The CBH Group has reported a strong surplus for the 2023 financial year, propelled by a record harvest and outloading that saw the co-operative report a multitude of new operational records throughout the year.
The grower-owned co-operative released its 2023 Annual Report on Friday which outlines the financial and operational performance for the year ending September 30.
CBH reported a group surplus of $353.3 million for the 2023 financial year, driven by the record harvest of 22.9 million tonnes, record shipping volumes, and favourable export margins early in the year.
CBH chief executive officer Ben Macnamara said the strong financial result positioned CBH to achieve the Path to 2033 Strategy generating more value and strengthening the network for current growers and future generations.
"This success was a year underpinned by a second consecutive record harvest delivered by Western Australian growers to CBH sites," Mr Macnamara said.
"To grow and deliver back-to-back record crops is an outstanding achievement and is testament to the resilience, commitment and innovation of Western Australian growers, as well as the CBH team who helped to receive it.
"Together we set almost 100 new harvest records and achieved our second safest 12-month period on record.
"Critically it was also the first time in the co-operative's 90-year history that we outturned a record 21.9mt to our international and domestic customers, with both records allowing CBH Operations to achieve its largest ever surplus of $156.1m."
The outturn program saw the supply chain ship a record 19.7mt from its port terminals, while road and grower subcontractors moved a record 8.3mt of grain directly to its ports, breaking nine monthly records.
Rail performance significantly improved during the year, with Aurizon helping to move a record 11mg, breaking 10 monthly rail records for the year in the process.
CBH invested a record $572.7m into the network, including entering into three agreements that will significantly bolster the existing rail fleet by 24 locomotives and 650 wagons.
As part of this network investment, progress was made on 11 rail outloading and siding projects, including the completion of the Brookton rail siding project and the start of construction at the Broomehill rapid rail outloading project.
During the year, 436,000t of permanent storage and 2.3mt of temporary storage was added to the CBH network, while a record $173.6m was invested in more than 230 sustaining capital projects that will ensure the longevity and functionality of network assets.
CBH Marketing & Trading (M&T) reported a surplus of $176.3m which was driven by increased export margins early in the year, a second consecutive record harvest in WA and the re-opening of the China barley market.
During the year, M&T paid $4.8b to WA growers, while shipping 8.9mt of grain.
"To support the Path to 2033 Strategy, $170 million of M&T's surplus will be paid as a fully franked dividend to CBH for the sole purpose of network investment, with the remainder used to support the division's equity position," Mr Macnamara said.
CBH Fertiliser reported excellent growth in a year of transformation and expansion, with a record 232,000t sold.
This milestone was aided by the opening of the new Kwinana Fertiliser Terminal, entry into the liquid fertiliser market and significant growth in the Esperance region.
"CBH Fertiliser now holds an 11 per cent market share in Western Australia well on its way to achieving its Path to 2033 strategic goal of holding a 15pc market share, and more importantly, creating competitive tension in the market," Mr Macnamara said.
