Quarterly report pursuant to Section 13 or 15(d)

Segments

v3.22.2.2
Segments
9 Months Ended
Sep. 30, 2022
Segment Reporting [Abstract]  
SEGMENTS

3. SEGMENTS.

 

The Company reports its financial and operating performance in three segments: (1) marketing and distribution, which includes marketing and merchant trading for Company-produced alcohols and essential ingredients on an aggregated basis and third-party fuel-grade ethanol sales (2) Pekin production, which includes the production and sale of alcohols and essential ingredients produced at the Company’s Pekin, Illinois campus (“Pekin Campus”), and (3) Other production, which includes the production and sale of renewable fuel and essential ingredients produced at all of the Company’s other production facilities on an aggregated basis (“Other production”), none of which are individually so significant as to be considered a reportable segment.

 

The following tables set forth certain financial data for the Company’s operating segments (in thousands):

  

    Three Months Ended
September 30,
    Nine Months Ended
September 30,
 
    2022     2021     2022     2021  
Net Sales                        
Pekin Campus, recorded as gross:                                
Alcohol sales   $ 133,680     $ 114,587     $ 393,498     $ 341,967  
Essential ingredient sales     54,537       46,016       169,670       140,670  
Intersegment sales     332       293       857       919  
Total Pekin Campus sales     188,549       160,896       564,025       483,556  
Marketing and distribution:                                
Alcohol sales, gross   $ 55,262     $ 112,391     $ 172,746     $ 255,702  
Alcohol sales, net     308       505       975       1,489  
Intersegment sales     3,121       2,415       9,360       7,277  
Total marketing and distribution sales     58,691       115,311       183,081       264,468  
Other production, recorded as gross:                                
Alcohol sales   $ 64,492     $ 25,190     $ 191,483     $ 63,311  
Essential ingredient sales     24,439       6,867       66,748       19,261  
Intersegment sales     3       259       14       896  
Total Other production sales     88,934       32,316       258,245       83,468  
Corporate and other     4,159      
      12,064      
 
Intersegment eliminations     (3,456 )     (2,967 )     (10,231 )     (9,092 )
Net sales as reported   $ 336,877     $ 305,556     $ 1,007,184     $ 822,400  
Cost of goods sold:                        
Pekin Campus   $ 207,939     $ 169,721     $ 572,512     $ 468,972  
Marketing and distribution     55,159       105,902       173,670       245,606  
Other production     91,663       35,613       261,514       87,055  
Corporate and other     2,925      
      8,995      
 
Intersegment eliminations     (970 )     (2,281 )     (3,285 )     (4,904 )
Cost of goods sold as reported   $ 356,716     $ 308,955     $ 1,013,406     $ 796,729  
Gross profit (loss):                                
Pekin Campus   $ (19,390 )   $ (8,825 )   $ (8,487 )   $ 14,584  
Marketing and distribution     3,532       9,409       9,411       18,862  
Other production     (2,729 )     (3,297 )     (3,269 )     (3,587 )
Corporate and other     1,234      
      3,069      
 
Intersegment eliminations     (2,486 )     (686 )     (6,946 )     (4,188 )
Gross profit (loss) as reported   $ (19,839 )   $ (3,399 )   $ (6,222 )   $ 25,671  
Income (loss) before provision for income taxes:                        
Pekin Campus   $ (22,664 )   $ (11,830 )   $ (6,252 )   $ 8,907  
Marketing and distribution     1,622       7,517       3,444       12,929  
Other production     (4,958 )     (4,856 )     1,404       (12,467 )
Corporate and other     (2,038 )     6,037       (7,121 )     567  
    $ (28,038 )   $ (3,132 )   $ (8,525 )   $ 9,936  
Depreciation and amortization of intangibles:                                
Pekin Campus   $ 4,758     $ 4,372     $ 14,381     $ 13,043  
Other production     1,273       1,468       4,095       4,433  
Corporate and other     229       11       646       44  
    $ 6,260     $ 5,851     $ 19,122     $ 17,520  
Interest expense, net of capitalized interest:                        
Pekin Campus   $ (48 )   $ 176     $ (81 )   $ 767  
Marketing and distribution     487       295       1,060       721  
Other production     (74 )    
      (128 )     182  
Corporate and other     (25 )     (42 )     8       1,689  
    $ 340     $ 429     $ 859     $ 3,359  

 

The following table sets forth the Company’s total assets by operating segment (in thousands): 

 

    September 30,
2022
    December 31,
2021
 
Total assets:            
Pekin Campus   $ 247,449     $ 266,197  
Marketing and distribution     111,900       130,302  
Other production     63,904       57,046  
Corporate and other     31,415       31,408  
    $ 454,668     $ 484,953