WEST DES MOINES, Iowa, July 12, 2007 (PRIME NEWSWIRE) -- FCStone Group, Inc. (Nasdaq:FCSX), a commodity risk management firm, today announced higher year-over-year revenues and net income for its fiscal third quarter ending May 31, 2007, and a three-for-two stock split, which will be implemented by way of a 50% stock dividend.
Third Quarter Results
Revenues, net of cost of commodities sold, a non-GAAP financial measure, were $64.4 million in the three months ended May 31, 2007, compared to $47.6 million in the prior year quarter, an increase of 35%. Net income increased 99% to $8.1 million, or $0.43 per diluted share, for the third quarter, compared to $4.1 million, or $0.28 per diluted share in the prior year quarter.
The following table presents the results on a total and per share basis.
Financial Highlights
(In thousands, except per share amounts)
Three Months Ended Nine Months Ended
May 31, May 31,
-------------------- --------------------
2006 2007 2006 2007
-------- -------- -------- --------
NON GAAP-Revenues,
net of cost of
commodities sold $ 47,604 $ 64,369 $129,188 $181,815
GAAP-Income after
minority interest and
before income tax
expense $ 6,401 $ 12,944 $ 18,320 $ 34,103
GAAP-Net income $ 4,051 $ 8,069 $ 11,370 $ 21,303
Diluted weighted average
shares outstanding (1) 14,490 18,948 14,487 15,929
Diluted earnings per
share $ 0.28 $ 0.43 $ 0.78 $ 1.34
(1) In March 2007, the company completed its initial public offering,
or IPO, of common stock in which it issued and sold 5,865,000
shares of common stock and in connection therewith, subsequently
redeemed 2,160,000 shares of common stock.
The increase in third quarter revenues, net of cost of commodities sold from the prior year third quarter, was primarily related to higher exchange-traded volumes due to volatility in the grain and energy markets, higher over-the-counter (OTC) volumes primarily from the renewable fuels and Brazilian customers, increased volume in the financial services grain repurchase program, increased foreign exchange (Forex) commissions and higher short-term interest rates and additional investable segregated and OTC customer margin funds.
Costs and expenses, exclusive of cost of commodities sold, were higher compared to the prior year primarily due to higher volume-related costs of broker commissions, pit brokerage and clearing fees, and introducing broker commissions; and increased interest expense as a result of higher volume in the financial services grain repurchase program combined with increased borrowings in the grain merchandising segment because of higher grain prices.
"This year's third quarter saw steady revenue growth, as the Company continues to perform across all of our operating segments," said Pete Anderson, President and Chief Executive Officer. "Our consultants' experience in the core grain and energy markets is paving the way for continued traction in targeted growth areas, particularly in Brazil and China, and also in commodities such as renewable energy and foreign exchange. We are pleased with the results to date and are working to deliver on our commitment to providing value to our clients through the most efficient strategies and platforms."
Year-To-Date Results
Revenues, net of cost of commodities sold, a non-GAAP financial measure, were $181.8 million for the first nine months of fiscal year 2007, compared to $129.2 million during the same period of fiscal year 2006, an increase of 41%. Net income increased 87% to $21.3 million for the first nine months of fiscal year 2007, or $1.34 per diluted share, compared to $11.4 million, or $0.78 per diluted share during the same period of fiscal year 2006.
"Our growing customer base and the continued volatility in the commodities markets during the first nine months of 2007 has allowed us to generate record revenues, operating income and net income during the period," said Bob Johnson, Chief Financial Officer. "As we drive reinvestment in the firm's product mix, we look forward to sustaining this growth through a diversified operating model."
Operating Segments
FCStone's income (loss) before minority interest and income tax expense by segment and certain other data are outlined below for the periods noted.
Three Months Ended Nine Months Ended
May 31, May 31,
-------------------- --------------------
2006 2007 2006 2007
-------- -------- -------- --------
Segment Data: ($ in thousands)
Income (loss) before
minority interest and
income tax expense:
Commodity and Risk
Management Services $ 6,056 $ 9,921 $ 15,731 $ 26,638
Clearing and Execution
Services 3,281 3,801 8,483 10,841
Financial Services (1) 557 (102) 1,004
Grain Merchandising (1,193) 670 (911) 2,130
Corporate (2,120) (1,804) (5,251) (5,871)
-------- -------- -------- --------
$ 6,023 $ 13,145 $ 17,950 $ 34,742
======== ======== ======== ========
Other Data:
EBITDA $ 8,426 $ 15,980 $ 23,869 $ 44,508
Exchange contract
trading volume (in
millions) 12.4 14.2 34.5 40.5
Customer Segregated
Assets, end of period $825,344 $913,584 $825,344 $913,584
In the Commodity and Risk Management Services segment, revenues, net of cost of commodities sold, were $28.9 million in the third quarter ended May 31, 2007, compared to $21.0 million in the prior year quarter, an increase of 37%. Segment income increased 64% to $9.9 million for the third quarter, compared to $6.1 million in the prior year quarter.
