Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2024 | Apr. 30, 2024 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-34025 | |
Entity Registrant Name | INTREPID POTASH, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 26-1501877 | |
Entity Address, Address Line One | 707 17th Street, Suite 4200 | |
Entity Address, City or Town | Denver, | |
Entity Address, State or Province | CO | |
Entity Address, Postal Zip Code | 80202 | |
City Area Code | 303 | |
Local Phone Number | 296-3006 | |
Title of 12(b) Security | Common Stock, par value $0.001 per share | |
Trading Symbol | IPI | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 13,269,062 | |
Entity Central Index Key | 0001421461 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
ASSETS | ||
Cash and cash equivalents | $ 34,067 | $ 4,071 |
Short-term investments | 2,971 | 2,970 |
Accounts receivable: | ||
Trade, net | 41,826 | 22,077 |
Other receivables, net | 1,201 | 1,470 |
Inventory, net | 102,549 | 114,252 |
Prepaid expenses and other current assets | 5,530 | 7,200 |
Total current assets | 188,144 | 152,040 |
Property, plant and equipment, and mineral properties, net | 354,809 | 358,249 |
Water rights | 19,184 | 19,184 |
Long-term parts inventory, net | 30,543 | 30,231 |
Long-term investments | 6,297 | 6,627 |
Other assets, net | 8,609 | 8,016 |
Non-current deferred tax asset, net | 195,012 | 194,223 |
Total Assets | 802,598 | 768,570 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Accounts payable | 11,029 | 12,848 |
Accrued liabilities | 13,374 | 14,061 |
Accrued employee compensation and benefits | 6,299 | 7,254 |
Other current liabilities | 8,748 | 12,401 |
Total current liabilities | 39,450 | 46,564 |
Advances on credit facility | 0 | 4,000 |
Asset retirement obligation, net of current portion | 30,699 | 30,077 |
Operating lease liabilities | 518 | 741 |
Finance lease liabilities | 1,608 | 1,451 |
Deferred other income, long-term | 47,170 | 0 |
Other non-current liabilities | 1,166 | 1,309 |
Total Liabilities | 120,611 | 84,142 |
Commitments and Contingencies | ||
Common stock, $0.001 par value; 40,000,000 shares authorized; 12,875,520 and 12,807,316 shares outstanding at March 31, 2024 and December 31, 2023, respectively | 13 | 13 |
Additional paid-in capital | 666,326 | 665,637 |
Retained earnings | 37,660 | 40,790 |
Less treasury stock, at cost | (22,012) | (22,012) |
Total Stockholders' Equity | 681,987 | 684,428 |
Total Liabilities and Stockholders' Equity | $ 802,598 | $ 768,570 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares outstanding | 12,875,520 | 12,807,316 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Less: | ||
Lower of cost or net realizable value inventory adjustments | $ 503 | $ 0 |
Gross Margin | 6,434 | 16,352 |
Selling and administrative | 8,357 | 8,858 |
Accretion of asset retirement obligation | 622 | 535 |
Impairment of long-lived assets | 1,377 | 0 |
Loss on sale of assets | 251 | 200 |
Other operating income | (1,132) | |
Other operating expense | 1,265 | 1,385 |
Operating (Loss) Income | (4,306) | 5,374 |
Other Income | ||
Equity in earnings of unconsolidated entities | 149 | 821 |
Interest expense, net | 0 | 0 |
Interest income | 244 | 85 |
Other income | 8 | 13 |
(Loss) Income Before Income Taxes | (3,905) | 6,293 |
Income Tax Benefit (Expense) | 775 | (1,787) |
Net (Loss) Income | $ (3,130) | $ 4,506 |
Weighted Average Shares Outstanding: | ||
Basic (in shares) | 12,817 | 12,694 |
Diluted (in shares) | 12,817 | 12,875 |
(Loss) Earnings Per Share: | ||
Basic (in dollars per share) | $ (0.24) | $ 0.35 |
Diluted (in dollars per share) | $ (0.24) | $ 0.35 |
Freight Costs [Member] | ||
Less: | ||
Cost of Goods Sold | $ 12,830 | $ 11,590 |
Warehouse and Handling [Member] | ||
Less: | ||
Cost of Goods Sold | 3,089 | 2,733 |
Mineral [Member] | ||
Sales | 79,287 | 86,920 |
Less: | ||
Cost of Goods Sold | $ 56,431 | $ 56,245 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock [Member] | Treasury Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] |
Balance (in shares) at Dec. 31, 2022 | 12,687,822 | ||||
Balance at Dec. 31, 2022 | $ 715,078 | $ 13 | $ (22,012) | $ 660,614 | $ 76,463 |
Net income | 4,506 | 4,506 | |||
Stock-based compensation | 1,746 | 1,746 | |||
Vesting of restricted common stock, net of common stock used to fund employee income tax withholding due upon vesting (in shares) | 72,168 | ||||
Vesting of restricted common stock, net of common stock used to fund employee income tax withholding due upon vesting | (1,037) | (1,037) | |||
Balance (in shares) at Mar. 31, 2023 | 12,759,990 | ||||
Balance at Mar. 31, 2023 | 720,293 | $ 13 | (22,012) | 661,323 | 80,969 |
Balance (in shares) at Dec. 31, 2023 | 12,807,316 | ||||
Balance at Dec. 31, 2023 | 684,428 | $ 13 | (22,012) | 665,637 | 40,790 |
Net income | (3,130) | (3,130) | |||
Stock-based compensation | 1,322 | 1,322 | |||
Vesting of restricted common stock, net of common stock used to fund employee income tax withholding due upon vesting (in shares) | 68,204 | ||||
Vesting of restricted common stock, net of common stock used to fund employee income tax withholding due upon vesting | (633) | (633) | |||
Balance (in shares) at Mar. 31, 2024 | 12,875,520 | ||||
Balance at Mar. 31, 2024 | $ 681,987 | $ 13 | $ (22,012) | $ 666,326 | $ 37,660 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash Flows from Operating Activities: | ||
Net (loss) income | $ (3,130) | $ 4,506 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation, depletion, and amortization | 9,304 | 9,292 |
Accretion of asset retirement obligation | 622 | 535 |
Amortization of deferred financing costs | 75 | 75 |
Amortization of Intangible Assets | 80 | 80 |
Stock-based compensation | 1,322 | 1,746 |
Lower of cost or net realizable value inventory adjustments | 503 | 0 |
Impairment of long-lived assets | 1,377 | 0 |
Loss on disposal of assets | 251 | 200 |
Allowance for parts inventory obsolescence | 53 | 0 |
Equity in earnings of unconsolidated entities | (149) | (821) |
Distribution of earnings from unconsolidated entities | 0 | 320 |
Changes in operating assets and liabilities: | ||
Trade accounts receivable, net | (19,749) | (12,474) |
Other receivables, net | 247 | (92) |
Inventory, net | 10,835 | 7,645 |
Prepaid expenses and other current assets | 922 | 250 |
Deferred tax assets, net | (789) | 1,661 |
Accounts payable, accrued liabilities, and accrued employee compensation and benefits | (3,621) | (5,305) |
Operating lease liabilities | (384) | (401) |
Deferred other income | 44,434 | 0 |
Other liabilities | (671) | 1,232 |
Net cash provided by operating activities | 41,532 | 8,449 |
Cash Flows from Investing Activities: | ||
Additions to property, plant, equipment, mineral properties, and other assets | (11,673) | (21,039) |
Purchase of investments | 0 | (956) |
Proceeds from sale of assets | 4,596 | 65 |
Proceeds from redemptions/maturities of investments | 500 | 1,500 |
Net cash used in investing activities | (6,577) | (20,430) |
Cash Flows from Financing Activities: | ||
Proceeds from short-term borrowings on credit facility | 0 | 5,000 |
Repayments of short-term borrowings on credit facility | (4,000) | 0 |
Payments of financing lease | (324) | (43) |
Employee tax withholding paid for restricted stock upon vesting | (633) | (1,037) |
Net cash (used in) provided by financing activities | (4,957) | 3,920 |
Net Change in Cash, Cash Equivalents and Restricted Cash | 29,998 | (8,061) |
Cash, Cash Equivalents, and Restricted Cash, beginning of period | 4,651 | 19,084 |
Cash, Cash Equivalents, and Restricted Cash, end of period | 34,649 | 11,023 |
Supplemental disclosure of cash flow information | ||
Interest | 185 | 59 |
Income taxes | (3) | 9 |
Amounts included in the measurement of operating lease liabilities | 412 | 460 |
Accrued purchases for property, plant, equipment, and mineral properties | 4,739 | 7,410 |
Right-of-use assets exchanged for financing lease liabilities | $ 495 | $ 1,677 |
COMPANY BACKGROUND
COMPANY BACKGROUND | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
COMPANY BACKGROUND | COMPANY BACKGROUND We are a diversified mineral company that delivers potassium, magnesium, sulfur, salt, and water products essential for customer success in agriculture, animal feed and the oil and gas industry. We are the only U.S. producer of muriate of potash (sometimes referred to as potassium chloride or potash), which is applied as an essential nutrient for healthy crop development, utilized in several industrial applications, and used as an ingredient in animal feed. In addition, we produce a specialty fertilizer, Trio ® , which delivers three key nutrients, potassium, magnesium, and sulfate, in a single particle. We also provide water, salt, magnesium chloride, brine, and various oilfield products and services. Our extraction and production operations are conducted entirely in the continental U.S. We produce potash from three solution mining facilities: our HB solution mine in Carlsbad, New Mexico, our solution mine in Moab, Utah, and our brine recovery mine in Wendover, Utah. We also operate the North compaction facility in Carlsbad, New Mexico, which compacts and granulates product from the HB mine. We produce Trio ® from our conventional underground East mine in Carlsbad, New Mexico. We have permitted, licensed, declared, and partially adjudicated water rights in New Mexico that support our mining and industrial operations. Water that is not used to support our mining and industrial operations is primarily sold to support oil and gas development in the Permian Basin in New Mexico near our Carlsbad facilities. We continue to work to expand our water business. See Note 15—Commitments and Contingencies below for further information regarding our water rights. We also operate certain land, water rights, grazing leases, and other related assets in southeast New Mexico. We refer to these assets and operations as "Intrepid South." Due to the strategic location of Intrepid South, part of our long-term operating strategy is selling small parcels of land, including restricted use agreements of surface or subsurface rights, to customers where such sales provide a solution to such customer's operations in the oil and gas industry. We have three segments: potash, Trio ® , and oilfield solutions. We account for sales of byproducts as revenue in the potash or Trio ® segment based on which segment generates the byproduct. Intersegment sales prices are market based and are eliminated. "Intrepid," "our," "we," or "us" means Intrepid Potash, Inc. and its consolidated subsidiaries. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Financial Statement Presentation —Our unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). Certain information and note disclosures normally included in annual financial statements prepared in accordance with U.S. generally accepted accounting principles ("GAAP") have been condensed or omitted pursuant to those rules and regulations. In the opinion of management, all adjustments, consisting of normal recurring accruals considered necessary for a fair presentation of interim financial information, have been included. These unaudited condensed consolidated financial statements should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2023. Pronouncements Issued But Not Yet Adopted —In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU 2023-09"). ASU 2023-09 requires that an entity disclose specific categories in the effective tax rate reconciliation as well as provide additional information for reconciling items that meet a quantitative threshold, certain disclosures of state versus federal income tax expenses and taxes paid. ASC 2023-09 is effective for fiscal years beginning after December 15, 2024. We are currently evaluating the guidance and expect it to only impact disclosures with no impact to results of operations, cash flows and financial condition. In November 2023, the FASB issued ASU 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures" ("ASU 2023-07"). This new guidance: (i) introduces a requirement to disclose significant segment expenses regularly provided to the chief operating decision maker ("CODM"), (ii) extends certain annual disclosures to interim periods, (iii) clarifies disclosure requirements for single reportable segment entities, (iv) permits more than one measure of segment profit or loss to be reported under certain conditions, and (v) requires disclosure of the title and position of the CODM. The standard is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The guidance applies retrospectively to all periods presented in the financial statements. We are currently evaluating the guidance and expect it to only impact disclosures with no impact to results of operations, cash flows, and financial condition. Reclassifications of Prior Period Presentation |
EARNINGS PER SHARE
EARNINGS PER SHARE | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE Basic earnings per share is computed by dividing net income by the weighted-average number of shares of common stock outstanding during the period. For purposes of determining diluted earnings per share, basic weighted-average common shares outstanding is adjusted to include potentially dilutive securities, including restricted stock, stock options, and performance units. The treasury-stock method is used to measure the dilutive impact of potentially dilutive shares. Potentially dilutive shares are excluded from the diluted weighted-average shares outstanding computation in periods in which they have an anti-dilutive effect. The following table shows the calculation of basic and diluted earnings per share (in thousands, except per share amounts): Three Months Ended 2024 2023 Net (loss) income $ (3,130) $ 4,506 Basic weighted-average common shares outstanding 12,817 12,694 Add: Dilutive effect of restricted stock — 125 Add: Dilutive effect of stock options — 56 Diluted weighted-average common shares outstanding 12,817 12,875 Basic $ (0.24) $ 0.35 Diluted $ (0.24) $ 0.35 The following table shows the shares that have an anti-dilutive effect and are excluded from the diluted weighted-average shares outstanding computations (in thousands): Three Months Ended 2024 2023 Anti-dilutive effect of restricted stock 348 187 Anti-dilutive effect of stock options outstanding 273 156 |
CASH, CASH EQUIVALENTS AND REST
CASH, CASH EQUIVALENTS AND RESTRICTED CASH | 3 Months Ended |
Mar. 31, 2024 | |
Cash and Cash Equivalents [Abstract] | |
CASH, CASH EQUIVALENTS AND RESTRICTED CASH | CASH, CASH EQUIVALENTS AND RESTRICTED CASH We consider financial instruments with original maturities of three months or less to be cash equivalents. Total cash, cash equivalents and restricted cash, as shown on the condensed consolidated statements of cash flows are included in the following accounts at March 31, 2024, and 2023 (in thousands): March 31, 2024 March 31, 2023 Cash and cash equivalents $ 34,067 $ 10,451 Restricted cash included in other current assets 25 25 Restricted cash included in other long-term assets 557 547 Total cash, cash equivalents, and restricted cash as shown in the statement of cash flows $ 34,649 $ 11,023 Restricted cash included in other current and long-term assets on the condensed consolidated balance sheets represents amounts for which use is restricted by contractual agreements with various entities, principally the Bureau of Land Management or the State of Utah, as security to fund future reclamation obligations at our sites. |
INVENTORY AND LONG-TERM PARTS I
INVENTORY AND LONG-TERM PARTS INVENTORY | 3 Months Ended |
Mar. 31, 2024 | |
Inventory Disclosure [Abstract] | |
INVENTORY AND LONG-TERM PARTS INVENTORY | INVENTORY AND LONG-TERM PARTS INVENTORY The following summarizes our inventory, recorded at the lower of weighted-average cost or estimated net realizable value, as of March 31, 2024, and December 31, 2023 (in thousands): March 31, 2024 December 31, 2023 Finished goods product inventory $ 57,794 $ 66,033 In-process inventory 23,002 28,044 Total product inventory 80,796 94,077 Current parts inventory, net 21,753 20,175 Total current inventory, net 102,549 114,252 Long-term parts inventory, net 30,543 30,231 Total inventory, net $ 133,092 $ 144,483 Parts inventory is shown net of estimated allowances for obsolescence of $1.0 million and $0.9 million as of March 31, 2024, and December 31, 2023, respectively. |
PROPERTY, PLANT, EQUIPMENT, AND
PROPERTY, PLANT, EQUIPMENT, AND MINERAL PROPERTIES | 3 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT, EQUIPMENT, AND MINERAL PROPERTIES | PROPERTY, PLANT, EQUIPMENT, AND MINERAL PROPERTIES Property, plant, equipment, and mineral properties were comprised of the following (in thousands): March 31, 2024 December 31, 2023 Land $ 24,136 $ 24,136 Ponds and land improvements 91,984 91,333 Mineral properties and development costs 159,775 159,775 Buildings and plant 90,150 90,150 Machinery and equipment 299,403 297,494 Vehicles 7,435 7,332 Office equipment and improvements 10,159 10,150 Operating lease ROU assets 5,045 5,274 Breeding stock 293 315 Construction in progress 26,888 23,942 Total property, plant, equipment, and mineral properties, gross $ 715,268 $ 709,901 Less: accumulated depreciation, depletion, and amortization (360,459) (351,652) Total property, plant, equipment, and mineral properties, net $ 354,809 $ 358,249 During the year ended December 31, 2023, we recorded an impairment related to our Trio ® segment assets because the estimated fair value of the assets exceeded the net book value of the assets. The fair value of the Trio ® segment assets was primarily determined using the expected proceeds received in an orderly sale of the individual assets. For any Trio ® segment capital spending during the first quarter of 2024, we also estimated the fair value of those assets using the expected proceeds received in an orderly sale of those new assets. As a result, we recorded an additional impairment of $1.4 million in the first quarter of 2024. We incurred the following expenses for depreciation, depletion, and amortization, including expenses capitalized into inventory, for the following periods (in thousands): Three Months Ended March 31, 2024 2023 Depreciation $ 7,465 $ 7,727 Depletion 1,472 1,177 Amortization of right of use assets 367 388 Total incurred $ 9,304 $ 9,292 |
OTHER LONG-TERM DEFERRED REVENU
OTHER LONG-TERM DEFERRED REVENUE | Dec. 12, 2023 |
Revenue Recognition and Deferred Revenue [Abstract] | |
Other Long Term Deferred Revenue Disclosure Text Block | OTHER LONG-TERM DEFERRED INCOME Cooperative Development Agreement —In December 2023, we entered into the Third Amendment of Cooperative Development Agreement (the "Amendment") with XTO Holdings, LLC ("XTO Holdings") and XTO Delaware Basin LLC, as successors in interest to BOPCO, L.P. ("XTO Delaware Basin," and together with XTO Holdings, "XTO"). The Amendment had an effective date of January 1, 2024 ("Amendment Date"). The Amendment further amends that certain Cooperative Development Agreement, by and between us, BOPCO, L.P. and the other parties thereto, effective as of February 28, 2011 (as amended, including by the Amendment, the "CDA"), which was executed for the purpose of pursuing the cooperative development of potassium and oil and gas on certain lands. The Cooperative Development Agreement restricts and limits the rights of us and XTO, as successors in interest to BOPCO, L.P., to explore and develop their respective interests, including limitations on the locations of wells. Intrepid and XTO entered into the Amendment in an effort to further the cooperation, remove the restrictions and limitations, and allow for the efficient co-development of resources within the Designated Potash Area ("DPA") consistent with the United States Secretary of the Interior Order 3324. Pursuant to the Amendment, among other things, we agreed to provide support to XTO's for development and operation of XTO's oil and gas interests withing the DPA. As consideration under the Amendment, XTO agreed to pay us an initial fee of $50.0 million (the "Initial Fee"). We received a partial payment of $5.0 million of the Initial Fee in December 2023, and we received payment of the remaining $45.0 million from XTO in January 2024. The Amendment further provides that we shall receive an additional one-time payment equal to $50.0 million (the "Access Fee")," which XTO will pay within 90 days upon the earlier occurrence of (i) the approval of the first new or expanded drilling island within a specific area to be used by XTO or (ii) within seven Because the cooperative development support we are providing under the Amendment is not an output of our ordinary business activities, ASC Topic 606, Revenue from Contracts with Customers ("ASC 606") does not apply to the Amendment. However, we apply the principles in ASC 606 by analogy to determine amounts of other income to recognize. Under ASC 606, we are required to identify the performance obligations in the Amendment and to determine the transaction price. The transaction price may include fixed consideration, variable consideration, or both. Variable consideration may only be included in the transaction price if it is probable that a significant reversal of amounts recognized will not occur (referred to as the variable consideration constraint). The Access Realization Fee is considered variable consideration. Our performance obligation under the Amendment is to "stand-ready" to provide support to XTO, when and as needed, during the term of the Amendment. We estimate the transaction price to be $100.0 million, which is comprised of the $50.0 million Initial Fee and the $50.0 million Access Fee. We are not including any amounts of the Access Realization Fee in the transaction price because of the variable consideration constraint. Since our performance obligation is a "stand-ready" obligation, we are recognizing the transaction price on a straight-line basis over the term of the Amendment which ends on February 28, 2046. For the three months ended March 31, 2024, we recorded other operating income of $1.1 million from the Amendment. Because we have not yet been paid the Access Fee included in the transaction price, we recorded a long-term receivable for the amount of the Access Fee we earned during the three months ended March 31, 2024 of $0.6 million, which is included in "Other Assets" on the Condensed Consolidated Balance Sheets. For the amount of the Initial Fee we earned during the three months ended March 31, 2024, we reduced the "Deferred other income, long-term" liability recorded on our Condensed Consolidated Balance Sheets. As of March 31, 2024, we had $2.3 million recorded in "Other current liabilities," and $47.2 million recorded in "Deferred other income, long-term" on the Condensed Consolidated Balance Sheets for the unearned portion of the Initial Fee. As of December 31, 2023, we had $5.0 million recorded in "Other current liabilities," and zero recorded in "Deferred other income, long-term" on the Condensed Consolidated Balance Sheets. |
