St. Paul, Minnesota, July 10 - CHS Inc., a leading energy and grain-based foods company, today reported net income of $657.6 through the third quarter of its 2008 fiscal year.
Earnings for the period Sept. 1, 2007 through May 31, 2008 compared with $459.6 million for the same period in fiscal 2007. Fiscal 2008 year-to-date revenues were $22.8 billion, up 86 percent from $12.2 billion the previous year and reflecting significantly higher prices for commodities such as grain, crop nutrients and energy.
For the third quarter of fiscal 2008 (March 1 - May 31, 2008), CHS reported net income of $188.7 million, down from $239.6 million for the same period in fiscal 2007.
Earnings-to-date for 2008 reflect record performance by the company's Ag Business segment, consisting of its crop nutrients, grain marketing and local retail operations. Results for the segment were driven by high global and domestic demand for grain and fertilizer. Earnings in the company's Energy segment declined, reflecting significantly decreased margins for refined fuels such as gasoline and diesel.
The company's Processing segment recorded increased earnings through the third quarter of fiscal 2008 primarily due to stronger performance in CHS oilseed processing operations and its portion of the Horizon Milling, LLC, joint venture. CHS insurance services, risk management and financing businesses also turned in solid year-to-date results.
CHS Inc. is a diversified energy, grains and foods company committed to providing the essential resources that enrich lives around the world. A Fortune 200 company, CHS is owned by farmers, ranchers and cooperatives, along with thousands of preferred stockholders, from the Great Lakes to the Pacific Northwest and from the Canadian border to Texas. CHS supplies energy, crop nutrients, grain, livestock 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(R) brand refined fuels, lubricants, propane and renewable energy products. CHS is listed on the NASDAQ at CHSCP.
CHS Inc. Earnings
By segment
(in millions $)
Sept. 1 - May 31 March 1 - May 31
FY 2008 FY 2007 3rdQ 2008 3rdQ 2007
Energy $165.7 $338.7 $12.5 $178.0
Ag Business 504.6 108.0 179.9 77.1
Processing 65.3 47.9 17.1 5.1
Corporate & Other 11.9 11.3 2.8 2.5
Taxes (89.9) (46.3) (23.6) (23.1)
Net income $657.6 $459.6 $188.7 $239.6