For the Clearing and Execution Services segment, revenues, net of cost of commodities sold, were $27.5 million in the third quarter ended May 31, 2007, compared to $21.5 million in the prior year quarter, an increase of 28%. Segment income increased 16% to $3.8 million for the third quarter, compared to $3.3 million in the prior year quarter.
The Financial Services segment reported revenues, net of cost of commodities sold, of $2.6 million in the third quarter ended May 31, 2007, compared to $1.4 million in the prior year quarter, an increase of 90%. Segment income increased to $557 thousand for the third quarter, compared to a loss of $1 thousand in the prior year quarter.
The Grain Merchandising segment reported revenues, net of cost of commodities sold, of $5.6 million in the third quarter ended May 31, 2007, compared to $4.1 million in the prior year quarter, an increase of 36%. Segment income increased to $670 thousand for the third quarter, compared to a loss of $1.2 million in the prior year quarter. As previously announced on June 1, 2007, the company sold a portion of its stake in this business and going forward will own a 25% minority interest in this business instead of the previous 70% majority interest.
Business Outlook
Commenting on the Company's year-to-date results and overall expectations, Mr. Anderson said, "The growth and profitability of FCStone is a function of progress made towards achieving the strategic initiatives that we have in place to drive the long-term success of the Company. We look forward to building upon the momentum created by our recently successful IPO and the favorable industry environment, and we seek to leverage our expertise in both the core domestic markets as well as in the growing segments around the world. We remain confident that the continued execution of our strategy will provide value to both our customers and our shareholders."
Three-for-Two Stock Split
On July 10, 2007, the Board of Directors approved a three-for-two stock split that will be distributed in the form of a 50% stock dividend. FCStone's stockholders of record at the close of business on September 17, 2007 will receive one additional share for every two shares of common stock held on that date. FCStone intends to distribute the shares on September 27, 2007. The stock split will increase the number of shares of FCStone common stock outstanding from approximately 18.3 million to approximately 27.5 million.
In announcing the stock split, Mr. Anderson noted that the decision to split FCStone's stock reflected the Company's continued strong performance as well as its positive outlook for future earnings growth. "We believe this stock split will place the market price of FCStone's common stock in a more attractive range for investors," said Mr. Anderson.
Conference Call & Web Cast
A conference call will be held today, Thursday, July 12, 2007 at 11:00 a.m. (ET). A live web cast of the conference call as well as a replay will be available online on the Company's corporate web site at http://www.fcstone.com. Participants can also access the call by dialing 800-218-8862 (within the United States and Canada), or 303-262-2140 (international callers). A replay of the call will be available approximately two hours after the call has ended and will be available until 11:59 p.m. (CT) on Thursday, July 26, 2007. To access the replay, dial 800-405-2236 (within the United States and Canada), or 303-590-3000 (international callers) and enter the conference ID number: 11093056.
About FCStone Group, Inc.
FCStone Group, Inc., along with its affiliates, is an integrated commodity risk management company providing risk management consulting and transaction execution services to commercial commodity intermediaries, end-users and producers. The firm assists primarily middle market customers in optimizing their profit margins and mitigating exposure to commodity price risk. In addition to risk management consulting services, FCStone, LLC, operates one of the leading independent clearing and execution platforms for exchange-traded futures and options contracts. FCStone Group, Inc., serves more than 7,500 customers and in the 12 months ended May 31, 2007, executed 54.1 million derivative contracts in the exchange-traded and over-the-counter markets. In addition to renewable fuels, the FCStone Group companies work in all the major commodity areas including agriculture, energy, foods, forestry, and currency exchange. Headquartered in the Midwest, it has offices located throughout the world and is a clearing member of all major North American Futures exchanges. FCStone Group, Inc., trades on the NASDAQ Global Select Market under the symbol "FCSX."
