Key Takeaways:
- CHS Inc. reported net income of $260.5 million for the first quarter of fiscal year 2026.
- Quarterly revenues totaled $8.9 billion, down from $9.3 billion year over year.
- Strong refined fuels performance supported results amid harvest-driven demand.
- Grain operations faced continued headwinds tied to global trade and soybean markets.
- Agronomy results benefited from CF Nitrogen, offset by weaker farm spending.
CHS Inc. Releases First Quarter Fiscal 2026 Financial Results
CHS Inc. reported first quarter fiscal year 2026 results for the period ended November 30, 2025, posting net income of $260.5 million on revenues of $8.9 billion. This compares with net income of $244.8 million and revenues of $9.3 billion in the first quarter of fiscal year 2025.
Beginning in fiscal year 2026, CHS updated its financial segment reporting to align with a new end-to-end product-line operating model. The company stated that the revised structure provides greater visibility across its integrated supply chain.
Energy Segment Delivers Strong Performance
The Energy segment, which includes refined fuels, propane, and lubricants, generated pretax earnings of $152.3 million for the quarter. This represents an increase of $136.6 million compared with the prior year period.
CHS attributed the improvement primarily to stronger refining margins supported by favorable crack spreads and robust diesel demand during harvest. The company reported record sales volumes of Cenex® premium diesel as heavy harvest activity drove consumption.
Jay Debertin, President and Chief Executive Officer of CHS, said the cooperative was well positioned to serve its owners during a strong harvest, contributing to improved performance in the Energy segment.
CHS Grains Segment Impacted By Market Headwinds
Mixed Export And Processing Dynamics
The Grains segment, which includes corn, oilseeds, wheat, and specialty grains, posted pretax earnings of $36.2 million. This reflected a $130.8 million decrease compared with the same quarter last year.
CHS cited weaker soy crush and spring wheat margins, reduced soybean export volumes, and timing impacts from mark-to-market adjustments as key factors. These pressures were partially offset by increased corn export volumes, stronger winter and white wheat shipments, and higher export margins in select markets. The company also noted strong processing margins for ethanol and canola.
Agronomy Supported By CF Nitrogen Investment
The Agronomy segment reported pretax earnings of $36.8 million, an increase of $8.7 million year over year. Results were driven largely by strong performance from CHS’s CF Nitrogen equity method investment, reflecting favorable market conditions for urea and UAN.
These gains were partially offset by lower volumes in crop nutrients as U.S. farmers tightened purchasing decisions. Margins in crop nutrients and crop protection were also pressured by competitive dynamics.
Corporate And Services Results
Corporate and Services, which includes CHS Capital, CHS Hedging, transportation businesses, and joint ventures Ardent Mills and Ventura Foods, delivered pretax earnings of $46.8 million. This represented a $1.2 million decline from the prior year.
CHS Outlook And Operating Model Focus
Debertin noted that while the broader agricultural market remains challenged by global dynamics and tighter farm spending, CHS continues to focus on efficiency, diversified supply chains, and operational discipline. He added that the new operating model enhances transparency across the value chain and positions CHS for long-term growth while continuing to deliver value to its owners.
Read the complete financial report here.
