Cover page
Cover page - shares | 9 Months Ended | |
Sep. 30, 2021 | Oct. 22, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2021 | |
Document Transition Report | false | |
Entity File Number | 000-20557 | |
Entity Registrant Name | ANDERSONS, INC. | |
Entity Incorporation, State or Country Code | OH | |
Entity Tax Identification Number | 34-1562374 | |
Entity Address, Address Line One | 1947 Briarfield Boulevard | |
Entity Address, City or Town | Maumee | |
Entity Address, State or Province | OH | |
Entity Address, Postal Zip Code | 43537 | |
City Area Code | 419 | |
Local Phone Number | 893-5050 | |
Title of 12(b) Security | Common stock, $0.00 par value, $0.01 stated value | |
Trading Symbol | ANDE | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 33,286,202 | |
Entity Central Index Key | 0000821026 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --12-31 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 |
Current assets: | |||
Cash and cash equivalents | $ 216,874 | $ 29,123 | $ 13,693 |
Accounts receivable, net | 735,349 | 641,326 | 509,964 |
Inventories | 1,017,804 | 1,293,066 | 747,588 |
Commodity derivative assets – current | 409,647 | 320,706 | 140,065 |
Current assets held-for-sale | 26,561 | 32,659 | 45,132 |
Other current assets | 92,159 | 99,529 | 83,807 |
Total current assets | 2,498,394 | 2,416,409 | 1,540,249 |
Other assets: | |||
Goodwill | 129,342 | 131,542 | 131,542 |
Other intangible assets, net | 118,690 | 140,084 | 148,846 |
Right of use assets, net | 50,270 | 33,387 | 33,547 |
Other assets held-for-sale (Note 14) | 38,863 | 643,474 | 642,538 |
Other assets, net | 74,923 | 46,914 | 44,738 |
Total other assets | 412,088 | 995,401 | 1,001,211 |
Property, plant and equipment, net | 797,660 | 860,311 | 870,151 |
Total assets | 3,708,142 | 4,272,121 | 3,411,611 |
Current liabilities: | |||
Short-term debt | 281,199 | 403,703 | 100,405 |
Trade and other payables | 825,923 | 954,809 | 635,206 |
Customer prepayments and deferred revenue | 147,225 | 178,226 | 47,906 |
Commodity derivative liabilities – current | 78,702 | 146,990 | 79,159 |
Current maturities of long-term debt | 106,255 | 69,366 | 62,499 |
Accrued taxes | 97,215 | 17,465 | 15,178 |
Current liabilities held-for-sale (Note 14) | 13,427 | 25,277 | 27,996 |
Accrued expenses and other current liabilities | 173,215 | 135,846 | 128,187 |
Total current liabilities | 1,723,161 | 1,931,682 | 1,096,536 |
Long-term lease liabilities | 31,332 | 19,835 | 19,216 |
Long-term debt, less current maturities | 542,821 | 886,453 | 717,198 |
Deferred income taxes | 79,636 | 170,147 | 163,454 |
Non-current liabilities held-for-sale | 13,592 | 48,096 | 221,334 |
Other long-term liabilities | 81,587 | 55,248 | 56,646 |
Total liabilities | 2,472,129 | 3,111,461 | 2,274,384 |
Commitments and contingencies | |||
Shareholders’ equity: | |||
Common shares, without par value (63,000 shares authorized; 33,786, 33,599 and 33,599 shares issued at 9/30/2021, 12/31/2020 and 9/30/2020, respectively) | 140 | 138 | 138 |
Preferred shares, without par value (1,000 shares authorized; none issued) | 0 | 0 | 0 |
Additional paid-in-capital | 360,159 | 348,714 | 346,280 |
Treasury shares, at cost (110, 45 and 41 shares at 9/30/2021, 12/31/2020 and 9/30/2020, respectively) | (2,611) | (966) | (879) |
Accumulated other comprehensive loss | (3,406) | (12,076) | (22,230) |
Retained earnings | 679,154 | 626,081 | 615,890 |
Total shareholders’ equity of The Andersons, Inc. | 1,033,436 | 961,891 | 939,199 |
Noncontrolling interests | 202,577 | 198,769 | 198,028 |
Total equity | 1,236,013 | 1,160,660 | 1,137,227 |
Total liabilities and equity | $ 3,708,142 | $ 4,272,121 | $ 3,411,611 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - shares | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 |
Statement of Financial Position [Abstract] | |||
Common shares, shares authorized (shares) | 63,000,000 | 63,000,000 | 63,000,000 |
Common shares, shares issued (shares) | 33,786,000 | 33,599,000 | 33,599,000 |
Preferred shares, shares authorized (shares) | 1,000,000 | 1,000,000 | 1,000,000 |
Preferred shares, shares issued (shares) | 0 | 0 | 0 |
Treasury shares, at cost (shares) | 110,000 | 45,000 | 41,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Statement [Abstract] | ||||
Revenues from external customers | $ 2,998,824 | $ 1,885,586 | $ 8,829,348 | $ 5,556,317 |
Cost of sales and merchandising revenues | 2,876,989 | 1,792,349 | 8,430,665 | 5,314,101 |
Gross profit | 121,835 | 93,237 | 398,683 | 242,216 |
Operating, administrative and general expenses | 110,275 | 92,610 | 312,833 | 277,363 |
Interest expense, net | 8,799 | 6,853 | 28,848 | 25,951 |
Other income, net: | ||||
Equity in earnings (losses) of affiliates, net | (250) | 20 | 2,389 | 228 |
Other income, net | 13,806 | 3,846 | 24,743 | 10,154 |
Income (loss) before income taxes from continuing operations | 16,317 | (2,360) | 84,134 | (50,716) |
Income tax provision (benefit) from continuing operations | 4,027 | (4,148) | 18,065 | (18,628) |
Net income (loss) from continuing operations | 12,290 | 1,788 | 66,069 | (32,088) |
Income from discontinued operations, net of income taxes | 1,846 | 427 | 7,453 | 3,224 |
Net income (loss) | 14,136 | 2,215 | 73,522 | (28,864) |
Net income (loss) attributable to noncontrolling interests | (1,602) | 3,273 | (822) | (20,583) |
Net income (loss) attributable to The Andersons, Inc. | $ 15,738 | $ (1,058) | $ 74,344 | $ (8,281) |
Basic earnings (loss): | ||||
Continuing operations (in dollars per share) | $ 0.42 | $ (0.04) | $ 2.01 | $ (0.35) |
Discontinued operations (in dollars per share) | 0.06 | 0.01 | 0.22 | 0.10 |
Earnings per common share - basic (dollars per share) | 0.48 | (0.03) | 2.23 | (0.25) |
Diluted earnings (loss): | ||||
Continuing operations (in dollars per share) | 0.41 | (0.04) | 1.99 | (0.35) |
Discontinued operations (in dollars per share) | 0.05 | 0.01 | 0.22 | 0.10 |
Earnings per common share - diluted (dollars per share) | $ 0.46 | $ (0.03) | $ 2.21 | $ (0.25) |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 14,136 | $ 2,215 | $ 73,522 | $ (28,864) |
Other comprehensive income (loss), net of tax: | ||||
Change in unrecognized actuarial loss and prior service cost | (102) | (119) | (439) | (220) |
Foreign currency translation adjustments | (3,004) | 2,351 | (311) | (1,039) |
Cash flow hedge activity | 1,537 | 1,783 | 9,420 | (13,740) |
Other comprehensive income (loss) | (1,569) | 4,015 | 8,670 | (14,999) |
Comprehensive income (loss) | 12,567 | 6,230 | 82,192 | (43,863) |
Comprehensive income (loss) attributable to the noncontrolling interests | (1,602) | 3,273 | (822) | (20,583) |
Comprehensive income (loss) attributable to The Andersons, Inc. | $ 14,169 | $ 2,957 | $ 83,014 | $ (23,280) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2021 | Sep. 30, 2020 | |
Operating activities | ||
Net income (loss) from continuing operations | $ 66,069 | $ (32,088) |
Income from discontinued operations, net of income taxes | 7,453 | 3,224 |
Net income (loss) | 73,522 | (28,864) |
Adjustments to reconcile net income (loss) to cash (used in) provided by operating activities: | ||
Depreciation and amortization | 142,137 | 141,167 |
Bad debt (recovery) expense, net | (2,182) | 8,049 |
Equity in earnings of affiliates, net of dividends | (2,389) | (228) |
