value.
- Improved trade between the United States and foreign trading partners.
- Improved margins across much of the Ag segment as a result of more favorable weather conditions for spring planting compared to third quarter of fiscal year 2019, which were partially offset by decreased margins and volumes in our renewable fuels and processing and food ingredients businesses. Those decreases are attributable to COVID-19-related demand shocks in food service and transportation sectors.
- Impact of additional loan loss reserves established in the third quarter of fiscal year 2019 that did not reoccur in the third quarter of fiscal year 2020.
- Decreased interest expense associated with our CF Nitrogen investment.
- Lower earnings from our investment in Ventura Foods resulting from decreased demand due to COVID-19-related demand shocks in the food service sector.
- Less advantageous market conditions in our refined fuels business that drove lower margins, due to a combination of lower crack spreads and decreased crude oil differentials on heavy Canadian crude oil, which is processed by our refineries.
- Recognition of a gain contingency credit during the second quarter of fiscal year 2019 that did not recur during fiscal year 2020.
- A strong wheat crop and improved weather conditions that contributed to improved results.
- Poor weather conditions in fiscal year 2019 and ongoing global trade tensions that continued to negatively impact volumes and margins within agricultural markets.
- Lower equity income from our investment in CF Nitrogen due to decreased market pricing of urea and urea ammonium nitrate, which are produced and sold by CF Nitrogen, of which CHS has partial ownership.
- Non-operating gains recognized during the second quarter of fiscal year 2019 that did not recur in the second quarter of fiscal year 2020.
- Decreased income from our financing and hedging business due to lower interest rates and lower commissions, respectively.
- Hal Clemensen succeeds former director Randy Knecht, who retired from the CHS board of directors on Dec. 6. Clemensen represents Region 4, covering South Dakota, and has been the president of the Board of Directors of Agtegra Cooperative since its formation in 2018. He was president of the South Dakota Wheat Growers Association from 2005 until its merger with North Central Farmers Elevator in 2018. He is a past director and is an active member of the South Dakota Soybean Association and an active member of South Dakota Corn Growers. In 2015, the National Council of Farmer Cooperatives named him Farmer Cooperative Director of the year. He raises corn, soybeans and wheat near Conde, South Dakota. He holds a Bachelor of Science in Agricultural Economic and Agricultural Business from South Dakota State University. Clemensen was appointed to the Board's Government Relations and Corporate Risk committees.
- Kevin Throener succeeds former director Dennis Carlson, who retired from the board on Dec. 6, and represents Region 3, which covers North Dakota. Throener has been a director of CHS Dakota Plains Ag since 2014 and served as vice president of the Sargent County Farmers Union Board of Directors since 2007. He has also served on the Cogswell, North Dakota Volunteer Fire Department since 1997 and was its chief from 2010 to 2018. Throener raises corn, soybeans and alfalfa and operates a feed lot and cow/calf business near Cogswell, North Dakota. Throener and his wife Ronda are first-generation farmers who built their operation from the ground up. He studied Agricultural Systems Management at North Dakota State University. He was appointed to the Board's Governance Committee and the CHS Foundation Board of Trustees.
- Mark Farrell, who operates a corn, soybean and wheat farm in Dane County, Wisconsin, representing Region 5.
- Alan Holm, who operates a corn, soybean, sweet corn, peas and hay operation and has a cow-calf herd near Sleepy Eye, Minnesota, representing Region 1.
- Steve Riegel, who raises corn, soybeans, alfalfa, dryland wheat and milo near Ford, Kansas, representing Region 8.
- Dan Schurr, chair.
- C.J. Blew, first vice chair.
- Jon Erickson, second vice chair.
- Russ Kehl, secretary-treasurer.
- Steve Riegel, assistant secretary-treasurer.
- Net income of $54.6 million for the third quarter of fiscal 2019 compared to $181.8 million for the restated third quarter of fiscal 2018. One-time pre-tax gains of $124.1 million in the restated third quarter of fiscal year 2018 were not realized in the same time period in fiscal 2019. One-time pre-tax gains of $19.2 million related to the purchase of the remaining 75 percent share of West Central Distribution, LLC were realized in the third quarter of fiscal 2019.
- Consolidated revenues of $8.5 billion for the third quarter of fiscal 2019 compared to $9.1 billion for the restated third quarter of fiscal 2018.
- Net income of $650.9 million for the first nine months of fiscal 2019 compared to $535.5 million for the restated first nine months of fiscal 2018, an increase of 21.5 percent.
- The impact associated with the turnaround – scheduled maintenance to repair and improve operations – at our McPherson, Kansas, refinery.
- The return of Canadian crude oil prices to more normalized levels, where they are expected to remain for the rest of fiscal year 2019.
- The gains realized in fiscal year 2018 of sales of 34 Zip Trip stores and the Council Bluffs pipeline that did not recur in fiscal year 2019.
- Decreased margins and volumes for grain and oilseed, poor weather conditions including heavy snow and rainfall, historic flooding on waterways and continuing global trade tensions.
- Increased loan loss reserves associated with the challenging agricultural environment.
- Increased market pricing of urea and urea ammonium nitrate, which are produced and sold by CF Nitrogen, of which CHS is a part owner.
- A gain in the third quarter of fiscal 2018 from the sale of CHS Insurance that did not recur in the third quarter of fiscal 2019.
- Consolidated revenues of $6.5 billion compared to $7.0 billion in the restated second quarter of fiscal year 2018.
- Net income of $248.8 million compared to $166.0 million from the restated second quarter of fiscal year 2018.
- Pretax income of $261.9 million compared to a loss of $21.7 million from the restated second quarter of fiscal 2018.
- Favorable pricing for crude oil supplied to the CHS refinery business.
- Higher earnings from the investments in CF Nitrogen and Ventura Foods.
- Improved market conditions in the CHS refined fuels business, primarily driven by favorable pricing on heavy Canadian crude oil.
- Significant pressure on grain volume and margin due to slower movement of grain caused by price, weather, logistics and unresolved trade issues.
- Improved margins at CF Nitrogen, driven by increased sale prices of urea and UAN, which are produced and sold by CF Nitrogen.
- Higher earnings from the company's investment in Ventura Foods and increased revenue from other corporate activities.
- Net income of $347.1 million, an increase of $159.9 million from the restated first quarter of fiscal 2018.
- Consolidated revenues of $8.5 billion, a $452.4 million increase from the restated first period of fiscal 2018.
- Pretax income of $367.2 million, an increase of $159.4 million from the restated first period of fiscal 2018.
- Improved crude oil pricing, which drove higher refining margins.
- Favorable market conditions in the crop nutrients business, which resulted in higher margins.
- Improved earnings in the company's CF Nitrogen, Ardent Mills and Ventura Foods investments.
- Improved market conditions in the refined fuels business driven by favorable crude oil pricing.
- Improved pricing within the company's crop nutrients and processing and food ingredients businesses and volume increases within grain and processing.
- Improved margins within the Nitrogen Production business driven by increased sales prices of urea and UAN, which are produced and sold by CF Nitrogen.
- Higher earnings from the company's investments in Ventura Foods, LLC and Ardent Mills, LLC as well as increased interest revenue from the company's financing business.
- Net income of $775.9 million, an increase of $704 million from the previous fiscal year.
- Consolidated revenues of $32.7 billion, a $646 million increase from the previous fiscal year.
- Pretax income of $671.2 million, an increase of $781 million from fiscal 2017.
- Energy gains driven by higher refinery margins and favorable crude oil discounts.
- Disposal of assets resulted in cash proceeds of approximately $234.9 million and a pretax gain of approximately $131.8 million. The cash proceeds were used to optimize debt levels.
- A tax benefit through revaluation of the company's U.S. net deferred tax liability as a result of the Tax Cuts and Jobs Act in 2017.
- Improved market conditions in the refined fuels business due to higher refinery margins and favorable crude oil discounts, which drove higher pretax earnings. These benefits were partially offset by planned maintenance activities at the company's Laurel, Montana, refinery.
- Gains of $65.9 million associated with the sale of the Council Bluffs pipeline and terminal and 34 Zip Trip stores located in the Pacific Northwest.
- An impairment charge of $32.7 million recorded during fiscal 2017 related to the cancellation of a capital project, which did not recur in fiscal 2018.
- Lower demand and uncertainties primarily associated with international trade, which resulted in decreased margins across multiple businesses in the Ag segment. These were partially offset by increased margins within the company's processing and food ingredients business.
- Significant reserve and impairment charges recorded in fiscal 2017 that did not recur in fiscal 2018, the most significant of which related to the bankruptcy-like proceedings of a Brazilian trading partner.
- Impairments of $26.3 million related to international investments that CHS has exited or is in the process of exiting.
- Higher pretax income attributed to increased sale prices of urea and UAN, which are produced and sold by CF Nitrogen.
- A gain of $30.5 million in fiscal 2017 associated with an embedded derivative asset inherent in the agreement relating to CHS investment in CF Nitrogen. The gain was solely responsible for the income in Nitrogen Production in fiscal 2017, and there was no comparable gain in fiscal 2018.
- A gain of $58.2 million related to the sale of CHS Insurance, which was partially offset by lower earnings from the company's investments in Ventura Foods, LLC and Ardent Mills, LLC and CHS Capital and CHS Insurance (as a result of its sale).
- Energy generated pretax income of $113.1 million during the first quarter, compared to $70.0 million during the same period last year.
- The $43.1 million increase was primarily driven by improved margins within refined fuels.
- The Ag segment, which includes domestic and global grain marketing and crop nutrients businesses, renewable fuels, local retail operations, and processing and food ingredients, generated pretax income of $74.5 million for the three months ended Nov. 30, 2017, compared to $109.2 million for the same period the previous fiscal year.
- The $34.7 million decrease was primarily the result of lower margins in grain marketing, processing and food ingredients and renewable fuels. Lower volumes in grain marketing and processing and food ingredients also contributed to the decrease.
- The decrease was partially offset by an increase in earnings in the crop nutrients and country operations businesses.
- This segment is comprised of the company's investment in CF Industries Nitrogen, LLC (CF Nitrogen), and generated pretax income of $5.7 million during the first quarter of fiscal 2018, compared to $27.0 million during the same time in fiscal 2017.