DEBT
DEBT | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
DEBT | DEBT Revolving Credit Facility —We maintain a $150 million revolving credit facility with a syndicate of lenders with Bank of Montreal as administrative agent. The revolving credit facility has a maturity date to August 4, 2027. As of March 31, 2024, borrowings under the credit facility bear interest at the Secured Overnight Financing Rate ("SOFR") plus an applicable margin of 1.50% to 2.25% per annum, based on our leverage ratio as calculated in accordance with the amended agreement governing the revolving credit facility. Borrowings under the revolving credit facility are secured by substantially all of our current and non-current assets, and the obligations under the credit facility are unconditionally guaranteed by several of our subsidiaries. We occasionally borrow and repay amounts under the revolving credit facility for near-term working capital needs or other purposes and may do so in the future. During the three months ended March 31, 2024, we made no borrowings and made $4.0 million in repayments under the revolving credit facility. During the three months ended March 31, 2023, we made $5.0 million in borrowings, and we ma de no r epayments under the revolving credit facility. As of March 31, 2024, we had no borrowings outstanding and no outstanding letters of credit under this facility. As of December 31, 2023, we had $4.0 million in borrowings outstanding and no outstanding letters of credit under this facility. As of March 31, 2024, we were in compliance with all applicable covenants under the revolving credit facility. Interest Expense —Interest expense is recorded net of any capitalized interest associated with investments in capital projects. We incurred gross interest expense of $0.2 million for the three months ended March 31, 2024 and 2023. Amounts included in interest expense, net for the three months ended March 31, 2024, and 2023 were as follows (in thousands): Three Months Ended 2024 2023 Interest expense on borrowings $ 39 $ 22 Commitment fee on unused credit facility 57 56 Amortization of deferred financing costs 75 75 Gross interest expense 171 153 Less capitalized interest (171) (153) Interest expense, net $ — $ — |
INTANGIBLE ASSETS
INTANGIBLE ASSETS | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | INTANGIBLE ASSETS We have water rights, recorded at $19.2 million at March 31, 2024, and December 31, 2023. Our water rights have indefinite lives and are not amortized. We evaluate our water rights at least annually as of October 1 for impairment, or more frequently if circumstances require. |
FINANCIAL INFORMATION FOR SUBSI
FINANCIAL INFORMATION FOR SUBSIDIARY GUARANTORS OF POSSIBLE FUTURE PUBLIC DEBT | 3 Months Ended |
Mar. 31, 2024 | |
Guarantees [Abstract] | |
FINANCIAL INFORMATION FOR SUBSIDIARY GUARANTORS OF POSSIBLE FUTURE PUBLIC DEBT | FINANCIAL INFORMATION FOR SUBSIDIARY GUARANTORS OF POSSIBLE FUTURE PUBLIC DEBT Intrepid Potash, Inc., as the parent company, has no independent assets or operations, and operations are conducted solely through its subsidiaries. Cash generated from operations is held at the parent-company level as cash on hand and cash equivalents and totaled $34.1 million and $4.1 million at March 31, 2024, and December 31, 2023, respectively. If one or more of our wholly-owned operating subsidiaries guarantee public debt securities in the future, those guarantees will be full and unconditional and will constitute the joint and several obligations of the subsidiary guarantors. The assets and liabilities of our other subsidiaries are immaterial. There are no restrictions on our ability to obtain cash dividends or other distributions of funds from the subsidiary guarantors, except those imposed by applicable law. |
ASSET RETIREMENT OBLIGATION
ASSET RETIREMENT OBLIGATION | 3 Months Ended |
Mar. 31, 2024 | |
Asset Retirement Obligation Disclosure [Abstract] | |
ASSET RETIREMENT OBLIGATION | ASSET RETIREMENT OBLIGATION We recognize an estimated liability for future costs associated with the abandonment and reclamation of our mining properties. A liability for the fair value of an asset retirement obligation and a corresponding increase to the carrying value of the related long-lived asset are recorded as the mining operations occur or the assets are acquired. Our asset retirement obligation is based on the estimated cost to close and reclaim the mining operations, the economic life of the properties, and federal and state regulatory requirements. The liability is discounted using credit adjusted risk-free rate estimates at the time the liability is incurred or when there are upward revisions to estimated costs. The credit adjusted risk-free rates used to discount our reclamation liabilities range from 6.9% to 12.0%. Revisions to the liability occur due to construction of new or expanded facilities, changes in estimated closure costs or economic lives, or to reflect new federal or state rules, regulations, or requirements regarding the closure or reclamation of mines. Following is a table of the changes to our asset retirement obligation for the following periods (in thousands): Three Months Ended March 31, 2024 2023 Asset retirement obligation, at beginning of period $ 30,359 $ 26,864 Liabilities settled — — Liabilities incurred — — Accretion of discount 622 535 Total asset retirement obligation, at end of period $ 30,981 $ 27,399 Less current portion of asset retirement obligation $ (282) $ (300) Long-term portion of asset retirement obligation $ 30,699 $ 27,099 The current portion of the asset retirement obligation is included in "Other current liabilities" on the Condensed Consolidated Balance Sheet as of March 31, 2024. |
REVENUE
REVENUE | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE | REVENUE Revenue Recognition —We account for revenue in accordance with ASC 606. Under ASC 606, we recognize revenue when control of the promised goods or services is transferred to customers in an amount that reflects the consideration we expect in exchange for those goods or services. The timing of revenue recognition, billings, and cash collection may result in contract assets or contract liabilities. Contract Balances: As of March 31, 2024, and December 31, 2023, we had a total of $2.6 million and $2.3 million of contract liabilities, respectively, of which $1.4 million and $1.0 million were current as of March 31, 2024, and December 31, 2023, respectively, and included in "Other current liabilities" on the Condensed Consolidated Balance Sheets. Customer advances received before we have satisfied our performance obligations are accounted for as a contract liability (sometimes referred to in practice as deferred revenue). Our deferred revenue activity for the three months ended March 31, 2024, and 2023 is shown below (in thousands): Three Months Ended March 31, 2024 2023 Beginning balance $ 2,303 $ 2,374 Additions 592 145 Recognized as revenue during period (328) (245) Ending Balance $ 2,567 $ 2,274 Disaggregation of Revenue: The tables below show the disaggregation of revenue by product and reconciles disaggregated revenue to segment revenue for the three months ended March 31, 2024, and 2023. We believe the disaggregation of revenue by products best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic conditions (in thousands): Three Months Ended March 31, 2024 Product Potash Segment Trio ® Segment Oilfield Solutions Segment Intersegment Eliminations Total Potash $ 32,412 $ — $ — $ (100) $ 32,312 Trio ® — 36,284 — — 36,284 Water — — 2,169 — 2,169 Salt 3,144 203 — — 3,347 Magnesium Chloride 419 — — — 419 Brine Water 1,583 — 1,127 — 2,710 Other 18 — 2,028 — 2,046 Total Revenue $ 37,576 $ 36,487 $ 5,324 $ (100) $ 79,287 Three Months Ended March 31, 2023 Product Potash Segment Trio ® Segment Oilfield Solutions Segment Intersegment Eliminations Total Potash $ 47,155 $ — $ — $ (101) $ 47,054 Trio ® — 29,053 — — 29,053 Water 80 1,048 1,619 — 2,747 Salt 3,043 173 — — 3,216 Magnesium Chloride 1,137 — — — 1,137 Brine Water 1,082 — 822 — 1,904 Other — — 1,809 — 1,809 Total Revenue $ 52,497 $ 30,274 $ 4,250 $ (101) $ 86,920 |
COMPENSATION PLANS
COMPENSATION PLANS | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