Gain on sale of business from continuing operations | (14,619) | 0 |
Loss on sale of business from discontinued operations | 1,491 | 0 |
Gain on sales of assets, net | (6,505) | (1,037) |
Stock-based compensation expense | 6,727 | 7,742 |
Deferred federal income tax | (93,725) | 21,917 |
Inventory write down | 3,399 | 10,933 |
Other | 7,005 | 4,141 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (89,902) | (1,952) |
Inventories | 266,865 | 400,262 |
Commodity derivatives | (158,741) | (2,574) |
Other assets | (3,357) | (34,343) |
Payables and other accrued expenses | (10,659) | (329,422) |
Net cash provided by operating activities | 119,067 | 195,791 |
Investing Activities | ||
Purchases of property, plant and equipment and capitalized software | (52,730) | (59,414) |
Proceeds from sale of assets | 3,999 | 8,121 |
Purchases of investments | (5,993) | (2,849) |
Proceeds from sale of business from continuing operations | 18,130 | 2,467 |
Proceeds from sale of business from discontinued operations | 543,102 | 0 |
Purchases of Rail assets | (6,039) | (26,258) |
Proceeds from sale of Rail assets | 18,705 | 7,774 |
Other | 349 | 0 |
Net cash provided by (used in) investing activities | 519,523 | (70,159) |
Financing Activities | ||
Net payments under lines of credit | (324,279) | (44,183) |
Proceeds from issuance of short-term debt | 608,250 | 0 |
Payments of short-term debt | (408,250) | 0 |
Proceeds from issuance of long-term debt | 186,800 | 213,906 |
Payments of long-term debt | (485,527) | (310,694) |
Contributions from noncontrolling interest owner | 4,655 | 6,493 |
Distributions to noncontrolling interest owner | (25) | (10,322) |
Payments of debt issuance costs | (2,059) | (250) |
Dividends paid | (17,503) | (17,234) |
Other | (12,709) | (4,143) |
Net cash used in financing activities | (450,647) | (166,427) |
Effect of exchange rates on cash and cash equivalents | (192) | (407) |
Increase (decrease) in cash and cash equivalents | 187,751 | (41,202) |
Cash and cash equivalents at beginning of period | 29,123 | 54,895 |
Cash and cash equivalents at end of period | $ 216,874 | $ 13,693 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Common Shares | Additional Paid-in Capital | Treasury Shares | Accumulated Other Comprehensive Income (Loss) | Retained Earnings | Noncontrolling Interests |
Beginning Balance at Dec. 31, 2019 | $ 1,195,655 | $ 137 | $ 345,359 | $ (7,342) | $ (7,231) | $ 642,687 | $ 222,045 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income (loss) | (28,864) | (8,281) | (20,583) | ||||
Other comprehensive loss | (19,340) | (19,340) | |||||
Amounts reclassified from accumulated other comprehensive income | 4,341 | 4,341 | |||||
Contributions from noncontrolling interests | 6,493 | 6,493 | |||||
Distributions to noncontrolling interests | (10,322) | (10,322) | |||||
Noncontrolling interests recognized in connection with business combination | (64) | (459) | 395 | ||||
Stock awards, stock option exercises and other shares issued to employees and directors, net of income tax | 6,610 | 1 | 1,380 | 6,072 | (843) | ||
Dividends declared per common share | (17,282) | (17,282) | |||||
Restricted share award dividend equivalents | 0 | 391 | (391) | ||||
Ending Balance at Sep. 30, 2020 | $ 1,137,227 | 138 | 346,280 | (879) | (22,230) | 615,890 | 198,028 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Common Stock, Dividends, Per Share, Declared | $ 0.525 | ||||||
Beginning Balance at Jun. 30, 2020 | $ 1,132,083 | 138 | 343,730 | (953) | (26,245) | 622,718 | 192,695 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income (loss) | 2,215 | (1,058) | 3,273 | ||||
Other comprehensive loss | 1,868 | 1,868 | |||||
Amounts reclassified from accumulated other comprehensive income | 2,147 | 2,147 | |||||
Contributions from noncontrolling interests | 2,083 | 2,083 | |||||
Distributions to noncontrolling interests | (23) | (23) | |||||
Stock awards, stock option exercises and other shares issued to employees and directors, net of income tax | 2,624 | 2,550 | 74 | ||||
Dividends declared per common share | (5,770) | (5,770) | |||||
Ending Balance at Sep. 30, 2020 | $ 1,137,227 | 138 | 346,280 | (879) | (22,230) | 615,890 | 198,028 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Common Stock, Dividends, Per Share, Declared | $ 0.175 | ||||||
Beginning Balance at Dec. 31, 2020 | $ 1,160,660 | 138 | 348,714 | (966) | (12,076) | 626,081 | 198,769 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income (loss) | 73,522 | 74,344 | (822) | ||||
Other comprehensive loss | 4,230 | 4,230 | |||||
Amounts reclassified from accumulated other comprehensive income | 4,440 | 4,440 | |||||
Contributions from noncontrolling interests | 4,655 | 4,655 | |||||
Distributions to noncontrolling interests | (25) | (25) | |||||
Stock awards, stock option exercises and other shares issued to employees and directors, net of income tax | 5,991 | 2 | 11,445 | (1,977) | (3,479) | ||
Dividends declared per common share | (17,460) | (17,460) | |||||
Restricted share award dividend equivalents | 0 | 332 | (332) | ||||
Ending Balance at Sep. 30, 2021 | $ 1,236,013 | 140 | 360,159 | (2,611) | (3,406) | 679,154 | 202,577 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Common Stock, Dividends, Per Share, Declared | $ 0.525 | ||||||
Beginning Balance at Jun. 30, 2021 | $ 1,224,964 | 140 | 357,606 | (2,650) | (1,837) | 669,241 | 202,464 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income (loss) | 14,136 | 15,738 | (1,602) | ||||
Other comprehensive loss | (3,081) | (3,081) | |||||
Amounts reclassified from accumulated other comprehensive income | 1,512 | 1,512 | |||||
Contributions from noncontrolling interests | 1,715 | 1,715 | |||||
Stock awards, stock option exercises and other shares issued to employees and directors, net of income tax | 2,592 | 2,553 | 39 | ||||
Dividends declared per common share | (5,825) | (5,825) | |||||
Ending Balance at Sep. 30, 2021 | $ 1,236,013 | $ 140 | $ 360,159 | $ (2,611) | $ (3,406) | $ 679,154 | $ 202,577 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Common Stock, Dividends, Per Share, Declared | $ 0.175 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Equity (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Statement of Stockholders' Equity [Abstract] | ||||
Stock awards, stock option exercises and other shares issued to employees and directors, tax | $ 0 | $ 0 | $ 0 | $ 0 |
Number Of Common Shares Issued For Cash | 2 | 0 | 65 | 167 |
Dividends declared, per common share (in dollars per share) | $ 0.175 | $ 0.175 | $ 0.525 | $ 0.525 |
Basis of Presentation and Conso
Basis of Presentation and Consolidation | 9 Months Ended |
