8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (date of earliest event reported): February 27, 2019

South Dakota Soybean Processors, LLC

(Exact name of registrant as specified in its charter)

South Dakota	000-50253	46-0462968
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)
100 Caspian Ave. PO Box 500 Volga, South Dakota		57071
(Address of principal executive offices)		(Zip Code)

(605) 627-9240

(Registrant's telephone number, including area code)

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02 Results of Operations and Financial Condition and Item 7.01 Regulation FD Disclosure.

On or about February 27, 2019, South Dakota Soybean Processors, LLC published and sent a newsletter to its members containing unaudited financial statements for the year ended December 31, 2018. The newsletter is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

This Report on Form 8-K is being furnished pursuant to Item 7.01 Regulation FD Disclosure. The information furnished is not deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, is not subject to the liabilities of that section and is not deemed incorporated by reference in any filing under the Securities Act of 1933, as amended.

Item 9.01 Financial Statements and Exhibits.

(a) None.

(b) None.

(c) None.

(d) Exhibits.

Exhibit No.	Description
99.1	Winter 2019 Newsletter for South Dakota Soybean Processors, LLC

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	SOUTH DAKOTA SOYBEAN PROCESSORS, LLC
Dated: February 27, 2019	/s/ Mark Hyde
	Mark Hyde, Chief Financial Officer

EX-99.1

Exhibit 99.1 Winter 2019 SOUTH DAKOTA Volume 13 : Issue 1 www.sdsbp.com PROCESSORS Multiple Factors Create Record Year The numbers look good — very good. Last year at this time Locally, two other factors made an impact. First, a conscious we were reporting to you a net income for 2017 of $6.8 decision by the SDSP Board of Managers to authorize a million. This year, we’re pleased to announce that the net rather aggressive capital re-investment plan over the last income for South Dakota Soybean Processors (SDSP) in few years allowed the company to expand processing 2018 was considerably higher. In fact, SDSP experienced a capacity, reduce downtime and improve efficiencies. Those record-breaking year, stacking up $25.9 million in net income. investments, when combined with good margins, have a Tom Kersting CEO multiplying effect. Tom.Kersting@sdsbp.com Even more satisfying is that the company achieved records in a number of other areas, most notably in crush volume at Second, we have very dedicated and hard-working both the Volga and Miller plants. associates. It takes a coordinated effort from all of the different operational groups — including plant operations, What led to our success? marketing, transportation and financial management — …2018 was First, we definitely had help from the marketplace. Beginning to achieve these kinds of results. We’ve got a great group a great year in early 2018, a drought in Argentina set the stage. That of people here and they deserve a lot of the credit. “ for us. country’s reduced soybean crop limited supplies to its processors, bringing increased soybean meal demand to the What about 2019? ” U.S. — in general benefitting U.S. processors like SDSP. We continue to reinvest in this company. SDSP has a number of projects that we’ll be launching in 2019, with Later in the year, the U.S. trade dispute with China sharply that same goal of increasing capacity, reducing downtime, reduced that country’s purchases of U.S. soybeans. and improving efficiencies. We’ll also be taking steps to Normally, SDSP competes primarily with China on soybean expand our markets while not straying far from our core exports shipping out of the Pacific Northwest. With China competencies. An example has been our entry into the absent from the market, SDSP was able to purchase non-GMO sector. We continue to see modest growth in soybeans at a more favorable basis. demand for non-GMO products. And while it is a tiny percent SOUTH DAKOTA continued on next page soybean processors

UNAUDITED FINANCIAL STATEMENTS Condensed Balance Sheet Condensed Statement of Operations December 31, 2018 For the Year Ended December 31, 2018 ASSETS Net revenues $ 391,436,374 Current assets Cost of revenues (362,837,870) cash and cash equivalents $ 7,197,082 gross profit 28,598,504 trade accounts receivable 20,550,438 Administrative expenses (3,834,845) inventories 36,716,014 operating profit 24,763,659 other current assets 3,843,015 total current assets 68,306,549 Other income (expense) Interest expense (1,127,326) Property and equipment 110,314,779 other non-operating income 2,241,012 less accumulated depreciation (51,246,765) total other income (expense) 1,113,686 total property and equipment, net 59,068,014 Net income $ 25,877,345 Other assets investments 9,561,337 Basic and diluted earnings per capital unit $ 0.85 total other assets 9,561,337 Weighted average number of units outstanding total assets $ 136,935,900 for calculation of basic and diluted earnings per capital unit 30,419,000 LIABILITIES AND MEMBERS’ EQUITY Current liabilities excess outstanding checks over bank balance $ 3,893,179 Capital Units Trading History current maturities of long-term debt 61,964 Period Units Traded average high low note payable - seasonal loan - 2018-Q4 30,500 $3.22 $3.26 $3.20 accounts payable 2,325,404 accrued commodity purchases 35,384,390 2018-Q3 49,500 $3.26 $3.38 $3.19 other current liabilities 4,500,688 2018-Q2 56,000 $3.39 $3.40 $3.37 total current liabilities 46,165,625 2018-Q1 67,500 $3.40 $3.42 $3.30 Long-term liabilities 593,027 SDSP Capital Units are traded on an alternative trading system, operated by Variable Investment Advisors, Inc. (VIA). Offers to buy or sell capital units can Members’ equity 90,177,248 be placed online at www.agstocktrade.com, or by calling VIA at 800-859-3018. total liabilities and members’ equity $ 136,935,900 For more details regarding SDSP’s Capital Units Transfer System, please visit our web site at www.sdsbp.com, or email memberinfo@sdsbp.com. Multiple Factors... continued from previous page of overall production, that market is well-suited to driven, focused on today, but also trying to reinvestments we’ve been making at SDSP have the Miller facility given its smaller size. At SDSP, position ourselves for long-term success. benefitted not only our bottom line, but you as our we are also taking strategic steps to help secure That’s a message worth leaving with you. I invite customer and member. our market and customers, understanding that you to examine the year-end financials above, there will be increased processing capacity from as well as reading more about how the competitors across the United States, including some in South Dakota. It’s true, 2018 was a great year for SDSP. It exemplifies our vision, that we are customer- 2