COMPENSATION PLANS | COMPENSATION PLANS Equity Incentive Compensation Plan —Our Board of Directors and stockholders adopted a long-term incentive compensation plan called the Intrepid Potash, Inc. Amended and Restated Equity Incentive Plan (the "Plan"). The Plan was most recently amended and restated in May 2022. We have issued common stock, restricted stock, performance units, and non-qualified stock option awards under the Plan. At March 31, 2024, approxi mately 0.9 million s hares remained available for issuance under the Plan. In March 2024, the Compensation Committee granted an aggregate of 143,730 shares of restricted stock to executive officers and other key employees. These awards vest over three three As of March 31, 2024, the following awards were outstanding under the Plan (in thousands): Outstanding as of Restricted Shares 377 Non-qualified Stock Options 273 Total share-based compensation expense was $1.3 million and $1.7 million for the three months ended March 31, 2024, and 2023, respectively. As of March 31, 2024, we had $6.8 million of total remaining unrecognized compensation expense related to awards that is expected to be recognized over a weighted-average period of 1.5 years. |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Our anticipated annual tax rate is impacted primarily by the amount of taxable income associated with each jurisdiction in which our income is subject to income tax, permanent differences between the financial statement carrying amounts and tax bases of assets and liabilities, and the benefit associated with the estimated effect of the percentage depletion deduction. A summary of our provision for income taxes is as follows (in thousands): Three Months Ended March 31, 2024 2023 Current portion of income tax expense $ 14 $ 126 Deferred portion of income tax (benefit) expense (789) 1,661 Total income tax (benefit) expense $ (775) $ 1,787 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Reclamation Deposits and Surety Bonds —As of March 31, 2024, and December 31, 2023, we had $26.9 million and $26.8 million, respectively, of security placed principally with the State of Utah and the Bureau of Land Management ("BLM") for eventual reclamation of our various facilities. As of March 31, 2024, $0.5 million consisted of long-term restricted cash deposits and $26.4 million was secured by surety bonds issued by an insurer. As of December 31, 2023, $0.5 million consisted of long-term restricted cash deposits and $26.3 million was secured by surety bonds issued by an insurer. The restricted cash deposits are included in "Other assets, net" on the condensed consolidated balance sheets and the surety bonds are held in place by an annual fee paid to the issuer. We may be required to post additional security to fund future reclamation obligations as reclamation plans are updated or as statutory and regulatory requirements change. Legal —We are subject to claims and legal actions in the ordinary course of business. We expense legal costs as they are incurred. While there are uncertainties in predicting the outcome of any claim or legal action, except as noted below, we believe the ultimate resolution of these claims or actions is not reasonably likely to have a material adverse effect on our financial condition, results of operations, or cash flows. Water Rights and Other Legal Contingencies On March 17, 2022, following an expedited inter se proceeding, a court entered a subfile order and partial final judgment and decree ("Order") determining the validity of our claim to 20,000 acre feet of Pecos River surface water rights. The Order found that our predecessors in interest had forfeited all but approximately 5,800 acre feet of water per year, and that of the remaining 5,800 acre feet of water that had not been forfeited, all but 150 acre feet of water had been abandoned prior to 2017. The Order limited our right to 150 acre fee per annum of water for industrial-salt processing use. We appealed the Order to the New Mexico Court of Appeals ("NMCA"), which, on July 7, 2023, affirmed the Order. On November 17, 2023, we filed a request for the New Mexico Supreme Court ("NMSC") to reconsider and review the NMCA's decision to affirm the Order's abandonment determination. The NMSC agreed to review the NMCA's abandonment determination on February 7, 2024, where it is still currently being briefed for the court's determination. In 2017 and 2018 the New Mexico Office of the State Engineer ("OSE") granted us preliminary and emergency authorizations to sell approximately 5,700 acre-feet of water per year from our Pecos River Water rights. The preliminary and emergency authorizations allowed for water sales to begin immediately, subject to repayment if the underlying water rights were ultimately found to be invalid. If the New Mexico Court of Appeals' decision is ultimately affirmed, we may have to repay for the water we sold under the preliminary and emergency authorizations. Repayment of this water can be up to two times the amount of water removed from the river. Repayment is customarily made in-kind over a period of time but can take other forms including cash repayment. If we are not able to repay in-kind due to the lack of remaining water rights or logistical constraints, we may need to purchase water to meet this repayment or be subject to a cash repayment. We cannot reasonably estimate the potential volume, timing, or form of repayment, if any, and have not recorded a loss contingency in our Condensed Consolidated Statement of Operations related to this legal matter. We have estimated contingent liabilities recorded in "Other current liabilities" on the condensed consolidated balance sheets of $2.5 million as of March 31, 2024, mainly related to the potential underpayment of royalties from 2012 to 2016. As of December 31, 2023, we had $3.4 million in contingent liabilities mainly related to the potential underpayment of royalties from 2012 to 2016 and potential royalties on water revenues in 2019 to 2022. During the three months ended March 31, 2024, we paid $1.9 million to the New Mexico State Land Office to resolve the matter related to potential royalties on water revenues from 2019 to 2022. |
FAIR VALUE
FAIR VALUE | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE We measure our financial assets and liabilities in accordance with ASC Topic 820, Fair Value Measurements and Disclosures. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Assets and liabilities measured at fair value are classified using the following hierarchy, which is based upon the transparency of inputs to the valuation at the measurement date: Level 1 - Quoted market prices in active markets for identical assets or liabilities. Level 2 - Inputs, other than Level 1, that are either directly or indirectly observable. Level 3 - Unobservable inputs developed using estimates and assumptions which reflect those that market participants would use. The classification of fair value measurement within the hierarchy is based upon the lowest level of input that is significant to the measurement. Other financial instruments consist primarily of cash equivalents, accounts receivable, refundable income taxes, investment securities, accounts payable, accrued liabilities, and, if any, advances under our credit facility. With the exception of investment securities, we believe cost approximates fair value for our financial instruments because of the short-term nature of these instruments. Cash Equivalents —As of March 31, 2024, we had no cash equivalents. As of December 31, 2023, we had cash equivalents of $0.5 million. Held-to-Maturity Investments —As of March 31, 2024, and December 31, 2023, we owned debt investment securities classified as held-to-maturity because we have the intent and ability to hold these investments to maturity. Our held-to-maturity debt investment securities consist of investment grade corporate bonds and U.S. government issued bonds. These debt securities are carried at amortized cost and consist of the following (amounts in thousands): As of March 31, 2024 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Short-term Corporate bonds $ 994 $ — $ (6) $ 988 Government bonds 1,977 — (13) 1,964 Total $ 2,971 $ — $ (19) $ 2,952 Long-term Corporate bonds $ — $ — $ — $ — Government bonds 475 — (2) 473 Total $ 475 $ — $ (2) $ 473 As of December 31, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Short-term Corporate bonds $ 991 $ — $ (9) $ 982 Government bonds 1,979 — (13) 1,966 Total $ 2,970 $ — $ (22) $ 2,948 Long-term Corporate bonds $ — $ — $ — $ — Government bonds 954 1 (4) 951 Total $ 954 $ 1 $ (4) $ 951 Our long-term held to maturity investments are recorded in "Long-term investments" on the Condensed Consolidated Balance Sheets. As of March 31, 2024 and December 31, 2023, we had $3.4 million and $3.9 million in held-to-maturity debt investment securities, respectively. As of March 31, 2024, our long-term held-to-maturity investments mature in less than 2 years. Equity Investments without a Readily Determinable Fair Value —In May 2020, we acquired a non-controlling equity investment in W.D. Von Gonten Laboratories ("WDVGL") for $3.5 million. We account for this investment as an equity investment without a readily determinable fair value and elected to measure our investment, as permitted by GAAP, at cost plus or minus any adjustments for observable changes in prices resulting from orderly transactions for the identical or a similar investment of the same issuer or impairment. As of March 31, 2024, and December 31, 2023, we had not recorded any adjustments to the carrying value of this investment since the purchase in May 2020. We include this investment in "Long-term investments" on the Condensed Consolidated Balance Sheets. In July 2022, WDVGL entered into a purchase agreement with another company (“Acquiror”), a foreign issuer whose shares are traded on the Nasdaq Capital Market (“Nasdaq”). Under the terms of the purchase agreement, WDVGL would be combined with the consulting business owned by W.D. Von Gonten (“Consulting”) to form a new entity, W.D. Von Gonten Engineering, LLC (“Engineering”), and Acquiror would then purchase Engineering in a majority stock transaction at an agreed upon selling price. Stock received from the sale of Engineering would be distributed to investors in WDVGL and Consulting. Acquiror delivered equity shares and a nominal amount of cash to WDVGL for purchase of Engineering in July 2022, with the number of shares equal to the selling price divided by an assumed $10 share price. At the time the purchase agreement was signed, the Acquiror was working to file restated financial statements for the fiscal years ending December 31, 2018, 2019 and 2020. On A pril 27, 2023, Acquiror disclosed it had not been able to file its Annual Report on Form 20-F for the fiscal year ended December 31, 2021 with the SEC by April 25, 2023, which was the deadline set by the Nasdaq Hearings Panel in connection with a delisting proceeding, and Acquiror's shares were subsequently delisted from Nasdaq. Acquiror also disclosed on April 27, 2023 that it has shifted its focus to filing audited financial statements with the SEC for the fiscal years ended December 31, 2020, 2021 and 2022 to regain compliance with Nasdaq listing standards before the end of 2023. Pursuant to the purchase agreement with Engineering, if the Acquiror did not file current financial statements with the SEC by June 30, 2023, Engineering had the option to terminate the purchase agreement, beginning on July 1, 2023. Although Acquiror did not file current financial statements by June 30, 2023, Engineering agreed to proceed with the purchase agreement to allow Acquiror additional time to file updated financial statements. On December 29, 2023, Acquiror disclosed it had filed its audited financial statements for the years ended December 31, 2022, 2021, and 2020, with the SEC. We have not impaired our investment in WDVGL because our share of the estimated selling price exceeds the carrying value of our investment in WDVGL. Equity Method Investments |
