Financial Data and Key Metrics Changes - The company's reported and adjusted net income for Q2 2025 was $8 million, resulting in earnings per diluted share of $0.23, compared to adjusted net income of $39 million or $1.15 per share in 2024 [14] - Revenues increased slightly due to the addition of Skyland, despite overall lower commodity prices [14] - Adjusted EBITDA for Q2 was $65 million, down from $98 million in 2024 [15] Business Line Data and Key Metrics Changes - The Agribusiness segment reported adjusted pretax income of $17 million, down from $33 million in 2024, with adjusted EBITDA of $46 million compared to $56 million in 2024 [18][20] - The Renewables segment generated pretax income of $10 million, down from $23 million in 2024, with EBITDA of $30 million compared to $52 million last year [21][22] Market Data and Key Metrics Changes - The company noted improved fertilizer results due to increased volume and margin driven by high corn plantings [9] - The wheat harvest was completed, and facilities are prepared for increased corn volumes expected at harvest [9] Company Strategy and Development Direction - The company has acquired its partner's share of four ethanol plants, which is expected to be immediately accretive to EPS and align reported EPS and EBITDA [12][13] - The company is focused on pursuing additional opportunities in ethanol and renewable feedstocks, with plans to improve efficiencies and lower carbon intensity [24][27] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for the second half of the year, anticipating improvements in the Agribusiness segment as the fall harvest approaches [23] - The company is evaluating additional growth projects and acquisitions aligned with its strategy, with a target of achieving a run rate EPS of approximately $4.3 per share by 2026 [27][28] Other Important Information - The company generated cash flow from operations of $43 million in Q2, down from $89 million in 2024, but continues to demonstrate positive cash flows throughout the ag cycle [16] - Capital spending for Q2 was $49 million, up from $29 million in 2024, with expectations to reach $200 million for the year [17] Q&A Session Summary Question: Did the timing of the ethanol transaction correlate with regulatory tailwinds? - Management indicated that while they have been looking at ethanol capacity for eight quarters, the recent regulatory changes did not materially affect the transaction timing [32] Question: Can you characterize the non-strategic exits in the Agribusiness segment? - Management noted a financial impact of about $7 million from minority investments and a few million dollars from the sale of underperforming facilities [34][35] Question: What is the outlook for merchandising and storage in the second half of the year? - Management expects improved opportunities for both merchandising and storage due to a large corn crop [38] Question: Why was acquiring the balance of the ethanol assets the right move now? - Management stated that acquiring the remaining 50% of the ethanol plants allows for better capital deployment and full earnings benefits without integration risk [42] Question: What is the updated outlook for ethanol margins? - Management believes the second half of 2025 will be better than the first half, with opportunities to drive more free cash flow from the plants [49] Question: How does the Port of Houston investment work with lower soybean meal prices? - Management explained that the price of soybean meal will drive it to export parity, making the investment competitive despite lower prices [53] Question: What was the revenue contribution from Skyland in the quarter? - Management reported revenue of about $200 million from Skyland in each of the first two quarters, with a revised EBITDA outlook for the full year of $25 million to $30 million [62]

Financial Performance - Q2 2025 - Sales and Merchandising Revenues reached $3,136 million, compared to $2,795 million in Q2 2024[17] - Gross Profit was $158 million, down from $175 million in Q2 2024[17] - Pretax Income Attributable to ANDE was $16 million, significantly lower than $41 million in Q2 2024[17] - Adjusted EPS was $024, compared to $115 in Q2 2024[17] Strategic Acquisition - Acquired the remaining 499% ownership interest in TAMH for $425 million, with a net purchase price of $385 million after accounting for $40 million of working capital[16] - The acquisition implies an incremental 250 million gallons of ethanol capacity acquired at a net purchase price of $154/gallon[16] Segment Highlights - Agribusiness revenues increased to $2,415 million in Q2 2025 from $2,109 million in Q2 2024[28] - Renewables revenues increased to $721 million in Q2 2025 from $686 million in Q2 2024[34] - Agribusiness pretax income attributable to ANDE decreased to $18 million in Q2 2025 from $29 million in Q2 2024[28] - Renewables pretax income attributable to ANDE decreased to $10 million in Q2 2025 from $23 million in Q2 2024[34]

