South Dakota Soybean Processors LLC Unit - Class A has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing a decrease in net income to $23,390 from $18,441,559 in the same quarter the previous year. The decrease is attributed to a reduction in demand for soybean oil, especially from the biofuels sector.
Revenue for the quarter was $130,645,696, down from $176,915,209 in the previous year. The decline is due to decreases in the average sales price of soybean products and the quantity of soybeans processed.
Cost of revenues for the quarter was $128,368,221, representing 98.3% of sales, compared to 88.6% in the same quarter of the previous year. This increase in cost ratio is due to declining board crush margins.
The company reported a gross profit of $2,277,475 for the quarter, compared to $20,080,517 in the previous year, with the decline attributed to reduced demand for soybean oil.
Interest expense increased to $1,619,282 from $727,968, primarily due to increased borrowings to fund investments in the High Plains Processing plant.
Net income for the nine months ended September 30, 2024, was $11,528,203, down from $50,889,607 in the previous year. The decrease is primarily due to decreased gross margins.
Cash provided by operating activities was $21,222,616, while cash used in investing and financing activities was $102,876,195 and $68,038,924, respectively.
South Dakota Soybean Processors had a working capital of $59,052,231 as of September 30, 2024. The company acknowledges its dependence on positive operating results and potential financing to meet future obligations.
The filing also details various financial agreements, including a revolving credit agreement with CoBank and investments in the High Plains Processing plant.
The company does not anticipate cash dividend payments to common stockholders in the near future.
The company continues to focus on the construction of the High Plains Processing plant, which is expected to commence operations next fall.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the South Dakota Soybean Processors LLC Unit - Class A quarterly 10-Q report dated November 12, 2024. To report an error, please email earnings@qz.com.