BUSINESS SEGMENTS
BUSINESS SEGMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
BUSINESS SEGMENTS | BUSINESS SEGMENTS Our operations are organized into three segments: potash, Trio ® and oilfield solutions. We determine reportable segments based on several factors including the types of products and services sold, production processes, markets served and the financial information available for our CODM. We evaluate performance based on the gross margins of the respective business segments and do not allocate corporate selling and administrative expenses, among others, to the respective segments. Intersegment sales prices are market-based and are eliminated in the "Other" column. Information for each segment is provided in the tables that follow (in thousands). Three Months Ended Potash Trio ® Oilfield Solutions Other Consolidated Sales $ 37,576 $ 36,487 $ 5,324 $ (100) $ 79,287 Less: Freight costs 3,956 8,974 — (100) 12,830 Warehousing and handling 1,727 1,362 — — 3,089 Cost of goods sold 25,816 27,291 3,324 — 56,431 Lower of cost or net 503 — — — 503 Gross Margin (Deficit) $ 5,574 $ (1,140) $ 2,000 $ — $ 6,434 Depreciation, depletion, and amortization incurred 1 $ 6,971 $ 884 $ 1,071 $ 458 $ 9,384 Three Months Ended Potash Trio ® Oilfield Solutions Other Consolidated Sales $ 52,497 $ 30,274 $ 4,250 $ (101) $ 86,920 Less: Freight costs 5,005 6,686 — (101) 11,590 Warehousing and handling 1,480 1,253 — — 2,733 Cost of goods sold 31,584 20,883 3,778 — 56,245 Gross Margin $ 14,428 $ 1,452 $ 472 $ — $ 16,352 Depreciation, depletion, and amortization incurred 1 $ 7,051 $ 1,206 $ 907 $ 208 $ 9,372 1 Depreciation, depletion, and amortization incurred for potash and Trio ® excludes depreciation, depletion and amortization amounts absorbed in or relieved from inventory. The following table shows the reconciliation of reportable segment sales to consolidated sales and the reconciliation of segment gross margins to consolidated income before taxes (in thousands): Three Months Ended March 31, 2024 2023 Total sales for reportable segments $ 79,387 $ 87,021 Elimination of intersegment sales (100) (101) Total consolidated sales $ 79,287 $ 86,920 Total gross margin for reportable segments $ 6,434 $ 16,352 Elimination of intersegment sales (100) (101) Elimination of intersegment expenses 100 101 Unallocated amounts: Selling and administrative 8,357 8,858 Impairment of long-lived assets 1,377 — Loss on disposal of assets 251 200 Accretion of asset retirement obligation 622 535 Other operating income (1,132) — Other operating expense 1,265 1,385 Equity in earnings of unconsolidated entities (149) (821) Interest income (244) (85) Other non-operating income (8) (13) (Loss) income before income taxes $ (3,905) $ 6,293 Total assets are not presented for each reportable segment as they are not reviewed by, nor otherwise regularly provided to, the CODM. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net income | $ (3,130) | $ 4,506 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 shares | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | On March 25, 2024, Robert P. Jornayvaz III, our Chief Executive Officer and Chairman of the Board, entered into a pre-arranged stock trading plan (the "Jornayvaz 10b5-1 Trading Agreement"). The Jornayvaz 10b5-1 Trading Agreement provides for the sale of up to 315,000 shares of the Company's common stock between June 24, 2024 to June 24, 2025. Further, the Jornayvaz 10b5-1 Trading Agreement was entered into during an open insider trading window and is intended to satisfy the affirmative defense of Rule 10b5-1(c) under the Exchange Act. |
Name | Robert P. Jornayvaz III |
Title | Chief Executive Officer and Chairman of the Board |
Rule 10b5-1 Arrangement Adopted | true |
Adoption Date | March 25, 2024 |
Rule 10b5-1 Arrangement Terminated | false |
Aggregate Available | 315,000 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Financial Statement Presentation | Our unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission ("SEC"). Certain information and note disclosures normally included in annual financial statements prepared in accordance with U.S. generally accepted accounting principles ("GAAP") have been condensed or omitted pursuant to those rules and regulations. In the opinion of management, all adjustments, consisting of normal recurring accruals considered necessary for a fair presentation of interim financial information, have been included. These unaudited condensed consolidated financial statements should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2023. |
Pronouncements Issued But Not Yet Adopted | In December 2023, the FASB issued ASU 2023-09, "Income Taxes (Topic 740): Improvements to Income Tax Disclosures" ("ASU 2023-09"). ASU 2023-09 requires that an entity disclose specific categories in the effective tax rate reconciliation as well as provide additional information for reconciling items that meet a quantitative threshold, certain disclosures of state versus federal income tax expenses and taxes paid. ASC 2023-09 is effective for fiscal years beginning after December 15, 2024. We are currently evaluating the guidance and expect it to only impact disclosures with no impact to results of operations, cash flows and financial condition. In November 2023, the FASB issued ASU 2023-07, "Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures" ("ASU 2023-07"). This new guidance: (i) introduces a requirement to disclose significant segment expenses regularly provided to the chief operating decision maker ("CODM"), (ii) extends certain annual disclosures to interim periods, (iii) clarifies disclosure requirements for single reportable segment entities, (iv) permits more than one measure of segment profit or loss to be reported under certain conditions, and (v) requires disclosure of the title and position of the CODM. The standard is effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The guidance applies retrospectively to all periods presented in the financial statements. We are currently evaluating the guidance and expect it to only impact disclosures with no impact to results of operations, cash flows, and financial condition. |
Revenue Recognition | We account for revenue in accordance with ASC 606. Under ASC 606, we recognize revenue when control of the promised goods or services is transferred to customers in an amount that reflects the consideration we expect in exchange for those goods or services. The timing of revenue recognition, billings, and cash collection may result in contract assets or contract liabilities. |
Reclassification of Prior Period Presentation | Certain prior period amounts have been reclassified in order to conform to the current period presentation. These reclassifications had no effect on the reported results of operations. |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Calculation of Basic and Diluted Earnings Per Share | Basic earnings per share is computed by dividing net income by the weighted-average number of shares of common stock outstanding during the period. For purposes of determining diluted earnings per share, basic weighted-average common shares outstanding is adjusted to include potentially dilutive securities, including restricted stock, stock options, and performance units. The treasury-stock method is used to measure the dilutive impact of potentially dilutive shares. Potentially dilutive shares are excluded from the diluted weighted-average shares outstanding computation in periods in which they have an anti-dilutive effect. The following table shows the calculation of basic and diluted earnings per share (in thousands, except per share amounts): Three Months Ended 2024 2023 Net (loss) income $ (3,130) $ 4,506 Basic weighted-average common shares outstanding 12,817 12,694 Add: Dilutive effect of restricted stock — 125 Add: Dilutive effect of stock options — 56 Diluted weighted-average common shares outstanding 12,817 12,875 Basic $ (0.24) $ 0.35 Diluted $ (0.24) $ 0.35 |
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share | The following table shows the shares that have an anti-dilutive effect and are excluded from the diluted weighted-average shares outstanding computations (in thousands): Three Months Ended 2024 2023 Anti-dilutive effect of restricted stock 348 187 Anti-dilutive effect of stock options outstanding 273 156 |
CASH, CASH EQUIVALENTS AND RE_2
CASH, CASH EQUIVALENTS AND RESTRICTED CASH (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Cash and Cash Equivalents [Abstract] | |
Cash, Cash Equivalents And Restricted Cash | Total cash, cash equivalents and restricted cash, as shown on the condensed consolidated statements of cash flows are included in the following accounts at March 31, 2024, and 2023 (in thousands): March 31, 2024 March 31, 2023 Cash and cash equivalents $ 34,067 $ 10,451 Restricted cash included in other current assets 25 25 Restricted cash included in other long-term assets 557 547 Total cash, cash equivalents, and restricted cash as shown in the statement of cash flows $ 34,649 $ 11,023 |
INVENTORY AND LONG-TERM PARTS_2
INVENTORY AND LONG-TERM PARTS INVENTORY (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Inventory Disclosure [Abstract] | |
Summary of Inventory | The following summarizes our inventory, recorded at the lower of weighted-average cost or estimated net realizable value, as of March 31, 2024, and December 31, 2023 (in thousands): March 31, 2024 December 31, 2023 Finished goods product inventory $ 57,794 $ 66,033 In-process inventory 23,002 28,044 Total product inventory 80,796 94,077 Current parts inventory, net 21,753 20,175 Total current inventory, net 102,549 114,252 Long-term parts inventory, net 30,543 30,231 Total inventory, net $ 133,092 $ 144,483 |
PROPERTY, PLANT, EQUIPMENT, A_2
PROPERTY, PLANT, EQUIPMENT, AND MINERAL PROPERTIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant, Equipment, and Mineral Properties | Property, plant, equipment, and mineral properties were comprised of the following (in thousands): March 31, 2024 December 31, 2023 Land $ 24,136 $ 24,136 Ponds and land improvements 91,984 91,333 Mineral properties and development costs 159,775 159,775 Buildings and plant 90,150 90,150 Machinery and equipment 299,403 297,494 Vehicles 7,435 7,332 Office equipment and improvements 10,159 10,150 Operating lease ROU assets 5,045 5,274 Breeding stock 293 315 Construction in progress 26,888 23,942 Total property, plant, equipment, and mineral properties, gross $ 715,268 $ 709,901 Less: accumulated depreciation, depletion, and amortization (360,459) (351,652) Total property, plant, equipment, and mineral properties, net $ 354,809 $ 358,249 |