Core Viewpoint - The Andersons, Inc. has invested approximately $425 million to acquire the remaining stake in its joint venture with Marathon Petroleum, significantly increasing its investment in the biofuel ethanol sector and doubling its renewable fuel assets [1][2][3] Group 1: Acquisition Details - The acquisition includes four ethanol plants located in the Midwest, allowing The Andersons to achieve full control over its supply chain from corn procurement to ethanol processing and export logistics [2][3] - This move is part of The Andersons' broader expansion strategy, which also includes plans to build a new large trading port in Houston [1][2] Group 2: Market Context and Implications - The acquisition aligns with the U.S. government's increased biofuel blending mandates and the potential restrictions on ethanol imports, positioning The Andersons to meet rising demand [2][3] - The company aims to leverage its integrated operations to optimize the grain-fuel-feed loop, enhancing its ability to manage raw material volatility and improve profitability [2][3] Group 3: Future Growth Opportunities - The transaction is expected to open new growth avenues in carbon credit trading, overseas exports, and policy incentives, transforming The Andersons from a traditional grain trader into a comprehensive renewable energy agricultural giant [3] - The company has signed a long-term lease at the Houston port to expand its grain and biofuel shipping capabilities, targeting an export volume exceeding 2 million tons [2][3]

Core Viewpoint - The Andersons, Inc. has acquired the remaining stake in its joint venture with Marathon Petroleum for approximately $425 million, significantly increasing its investment in the biofuel sector and doubling its renewable fuel assets [1][2][3] Group 1: Acquisition Details - The acquisition includes four ethanol plants in the Midwest, allowing The Andersons to achieve full integration from grain procurement to ethanol processing and export logistics [2][3] - This move is part of the company's broader expansion strategy, which includes plans to build a new large trading port in Houston [1][2] Group 2: Market Context and Implications - The joint venture was established in 2019 amid a surplus of grain supply due to trade disputes affecting U.S. agricultural exports [1] - The U.S. government, under Trump's administration, has increased the biofuel blending quotas, which is expected to drive additional demand for biofuels [2][3] - The Andersons aims to leverage its grain sourcing capabilities to reduce raw material volatility and optimize the grain-fuel-feed supply chain [2][3] Group 3: Future Growth Opportunities - The acquisition positions The Andersons to capitalize on carbon credit opportunities, overseas exports, and policy incentives in the renewable fuel sector [2] - The company has signed a long-term lease at the Houston port to expand its grain and biofuel shipping capabilities, targeting over 2 million tons in exports [2][3] - The transaction is seen as a critical step in transforming The Andersons from a traditional grain merchant into a comprehensive renewable energy agricultural giant [3]

Core Viewpoint - The Andersons, Inc. has acquired the remaining stake in its joint venture with Marathon Petroleum for approximately $425 million, significantly increasing its investment in the biofuel sector and doubling its renewable fuel assets [1][2][3] Group 1: Acquisition Details - The acquisition includes four ethanol plants in the Midwest, allowing The Andersons to achieve vertical integration from corn procurement to ethanol processing and export logistics [2][3] - This move is part of The Andersons' expansion strategy, which also includes plans to build a new large trading port in Houston [1][2] Group 2: Market Context and Implications - The acquisition aligns with the U.S. government's increased biofuel blending quotas under the Trump administration, which aims to enhance domestic biofuel production despite new tariff policies threatening agricultural exports [1][2] - The Andersons is positioned to optimize its supply chain by directly supplying its own grain to the plants, reducing raw material volatility, and enabling one-stop sales of by-products to global customers [2][3] Group 3: Future Growth Opportunities - The company has signed a long-term lease at the Houston port to expand its grain and biofuel shipping capabilities, targeting an export volume exceeding 2 million tons [2] - The acquisition is expected to facilitate The Andersons' entry into the sustainable aviation fuel (SAF) supply network, capitalizing on the growing demand for low-carbon fuels [3]