- The decrease in earnings was primarily due to a gain of $29.1 million from an embedded derivative associated with CF Nitrogen that was recognized in fiscal 2017. There was no comparable gain in the current fiscal year.
- This decrease was partially offset by higher urea and urea ammonium nitrate prices.
- This segment is comprised of the company's investment in Ventura Foods, LLC (Ventura Foods), and generated pretax income of $1.0 million in the first quarter of fiscal 2018, compared to $10.6 million during the same period of fiscal 2017.
- The decrease in earnings was due to lower margins at Ventura Foods.
- This category is primarily comprised of the company's wheat milling joint venture and its financing, hedging and insurance operations, and generated pretax income of $5.3 million in the first quarter of 2018, compared to $8.7 for the same period of fiscal 2017.
- The decrease in earnings was due to lower earnings from the wheat milling joint venture and less interest revenue due to amending a receivables securitization agreement in late FY17, pursuant to which we no longer receive interest income from those receivables.
- C.J. Blew, first vice chairman
- David Johnsrud, Starbuck, Minn., secretary-treasurer
- Jon Erickson, second vice chairman
- Steve Riegel, Ford, Kan., assistant secretary-treasurer
- Energy:
Year-over-year income before income taxes declined 72 percent to $76.9 million, primarily due to significantly reduced refining margins and a charge incurred for the write-off of assets associated with a cancelled project. These decreases were partially offset by higher demand for energy products, most significantly in refined fuels. - Ag:
The CHS Ag segment includes domestic and global grain marketing, wholesale crop nutrients, renewable fuels, local retail operations, and processing and food ingredients. CHS Ag experienced a loss before income taxes of $230.8 million for fiscal 2017, compared to income before income taxes of $30.9 million for fiscal 2016. Grain marketing earnings decreased primarily due to charges associated with a trading partner in our Brazilian operations entering bankruptcy-like proceedings under Brazilian law. Country operations experienced a decrease in pretax income due to changes in reserves related to a single producer borrower and asset impairments, which were significantly offset by higher grain margins and volumes. A decrease in processing and food ingredients pretax income was primarily caused by long-lived asset impairment charges. Pretax income for crop nutrients and renewable fuels increased due to higher volumes and higher margins, respectively. - Nitrogen Production:
The Nitrogen Production segment is comprised of the company's investment in CF Industries Nitrogen, LLC ("CF Nitrogen"), and generated income before income taxes of $29.7 million during fiscal 2017, compared to $34.1 million in fiscal 2016. The decrease is primarily due to downward pressures on the pricing of urea and urea ammonium nitrate, which are produced and sold by CF Nitrogen. The decrease was partially offset by a $30.5 million gain from an embedded derivative associated with CF Nitrogen. - Food:
The Foods segment is comprised of the company's investment in Ventura Foods, LLC ("Ventura Foods"), and generated income before income taxes of $26.0 million during fiscal 2017, compared to $64.8 million the previous year. The decreases were primarily due to reduced margins at Ventura Foods. - Corporate and Other:
The Corporate and Other category is primarily comprised of the company's wheat milling joint venture and Business Solutions operations. Year over year income before taxes increased to $43.4 million, compared to $14.7 million during fiscal 2016. - The completion of the company's $2.8 billion strategic investment in CF Industries Nitrogen, LLC, intended to create long-term supplies of patronage-eligible nitrogen fertilizer for its owners.
- A new coker came on line at the CHS refinery at McPherson, Kan., allowing the refinery to process a larger variety of crude oils and deliver the best value to owners and customers by using the most cost-effective crude oil available. During fiscal 2017, completion of expansion projects at McPherson will bring the combined production of that refinery and a second at Laurel, Mont., to 155,000 barrels per day.
- CHS Country Operations helped producer-owners deliver more value through collaboration by combining operations of eight of its business units and by expanding partnerships with cooperatives in Kansas and Alberta, Canada.
- The CHS canola processing plant at Hallock, Minn., exceeded expectations in its first year, further linking farmer-owners to added value in food and food ingredients.
- CHS Business Solutions invested in partnerships that support member-owners including gaining 100 percent ownership of Russell Consulting, which provides financial and marketing advice, and offering The Land As Your Legacy® to engage farm families in business transition planning.
CHS Reports $97.6 Million in Third Quarter Fiscal 2020 Net Income
Source: PR Newswire
ST. PAUL, Minn., July 7, 2020 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP), the nation's leading agribusiness cooperative, today reported net income of $97.6 million for the third quarter of fiscal year 2020 that ended May 31, 2020. This represents a 78.8 percent increase compared to net income of $54.6 million in the third quarter of fiscal year 2019.
The results for the third quarter of fiscal year 2020 reflect:
"We continue to adapt how we do business to ensure the safety of our employees and our customers. A successfully managed supply chain helped our owners get the products and services they and their customers need to grow their crops. That focus also helped us deliver value to our customers around the world," said Jay Debertin, president and CEO of CHS Inc. "Improved trade relations benefited us, and, in turn, our owners, and we are eager for that to continue. We are not immune to the market pressures caused by COVID-19, and we will continue to adjust to best serve our owners and customers."
Third Quarter Fiscal 2020 Business Segment Results
The following segment results were reported for the third quarter of fiscal year 2020 compared to the third quarter of fiscal year 2019.
Energy
Pretax loss of $54.8 million in the third quarter of fiscal year 2020 compared to $1.3 million in pretax earnings for the third quarter of fiscal year 2019 reflects:
Ag
Pretax earnings of $95.4 million in the third quarter of fiscal year 2020 compared to pretax earnings of $21.1 million in the third quarter of fiscal year 2019 reflect:
Nitrogen Production
Pretax earnings of $23.5 million compared to pretax earnings of $20.2 million in the third quarter of fiscal 2019 reflect:
Corporate and Other
Pretax earnings of $6.3 million compared to pretax earnings of $19.0 million in the third quarter of fiscal 2019 reflect:
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, agronomy, grains and foods, CHS is committed to creating connections to empower agriculture, helping its farmer-owners, customers and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, seed, crop protection products, grain marketing services, production and agricultural services, animal nutrition products, foods and food ingredients, and risk management services. The company operates petroleum refineries and pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document contains, and other CHS Inc. internally and publicly available documents contain, and CHS officers and representatives may from time to time make, "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward-looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not place undue reliance on any of these forward-looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward-looking statements are discussed or identified in CHS filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10-K for the fiscal year ended August 31, 2019, and in Item 1A of Part II of CHS Quarterly Report on Form 10-Q for the quarterly period ended May 31, 2020. Any forward-looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise except as required by applicable law.
CHS Inc. Earnings* | ||||||||||||||||
by Segment | ||||||||||||||||
(in thousands $) | ||||||||||||||||
Three Months Ended May 31, | Nine Months Ended May 31, | |||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||
Energy | $ | (54,764) | $ | 1,259 | $ | 246,309 | $ | 540,305 | ||||||||
Ag | 95,360 | 21,112 | 60,653 | 39,031 | ||||||||||||
Nitrogen Production | 23,507 | 20,178 | 45,698 | 54,569 | ||||||||||||
Corporate and Other | 6,346 | 19,030 | 31,014 | 56,761 | ||||||||||||
Income before income taxes | 70,449 | 61,579 | 383,674 | 690,666 | ||||||||||||
Income tax (benefit) expense | (27,052) | 6,866 | (18,258) | 40,534 | ||||||||||||
Net income | 97,501 | 54,713 | 401,932 | 650,132 | ||||||||||||
Net income (loss) attributable to noncontrolling | (147) | 93 | 955 | (758) | ||||||||||||
Net income attributable to CHS Inc | $ | 97,648 | $ | 54,620 | $ | 400,977 | $ | 650,890 | ||||||||
*Earnings is defined as income (loss) before income | ||||||||||||||||
View original content:http://www.prnewswire.com/news-releases/chs-reports-97-6-million-in-third-quarter-fiscal-2020-net-income-301089434.html
SOURCE CHS Inc.
Article Date
7/7/2020CHS Reports $125.4 Million in Second Quarter Net Income
Source: PR Newswire
ST. PAUL, Minn., April 8, 2020 /PRNewswire/ -- CHS Inc.(NASDAQ: CHSCP), the nation's leading agribusiness cooperative, today reported net income of $125.4 million for the second quarter of fiscal year 2020 that ended Feb. 29, 2020. This compares to net income of $248.8 million in the second quarter of fiscal year 2019.
The company reported revenues of $6.6 billion for the second quarter of fiscal year 2020 compared to revenues of $6.5 billion for the second quarter of fiscal year 2019. In the first six months of fiscal year 2020, CHS reported net income of $303.3 million compared to net income of $596.3 million in the first six months of fiscal year 2019.
"Today our top focus is on our core value of safety—including the health and safety of our employees, farmers, our owners, our customers, our local cooperatives and the communities where we live and work around the world—as we all navigate the impact of COVID-19," said Jay Debertin, president and CEO of CHS Inc. "The investments we've made in our infrastructure connect farmers and local cooperatives to the inputs and services they need during this busy spring season. This crop needs to get planted. Farmers will get this crop planted. And we will be there to be part of it as we support them and our communities."
Second Quarter Fiscal 2020 Business Segment Results
The following segment results were reported for the second quarter of fiscal year 2020 as compared to the second quarter of fiscal year 2019.