Schedule of Depreciation, Depletion and Accretion | We incurred the following expenses for depreciation, depletion, and amortization, including expenses capitalized into inventory, for the following periods (in thousands): Three Months Ended March 31, 2024 2023 Depreciation $ 7,465 $ 7,727 Depletion 1,472 1,177 Amortization of right of use assets 367 388 Total incurred $ 9,304 $ 9,292 |
DEBT (Tables)
DEBT (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Schedule Of Interest Expense | Amounts included in interest expense, net for the three months ended March 31, 2024, and 2023 were as follows (in thousands): Three Months Ended 2024 2023 Interest expense on borrowings $ 39 $ 22 Commitment fee on unused credit facility 57 56 Amortization of deferred financing costs 75 75 Gross interest expense 171 153 Less capitalized interest (171) (153) Interest expense, net $ — $ — |
ASSET RETIREMENT OBLIGATION (Ta
ASSET RETIREMENT OBLIGATION (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Schedule of Changes to Asset Retirement Obligation | Following is a table of the changes to our asset retirement obligation for the following periods (in thousands): Three Months Ended March 31, 2024 2023 Asset retirement obligation, at beginning of period $ 30,359 $ 26,864 Liabilities settled — — Liabilities incurred — — Accretion of discount 622 535 Total asset retirement obligation, at end of period $ 30,981 $ 27,399 Less current portion of asset retirement obligation $ (282) $ (300) Long-term portion of asset retirement obligation $ 30,699 $ 27,099 |
REVENUE (Tables)
REVENUE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Contract Balances | As of March 31, 2024, and December 31, 2023, we had a total of $2.6 million and $2.3 million of contract liabilities, respectively, of which $1.4 million and $1.0 million were current as of March 31, 2024, and December 31, 2023, respectively, and included in "Other current liabilities" on the Condensed Consolidated Balance Sheets. Customer advances received before we have satisfied our performance obligations are accounted for as a contract liability (sometimes referred to in practice as deferred revenue). Our deferred revenue activity for the three months ended March 31, 2024, and 2023 is shown below (in thousands): Three Months Ended March 31, 2024 2023 Beginning balance $ 2,303 $ 2,374 Additions 592 145 Recognized as revenue during period (328) (245) Ending Balance $ 2,567 $ 2,274 |
Disaggregation of Revenue | The tables below show the disaggregation of revenue by product and reconciles disaggregated revenue to segment revenue for the three months ended March 31, 2024, and 2023. We believe the disaggregation of revenue by products best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic conditions (in thousands): Three Months Ended March 31, 2024 Product Potash Segment Trio ® Segment Oilfield Solutions Segment Intersegment Eliminations Total Potash $ 32,412 $ — $ — $ (100) $ 32,312 Trio ® — 36,284 — — 36,284 Water — — 2,169 — 2,169 Salt 3,144 203 — — 3,347 Magnesium Chloride 419 — — — 419 Brine Water 1,583 — 1,127 — 2,710 Other 18 — 2,028 — 2,046 Total Revenue $ 37,576 $ 36,487 $ 5,324 $ (100) $ 79,287 Three Months Ended March 31, 2023 Product Potash Segment Trio ® Segment Oilfield Solutions Segment Intersegment Eliminations Total Potash $ 47,155 $ — $ — $ (101) $ 47,054 Trio ® — 29,053 — — 29,053 Water 80 1,048 1,619 — 2,747 Salt 3,043 173 — — 3,216 Magnesium Chloride 1,137 — — — 1,137 Brine Water 1,082 — 822 — 1,904 Other — — 1,809 — 1,809 Total Revenue $ 52,497 $ 30,274 $ 4,250 $ (101) $ 86,920 |
COMPENSATION PLANS (Tables)
COMPENSATION PLANS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Outstanding Share Based Awards | In March 2024, the Compensation Committee granted an aggregate of 143,730 shares of restricted stock to executive officers and other key employees. These awards vest over three three As of March 31, 2024, the following awards were outstanding under the Plan (in thousands): Outstanding as of Restricted Shares 377 Non-qualified Stock Options 273 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Schedule of Provision of Income Taxes | A summary of our provision for income taxes is as follows (in thousands): Three Months Ended March 31, 2024 2023 Current portion of income tax expense $ 14 $ 126 Deferred portion of income tax (benefit) expense (789) 1,661 Total income tax (benefit) expense $ (775) $ 1,787 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Held-to-Maturity Investments | Held-to-Maturity Investments —As of March 31, 2024, and December 31, 2023, we owned debt investment securities classified as held-to-maturity because we have the intent and ability to hold these investments to maturity. Our held-to-maturity debt investment securities consist of investment grade corporate bonds and U.S. government issued bonds. These debt securities are carried at amortized cost and consist of the following (amounts in thousands): As of March 31, 2024 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Short-term Corporate bonds $ 994 $ — $ (6) $ 988 Government bonds 1,977 — (13) 1,964 Total $ 2,971 $ — $ (19) $ 2,952 Long-term Corporate bonds $ — $ — $ — $ — Government bonds 475 — (2) 473 Total $ 475 $ — $ (2) $ 473 As of December 31, 2023 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Short-term Corporate bonds $ 991 $ — $ (9) $ 982 Government bonds 1,979 — (13) 1,966 Total $ 2,970 $ — $ (22) $ 2,948 Long-term Corporate bonds $ — $ — $ — $ — Government bonds 954 1 (4) 951 Total $ 954 $ 1 $ (4) $ 951 |
BUSINES SEGMENTS (Tables)
BUSINES SEGMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Intersegment sales prices are market-based and are eliminated in the "Other" column. Information for each segment is provided in the tables that follow (in thousands). Three Months Ended Potash Trio ® Oilfield Solutions Other Consolidated Sales $ 37,576 $ 36,487 $ 5,324 $ (100) $ 79,287 Less: Freight costs 3,956 8,974 — (100) 12,830 Warehousing and handling 1,727 1,362 — — 3,089 Cost of goods sold 25,816 27,291 3,324 — 56,431 Lower of cost or net 503 — — — 503 Gross Margin (Deficit) $ 5,574 $ (1,140) $ 2,000 $ — $ 6,434 Depreciation, depletion, and amortization incurred 1 $ 6,971 $ 884 $ 1,071 $ 458 $ 9,384 Three Months Ended Potash Trio ® Oilfield Solutions Other Consolidated Sales $ 52,497 $ 30,274 $ 4,250 $ (101) $ 86,920 Less: Freight costs 5,005 6,686 — (101) 11,590 Warehousing and handling 1,480 1,253 — — 2,733 Cost of goods sold 31,584 20,883 3,778 — 56,245 Gross Margin $ 14,428 $ 1,452 $ 472 $ — $ 16,352 Depreciation, depletion, and amortization incurred 1 $ 7,051 $ 1,206 $ 907 $ 208 $ 9,372 1 Depreciation, depletion, and amortization incurred for potash and Trio ® excludes depreciation, depletion and amortization amounts absorbed in or relieved from inventory. |
Reconciliation of Reportable Segment Sales to Consolidated Sales and Segment Gross Margins to Consolidated Income Before Taxes | The following table shows the reconciliation of reportable segment sales to consolidated sales and the reconciliation of segment gross margins to consolidated income before taxes (in thousands): Three Months Ended March 31, 2024 2023 Total sales for reportable segments $ 79,387 $ 87,021 Elimination of intersegment sales (100) (101) Total consolidated sales $ 79,287 $ 86,920 Total gross margin for reportable segments $ 6,434 $ 16,352 Elimination of intersegment sales (100) (101) Elimination of intersegment expenses 100 101 Unallocated amounts: Selling and administrative 8,357 8,858 Impairment of long-lived assets 1,377 — Loss on disposal of assets 251 200 Accretion of asset retirement obligation 622 535 Other operating income (1,132) — Other operating expense 1,265 1,385 Equity in earnings of unconsolidated entities (149) (821) Interest income (244) (85) Other non-operating income (8) (13) (Loss) income before income taxes $ (3,905) $ 6,293 Total assets are not presented for each reportable segment as they are not reviewed by, nor otherwise regularly provided to, the CODM. |
COMPANY BACKGROUND (Narrative)
COMPANY BACKGROUND (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2024 Facility segment nutrient | |
Number of mining facilities | Facility | 3 |
Number of reportable segments | segment | 3 |
Number of key nutrients | nutrient | 3 |
EARNINGS PER SHARE (Schedule of
EARNINGS PER SHARE (Schedule of Calculation of Basic and Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Earnings Per Share [Abstract] | ||
Net (loss) income | $ (3,130) | $ 4,506 |
Basic weighted average common shares outstanding (in shares) | 12,817 | 12,694 |
Add: Dilutive effect of restricted stock (in shares) | 0 | 125 |
Add: Dilutive effect of stock options (in shares) | 0 | 56 |
Diluted weighted average common shares outstanding (in shares) | 12,817 | 12,875 |
Basic (in dollars per share) | $ (0.24) | $ 0.35 |
Diluted (in dollars per share) | $ (0.24) | $ 0.35 |
EARNINGS PER SHARE (Schedule _2
EARNINGS PER SHARE (Schedule of Anti-Dilutive Shares) (Details) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Restricted Stock [Member] | ||
Anti-dilutive weighted average non-vested shares | ||
Anti-dilutive shares (in shares) | 348 | 187 |
Stock Options [Member] | ||
Anti-dilutive weighted average non-vested shares | ||
Anti-dilutive shares (in shares) | 273 | 156 |
CASH, CASH EQUIVALENTS AND RE_3
CASH, CASH EQUIVALENTS AND RESTRICTED CASH (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Cash and Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 34,067 | $ 4,071 | $ 10,451 | |
Restricted cash included in other current assets | 25 | 25 | ||
Restricted cash included in other long-term assets | 557 | 547 | ||
Total cash, cash equivalents, and restricted cash shown in the statement of cash flows | $ 34,649 | $ 4,651 | $ 11,023 | $ 19,084 |
INVENTORY AND LONG-TERM PARTS_3
INVENTORY AND LONG-TERM PARTS INVENTORY (Narrative) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Inventory Disclosure [Abstract] | ||
Allowances for obsolescence | $ 1 | $ 0.9 |
INVENTORY AND LONG-TERM PARTS_4
INVENTORY AND LONG-TERM PARTS INVENTORY (Summary of Inventory) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Inventory [Line Items] | ||
Finished goods product inventory | $ 57,794 | $ 66,033 |
In-process inventory | 23,002 | 28,044 |
Total product inventory | 80,796 | 94,077 |
Current parts inventory, net | 21,753 | 20,175 |
