Rex American Resources Corp. has released third quarter financial results, reporting that net sales and revenue reached $121.2 million, up 4.2 percent when compared to the $116.3 million reported for the same period of last year. The increase is primarily attributed to higher revenues from the company&rsquo;s ethanol and byproducts segment.
Rex reported a 6.2 percent increase in ethanol sales, primarily due to a 5.7 percent increase in gallons of ethanol sold. The increase was partially offset by a 14.6 percent reduction in dried distillers grains sales, primarily due to an 11.4 percent decline in pricing.
Gross profit was $18.3 million for the three-month period, down from $20.2 million during the same period of last year. Rex said the decrease is related to the company&rsquo;s ethanol and byproducts operations during the quarter. The company also reported a $3.4 million gross loss from its refined coal operations.
Net income attributable to Rex common shareholders was $13.2 million, or $2 per basic and diluted share, compared to $8.9 million, or $1.36 per share, during the same period of last year.
Rex owns a 75 percent share in Gibson City, Illinois-based One Earth Energy LLC; a 99.5 percent interest in Marion, South Dakota-based NuGen Energy LLC; a 10.3 percent interest in West Burlington, Iowa-based Big River Resources West Burlington LLC; a 10.3 percent interest in Galva, Illinois-based Big River Resources Galva LLC; a 5.7 percent interest in Dyersville, Iowa-based Big River United Energy LLC; and a 10.3 percent interest in Boyceville, Wisconsin-based Big River Resources Boyceville LLC. Rex also has business operations related to refined coal. The company acquired a refined coal facility in August.
During an earnings call, Stuart Rose, executive chairman of Rex, said the company expects earnings to be down in the fourth quarter due to lower crush spreads. The crush spread, he said, is currently being impacted by high record ethanol production, noting many producers have expanded capacity, along with a drop in driving due to seasonality.
Renewable identification number (RIN) prices, however, remain high, Rose said, which provides refiners with incentive to buy ethanol gallons rather than RINs. He also noted that distillers grains prices are up slightly when compared to the third quarter, while corn oil and natural gas prices have remained steady. Rose said he expects ethanol prices to rebound with the spring driving season.&nbsp;
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Rex American Resources Corp. has released third quarter financial results, reporting that net sales and revenue reached $121.2 million, up 4.2 percent when compared to the $116.3 million reported for the same period of last year. 

Rex releases third quarter financial results

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