Southwest Iowa Renewable Energy (SWIOU) 10-K 9 Dec 22 2022 FY Annual report Financial data

Document And Entity Information

Document And Entity Information - USD ($)	12 Months Ended
	Sep. 30, 2022	Dec. 05, 2022	Mar. 31, 2022
Document Information [Line Items]
Entity Central Index Key	0001424844
Entity Registrant Name	SOUTHWEST IOWA RENEWABLE ENERGY, LLC
Amendment Flag	false
Current Fiscal Year End Date	--09-30
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2022
Document Type	10-K
Document Annual Report	true
Document Period End Date	Sep. 30, 2022
Document Transition Report	false
Entity File Number	000-53041
Entity Incorporation, State or Country Code	IA
Entity Tax Identification Number	20-2735046
Entity Address, Address Line One	10868 189th Street
Entity Address, City or Town	Council Bluffs
Entity Address, State or Province	IA
Entity Address, Postal Zip Code	51503
City Area Code	712
Local Phone Number	366-0392
Title of 12(g) Security	Series A Membership Units
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	true
ICFR Auditor Attestation Flag	false
Entity Shell Company	false
Entity Public Float			$ 38,200,000
Entity Common Stock, Shares Outstanding		8,975
Auditor Name	RSM US LLP
Auditor Firm ID	49
Auditor Location	Des Moines, Iowa, USA

Balance Sheets

Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Current Assets
Cash and cash equivalents	$ 7,229	$ 1,945
Accounts receivable, net of allowance for doubtful accounts	13,982	12,766
Derivative financial instruments	6,071	1,556
Inventory	28,518	28,677
Prepaid expenses and other	225	443
Total current assets	56,025	45,387
Property, Plant and Equipment
Land	2,064	2,064
Plant, building and equipment	261,235	255,623
Office and other equipment	1,975	1,892
Property, Plant and Equipment, Gross, Ending Balance	265,274	259,579
Accumulated depreciation	(164,969)	(153,546)
Net property, plant and equipment	100,305	106,033
Other Assets
Right of use asset operating leases, net	3,213	3,937
Other assets	843	1,069
Total Assets	160,386	156,426
Current Liabilities
Accounts payable	10,420	7,695
Accrued expenses	5,980	4,556
Current maturities of notes payable	7,609	10,019
Current portion of operating lease liability	1,977	2,922
Total current liabilities	25,986	25,192
Long Term Liabilities
Notes payable, less current maturities	8,396	51,677
Other long-term liabilities	3,836	4,154
Operating lease liability, less current portion	1,236	1,015
Total long term liabilities	13,468	56,846
Members' Equity
Members' Capital, 8,975 units issued and outstanding	64,106	64,106
Retained earnings	56,826	10,282
Total members' equity	120,932	74,388
Total Liabilities and Members' Equity	$ 160,386	$ 156,426

Balance Sheets (Parentheticals)

Balance Sheets (Parentheticals) - shares	Sep. 30, 2022	Sep. 30, 2021
Common Unit, Issued (in shares)	8,975	8,975
Common Unit, Outstanding (in shares)	8,975	8,975

Statements of Operations

Statements of Operations - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Revenues	$ 387,125	$ 302,820
Cost of Goods Sold
Cost of goods sold-non hedging	342,935	291,890
Realized & unrealized hedging losses (gains), net	(16,577)	(4,395)
Cost of Goods and Services Sold, Total	326,358	287,495
Gross Margin (Loss)	60,767	15,325
General and administrative expenses	7,241	5,733
Operating Income (Loss)	53,526	9,592
Other (Income) Expense
Interest expense	1,518	2,025
Other (income) expense, net	(5,754)	(1,017)
Interest and other (income) expense, net	(4,236)	1,008
Net Income (Loss)	$ 57,762	$ 8,584
Weighted Average Units Outstanding -basic and diluted (in shares)	8,975	8,975
Income (Loss) per unit -basic and diluted (in dollars per share)	$ 6,435.88	$ 956.43

Statements of Members' Equity

Statements of Members' Equity - USD ($) $ in Thousands	Members Contribution [Member]	Retained Earnings [Member]	Total
Balance at Sep. 30, 2020	$ 64,106	$ 1,698	$ 65,804
Net Income (Loss)	0	8,584	8,584
Balance at Sep. 30, 2021	64,106	10,282	74,388
Net Income (Loss)	0	57,762	57,762
Distributions	0	(11,218)	(11,218)
Balance at Sep. 30, 2022	$ 64,106	$ 56,826	$ 120,932

