The Andersons(US:ANDE)2024-05-08 16:18Sales and Revenue Performance - Trade segment's sales and merchandising revenues decreased by $983.9 million, resulting in a gross profit decline of $38.9 million compared to the prior year[96]. - Renewables operating results increased by $53.9 million compared to the prior year, with gross profit rising by $10.8 million despite a $182.5 million decrease in sales and merchandising revenues[98]. - Nutrient & Industrial segment operating results increased by $8.6 million, with sales and merchandising revenues up by $3.4 million and gross profit increasing by $8.4 million due to margin improvements[100]. Agricultural Inventory and Production - Agricultural inventories on hand were 106.7 million bushels as of March 31, 2024, compared to 99.6 million bushels a year earlier[88]. - Ethanol volumes shipped were 185,826 thousand gallons for the three months ended March 31, 2024, slightly down from 186,566 thousand gallons in the prior year[90]. - Total tons sold in the Ag Supply Chain segment increased from 170 thousand to 199 thousand year-over-year[92]. - The company expects strong demand for agricultural products if planting conditions improve, despite current delays due to wet and cold weather[91]. Financial Position and Cash Flow - Working capital as of March 31, 2024, was $1,130.6 million, an increase of $192.5 million from the prior year, primarily due to a decrease in current liabilities by $1,029.0 million[107][109]. - Cash and cash equivalents increased by $213.0 million to $283.9 million as of March 31, 2024, while accounts receivable decreased by $423.4 million[108]. - Net cash used in operating activities was $239.6 million for Q1 2024, a decrease from $333.5 million in Q1 2023, indicating improved cash flow management[111]. Investment and Financing Activities - The company expects to invest approximately $150 to $175 million in property, plant, and equipment in 2024, with about 50% allocated to maintaining current facilities[112]. - Financing activities used cash of $98.3 million in Q1 2024, compared to cash provided of $308.8 million in Q1 2023, primarily due to changes in short-term credit facility borrowings[113]. - The company paid dividends of $6.5 million in Q1 2024, slightly up from $6.3 million in the prior period, with a declared cash dividend of $0.190 per common share[113]. Compliance and Liabilities - The company is in compliance with all covenants related to its long-term borrowings as of March 31, 2024, with $1,845.6 million available for borrowing[114]. - Interest expense decreased by $6.2 million due to reduced short-term borrowings and better management of working capital[97].