Energy
Pretax earnings of $138.9 million in the second quarter of fiscal year 2020 compared to $306.6 million for the second quarter of fiscal year 2019 reflect:
Ag
Pretax loss of $20.8 million in second quarter of fiscal year 2020 compared to pretax loss of $62.4 million in the second quarter of fiscal year 2019 reflects:
Nitrogen Production
Pretax earnings of $5.7 million in the second quarter of fiscal year 2020 compared to pretax earnings of $10.7 million in the second quarter of fiscal year 2019 reflect:
Corporate and Other
Pretax earnings of $4.0 million in the second quarter of fiscal year 2020 compared to pretax earnings of $7.0 million in the second quarter of fiscal year 2019 reflect:
CHS Inc. Earnings* | ||||||||||||||||
by Segment | ||||||||||||||||
(in thousands $) | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
February 29, | February 28, | February 29, | February 28, | |||||||||||||
Energy | $ | 138,921 | $ | 306,585 | $ | 301,074 | $ | 539,046 | ||||||||
Ag | (20,845) | (62,398) | (34,707) | 17,920 | ||||||||||||
Nitrogen Production | 5,741 | 10,712 | 22,191 | 34,391 | ||||||||||||
Corporate and Other | 4,007 | 6,956 | 24,667 | 37,730 | ||||||||||||
Income before income taxes | 127,824 | 261,855 | 313,225 | 629,087 | ||||||||||||
Income tax expense | 2,130 | 13,551 | 8,794 | 33,668 | ||||||||||||
Net income | 125,694 | 248,304 | 304,431 | 595,419 | ||||||||||||
Net income (loss) attributable to noncontrolling interests | 247 | (462) | 1,102 | (851) | ||||||||||||
Net income attributable to CHS Inc | $ | 125,447 | $ | 248,766 | $ | 303,329 | $ | 596,270 | ||||||||
*Earnings is defined as income (loss) before income taxes | ||||||||||||||||
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, agronomy, grains and foods, CHS is committed to creating connections to empower agriculture, helping its farmer-owners, customers and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, seed, crop protection products, grain marketing services, production and agricultural services, animal nutrition products, foods and food ingredients, and risk management services. The company operates petroleum refineries and pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document contains and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not place undue reliance on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2019, and Part II, Item IA of CHS Quarterly Report on Form 10-Q for the quarterly period ended February 29, 2020. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise except as required by applicable law.
View original content:http://www.prnewswire.com/news-releases/chs-reports-125-4-million-in-second-quarter-net-income-301037687.html
SOURCE CHS Inc.
Article Date
4/8/2020Olivia Nelligan Named CHS Chief Financial Officer
Source: PR Newswire
ST. PAUL, Minn., Jan. 20, 2020 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP), the nation's leading agribusiness cooperative, announced today it has named Olivia Nelligan as its new executive vice president and chief financial officer, effective Jan. 29, 2020.
Nelligan brings more than 20 years of experience as a global finance leader and business partner with expertise leading transformation across teams and delivering sustainable, profitable growth. Most recently, Nelligan served as founder and chief executive officer of Inish Enterprises, a strategic advisory firm. Prior to that, Nelligan served as chief executive officer of Nasco, LLC, a private equity-owned company that provides specialty products for education, healthcare, laboratory testing and agriculture. After serving as Nasco's CEO, she served as non-executive chair of the company's board. Before being named Nasco's CEO, Nelligan was the company's chief financial officer.
Prior to joining Nasco, Nelligan spent 14 years at Kerry Group, a global leader in technology-based food ingredients, flavors and solutions where she held finance and strategy leadership positions, including serving as global chief financial and strategic planning officer for the Taste & Nutrition division and chief financial officer for the Americas Ingredients & Flavors division. She began her career at Arthur Andersen in Dublin, Ireland.
Nelligan has a bachelor's degree in civil law and a higher diploma in business and financial information systems from University College Cork, Ireland. She earned an MBA at the University of Wisconsin – Madison and is a chartered accountant.
"We are excited to have Olivia join CHS. She brings an impressive record of executing and achieving financial results and leading organizations through transformation and growth," said Jay Debertin, CHS president and chief executive officer. Nelligan will be a member of the CHS strategic leadership team and will report to Debertin.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, agronomy, grains and foods, CHS is committed to creating connections to empower agriculture, helping its farmer-owners, customers and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, seed, crop protection products, grain marketing services, production and agricultural services, animal nutrition products, foods and food ingredients, and risk management services. The company operates petroleum refineries and pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document contains and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not place undue reliance on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2019. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise except as required by applicable law.
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SOURCE CHS Inc.
Article Date
1/20/2020CHS Inc. Owners Elect Five Board Members During Annual Meeting
Source: PR Newswire
ST. PAUL, Minn., Dec. 10, 2019 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP) owners elected five board members to three-year terms during the cooperative's 2019 Annual Meeting held Dec. 5-6 in Minneapolis. CHS Inc. is the nation's largest cooperative and a leading global agribusiness company owned by farmers, ranchers and cooperatives across the United States.
Newly elected to three-year terms are:
Reelected to three-year terms are:
Following the Annual Meeting, the board held its annual re-organization meeting. Each of the following board members was elected to one-year officer terms:
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, agronomy, grains and foods, CHS is committed to creating connections to empower agriculture, helping its farmer-owners, customers and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, seed, crop protection products, grain marketing services, production and agricultural services, animal nutrition products, foods and food ingredients, and risk management services. The company operates petroleum refineries and pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and accompanying oral presentation contain and other CHS Inc. internally and publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not place undue reliance on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2019. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise except as required by applicable law.
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SOURCE CHS Inc.
Article Date
12/10/20197/29/2019 - CHS announces CFO retirement
CHS announces CFO retirement
Source: PR Newswire
ST. PAUL, Minn., July 29, 2019 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP), the nation's leading agribusiness cooperative, today announced that Tim Skidmore, executive vice president and chief financial officer, is retiring effective December 31, 2019. Skidmore will continue as the company's chief financial officer through the filing of the company's Form 10-K for its fiscal year 2019.
"We would like to thank Tim for his dedicated service to CHS, his focus on building a strong finance organization to support the changing needs of the company and his commitment to adding value to our owners," said Jay Debertin, CHS president and CEO. "Tim also made strengthening relationships with owners a priority. He spent time listening to and talking with owners, always communicating our focus on maintaining a strong balance sheet."
Skidmore joined CHS in 2013 as executive vice president and chief financial officer. During his tenure, he led the finance organization through a time of significant growth and change with a focus on hiring and developing finance talent and realigning the finance organization to provide increased value through an enterprise finance shared services model, enhanced financial planning and analysis and deeper business partnerships.
Said Skidmore, "I'm honored and humbled to have served CHS through such an important time in our evolution, and I have every confidence in the finance team to continue the good work we've begun."
A search for the company's next chief financial officer will begin immediately.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, agronomy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients along with financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2018. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
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SOURCE CHS Inc.
Article Date
7/29/2019CHS Reports $54.6 million of net income for third quarter of fiscal 2019
Source: PR Newswire
ST. PAUL, Minn., July 15, 2019 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP), the nation's leading agribusiness cooperative, today announced its financial results for the third quarter and the first nine months of fiscal year 2019.
CHS reported:
"Our cooperative continues to perform well through the first nine months of the fiscal year. Though our net income was down compared to the prior year third quarter of fiscal 2018, the first nine months of fiscal year 2019 have been strong," said Jay Debertin, CHS president and CEO. "During the third quarter, we completed the acquisition of the remaining 75 percent ownership interest in West Central Distribution, LLC, a full-service wholesale distributor of agronomy products headquartered in Willmar, Minnesota. The acquisition demonstrates our commitment to provide more of the products, services and technology our owners need to compete. Scheduled maintenance at our refinery in McPherson, Kansas, slowed production of refined fuels; but that maintenance investment will enable CHS to better serve our owners and rural America in the long term. We are committed and working hard to maximize earnings for our owners by creating connections to empower agriculture.
"The uncertainty of the international trade markets continues to create difficult circumstances for all who work in agribusiness. Weather challenges led to late planting that has hurt our owners – America's farmers and cooperatives that help grow the food to feed the world," Debertin said. "We traveled throughout our trade territory this spring to meet with our owners, and every location we visited was impacted by heavy spring rains and late planting. At CHS, we are working to navigate external challenges, and we are committed to leveraging the strength of our supply chain to help our owners and customers navigate as the year progresses."
Third Quarter Fiscal 2019 Business Segment Results
The following business segment results were reported for the third quarter of fiscal 2019 as compared to the restated third quarter of fiscal 2018.
Energy
The $92.7 million decrease in Energy pretax earnings reflects:
AG
The $39 million decrease in Ag pretax earnings was driven by:
Nitrogen Production
The $1.4 million increase in Nitrogen Production pretax earnings reflects:
Corporate and other
The $44.9 million decrease in Corporate and Other pretax earnings reflects:
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, agronomy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients along with financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2018. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
CHS Inc. Earnings* | |||||
by Segment | |||||
(in millions $) | |||||
For the Three Months Ended | |||||
May 31 | |||||
2019 |
(As restated) 2018 | ||||
Energy | $1.3 | $94.0 | |||
Ag | 21.1 | 60.1 | |||
Nitrogen Production | 20.2 | 18.8 | |||
Corporate and Other | 19.0 | 63.9 | |||
Income before income taxes | 61.6 | 236.8 | |||
Income tax expense (benefit) | 6.9 | 55.2 | |||
Net income (loss) | 54.7 | 181.6 | |||
Net income (loss) attributable to non-controlling interests | 0.1 | (0.2) | |||
Net income (loss) attributable to CHS Inc. | 54.6 | 181.8 | |||
*Earnings is defined as income (loss) before income taxes. |
For the Nine Months Ended | |||||
May 31 | |||||
2019 | (As restated) | ||||
Energy | $540.3 | $239.0 | |||
Ag | 39.0 | 81.7 | |||
Nitrogen Production | 54.6 | 29.0 | |||
Corporate and Other | 56.8 | 73.2 | |||
Income before income taxes | 690.7 | 422.9 | |||
Income tax expense (benefit) | 40.5 | (111.9) | |||
Net income (loss) | 650.2 | 534.8 | |||
Net income (loss) attributable to non-controlling interests | (0.7) | (0.7) | |||
Net income (loss) attributable to CHS Inc. | 650.9 | 535.5 | |||
*Earnings is defined as income (loss) before income taxes. |
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SOURCE CHS Inc.
Article Date
7/15/2019CHS Reports $596.3 million of net income for first six months of fiscal 2019
Source: PR Newswire
ST. PAUL, Minn., April 3, 2019 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP, CHSCO, CHSCN, CHSCM, CHSCL), the nation's leading farmer-owned cooperative and a global energy, agronomy, grains and foods company, today reported net income of $248.8 million for the second quarter of fiscal 2019 and $596.3 million for the first six months of fiscal 2019.
"Our strong performance in the second quarter reflects our hard work at serving our owners and other customers better. We've refocused on serving our customers and improving our operations, and that has shown positive results in our financials for the first half of fiscal 2019," said Jay Debertin, CHS president and chief executive officer. "Our performance also reflects the benefit of a diverse platform across business units that serves our cooperative and farmer-owners."