Sep. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Consolidation | Basis of Presentation and Consolidation These Condensed Consolidated Financial Statements include the accounts of The Andersons, Inc. and its wholly owned and controlled subsidiaries (the “Company”). Controlled subsidiaries include majority-owned subsidiaries and variable interest entities (“VIEs”) of which the Company is the primary beneficiary. The portion of these entities that is not owned by the Company is presented as noncontrolling interests. All intercompany accounts and transactions are eliminated in consolidation. Investments in unconsolidated entities in which the Company has significant influence, but not control, are accounted for using the equity method of accounting. During the third quarter of 2021, substantially all of the assets and liabilities of the Rail business were classified as held-for-sale in the accompanying Condensed Consolidated Balance Sheets. As discussed further in Note 14, the Company executed a definitive agreement to sell the Rail Leasing business. In conjunction with the sale of the Rail Leasing business, the Company announced its intent to divest the remainder of the Rail business, primarily consistent of the Rail Repair business. These transactions effectively constitute the entirety of what has historically been included in the Rail reportable segment. Therefore, the associated operating results, net of income tax, have been classified as discontinued operations in the accompanying consolidated statements of operations for all periods presented. Throughout this Quarterly Report on Form 10-Q, with the exception of the statements of cash flows and unless otherwise indicated, amounts and activity are presented on a continuing operations basis. Certain reclassifications have been made to the prior year financial statements to conform to current year classifications. The reclassification relates to the Condensed Consolidated Balance Sheet presentation of assets and liabilities as held for sale and Condensed Consolidated Statement of Operations presentation of results classified as discontinued operations in relation to the Rail business transactions noted above. In the opinion of management, all adjustments consisting of normal and recurring items considered necessary for the fair presentation of the results of operations, financial position, and cash flows for the periods indicated have been made. The results in these Condensed Consolidated Financial Statements are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2021. An unaudited Condensed Consolidated Balance Sheet as of September 30, 2020 has been included as the Company operates in several seasonal industries. The Condensed Consolidated Balance Sheet data at December 31, 2020 was derived from the audited Consolidated Financial Statements but does not include all disclosures required by accounting principles generally accepted in the United States of America. The accompanying unaudited Condensed Consolidated Financial Statements should be read in conjunction with the Consolidated Financial Statements and notes thereto included in The Andersons, Inc. Annual Report on Form 10-K for the year ended December 31, 2020 (the “2020 Form 10-K”). Recently Adopted Accounting Pronouncements Simplified Accounting for Income Taxes |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2021 | |
Inventory, Net [Abstract] | |
Inventories | Inventories Major classes of inventories are presented below. Readily Marketable Inventories ("RMI") are agricultural commodity inventories such as corn, soybeans, wheat, and ethanol co-products, among others, carried at net realizable value which approximates fair value based on their commodity characteristics, widely available markets, and pricing mechanisms. The net realizable value of RMI is calculated as the fair value (spot price of the commodity in an exchange), less cost of disposal and transportation based on the local market. All other inventories are held at lower of cost or net realizable value. (in thousands) September 30, December 31, September 30, Grain and other agricultural products (a) $ 732,512 $ 1,025,809 $ 557,808 Frac sand and propane (a) 18,481 12,477 10,064 Ethanol and co-products (a) 105,052 114,895 59,543 Plant nutrients and cob products 161,759 139,885 120,173 Total Inventories $ 1,017,804 $ 1,293,066 $ 747,588 (a) Includes RMI of $700.3 million , $983.2 million and $523.3 million at September 30, 2021, December 31, 2020 and September 30, 2020, respectively. Inventories do not include 2.0 million , 3.0 million and 2.3 million bushels of grain held in storage for others as of September 30, 2021, December 31, 2020 and September 30, 2020, respectively. The Company does not have title to the grain and is only liable for any deficiencies in grade or shortage of quantity that may arise during the storage period. Management has not experienced historical losses on any deficiencies and does not anticipate material losses in the future. |
Property, Plant and Equipment
Property, Plant and Equipment | 9 Months Ended |
Sep. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, Plant and Equipment The components of Property, plant and equipment, net are as follows: (in thousands) September 30, December 31, September 30, Land $ 39,159 $ 39,704 $ 39,705 Land improvements and leasehold improvements 89,941 92,455 92,138 Buildings and storage facilities 368,678 379,195 375,715 Machinery and equipment 920,232 898,557 881,617 Construction in progress 24,556 19,473 20,936 1,442,566 1,429,384 1,410,111 Less: accumulated depreciation 644,906 569,073 539,960 Property, plant and equipment, net $ 797,660 $ 860,311 $ 870,151 Depreciation expense on property, plant and equipment used in continuing operations was $97.7 million and $91.4 million for the nine months ended September 30, 2021 and 2020, respectively. Additionally, depreciation expense on property, plant and equipment used in continuing operations was $35.2 million and $30.8 million for the three months ended September 30, 2021 and 2020, respectively. During the quarter ended September 30, 2021, the Company sold its grain assets in Champaign, Illinois plus working capital for $23.3 million which resulted in a $14.6 million gain. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2021 | |
Debt Disclosure [Abstract] | |
Debt | Debt Short-term and long-term debt at September 30, 2021, December 31, 2020 and September 30, 2020 consisted of the following: (in thousands) September 30, December 31, September 30, Short-term debt – non-recourse $ 81,494 $ 93,192 $ 40,985 Short-term debt – recourse 199,705 310,511 59,420 Total short-term debt $ 281,199 $ 403,703 $ 100,405 Current maturities of long-term debt – non-recourse $ 69,932 $ 678 $ 211 Current maturities of long-term debt – recourse 36,323 68,688 62,288 Total current maturities of long-term debt $ 106,255 $ 69,366 $ 62,499 Long-term debt, less: current maturities – non-recourse $ — $ 127,192 $ 89,419 Long-term debt, less: current maturities – recourse 542,821 759,261 627,779 Total long-term debt, less: current maturities $ 542,821 $ 886,453 $ 717,198 On February 4, 2021, the Company completed the second amendment to its credit agreement dated January 11, 2019. The amendment, which replaced an underwritten bridge loan received on January 21, 2021, provided for a short-term $250 million term note in which the entire stated principal is due on December 31, 2021. The entire principal balance was repaid as of September 30, 2021. On May 6, 2021, the Company completed the third amendment to its credit agreement dated January 11, 2019. The amendment provides for a short-term note of approximately $358 million in which the entire stated principal is due on March 31, 2022. The term note will bear interest at variable rates, which are based on LIBOR plus an applicable spread. As of September 30, 2021 $200 million