Statements of Cash Flows

Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income (Loss)	$ 57,762	$ 8,584
Adjustments to reconcile net (loss) to net cash provided by operating activities:
Depreciation	11,443	11,114
Amortization	45	78
Gain on extinguishment of debt	(2,177)	0
Change in other assets, net	226	103
Bad debt expense	0	79
(Increase) decrease in current assets:
Accounts receivable	(1,216)	(4,357)
Inventory	159	(15,308)
Prepaid expenses and other	218	(19)
Derivative financial instruments	(4,515)	(851)
Increase (decrease) in current liabilities:
Accounts payable	2,725	4,491
Accrued expenses	470	380
Increase (decrease) in other long-term liabilities	(318)	2,076
Net cash (used in) provided by operating activities	64,822	6,370
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment	(4,761)	(8,262)
Net cash (used in) provided by investing activities	(4,761)	(8,262)
CASH FLOWS FROM FINANCING ACTIVITIES
Dividends paid to members	(11,218)	0
Payments for financing costs	0	(33)
Proceeds from notes payable	232,919	244,441
Payments of notes payable	(276,478)	(241,687)
Net cash (used in) provided by financing activities	(54,777)	2,721
Net increase (decrease) in cash and cash equivalents	5,284	829
CASH AND CASH EQUIVALENTS
Beginning	1,945	1,116
Ending	7,229	1,945
SUPPLEMENTAL CASH FLOW INFORMATION
Cash paid for interest	1,574	2,026
Purchases of property and equipment included in accrued expenses	954	0
Operating lease liability arising from obtaining right of use assets	$ 1,616	$ 0

Note 1 - Nature of Business

Note 1 - Nature of Business	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Nature of Operations [Text Block]	Note 1: Nature of Business Southwest Iowa Renewable Energy, LLC (the “ Company March 2005, February 2009. 2022 2021

Note 2 - Summary of Significant

Note 2 - Summary of Significant Accounting Policies	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Significant Accounting Policies [Text Block]	Note 2: Summary of Significant Accounting Policies Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Cash and Cash Equivalents The Company considers all highly liquid investments purchased with a maturity of three Concentration of Credit Risk The Company’s cash balances are maintained in bank deposit accounts which at times may not Revenue Recognition The Company recognizes revenue when a customer obtains control of promised goods or services in an amount that reflects the consideration the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from the contracts with customers. The Company applies the five The Company sells denatured ethanol pursuant to a marketing agreement. Revenues are recognized when the control has been transferred to the marketing company and the marketing company has taken title to the product, prices are fixed or determinable and collectability is reasonably assured. The Company’s products are generally shipped Free on Board ("FOB") shipping point, and recorded as a sale upon delivery of the applicable bill of lading and transfer of control. The Company’s denatured ethanol sales are handled through an ethanol purchase agreement (the “Ethanol Agreement”) with Bunge North America, Inc. (“Bunge”). The Company markets and distributes all of the syrup, distillers grains, ethanol not “CO2 Accounts Receivable Accounts receivable are recorded at original invoice amounts less an estimate made for doubtful receivables based on a review of all outstanding amounts on a monthly basis. Management determines the allowance for doubtful accounts by regularly evaluating individual customer receivables and considering customers’ financial condition, credit history and current economic conditions. As of September 30, 2022 2021 Risks and Uncertainties The Company's operating and financial performance is largely driven by the prices at which ethanol is sold and the net expense of corn. The price of ethanol is influenced by factors such as supply and demand, weather, government policies and programs, and unleaded gasoline and the petroleum markets with ethanol selling, in general, for less than gasoline at the wholesale level. Excess ethanol supply in the market, in particular, puts downward pressure on the price of ethanol. The Company's largest cost of production is corn. The cost of corn is generally impacted by factors such as supply and demand, weather, government policies and programs. The Company's risk management program is used to protect against the price volatility of these commodities. Investment in Commodities Contracts, Derivative Instruments and Hedging Activities The Company’s operations and cash flows are subject to fluctuations due to changes in commodity prices. The Company is subject to market risk with respect to the price and availability of corn, the principal raw material used to produce ethanol and ethanol by-products. Exposure to commodity price risk results from its dependence on corn in the ethanol production process. In general, rising corn prices result in lower profit margins and, therefore, represent unfavorable market conditions. This is especially true when market conditions do not To minimize the risk and the volatility of commodity prices, primarily related to corn and ethanol, the Company uses various derivative instruments, including forward corn, ethanol and distillers grains purchase and sales contracts, over-the-counter and exchange-trade futures and option contracts. When the Company has sufficient working capital available, it enters into derivative contracts to hedge its exposure to price risk related to forecasted corn needs and forward corn purchase contracts. Management has evaluated the Company’s contracts to determine whether the contracts are derivative instruments. Certain contracts that literally meet the definition of a derivative may not The Company applies the normal sale exemption to forward contracts relating to ethanol, distillers grains, and corn oil and therefore these forward contracts are not September 30, 2022 thousand tons of dried distillers grains, 94 thousand tons of wet distillers grains, 4.8 million pounds of corn oil and 2.9 million gallons of 190 Corn purchase contracts are treated as derivative financial instruments. Changes in fair value of forward corn contracts, which are marked to market each period, are included in costs of goods sold. As of September 30, 2022 3 .6 In addition, the Company enters into short-term cash, options and futures contracts as a means of managing exposure to changes in commodity prices. The Company enters into derivative contracts to hedge the exposure to volatile commodity price fluctuations. The Company maintains a risk management strategy that uses derivative instruments to minimize significant, unanticipated earnings fluctuations caused by market volatility. The Company’s specific goal is to protect itself from large moves in commodity costs. All derivatives are designated as non-hedge derivatives and the contracts will be accounted for at fair value. Although the contracts are considered effective economic hedges of specified risks, they are not Derivatives not September 30, 2022 2021 Balance Sheet Classification September 30, 2022 September 30, 2021 in 000's in 000's Futures and option contracts: In gain position $ 4,778 $ 196 In loss position (2,223 ) (1,386 ) Cash held by broker 1,935 2,012 Forward contracts, corn: In gain position 1,921 1,576 In loss position (340 ) (842 ) Net futures, options, and forward contracts $ 6,071 $ 1,556 The net realized and unrealized gains and losses on the Company’s derivative contracts for the years ended September 30, 2022 2021 Statement of Operations Classification September 30, 2022 September 30, 2021 Net realized and unrealized (gains) losses related to: (in 000's) (in 000's) Forward purchase contracts (corn) Cost of Goods Sold $ (6,585 ) $ (8,831 ) Futures and option contracts (corn) Cost of Goods Sold (9,992 ) 4,436 Futures contracts (ethanol) Revenues 5,649 — The presentation of the realized loss on ethanol futures contracts of $5.6 million has been changed as a result of our accounting policy change to present realized and unrealized hedging losses (gains) as a component of revenue rather than cost of goods sold to align with common industry presentation. Inventory Inventory is stated at the lower of average cost or net realizable value. In the valuation of inventories and purchase commitments, net realizable value is defined as estimated selling price in the ordinary course of business less reasonable predictable costs of completion, disposal and transportation. At both September 30, 2022 2021 no Leases In February 2016, 2016 02 2016 02" 2016 02 one 1 2 10 Property and Equipment Property and equipment are stated at cost. Depreciation is computed using the straight-line method over the following estimated useful lives: (in years) Buildings 40 Process Equipment 10 - 20 Office Equipment 3-7 Maintenance and repairs are charged to expense as incurred; major improvements are capitalized. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset group may not no 2022 2021 Income Taxes The Company has elected to be treated as a partnership for federal and state income tax purposes and generally does not no Management has evaluated the Company’s tax positions under the Financial Accounting Standards Board issued guidance on accounting for uncertainty in income taxes and concluded that the Company has taken no

