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Friday, January 11, 2008   

 

 

CHS Posts Record $300.9 Million in First Quarter 2008 Earnings

St. Paul,MN—CHS Inc. (NASDAQ: CHSCP), a leading energy and grain-based foods company, announced Jan. 11 record earnings of $300.9 million for the first quarter of its 2008 fiscal year.

Net income for the quarter (Sept. 1 - Nov. 30, 2007) compared with $136.4 million for the same period of fiscal 2007.

Revenues for the quarter were $6.5 billion, an increase from $3.8 billion for the first quarter of fiscal 2007.

This was driven by higher prices for grain and energy along with the inclusion, for the first time, of crop nutrients sales, which previously had been part of a joint venture.

CHS earnings reflected solid performance for each of its three business segments.

Energy earnings remained strong, comparable to results for the first quarter of fiscal 2007.

Also within the energy segment, CHS propane, lubricants, renewable fuels marketing and transportation businesses exceeded fiscal 2007 performance for the quarter.

Earnings within the Ag Business segment set a new mark, reflecting record performance in grain marketing and CHS retail operations.

Ag Business earnings also included a gain of $91.7 million on the company's sale of stock in CF Industries, a crop nutrients manufacturer.

Record grain marketing earnings were driven by strong domestic and export market demand.

CHS retail operations reported strong performance due to increased sales of farm inputs and energy products and good grain movement.

CHS also reported strong performance from its newly acquired crop nutrients business.

The company's Processing segment results reflected improved performance over fiscal 2007 for its wholly owned oilseed processing operations as well as its portions of the Ventura Foods, LLC, food company and Horizon Milling, LLC, wheat milling joint venture.

CHS also reported strong performance from its financing, insurance services and hedging businesses.

CHS Inc. earnings by segment (In millions $)

Sept. 1 - Nov. 30

1st Quarter 2008 ... 1st Quarter 2007

Energy ... 108.5 ... 111.5

Ag Business ... 204.7 ... 28.1

Processing ... 20.2 ... 10.6

Corporate and Other ... 4.4... 3.4

Taxes ... (36.9) ... (17.2)

Net Income ... $300.9 ... $136.4

For more information, call Lani Jordan at 651-355-4946.

 

 
Arnold Company

This GrainAlert was published by Grain Journal,
Decatur, IL ... 800-728-7511 ... website: www.grainnet.com

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