[Executive Summary & Highlights](index=1&type=section&id=Executive%20Summary%20%26%20Highlights) The company reported a decline in Q2 2025 net income and adjusted net income, while strategically acquiring full ownership of its ethanol business and advancing port projects [Second Quarter 2025 Performance Overview](index=1&type=section&id=Second%20Quarter%202025%20Performance%20Overview) The Andersons, Inc. reported a decline in Q2 2025 net income and adjusted net income, with Renewables and Agribusiness segments still achieving pre-tax income, alongside the full acquisition of The Andersons Marathon Holdings LLC (TAMH) | Metric | Q2 2025 | Q2 2024 | Change | | :--------------------------------- | :------ | :------ | :----- | | Net Income Attributable to The Andersons (million USD) | 8 | 36 | (28) | | Adjusted Net Income Attributable to The Andersons (million USD) | 8 | 39.5 | (31.5) | | Diluted EPS (USD) | 0.23 | 1.05 | (0.82) | | Adjusted Diluted EPS (USD) | 0.24 | 1.15 | (0.91) | | Adjusted EBITDA (million USD) | 65 | 98.3 | (33.3) | | Renewables Pre-Tax Income (million USD) | 17 | 39 | (22) | | Agribusiness Pre-Tax Income (million USD) | 19 | 29 | (10) | [Strategic Developments](index=1&type=section&id=Strategic%20Developments) The company completed the acquisition of the remaining 49.9% stake in The Andersons Marathon Holdings LLC (TAMH), securing 100% ownership in the ethanol industry to grow earnings through renewable energy investments, while advancing the Houston port project to enhance grain operations and export capabilities - The company acquired the remaining 49.9% stake in TAMH for **$425 million** (net purchase price of **$385 million**), doubling its ownership in the ethanol industry, aligning with its renewable energy growth strategy[4](index=4&type=chunk)[6](index=6&type=chunk)[7](index=7&type=chunk) - TAMH operates four ethanol plants with a total annual capacity of **500 million gallons**, and has been renamed The Andersons Renewables, LLC following the acquisition[7](index=7&type=chunk) - Construction of the Houston port project is ongoing, expected to be completed by mid-2026, aiming to enhance grain operational efficiency and U.S. soybean meal export capacity[5](index=5&type=chunk) [Financial Performance Analysis](index=2&type=section&id=Financial%20Performance%20Analysis) The company's Q2 2025 consolidated net income and diluted EPS significantly decreased year-over-year, with strong operating cash flow in Q2 but a net outflow for the first half [Consolidated Financial Results](index=7&type=section&id=Consolidated%20Financial%20Results) In Q2 2025, the company's consolidated net income and diluted EPS significantly decreased year-over-year, with total assets and liabilities declining on the balance sheet, and operating cash flow remaining strong in Q2 but showing a net outflow for the first half [Income Statement](index=7&type=section&id=Income%20Statement) In Q2 2025, the company's sales and merchandising revenues increased by 12.2% year-over-year, while gross profit decreased by 9.7%, and income before income taxes and net income attributable to The Andersons declined by 56.7% and 78.1% respectively 2025 Second Quarter Income Statement Key Data (thousand USD) | Metric | Q2 2025 | Q2 2024 | Change (%) | | :--------------------------------- | :------ | :------ | :------- | | Sales and Merchandising Revenues | 3,135,869 | 2,795,205 | 12.2 | | Gross Profit | 158,416 | 175,371 | (9.7) | | Income Before Income Taxes | 24,835 | 57,346 | (56.7) | | Net Income Attributable to The Andersons | 7,857 | 35,976 | (78.1) | | Diluted EPS | 0.23 | 1.05 | (78.1) | [Balance Sheet](index=8&type=section&id=Balance%20Sheet) As of June 30, 2025, total assets were **$3.446 billion**, a 16.4% decrease from December 31, 2024, with cash and cash equivalents down 37.5% and inventories down 39.9% Balance Sheet Key Data (thousand USD) | Metric | June 30, 2025 | December 31, 2024 | Change (%) | | :-------------------- | :----------- | :------------- | :------- | | Cash and Cash Equivalents | 350,970 | 561,771 | (37.5) | | Inventories | 771,868 | 1,286,811 | (39.9) | | Total Assets | 3,446,491 | 4,121,314 | (16.4) | | Short-Term Debt | 104,467 | 166,614 | (37.3) | | Long-Term Debt (Less Current Maturities) | 578,464 | 608,151 | (4.8) | | Total Liabilities | 1,835,981 | 2,521,478 | (27.2) | [Cash Flow Statement](index=9&type=section&id=Cash%20Flow%20Statement) In the first half of 2025, net cash used in operating activities was **$50.7 million**, compared to a net inflow of **$64.8 million** in the prior year, with cash used in investing activities increasing to **$75.7 million** primarily due to higher property, plant, and equipment purchases 2025 First Half Cash Flow Statement Key Data (thousand USD) | Metric | YTD 2025 | YTD 2024 | Change (thousand USD) | | :----------------------- | :------- | :------- | :------------ | | Net Cash Provided by (Used in) Operating Activities | (50,699) | 64,807 | (115,506) | | Net Cash Used in Investing Activities | (75,707) | (58,138) | (17,569) | | Net Cash Used in Financing Activities | (87,008) | (119,926) | 32,918 | | Decrease in Cash and Cash Equivalents | (210,801) | (113,468) | (97,333) | | Cash and Cash Equivalents at End of Period | 350,970 | 530,386 | (179,416) | - Operating cash flow for Q2 2025 was **$299 million**, compared to **$304 million** in Q2 2024[9](index=9&type=chunk) - Capital project expenditures totaled **$49 million** for the quarter, an increase of **$20 million** from 2024[9](index=9&type=chunk) 2025 Second Quarter and First Half Consolidated Income Statement Summary | Metric (thousand USD) | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :-------------- | :------ | :------ | :------- | :------- | | Sales and Merchandising Revenues | 3,135,869 | 2,795,205 | 5,794,967 | 5,513,422 | | Gross Profit | 158,416 | 175,371 | 311,288 | 303,691 | | Income Before Income Taxes | 24,835 | 57,346 | 28,048 | 71,314 | | Net Income | 16,807 | 52,470 | 22,138 | 65,135 | | Net Income Attributable to The Andersons | 7,857 | 35,976 | 8,141 | 41,557 | | Diluted EPS | 0.23 | 1.05 | 0.24 | 1.21 | Consolidated Balance Sheet Summary (thousand USD) | Metric (thousand USD) | June 30, 2025 | December 31, 2024 | June 30, 2024 | | :-------------- | :----------- | :------------- | :----------- | | Total Assets | 3,446,491 | 4,121,314 | 3,299,813 | | Total Liabilities | 1,835,981 | 2,521,478 | 1,779,551 | | Total Equity | 1,610,510 | 1,599,836 | 1,520,262 | Consolidated Cash Flow Statement Summary (thousand USD) | Metric (thousand USD) | YTD 2025 | YTD 2024 | | :-------------- | :------- | :------- | | Net Cash Provided by (Used in) Operating Activities | (50,699) | 64,807 | | Net Cash Used in Investing Activities | (75,707) | (58,138) | | Net Cash Used in Financing Activities | (87,008) | (119,926) | | Cash and Cash Equivalents at End of Period | 350,970 | 530,386 | [Segment Performance](index=3&type=section&id=Segment%20Performance) Agribusiness and Renewables segments both experienced year-over-year declines in pre-tax income, with Agribusiness impacted by grain market oversupply and weak demand, and Renewables by lower crush margins and higher natural gas costs despite efficient operations [Agribusiness Segment](index=3&type=section&id=Agribusiness%20Segment) The Agribusiness segment reported **$19 million** in pre-tax income for Q2 2025, down from **$29 million** in the prior year, impacted by grain market oversupply, low prices, and limited forward contracting despite increased nutrient sales Agribusiness Segment Key Financial Data (million USD) | Metric | Q2 2025 | Q2 2024 | Change (million USD) | | :--------------------------------- | :------ | :------ | :-------------- | | Pre-Tax Income | 19 | 29 | (10) | | Adjusted Pre-Tax Income Attributable to the Company | 17 | 33 | (16) | | Adjusted EBITDA | 46 | 56 | (10) | - Nutrient sales increased year-over-year, primarily driven by higher nitrogen fertilizer demand due to increased corn acres planted[12](index=12&type=chunk) - Grain oversupply in western markets and weak customer demand resulted in depressed grain prices and limited forward contracting[12](index=12&type=chunk) - Significant grain volumes are expected to come to market at favorable prices in the second half of 2025, presenting opportunities for sales and merchandising in late 2025 and 2026[13](index=13&type=chunk) [Renewables Segment](index=3&type=section&id=Renewables%20Segment) The