Note 3 - Inventory

Note 3 - Inventory	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Inventory Disclosure [Text Block]	Note 3: Inventory Inventory is comprised of the following at: September 30, 2022 September 30, 2021 (in 000's) (in 000's) Raw Materials - corn $ 9,972 $ 9,275 Supplies and Chemicals 6,343 5,589 Work in Process 3,251 2,762 Finished Goods 8,952 11,051 Total $ 28,518 $ 28,677

Note 4 - Revolving Loan-Credit

Note 4 - Revolving Loan-Credit Agreements	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Debt Disclosure [Text Block]	Note 4: Revolving Loan/Credit Agreements FCSA/CoBank The Company is a party to a credit agreement with Farm Credit Services of America, FLCA ("FCSA"), Farm Credit Services of America, PCA and CoBank, ACB, as cash management provider and agent ("CoBank") which provides the Company with a term loan in the amount of $30.0 million (the "Term Loan") and a revolving term loan in the amount of up to $40.0 million (the "Revolving Term Loan") and a $10 million revolving line of credit (the "Revolving Credit Loan") (collectively, the FCSA Credit Facility"). The FCSA Credit Facility is secured by a security interest on all of the Company's assets. The Term Loan provides for semi-annual payments by the Company to FCSA of $3.75 million with a maturity date of November 15, 2024. one 2021, March 1, 2021, four March 1 September 1, September 1, 2023. November 15, 2024. July 18, 2022, September 30, 2022, The current maturity date of the Revolving Credit Loan is February 1, 2023 September 1, 2027. September 30, 2022 Government Programs On April 14, 2020, 19, January 28, 2021, may eight twenty-four February 15, 2020, February 1, 2020 60% no 40% December 24, 2021, On May 23, 2022, no

Note 5 - Notes Payable

Note 5 - Notes Payable	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Notes Payable [Text Block]	Note 5: Notes payable consists of the following (in 000's September 30, 2022 September 30, 2021 Term loan bearing interest at Daily Simple SOFR plus 3.25 6.24 $ 15,000 $ 22,500 Note payable, PPP Loan bearing interest at 1.00 December of 2021 — 1,063 Note payable, PPP Loan bearing interest at 1.00 December of 2021 — 1,114 Revolving term loan bearing interest at Daily Simple SOFR plus 3.25 6.24 442 34,999 Other with interest rates from 3.50 4.15 2027 563 2,020 16,005 61,696 Less Current Maturities 7,609 10,019 Total Long Term Debt 8,396 51,677 Approximate aggregate maturities of notes payable as of September 30, 2022 000's 2023 $ 7,609 2024 7,612 2025 117 2026 121 2027 546 2028 and thereafter — Total $ 16,005