Key financial highlights for the quarter ending Feb. 28, 2019, include:
"The first six months of our fiscal year have returned overall good financial results," Debertin said. "But we face challenges, particularly in our Ag segment. These challenges of low commodity prices, trade difficulties and harsh winter weather impact all of agriculture, especially farmers. As we look to the rest of our fiscal year, we know there are factors such as the recent flooding we cannot control that will continue to affect agribusiness and those growing the food to feed the world."
Second Quarter Fiscal 2019 Segment Results
The following segment results were reported for the second quarter of fiscal 2019 as compared to second quarter fiscal 2018.
ENERGY
The $282.1 million increase in Energy pretax earnings reflects:
AG
The $8.9 million decrease in Ag pretax earnings was driven by:
NITROGEN PRODUCTION
The $6.2 million increase in Nitrogen Production pretax earnings reflects:
CORPORATE AND OTHER
The $4.2 million increase in Corporate and Other pretax earnings reflects:
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, agronomy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients along with financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2018. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
CHS Inc. Earnings* | ||||||
by Segment | ||||||
(in millions $) | ||||||
For the Six Months Ended | ||||||
Feb. 28 | ||||||
2019 | (As restated) 2018 | |||||
Energy | $539.1 | $144.9 | ||||
Ag | 17.9 | 21.6 | ||||
Nitrogen Production | 34.4 | 10.2 | ||||
Corporate and Other | 37.7 | 9.4 | ||||
Income before income taxes | 629.1 | 186.1 | ||||
Income tax expense (benefit) | 33.7 | (167.1) | ||||
Net income (loss) | 595.4 | 353.2 | ||||
Net income (loss) attributable to non-controlling interests | (0.9) | (0.5) | ||||
Net income (loss) attributable to CHS Inc. | 596.3 | 353.7 | ||||
*Earnings is defined as income (loss) before income taxes. |
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SOURCE CHS Inc.
Article Date
4/3/2019CHS Reports $347 Million First Quarter Fiscal 2019 Net Income
Source: PR Newswire
ST. PAUL, Minn., Jan. 10, 2019 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP, CHSCO, CHSCN, CHSCM, CHSCL), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, today reported a net income of $347.1 million for the first quarter of fiscal 2019.
"Our strong first quarter results position us well as we start our 2019 fiscal year," said Jay Debertin, CHS president and chief executive officer. "We are focused on making CHS our customers' first choice by advancing our technology solutions and equipping employees to meet the changing needs of our customers around the world. We will do this while maintaining financial discipline and rigor."
Key financial highlights for the quarter that ended Nov. 30, 2018, include:
First Quarter Fiscal 2019 Segment Results
The following segment results were reported for the first quarter of fiscal 2019 as compared to first quarter fiscal 2018.
ENERGY
The $112.0 million increase in Energy pretax earnings reflects the following:
AG
The $5.1 million increase in Ag pretax earnings was driven by the following:
NITROGEN PRODUCTION
The $18.0 million increase in Nitrogen Production pretax earnings reflects the following:
CORPORATE AND OTHER
The $24.3 million increase in Corporate and Other pretax earnings reflects the following:
In late December 2018, CHS, a 25 percent owner of West Central Distribution, exercised its option to purchase the remaining 75 percent of the respected crop protection distribution company and is in the process of completing due diligence and satisfying regulatory, legal and other requirements.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, agronomy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients along with financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2018. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
CHS Inc. Earnings* (in millions $) | ||||||
For the Three Months Ended | ||||||
Nov. 30, | ||||||
2018 | (As restated) | |||||
Energy | $232.4 | $120.4 | ||||
Ag | 80.3 | 75.2 | ||||
Nitrogen Production | 23.7 | 5.7 | ||||
Corporate and Other | 30.8 | 6.5 | ||||
Income before income taxes | 367.2 | 207.8 | ||||
Income tax expense (benefit) | 20.1 | 20.6 | ||||
Net income (loss) | 347.1 | 187.2 | ||||
Net income attributable to non-controlling interests | (0.4) | (0.4) | ||||
Net income (loss) attributable to CHS Inc. | $347.5 | $187.6 | ||||
*Earnings is defined as income (loss) before income taxes. |
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SOURCE CHS Inc.
Article Date
1/10/2019CHS Reports Fiscal 2018 Net Income of $776 Million
Source: PR Newswire
ST. PAUL, Minn., Dec. 3, 2018 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP, CHSCO, CHSCN, CHSCM, CHSCL), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, today reported net income of $775.9 million for the fiscal year that ended Aug. 31, 2018.
"Our fiscal 2018 results show the progress we are making on the priorities we set for CHS," said Jay Debertin, CHS president and chief executive officer. "Our year-over-year financial performance shows good improvement, our balance sheet is solid, and our relationships with cooperative owners are strong. The diverse CHS business platform allowed us to deliver improved earnings and enables us to return $150 million in cash patronage and equity redemptions to owners even as we navigated challenging market conditions."
Key financial highlights for the fiscal year that ended Aug. 31, 2018, include:
"As we move into fiscal 2019, we continue to build on the momentum and strong performance we started in fiscal 2018. This includes evolving and growing our core businesses in a changing marketplace and capitalizing on the value of this diverse organization to make CHS our owners' and customers' first choice," said Debertin. "We are focused on serving those who grow food to feed the world."
In October, CHS filed an 8-K with the Securities and Exchange Commission (SEC) announcing that it would restate its audited consolidated financial results for fiscal years 2015, 2016, 2017 and its unaudited consolidated financial results for the first three quarters of 2017 and 2018. The restatement was necessary to correct material misstatements related to valuation and accounting for certain rail freight contracts. The misstatements were discovered as a result of an investigation the company conducted through external counsel and under the oversight of the Audit Committee of its Board of Directors. Appropriate personnel actions were taken, based on the investigation's findings. All overstated non-cash values have been written off and appropriately reflected in the company's restated financial results. Additional information can be found in the form 10-K filed with the SEC.
Fiscal 2018 Segment Results
The following segments results have been reported for fiscal 2018:
ENERGY
The $391.0 million increase in Energy pretax earnings over fiscal 2017 reflects:
AG
The $344.4 million increase in Ag pretax earnings over fiscal 2017 reflects:
NITROGEN PRODUCTION
The $9.0 million increase in Nitrogen Production pretax earnings versus fiscal 2017 reflects:
The $36.9 million increase in Corporate and Other pretax earnings reflects:
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, agronomy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients along with financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2018. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
CHS Inc. Earnings* for Fiscal 2018 | ||||||
(in millions $) | ||||||
For the Twelve Months Ended | ||||||
Aug. 31, | ||||||
2018 | (As restated) | |||||
Energy | $452.1 | 61.1 | ||||
Ag | 74.3 | (270.1) | ||||
Nitrogen Production | 38.8 | 29.8 | ||||
Corporate and Other | 106.0 | 69.1 | ||||
Income before income taxes | 671.2 | (110.1) | ||||
Income tax expense (benefit) | (104.1) | (181.1) | ||||
Net income (loss) | 775.3 | 71.0 | ||||
Net income attributable to non-controlling interests | (0.6) | (0.6) | ||||
Net income (loss) attributable to CHS Inc. | $775.9 | $71.6 | ||||
*Earnings is defined as income (loss) before income taxes. |
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SOURCE CHS Inc.
Article Date
12/3/2018CHS reports $180.1 million first quarter earnings for fiscal 2018
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
ST. PAUL, Minn., Jan. 10, 2018 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP, CHSCO, CHSCN, CHSCM, CHSCL), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, today reported net income of $180.1 million for the first quarter of its 2018 fiscal year (three-month period ended Nov. 30, 2017), compared to net income of $209.2 million for the same period a year ago.
Consolidated revenues for the first quarter of fiscal 2018 were $8.0 billion, the same as fiscal 2017. Pretax income was $199.6 million and $225.6 million for the first quarter of fiscal 2018 and 2017, respectively.
"Despite challenging market conditions, CHS experienced a solid first quarter thanks to our continued focus on three key priorities: strengthening relationships, sharpening operational excellence and restoring financial flexibility," said CHS President and Chief Executive Officer Jay Debertin. "In the first quarter, we recorded solid earnings from our businesses and reduced long-term debt. These actions are helping to strengthen and grow CHS."
For the first quarter of fiscal 2018, reporting segment results were:
Energy
Ag
Nitrogen Production
Food
Corporate and Other
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2017. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
|
CHS Inc. Earnings | |||||
|
millions $ | |||||
|
For the Three Months Ended | |||||
|
Nov. 30, | |||||
|
2018 (fiscal year) |
2017 (fiscal year) | ||||
|
Energy |
$113.1 |
$70.0 | |||
|
Ag |
74.5 |
109.2 | |||
|
Nitrogen Production Foods Corporate and Other |
5.7 1.0 5.3 |
27.0 | |||
|
10.6 | |||||
|
8.8 | |||||
|
Income before income taxes |
199.6 |
225.6 | |||
|
Income taxes |
(19.9) |
(16.6) | |||
|
Net income |
179.7 |
209.0 | |||
|
Net income attributable to non-controlling interests |
0.4 |
0.2 | |||
|
Net income attributable to CHS Inc. |
$180.1 |
$209.2 | |||
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SOURCE CHS Inc.
Article Date
1/10/2018Farmer-owned cooperative CHS elects directors; 2017 officer slate elected
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
ST. PAUL, Minn., Dec. 12, 2017 /PRNewswire/ -- CHS owners have elected farmers from Illinois and Minnesota, and re-elected five other farmers to serve three-year terms as directors of the nation's leading farmer-owned cooperative and global energy, grains and foods company. The owners also elected a Washington farmer to serve a one-year term on the cooperative's board of directors.
The elections took place during the 2017 CHS Annual Meeting held Dec. 8, in Minneapolis. CHS Directors must be full-time farmers or ranchers to be eligible for election to the 17-member board.
Newly elected Director Scott Cordes of Wanamingo, Minn., succeeds Curt Eischens of Minneota, Minn., who had served on the board since 1990. With his brother and nephew, Cordes operates a 1,000-acre corn and soybean farm. He received his bachelor's degree in agricultural economics from the University of Minnesota and previously served as the president of CHS Hedging.