Renewables segment reported **$17 million** in pre-tax income for Q2 2025, significantly down from **$39 million** in the prior year, due to lower crush margins, higher eastern corn basis, and increased natural gas costs, despite efficient ethanol plant operations Renewables Segment Key Financial Data (million USD) | Metric | Q2 2025 | Q2 2024 | Change (million USD) | | :--------------------------------- | :------ | :------ | :-------------- | | Pre-Tax Income | 17 | 39 | (22) | | Pre-Tax Income Attributable to the Company | 10 | 23 | (13) | | EBITDA | 30 | 52 | (22) | - Ethanol plants continued to operate efficiently, with production and output increasing year-over-year[16](index=16&type=chunk) - Lower crush margins, higher eastern corn basis, and increased natural gas costs contributed to reduced overall profitability[16](index=16&type=chunk) - Ethanol crush margins are expected to rebound in July and continue through the summer driving season, supported by strong demand and anticipated lower corn costs[17](index=17&type=chunk) 2025 Second Quarter Segment Pre-Tax Income (million USD) | Segment | Q2 2025 Pre-Tax Income | Q2 2024 Pre-Tax Income | Change (million USD) | | :--------- | :--------------- | :--------------- | :-------------- | | Agribusiness | 19 | 29 | (10) | | Renewables | 17 | 39 | (22) | [Non-GAAP Financial Measures](index=10&type=section&id=Non-GAAP%20Financial%20Measures) The company provides non-GAAP financial measures such as adjusted net income, adjusted EPS, EBITDA, adjusted EBITDA, and cash from operations before working capital changes to better assess underlying business performance and period-over-period comparability - Non-GAAP financial measures aim to provide additional information, helping investors evaluate the company's operating performance and liquidity, and enhance period-over-period comparability[24](index=24&type=chunk) [Adjusted Net Income and EPS](index=10&type=section&id=Adjusted%20Net%20Income%20and%20EPS) In Q2 2025, adjusted net income attributable to The Andersons was **$8.365 million** and adjusted diluted EPS was **$0.24**, both lower than the prior year period Adjusted Net Income and EPS (thousand USD) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--------------------------------- | :------ | :------ | :------- | :------- | | Adjusted Net Income Attributable to The Andersons | 8,365 | 39,494 | 12,421 | 45,088 | | Adjusted Diluted EPS | 0.24 | 1.15 | 0.36 | 1.31 | [EBITDA and Adjusted EBITDA](index=13&type=section&id=EBITDA%20and%20Adjusted%20EBITDA) In Q2 2025, the company's EBITDA was **$69.401 million** and adjusted EBITDA was **$65.192 million**, both decreasing year-over-year, with Agribusiness and Renewables segments also showing a downward trend EBITDA and Adjusted EBITDA (thousand USD) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :---------------- | :------ | :------ | :------- | :------- | | EBITDA | 69,401 | 94,226 | 120,050 | 145,665 | | Adjusted EBITDA | 65,192 | 98,275 | 122,445 | 149,448 | Segment Adjusted EBITDA (thousand USD) | Segment | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--------- | :------ | :------ | :------- | :------- | | Agribusiness | 46,420 | 56,007 | 77,859 | 85,075 | | Renewables | 30,167 | 52,177 | 67,637 | 85,809 | [Cash from Operations Before Working Capital Changes](index=16&type=section&id=Cash%20from%20Operations%20Before%20Working%20Capital%20Changes) In Q2 2025, cash from operations before working capital changes significantly decreased to **$42.886 million** from **$88.765 million** in the prior year, with the year-to-date figure also declining from **$137.174 million** to **$99.860 million** Cash from Operations Before Working Capital Changes (thousand USD) | Metric | Q2 2025 | Q2 2024 | YTD 2025 | YTD 2024 | | :--------------------------------- | :------ | :------ | :------- | :------- | | Net Cash Provided by (Used in) Operating Activities | 299,321 | 304,434 | (50,699) | 64,807 | | Cash from Operations Before Working Capital Changes | 42,886 | 88,765 | 99,860 | 137,174 | [Outlook and Forward-Looking Information](index=5&type=section&id=Outlook%20and%20Forward-Looking%20Information) The company anticipates future earnings to include all ethanol plant contributions, expects an accretive impact, and is exploring new regulatory opportunities like carbon capture well permits [Future Expectations and Strategic Initiatives](index=5&type=section&id=Future%20Expectations%20and%20Strategic%20Initiatives) The company expects future quarterly earnings