of principal remains outstanding. The total borrowing capacity of the Company's lines of credit at September 30, 2021 was $1,297.5 million of which the Company had a total of $1,169.9 million available for borrowing under its lines of credit. The Company's borrowing capacity is reduced by a combination of outstanding borrowings and letters of credit. As of September 30, 2021, December 31, 2020 and September 30, 2020, the estimated fair value of long-term debt, including the current portion, was $667.9 million, $1,003.1 million and $831.3 million, respectively. The Company estimates the fair value of its long-term debt based upon the Company’s credit standing and current interest rates offered to the Company on similar bonds and rates currently available to the Company for long-term borrowings with similar terms and remaining maturities. As part of the Company's ongoing covenant monitoring process, the Company determined that it was virtually certain that ELEMENT will be out of compliance with its debt service coverage ratio covenant of no less than 1.4 to be initially measured on December 31, 2021. If ELEMENT is not in compliance with the debt service coverage ratio at December 31, 2021, it would result in an event of default, which if not cured or waived, could result in the lender accelerating the maturity of the ELEMENT’s indebtedness or preventing access to additional funds under the line of credit agreement, or requiring prepayment of outstanding indebtedness under the loan agreement or the line of credit agreement. Because it was determined that it was virtually certain that ELEMENT would violate this covenant in the future and has not yet received a waiver, the $70 million of non-recourse debt associated with ELEMENT has been classified as current maturity of long-term debt. |
Derivatives
Derivatives | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives The Company’s operating results are affected by changes to commodity prices. The Trade and Ethanol businesses have established “unhedged” futures position limits (the amount of a commodity, either owned or contracted for, that does not have an offsetting derivative contract). To reduce the exposure to market price risk on commodities owned and forward purchase and sale contracts, the Company enters into exchange traded commodity futures and options contracts and over-the-counter forward and option contracts with various counterparties. These contracts are primarily traded via regulated commodity exchanges. The Company’s forward purchase and sales contracts are for physical delivery of the commodity in a future period. Contracts to purchase commodities from producers generally relate to the current or future crop years for delivery periods quoted by regulated commodity exchanges. Most contracts for the sale of commodities to processors or other commercial consumers generally do not extend beyond one year. Most of these contracts meet the definition of derivatives. While the Company considers its commodity contracts to be effective economic hedges, the Company does not designate or account for its commodity contracts as hedges as defined under current accounting standards. The Company primarily accounts for its commodity derivatives at estimated fair value. The estimated fair value of the commodity derivative contracts that require the receipt or posting of cash collateral is recorded on a net basis (offset against cash collateral posted or received, also known as margin deposits) within commodity derivative assets or liabilities. Management determines fair value based on exchange-quoted prices and in the case of its forward purchase and sale contracts, estimated fair value is adjusted for differences in local markets and non-performance risk. For contracts for which physical delivery occurs, balance sheet classification is based on estimated delivery date. For futures, options and over-the-counter contracts in which physical delivery is not expected to occur but, rather, the contract is expected to be net settled, the Company classifies these contracts as current or noncurrent assets or liabilities, as appropriate, based on the Company’s expectations as to when such contracts will be settled. Realized and unrealized gains and losses in the value of commodity contracts (whether due to changes in commodity prices, changes in performance or credit risk, or due to sale, maturity or extinguishment of the commodity contract) and commodity inventories are included in cost of sales and merchandising revenues. Generally accepted accounting principles permit a party to a master netting arrangement to offset fair value amounts recognized for derivative instruments against the right to reclaim cash collateral or obligation to return cash collateral under the same master netting arrangement. The Company has master netting arrangements for its exchange traded futures and options contracts and certain over-the-counter contracts. When the Company enters into a future, option or an over-the-counter contract, an initial margin deposit may be required by the counterparty. The amount of the margin deposit varies by commodity. If the market price of a future, option or an over-the-counter contract moves in a direction that is adverse to the Company’s position, an additional margin deposit, called a maintenance margin, is required. The margin deposit assets and liabilities are included in short-term commodity derivative assets or liabilities, as appropriate, in the Condensed Consolidated Balance Sheets. The following table presents at September 30, 2021, December 31, 2020 and September 30, 2020, a summary of the estimated fair value of the Company’s commodity derivative instruments that require cash collateral and the associated cash posted/received as collateral. The net asset or liability positions of these derivatives (net of their cash collateral) are determined on a counterparty-by-counterparty basis and are included within current or non-current commodity derivative assets (or liabilities) on the Condensed Consolidated Balance Sheets: (in thousands) September 30, 2021 December 31, 2020 September 30, 2020 Cash collateral paid $ 136,977 $ 208,670 $ 70,446 Fair value of derivatives (14,100) (157,301) (58,495) Net derivative asset position $ 122,877 $ 51,369 $ 11,951 The following table presents, on a gross basis, current and non-current commodity derivative assets and liabilities: September 30, 2021 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 380,391 $ 11,704 $ 27,035 $ 461 $ 419,591 Commodity derivative liabilities (107,721) (370) (105,737) (7,645) (221,473) Cash collateral paid 136,977 — — — 136,977 Balance sheet line item totals $ 409,647 $ 11,334 $ (78,702) $ (7,184) $ 335,095 December 31, 2020 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 304,533 $ 4,328 $ 19,386 $ 14 $ 328,261 Commodity derivative liabilities (192,023) (348) (166,850) (243) (359,464) Cash collateral paid 208,196 — 474 — 208,670 Balance sheet line item totals $ 320,706 $ 3,980 $ (146,990) $ (229) $ 177,467 September 30, 2020 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 159,553 $ 3,565 $ 7,323 $ 42 $ 170,483 Commodity derivative liabilities (89,933) (508) (86,482) (490) (177,413) Cash collateral paid 70,446 — — — 70,446 Balance sheet line item totals $ 140,066 $ 3,057 $ (79,159) $ (448) $ 63,516 The net pre-tax gains and losses on commodity derivatives not designated as hedging instruments are included in the Company’s Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2021 and 2020 are as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Gains (losses) on commodity derivatives included in cost of sales and merchandising revenues $ (11,353) $ (52,047) $ 229,320 $ (12,290) The Company had the following volume of commodity derivative contracts outstanding (on a gross basis) at September 30, 2021, December 31, 2020 and September 30, 2020: September 30, 2021 (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 687,177 — — — Soybeans 96,061 — — — Wheat 94,132 — — — Oats 35,460 — — — Ethanol — 174,381 — — Corn oil — — 92,709 — Soybean Oil — — 41,322 — Other 31,086 2,264 1,959 2,324 Subtotal 943,916 176,645 135,990 2,324 Exchange traded: Corn 236,395 — — — Soybeans 60,660 — — — Wheat 101,087 — — — Oats 1,290 — — — Ethanol — 96,894 — — Propane — 24,402 — — Other — 8 1,890 240 Subtotal 399,432 121,304 1,890 240 Total 1,343,348 297,949 137,880 2,564 December 31, 2020 (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 684,654 — — — Soybeans 73,521 — — — Wheat 109,661 — — — Oats 27,482 — — — Ethanol — 124,795 — — Corn oil — — 36,015 — Soybean oil — — 26,510 — Other 4,371 2,058 740 1,859 Subtotal 899,689 126,853 63,265 1,859 Exchange traded: Corn 267,792 — — — Soybeans 53,730 — — — Wheat 80,733 — — — Oats 1,800 — — — Ethanol — 73,584 — — Propane — 17,094 — — Other — 2,898 14 149 Subtotal 404,055 93,576 14 149 Total 1,303,744 220,429 63,279 2,008 September 30, 2020 (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 527,924 — — — Soybeans 121,248 — — — Wheat 80,546 — — — Oats 40,004 — — — Ethanol — 96,470 — — Corn oil — — 45,144 — Soybean oil — — 17,262 — Other 42,235 3,655 350 2,237 Subtotal 811,957 100,125 62,756 2,237 Exchange traded: Corn 250,445 — — — Soybeans 62,785 — — — Wheat 108,805 — — — Oats 715 — — — Ethanol — 19,488 — — Propane — 31,962 — — Other — 7,140 16 183 Subtotal 422,750 58,590 16 183 Total 1,234,707 158,715 62,772 2,420 Interest Rate and Other Derivatives The Company’s objectives for using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish these objectives, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. The gains or losses on the derivatives designated as hedging instruments are recorded in Other Comprehensive Income (Loss) and subsequently reclassified into interest expense in the same periods during which the hedged transaction affects earnings. Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. At September 30, 2021, December 31, 2020 and September 30, 2020, the Company had recorded the following amounts for the fair value of the Company's other derivatives: (in thousands) September 30, 2021 December 31, 2020 September 30, 2020 Derivatives not designated as hedging instruments Interest rate contracts included in Accrued expenses and other current liabilities $ — $ (589) $ (879) Interest rate contracts included in Other long-term liabilities (258) (430) (491) Foreign currency contracts included in Other assets 491 2,753 326 Derivatives designated as hedging instruments Interest rate contracts included in Other assets $ 4,431 $ 164 $ — Interest rate contracts included in Accrued expenses and other current liabilities (6,892) (6,664) (8,431) Interest rate contracts included in Other long-term liabilities (9,146) (18,539) (22,409) The recording of derivatives gains and losses and the financial statement line in which they are located are as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Derivatives not designated as hedging instruments Interest rate derivative gains (losses) included in Interest income (expense), net $ 51 $ 357 $ 760 $ (363) Derivatives designated as hedging instruments Interest rate derivative losses included in Other comprehensive income (loss) $ (2,044) $ 2,373 $ (12,520) $ (18,284) Interest rate derivatives losses included in Interest income (expense), net (1,746) (2,345) (5,020) (5,045) Outstanding interest rate derivatives, as of September 30, 2021, are as follows: Interest Rate Hedging Instrument Year Entered Year of Maturity Initial Notional Amount Description Interest Rate Long-term Swap 2014 2023 $ 23.0 Interest rate component of debt - not accounted for as a hedge 1.9% Swap 2017 2022 $ 20.0 Interest rate component of debt - accounted for as a hedge 1.8% Swap 2018 2023 $ 10.0 Interest rate component of debt - accounted for as a hedge 2.6% Swap 2018 2025 $ 20.0 Interest rate component of debt - accounted for as a hedge 2.7% Swap 2019 2025 $ 100.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2025 $ 50.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2025 $ 50.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2020 2030 $ 50.0 Interest rate component of debt - accounted for as a hedge 0.0% to 0.8% Swap 2020 2030 $ 50.0 Interest rate component of debt - accounted for as a hedge 0.0% to 0.8% |
Revenue
Revenue | 9 Months Ended |
Sep. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue Many of the Company’s revenues are generated from contracts that are outside the scope of Accounting Standard Codification ("ASC") 606 and thus are accounted for under other accounting standards. Specifically, many of the Company's Trade and Ethanol sales contracts are derivatives under ASC 815, Derivatives and Hedging and the Rail leasing revenue is accounted for under ASC 842, Leases . The breakdown of revenues between ASC 606 and other standards are as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Revenues under ASC 606 $ 457,621 $ 282,258 $ 1,568,529 $ 1,066,620 Revenues under ASC 815 2,541,203 1,603,328 7,260,819 4,489,697 Total revenues $ 2,998,824 $ 1,885,586 $ 8,829,348 $ 5,556,317 The remainder of this note applies only to those revenues that are accounted for under ASC 606. Disaggregation of revenue The following tables disaggregate revenues under ASC 606 by major product/service line for the three and nine months ended September 30, 2021 and 2020, respectively: Three months ended September 30, 2021 (in thousands) Trade Ethanol Plant Nutrient Total Specialty nutrients $ — $ — $ 49,249 $ 49,249 Primary nutrients — — 69,835 69,835 Services 8,828 — 2,233 11,061 Products and co-products 70,924 183,225 — 254,149 Frac sand and propane 49,379 — — 49,379 Other 2,163 1,046 20,739 23,948 Total $ 131,294 $ 184,271 $ 142,056 $ 457,621 Three months ended September 30, 2020 (in thousands) Trade Ethanol Plant Nutrient Total Specialty nutrients $ — $ — $ 31,835 $ 31,835 Primary nutrients — — 62,094 62,094 Service 2,010 — 975 2,985 Products and co-products 55,235 97,703 — 152,938 Frac sand and propane 21,676 — — 21,676 Other 2,414 513 7,803 10,730 Total $ 81,335 $ 98,216 $ 102,707 $ 282,258 Nine months ended September 30, 2021 (in thousands) Trade Ethanol Plant Nutrient Total Specialty nutrients $ — $ — $ 210,971 $ 210,971 Primary nutrients — — 355,098 355,098 Service 12,396 — 7,391 19,787 Products and co-products 217,859 513,132 — 730,991 Frac sand and propane 178,094 — — 178,094 Other 9,132 5,199 59,257 73,588 Total $ 417,481 $ 518,331 $ 632,717 $ 1,568,529 Nine months ended September 30, 2020 (in thousands) Trade Ethanol Plant Nutrient Total Specialty nutrients $ — $ — $ 187,700 $ 187,700 Primary nutrients — — 296,247 296,247 Service 6,053 — 3,753 9,806 Products and co-products 171,744 275,175 — 446,919 Frac sand and propane 92,990 — — 92,990 Other 11,732 1,481 19,745 32,958 Total $ 282,519 $ 276,656 $ 507,445 $ 1,066,620 Substantially all of the Company's revenues accounted for under ASC 606 during both three and nine months periods ended September 30, 2021 and 2020, respectively, are recorded at a point in time instead of over time. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes On a quarterly basis, the Company estimates the effective tax rate expected to be applicable for the full year and makes changes, if necessary, based on new information or events. The estimated annual effective tax rate is forecasted based on actual historical information and forward-looking estimates and is used to provide for income taxes in interim reporting periods. The Company also recognizes the tax impact of certain unusual or infrequently occurring items, such as the effects of changes in tax laws or rates and impacts from settlements with tax authorities, discretely in the quarter in which they occur. For the nine months ended September 30, 2021, the Company estimated its annual effective tax rate utilizing the annualized effective tax rate method under ASC 740, Income Taxes , to calculate its interim income tax provision. For the nine months ended September 30, 2020, the Company utilized the discrete effective tax rate method, as allowed under ASC 740, to calculate its interim income tax provision. The discrete method is applied when the application of the estimated annual effective tax rate is impractical because it is not possible to reliably estimate the annual effective tax rate. The discrete method treats the year-to-date period as if it was the annual period and determines the income tax expense or benefit on that basis. At the time, it was not possible to reliably estimate the annual effective tax rate for the year due to uncertainty created by the COVID-19 pandemic. As a result, relatively small changes in the provision for income taxes in 2020 caused disproportionate changes in the effective tax rate, as compared to 2021. For the three months ended September 30, 2021, the Company recorded income tax expense from continuing operations of $4.0 million at an effective income tax rate of 24.7%. The effective tax rate differs from the statutory U.S. Federal tax rate of 21% due to the impacts of state and local taxes, non-deductible compensation and the treatment of mark-to-market activity on certain contracts in the Ethanol segment. The rate impacts were further offset by the portion of income owned by noncontrolling interests that do not result in a tax expense. The change in effective tax rate for the three months ended September 30, 2021 as compared to the same period last year was primarily attributed to additional tax benefits from net operating loss carry backs as a result of the CARES Act in the prior year, offset by the portion of income owned by noncontrolling interests that do not result in a tax expense. For the three months ended September 30, 2020, using the discrete effective tax rate method to calculate the interim tax provision, the Company recorded an income tax benefit from continuing operations of $4.1 million at an effective income tax rate of 175.8%. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2021 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) The following table summarizes the changes in accumulated other comprehensive income (loss) attributable to the Company for the three and nine months ended September 30, 2021 and 2020: Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Currency Translation Adjustment Beginning balance $ 8,432 $ (2,325) $ 5,739 $ 1,065 Other comprehensive income (loss) before reclassifications (3,004) 2,351 (311) (1,039) Tax effect — — — — Other comprehensive income (loss), net of tax (3,004) 2,351 (311) (1,039) Ending balance $ 5,428 $ 26 $ 5,428 $ 26 Hedging Adjustment Beginning balance $ (10,223) $ (24,966) $ (18,106) $ (9,443) Other comprehensive income (loss) before reclassifications (146) (535) 4,467 (18,594) Amounts reclassified from accumulated other comprehensive income (loss)(a) 2,244 3,090 6,604 6,471 Tax effect (561) (772) (1,651) (1,617) Other comprehensive income (loss), net of tax 1,537 1,783 9,420 (13,740) Ending balance $ (8,686) $ (23,183) $ (8,686) $ (23,183) Pension and Other Postretirement Adjustment Beginning balance $ (304) $ 788 $ 33 $ 889 Other comprehensive income (loss) before reclassifications 69 52 74 293 Amounts reclassified from accumulated other comprehensive income (loss)(b) (228) (228) (684) (684) Tax effect 57 57 171 171 Other comprehensive income (loss), net of tax (102) (119) (439) (220) Ending balance $ (406) $ 669 $ (406) $ 669 Investments in Convertible Preferred Securities Adjustment Beginning balance $ 258 $ 258 $ 258 $ 258 Other comprehensive income (loss), net of tax — — — — Ending balance $ 258 $ 258 $ 258 $ 258 Total AOCI Ending Balance $ (3,406) $ (22,230) $ (3,406) $ (22,230) (a) Amounts reclassified from gain (loss) on cash flow hedges are reclassified from AOCI to income when the hedged item affects earnings and is recognized in Interest expense, net. See Note 5 for additional information. (b) This accumulated other comprehensive loss component is included in the computation of net periodic benefit cost recorded in Operating, administrative and general expenses. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share (in thousands, except per common share data) Three months ended September 30, Nine months ended September 30, 2021 2020 2021 2020 Numerator: Net income (loss) from continuing operations $ 12,290 $ 1,788 $ 66,069 $ (32,088) Net income (loss) attributable to noncontrolling interests (a) (1,602) 3,273 (822) (20,583) Net income (loss) available to The Andersons Inc. common shareholders from continuing operations $ 13,892 $ (1,485) $ 66,891 $ (11,505) Income (loss) from discontinued operations, net of income taxes $ 1,846 $ 427 $ 7,453 $ 3,224 Denominator: Weighted average shares outstanding – basic 33,284 32,962 33,246 32,905 Effect of dilutive awards 350 — 424 — Weighted average shares outstanding – diluted 33,634 32,962 33,670 32,905 Earnings (loss) per share attributable to The Andersons, Inc. common shareholders: Basic earnings (loss): Continuing operations $ 0.42 $ (0.04) $ 2.01 $ (0.35) Discontinued operations 0.06 0.01 0.22 0.10 $ 0.48 $ (0.03) $ 2.23 $ (0.25) Diluted earnings (loss): Continuing operations $ 0.41 $ (0.04) $ 1.99 $ (0.35) Discontinued operations 0.05 0.01 0.22 0.10 $ 0.46 $ (0.03) $ 2.21 $ (0.25) (a) All net income (loss) attributable to noncontrolling interests is within the continuing operations of the Company. There were 80 thousand antidilutive share awards outstanding for both the three and nine months ended September 30, 2021, respectively. All awards were antidilutive for the three and nine months ended September 30, 2020 as the Company incurred a net loss in both periods. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis at September 30, 2021, December 31, 2020 and September 30, 2020: (in thousands) September 30, 2021 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 122,877 $ 212,218 $ — $ 335,095 Provisionally priced contracts (b) 28,469 (25,134) — 3,335 Convertible preferred securities (c) — — 11,066 11,066 Other assets and liabilities (d) 4,171 (11,865) — (7,694) Total $ 155,517 $ 175,219 $ 11,066 $ 341,802 (in thousands) December 31, 2020 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 51,369 $ 126,098 $ — $ 177,467 Provisionally priced contracts (b) 19,793 (48,818) — (29,025) Convertible preferred securities (c) — — 8,849 8,849 Other assets and liabilities (d) 7,972 (26,058) — (18,086) Total $ 79,134 $ 51,222 $ 8,849 $ 139,205 (in thousands) September 30, 2020 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 11,951 $ 51,565 $ — $ 63,516 Provisionally priced contracts (b) (5,190) (22,541) — (27,731) Convertible preferred securities (c) — — 8,654 8,654 Other assets and liabilities (d) 4,998 (32,210) — (27,212) Total $ 11,759 $ (3,186) $ 8,654 $ 17,227 (a) Includes associated cash posted/received as collateral (b) Included in "Provisionally priced contracts" are those instruments based only on underlying futures values (Level 1) and delayed price contracts (Level 2) (c) Recorded in “Other assets, net” on the Company’s Condensed Consolidated Balance Sheets related to certain available for sale securities. (d) Included in other assets and liabilities are assets held by the Company to fund deferred compensation plans and foreign exchange derivative contracts (Level 1), as well as interest rate derivatives (Level 2). Level 1 commodity derivatives reflect the fair value of the exchanged-traded futures and options contracts that the Company holds, net of the cash collateral, that the Company has in its margin account. The majority of the Company’s assets and liabilities measured at fair value are based on the market approach valuation technique. With the market approach, fair value is derived using prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. The Company’s net commodity derivatives primarily consist of futures or options contracts via regulated exchanges and contracts with producers or customers under which the future settlement date and bushels (or gallons in the case of ethanol contracts) of commodities to be delivered (primarily wheat, corn, soybeans and ethanol) are fixed and under which the price may or may not be fixed. Depending on the specifics of the individual contracts, the fair value is derived from the futures or options prices quoted on various exchanges for similar commodities and delivery dates as well as observable quotes for local basis adjustments (the difference, which is attributable to local market conditions, between the quoted futures price and the local cash price). Because “basis” for a particular commodity and location typically has multiple quoted prices from other agribusinesses in the same geographical vicinity and is used as a common pricing mechanism in the agribusiness industry, the Company has concluded that “basis” is typically a Level 2 fair value input for purposes of the fair value disclosure requirements related to our commodity derivatives, depending on the specific commodity. Although nonperformance risk, both of the Company and the counterparty, is present in each of these commodity contracts and is a component of the estimated fair values, based on the Company’s historical experience with its producers and customers and the Company’s knowledge of their businesses, the Company does not view nonperformance risk to be a significant input to fair value for these commodity contracts. These fair value disclosures exclude RMI which consists of agricultural commodity inventories measured at net realizable value. The net realizable value used to measure the Company’s agricultural commodity inventories is the fair value (spot price of the commodity in an exchange), less cost of disposal and transportation based on the local market. This valuation would generally be considered Level 2. The amount of RMI is disclosed in Note 2. Changes in the net realizable value of commodity inventories are recognized as a component of cost of sales and merchandising revenues. Provisionally priced contract liabilities are those for which the Company has taken ownership and possession of grain, but the final purchase price has not been established. In the case of payables where the unpriced portion of the contract is limited to the futures price of the underlying commodity or the Company has delivered provisionally priced grain and a subsequent payable or receivable is set up for any future changes in the grain price, quoted exchange prices are used and the liability is deemed to be Level 1 in the fair value hierarchy. For all other unpriced contracts which include variable futures and basis components, the amounts recorded for delayed price contracts are determined on the basis of local grain market prices at the balance sheet date and, as such, are deemed to be Level 2 in the fair value hierarchy. The convertible preferred securities are interests in several early-stage enterprises that may be in various forms, such as convertible debt or preferred equity securities. A reconciliation of beginning and ending balances for the Company’s fair value measurements using Level 3 inputs is as follows: Convertible Preferred Securities (in thousands) 2021 2020 Assets at January 1, $ 8,849 $ 8,404 Additional investments 2,800 250 Assets at March 31, $ 11,649 $ 8,654 Additional Investments 1,901 — Assets at June 30, $ 13,550 $ 8,654 Additional investments 300 — Losses included in earnings (2,784) — Assets at September 30, $ 11,066 $ 8,654 The following tables summarize quantitative information about the Company's Level 3 fair value measurements as of September 30, 2021, December 31, 2020 and September 30, 2020: Quantitative Information about Recurring Level 3 Fair Value Measurements Fair Value as of (in thousands) September 30, 2021 December 31, 2020 September 30, 2020 Valuation Method Unobservable Input Weighted Average Convertible preferred securities (a) $ 11,066 $ 8,849 $ 8,654 Implied based on market prices N/A N/A (a) The Company considers observable price changes and other additional market data available to estimate fair value, including additional capital raising, internal valuation models, progress towards key business milestones, and other relevant market data points. There were no non-recurring fair value measurements as of September 30, 2021, December 31, 2020 and September 30, 2020. The fair value of the Company’s cash equivalents, accounts receivable and accounts payable approximate their carrying value as they are close to maturity. |
Related Parties
Related Parties | 9 Months Ended |
Sep. 30, 2021 | |
Related Party Transactions [Abstract] | |