Newly elected Director Tracy Jones of Kirkland, Ill., succeeds Greg Kruger of Eleva, Wis., who had served on the board since 2008. Jones, who operates a corn, soybean and wheat farm, and also finishes 1,400 head of feedlot cattle annually, has been chairman of the CHS Elburn board of directors since 2011.
Newly elected Director Russ Kehl of Quincy, Wash., fills the final year of a three-year term previously held by David Bielenberg, who resigned in June 2017. Kehl raises potatoes, dry beans and other crops on a 12,000-acre farm. A director for CHS Connell Grain since 2004, Kehl also operates a dry bean processing facility and cow-calf operation.
Re-elected were C.J. Blew, Castleton, Kan.; Jon Erickson, Minot, N.D.; Edward Malesich, Dillon, Mont.; Perry Meyer, New Ulm, Minn., and Dan Schurr, LeClaire, Iowa.
Following the annual meeting, the CHS Board re-elected Schurr to a one-year term as chairman. Other directors selected as officers for 2018 were:
CHS Inc. (NASDAQ: CHSCP) (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2017. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
View original content:http://www.prnewswire.com/news-releases/farmer-owned-cooperative-chs-elects-directors-2017-officer-slate-elected-300570403.html
SOURCE CHS Inc.
Article Date
12/12/201711/17/2017 - CHS names Rick Dusek to lead retail ag operations
CHS names Rick Dusek to lead retail ag operations
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
INVER GROVE HEIGHTS, Minn., Nov. 17, 2017 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, has named Rick Dusek executive vice president for its Country Operations division. This division serves farmers and ranchers through locally governed ag retailers in 450 communities across 16 states.
"A strong leader with a diverse background in commodity businesses, Rick brings a depth and breadth of industry knowledge and experience that will help us continue to create value for our owners through our Country Operations retail platform," said CHS President and CEO Jay Debertin.
With nearly three decades in the cooperative system, Dusek recently served as vice president, CHS Agronomy, where he was responsible for global crop nutrients supply and trading, North American fertilizer operations, sales and marketing, and for developing additional agronomy product and technology offerings.
Previously, Dusek served as vice president, grain marketing, where he oversaw North American commodity trading, logistics and transportation and risk management. His team led the strategic expansion of the company's North American grain origination platform, including inland river terminal acquisitions and development and upgrading of export terminal facilities.
Dusek joined CHS in 1988 and spent his early days on the wheat export trading desk. He was named director of merchandising in 2006 and vice president of grain marketing in 2012. He currently serves on the board of directors for The Fertilizer Institute, and is a past board member of the Minneapolis Grain Exchange.
Born and raised in Grafton, N.D., Dusek earned a bachelor's of science degree in agricultural economics from North Dakota State University.
CHS Inc. (chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2017. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
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SOURCE CHS Inc.
Article Date
11/17/2017CHS reports fiscal year-end results and announces FY 2018 priorities
Source: PR Newswire
Orignial Article: https://www.prnewswire.co...
ST. PAUL, Minn., Nov. 9, 2017 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP, CHSCO, CHSCN, CHSCM, CHSCL), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, today reported net income of $127.9 million for the fiscal year ended Aug. 31, 2017, compared to net income of $424.2 million for the fiscal year ended Aug. 31, 2016. Consolidated revenues totaled $31.9 billion for fiscal 2017, approximately a five percent increase over consolidated revenues of $30.3 billion for fiscal 2016.
"It's been a challenging year, but we're committed to meeting the long-term needs of our cooperative owners and customers. We will continue to take prudent actions to ensure the company is well positioned for future opportunities," said CHS President and Chief Executive Officer Jay Debertin.
For fiscal 2017, CHS experienced a loss before income taxes of $54.8 million, down from income before income taxes of $419.9 million in fiscal 2016, reflecting significant charges that relate to a Brazilian trading partner entering into bankruptcy-like proceedings under Brazilian law, intangible and fixed asset impairments, and bad debt and loan loss reserve charges, of which a significant portion relate to a single large producer borrower.
"As fiscal 2018 unfolds, CHS is focusing on three key priorities: strengthen relationships with owners and customers, sharpen focus on operational excellence, and restore financial flexibility," Debertin said. "I'm happy to report that we've seen progress on these priorities already. We are making significant headway towards managing credit risk consistently across the organization and are leveraging our ongoing asset review to drive decisions that will further strengthen our balance sheet."
For fiscal year 2017 ending on Aug. 31, 2017, reporting segments results are:
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2017. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
|
CHS Inc. Net Income | |||
|
By segment | |||
|
(in millions $) | |||
|
For the Twelve Months | |||
|
2017 (fiscal year) |
2016 (fiscal year) | ||
|
Energy |
76.9 |
275.4 | |
|
Ag |
(230.8) |
30.9 | |
|
Nitrogen Production |
29.7 |
34.1 | |
|
Foods |
26.0 |
64.8 | |
|
Corporate and Other |
43.4 |
14.7 | |
|
Income (loss) before income taxes |
(54.8) |
419.9 | |
|
Income tax expense (benefit) |
(182.1) |
(4.1) | |
|
Net income (loss) |
127.3 |
424.0 | |
|
Net income (loss) attributable to non-controlling interests |
(0.6) |
(0.2) | |
|
Net income attributable to CHS Inc. |
127.9 |
424.2 | |
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SOURCE CHS Inc.
Article Date
11/9/20177/14/2017 - CHS reports fiscal 2017 third-quarter results
CHS reports fiscal 2017 third-quarter results
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
ST. PAUL, Minn., July 14, 2017 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP, CHSCO, CHSCN, CHSCM, CHSCL), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, today reported a net loss of $45.2 million for the third quarter of its 2017 fiscal year (three-month period ended May 31, 2017), compared to net income of $190.3 million for the same period one year ago. Consolidated revenues for the third quarter were $8.6 billion, compared to $7.8 billion for the third quarter of 2016, representing a 10 percent increase.
"Despite the economic challenges in agriculture and energy, several of our underlying businesses are having a solid year," said CHS President and Chief Executive Officer Jay Debertin. "Unfortunately, we've experienced three negative one-time events this fiscal year that have resulted in charges leading to a loss in the third quarter and a significant earnings decline for the year to date. In response to these events, we are implementing measures to better identify risk management gaps in some of our processes and when necessary enhance our ability to effectively manage our risks."
Pretax income for the nine-month period ended May 31, 2017, was $40.0 million, compared to $407.9 million for the nine-month period ended May 31, 2016. The decrease is primarily the result of charges related to a Brazilian trading partner entering into bankruptcy proceedings under Brazilian law, loan loss reserve charges, of which a significant portion relate to a single large producer borrower, and asset impairment charges.
Revenues for the nine-month period ended May 31, 2017, were $24.0 billion, compared to $22.2 billion for the nine-month period ended May 31, 2016, an increase of 8 percent.
"Throughout the world, agriculture and energy markets remain unpredictable and our owners and customers depend on us, so it's our job to be prepared to succeed in any economic environment," said Debertin. "That's why we're committed to improving our risk management practices across our businesses. Additionally we are refocusing on the areas we know best and in parts of the world where we need to be to serve the U.S. farmer. We will do this based on the core values and tenets CHS has built on for more than 85 years: trust, partnership and opportunity."
The CHS Energy segment experienced a loss before income taxes of $9.3 million for the three months ended May 31, 2017, compared to income before taxes of $109.4 million for the same period in fiscal 2016. Results were primarily due to significantly reduced refining margins and a $32.7 million charge incurred due to a cancelled capital project. The company's propane, transportation and lubricants businesses experienced decreases in earnings compared to the same period a year ago.
The CHS Ag segment, which includes domestic and global grain marketing and crop nutrients businesses, renewable fuels, local retail operations, and processing and food ingredients, generated a loss before income taxes of $221.2 million for the three months ended May 31, 2017, compared to income before taxes of $24.2 million for the same period in fiscal 2016. Grain marketing earnings decreased primarily due to a $230 million charge driven by a trading partner in Brazil entering bankruptcy proceedings under Brazilian law. The wholesale crop nutrients and renewable fuels businesses experienced decreases due to lower margins. The processing and food ingredients business earnings decreased primarily due to impairment charges taken on certain assets during the three months ended May 31, 2017. Country Operations earnings increased due primarily to increased volumes.
The Nitrogen Production segment generated income of $8.7 million during the third quarter, compared to $25.0 million during the same period last year. The decrease is primarily due to lower production margins.
The company's Foods segment, previously reported as a component of Corporate and Other, generated pretax earnings of $7.0 million during the third quarter of fiscal 2017, compared to $17.0 million in the same period the previous year. The decreases were primarily due to reduced margins at Ventura Foods, LLC, the investment that makes up the Foods segment.
The Corporate and Other segment generated pretax income of $5.6 million during the third quarter of fiscal 2017, compared to $18.9 million during the same time period the previous year. Earnings in this category are primarily derived from the company's equity investment in the Ardent Mills, LLC, wheat milling joint venture and our Business Solutions operations.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2016. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
|
CHS Inc. Earnings | |||||||||
|
By segment | |||||||||
|
(in millions $) | |||||||||
|
For the Three Months |
For the Nine Months | ||||||||
|
May 31, |
May 31, | ||||||||
|
2017 |
2016 |
2017 |
2016 | ||||||
|
Energy |
(9.3) |
109.4 |
77.3 |
239.2 | |||||
|
Ag |
(221.2) |
24.2 |
(121.3) |
62.4 | |||||
|
Nitrogen Production |
8.7 |
25.0 |
41.2 |
26.3 | |||||
|
Foods |
7.0 |
17.0 |
20.7 |
46.9 | |||||
|
Corporate and Other |
5.6 |
18.9 |
22.1 |
33.1 | |||||
|
Income (loss) before income taxes |
(209.2) |
194.5 |
40.0 |
407.9 | |||||
|
Income tax (benefit) expense |
(163.0) |
4.8 |
(137.8) |
(17.8) | |||||
|
Net income (loss) |
(46.2) |
189.7 |
177.8 |
425.7 | |||||
|
Net income (loss) attributable to non-controlling interests |
(1.0) |
(0.6) |
(0.7) |
(.1) | |||||
|
Net income attributable to CHS Inc. |
(45.2) |
190.3 |
178.5 |
425.8 | |||||
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SOURCE CHS Inc.