Forward-Looking Statements
This press release may include forward-looking statements regarding, among other things, our plans, strategies and prospects, both business and financial. All statements other than statements of current or historical fact contained in this press release are forward-looking statements. The words "believe," "expect," "anticipate," "should," "plan," "will," "may," "could," "intend," "estimate," "predict," "potential," "continue" or the negative of these terms and similar expressions, as they relate to FCStone Group, Inc., are intended to identify forward-looking statements.
We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. These statements involve known and unknown risks, assumptions, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance, strategy, anticipated, estimated or projected results or achievements expressed or implied by these forward-looking statements. These factors include, among other things, customer acceptance of risk management, commodity price volatility, transaction volumes, interest rates, our ability to develop new products for our customers and other factors set forth elsewhere herein and in the Company's Securities and Exchange Commission filings, including the Forms, 10-K, 10-Q and 8-K reports. In light of these risks, uncertainties and assumptions, the forward-looking statements in this press release may not occur and actual results could differ materially from those anticipated or implied in the forward-looking statements. When you consider these forward-looking statements, you should keep in mind these risk factors and other cautionary statements in this press release.
Our forward-looking statements speak only as of the date of this press release. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Use of NON-GAAP Financial Information
In this press release we disclose "revenues, net of cost of commodities sold", and "EBITDA", both of which are non-GAAP financial measures. For purposes of Regulation G, a non-GAAP financial measure is a numerical measure of a company's performance, financial position, or cash flows that either excludes or includes amounts that are not normally excluded or included in the most directly comparable measure, calculated and prepared in accordance with generally accepted accounting principles in the United Sates (GAAP). Revenues, net of cost of commodities sold, is not a substitute for the GAAP measure of total revenues. EBITDA is not a substitute for the GAAP measure of net income or cash flows. Such non-GAAP financial measures are reconciled to its closest GAAP measure, in accordance with the Securities and Exchange Commission rules, and are included in the attached supplemental data. Management believes that these non-GAAP financial measures are useful to both management and its stockholders in their analysis of the company's business and operating performance.
FCSTONE GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(in thousands, except per share amounts)
Three Months Ended Nine Months Ended
May 31, May 31,
------------------------ ------------------------
2006 2007 2006 2007
---------- ---------- ---------- ----------
Revenues:
Commissions
and clearing
fees $ 27,795 $ 35,291 $ 74,635 $ 101,547
Service,
consulting
and brokerage
fees 9,170 10,743 24,598 29,152
Interest 6,033 12,045 15,277 31,172
Other 1,314 946 2,480 2,392
Sales of
commodities 314,486 303,866 860,678 1,101,752
---------- ---------- ---------- ----------
Total revenues 358,798 362,891 977,668 1,266,015
---------- ---------- ---------- ----------
Costs and
expenses:
Cost of
commodities
sold 311,194 298,522 848,480 1,084,200
Employee
compensation
and broker
commissions 11,014 11,469 30,663 34,624
Pit brokerage
and clearing
fees 12,617 17,640 33,626 47,182
Introducing
broker
commissions 6,373 8,832 15,575 25,208
Employee
benefits and
payroll taxes 2,608 2,883 7,292 8,252
Interest 1,601 2,579 4,335 9,069
Depreciation 424 457 1,214 1,336
Bad debt
expense 1,304 92 1,709 1,632
Other expenses 5,640 7,272 16,824 19,770
---------- ---------- ---------- ----------
Total costs and
expenses 352,775 349,746 959,718 1,231,273
---------- ---------- ---------- ----------
Income before
income tax
expense and
minority
interest 6,023 13,145 17,950 34,742
Minority interest (378) 201 (370) 639
---------- ---------- ---------- ----------
Income after
minority
interest and
before income
tax expense 6,401 12,944 18,320 34,103
