v3.26.1
Derivative Instruments and Hedging Activities
 12 Months Ended
Dec. 31, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments and Hedging Activities Derivative Instruments and Hedging Activities
In the ordinary course of business, the Company enters into contractual arrangements as a means of managing exposure to changes in commodity prices and, occasionally, foreign exchange and interest rates. The Company’s derivative instruments primarily consist of commodity futures, options and forward contracts, and interest rate swaps, caps and floors. Although these contracts may be effective economic hedges of specified risks, they are not designated as, nor accounted for, as hedging instruments. Futures and options contracts, along with margin deposit, are with a single counterparty and are subject to a right of offset. As a result, these items are netted on the balance sheet, regardless of their position. In contrast, forward contracts are with multiple counterparties and do not have a right of offset. Therefore, these contracts are reported at their gross amounts on the balance sheet. These contracts are recorded on the Company’s consolidated balance sheets at fair value as discussed in Note 10, Fair Value.
Derivatives not designated as hedging instruments at December 31, 2025 and 2024 were as follows:
Balance Sheet ClassificationDecember 31, 2025December 31, 2024
Forward contracts in gain position$6,254,683 $4,839,408 
Futures and options in gain position3,095,040 4,415,641 
Futures and options in loss position(2,490,174)(3,614,540)
Total forward, futures and options contracts6,859,549 5,640,509 
Margin deposit3,007,108 3,960,252 
Current assets
$9,866,657 $9,600,761 
Forward contracts in loss position$4,956,529 $3,483,207 
Interest rate swap11,708 17,465 
Current liabilities
$4,968,237 $3,500,672 
During the years ended December 31, 2025, 2024, and 2023, net realized and unrealized gains (losses) on derivative transactions were recognized in the consolidated statements of operations as follows:
 202520242023
Derivatives not designated as hedging instruments:   
Commodity contracts$6,969,953 $(1,222,695)$24,295,668 
Foreign exchange contracts23,286 104,655 741,696 
Interest rate swaps, caps and floors5,757 52,836 (172,821)
Totals$6,998,996 $(1,065,204)$24,864,543