Article Date
7/14/2017Cooperative CHS focuses on essentials that position member-owners for long-term success
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
MINNEAPOLIS, Dec. 2, 2016 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP), the nation's leading cooperative and a global energy, grains and foods company, continues to take essential steps that ensure it remains strong and positions its member cooperative- and producer-owners for long-term success.
"Since 2011, we've laid a strong foundation for the future. We've made tremendous investments to serve you at home and to connect you to the global marketplace," CHS President and CEO Carl Casale told about 2,000 member cooperative- and producer-owners attending the company's annual meeting. "Now we're using our new market reality to make us better. We're making sure our system is stronger and that we are more efficient."
The CHS Annual Meeting took place Dec. 1-2 at the Minneapolis Convention Center. With "The Essentials" theme, the event included a review of fiscal 2016 results and highlights, along with official company business. Among those attending were 111 next generation men and women who participated in the company's New Leader Forum designed to enhance leadership skills and expand industry and cooperative knowledge. The two-day CHS Annual Meeting also featured nearly four dozen educational sessions intended to provide business insights that help producers and their cooperatives succeed.
Casale said he remains optimistic about the outlook for U.S. agriculture based on global population growth and food demand projections through the end of the 21st century.
"Cycles will always be with us, but as farmers, ranchers and the cooperatives who serve them, we've got plenty of opportunity ahead," he said.
For fiscal 2016 (Sept. 1, 2015 – Aug. 31, 2016) CHS reported net income of $424.2 million on revenues of $30.3 billion, both down from fiscal 2015 and attributed to lower commodity prices and margins which affected significant portions of the company's core energy, grain marketing and fertilizer businesses.
In reviewing fiscal 2016 results, Tim Skidmore, CHS executive vice president and chief financial officer, said the cooperative "remains financially sound, with a strong balance sheet, and positioned for future growth opportunities."
Skidmore noted that during fiscal 2017, based on fiscal 2016 results, CHS will return an estimated $337 million in cash to its owners in the form of cash patronage, equity redemptions to eligible members and dividends on preferred stock.
CHS Board Chairman David Bielenberg, a Silverton, Ore., farmer, told members that in down economic cycles it's important to "be open to possibilities we may have overlooked and to focus on what's most important. We also recognize that we don't have to go it alone. We can count on our cooperatives and their trusted teams to be there when we need them."
CHS business highlights for fiscal 2016 included:
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2016. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
SOURCE CHS Inc.
Article Date
12/2/201611/3/2016 - CHS posts fiscal 2016 earnings of $424.2 million
CHS posts fiscal 2016 earnings of $424.2 million
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
ST. PAUL, Minn., Nov. 3, 2016 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, today announced earnings for fiscal 2016 of $424.2 million.
CHS net income for fiscal 2016 (Sept. 1, 2015 – Aug. 31, 2016) of $424.2 million was down 46 percent from $781.0 million for fiscal 2015, reflecting lower pre-tax earnings within the company's Energy and Ag segments, as well as its Corporate and Other category. Lower pre-tax earnings within these two segments were partly offset by increased pretax earnings in its Foods segment, and seven months of earnings from its Nitrogen Production segment which was created by the February 2016 strategic investment CHS made in CF Industries Nitrogen, LLC (CF Nitrogen). These results reflect the continued economic down cycle in the company's core energy and agriculture businesses, as well as the impact of one-time events.
"Like others in our core businesses of agriculture and energy, the ongoing global downturn continued to affect both our earnings and revenues in fiscal 2016," said Carl Casale, CHS president and chief executive officer. "Meeting the long-term needs of our owners and customers remains our priority as we continue to take prudent actions to ensure the company remains financially sound and positioned for future opportunities."
Revenues for the fiscal year were $30.3 billion, down 12 percent from $34.6 billion for fiscal 2015, primarily due to lower prices for the commodity energy, grains and fertilizer products that comprise much of the company's business.
"As fiscal 2017 unfolds, CHS will sustain its focus on its financial and operational priorities. This includes always putting safety first and taking mindful steps to maintain balance sheet strength and profitability," Casale added. "We'll continue to manage expenses and staffing prudently, while making investments in necessary maintenance and essential operational upgrades and ensuring assets deliver appropriate levels of return."
Year-over-year pre-tax earnings for the CHS Energy segment declined 49 percent to $275.4 million for the year ended Aug. 31, 2016, primarily due to significantly lower refining margins for the company's two refineries. Earnings for the company's transportation business also declined. Record performance by CHS propane business for fiscal 2016 was significantly ahead of fiscal 2015 which included reduced crop drying and winter heating demand. The CHS lubricants business also reported record earnings for a second consecutive year.
CHS reports results for its agricultural inputs, grain marketing, local retail and processing businesses under the Ag segment. The company recorded fiscal 2016 Ag earnings before taxes of $30.9 million, down 79 percent from fiscal 2015, a year in which results included a $116.5 million one-time impairment charge resulting from its decision to cease planned development of a nitrogen fertilizer plant at Spiritwood, N.D.
Within the Ag segment, earnings for the company's Country Operations local retail businesses declined primarily due to lower grain margins. This was partially offset by higher grain volumes in fiscal 2016 compared with fiscal 2015. Lower margins also contributed to a decline in earnings for the CHS wholesale crop nutrients business. CHS grain marketing earnings also decreased in fiscal 2016, primarily due to lower margins which were partially offset by higher volumes. CHS Processing and Food Ingredients saw lower year-over-year earnings for fiscal 2016, primarily due to costs associated with the sale and impairment of assets, along with a specific customer receivable and, to a lesser extent, lower soybean crushing margins. The company's renewable fuels marketing and production operations also declined from fiscal 2016 as a result of lower ethanol market prices, also partially offset by increased volumes.
CHS recorded fiscal 2016 income before taxes of $34.1 million, net of allocated expenses, from its February 2016 investment in CF Nitrogen reported in the company's Nitrogen Production segment. In addition, CHS recorded fiscal 2016 pre-tax earnings of $64.8 million, net of allocated expenses, for its ownership in Ventura Foods, LLC, under its Foods segment; these results had previously been reported under the Corporate and Other heading. Within the Corporate and Other category, CHS reported slightly higher earnings for fiscal 2016 for its business services operations, including the company's insurance, risk management and financing businesses, while year-over-year income from its ownership in the Ardent Mills, LLC, wheat milling joint venture declined.
In fiscal 2016, based on fiscal 2015 earnings, CHS returned $515.7 million to its owners as cash patronage, equity redemptions, preferred stock and dividends on preferred stock to its owners. Based on fiscal 2016 results, the company expects to return about $337 million to owners during fiscal 2017.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2016. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
|
CHS Inc. Earnings | ||||
|
By segment | ||||
|
(in millions $) | ||||
|
For the 12 Months Ended | ||||
|
Aug. 31, | ||||
|
2016 |
2015 | |||
|
Energy |
$275.4 |
$538.1 | ||
|
Ag |
30.9 |
149.6 | ||
|
Nitrogen Production |
34.1 |
-- | ||
|
Foods |
64.8 |
62.7 | ||
|
Corporate and Other |
14.7 |
17.7 | ||
|
Income before income taxes |
419.9 |
768.1 | ||
|
Income tax benefit (expense) |
4.1 |
12.2 | ||
|
Net income |
424.0 |
780.3 | ||
|
Net (income) loss attributable to non-controlling interests |
0.2 |
0.7 | ||
|
Net income attributable to CHS Inc. |
$424.2 |
$781.0 | ||
Photo - http://photos.prnewswire.com/prnh/20161103/436079
SOURCE CHS Inc.
Article Date
11/3/2016CHS reports fiscal 2016 nine-month earnings of $425.8 million
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
ST. PAUL, Minn., July 7, 2016 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP, CHSCO, CHSCN, CHSCM, CHSCL), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, today reported net income of $425.8 million through nine months of its 2016 fiscal year.
CHS net income of $425.8 million for the period from Sept.1, 2015 through May 31, 2016, reflected a 34 percent decline from net income of $649.6 million through nine months of fiscal 2015. The lower earnings were attributed to the continued down economic cycles in the agricultural and energy sectors, which have resulted in reduced commodity prices and lower margins globally. Fiscal 2016 revenues through May 31, 2016, were $22.2 billion, down 17 percent from $26.6 billion for the first three quarters of fiscal 2015, and primarily reflected lower selling prices for the energy, grain and fertilizer products the company handles.
CHS net income for the third quarter of fiscal 2016 (March 1 through May 31, 2016), was 7 percent ahead of the same period of fiscal 2015. CHS reported net income of $190.3 million for the third quarter of fiscal 2016, compared with $178.1 million for the same period in fiscal 2015. Results for the third quarter of fiscal 2016 were attributed to increased pre-tax earnings for the company's Energy segment and its Corporate and Other category, as well as the new CHS Nitrogen Production segment. Results also reflected a reversal of lower cost or market charges taken earlier in fiscal 2016 within the Energy segment when energy product prices were lower. Revenues for the third quarter of fiscal 2016 were $7.8 billion, down 10 percent compared with $8.7 billion for the third quarter of fiscal 2015.
For the first three quarters of fiscal 2016, operating income reflected lower pre-tax earnings in the CHS Energy and Ag segments. These were partially offset by increased earnings in the Corporate and Other category, as well as the addition of the company's new Nitrogen Production segment.
CHS Energy segment earnings through the third quarter of fiscal 2016 declined year-over-year primarily due to lower refining margins, along with decreased earnings for the company's lubricants and transportation businesses. Propane earnings through nine months of fiscal 2016 increased from the same period of fiscal 2015.
Year-over-year earnings also declined within the CHS Ag segment, which includes the company's wholesale crop nutrients, renewable fuels, Country Operations retail, animal nutrition and sunflower processing; grain marketing, and processing and food ingredients businesses. Lower earnings in this segment were largely attributed to soft market conditions across the agricultural sectors CHS serves. Lower grain margins resulted in decreased earnings within grain marketing and Country Operations. Earnings for the company's wholesale crop nutrients business also declined compared with the same period of fiscal 2015 due to lower margins. CHS renewable fuels marketing and production earnings decreased through nine months of fiscal 2016 when compared with the same period of fiscal 2015, largely due to lower market prices for ethanol. CHS processing and food ingredients earnings decreased primarily due to a charge associated with disposal of the assets and a customer receivable.