Income tax
expense 2,350 4,875 6,950 12,800
---------- ---------- ---------- ----------
Net income $ 4,051 $ 8,069 $ 11,370 $ 21,303
========== ========== ========== ==========
Weighted average
shares
outstanding:
Basic 14,490 17,928 14,487 15,677
Diluted 14,490 18,948 14,487 15,929
Earnings per
share:
Basic $ 0.28 $ 0.45 $ 0.78 $ 1.36
Diluted $ 0.28 $ 0.43 $ 0.78 $ 1.34
FCSTONE GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(in thousands, except share amounts)
August 31, May 31,
2006 2007
---------- ----------
(Unaudited)
ASSETS
Cash and cash equivalents
Unrestricted $ 51,659 $ 93,187
Restricted 3,581 1,097
Segregated 14,221 19,496
Commodity deposits and accounts receivable
Commodity exchanges and clearing
organizations - customer segregated,
including United States treasury bills
and notes 604,536 670,677
Proprietary commodity accounts 20,133 68,460
Customer regulated accounts in deficit
secured by U.S. treasury bills and
notes 29,166 86,743
---------- ----------
Total commodity deposits and accounts
receivable 653,835 825,880
---------- ----------
Marketable securities, at fair value -
customer segregated and other 149,609 223,598
Trade accounts receivable 9,296 3,880
Open contracts receivable 30,524 137,201
Counterparty deposits and accounts
receivable 23,607 23,805
Notes receivable 14,971 38,600
Inventories - grain and fertilizer -- --
Exchange memberships and stock, at cost 6,587 8,169
Furniture, equipment, software, and
improvements, net 3,164 4,310
Deferred income taxes 4,697 4,497
Investments in affiliates and other
organizations 3,657 3,749
Other assets 4,096 17,964
Assets held for sale 83,703 101,954
---------- ----------
Total assets $1,057,207 $1,507,387
========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities
Commodity and customer regulated
accounts payable $ 726,920 $ 948,079
Trade accounts payable and advances 99,898 99,389
Open contracts payable 30,524 135,659
Accrued expenses 25,029 24,939
Notes payable 23,119 43,571
Subordinated debt 7,000 1,000
Liabilities held for sale 76,136 88,273
---------- ----------
Total liabilities 988,626 1,340,910
---------- ----------
Minority interest 3,607 4,246
Redeemable common stock held by employee
stock ownership plan (ESOP) 6,079 --
Stockholders' equity:
Common stock, $0.0001 par value,
authorized 20,000,000 and 40,000,000
at August 31, 2006 and May 31, 2007,
respectively; issued and outstanding
14,537,208 shares at August 31, 2006
and 18,284,267 at May 31, 2007 21,747 103,481
Additional paid-in capital 120 397
Accumulated other comprehensive loss (1,955) (1,955)
Retained earnings 45,062 60,308
---------- ----------
64,974 162,231
Less maximum cash obligation related
to ESOP shares (6,079) --
---------- ----------
Total stockholders' equity 58,895 162,231
---------- ----------
Commitments and contingencies
Total liabilities and stockholders'
equity $1,057,207 $1,507,387
========== ==========
FCSTONE GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited in thousands)
Nine Months Ended
May 31,
------------------------
2006 2007
---------- ----------
Cash flows from operating activities:
Net income $ 11,370 $ 21,303
Depreciation 1,214 1,336
Amortization of discount on note
receivable -- (41)
Gain on conversion of exchange
membership to common stock -- (105)
Equity in earnings of affiliates, net
of distributions 24 284
Minority interest, net of distributions (1,292) 639
Change in commodity accounts
receivable/payable, marketable
securities and customer segregated
funds, net (25,726) (5,150)
Change in open contracts
receivable/payable, net -- (1,542)
Increase in trade accounts receivable (8,830) 5,416
Decrease (increase) in counterparty
deposits and accounts receivable (30,424) (198)
Decrease in inventory 464 --
Increase in other assets (1,459) (13,713)
Increase in assets held for sale (7,300) (18,739)
Increase (decrease) in trade accounts
payable and advances 63,899 (509)
Increase (decrease) in accrued expenses 4,938 (144)
Decrease in liabilities held for sale (6,457) (5,158)
---------- ----------
Net cash provided by (used in)
operating activities 421 (16,321)
---------- ----------
Cash flows from investing activities:
Purchase of furniture, equipment, and
improvements (894) (1,928)
Purchase of furniture, equipment, and
improvements held for sale (27) (54)
Purchase of market securities -- (25,000)
Issuance of notes receivable, net (19,268) (23,588)
