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

MINNEAPOLIS, Nov. 8, 2022 /CNW/ - Ceres Global Ag Corp. (TSX: CRP) ("Ceres" or the "Corporation") today announced its financial and operating results for the quarter ended September 30, 2022. All amounts are in U.S. dollars unless otherwise noted.

Highlights for the quarter ended September 30, 2022
(Comparisons to the quarter ended September 30, 2021)

• On August 23, 2022, Robert Day stepped down as President and Chief Executive Officer of the Corporation. Carlos Paz, VP and Commercial Director, was appointed as Mr. Day's replacement
• First quarter revenues in increased by 25% compared to the same period in 2021;
• Adjusted Net Income for the quarter was $337 thousand;
• First quarter gross profit down from the previous year, which was the most profitable quarter in the history of Ceres;
• Income from operations and net income were both down, due to volatile market conditions and cost reduction measures related to employee severance;
• On October 1, 2022, Mr. Thomas Coyle was appointed to the Board of Directors. In addition to his role as Independent Director, Mr. Coyle will lead the Board's oversight of Ceres' risk management and futures compliance.

CEO Commentary

"Despite a late harvest and subsequently lower volumes during the quarter, we were able to achieve positive adjusted net income while also maintaining strong top line revenue growth," Carlos Paz, President and CEO of Ceres commented. "In addition to the late harvest, this quarter was colored by challenging market conditions, due to the ongoing conflict in Ukraine. Despite challenging planting conditions, we saw resilience in our northern tier crops in Canada and the U.S. which produced adequate crops and resulted in more product to handle, merchandise and supply to our end customers."

Summary Financial and Operational Results

Outlook

Mr. Paz added, "Looking ahead, we expect farmer sales and handled volumes to increase during Q2 and through the remainder of the year as we continue to work with our diverse network of partners to access growers and core products. We have continued to maximize the full potential of our assets by leveraging our robust infrastructure to increase volumes and efficiencies across all products."

"While market conditions are likely to remain volatile under the current geopolitical environment, we have the resources and talent to adapt to these challenges," Mr. Paz continued. "We will continue to deliver superior value to our customers by maximizing trading and merchandizing opportunities and organically developing regenerative agriculture and supply chain solutions."

Conference Call Details

Management of Ceres will host a conference call today, November 8, 2022, at 09:00 a.m. ET. All interested parties can join the conference call by dialing 1-888-204-4368 or 1-647-794-4605. Please dial in 15 minutes prior to the call to secure a line.

A live audio webcast of the conference call will be available at: https://app.webinar.net/7a3zLa3owRE. 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.

Non-IFRS Financial Measures and Reconciliation

In calculating EBITDA, Ceres excludes gains and losses on property, plant and equipment, assets held for sale, and gains and losses on equity investments. Ceres may calculate EBITDA differently than other companies; therefore, Ceres' EBITDA may not be comparable to similar measures presented by other issuers.

Investors are cautioned that EBITDA should not be construed as an alternative to net income or loss, or to other standardized financial measures determined in accordance with IFRS and is not intended to represent cash flows or results of operations in accordance with IFRS. See the table below for the reconciliation of EBITDA.

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 centers and team of industry experts, Ceres connects farmers to customers around the world.

Ceres is headquartered in Golden Valley, Minnesota, and together with its affiliated companies, operates 12 locations across Saskatchewan, Manitoba, Ontario, and Minnesota. These facilities have an aggregate grain and oilseed storage capacity of approximately 31 million bushels.

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

For more information about Ceres, please visit www.ceresglobalagcorp.com

Forward-looking Statements
This news release contains "forward-looking information" within the meaning of applicable Canadian securities legislation and United States securities laws. Forward-looking information may include, but is not limited to, statements regarding future operations and results, anticipated business prospects and financial performance of Ceres and its subsidiaries, including the plans, costs, timing and capital for the further development of the Northgate Commodities Logistics Centre, expectations or projections about the future, strategies and goals for growth, expected and future cash flows, costs, planned capital expenditures, regulatory change, general economic political and market conditions anticipated capital projects, construction and completion dates, operating and financial results, critical accounting estimates, the expected financial and operational consequences of future commitments. Generally, forward-looking information can be identified by the use of forward-looking terminology such as "plans", "expects" or "does not expect", "is expected", "budget", "scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not anticipate", "believes", "may have implications" or variations of such words and phrases or statements that certain actions, events or results "may", "could", "would", "might", or "will be taken", "occur", or "be achieved". Forward-looking information is based on the opinions and estimates of management at the date the information is made and is based on a number of assumptions and subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking information. Key assumptions upon which such forward-looking information is based are listed in the "Forward-Looking Information" section of the MD&A for the period ended September 30, 2022. Many such assumptions are based on factors and events that are not within the control of Ceres and there is no assurance they will prove to be correct. Factors that could cause actual results to vary materially from results anticipated by such forward-looking information include, among others, risks related to weather, politics and governments, changes in environmental and other laws and regulations, competitive factors in agricultural, food processing and feed sectors, construction and completion of capital projects, labour, equipment and material costs, access to capital markets, interest and currency exchange rates, technological developments, global and local economic conditions, the ability of Ceres to successfully implement strategic initiatives and whether such strategic initiatives will yield the expected benefits, the operating performance of the Corporation's assets, the availability and price of commodities and regulatory environment, processes and decisions. Although Ceres has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking information, there may be other factors that cause actions, events or results that are not anticipated, estimated or intended. There can be no assurance that forward-looking information will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information. Ceres undertakes no obligation to update forward-looking information if circumstances or management's estimates or opinions should change, except as required by applicable securities laws. The reader is cautioned not to place undue reliance on forward-looking information.

SOURCE Ceres Global Ag Corp.

View original content: http://www.newswire.ca/en/releases/archive/November2022/08/c2835.html