TYLER OLSON, CFO
Tyler.Olson@NuWay-KandH.com
FY2024 has concluded, and our audit has been approved by the board. NuWay-K&H Cooperative performed well in our previous fiscal year.
I am pleased to report that we have met our budgeted goals and that we have again increased our overall balance sheet in key areas of flexibility, financial ratios, and return of equity to our members. We will report to our members a healthy net margin.
Specifically, our investments in Best Oil have come full circle, with increased volumes and regional patronage providing strong results. We’ve built these investments over several years to gain market share outside of our traditional customer base. These investments are now providing results to help build our balance sheet and bring value directly to the members. In addition to the financial return from these investments, we also get valuable expertise, assets, and the ability to offset highs and lows within our traditional book of business. This is a great example of being diversified and creating exceptional value for our members.
Let’s review some of this past year’s audited financials below:
|
Overall P&L |
||
|
2024 |
2023 |
|
|
Sales |
$110.0m |
$130.8m |
|
Gross Margin |
$ 24.9m |
$ 24.3m |
|
Total Expenses |
$ 24.2m |
$ 24.0m |
|
Other Income |
$ 10.3m |
$ 2.0m |
|
Income Taxes |
$ 2.5m |
$ 0.3m |
|
Net Margin |
$ 8.5m |
$ 2.3m |
FY2024 sales were down with commodity prices retracting from 2023. This is not a bad thing, as we all want the price of our inputs to go down and be consistent, with room for everyone to prosper. We maintained volumes in seed, retail store, sales, and refined fuels. We saw a dip in propane due to the mild winter and relatively light drying season. Our margin overall carried through and netted similar to our FY2023 results, and our large increase in other income was mainly our investment in Best Oil which I mentioned earlier.
|
BALANCE SHEET |
||
|
2024 |
2023 |
|
|
Current Assets |
$24.5m |
$26.5m |
|
Total Assets |
$84.0m |
$79.3m |
|
Current Liabilities |
$ 18.7m |
$22.5m |
|
Total Liabilities |
$84.0m |
$79.3m |
Our balance sheet continues to be stable and growing in the right direction. Our cash position continues to improve and will allow us to be ready if the right opportunity comes along. Flexibility is one of the greatest strengths and advantages that NuWay-K&H Cooperative has over many other similar entities within our trade territory.
|
Division Sales Volumes & Dollars |
||
|
2024 |
2023 |
|
|
Total Fertilizer Tons |
36.6k |
35.6k |
|
Total Chemical Sales |
$ 8.6m |
$ 9.8m |
|
Total Seed Sales |
$ 8.2m |
$ 7.6m |
|
Total Energy Gallons |
25.5m |
27.7m |
|
Total Retail Sales |
$20.8m |
$ 21.3m |
As always, I would like to thank you as members for working with us and supporting your cooperative. We continue to work towards a long-term plan of being here to serve you in the same manner as we have since 1930. Thank you for your patronage, and we look forward to continuing to serve your future needs.
“Our investments in Best Oil have come full circle.”
