South Dakota Soybean Processors Swings to $23.7M Q2 Profit on 195% Revenue Surge

summarizeSummary

South Dakota Soybean Processors reported a strong Q2 2026 with net income of $23.7 million, driven by its new Mitchell facility and higher soybean oil prices, though debt and interest costs rose sharply.

check_boxKey Events · Earnings and Guidance · SDSYA

• Q2 Net Income Swings to $23.7M

  Net income attributable to the Company was $23.7 million in Q2 2026, compared to a loss of $1.0 million in Q2 2025. Earnings per unit were $0.78 versus a loss of $0.03.

• Revenue Surges 195.5% on New Facility

  Q2 revenue reached $326.9 million, up from $110.6 million a year earlier. The Mitchell facility, which began operations in Q4 2025, doubled processing capacity and drove a 125.3% increase in volumes.

• Gross Margin Expands to 11.1%

  Gross profit was $36.4 million in Q2 2026, up from $0.3 million in Q2 2025. The improvement was driven by stronger soybean oil demand following updated Renewable Volume Obligations.

• Interest Expense Jumps 434.5%

  Interest expense rose to $6.6 million in Q2 2026 from $1.2 million a year earlier, reflecting higher borrowings. Long-term debt increased to $323.1 million from $253.8 million at year-end 2025.

auto_awesomeAnalysis · SDSYA · Manufacturing

The company's new Mitchell facility doubled processing capacity, driving revenue up 195.5% to $326.9 million in Q2 2026. Gross margin expanded from 0.2% to 11.1%, turning a $1.0 million loss into a $23.7 million profit. However, interest expense jumped 434.5% to $6.6 million as long-term debt climbed to $323.1 million, and operating cash flow was negative $51.0 million for the half. The results confirm the facility is ramping profitably, but the balance sheet is more leveraged.