Note 4 - Revenue and Segment Information

We have two reportable business segments: (i) refinery operations, which derives revenue from refined product sales, and (ii) tolling and terminaling, which derives revenue from storage tank rental fees, ancillary services fees (such as for in-tank blending) and tolling and reservation fees for use of the naphtha stabilizer at the Nixon refinery. ‘Corporate and other’ includes costs and expenses for BDSC, BDPL, and BDPC.

Our chief operating decision maker ("CODM") is our Chief Executive Officer. For our refining segment, significant expenses relate to crude oil, fuel use, and chemicals, and other conversion costs. For our tolling and terminaling segment, significant expenses relate to fees associated with an intercompany tolling agreement. The CODM reviews segment profit or loss on a monthly and quarterly basis and considers trend analyses as well as other market factors when making decisions about resource allocation. The measure of segment assets reported on our consolidated balance sheets and reviewed by our CODM is total assets.

Revenue from Contracts with Customers.

Disaggregation of Revenue. We present revenue in the table below under ‘Segment Information’ separated by business segment because management believes this presentation is beneficial to users of our financial information.

Receivables from Contracts with Customers. We present accounts receivable from contracts with customers as accounts receivable, net on our consolidated balance sheets.

Contract Liabilities. Our contract liabilities consist of unearned revenue from customers in the form of prepayments. We include unearned revenue in accrued expenses and other current liabilities on our consolidated balance sheets. See “Note ( 8)” to our consolidated financial statements for more information related to unearned revenue.

Remaining Performance Obligations. Most of our customer contracts are settled immediately and therefore have no remaining performance obligations.

Contract Balances.

Segment Information.

Business segment information for the periods indicated (and as of the dates indicated) was as follows:

	Three Months Ended
	June 30,
	2026													2025
	Refinery Operations		Tolling & Terminaling		Corporate & Other			Intercompany Elimination ⁽¹⁾			Consolidated			Refinery Operations			Tolling & Terminaling		Corporate & Other			Intercompany Elimination			Consolidated
	(in thousands)

Segment revenue	$	143,490	$	1,465	$	-		$	(700	)	$	144,255		$	55,795		$	1,361	$	-		$	(573	)	$	56,583

Crude oil, fuel use, and chemicals		109,111		-		-			-			109,111			50,669			-		-			-			50,669
Other conversion costs		9,919		-		-			(700	)		9,219			5,154			-		-			(573	)		4,581
Tolling and terminaling costs		-		179		-			-			179			-			140		-			-			140
Depreciation and amortization		304		342		-			-			646			301			342		-			-			643
Total costs of goods sold		119,334		521		-			(700	)		119,155			56,124			482		-			(573	)		56,033

LEH operating fee, related party		259		-		-			-			259			276			-		-			-			276
General and administrative expenses		370		69		446			-			885			580			72		52			-			704
Other operating expenses(2)		-		-		156			-			156			-			-		125			-			125
Depreciation and amortization		-		-		74			-			74			-			-		74			-			74
Interest, net		621		397		105			-			1,123			928			444		180			-			1,552
Total costs and expenses		120,584		987		781			(700	)		121,652			57,908			998		431			(573	)		58,764

Income (loss) before income taxes		22,906		478		(781	)		-			22,603			(2,113	)		363		(431	)		-			(2,181	)

Income tax benefit (expense)		-		-		(4,867	)		-			(4,867	)		-			-		459			-			459

Net income (loss)	$	22,906	$	478	$	(5,648	)	$	-		$	17,736		$	(2,113	)	$	363	$	28		$	-		$	(1,722	)