DBAHIGH SIGNALFINANCIAL10-K

DBA experienced a substantial decline in operating cash flow alongside significant changes to its underlying commodity index composition and methodology.

The dramatic reduction in operating cash flow from $137.5M to $38.7M raises questions about the fund's operational efficiency and cash generation capabilities. Combined with the restructuring of the underlying index to include additional commodities like Soybean Meal and Soybean Oil, and new selection criteria based on three-year dollar volume averages, investors face both operational concerns and fundamental changes to the fund's investment approach.

Comparing 2026-03-02 vs 2025-02-26View on EDGAR →
FINANCIAL ANALYSIS

DBA's financial performance deteriorated meaningfully, with operating cash flow declining substantially while operating income fell 16.3% to $26.4M. Net interest income dropped 12.9% and the company reduced both dividend payments and share buybacks by approximately 19% and 17% respectively. The overall financial picture suggests operational challenges with reduced cash generation and more conservative capital allocation, though the balance sheet remains relatively stable with only modest declines in cash positions.

FINANCIAL STATEMENT CHANGES
Operating Cash Flow
Cash Flow
-71.8%
$137.5M$38.7M

Operating cash flow fell 71.8% — earnings quality concerns; investigate working capital changes and non-cash items.

Interest Expense
P&L
+53.1%
$97K$149K

Interest expense surged 53.1% — significant debt increase or rising rates materially impacting earnings.

Dividends Paid
Cash Flow
-19.4%
$32.1M$25.9M

Dividend reduced 19.4% — monitor management commentary on capital allocation priorities.

Share Buybacks
Cash Flow
-17.3%
$245.3M$202.9M

Buyback activity reduced 17.3% — capital being redeployed elsewhere or cash conservation underway.

Operating Income
P&L
-16.3%
$31.5M$26.4M

Operating profitability softening — costs rising faster than revenue, watch for margin recovery plan.

Net Interest Income
P&L
-12.9%
$38.0M$33.1M

Net interest income declined 12.9% — margin compression from rate changes or funding cost increases.

Cash & Equivalents
Balance Sheet
-10.7%
$50.7M$45.3M

Cash decreased 10.7% — monitor burn rate and upcoming capital needs.

LANGUAGE CHANGES
NEW — 2026-03-02
PRIOR — 2025-02-26
ADDED
The Index is intended to reflect the economic performance of investing in commodities in the agriculture sector.
Effective November 10, 2025, the Index comprised the following commodities: Corn, Soybeans, Soybean Meal, Soybean Oil, Wheat, Kansas City Wheat, Sugar, Cocoa, Coffee, Cotton, Live Cattle, Feeder Cattle, and Lean Hogs (each, an Index Commodity, and collectively, the Index Commodities ).
The Index is intended to reflect the economic performance of investing in futures contracts on a basket of commodities in the agriculture sector.
The Index Sponsor selects and weights commodities in the Index on an annual basis based on (i) the value and liquidity of the market for associated commodity futures contracts and (ii) their production volume (in order to factor in the relative importance of the commodity in the global economy).
Commodity futures quoted in US Dollars and listed on major US and European exchanges are eligible for inclusion in the Index.
Eligible commodities are selected based on their Three-Year Total Dollar Volume Average (i.e., commodities are initially screened for inclusion based on their relative three-year Total Dollar Volume traded, which is calculated by multiplying the total volume of futures traded during the last one-year period by the average close price of the front month contract on each month end during that one-year period).
Each commodity s three-year Total Dollar Volume traded is calculated in proportion to the three-year Total Dollar Volume traded of all commodities within its sector to determine its initial sector liquidity rate.
A commodity with a proportionate weight of less than 2% (or 1.5% for a commodity included at the last rebalance) within its sector is excluded from the Index.
Each remaining commodity s three-year Total Dollar Volume traded is calculated in proportion to the three-year Total Dollar Volume traded of all eligible commodities ( Filtered Commodity Weight ).
Commodity weights in the Index are determined by the Parent Index.
REMOVED
Treasury Bills, 4.340% due May 29, 2025 2024-12-31 0001383082 Open Commodity Futures Contracts Long Futures Contracts CBOT Wheat KCB Expiration Date July - 2025 2024-01-01 2024-12-31 0001383082 us-gaap:NondesignatedMember us-gaap:CommodityContractMember 2023-01-01 2023-12-31 0001383082 Affiliated Investments Exchange-Traded Fund Invesco Short Term Treasury ETF 2023-12-31 0001383082 Open Commodity Futures Contracts Long Futures Contracts CBOT Corn Expiration Date September -2025 2024-01-01 2024-12-31 0001383082 United States Treasury Obligations U.S.
The Index is intended to reflect the change in market value of the agricultural sector.
The commodities comprising the Index are Corn, Soybeans, Wheat, Kansas City Wheat, Sugar, Cocoa, Coffee, Cotton, Live Cattle, Feeder Cattle and Lean Hogs (each an Index Commodity , and collectively, the Index Commodities ).
The Index is composed of notional amounts of each of the underlying Index Commodities.
The notional amount of each Index Commodity included in the Index is intended to reflect the changes in market value of each such Index Commodity within the Index.
The closing level of the Index is calculated on each business day by the Index Sponsor based on the closing price of the commodity futures contracts for each of the Index Commodities and the notional amount of such Index Commodity.
The Index is rebalanced annually in November to ensure that each of the Index Commodities is weighted in the same proportion that such Index Commodities were weighted on January 18, 1989.
The composition of the Index may be adjusted in the event that the Index Sponsor is not able to calculate the closing prices of the Index Commodities.
The following table reflects the Fund weights of each Index Commodity or related futures contracts, as applicable, as of December 31, 2024: Index Commodity Fund Weight (%) Cocoa 17.15 % Coffee 12.96 Corn 11.45 Cotton 2.39 Feeder Cattle 4.21 Kansas City Wheat 5.58 Lean Hogs 7.37 Live Cattle 11.93 Soybeans 11.24 Sugar 10.29 Wheat 5.43 Closing Level as of December 31, 2024: 100.00 % Please see http://www.invesco.com/ETFs with respect to the most recently available weighted composition of the Fund and the composition of the Index.
2 The Index is comprised of single commodity indexes, certain of which are rolled using either an Optimum Yield TM rolling methodology (such indexes, OY Single Commodity Indexes ), or a non-Optimum Yield TM rolling methodology (such indexes, non-OY Single Commodity Indexes ).
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