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Rex said in a statement that the increase shows higher volumes of ethanol gallons sold as well as higher average selling prices for distillers grains during the quarter, which offset lower average selling prices for ethanol.
“Although challenging ethanol crush spread trends prevailed in the fiscal second quarter, we generated 18.2 percent year-over-year growth in net sales and revenue, a 26.8 percent rise in gross profit and a 37.5 percent increase in income before taxes from our ethanol and by-products segment,” stated CEO Zafar Rizvi.
Rex’s refined coal operation posted a $4.3 million gross loss and a $4.8 million loss before income taxes in the second quarter. The company did not own the plant the same time last year so did not have a year-over-year comparison.
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Quarterly results reflect Rex’ interests in six ethanol production facilities and its refined coal operation. The production plants it has ownership stakes in are in Illinois, South Dakota, Iowa and Wisconsin.
In total, the facilities shipped about 697 million gallons of ethanol over the 12-month period ended July 31.
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