Purchase of exchange membership and
stock (4,945) (1,855)
Proceeds from the sale of exchange
membership and stock 613 --
Proceeds from conversion of exchange
membership to common stock -- 378
---------- ----------
Net cash used in investing activities (24,521) (52,047)
---------- ----------
Cash flows from financing activities:
Increase (decrease) in checks written
in excess of bank balance 236 (1,656)
Net proceeds from notes payable held
for sale 21,012 19,363
Proceeds from notes payable, net 25,480 20,452
Proceeds from initial public offering,
net -- 129,670
Proceeds from issuance of common stock -- 550
Proceeds from issuance of redeemable
common stock held by ESOP 223 --
Payment for redemption of common stock -- (48,486)
Dividends paid (2,898) (6,057)
Payments under capital lease held for
sale (412) (412)
Monies deposited in escrow (44) (54)
Monies released from escrow -- 2,526
Proceeds from subordinated debt 4,500 8,000
Payments on subordinated debt (3,000) (14,000)
---------- ----------
Net cash provided by financing
activities 45,097 109,896
---------- ----------
Net increase in cash and cash
equivalents - unrestricted 20,997 41,528
Cash and cash equivalents - unrestricted
- beginning of period 21,347 51,659
---------- ----------
Cash and cash equivalents - unrestricted
- end of period $ 42,344 $ 93,187
========== ==========
Supplemental disclosures of cash flow
information:
Interest paid $ 3,995 $ 8,663
Income taxes paid $ 7,596 $ 13,371
========== ==========
Noncash financing activities:
Increase (decrease) in maximum cash
obligation related to ESOP shares $ 1,368 $ (6,079)
========== ==========
Non-GAAP Financial Measures
The following table reconciles revenues, net of cost of commodities
sold, with our total revenues.
Three Months Ended Nine Months Ended
May 31, May 31,
------------------------ ------------------------
2006 2007 2006 2007
---------- ---------- ---------- ----------
($ in thousands)
Revenues:
Commissions
and clearing
fees $ 27,795 $ 35,291 $ 74,635 $ 101,547
Service,
consulting
and brokerage
fees 9,170 10,743 24,598 29,152
Interest 6,033 12,045 15,277 31,172
Other 1,314 946 2,480 2,392
Sales of
commodities 314,486 303,866 860,678 1,101,752
---------- ---------- ---------- ----------
Total revenues 358,798 362,891 977,668 1,266,015
Less: Cost of
commodities sold 311,194 298,522 848,480 1,084,200
---------- ---------- ---------- ----------
Revenues, net of
cost of
commodities
sold $ 47,604 $ 64,369 $ 129,188 $ 181,815
========== ========== ========== ==========
The following table reconciles EBITDA with our net income.
Three Months Ended Nine Months Ended
May 31, May 31,
------------------------ ------------------------
2006 2007 2006 2007
---------- ---------- ---------- ----------
($ in thousands)
Net income: $ 4,051 $ 8,069 $ 11,370 $ 21,303
Plus: interest
expense 1,601 2,579 4,335 9,069
Plus:
depreciation
and amortization 424 457 1,214 1,336
Plus income
tax expense 2,350 4,875 6,950 12,800
---------- ---------- ---------- ----------
EBITDA $ 8,426 $ 15,980 $ 23,869 $ 44,508
========== ========== ========== ==========
Commodity and Risk Management Services Segment:
The following table provides the financial performance for this
segment.
Three Months Ended Nine Months Ended
May 31, May 31,
------------------------ ------------------------
2006 2007 2006 2007
---------- ---------- ---------- ----------
($ in thousands)
Sales of
commodities $ 542 $ 1,265 $ 5,197 $ 3,807
Cost of
commodities sold 541 1,262 5,113 3,722
---------- ---------- ---------- ----------
Gross profit
on commodities
sold 1 3 84 85
Commissions and
clearing fees 8,916 12,151 24,852 38,090
Service,
consulting and
brokerage fees 9,320 10,873 25,051 29,548
Interest 2,744 5,793 6,087 14,181
Other revenues 19 41 83 147
---------- ---------- ---------- ----------
Revenues, net of
cost of
commodities sold 21,000 28,861 56,157 82,051
Other costs and
expenses:
Expenses
(excluding
interest
expense) 14,894 18,853 40,339 55,129
Interest expense 50 87 87 284
---------- ---------- ---------- ----------
Total costs and
expenses
(excluding cost
of commodities
sold) 14,944 18,940 40,426 55,413
---------- ---------- ---------- ----------
Segment income
before minority
interest and
income taxes $ 6,056 $ 9,921 $ 15,731 $ 26,638
========== ========== ========== ==========
Clearing and Execution Segment:
The following table provides the financial performance for this
segment.