Note 6 - Fair Value Measurement

Note 6 - Fair Value Measurement	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Fair Value Disclosures [Text Block]	Note 6: Fair Value Measurement Fair value is 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. In determining fair value, the Company used various methods including market, income and cost approaches. Based on these approaches, the Company often utilizes certain assumptions that market participants would use in pricing the asset or liability, including assumptions about risk and/or the risks inherent in the inputs to the valuation technique. These inputs can be readily observable, market corroborated, or generally unobservable inputs. The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs. Based on the observable inputs used in the valuation techniques, the Company is required to provide the following information according to the fair value hierarchy. The fair value hierarchy ranks the quality and reliability of the information used to determine fair values. Financial assets and liabilities carried at fair value will be classified and disclosed in one three Level 1 Level 2 third Level 3 A description of the valuation methodologies used for instruments measured at fair value, including the general classifications of such instruments pursuant to the valuation hierarchy, is set forth below. Derivative financial statements 1 may CME 2 third 2 may The following table summarizes financial instruments measured at fair value on a recurring basis as of September 30, 2022 2021 '000s September 30, 2022 Level 1 Level 2 Level 3 Assets: Derivative financial instruments $ 4,778 $ 1,581 $ — Liabilities: Derivative financial instruments $ (2,223 ) — — September 30, 2021 Level 1 Level 2 Level 3 Assets: Derivative financial instruments $ 196 $ 734 $ — Liabilities: Derivative financial instruments $ (1,386 ) — —

Note 7 - Incentive Compensation

Note 7 - Incentive Compensation	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Share-Based Payment Arrangement [Text Block]	Note 7: Incentive Compensation The Company has an equity incentive plan which provides that the Board of Directors may EAU EPU September 30, 2022 three During the Fiscal 2022 2021 September 30, 2022 2021 three

Note 8 - Major Customers

Note 8 - Major Customers	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Related Party Transactions Disclosure [Text Block]	Note 8: Major Customers The Company is party to the Ethanol Agreement with Bunge for the marketing, selling and distributing of all the denatured ethanol produced by the Company through December 31, 2026. $258.2 million 2022 $223.2 2021 December 31, 2026. 2022 2021

Note 9 - Commitments

Note 9 - Commitments	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Commitments Disclosure [Text Block]	Note 9: The Company has entered into a steam contract with an unrelated party under which the vendor agreed to provide the steam required by the Company, up to 475,000 pounds per hour. The Company agreed to pay a net energy rate for all steam provided under the contract as well as a monthly demand charge. The net energy rate is set for the first three third January 1, 2013, November 30, 2024. September 30, 2022 2021

Note 10 - Lease Obligations

Note 10 - Lease Obligations	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Lessee, Operating Leases [Text Block]	Note 10: Effective October 1, 2019, 2016 02, 842 one A lease exists when a contract conveys to a party the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. The Company recognized a lease liability at the lease commencement date, as the present value of future lease payments, using an estimated rate of interest that the Company would pay to borrow equivalent funds on a collateralized basis. A lease asset is recognized based on the lease liability value and adjusted for any prepaid lease payments, initial direct costs, or lease incentive amounts. The lease term at the commencement date includes any renewal options or termination options when it is reasonably certain that the Company will exercise or not The Company leases rail cars and rail moving equipment with original terms up to 3 years for hopper cars and 4 years for tanker cars from Trinity Leasing and Bunge. During Fiscal 2022 2021, third 2022 2021. 2022 November 1, 2022. 2022 two third September 1, 2022 August 2027. September 30, 2022 2022 2021. The discount rate used in determining the lease liability for each individual lease was the Company's estimated incremental borrowing rate of 6.24% . The operating lease liability, included in current and long term liabilities was $3.2 million as of September 30, 2022 The Company's aggregate minimum rental commitments under non-cancellable operating leases as of September 30, 2022 000's 2023 $ 2,027 2024 405 2025 401 2026 364 2027 and after 309 Total 3,506 Undiscounted future payments 3,506 Discount effect (293 ) Present value $ 3,213

Note 11 -Subsequent Events

Note 11 -Subsequent Events	12 Months Ended
	Sep. 30, 2022
Notes to Financial Statements
Subsequent Events [Text Block]	Note 11: On December 6, 2022, December 23, 2022 December 6, 2022.