Total current inventory, net | 102,549 | 114,252 |
Long-term parts inventory, net | 30,543 | 30,231 |
Total inventory, net | $ 133,092 | $ 144,483 |
PROPERTY, PLANT, EQUIPMENT, A_3
PROPERTY, PLANT, EQUIPMENT, AND MINERAL PROPERTIES (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Property, Plant and Equipment [Line Items] | ||
Impairment of long-lived assets | $ 1,377 | $ 0 |
PROPERTY, PLANT, EQUIPMENT, A_4
PROPERTY, PLANT, EQUIPMENT, AND MINERAL PROPERTIES (Schedule of Property, Plant, Equipment, and Mineral Properties) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | $ 715,268 | $ 709,901 |
Less: accumulated depreciation, depletion, and amortization | (360,459) | (351,652) |
Total property, plant, equipment and mineral properties, net | 354,809 | 358,249 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | 24,136 | 24,136 |
Ponds and Land Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | 91,984 | 91,333 |
Mineral Properties And Development Costs [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | 159,775 | 159,775 |
Buildings and Plant [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | 90,150 | 90,150 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | 299,403 | 297,494 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | 7,435 | 7,332 |
Office Equipment and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | 10,159 | 10,150 |
Operating Lease ROU Assets [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | 5,045 | 5,274 |
Breeding Stock [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | 293 | 315 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property, plant, equipment, and mineral properties, gross | $ 26,888 | $ 23,942 |
PROPERTY, PLANT, EQUIPMENT, A_5
PROPERTY, PLANT, EQUIPMENT, AND MINERAL PROPERTIES (Schedule of Depreciation, Depletion, and Accretion) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation | $ 7,465 | $ 7,727 |
Depletion | 1,472 | 1,177 |
Amortization of right of use assets | 367 | 388 |
Total incurred | $ 9,304 | $ 9,292 |
OTHER LONG-TERM DEFERRED REVE_2
OTHER LONG-TERM DEFERRED REVENUE (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Jan. 02, 2024 | Dec. 12, 2023 | Mar. 31, 2024 | Dec. 31, 2023 | |
Revenue Recognition and Deferred Revenue [Abstract] | ||||
Initial fee under the third amentment of Cooperative Development Agreement | $ 50,000 | |||
Payment received under the Third Amendment of Cooperative Development Agreement | 5,000 | |||
Remaining payment received under the Third Amendment of Cooperative Development Agreement | $ 45,000 | |||
Additional one time payment as an access fee under the Third Amendment of Cooperative Development Agreement | $ 50,000 | |||
Access fee payment term | 90 days | |||
Anniversary term of the Amendment Date | 7 years | |||
Transaction price of the third amentment of Cooperative Development Agreement | $ 100,000 | |||
Additional amounts as an Access Realization Fee under the Third Amendment of Cooperative Development Agreement | $ 100,000 | |||
Other operating income | $ 1,132 | $ 0 | ||
Other Receivable, after Allowance for Credit Loss, Noncurrent | 600 | |||
Deferred income, current | 2,300 | 5,000 | ||
Deferred other income, long-term | $ 47,170 | $ 0 |
DEBT (Details)
DEBT (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Aug. 02, 2022 | Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Debt | ||||
Proceeds from short-term borrowings on credit facility | $ 0 | $ 5,000 | ||
Repayments of credit facility | 4,000 | 0 | ||
Interest expense | 171 | 153 | ||
Revolving Credit Facility [Member] | ||||
Debt | ||||
Proceeds from short-term borrowings on credit facility | 0 | 5,000 | ||
Repayments of credit facility | 4,000 | $ 0 | ||
Line of credit, outstanding | 0 | $ 4,000 | ||
Letters of credit outstanding, amount | $ 0 | $ 0 | ||
Credit facility, maximum borrowing capacity | $ 150,000 | |||
Debt, maturity date | Aug. 04, 2027 | |||
Minimum [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Revolving Credit Facility [Member] | ||||
Debt | ||||
Credit facility interest margin | 1.50% | |||
Maximum [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | Revolving Credit Facility [Member] | ||||
Debt | ||||
Credit facility interest margin | 2.25% |
DEBT SCHEDULE OF INTEREST EXPEN
DEBT SCHEDULE OF INTEREST EXPENSE (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Debt Disclosure [Abstract] | ||
Interest expense on borrowings | $ 39 | $ 22 |
Commitment fee on unused credit facility | 57 | 56 |
Amortization of deferred financing costs | 75 | 75 |
Gross interest expense | 171 | 153 |
Less capitalized interest | (171) | (153) |
Interest expense, net | $ 0 | $ 0 |
INTANGIBLE ASSETS (Details)
INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Dec. 31, 2023 | |
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets, water rights | $ 19,184 | $ 19,184 |
Finite-lived intangible assets, weighted average amortization period | 15 years | |
Finite-lived intangible assets, net | $ 4,800 | $ 4,900 |
FINANCIAL INFORMATION FOR SUB_2
FINANCIAL INFORMATION FOR SUBSIDIARY GUARANTORS OF POSSIBLE FUTURE PUBLIC DEBT (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Guarantees [Abstract] | ||
Cash | $ 34.1 | $ 4.1 |
ASSET RETIREMENT OBLIGATION (Na
ASSET RETIREMENT OBLIGATION (Narrative) (Details) - Measurement Input, Risk Free Interest Rate [Member] | Mar. 31, 2024 |
Minimum [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Credit adjusted risk-free rates used to discount reclamation Liabilities | 0.069 |
Maximum [Member] | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |
Credit adjusted risk-free rates used to discount reclamation Liabilities | 0.120 |
ASSET RETIREMENT OBLIGATION (Sc
ASSET RETIREMENT OBLIGATION (Schedule of Changes to Asset Retirement Obligation) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Asset Retirement Obligation Disclosure [Abstract] | |||
Asset retirement obligation, at beginning of period | $ 30,359 | $ 26,864 | |
Liabilities settled | 0 | 0 | |
Liabilities incurred | 0 | 0 | |
Accretion of discount | 622 | 535 | |
Total asset retirement obligation, at end of period | 30,981 | 27,399 | $ 30,359 |
Less current portion of asset retirement obligation | (282) | (300) | |
Long-term portion of asset retirement obligation | $ 30,699 | $ 27,099 | $ 30,077 |
REVENUE (Narrative) (Details)
REVENUE (Narrative) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Revenue from Contract with Customer [Abstract] | ||||
Contract with customer, liability | $ 2,567 | $ 2,303 | $ 2,274 | $ 2,374 |
Contract liabilities, current | $ 1,400 | $ 1,000 |
REVENUE (Contract Balances) (De
REVENUE (Contract Balances) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | ||
Beginning Balance | $ 2,303 | $ 2,374 |
Additions | 592 | 145 |
Recognized as revenue during period | (328) | (245) |
Ending Balance | $ 2,567 | $ 2,274 |
REVENUE (Disaggregation of Reve
REVENUE (Disaggregation of Revenue) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Potash [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | $ 32,312 | $ 47,054 |
Trio [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 36,284 | 29,053 |
Water [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 2,169 | 2,747 |
Salt [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 3,347 | 3,216 |
Magnesium Chloride [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 419 | 1,137 |
Brine Water [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 2,710 | 1,904 |
Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 2,046 | 1,809 |
Mineral [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 79,287 | 86,920 |
Potash [Member] | Potash [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 32,412 | 47,155 |
Potash [Member] | Trio [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Potash [Member] | Water [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 80 |
Potash [Member] | Salt [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 3,144 | 3,043 |
Potash [Member] | Magnesium Chloride [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 419 | 1,137 |
Potash [Member] | Brine Water [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 1,583 | 1,082 |
Potash [Member] | Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 18 | 0 |
Potash [Member] | Mineral [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 37,576 | 52,497 |
Trio [Member] | Potash [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Trio [Member] | Trio [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 36,284 | 29,053 |
Trio [Member] | Water [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 1,048 |
Trio [Member] | Salt [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 203 | 173 |
Trio [Member] | Magnesium Chloride [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Trio [Member] | Brine Water [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Trio [Member] | Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Trio [Member] | Mineral [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 36,487 | 30,274 |
Oil Field Solutions [Member] | Potash [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Oil Field Solutions [Member] | Trio [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Oil Field Solutions [Member] | Water [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 2,169 | 1,619 |
Oil Field Solutions [Member] | Salt [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Oil Field Solutions [Member] | Magnesium Chloride [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Oil Field Solutions [Member] | Brine Water [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 1,127 | 822 |
Oil Field Solutions [Member] | Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 2,028 | 1,809 |
Oil Field Solutions [Member] | Mineral [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 5,324 | 4,250 |
Intersegment Eliminations [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | (100) | (101) |
Intersegment Eliminations [Member] | Potash [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | (101) | |
Intersegment Eliminations [Member] | Trio [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Intersegment Eliminations [Member] | Water [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Intersegment Eliminations [Member] | Salt [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Intersegment Eliminations [Member] | Magnesium Chloride [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Intersegment Eliminations [Member] | Brine Water [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Intersegment Eliminations [Member] | Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | 0 | 0 |
Intersegment Eliminations [Member] | Mineral [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Total consolidated sales | $ (100) | $ (101) |