Three Months Ended Nine Months Ended
May 31, May 31,
------------------------ ------------------------
2006 2007 2006 2007
---------- ---------- ---------- ----------
($ in thousands)
Sales of
commodities $ -- $ -- $ -- $ --
Cost of
commodities sold -- -- -- --
---------- ---------- ---------- ----------
Gross profit on
commodities
sold -- -- -- --
Commissions and
clearing fees 18,997 23,254 50,151 63,953
Service,
consulting and
brokerage fees -- -- -- --
Interest 2,508 4,237 7,234 11,722
Other revenues -- 5 -- 105
---------- ---------- ---------- ----------
Revenues, net of
cost of
commodities sold 21,505 27,496 57,385 75,780
Other costs and
expenses:
Expenses
(excluding
interest
expense) 18,127 23,587 48,651 64,367
Interest expense 97 108 251 572
---------- ---------- ---------- ----------
Total costs and
expenses
(excluding cost
of commodities
sold) 18,224 23,695 48,902 64,939
---------- ---------- ---------- ----------
Segment income
before minority
interest and
income taxes $ 3,281 $ 3,801 $ 8,483 $ 10,841
========== ========== ========== ==========
Exchange contract
trading volume
(millions) 11.8 13.4 32.9 38.2
Financial Services Segment:
The following table provides the financial performance for this
segment.
Three Months Ended Nine Months Ended
May 31, May 31,
------------------------ ------------------------
2006 2007 2006 2007
---------- ---------- ---------- ----------
($ in thousands)
Sales of
commodities $ 14,313 $ 3,849 $ 24,229 $ 20,006
Cost of
commodities sold 14,233 3,835 24,103 19,904
---------- ---------- ---------- ----------
Gross profit on
commodities
sold 80 14 126 102
Commissions and
clearing fees -- -- -- --
Service,
consulting and
brokerage fees -- -- -- --
Interest 865 1,903 2,652 6,061
Other revenues 409 653 1,109 1,335
---------- ---------- ---------- ----------
Revenues, net of
cost of
commodities sold 1,354 2,570 3,887 7,498
Other costs and
expenses:
Expenses
(excluding
interest
expense) 635 542 1,760 1,621
Interest expense 720 1,471 2,229 4,873
---------- ---------- ---------- ----------
Total costs and
expenses
(excluding cost
of commodities
sold) 1,355 2,013 3,989 6,494
---------- ---------- ---------- ----------
Segment income
(loss) before
minority
interest and
income taxes $ (1) $ 557 $ (102) $ 1,004
========== ========== ========== ==========
Grain Merchandising Segment:
The following table provides the financial performance for this
segment.
Three Months Ended Nine Months Ended
May 31, May 31,
------------------------ ------------------------
2006 2007 2006 2007
---------- ---------- ---------- ----------
($ in thousands)
Sales of
commodities $ 299,631 $ 298,752 $ 831,252 $1,077,939
Cost of
commodities sold 296,548 293,555 819,673 1,061,017
---------- ---------- ---------- ----------
Gross profit on
commodities
sold 3,083 5,197 11,579 16,922
Commissions
and clearing
fees -- -- -- --
Service,
consulting and
brokerage fees -- -- -- --
Interest 192 30 425 94
Other revenues 852 398 1,310 1,010
---------- ---------- ---------- ----------
Revenues, net of
cost of
commodities sold 4,127 5,625 13,314 18,026
Other costs and
expenses:
Expenses
(excluding
interest
expense) 4,359 3,619 11,467 11,414
Interest expense 961 1,336 2,758 4,482
---------- ---------- ---------- ----------
Total costs and
expenses
(excluding cost
of commodities
sold) 5,320 4,955 14,225 15,896
---------- ---------- ---------- ----------
Segment income
before minority
interest and
income taxes $ (1,193) $ 670 $ (911) $ 2,130
========== ========== ========== ==========
Grain bushels
sold (millions) 56.0 45.3 180.6 174.1
Quarterly Financial Highlights:
The following table provides summary financial highlights by quarter
for the first three quarters of fiscal year 2007.
Three Months Ended
-------------------------------
Nov 30, Feb 28, May 31,
2006 2007 2007
------- ------- -------
($ in thousands)
NON GAAP-Revenues, net of cost of
commodities sold $57,348 $60,098 $64,369
GAAP-Income after minority interest
and before income tax expense $10,114 $11,045 $12,944
GAAP-Net income $ 6,314 $ 6,920 $ 8,069