Company: SDSYA
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001163609-25-000017
Chunk: 22

Company: SOUTH DAKOTA SOYBEAN PROCESSORS LLC
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 8
Chunk 22
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. The decrease in interest expense was principally due to a decrease in borrowings from our credit facilities (excluding loans by our subsidiary, High Plains Processing), with an average debt level of $56.7 million during the three months ended March 31, 2025, compared to $74.0 million during the same period in 2024. Additionally, approximately $1.1 million in interest costs related to the construction of the High Plains Processing facility were capitalized during the three months ended March 31, 2025, compared to $0 in the same period of 2024.

Other Non-Operating Income – Other non-operating income (expense), including patronage dividend income, decreased $0.8 million during the three months ended March 31, 2025, compared to the same period in 2024. The decline was primarily driven by an approximate $1.1 million decrease in interest income earned on investment proceeds held by our subsidiaries in connection with the equity financing of the High Plains Processing plant.

Net Income/Loss – During the three-month period ended March 31, 2025, we generated net income attributed to the Company of $4.4 million compared to $5.5 million for the same period in 2024. The $1.1 million decrease was primarily attributable to decreased gross margins.

18

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 March 31, 2025, we had working capital, defined as current assets less current liabilities, of approximately $36.9 million, compared to $151.2 million on March 31, 2024. Working capital decreased between periods primarily due to expenditures related to the construction and development of the High Plains Processing plant, which we have a controlling ownership stake through our subsidiaries.

Comparison of the Three Months Ended March 31, 2025 and 2024

 20252024Net cash used for operating activities$(39,947,126)$(31,816,910)Net cash used for investing activities(60,803,453)(23,139,489)Net cash provided by financing activities67,574,347 117,268,046 

Cash Flows Provided By (Used For) Operations

The $8.1 million increase in cash flows used for operating activities was largely due to a $10.0 million increase