Quarterly report pursuant to Section 13 or 15(d)

Segments

v3.23.1
Segments
 3 Months Ended
Mar. 31, 2023
Segment Reporting [Abstract]  
SEGMENTS

2. 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 sales of fuel-grade ethanol sourced from third parties (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 fuel-grade ethanol 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 to be considered a separately reportable segment.

 

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

 

    Three Months Ended
March 31,		  
  2023     2022  
Net Sales            
Pekin Campus production, recorded as gross:            
Alcohol sales   $ 132,381     $ 116,050  
Essential ingredient sales     63,631       55,280  
Intersegment sales     313       256  
Total Pekin Campus sales     196,325       171,586  
                 
Marketing and distribution:                
Alcohol sales, gross   $ 84,381     $ 53,926  
Alcohol sales, net     114       351  
Intersegment sales     2,843       2,996  
Total marketing and distribution sales     87,338       57,273  
                 
Other production, recorded as gross:                
Alcohol sales   $ 20,932     $ 59,805  
Essential ingredient sales     8,353       18,938  
Intersegment sales     1       12  
Total Other production sales     29,286       78,755  
                 
Corporate and other     4,099       3,768  
Intersegment eliminations     (3,157 )     (3,264 )
Net sales as reported   $ 313,891     $ 308,118  
             
Cost of goods sold:            
Pekin Campus production   $ 198,178     $ 168,881  
Marketing and distribution     83,126       54,716  
Other production     33,982       78,244  
Corporate and other     2,369       2,872  
Intersegment eliminations     (600 )     (1,368 )
Cost of goods sold as reported   $ 317,055     $ 303,345  
Gross profit (loss):                
Pekin Campus production   $ (1,853 )   $ 2,705  
Marketing and distribution     4,212       2,557  
Other production     (4,696 )     511  
Corporate and other     1,730       896  
Intersegment eliminations     (2,557 )     (1,896 )
Gross profit (loss) as reported   $ (3,164 )   $ 4,773  
Loss before provision for income taxes:            
Pekin Campus production   $ (5,117 )   $ 85  
Marketing and distribution     2,010       785  
Other production     (5,698 )     (1,209 )
Corporate and other     (4,361 )     (2,263 )
    $ (13,166 )   $ (2,602 )
Depreciation and amortization expense:                
Pekin Campus production   $ 4,819     $ 4,538  
Other production     1,009       1,456  
Corporate and other     227       140  
    $ 6,055     $ 6,134  
Interest expense, net of capitalized interest:            
Pekin Campus production   $ (485 )   $
—
  
Marketing and distribution     494       200  
Other production     (354 )    
—
  
Corporate and other     1,910      
—
  
    $ 1,565     $ 200  

 

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

 

    March 31,
2023		     December 31,
2022		  
Total assets:            
Pekin Campus production   $ 254,293     $ 257,089  
Marketing and distribution     116,135       114,755  
Other production     46,832       51,886  
Corporate and other     42,644       54,591  
    $ 459,904     $ 478,321