Mr. Carlos Paz reports

CERES GLOBAL AG CORP. REPORTS THIRD QUARTER RESULTS FOR FISCAL YEAR 2023

Ceres Global Ag Corp. has released its financial and operating results for the three and nine month periods ended March 31, 2023. All amounts are in United States dollars unless otherwise noted.

Highlights for the quarter ended March 31, 2023 (comparisons with the quarter ended March 31, 2022):

• Gross profit for the quarter was $5.5-million, down from the previous year, which was one of the most profitable years in the history of the corporation;
• Income from operations was $339,000 compared with $3.6-million in the previous year;
• Net loss for the quarter was $553,000 and adjusted net income for the quarter was $410,000;
• The corporation handled and traded 24.1 million bushels, up 20 per cent from 20.1 million bushels in the prior year;
• On Feb. 17, 2023, the corporation completed the sale of its Port Colborne facility for $4-million and recognized a gain on the sale of $1.2-million.

Chief executive officer commentary

"While markets remain volatile, mostly due to the ongoing conflict in Ukraine and mixed results from the South American crop season, the Ceres team skillfully navigated these erratic markets and effectively utilized the company's asset network, resulting in another quarter with positive adjusted net income. This quarter, Ceres handled 20 per cent higher volumes compared with last year, and year-to-date handled volumes have surpassed fiscal 2022 volumes by 6 per cent. One of the key contributors to these strong results was the performance of our joint venture in Berthold Farmers Elevator, where volumes handled have increased by 15 per cent, demonstrating its continued value."

Outlook

Carlos Paz added: "While we are expecting delays in planting for North American crops due to the cool, wet spring in the northern plains and Canadian prairies, we believe current elevated prices for core products will encourage farmers to maximize the acres planted, which should result in adequate volumes to merchandise, barring adverse summer weather. Our team is assessing crops closely to best capitalize on market opportunities as they arise.

"One of Ceres's greatest competitive advantages is our network of partners, who we have built longstanding and trusted relationships with over the years. The success of these partnerships is borne out by our ability to leverage the trade flows developed over the past several years. Going forward, we will continue to focus on maximizing the full value of these assets and find creative ways to partner with independent co-ops to increase Ceres's farmer direct origination in order to keep up with the increasing demand for supply chain and regenerative agriculture solutions."

Conference call details

Management of Ceres will host a conference call today, May 12, 2023, at 9 a.m. ET. All interested parties can join the conference call by dialling 1-888-390-0605 or 416-764-8609. The conference call ID is 86523057. Please dial in 15 minutes prior to the call to secure a line.

A live audio webcast of the conference call will be available on-line. Please connect at least 15 minutes prior to the conference call to ensure adequate time for any software download that may be required to join the webcast. An archived replay of the webcast will be available for 90 days.

About Ceres Global Ag Corp.

Ceres and its subsidiaries add value across agricultural, energy and industrial supply chains through efficient sourcing, storing, transporting and marketing of high-quality agricultural commodities, value-added products and raw materials. Leveraging its network of commodity logistics centres and team of industry experts, Ceres connects farmers to customers around the world.

Ceres is headquartered in Golden Valley, Minn., and, together with its affiliated companies, operates 11 locations across Saskatchewan, Manitoba, Ontario and Minnesota. These facilities have an aggregate grain and oilseed storage capacity of approximately 29 million bushels.

Ceres has a 50-per-cent interest in Savage Riverport LLC (a joint venture with Consolidated Grain and Barge Co.), a 50-per-cent interest in Berthold Farmers Elevator LLC (a joint venture with the Berthold Farmers Elevator Company), a 50-per-cent interest in Farmers Grain LLC (a joint venture with Farmer's Cooperative Grain and Seed Association), a 50-per-cent interest in Gateway Energy Terminal (an unincorporated joint venture with Steel Reef Infrastructure Corp.), a 25-per-cent interest in Stewart Southern Railway Inc. (a short-line railway located in southeast Saskatchewan with a range of 130 kilometres) and a 17-per-cent interest in Canterra Seed Holdings Ltd. (a Canada-based seed development company).

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