COMPENSATION PLANS (Narrative)
COMPENSATION PLANS (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2022 | Mar. 31, 2024 | Mar. 31, 2023 | |
Equity Incentive Compensation Plan [Abstract] | ||||
Shares available for issuance | 900,000 | |||
Restricted Stock [Abstract] | ||||
Compensation expense | $ 1.3 | $ 1.7 | ||
Unrecognized compensation expense | $ 6.8 | |||
Weighted average period, unrecognized compensation expense | 1 year 6 months | |||
Executive Officers And Other Key Employees | Restricted Stock [Member] | ||||
Restricted Stock [Abstract] | ||||
Shares granted | 143,730 | 225,117 | ||
Period over which grants vest (in years) | 3 years | 3 years |
COMPENSATION PLANS (Schedule of
COMPENSATION PLANS (Schedule of Outstanding Share Based Awards) (Details) shares in Thousands | Mar. 31, 2024 shares |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Awards outstanding, restricted stock | 377 |
Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Awards outstanding, options | 273 |
INCOME TAXES (Narrative) (Detai
INCOME TAXES (Narrative) (Details) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | ||
Effective tax rate | 19.80% | 28.40% |
INCOME TAXES (Schedule of Provi
INCOME TAXES (Schedule of Provision of Income Taxes) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | ||
Current portion of income tax expense | $ 14 | $ 126 |
Deferred portion of income tax (benefit) expense | (789) | 1,661 |
Total income tax (benefit) expense | $ (775) | $ 1,787 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Narrative) (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |||
Mar. 17, 2022 acre ft | Mar. 31, 2024 USD ($) | Dec. 31, 2018 acre ft | Dec. 31, 2017 acre ft | Dec. 31, 2023 USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |||||
Security placed with the State of Utah and BLM | $ 26.9 | $ 26.8 | |||
Long-term restricted cash deposits | 0.5 | 0.5 | |||
Surety bonds issued by an insurer | 26.4 | 26.3 | |||
Loss Contingencies [Line Items] | |||||
Contingency liabilities, current | 2.5 | $ 3.4 | |||
Contingency payments | $ 1.9 | ||||
Water Rights [Member] | |||||
Loss Contingencies [Line Items] | |||||
Pecos Water Right volume per year | acre ft | 20,000 | ||||
Annual water volume that had not been forfeited | acre ft | 5,800 | ||||
Annual water volume that had not been abandoned | acre ft | 150 | ||||
Preliminary authorization of annual allowable water sales, volume, cancelled | acre ft | 5,700 | 5,700 |
FAIR VALUE (Narrative) (Details
FAIR VALUE (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | |||
May 31, 2020 | Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Jul. 31, 2022 | |
Cash and Cash Equivalents [Abstract] | |||||
Cash equivalents | $ 0 | $ 500 | |||
Debt Securities, Held-to-maturity, Maturity [Abstract] | |||||
Debt securities, held-to-maturity | $ 3,400 | $ 3,900 | |||
Debt securities, held-to-maturity, maturity period | 2 years | ||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity in earnings of unconsolidated entities | $ 149 | $ 821 | |||
Equity Investment Ovation [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investment, ownership percentage | 16% | ||||
Equity in earnings of unconsolidated entities | $ 100 | ||||
Equity Investment WDVGL [Member] | |||||
Equity Securities without Readily Determinable Fair Value [Line Items] | |||||
Equity securities without readily determinable fair value, acquired | $ 3,500 | ||||
Share price | $ 10 |
FAIR VALUE (Held-to-Maturity In
FAIR VALUE (Held-to-Maturity Investments) (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized cost, short-term | $ 2,971 | $ 2,970 |
Amortized cost, long-term | 475 | 954 |
Gross unrealized gains, short-term | 0 | 0 |
Gross unrealized gains, long-term | 0 | 1 |
Gross unrealized losses, short-term | (19) | (22) |
Gross unrealized losses, long-term | (2) | (4) |
Fair value, short-term | 2,952 | 2,948 |
Fair value, long-term | 473 | 951 |
Fair value, total | 3,400 | 3,900 |
Corporate Bonds | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized cost, short-term | 994 | 991 |
Amortized cost, long-term | 0 | 0 |
Gross unrealized gains, short-term | 0 | 0 |
Gross unrealized gains, long-term | 0 | 0 |
Gross unrealized losses, short-term | (6) | (9) |
Gross unrealized losses, long-term | 0 | 0 |
Fair value, short-term | 988 | 982 |
Fair value, long-term | 0 | 0 |
Government Bonds | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized cost, short-term | 1,977 | 1,979 |
Amortized cost, long-term | 475 | 954 |
Gross unrealized gains, short-term | 0 | 0 |
Gross unrealized gains, long-term | 0 | 1 |
Gross unrealized losses, short-term | (13) | (13) |
Gross unrealized losses, long-term | (2) | (4) |
Fair value, short-term | 1,964 | 1,966 |
Fair value, long-term | $ 473 | $ 951 |
BUSINESS SEGMENTS (Narrative) (
BUSINESS SEGMENTS (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2024 segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
BUSINESS SEGMENT (Information b
BUSINESS SEGMENT (Information by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
Segment Reporting Information [Line Items] | |||
Lower of cost or net realizable value inventory adjustments | $ 503 | $ 0 | |
Gross Margin | 6,434 | 16,352 | |
Depreciation, depletion and amortization expense | [1] | 9,384 | 9,372 |
Operating Segments [Member] | Potash [Member] | |||
Segment Reporting Information [Line Items] | |||
Lower of cost or net realizable value inventory adjustments | 503 | ||
Gross Margin | 5,574 | 14,428 | |
Depreciation, depletion and amortization expense | [1] | 6,971 | 7,051 |
Operating Segments [Member] | Trio [Member] | |||
Segment Reporting Information [Line Items] | |||
Lower of cost or net realizable value inventory adjustments | 0 | ||
Gross Margin | (1,140) | 1,452 | |
Depreciation, depletion and amortization expense | [1] | 884 | 1,206 |
Operating Segments [Member] | Oil Field Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Gross Margin | 2,000 | 472 | |
Depreciation, depletion and amortization expense | [1] | 1,071 | 907 |
Corporate/Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Lower of cost or net realizable value inventory adjustments | 0 | ||
Gross Margin | 0 | 0 | |
Depreciation, depletion and amortization expense | [1] | 458 | 208 |
Freight Costs [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of Goods Sold | 12,830 | 11,590 | |
Freight Costs [Member] | Operating Segments [Member] | Potash [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of Goods Sold | 3,956 | 5,005 | |
Freight Costs [Member] | Operating Segments [Member] | Trio [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of Goods Sold | 8,974 | 6,686 | |
Freight Costs [Member] | Operating Segments [Member] | Oil Field Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of Goods Sold | 0 | 0 | |
Freight Costs [Member] | Corporate/Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of Goods Sold | (100) | (101) | |
Warehouse and Handling [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of Goods Sold | 3,089 | 2,733 | |
Warehouse and Handling [Member] | Operating Segments [Member] | Potash [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of Goods Sold | 1,727 | 1,480 | |
Warehouse and Handling [Member] | Operating Segments [Member] | Trio [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of Goods Sold | 1,362 | 1,253 | |
Warehouse and Handling [Member] | Operating Segments [Member] | Oil Field Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of Goods Sold | 0 | 0 | |
Warehouse and Handling [Member] | Corporate/Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Cost of Goods Sold | 0 | 0 | |
Mineral [Member] | |||
Segment Reporting Information [Line Items] | |||
Sales | 79,287 | 86,920 | |
Cost of Goods Sold | 56,431 | 56,245 | |
Mineral [Member] | Potash [Member] | |||
Segment Reporting Information [Line Items] | |||
Sales | 37,576 | 52,497 | |
Mineral [Member] | Trio [Member] | |||
Segment Reporting Information [Line Items] | |||
Sales | 36,487 | 30,274 | |
Mineral [Member] | Oil Field Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Sales | 5,324 | 4,250 | |
Mineral [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Sales | 79,387 | 87,021 | |
Mineral [Member] | Operating Segments [Member] | Potash [Member] | |||
Segment Reporting Information [Line Items] | |||
Sales | 37,576 | 52,497 | |
Cost of Goods Sold | 25,816 | 31,584 | |
Mineral [Member] | Operating Segments [Member] | Trio [Member] | |||
Segment Reporting Information [Line Items] | |||
Sales | 36,487 | 30,274 | |
Cost of Goods Sold | 27,291 | 20,883 | |
Mineral [Member] | Operating Segments [Member] | Oil Field Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Sales | 5,324 | 4,250 | |
Cost of Goods Sold | 3,324 | 3,778 | |
Lower of cost or net realizable value inventory adjustments | 0 | ||
Mineral [Member] | Corporate/Other [Member] | |||
Segment Reporting Information [Line Items] | |||
Sales | (100) | (101) | |
Cost of Goods Sold | $ 0 | $ 0 | |
[1] Depreciation, depletion, and amortization incurred for potash and Trio ® excludes depreciation, depletion and amortization amounts absorbed in or relieved from inventory. The following table shows the reconciliation of reportable segment sales to consolidated sales and the reconciliation of segment gross margins to consolidated income before taxes (in thousands): |
BUSINESS SEGMENTS (Segment Reco
BUSINESS SEGMENTS (Segment Reconciliation) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Segment Reporting Information [Line Items] | |||
Total gross margin for reportable segments | $ 6,434 | $ 16,352 | |
Selling and administrative | 8,357 | 8,858 | |
Impairment of long-lived assets | 1,377 | 0 | |
Loss on disposal of assets | 251 | 200 | |
Accretion of asset retirement obligation | 622 | 535 | |
Other operating income | (1,132) | $ 0 | |
Other operating expense | 1,265 | 1,385 | |
Equity in earnings of unconsolidated entities | (149) | (821) | |
Interest Expense | 0 | 0 | |
Interest income | (244) | (85) | |
Other non-operating income | (8) | (13) | |
(Loss) Income Before Income Taxes | (3,905) | 6,293 | |
Mineral [Member] | |||
Segment Reporting Information [Line Items] | |||
Total consolidated sales | 79,287 | 86,920 | |
Elimination of intersegment expenses | (56,431) | (56,245) | |
Operating Segments [Member] | Mineral [Member] | |||
Segment Reporting Information [Line Items] | |||
Total consolidated sales | 79,387 | 87,021 | |
Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Total consolidated sales | (100) | (101) | |
Elimination of intersegment expenses | 100 | 101 | |
Intersegment Eliminations [Member] | Mineral [Member] | |||
Segment Reporting Information [Line Items] | |||
Total consolidated sales | $ (100) | $ (101) |