OPERATIONS UPDATE Record Crush Volumes Continue It’s satisfying to be able to report that not only did SDSP Not Your Typical Harvest achieve a record net income in 2018, but as CEO Tom Kersting Numerous weather delays impacted the soybean harvest this reported in his opening article, both the Volga and Miller past fall. Due to the wet conditions, SDSP was not able to facilities broke records in crush volumes last year, as well. put as many beans on the ground as planned. It was a long, drawn-out harvest, and there were some quality issues due You might wonder how SDSP continues to push its crush John Prohaska to higher-moisture beans. In the end, however, we still took in Group Operations Manager capacities — especially in the 23-year-old Volga plant. the normal quantity of crop, just over a longer time frame. John.Prohaska@sdsbp.com Certainly, the SDSP’s Board of Managers’ commitment to reinvest in the facilities at both Volga and Miller has been We continue to see benefits from the investment in SDSP’s critical to the successful operations of the plants. new receiving complex. It allows a much smoother flow of operation, keeping waiting lines down. In addition, the new In addition, our operating team has been successful in doing stop light on the intersection of Highway 14 and Caspian the work involved in expanding crushing capacity not only Avenue provides a safety and comfort factor for drivers. during our annual shutdowns, but also while the plants are fully operational. That’s a task that takes considerable strategic This was also the first harvest that producers could deliver planning. In 2019, in order to maintain and expand our current non-GMO beans to the new site at Arlington, South Dakota. crushing rate, we will be undertaking major renovations at The site, located on U.S. Highway 14, is possible due to an Volga that may dictate a potentially longer shutdown. agreement with Prairie Ag Partners. We had an excellent response from producers, and we’re currently looking to provide an additional delivery point in 2019. Producers should remember that the Arlington site is available for delivery drops throughout the year. Anyone with questions about the election or board Nominations Due March 15 member responsibilities can contact a member of the During the SDSP annual meeting this June, members will be nominating committee: electing one board member from each of the five districts. District 1 – Jonathan Kleinjan, 605-695-2154, Incumbents Kent Howell (District 1), Robert Nelsen (District jonathan.kleinjan@sdstate.edu 2), Jeff Hanson (District 3), Gary Kruggel (District 4), and District 2 – Maurice Odenbrett, 507-425-2624 Ned Skinner (District 5) are all running for re-election. District 3 – Wayne Enger, 320-979-6558, waenger@hotmail.com Any SDSP member interested in seeking nomination for the District 4 – Mark Brown, 507-514-2899, board for any of the five districts can contact Amy Koisti at mnmarkbrown@gmail.com 605-627-6100 to request a nomination petition. The petitions District 5 – Ronald Anderson, 312-848-9688, must be returned to the SDSP office by MARCH 15, 2019. ronanderson@rlatrading.com ©2019 South Dakota Soybean Processors, LLC. All Rights Reserved. 3

SOUTH DAKOTA soybean processors 100 Caspian Ave PO Box 500 Volga, SD 57071 Make MORE Profit with premiums paid for NON-GMO SOYBEANS Now TWO delivery locations: St. Lawrence, SD Arlington, SD Old Crop Basis +50 K Old Crop Basis +20 K New Crop Basis +50X New Crop Basis +10X Premiums range from +$1.50 to Premiums range from +$1.20 to +$1.70, depending on location +$1.50, depending on location For information on program details call Kari at 1-888-737-7888 SDSP Offers Ag Messaging App SDSP is now part of the Cropstream family — and we invite our members to join this free service, as well. Cropstream is a new ag messaging app that will help us better communicate with our producers — and our producers with one another and others in the business of ag. WE INVITE YOU TO JOIN US Downloadable onto your desktop, tablet or smartphone, Cropstream provides a place on Cropstream the free to exchange information — or get information — that’s critical to your business of Ag messaging App. farming. Daryn Warne, SDSP merchandiser, says through the Cropstream messaging service, SDSP can notify producers of the latest bean bids, changing harvest hours, Get the latest updates, information, and support from South Dakota Soybean or ask for delivery of non-GMO beans, for example. In addition, producers can use Processors right on your phone! Cropstream to view live the bean or meal lines at the Volga and Miller facilities. Cropstream bills itself as “the communication network built for agriculture.” Others call STAY IN THE KNOW it a digital coffee shop, providing a chat room for private or group conversations on Updates about products anything ag. There is no advertising on Cropstream and no collection of your private from your representative data. It’s a powerful and simple business messaging service to connect growers, Support for products, retailers, suppliers and others. services and offers Notifications of important “Cropstream takes the whole app concept to a new level,” says Daryn. To find out reminders and events more about Cropstream, go to www.cropstream.com. To download the app onto your Coordinate activities with  smart phone or tablet, simply go to your phone’s app shopping spot. For iPhones, alerts and updates click on the App Store. If a Droid is your phone of choice, check out Play Store. Type “Cropstream” into the search box and follow the directions for downloading the app. FINAL_v5_Cropstream-ClientHandout_101718 - SD Soybean.indd 1 12/21/2018 8:52:12 AM