v3.26.1
Segment Information
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Segment Information SEGMENT INFORMATION
The company reports the financial and operating performance for the following two operating segments: (1) ethanol production, which includes the production, storage and transportation of ethanol, distillers grains, Ultra-High Protein at four plants, and renewable corn oil, in addition to CCS operations at our three Nebraska plants, and (2) agribusiness and energy services, which includes grain handling and storage, commodity marketing and merchant trading for company-produced and third-party ethanol, distillers grains, Ultra-High Protein, renewable corn oil, natural gas and other commodities.
Corporate activities include selling, general and administrative expenses, consisting primarily of compensation, professional fees, overhead costs, gain on sale of assets, and restructuring costs not directly related to a specific operating segment.
During the normal course of business, the operating segments conduct business with each other. For example, the agribusiness and energy services segment procures grain and natural gas and sells products, including ethanol, distillers grains, Ultra-High Protein and renewable corn oil for the ethanol production segment. These intersegment activities are treated like third-party transactions with origination, marketing and storage fees charged at estimated market values. Consequently, these transactions affect segment performance; however, they do not impact the company’s consolidated results since the revenues and corresponding costs are eliminated.
The Chief Operating Decision Maker ("CODM") for the company is the Chief Executive Officer. The CODM utilizes EBITDA to assess segment performance, which is derived from revenue less cost of goods sold and selling, general and administrative expenses. The CODM manages and allocates resources to the operations of the Company's two segments. This enables the Chief Executive Officer to assess the Company’s overall level of available resources and determine how best to deploy these resources for capital expenditure, research and development projects, and other strategic opportunities that are in line with our long-term strategic goals. The CODM is regularly provided with consolidated expense information or forecasted expense information for the applicable reportable segment.
The following tables set forth certain financial data for the company’s operating segments (in thousands):
Three Months Ended
March 31,
20262025
Revenues
Ethanol production
Revenues from external customers$393,359 $497,458 
Intersegment revenues— 314 
Total segment revenues393,359 497,772 
Agribusiness and energy services
Revenues from external customers52,445 104,057 
Intersegment revenues6,160 5,772 
Total segment revenues58,605 109,829 
Revenues including intersegment activity451,964 607,601 
Intersegment eliminations(6,160)(6,086)
 $445,804 $601,515 
Refer to Note 2 - Revenue, for further disaggregation of revenue by operating segment.
Three Months Ended
March 31,
20262025
Cost of goods sold
Ethanol production (1)
$321,631 $503,464 
Agribusiness and energy services42,387 101,098 
Intersegment eliminations(6,160)(6,086)
$357,858 $598,476 
Three Months Ended
March 31,
20262025
Gross margin
Ethanol production (1)
$71,728 $(5,692)
Agribusiness and energy services16,218 8,731 
$87,946 $3,039 
Three Months Ended
March 31,
20262025
Depreciation and amortization
Ethanol production$23,218 $21,035 
Agribusiness and energy services31 598 
Corporate activities388 754 
$23,637 $22,387 
Three Months Ended
March 31,
20262025
Operating income (loss)
Ethanol production$39,422 $(39,550)
Agribusiness and energy services13,832 2,433 
Corporate activities (2)
(8,482)(25,143)
$44,772 $(62,260)

(1)Ethanol production includes $56.1 million of Section 45Z production tax credits net of discounts and other costs for the three months ended March 31, 2026, recorded as a reduction of cost of goods sold.
(2)Corporate activities includes $10.3 million of restructuring costs for the three months ended March 31, 2025 as a result of the company's cost reduction initiative, including severance related to the departure of its former CEO.
During the three months ended March 31, 2025, the company incurred restructuring costs related to severance, stock based compensation and other charges as a result of cost reduction initiatives that were recorded within the following line items in the consolidated statements of operations (in thousands):
Three Months Ended
March 31, 2025
Ethanol productionAgribusiness and energy servicesCorporate activitiesSubtotal
Cost of goods sold$2,260 459 — $2,719 
Selling, general and administrative expenses210 1,658 10,341 12,209 
Other, net— 154 1,505 1,659 
Total restructuring costs$2,470 2,271 11,846 $16,587 
The following tables reconcile EBITDA, our segment measure of profit or loss, to net income (loss) (in thousands). EBITDA is defined as earnings before interest expense, income taxes, depreciation and amortization excluding the amortization of right-of-use assets and debt issuance costs.
Three Months Ended March 31, 2026
Ethanol productionAgribusiness and energy servicesSubtotal
EBITDA$63,056 $14,011 $77,067 
Depreciation and amortization(23,218)(31)(23,249)
Interest expense(4,709)(772)(5,481)
Subtotal$35,129 $13,208 $48,337 
Unallocated corporate expenses (1)
(11,956)
Income tax expense, net of equity method income taxes(2,916)
Net income$33,465
Three Months Ended March 31, 2025
Ethanol productionAgribusiness and energy servicesSubtotal
EBITDA$(19,416)$3,156 $(16,260)
Depreciation and amortization(21,035)(598)(21,633)
Interest expense(4,820)(2,427)(7,247)
Subtotal$(45,271)$131 $(45,140)
Unallocated corporate expenses (1)
(27,666)
Income tax benefit, net of equity method income taxes165
Net loss$(72,641)
(1)Corporate expenses include selling, general administrative expenses, depreciation and amortization, interest expense, and during 2025 includes restructuring costs related to cost savings initiatives and the departure of our former CEO.
The following table sets forth total assets by operating segment (in thousands):
March 31,
2026		December 31,
2025
Total assets (1)
Ethanol production$1,220,927 $1,173,574 
Agribusiness and energy services247,655 278,222 
Corporate assets120,226 139,644 
Intersegment eliminations(2,055)(6,553)
$1,586,753 $1,584,887 
(1)Asset balances by segment exclude intercompany balances.