ST. PAUL, MINNESOTA, U.S. — CHS, Inc. reported on April 3 record earnings of $618.8 million through the second quarter of its 2013 fiscal year.
Earnings attributed to CHS operations for the first six months of fiscal 2013 (Sept. 1, 2012 – Feb. 28, 2013) increased 25% from the $494.7 million reported for the first half of fiscal 2012. Earnings through the second quarter of fiscal 2013 exceeded a record for that period set in fiscal 2008.
Revenues for the six-month period of fiscal 2013 were $21.6 billion, compared with $18.6 billion for that period of fiscal 2012, reflecting increased volumes for the grain, crop nutrients and processed oilseed products the company handles, along with increased values for grain and processed oilseeds.
For the second quarter (Dec. 1, 2012 – Feb. 28, 2013), CHS posted earnings of $275.1 million, more than three times the $78.5 million it reported for the same period in fiscal 2012. Revenues for the quarter were $9.9 billion, compared with $8.8 billion for the second quarter of fiscal 2012.
Earnings through the second quarter reflected strong performance within the company's Energy segment, led by its refined fuels business. Earnings increased in its propane, renewable fuels marketing and transportation businesses and declined slightly for lubricants.
Six-month earnings were essentially flat within the Ag segment which consists of crop nutrients, grain marketing, processing and food ingredients, and the company's Country Operations locally controlled retail businesses. Grain marketing saw lower earnings primarily due to reduced margins, while crop nutrients reported improved margins and increased volumes. CHS processing and food ingredients operations experienced improved soybean crushing and refining margins. Results for CHS local Country Operations retail businesses reflected stronger margins for sales of energy, fertilizer and other merchandise, partially offset by lower margins from grain sales.
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