Financial Data and Key Metrics Changes - Fiscal 2025 was marked by record ethanol sales volume of 290 million gallons, a slight increase from 289.7 million gallons in fiscal 2024, with fourth quarter sales at 70.1 million gallons compared to 74.6 million gallons in Q4 2024 [10] - Average selling price for consolidated ethanol volumes was approximately $1.74 per gallon for the full year and $1.72 for Q4 [10] - Gross profit for fiscal 2025 was $93.7 million, up from $91.5 million in fiscal 2024, with Q4 gross profit at $28.9 million compared to $17.6 million in Q4 2024 [12][14] - Net income attributable to REX shareholders for fiscal 2025 was $83 million, compared to $58.2 million in fiscal 2024, with Q4 net income at $43.7 million versus $11.1 million in Q4 2024 [14][15] - Diluted net income per share reached an all-time high of $2.50 for fiscal 2025, compared to $1.65 in fiscal 2024, with Q4 diluted net income per share at $1.32 compared to $0.31 in Q4 2024 [15] Business Line Data and Key Metrics Changes - Dried distillers grains sales volumes decreased by 3% to 612,000 tons in fiscal 2025 from 632,000 tons in fiscal 2024, with Q4 volumes down approximately 9% [11] - Modified distillers grains sales volumes increased to 81,900 tons in fiscal 2025 from approximately 70,000 tons in fiscal 2024, with Q4 volumes up approximately 1% [11] - Corn oil sales volumes increased by approximately 10% to 97 million pounds in fiscal 2025 from 88.1 million pounds in fiscal 2024, with Q4 sales volumes at approximately 25.2 million pounds, a 7% increase [12] Market Data and Key Metrics Changes - Ethanol export demand remained strong, with U.S. exports reaching record levels in 2025, supported by favorable market conditions and high oil prices [18][32] - The company expects continued strong export demand into 2026, driven by global demand for lower carbon fuel and increased fuel blending [18] Company Strategy and Development Direction - The company is focused on expanding capacity at the One Earth Energy facility to 200 million gallons per year, with completion expected in fiscal 2026 [7][17] - The implementation of the 45Z tax credit is anticipated to positively impact results, with the company positioned to capitalize on this program [5][8] - The company is committed to sustainability through carbon capture and sequestration initiatives, awaiting permitting for related projects [8][9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to build on momentum from fiscal 2025, citing expanded capacity and favorable market conditions as key growth drivers [6][17] - The company has delivered 22 consecutive quarters of profitability, with expectations for continued strong performance in fiscal 2026 [17] - Management highlighted the importance of operational excellence and teamwork in navigating market challenges [4][6] Other Important Information - The company ended fiscal 2025 with total cash equivalents and short-term investments of $375.8 million, compared to $359.1 million at the end of fiscal 2024, with no bank debt [15][16] - SG&A expenses increased to $32.6 million for fiscal 2025 from $27.1 million in fiscal 2024, primarily due to increased incentive bonuses [13] Q&A Session Summary Question: Regarding the 45Z tax credits, is the $28 million for Q4 or a catch-up for previous periods? - The $28 million represents the full fiscal year of 2025, and the company remains optimistic about claiming these credits through 2029 [22][23] Question: How will the carbon capture project impact the CI score? - The company has not disclosed specific improvements to the CI score but expects significant benefits from the carbon capture project [25][27] Question: What is the status of the Class VI injection permit? - The permitting process has moved to September, but the company is in the final stages of technical review with the EPA [29][31] Question: How are tariffs impacting operations for ethanol and corn oil? - There has been no negative impact from tariffs on ethanol exports, and high oil prices are expected to benefit the business [32][35] Question: What are the prospects for nationwide E15? - While nationwide E15 would be beneficial, the company does not expect it to happen due to the influence of oil companies, but anticipates more independent retailers adopting E15 [49][50]