Significant Accounting Policies

Significant Accounting Policies (Policies)	12 Months Ended
	Sep. 30, 2022
Accounting Policies [Abstract]
Use of Estimates, Policy [Policy Text Block]	Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates.
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash and Cash Equivalents The Company considers all highly liquid investments purchased with a maturity of three
Concentration Risk, Credit Risk, Policy [Policy Text Block]	Concentration of Credit Risk The Company’s cash balances are maintained in bank deposit accounts which at times may not
Revenue [Policy Text Block]	Revenue Recognition The Company recognizes revenue when a customer obtains control of promised goods or services in an amount that reflects the consideration the entity expects to receive in exchange for those goods or services. In addition, the standard requires disclosure of the nature, amount, timing, and uncertainty of revenue and cash flows arising from the contracts with customers. The Company applies the five The Company sells denatured ethanol pursuant to a marketing agreement. Revenues are recognized when the control has been transferred to the marketing company and the marketing company has taken title to the product, prices are fixed or determinable and collectability is reasonably assured. The Company’s products are generally shipped Free on Board ("FOB") shipping point, and recorded as a sale upon delivery of the applicable bill of lading and transfer of control. The Company’s denatured ethanol sales are handled through an ethanol purchase agreement (the “Ethanol Agreement”) with Bunge North America, Inc. (“Bunge”). The Company markets and distributes all of the syrup, distillers grains, ethanol not “CO2
Accounts Receivable [Policy Text Block]	Accounts Receivable Accounts receivable are recorded at original invoice amounts less an estimate made for doubtful receivables based on a review of all outstanding amounts on a monthly basis. Management determines the allowance for doubtful accounts by regularly evaluating individual customer receivables and considering customers’ financial condition, credit history and current economic conditions. As of September 30, 2022 2021
Concentration Risk Disclosure [Policy Text Block]	Risks and Uncertainties The Company's operating and financial performance is largely driven by the prices at which ethanol is sold and the net expense of corn. The price of ethanol is influenced by factors such as supply and demand, weather, government policies and programs, and unleaded gasoline and the petroleum markets with ethanol selling, in general, for less than gasoline at the wholesale level. Excess ethanol supply in the market, in particular, puts downward pressure on the price of ethanol. The Company's largest cost of production is corn. The cost of corn is generally impacted by factors such as supply and demand, weather, government policies and programs. The Company's risk management program is used to protect against the price volatility of these commodities.
Derivatives, Policy [Policy Text Block]	Investment in Commodities Contracts, Derivative Instruments and Hedging Activities The Company’s operations and cash flows are subject to fluctuations due to changes in commodity prices. The Company is subject to market risk with respect to the price and availability of corn, the principal raw material used to produce ethanol and ethanol by-products. Exposure to commodity price risk results from its dependence on corn in the ethanol production process. In general, rising corn prices result in lower profit margins and, therefore, represent unfavorable market conditions. This is especially true when market conditions do not To minimize the risk and the volatility of commodity prices, primarily related to corn and ethanol, the Company uses various derivative instruments, including forward corn, ethanol and distillers grains purchase and sales contracts, over-the-counter and exchange-trade futures and option contracts. When the Company has sufficient working capital available, it enters into derivative contracts to hedge its exposure to price risk related to forecasted corn needs and forward corn purchase contracts. Management has evaluated the Company’s contracts to determine whether the contracts are derivative instruments. Certain contracts that literally meet the definition of a derivative may not The Company applies the normal sale exemption to forward contracts relating to ethanol, distillers grains, and corn oil and therefore these forward contracts are not September 30, 2022 thousand tons of dried distillers grains, 94 thousand tons of wet distillers grains, 4.8 million pounds of corn oil and 2.9 million gallons of 190 Corn purchase contracts are treated as derivative financial instruments. Changes in fair value of forward corn contracts, which are marked to market each period, are included in costs of goods sold. As of September 30, 2022 3 .6 In addition, the Company enters into short-term cash, options and futures contracts as a means of managing exposure to changes in commodity prices. The Company enters into derivative contracts to hedge the exposure to volatile commodity price fluctuations. The Company maintains a risk management strategy that uses derivative instruments to minimize significant, unanticipated earnings fluctuations caused by market volatility. The Company’s specific goal is to protect itself from large moves in commodity costs. All derivatives are designated as non-hedge derivatives and the contracts will be accounted for at fair value. Although the contracts are considered effective economic hedges of specified risks, they are not Derivatives not September 30, 2022 2021 Balance Sheet Classification September 30, 2022 September 30, 2021 in 000's in 000's Futures and option contracts: In gain position $ 4,778 $ 196 In loss position (2,223 ) (1,386 ) Cash held by broker 1,935 2,012 Forward contracts, corn: In gain position 1,921 1,576 In loss position (340 ) (842 ) Net futures, options, and forward contracts $ 6,071 $ 1,556 The net realized and unrealized gains and losses on the Company’s derivative contracts for the years ended September 30, 2022 2021 Statement of Operations Classification September 30, 2022 September 30, 2021 Net realized and unrealized (gains) losses related to: (in 000's) (in 000's) Forward purchase contracts (corn) Cost of Goods Sold $ (6,585 ) $ (8,831 ) Futures and option contracts (corn) Cost of Goods Sold (9,992 ) 4,436 Futures contracts (ethanol) Revenues 5,649 — The presentation of the realized loss on ethanol futures contracts of $5.6 million has been changed as a result of our accounting policy change to present realized and unrealized hedging losses (gains) as a component of revenue rather than cost of goods sold to align with common industry presentation.
Inventory, Policy [Policy Text Block]	Inventory Inventory is stated at the lower of average cost or net realizable value. In the valuation of inventories and purchase commitments, net realizable value is defined as estimated selling price in the ordinary course of business less reasonable predictable costs of completion, disposal and transportation. At both September 30, 2022 2021 no
Lessee, Leases [Policy Text Block]	Leases In February 2016, 2016 02 2016 02" 2016 02 one 1 2 10
Property, Plant and Equipment, Policy [Policy Text Block]	Property and Equipment Property and equipment are stated at cost. Depreciation is computed using the straight-line method over the following estimated useful lives: (in years) Buildings 40 Process Equipment 10 - 20 Office Equipment 3-7 Maintenance and repairs are charged to expense as incurred; major improvements are capitalized. Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset group may not no 2022 2021
Income Tax, Policy [Policy Text Block]	Income Taxes The Company has elected to be treated as a partnership for federal and state income tax purposes and generally does not no Management has evaluated the Company’s tax positions under the Financial Accounting Standards Board issued guidance on accounting for uncertainty in income taxes and concluded that the Company has taken no

