We faced unprecedented supply chain disruptions that have continued to impact our operational efficiency. We are working diligently to address these issues head-on to return to profitability.
— Management
03Detailed Report
CHSCN
CHS Inc
Period
Q2 2025
CurrencyUSD
Report TypeQuarterly Earnings
GeneratedJun 28, 2026
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Executive Summary
In Q2 2025, CHS Inc reported significantly declining financial performance, reflecting an increasingly challenging operational environment for the agricultural farm products sector. The company experienced a total revenue of $7.80 billion, a steep decline of 14.21% year-over-year (YoY) and a 16.12% drop quarter-over-quarter (QoQ). Net losses soared to $75.75 million, which marked a staggering 144.48% decrease from the previous year's profit. The drastic reduction in revenue, coupled with rising operational costs, led to a negative operating income of $171.95 million and an EBITDA loss of $171.95 million, further indicating underlying strains in profitability.
Strategically, management addressed the disappointing results during the earnings call, acknowledging the operational inefficiencies and logistical challenges impacting their supply chains. Looking forward, there emerges a cautious optimism as management aims to leverage their integrated business model to navigate the current market headwinds.For investors, this report underlines the importance of closely monitoring CHS Inc's operational responses and potential recovery measures in their respective segments.
Key Performance Indicators
Revenue
Decreasing
7.80B
QoQ: -16.12% | YoY: -14.21%
Gross Profit
Decreasing
76.32M
0.98% margin
QoQ: -80.95% | YoY: -77.47%
Operating Income
Decreasing
-171.95M
QoQ: -224.76% | YoY: -515.41%
Net Income
Decreasing
-75.75M
QoQ: -130.95% | YoY: -144.48%
Revenue Trend
Margin Analysis
Financial Highlights
Key Financial Metrics
- Revenue: $7.796 billion (QoQ: -16.12%, YoY: -14.21%)
- Cost of Revenue: $7.720 billion resulting in a Gross Profit of $76.3 million (Gross Profit Margin: 0.01)
- Operating Income: -$171.95 million (Operating Margin: -0.02)
- Net Income: -$75.75 million (Net Income Margin: -0.01)
- Total Assets: $20.099 billion
- Total Liabilities: $8.611 billion
- Stockholders' Equity: $11.488 billion
- Cash at Period End: $527.73 million
Trends
This quarter witnessed an operational downturn with inefficiencies and market volatility weighing heavily on revenues, leading to operating losses and liquidity strain. The cash conversion cycle lengthened, influenced by deteriorating inventory turnover metrics and increasing days on receivable, indicating further challenges in cash flow efficiency.
Income Statement
Metric
Value
YoY Change
QoQ Change
Revenue
7.80B
-14.21%
-16.12%
Gross Profit
76.32M
-77.47%
-80.95%
Operating Income
-171.95M
-515.41%
-224.76%
Net Income
-75.75M
-144.48%
-130.95%
Key Financial Ratios
Gross Profit Margin
Weak
0.98%
Gross profit margin is below industry norms, profitability concerns
Operating Profit Margin
Weak
-0.02%
Operating margin is below industry norms, profitability concerns
Net Profit Margin
Weak
-0.01%
Net profit margin is below industry norms, profitability concerns
Return on Assets
Weak
0.00%
Return on assets suggests inefficient capital allocation
Return on Equity
Weak
-0.01%
Return on equity suggests inefficient capital allocation
Current Ratio
Adequate
1.43
Current ratio meets minimum requirements but limited cushion
Debt to Equity
Moderate
0.33
Debt-to-equity indicates balanced capital structure with manageable debt
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