CHS Reports 50 Percent Net Income Decline

The nation's largest farmer-owned cooperative, CHS, reported net income is down 50 percent for the first six months of its 2016 fiscal year. CHS reported net income at $234.5 million, down from $471.5 million in the first half of fiscal year 2015. The cooperative says 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. CHS revenues through February of this year were $14.4 billion, down nearly 20 percent from $17.9 billion for the first half of fiscal 2015, and primarily reflected lower selling prices for the energy, grain and fertilizer products the company handles. CHS President Carl Casale said “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."

Source:  NAFB News