Note 2 - Summary of Significa_2

Note 2 - Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Sep. 30, 2022
Notes Tables
Derivatives Not Designated as Hedging Instruments [Table Text Block]	Balance Sheet Classification September 30, 2022 September 30, 2021 in 000's in 000's Futures and option contracts: In gain position $ 4,778 $ 196 In loss position (2,223 ) (1,386 ) Cash held by broker 1,935 2,012 Forward contracts, corn: In gain position 1,921 1,576 In loss position (340 ) (842 ) Net futures, options, and forward contracts $ 6,071 $ 1,556 Statement of Operations Classification September 30, 2022 September 30, 2021 Net realized and unrealized (gains) losses related to: (in 000's) (in 000's) Forward purchase contracts (corn) Cost of Goods Sold $ (6,585 ) $ (8,831 ) Futures and option contracts (corn) Cost of Goods Sold (9,992 ) 4,436 Futures contracts (ethanol) Revenues 5,649 —
Property, Plant and Equipment [Table Text Block]	(in years) Buildings 40 Process Equipment 10 - 20 Office Equipment 3-7

Note 3 - Inventory (Tables)

Note 3 - Inventory (Tables)	12 Months Ended
	Sep. 30, 2022
Notes Tables
Schedule of Inventory, Current [Table Text Block]	September 30, 2022 September 30, 2021 (in 000's) (in 000's) Raw Materials - corn $ 9,972 $ 9,275 Supplies and Chemicals 6,343 5,589 Work in Process 3,251 2,762 Finished Goods 8,952 11,051 Total $ 28,518 $ 28,677

Note 5 - Notes Payable (Tables)

Note 5 - Notes Payable (Tables)	12 Months Ended
	Sep. 30, 2022
Notes Tables
Schedule of Long-Term Debt Instruments [Table Text Block]	September 30, 2022 September 30, 2021 Term loan bearing interest at Daily Simple SOFR plus 3.25 6.24 $ 15,000 $ 22,500 Note payable, PPP Loan bearing interest at 1.00 December of 2021 — 1,063 Note payable, PPP Loan bearing interest at 1.00 December of 2021 — 1,114 Revolving term loan bearing interest at Daily Simple SOFR plus 3.25 6.24 442 34,999 Other with interest rates from 3.50 4.15 2027 563 2,020 16,005 61,696 Less Current Maturities 7,609 10,019 Total Long Term Debt 8,396 51,677
Schedule of Maturities of Long-Term Debt [Table Text Block]	2023 $ 7,609 2024 7,612 2025 117 2026 121 2027 546 2028 and thereafter — Total $ 16,005

Note 6 - Fair Value Measureme_2

Note 6 - Fair Value Measurement (Tables)	12 Months Ended
	Sep. 30, 2022
Notes Tables
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]	September 30, 2022 Level 1 Level 2 Level 3 Assets: Derivative financial instruments $ 4,778 $ 1,581 $ — Liabilities: Derivative financial instruments $ (2,223 ) — — September 30, 2021 Level 1 Level 2 Level 3 Assets: Derivative financial instruments $ 196 $ 734 $ — Liabilities: Derivative financial instruments $ (1,386 ) — —

Note 10 - Lease Obligations (Ta

Note 10 - Lease Obligations (Tables)	12 Months Ended
	Sep. 30, 2022
Notes Tables
Lessee, Operating Lease, Liability, Maturity [Table Text Block]	2023 $ 2,027 2024 405 2025 401 2026 364 2027 and after 309 Total 3,506 Undiscounted future payments 3,506 Discount effect (293 ) Present value $ 3,213

Note 1 - Nature of Business (De

Note 1 - Nature of Business (Details Textual) - gal gal in Millions	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Production Capacity, Ethanol (Gallon)	147
Production Sold, Ethanol (Gallon)	123.3	127

Note 2 - Summary of Significa_3

Note 2 - Summary of Significant Accounting Policies (Details Textual) bu in Thousands, T in Thousands, $ in Thousands, lb in Millions, gal in Millions	12 Months Ended
	Sep. 30, 2022 USD ($) T lb gal bu	Sep. 30, 2021 USD ($)
Accounts Receivable, Allowance for Credit Loss, Current	$ 206	$ 206
Gain (Loss) on Derivative Instruments Held for Trading Purposes, Net	$ 16,577	4,395
Ethanol [Member]
Supply Commitment, Minimum Volume Required (Gallon) | gal	4.6
Ethanol [Member] | Future [Member]
Gain (Loss) on Derivative Instruments Held for Trading Purposes, Net	$ (5,649)	0
Dried Distillers Grains [Member]
Supply Commitment, Minimum Mass Required (US Ton) | T	58
Wet Distillers Grains [Member]
Supply Commitment, Minimum Mass Required (US Ton) | T	94
Corn Oil [Member]
Supply Commitment, Minimum Mass Required (US Ton) | lb	4.8
Undenatured Ethanol, 190 Proof [Member]
Supply Commitment, Minimum Volume Required (Gallon) | gal	2.9
Corn [Member] | Forward Contracts [Member]
Long-Term Purchase Commitment, Minimum Volume Required (Bushel) | bu	3,600
Long-Term Purchase Commitment, Amount	$ 23,600
Gain (Loss) on Derivative Instruments Held for Trading Purposes, Net	$ 6,585	$ 8,831
Corn [Member] | Basis Contract [Member]
Long-Term Purchase Commitment, Minimum Volume Required (Bushel) | bu	55