CHS generated income before taxes in its newly established Nitrogen Production segment of $26.3 million, resulting from its February 2016 equity method investment of $2.8 billion in CF Industries Nitrogen, LLC.
CHS reports results for its business services operations and its two food processing-related joint ventures under the Corporate and Other category. Corporate and Other earnings for the first nine months of fiscal 2016 increased over the previous year primarily due to increased hedging and capital volumes and lower compensation and benefit costs.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not place undue reliance on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2015. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
|
CHS Inc. Earnings | |||||||
|
By segment | |||||||
|
(in millions $) | |||||||
|
For the Three Months Ended |
For the Nine Months Ended | ||||||
|
May 31, |
May 31, | ||||||
|
2016 |
2015 |
2016 |
2015 | ||||
|
Energy |
$109.4 |
$83.3 |
$239.2 |
$374.6 | |||
|
Ag |
24.2 |
61.7 |
62.4 |
262.0 | |||
|
Nitrogen Production |
25.0 |
-- |
26.3 |
-- | |||
|
Corporate and Other |
35.9 |
25.5 |
80.0 |
60.0 | |||
|
Income (loss) before income taxes |
194.5 |
170.5 |
407.9 |
696.6 | |||
|
Income tax (benefit) expense |
4.8 |
(7.3) |
(17.8) |
47.5 | |||
|
Net income (loss) |
189.7 |
177.8 |
425.7 |
649.1 | |||
|
Net income (loss) attributable to non-controlling interests |
(0.6) |
(0.3) |
(0.1) |
(0.5) | |||
|
Net income attributable to CHS Inc. |
$190.3 |
$178.1 |
$425.8 |
$649.6 | |||
SOURCE CHS Inc.
Article Date
7/7/2016CHS reports fiscal 2016 six-month earnings of $235.5 million
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
ST. PAUL, Minn., April 11, 2016 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP, CHSCO, CHSCN, CHSCM, CHSCL), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, today reported net income of $235.5 million for the first six months of its 2016 fiscal year.
CHS net income of $235.5 million for the period from Sept.1, 2015 through Feb. 29, 2016, reflected a 50 percent decline from net income of $471.5 million for the first six months of fiscal 2015. The lower earnings were attributed to the down economic cycles in the agricultural and energy sectors, which have resulted in reduced commodity prices and lower margins globally. These have combined to significantly reduce CHS profitability. Revenues through Feb. 29, 2016, were $14.4 billion, down nearly 20 percent from $17.9 billion for first half of fiscal 2015, and primarily reflected lower selling prices for the energy, grain and fertilizer products the company handles.
"Like others in our energy and agricultural space, CHS is experiencing the earnings impact of depressed global prices and reduced demand for refined fuels, grain and fertilizer," said CHS President and Chief Executive Officer Carl Casale. "We've experienced these types of cycles throughout our more than 85-year history and will navigate this period by finding ways to run our businesses more efficiently and effectively while continuing to serve our owners' and customers' needs."
For the second quarter of fiscal 2016 (Dec. 1, 2015 through Feb. 29, 2016), CHS reported a net loss of $31.0 million compared with earnings of $92.8 million for the same period in fiscal 2015. Results for the quarter also were attributed to the current down cycle in the company's agricultural and energy businesses. Revenues for the second quarter of fiscal 2016 were $6.7 billion, down 20 percent compared with $8.4 billion for the second quarter of fiscal 2015.
Through the first six months of fiscal 2016, operating income reflected lower pre-tax earnings in the CHS Energy and Ag segments. These were partially offset by increased earnings in the Corporate and Other category, as well as the addition of the company's new Nitrogen Production segment.
In addition to significantly reduced refining margins, CHS Energy segment earnings for the first six months of fiscal 2016 included a significant non-cash charge to revalue inventories to market value. The company's lubricants and transportation businesses also experienced lower earnings for the six-month period, while propane earnings increased.
Year-over-year earnings also declined within the CHS Ag segment, which includes the company's crop nutrients, renewable fuels, Country Operations retail, animal nutrition and sunflower processing; grain marketing, and processing and food ingredients businesses. Lower earnings in this segment were largely attributed to soft market conditions across the agricultural sectors CHS serves. Lower margins affected earnings within the crop nutrients, Country Operations retail and grain marketing businesses. In the renewable fuels business, earnings declined primarily due to lower market prices. CHS processing and food ingredients earnings decreased primarily due to a non-cash impairment charge on assets held for sale.
With one month of operation in fiscal 2016, CHS generated income before taxes in its newly established Nitrogen Production segment of $1.3 million, resulting from its February 2016 equity method investment of $2.8 billion in CF Industries Nitrogen, LLC.
CHS reports results for its business services operations and its two food processing-related joint ventures under the Corporate and Other category. Corporate and Other earnings for the first six months of fiscal 2016 increased over the previous year primarily due to higher earnings associated with the company's investment in Ventura Foods, LLC, a manufacturer, packager and distributor of vegetable oil-based food products.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not place undue reliance on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2015. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
|
CHS Inc. Earnings | |||||||
|
For the Three Months Ended |
For the Six Months Ended | ||||||
|
February 29, |
February 29, | ||||||
|
2016 |
2015 |
2016 |
2015 | ||||
|
Energy |
$(63.1) |
12.1 |
129.9 |
291.2 | |||
|
Ag |
(31.1) |
61.1 |
38.1 |
200.4 | |||
|
Nitrogen Production |
1.3 |
-- |
1.3 |
-- | |||
|
Corporate and Other |
16.4 |
17.3 |
44.1 |
34.5 | |||
|
Income (loss) before income taxes |
(76.5) |
90.5 |
213.4 |
526.1 | |||
|
Income tax (benefit) expense |
(46.3) |
(2.4) |
(22.6) |
54.9 | |||
|
Net income (loss) |
(30.2) |
92.9 |
236.0 |
471.2 | |||
|
Net income (loss) attributable to non-controlling interests |
0.8 |
0.1 |
0.5 |
(0.3) | |||
|
Net income attributable to CHS Inc. |
$(31.0) |
$92.8 |
$235.5 |
$471.5 | |||
SOURCE CHS Inc.
Article Date
4/11/20163/8/2016 - CHS grows refined fuels supply capabilities through NuStar agreement and continued investments
CHS grows refined fuels supply capabilities through NuStar agreement and continued investments
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
ST. PAUL, Minn., March 8, 2016 /PRNewswire/ -- North Dakota, South Dakota and Minnesota member-owners and customers of CHS Inc. (NASDAQ: CHSCP), the nation's leading cooperative and global energy, grains and food company, will soon benefit from completion of projects that enhance the region's refined fuels supply. An upcoming connection between the NuStar pipeline and the Cenex Pipeline near Prosper, N.D., and related investments in additional product storage will strengthen supply to CHS customers.
While the NuStar connection project, slated for completion in spring 2017, is undergoing regulatory approval, it's already anticipated as a positive investment in the area's refined fuels supply infrastructure.
"We know a dependable supply of gasoline and diesel fuel is essential to our Cenex®-branded customers and owners," said Darin Hunhoff, CHS senior vice president, refined fuels. "Over the past five years CHS has invested $90 million in developing a robust supply network across North Dakota, South Dakota, Minnesota and Montana. Our goal is to help our Cenex-branded marketers provide a reliable supply of gasoline and diesel fuel to their customers."
To maximize access to refined fuels produced at the upgraded and expanded CHS Laurel, Mont., and McPherson, Kan., refineries, the company has partnered with NuStar Pipeline on a connection at Council Bluffs, Iowa. Combined with a connection near Prosper N.D., these investments allow a higher volume of product to move efficiently from CHS refineries to existing and new terminal locations and across the CHS distribution network. In addition, the company plans to upgrade portions of its Cenex Pipeline -- which spans from Laurel, Mont., to Fargo, N.D., to expand distribution capacity.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2015. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
SOURCE CHS Inc.
Article Date
3/8/20162/24/2016 - Cooperative CHS returns $519 million to owners
Cooperative CHS returns $519 million to owners
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
ST. PAUL, Minn., Feb. 24, 2016 /PRNewswire/ -- Farmers, ranchers and cooperatives across the United States will share in an estimated $519 million cash distribution from CHS Inc. (NASDAQ: CHSCP), the nation's leading agricultural co-op and a global energy, grains and foods company. The distribution ranks among the largest in CHS history and extends a five-year record of significant cash returns to owners.
David Bielenberg, CHS Board chairman and a Silverton, Ore., farmer, said the 2016 cash returns to owners demonstrate CHS commitment to maintaining a strong financial foundation, providing economic returns to its owners and continuing to invest in the company's future.
"The ability of our owners, who are also our customers, to directly share in the financial success of CHS is a unique benefit of a cooperative business," said Bielenberg. "And, this cash return is added value that enables farmers, ranchers and member cooperatives to invest in their own futures and in the communities where they live."
The 2016 cash return to owners is based on CHS net income of $781 million for the fiscal year ending Aug. 31, 2015. Between fiscal 2012 and 2016 (based on fiscal 2011 – 2015 earnings) CHS has distributed a total of $2.7 billion in cash, a $544 million annual average.
The distribution beginning this month to about 1,100 member cooperatives and approximately 50,000 individual members and others consists of patronage paid on business conducted with CHS in fiscal 2015. During fiscal 2016, CHS will also redeem previously earned equity to eligible member cooperatives and individual members, as well as pay quarterly dividends on its five classes of CHS preferred stock.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2015. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
SOURCE CHS Inc.
Article Date
2/24/2016CHS donates $10,000 to fund community grain bin safety equipment
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
ST. PAUL, Minn., Feb. 23, 2016 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, announced today it has contributed $10,000 to the third annual Grain Bin Safety Week. The donation will fund grain bin rescue tubes and specialized training that fire departments use to help save farmers, ranchers and other workers engulfed in grain bins.