to include contributions from all ethanol plants, including those previously attributable to non-controlling interests, anticipating an accretive impact, and is exploring new regulatory opportunities such as carbon capture well permits - Future quarterly results will include earnings from all ethanol plants, including those previously attributable to non-controlling interests, which is expected to be accretive[18](index=18&type=chunk) - The company is exploring new regulatory opportunities, including applying for a Class VI well permit at its Clymers, Indiana facility for potential carbon capture[18](index=18&type=chunk) [Income Tax Outlook](index=5&type=section&id=Income%20Tax%20Outlook) The company recorded an **$8 million** income tax provision in Q2 with an effective tax rate of **32%**, and anticipates a full-year adjusted effective tax rate of approximately **22% to 25%** due to the TAMH transaction and elimination of non-controlling interest income Income Tax Information | Metric | Q2 2025 | | :---------- | :------ | | Income Tax Provision | $8 million | | Effective Tax Rate | 32% | - The full-year adjusted effective tax rate is projected to be approximately **22% to 25%**, primarily benefiting from the TAMH transaction and the elimination of non-controlling interest income[20](index=20&type=chunk) [Conference Call Information](index=5&type=section&id=Conference%20Call%20Information) The company will host a webcast conference call on August 5, 2025, at 8:30 AM ET to discuss results and provide an outlook for the remainder of 2025 - A conference call will be held on August 5, 2025, at 8:30 AM ET to discuss results and the 2025 outlook[21](index=21&type=chunk) - Participation in the webcast is available via dial-in or a link on the company's website[21](index=21&type=chunk)[22](index=22&type=chunk) [Forward-Looking Statements Disclaimer](index=5&type=section&id=Forward-Looking%20Statements%20Disclaimer) This press release contains forward-looking statements involving risks and uncertainties that could cause actual results to differ materially from expectations, including economic, weather, regulatory, competitive, and geopolitical risks - Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from expectations[23](index=23&type=chunk) - Risk factors include economic, weather, regulatory conditions, competition, geopolitical risks, and those listed in the company's filings with the U.S. Securities and Exchange Commission[23](index=23&type=chunk) [Company Information & Non-GAAP Explanation](index=6&type=section&id=Company%20Information%20%26%20Non-GAAP%20Explanation) The Andersons, Inc. is a North American agricultural company operating in agribusiness and renewables, committed to customer service, employee growth, community support, and shareholder value, with detailed explanations of non-GAAP financial measures [Company Description](index=6&type=section&id=Company%20Description) The Andersons, Inc. is a North American agricultural company with operations in agribusiness and renewables, dedicated to providing excellent customer service, fostering employee growth, supporting communities, and enhancing company value - The Andersons, Inc. is a North American agricultural company with operations in agribusiness and renewables[25](index=25&type=chunk) - The company is committed to providing excellent customer service, fostering employee growth, supporting communities, and enhancing company value[25](index=25&type=chunk) [Investor Relations Contact](index=6&type=section&id=Investor%20Relations%20Contact) Investors can contact Mike Hoelter, Vice President, Corporate Controller, and Investor Relations, via phone or email for further information - Investor Relations Contact: Mike Hoelter, Vice President, Corporate Controller, and Investor Relations[26](index=26&type=chunk) - Contact Phone: **419-897-6715**; Email: investorrelations@andersonsinc.com[26](index=26&type=chunk) [Non-GAAP Measures Explanation](index=6&type=section&id=Non-GAAP%20Measures%20Explanation) The company utilizes non-GAAP financial measures such as pre-tax income (loss) attributable to the company, adjusted pre-tax income (loss), adjusted net income attributable to the company, adjusted diluted EPS, EBITDA, adjusted EBITDA, and cash from operations before working capital changes to provide additional insights into operational performance and liquidity - Non-GAAP financial measures include: Pre-Tax Income (Loss) Attributable to the Company, Adjusted Pre-Tax Income (Loss), Adjusted Net Income Attributable to the Company, Adjusted Diluted EPS, EBITDA, Adjusted EBITDA, and Cash from Operations Before Working Capital Changes[24](index=24&type=chunk) - These metrics aim to provide additional information to help investors assess the company's operating performance and liquidity and enhance period-over-period comparability, but should not replace GAAP financial measures[24](index=24&type=chunk)