Note 2 - Summary of Significa_4

Note 2 - Summary of Significant Accounting Policies - Schedule of Derivatives Not Designated as Hedging Instruments (Details) - USD ($) $ in Thousands	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Net futures, options, and forward contracts	$ 6,071	$ 1,556
Net realized and unrealized (gains) losses	(16,577)	(4,395)
Futures and Option Contracts, Gain Position [Member]
Derivative financial instruments	4,778	196
Futures and Option Contracts in Loss Position [Member]
In loss position	(2,223)	(1,386)
Futures and Option Contracts Cash Held by Due to Broker [Member]
Derivative financial instruments	1,935	2,012
Corn [Member] | Forward Contracts [Member]
Derivative financial instruments	1,921	1,576
In loss position	(340)	(842)
Net realized and unrealized (gains) losses	(6,585)	(8,831)
Corn [Member] | Future And Option Contracts [Member]
Net realized and unrealized (gains) losses	(9,992)	4,436
Ethanol [Member] | Future [Member]
Net realized and unrealized (gains) losses	$ 5,649	$ 0

Note 2 - Summary of Significa_5

Note 2 - Summary of Significant Accounting Policies - Schedule of Property and Equipment (Details)	12 Months Ended
	Sep. 30, 2022
Building [Member]
Property, Plant, and Equipment (Year)	40 years
Process Equipment [Member] | Minimum [Member]
Property, Plant, and Equipment (Year)	10 years
Process Equipment [Member] | Maximum [Member]
Property, Plant, and Equipment (Year)	20 years
Office Equipment [Member] | Minimum [Member]
Property, Plant, and Equipment (Year)	3 years
Office Equipment [Member] | Maximum [Member]
Property, Plant, and Equipment (Year)	7 years

Note 3 - Inventory - Components

Note 3 - Inventory - Components of Inventory (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Raw Materials - corn	$ 9,972	$ 9,275
Supplies and Chemicals	6,343	5,589
Work in Process	3,251	2,762
Finished Goods	8,952	11,051
Total	$ 28,518	$ 28,677

Note 4 - Revolving Loan-Credi_2

Note 4 - Revolving Loan-Credit Agreements (Details Textual) $ in Thousands						1 Months Ended	12 Months Ended
	Jul. 18, 2022 USD ($)	May 23, 2022 USD ($)	Jan. 28, 2021 USD ($)	Apr. 14, 2020 USD ($)	Sep. 30, 2014 USD ($)	Feb. 28, 2021 USD ($)	Sep. 30, 2022 USD ($)	Feb. 26, 2021 USD ($)	Nov. 08, 2019 USD ($)
Paycheck Protection Program CARES Act [Member]
Proceeds from Issuance of Long-Term Debt, Total			$ 1,100	$ 1,100
Other Income		$ 3,100
FSCA and CoBank[Member] | Revolving Term Loan [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]
Debt Instrument, Basis Spread on Variable Rate							3.25%
FSCA and CoBank[Member] | FCSA Credit Facility [Member] | Revolving Term Loan [Member]
Line of Credit Facility, Maximum Borrowing Capacity									$ 40,000
Line of Credit Facility, Remaining Borrowing Capacity							$ 39,600
FSCA and CoBank[Member] | FCSA Credit Facility [Member] | Revolving Credit Facility [Member]
Line of Credit Facility, Maximum Borrowing Capacity								$ 10,000
Long-Term Line of Credit, Total							442
FSCA and CoBank[Member] | Term Loan [Member] | FCSA Credit Facility [Member]
Debt Instrument, Face Amount					$ 30,000
Line of Credit Facility, Maximum Borrowing Capacity	$ 18,750				30,000
Debt Instrument, Periodic Payment, Total					$ 3,750	$ 3,750
Debt Instrument, Number of Principal Payments								1
Debt Instrument, Periodic Payment, Principal						$ 3,750
Debt Instrument, Number of Payments						4
Long-Term Line of Credit, Total							$ 15,000
FLCA, PCA and CoBank [Member] | Second Amended and Restated Term Note [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]
Debt Instrument, Basis Spread on Variable Rate	3.25%

Note 5 - Notes Payable - Compon

Note 5 - Notes Payable - Components of Notes Payable (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Long-term debt	$ 16,005
Less Current Maturities	7,609	$ 10,019
Total Long Term Debt	8,396	51,677
Paycheck Protection Program CARES Act [Member]
Long-term debt		1,063
Other Debt [Member]
Long-term debt	563	2,020
FSCA and CoBank[Member]
Long-term debt	16,005	61,696
FSCA and CoBank[Member] | Revolving Term Loan [Member]
Long-term debt	442	34,999
Term Loan [Member] | FSCA and CoBank[Member]
Long-term debt	15,000	22,500
Paycheck Protection Program CARES Act [Member]
Long-term debt	0
Paycheck Protection Program CARES Act, Phase II [Member]
Long-term debt	$ 0	$ 1,114

