Company: SDSYA
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001163609-25-000023
Chunk: 38

Company: SOUTH DAKOTA SOYBEAN PROCESSORS LLC
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 2
Chunk 38
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 other non-operating income was due to a $2.2 million increase in interest income which we received from the deposit of investment proceeds received by our subsidiaries in connection with their equity financing of the High Plains Processing plant.

Net Income/Loss – During the six-month period ended June 30, 2025, we generated a net income of $3.4 million, compared to $11.5 million for the same period in 2024. The $8.1 million decrease was primarily attributable to decreased gross margins and decrease in interest income.

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LIQUIDITY AND CAPITAL RESOURCES

Our primary sources of liquidity are cash generated from operations and borrowings from our two revolving lines of credit, which are discussed in the section titled “Indebtedness.” As of June 30, 2025, we had working capital, defined as current assets less current liabilities, of approximately $38.1 million, compared to $107.8 million on June 30, 2024. Working capital decreased between periods primarily due to expenditures related to the construction and development of the High Plains Processing plant, of which we have a controlling ownership interest through our subsidiaries.

Comparison of the Six Months Ended June 30, 2025 and 2024

 20252024Net cash used for operating activities$(38,054,353)$(3,135,955)Net cash used for investing activities(123,247,693)(70,277,842)Net cash provided by financing activities128,886,639 99,227,129 

Cash Flows Provided By (Used For) Operations

The $34.9 million decrease in cash flows used for operating activities was largely due to a $13.8 million increase in inventories, a decrease in contract liabilities of approximately $8.0 million and by a decrease in net income of approximately $11.1 million. 

Cash Flows Used For Investing Activities

The $53.0 million increase in cash flows used for investing activities during the six-month period ended June 30, 2025, compared to the same period in 2024, was due to an increase in expenditures for purchases of various property and equipment used for the construction and development of the High Plains Processing plant. 

Cash Flows Provided By Financing Activities

The $29.7 million increase in cash flows provided by financing activities was principally due to a decrease in proceeds from issuance of new capital units in our consolidated entities offset by an increase in borrowings with our lender. During the