Core Insights - The Andersons, Inc. reported its financial results for the second quarter ended June 30, 2025, and announced the acquisition of full ownership interest in The Andersons Marathon Holdings LLC (TAMH) [1][2][4]. Strategic Acquisition - The acquisition of TAMH, which operates four ethanol plants with a total annual production capacity of 500 million gallons, aligns with the company's strategy to grow earnings through investments in ethanol [2][4]. - This transaction doubles the company's financial ownership in the ethanol industry, a key growth area within its Renewables strategy, and is expected to provide immediate accretion in earnings per share [2][4][5]. Financial Performance - For Q2 2025, the company reported a pretax income of $24.8 million, down from $57.3 million in Q2 2024, with net income attributable to the company of $7.9 million compared to $36 million in the prior year [7][8]. - Adjusted EBITDA for Q2 2025 was $65 million, a decrease from $98.3 million in Q2 2024 [9][39]. - The company’s cash provided by operating activities was $299 million in Q2 2025, slightly down from $304 million in Q2 2024 [6]. Segment Overview - The Agribusiness segment recorded a pretax income of $19 million, down from $29 million in Q2 2024, while the Renewables segment reported a pretax income of $17 million, down from $39 million in the same period [10][13]. - The Renewables segment's adjusted EBITDA was $30 million in Q2 2025, compared to $52 million in Q2 2024 [17][39]. Cash and Debt Management - The company funded the acquisition of TAMH with cash on hand and existing credit facilities, maintaining a modest level of debt and remaining below its long-term debt to EBITDA target of less than 2.5 times [6][18]. - Cash and cash equivalents at the end of Q2 2025 were $350.97 million, down from $561.77 million at the end of 2024 [26][28]. Future Outlook - The company anticipates a large fall harvest and expects to benefit from increased support for renewable fuels, which may enhance its operational efficiency and profitability [3][12][16].

Group 1 - The Andersons, Inc. (NASDAQ: ANDE) is identified as a value play with potential upside from ethanol but is also exposed to risks associated with corn prices [1] - Tyson Foods (NYSE: TSN) stands to benefit from lower corn prices due to reduced feed costs, indicating a favorable position in the current market [1] Group 2 - The analysis emphasizes a mix of fundamental valuation and technical analysis in evaluating companies, particularly those in the technical sector that meet valuation criteria and have growth potential [1] - The author expresses a keen interest in understanding how society is adapting to economic, societal, and environmental pressures, which may influence investment decisions [1]

Group 1 - The Andersons, Inc. will release its financial results for Q2 2025 on August 4, 2025, after 4 p.m. Eastern Time [1] - A webcast to discuss the results and provide a company update will be held on August 5, 2025, at 8:30 a.m. Eastern Time [1] - The company can be contacted via phone for the webcast, with specific numbers provided for U.S. and international callers [2] Group 2 - The Andersons, Inc. is a diversified company focused on agriculture, operating in the agribusiness and renewables sectors [3] - The company is committed to providing exceptional service to customers, supporting employee development, and enhancing community value [3] - More information about the company can be found on its official website [3]

Group 1 - The Andersons, Inc. announced a third quarter 2025 cash dividend of 19.5 cents ($0.195) per share, payable on July 22, 2025, to shareholders of record as of July 01, 2025 [1] - This marks The Andersons' 115th consecutive quarterly cash dividend since its listing on Nasdaq in February 1996 [1] Group 2 - The Andersons, Inc. is a diversified company rooted in agriculture, operating in the agribusiness and renewables sectors [2] - The company is committed to providing extraordinary service to its customers, helping employees improve, supporting communities, and increasing company value [2]