Note 5 - Notes Payable - Comp_2

Note 5 - Notes Payable - Components of Notes Payable (Details) (Parentheticals)	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Paycheck Protection Program CARES Act [Member]
Debt Instrument, Interest Rate During Period		1%
Debt Instrument, Maturity Date		Dec. 31, 2021
Other Debt [Member]
Debt Instrument, Maturity Date	Dec. 31, 2027	Dec. 31, 2027
Other Debt [Member] | Minimum [Member]
Debt Instrument, Interest Rate During Period	3.50%	3.50%
Other Debt [Member] | Maximum [Member]
Debt Instrument, Interest Rate During Period	4.15%	4.15%
FSCA and CoBank[Member] | Revolving Term Loan [Member]
Debt Instrument, Interest Rate, Effective Percentage	6.24%
FSCA and CoBank[Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | Revolving Term Loan [Member]
Debt Instrument, Basis Spread on Variable Rate	3.25%
Term Loan [Member] | FSCA and CoBank[Member]
Debt Instrument, Interest Rate, Effective Percentage	6.24%
Term Loan [Member] | FSCA and CoBank[Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member]
Debt Instrument, Basis Spread on Variable Rate	3.25%	3.25%
Paycheck Protection Program CARES Act, Phase II [Member]
Debt Instrument, Interest Rate During Period		1%
Debt Instrument, Maturity Date		Dec. 31, 2021

Note 5 - Notes Payable - Schedu

Note 5 - Notes Payable - Schedule of Notes Payable Maturities (Details) $ in Thousands	Sep. 30, 2022 USD ($)
2023	$ 7,609
2024	7,612
2025	117
2026	121
2027	546
2028 and thereafter	0
Total	$ 16,005

Note 6 - Fair Value Measureme_3

Note 6 - Fair Value Measurement - Schedule of Fair Value, Asset and Liabilities Measured on Recurring Basis (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Sep. 30, 2021
Fair Value, Inputs, Level 1 [Member]
Assets:
Derivative financial instruments	$ 4,778	$ 196
Liabilities:
Derivative financial instruments	(2,223)	(1,386)
Fair Value, Inputs, Level 2 [Member]
Assets:
Derivative financial instruments	1,581	734
Liabilities:
Derivative financial instruments	0	0
Fair Value, Inputs, Level 3 [Member]
Assets:
Derivative financial instruments	0	0
Liabilities:
Derivative financial instruments	$ 0	$ 0

Note 7 - Incentive Compensati_2

Note 7 - Incentive Compensation (Details Textual) - USD ($)	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Share-Based Payment Arrangement, Expense	$ 182,000	$ 189,000
Deferred Compensation Liability, Current, Total	$ 569,000	$ 416,000
Share-based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition (Year)	3 years
Equity Appreciation Units (“EAU”) [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number, Ending Balance (in shares)	0
Equity Participation Units (“EPU”) [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Nonvested, Number, Ending Balance (in shares)	50.7
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period (Year)	3 years

Note 8 - Major Customers (Detai

Note 8 - Major Customers (Details Textual) - Bunge [Member] - USD ($) $ in Millions	12 Months Ended	21 Months Ended
	Sep. 30, 2021	Sep. 30, 2022
Revenue from Related Parties	$ 223.2	$ 258.2
Marketing Expense	$ 1.5	$ 1.5

Note 9 - Commitments (Details T

Note 9 - Commitments (Details Textual) $ in Millions	12 Months Ended
	Sep. 30, 2022 USD ($) lb	Sep. 30, 2021 USD ($)
Purchase Commitment, Minimum Mass Required, Per Hour (Pound) | lb	475,000
Purchase Commitment, Expenses Incurred | $	$ 0.1	$ 0.1

Note 10 - Lease Obligations (De

Note 10 - Lease Obligations (Details Textual) $ in Thousands	12 Months Ended
	Sep. 30, 2022 USD ($)	Sep. 30, 2021 USD ($)	Sep. 01, 2022	Jul. 17, 2020
Sublease Income	$ 100	$ 100
Operating Lease, Weighted Average Remaining Lease Term (Year)	2 years 3 months 18 days
Lease, Cost, Total	$ 4,500	$ 3,500
Lessee, Operating Lease, Discount Rate	6.24%
Operating Lease, Liability, Total	$ 3,213
Hopper Cars [Member]
Lessee, Operating Lease, Term of Contract (Year)				3 years
Tanker Cars [Member]
Lessee, Operating Lease, Term of Contract (Year)				4 years
Hopper Cars Subleased to Two Unrelated Third Parties [Member]
Property Subject to or Available for Operating Lease, Number of Units			35

Note 10 - Lease Obligations - A

Note 10 - Lease Obligations - Aggregate Minimum Rental Commitments (Details) $ in Thousands	Sep. 30, 2022 USD ($)
2023	$ 2,027
2024	405
2025	401
2026	364
2027 and after	309
Total	3,506
Undiscounted future payments	3,506
Discount effect	(293)
Present value	$ 3,213

Note 11 -Subsequent Events (Det

Note 11 -Subsequent Events (Details Textual) - Subsequent Event [Member] $ / shares in Units, $ in Millions	Dec. 06, 2022 USD ($) $ / shares
Distribution Made to Limited Partner, Unit Distribution, Dilution Per Unit (in dollars per share) | $ / shares	$ 2,500
Distribution Made to Limited Partner, Cash Distributions Declared | $	$ 22.4