Organized by Nationwide Agribusiness, Grain Bin Safety Week (Feb. 21 – 27, 2016) is an annual observance dedicated to increasing awareness of grain bin safety on farms and commercial grain-handling facilities. The goal of this event is to educate the agricultural community on safe work practices and procedures to help reduce the number of preventable injuries and deaths associated with grain handling and storage.
Multiple winners of rescue tubes and related training will be chosen in the Nominate Your Fire Department Contest, a popular component of Grain Bin Safety Week. Nominations are being accepted by Nationwide Agribusiness through May 31, 2016 at 11:59 p.m. CT, online, email and by mail.
"The safety of our employees, customers and communities is a top priority for CHS," said Linda Tank, senior vice president, CHS Communications and Public Affairs. "Through this partnership, first responders in rural communities have the opportunity to receive specialized equipment and training necessary to handle grain emergencies."
Find out more at www.grainbinsafetyweek.com.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
SOURCE CHS Inc.
Article Date
2/23/2016New coker now operating at CHS Refinery at McPherson, Kansas
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
MCPHERSON, Kan., Feb. 17, 2016 /PRNewswire/ -- Member-owners of CHS Inc. (NASDAQ: CHSCP), the nation's leading cooperative and a global energy, grains and foods company, are now benefitting from the recently completed coker at the company's central Kansas refinery.
Construction of the coker unit at the CHS Refinery at McPherson began in March 2013 and took nearly 2.8 million construction man hours to complete. The unit began operating on Feb. 5, 2016.
"The new coker allows the refinery to process a larger variety of crude oils, thus delivering the best value to our owners and customers by purchasing the most cost-effective crude oil available," said Jim Loving, CHS senior vice president, refining, pipelines and terminals. "We're also able to meet increased product demand while creating an even safer operating environment for our employees."
During the refining process, the coker converts the heaviest portion of crude oil into more valuable liquid products that can then be converted into gasoline or diesel fuel. Any remaining product is sold as petroleum coke for use in industrial applications.
The CHS Refinery at Laurel, Mont., began operating a new coker unit in 2008. Upgrades at each refinery are expected to bring combined production to 160,000 barrels a day in 2019. In recent years, CHS has invested $2 billion in refined fuels manufacturing and distribution upgrades and ownership to serve our owners and customers.
Safety is a central feature of the new unit which has a fully automated decoking control system. This allows operators to drill out and remove coke from the drums from a protected area that is a safe distance away from the coker. Prior to successful startup, unit operators were extensively trained and equipment was thoroughly checked and tested.
"Replacing our previous coker, built in 1952, was essential for the refinery's continued operation," said Rick Leicht, McPherson refinery vice president. "Our new coker is state of the art and improves operational safety and reliability. In addition, we have flexibility in processing the most economically favorable crude oils."
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2015. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
Photo - http://photos.prnewswire.com/prnh/20160217/334191
SOURCE CHS Inc.
Article Date
2/17/2016CHS announces filing of Registration Statement for issuance of shares of Class B Cumulative Redeemable Preferred Stock, Series 1 for non-individual patrons' equity redemption
Source: PR Newswire
ST. PAUL, Minn., Jan. 29, 2016 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP, CHSCO, CHSCN, CHSCM, CHSCL) announced today it has filed a registration statement on Form S-1 with the Securities and Exchange Commission ("Commission") to register the issuance of shares of the company's Class B Cumulative Redeemable Preferred Stock, Series 1 (the "Class B Series 1 Preferred Stock") which will be used to redeem approximately $75 million of its patrons' equities. CHS intends to issue such shares of Class B Series 1 Preferred Stock to non-individual "active patrons" who hold qualified capital equity certificates in an amount equal to or greater than $500. "Active patrons" are non-individual patrons who have done business with CHS in the past five fiscal years.
A registration statement relating to these securities has been filed with the Securities and Exchange Commission but has not yet become effective. These securities may not be sold nor may offers to buy be accepted prior to the time the registration statement becomes effective.
There will be no cash proceeds from the issuance of the Class B Series 1 Preferred Stock. However, by issuing shares of Class B Series 1 Preferred Stock in redemption of patrons' equities, CHS will make available for other business purposes cash that otherwise would be used to redeem those patrons' equities.
Holders of the Class B Series 1 Preferred Stock are entitled to receive cash dividends at the rate of $1.96875 per share per year, subject to the CHS Board of Directors' discretion whether to approve the payment of dividends from time to time. The Class B Series 1 Preferred Stock is subject to redemption and has the preferences described in the prospectus included in the registration statement. The redemption of equity with preferred stock will occur at the market price and yield that will be outlined in the final prospectus to be prepared following the SEC's declaration that the S-1 is effective. The prospectus may be obtained from CHS, 5500 Cenex Drive, Inver Grove Heights, Minnesota 55077, Attention: Theresa Egan, Vice President, Accounting and Corporate Controller, or by accessing the Securities and Exchange Commission's website at www.sec.gov.
The Class B Series 1 Preferred Stock is traded on the NASDAQ Global Select Market under the trading symbol "CHSCO."
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document contains, CHS publicly available documents may contain, and CHS officers, directors and other representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS's current beliefs, expectations and assumptions regarding the future of its businesses, financial condition and results of operations, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the control of CHS. CHS's actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not place undue reliance on any of these forward–looking statements. Important factors that could cause CHS's actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS's public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of the CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2015.Anyforward–looking statements made by CHS or its representatives in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise, except as required by applicable law.
SOURCE CHS Inc.
Article Date
1/29/2016CHS reports $266.5 million first quarter earnings for fiscal 2016
Source: PR Newswire
Orignial Article: http://www.prnewswire.com...
ST. PAUL, Minn., Jan. 7, 2016 /PRNewswire/ -- CHS Inc. (NASDAQ: CHSCP), the nation's leading farmer-owned cooperative and a global energy, grains and foods company, today reported net income of $266.5 million for the first quarter of its 2016 fiscal year.
Earnings for the period Sept. 1 – Nov. 30, 2015, declined 30 percent from the same period of fiscal 2015. The decrease was primarily attributed to lower margins for much of the company's energy and agricultural businesses. Revenues for the quarter were $7.7 billion, down from $9.5 billion for the same period in fiscal 2015, largely due to lower selling prices for the energy and grain products which make up a significant portion of CHS business.
Fiscal 2016 first quarter earnings for the company's Energy segment declined 31 percent, driven primarily by decreased refining margins as well as declines in CHS lubricants and transportation businesses. These were partially offset by increased propane earnings.
First quarter fiscal 2016 earnings for the CHS Ag segment – which includes its domestic and global grain and crop nutrients businesses, renewable fuels, local retail operations and processing and food ingredients – declined 50 percent over the same period a year ago. This was primarily due to lower logistics performance and margins within CHS grain marketing business, along with decreased grain volumes and margins for the company's country elevator locations.
Earnings within CHS wholesale crop nutrients business declined in the first quarter of fiscal 2016, also due to decreased margins. Renewable fuels manufacturing, marketing and distribution were lower for the period due to lower ethanol margins which were partially offset by a manufacturing volume increase from a late fiscal 2015 ethanol plant acquisition. CHS processing and food ingredients operations reported increased year-over-year earnings for the quarter primarily due to higher soybean crushing margins.
CHS reports earnings for its business services and its food-related joint ventures under Corporate and Other. Combined earnings for CHS Hedging, CHS Capital and CHS Insurance businesses increased slightly during the first quarter of fiscal 2016 compared with the first quarter of fiscal 2015. Earnings for the quarter also increased over the same period a year ago for the CHS share of food manufacturer and distributor Ventura Foods, LLC, but declined for its share of earnings from Ardent Mills wheat milling joint venture.
CHS Inc. (www.chsinc.com) is a leading global agribusiness owned by farmers, ranchers and cooperatives across the United States. Diversified in energy, grains and foods, CHS is committed to helping its customers, farmer-owners and other stakeholders grow their businesses through its domestic and global operations. CHS, a Fortune 100 company, supplies energy, crop nutrients, grain marketing services, animal feed, food and food ingredients, along with business solutions including insurance, financial and risk management services. The company operates petroleum refineries/pipelines and manufactures, markets and distributes Cenex® brand refined fuels, lubricants, propane and renewable energy products.
This document and other CHS Inc. publicly available documents contain, and CHS officers and representatives may from time to time make, "forward–looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Report Act of 1995. Forward–looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Forward–looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on CHS current beliefs, expectations and assumptions regarding the future of its businesses, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward–looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of CHS control. CHS actual results and financial condition may differ materially from those indicated in the forward–looking statements. Therefore, you should not rely on any of these forward–looking statements. Important factors that could cause CHS actual results and financial condition to differ materially from those indicated in the forward–looking statements are discussed or identified in CHS public filings made with the U.S. Securities and Exchange Commission, including in the "Risk Factors" discussion in Item 1A of CHS Annual Report on Form 10–K for the fiscal year ended August 31, 2015. Any forward–looking statements made by CHS in this document are based only on information currently available to CHS and speak only as of the date on which the statement is made. CHS undertakes no obligation to publicly update any forward–looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
|
CHS Inc. Earnings |
|||||
|
For the Three Months Ended |
|||||
|
Nov. 30, |
|||||
|
2016 (fiscal year) |
2015 (fiscal year) |
||||
|
Energy |
$192.9 |
$279.2 |
|||
|
Ag |
69.3 |
139.3 |
|||
|
Corporate and Other |
27.7 |
17.2 |
|||
|
Income before income taxes |
289.8 |
435.7 |
|||
|
Income taxes |
(23.7) |
(57.4) |
|||
|
Net income |
289.9 |
378.3 |
|||
|
Net income attributable to non-controlling interests |
0.3 |
0.4 |
|||
|
Net income attributable to CHS Inc. |
$266.5 |
$378.7 |
|||
SOURCE CHS Inc.
Article Date
1/7/2016Projects & Assets
Related Assets
Direct Projects
CHS Laurel Refinery Expansion (subscriber access)Status: (subscriber access)
CHS McPherson Refinery Expansion (subscriber access)
Status: (subscriber access)
Related Projects
CHS Laurel Refinery Expansion (subscriber access)
Status: (subscriber access)
Parent Entities:
CHS, Inc.
CHS McPherson Refinery Expansion (subscriber access)
Status: (subscriber access)
Parent Entities:
CHS, Inc.
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