CHS Inc. rode higher energy prices to a record $1.9 billion profit in its fiscal year that ended in August.

The Inver Grove Heights-based agribusiness attributed the 12% earnings growth to "exceptional operational performance and favorable market conditions," CEO Jay Debertin said in a news release.

Revenue for the nation's top-grossing cooperative was $45.6 billion, down 5% from 2022.

Energy profits, driven largely by the company's refinery operations and Cenex retail fuel sales, nearly doubled from the year before.

Agricultural product earnings fell $245 million because of "market-driven price declines compared to historically high prices in the previous year," the company said. A boost from Ventura Foods, an oilseed processor and ingredient supplier CHS owns in a joint venture, helped offset the ag declines.

"We will continue to collaborate, innovate and invest to meet the growing global demand for agricultural products," Debertin said.

CHS announced in September it would be returning $730 million to its cooperative and farmer owners. The company paid a record $1 billion in cash patronage and equity redemption this year.

The U.S. Department of Agriculture expects farm income will decline sharply this year but remain above the 20-year average following a record take in 2022.

As input costs remain high and commodity prices sink, farm earnings will likely fall again in 2024, according to the Food and Agricultural Policy Research Institute at the University of Missouri.

"High commodity prices led to record levels of net farm income in 2022, despite a large increase in production expenses," the institute reported in September. "In 2023 and 2024, lower prices for many commodities contribute to projected declines in net farm income. However, farm income remains high by historical standards, even after correcting for inflation."

The USDA projects a year of muted economic growth in 2024 based on a range of metrics and a stronger performance in 2025.