Net income of $260.5 million reflects strong energy results ST. PAUL, Minn.--(BUSINESS WIRE)--January 07, 2026-- CHS Inc., a global agribusiness and the nation's leading cooperative, today released results for its first quarter of fiscal year 2026. The company reported net income of $260.5 million and revenues of $8.9 billion for the quarter that ended November 30, 2025, compared to net income of $244.8 million and revenues of $9.3 billion in the first quarter of fiscal year 2025. Starting in fiscal year 2026, the company's financial segments have changed to align with its new end-to-end product-line operating model. Key highlights for first quarter fiscal year 2026 financial results: --
Strong performance in refined fuels driven by strengthened refining
margins and record premium diesel sales volumes.
--
Continued headwinds in grains due to global trade factors, challenged
U.S. soybean markets and lower margins for certain commodities.
--
Solid performance in agronomy driven largely by our CF Nitrogen joint
venture, but partially offset by a weaker U.S. farm economy.
"CHS was well positioned to serve our owners during a strong harvest,
contributing to higher performance in our energy segment. However, the
ag market overall continues to be challenged both by global market
dynamics and a tighter spending environment for farmers," said Jay
Debertin, president and CEO of CHS. "By prioritizing efficiency,
diversified supply chains and operational excellence, we continue to be
focused on bringing value to our owners. At the same time, our new
operating model, which is now reflected in our financial reporting,
allows us more visibility into our end-to-end supply chain, positioning
CHS for long-term growth."
Energy
This segment includes our refined fuels, propane and lubricants product
lines. Energy delivered pretax earnings of $152.3 million for the first
quarter of fiscal year 2026, which represent a $136.6 million increase
versus the prior year period. This reflects:
--
Higher refining margins due to favorable crack spreads.
--
Strong diesel demand driven by heavy harvest activity, resulting in
record sales volumes of Cenex$(R)$ premium diesel.
Grains
The grains segment primarily includes our corn, oilseeds, wheat and
specialty grains product lines. Pretax earnings of $36.2 million
represent a $130.8 million decrease versus the prior year period and
reflects:
--
Weaker soy crush and spring wheat margins, decreased soybean export
volumes and timing impacts of mark-to-market adjustments.
--
Increased corn export volumes and winter and white wheat volumes, as
well as higher export margins in some markets and strong processing
margins for ethanol and canola.
Agronomy
This segment includes crop nutrients, crop protection and CF Nitrogen.
Pretax earnings of $36.8 million represent an $8.7 million increase
versus the prior year period, and reflect:
--
Strong performance by our CF Nitrogen equity method investment due to
favorable market conditions for urea and UAN.
--
Decreased volumes in crop nutrients due to tighter purchasing decisions
by U.S. farmers and lower margins in both crop nutrients and crop
protection influenced by strong competition and market dynamics.
Corporate and Services
This segment includes our CHS Capital, CHS Hedging and transportation
businesses, as well as our Ardent Mills and Ventura Foods joint
ventures. Pretax earnings of $46.8 million represent a $1.2 million
decrease versus the prior year period.
CHS Inc. Earnings*
by Segment
(in thousands $)
Three Months Ended November 30,
-----------------------------------
2025 2024
---- ------------- ------------
Energy $ 152,347 $ 15,724
Grains 36,242 167,000
Agronomy 36,804 28,107
Corporate and Services 46,795 48,006
---- ------------- ------------
Income before income taxes 272,188 258,837
Income tax expense 11,731 13,244
---- ------------- ------------
Net income 260,457 245,593
Net (loss) income attributable to
noncontrolling interests (26) 803
---- ------------- ------------
Net income attributable to CHS
Inc. $ 260,483 $ 244,790
==== ============= ============
*Earnings is defined as income (loss) before income taxes; all prior
period segment information has been recast to conform to current year
presentation.
CHS Inc. (www.chsinc.com) creates connections to empower agriculture. As
a leading global agribusiness and the largest farmer-owned cooperative
in the United States, CHS serves customers in 65 countries. We provide
critical crop inputs, market access and risk management services that
help farmers feed the world. Our diversified agronomy, grains, foods and
energy businesses recorded revenues of $35.5 billion in fiscal year
2025. CHS is committed to reducing our impact on the planet, finding and
developing new solutions in agriculture and energy, and investing in
ways to build a better future for our owners, customers, employees and
communities.
This document and other CHS Inc. publicly available documents contain,
and CHS officers, directors 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 our current beliefs,
expectations and assumptions regarding the future of our 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 our control. Our 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 our
actual results and financial condition to differ materially from those
indicated in the forward-looking statements are discussed or identified
in our 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, 2025. These
factors may include changes in commodity prices; political, economic,
legal and other risks of doing business globally; ongoing wars and
global conflicts; global and regional factors impacting demand for our
products; the impact of government policies, mandates, regulations and
trade agreements, including the imposition of tariffs and retaliatory
tariffs; the impact of inflation; the impact of competitive business
markets; any loss of members who choose to do business with other
companies instead of us; the impact of market acceptance of alternatives
to refined petroleum products; consolidation among our suppliers and
customers; nonperformance or nonpayment by contractual counterparties;
deterioration in credit quality of third parties who owe us money; the
effectiveness of our risk management strategies; actual or perceived
quality, safety or health risks associated with our products; business
interruptions, casualty losses and supply chain issues; the impact of
epidemics, pandemics, outbreaks of disease and other adverse public
health developments; the impact of workforce factors; technological
improvements and sustainability initiatives that decrease demand for our
products; technical, legal and opportunistic-related risks from
advancements in artificial intelligence; security breaches or other
disruptions in our information technology systems or assets; increased
scrutiny and changing expectations with respect to environmental, social
and governance practices; failures or delays in achieving strategies or
expectations related to climate change or other environmental matters;
our ability to complete, integrate and benefit from acquisitions,
strategic alliances, joint ventures, divestitures and other nonordinary
course-of-business events; changes in federal income tax laws or our tax
status; the impact and costs of compliance or noncompliance with
applicable laws and regulations; the costs of compliance with
environmental and energy laws and regulations; the impact of
environmental liabilities and litigation; the impact of seasonality; the
impairment of long-lived assets; our funding needs and financing
sources; financial institutions' and other capital sources' policies
concerning energy-related businesses; limits on our ability to access
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