Financial Data and Key Metrics Changes - Fiscal 2025 was an exceptional year for REX American Resources, with record earnings per share (EPS) of $2.50, up from $1.65 in fiscal 2024, marking a significant increase [16] - Net income attributable to REX shareholders for the year was $83 million, compared to $58.2 million in fiscal year 2024 [15] - Gross profit for fiscal year 2025 was $93.7 million, an increase from approximately $91.5 million in fiscal year 2024 [12] Business Line Data and Key Metrics Changes - Ethanol sales volumes reached 290 million gallons in fiscal year 2025, a slight increase from 289.7 million gallons in fiscal year 2024 [10] - Dried distillers grains sales volumes decreased by 3% to 612,000 tons in fiscal 2025 from 632,000 tons in fiscal 2024 [11] - Corn oil sales volumes increased by approximately 10% to 97 million pounds in fiscal year 2025, compared to 88.1 million pounds in fiscal year 2024 [12] Market Data and Key Metrics Changes - Ethanol export demand remained strong, with U.S. exports reaching record levels in 2025, supported by favorable market conditions [19] - The company expects continued strong performance in 2026, driven by expanded production capacity and favorable market tailwinds [20] Company Strategy and Development Direction - The company is focused on expanding capacity at the One Earth Energy facility, which is nearing completion and will increase annual production capacity to 200 million gallons [5] - REX is actively pursuing carbon capture and sequestration initiatives to enhance sustainability and long-term value creation [5] - The strategic focus remains on profit, position, and policy, with an emphasis on operational excellence and market expertise [18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to build on momentum from fiscal 2025, citing strong financial foundations and favorable market conditions [6] - The 45Z tax credit program is expected to provide meaningful benefits, with management optimistic about continued eligibility for these credits [24][25] - The company anticipates another year of strong performance in 2026, supported by expanded production capacity and favorable corn supply [20] Other Important Information - The company ended fiscal year 2025 with total cash equivalents and short-term investments of $375.8 million, compared to $359.1 million at the end of fiscal year 2024 [17] - REX American Resources reported no bank debt at the end of the fiscal year, providing financial flexibility for future growth [17] Q&A Session Summary Question: Regarding the 45Z tax credits, is the $28 million for Q4 or a catch-up for previous periods? - The $28 million represents the full fiscal year of 2025, and the company remains optimistic about claiming these credits in future years [24] Question: How will the carbon capture project impact the CI score? - The company has not disclosed specific improvements to the CI score but indicated that it would be significant [26][28] Question: What is the status of the Class VI injection permit? - The permitting process has moved to September, but the company is in the final stages of technical review with the EPA [30][32] Question: How are tariffs impacting operations for ethanol and corn oil? - There has been no negative impact from tariffs on ethanol exports, and the company is experiencing strong export demand [33][34] Question: What are the prospects for nationwide E15? - While nationwide E15 would be beneficial, management does not expect it to happen due to the influence of oil companies, but anticipates more independent retailers adopting E15 [50]

Financial Performance - Western asset gross profit improved by $56 million from a loss of $(38) million in Q2 2024 to a profit of $18 million in Q2 2025[31] - Adjusted EBITDA improved by $57 million, from $(59) million to $(02) million comparing Q2 2024 to Q2 2025[32, 34] - The company's borrowing availability was $70 million as of June 30, 2025, including $5 million under the operating line and $65 million under the term loan facility[33] Regulatory and Market Opportunities - The 45Z credit is extended through the end of 2029, increasing the focus on domestic production[14] - National year-round E15 adoption could potentially increase U S ethanol demand by 50%, or 5-7 billion gallons annually[14] - California could see an increase of approximately 670 million gallons per year in ethanol demand when transitioning from E10 to E15, pending approval[14] Strategic Initiatives - The company is applying for 45Z credits for Alto Columbia and Alto Pekin Dry Mill, estimated to total approximately $18 million over the next two years[15] - The company is prioritizing projects to lower carbon intensity to capture more benefits from 45Z[7] - The company aims to increase CO2 utilization at the Pekin campus and at Columbia, building upon the successful Carbonic acquisition[7]

Financial Performance - Alto Ingredients reported a gross loss of $(1.8) million in Q1 2025, an improvement from $(2.4) million in Q1 2024[35] - Adjusted EBITDA improved by $2.7 million, from $(7.1) million in Q1 2024 to $(4.4) million in Q1 2025[35] - Net sales decreased from $240.629 million in Q1 2024 to $226.540 million in Q1 2025[50] - The company had $26.8 million in cash and cash equivalents as of March 31, 2025, compared to $35.5 million as of December 31, 2024[33] Strategic Initiatives - Alto Ingredients is targeting premium markets with high-quality products to improve profitability[7, 36] - The company is pursuing Carbon Capture and Storage (CCS) to reduce carbon emissions[7, 36] - Alto Ingredients acquired a beverage-grade liquid CO2 processor to optimize carbon usage[7, 13] - The company is exploring opportunities in sustainable aviation fuel (SAF), blue ethanol, and other renewable fuels[15] Market Opportunities - National year-round E15 adoption could potentially increase U S ethanol demand by 50%, or 5-7 billion gallons[20] - California could see an increase of approximately 670 million gallons per year in ethanol demand when transitioning from E10 to E15, pending approval[20]