Related Parties | Related Parties In the ordinary course of business, and on an arm's length basis, the Company will enter into related party transactions with the minority shareholders of the Company's ethanol operations and several equity method investments that the Company holds, along with other related parties. The following table sets forth the related party transactions entered into for the time periods presented: Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Sales revenues $ 77,577 $ 44,789 $ 229,517 $ 129,143 Purchases of product and capital assets 9,715 16,641 30,051 38,637 (in thousands) September 30, 2021 December 31, 2020 September 30, 2020 Accounts receivable (a) $ 13,523 $ 5,623 $ 7,184 Accounts payable (b) 2,514 5,251 3,058 (a) Accounts receivable represents amounts due from related parties for the sale of ethanol and other various items. (b) Accounts payable represents amounts due to related parties for purchases of ethanol equipment and other various items. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2021 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information As of the third quarter of 2021, the Company’s operations include three reportable business segments that are distinguished primarily on the basis of products and services offered as well as the structure of management. The Trade business includes commodity merchandising and the operation of terminal grain elevator facilities. The Ethanol business produces ethanol and co-products through its five co-owned and fully consolidated ethanol production facilities as well as purchases and sells ethanol and ethanol co-products. The Plant Nutrient business manufactures and distributes agricultural inputs, primarily fertilizer, to dealers and farmers, along with turf care and corncob-based products. The Other category includes other corporate level costs not attributable to an operating segment and intercompany eliminations between the segments. See Note 14 for details of the divestiture of the Rail segment. The segment information below includes the allocation of expenses shared by one or more operating segments. Although management believes such allocations are reasonable, the operating information does not necessarily reflect how such data might appear if the segments were operated as separate businesses. The Company does not have any customers who represent 10 percent or more of total revenues from external customers. Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Revenues from external customers Trade $ 2,242,131 $ 1,432,922 $ 6,522,508 $ 4,162,130 Ethanol 614,637 349,957 1,674,123 886,742 Plant Nutrient 142,056 102,707 632,717 507,445 Total $ 2,998,824 $ 1,885,586 $ 8,829,348 $ 5,556,317 Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Income (loss) before income taxes attributable to the Company from continuing operations Trade $ 41,999 $ 5,941 $ 69,631 $ (3,650) Ethanol (3,636) 1,148 22,821 (21,960) Plant Nutrient (5,832) (5,387) 26,686 12,828 Other (14,612) (7,335) (34,182) (17,351) Income (loss) before income taxes attributable to the Company from continuing operations 17,919 (5,633) 84,956 (30,133) Income (loss) attributable to noncontrolling interests (1,602) 3,273 (822) (20,583) Income (loss) before income taxes from continuing operations $ 16,317 $ (2,360) $ 84,134 $ (50,716) |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Litigation activities The Company is party to litigation, or threats thereof, both as defendant and plaintiff with some regularity, although individual cases that are material in size occur infrequently. As a defendant, the Company establishes reserves for claimed amounts that are considered probable and capable of estimation. If those cases are resolved for lesser amounts, the excess reserves are taken into income and, conversely, if those cases are resolved for larger than the amount the Company has accrued, the Company records additional expense. The Company believes it is unlikely that the results of its current legal proceedings for which it is the defendant, even if unfavorable, will be material. As a plaintiff, amounts that are collected can also result in sudden, non-recurring income. Litigation results depend upon a variety of factors, including the availability of evidence, the credibility of witnesses, the performance of counsel, the state of the law, and the impressions of judges and jurors, any of which can be critical in importance, yet difficult, if not impossible, to predict. Consequently, cases currently pending, or future matters, may result in unexpected, and non-recurring losses, or income, from time to time. Finally, litigation results are often subject to judicial reconsideration, appeal and further negotiation by the parties, and as a result, the final impact of a particular judicial decision may be unknown for some time or may result in continued reserves to account for the potential of such post-verdict actions. Specifically, the Company is party to a non-regulatory litigation claim, which is in response to penalties and fines paid to regulatory entities by a previously unconsolidated subsidiary in 2018 for the settlement of matters which focused on certain trading activity. While the Company believes it has meritorious defenses against the suit, the ultimate resolution of the matter could result in a loss in excess of the amount accrued. Given the status of the claim, the Company does not believe the excess, net of the acquisition-related indemnity, is material. |
Discontinued Operations
Discontinued Operations | 9 Months Ended |
Sep. 30, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Discontinued Operations On August 16, 2021, the Company entered into a definitive agreement under which the Company sold the assets of the Company’s Rail Leasing business for a cash purchase price of approximately $543.1 million. In conjunction with the sale of the Rail Leasing business, the Company announced its intent to divest the remaining pieces of the Rail Leasing business and the Rail Repair business. During the third quarter of 2021, substantially all of the assets and liabilities of our Rail business were classified as discontinued operations in the accompanying Condensed Consolidated Balance Sheets. The table below summarizes the results of the Rail Leasing business and the Rail Repair business for the three and nine months ended September 30, 2021 and 2020 which are reflected in the consolidated statements of operations as discontinued operations. Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Sales and merchandising revenues $ 25,018 $ 36,647 $ 103,950 $ 109,202 Cost of sales and merchandising revenues 19,065 28,049 78,089 80,187 Gross profit 5,953 8,598 25,861 29,015 Operating, administrative and general expenses 3,415 5,609 10,705 16,052 Interest expense, net 2,139 3,716 8,714 12,032 Other income, net: Other income (loss), net (1,330) 588 583 2,543 Income (loss) from discontinued operations before income taxes (931) (139) 7,025 3,474 Income tax provision (benefit) (2,777) (566) (428) 250 Income (loss) from discontinued operations, net of income taxes $ 1,846 $ 427 $ 7,453 $ 3,224 The following table summarizes the assets and liabilities which are classified as discontinued operations at September 30, 2021, December 31, 2020 and September 30, 2020. (in thousands) September 30, December 31, September 30, Assets Current assets: Cash and cash equivalents $ — $ — $ — Accounts receivable, net 18,389 18,508 19,620 Inventories 6,803 7,627 7,016 Other current assets 1,369 6,524 18,496 Current assets held-for-sale 26,561 32,659 45,132 Other assets: Rail assets leased to others, net 458 591,946 587,848 Property, plant and equipment, net 17,439 18,868 18,360 Goodwill 4,167 4,167 4,167 Other intangible assets, net 24 2,855 3,369 Right of use assets, net 16,521 22,644 24,561 Other assets, net 254 2,994 4,233 Total non-current assets held-for-sale 38,863 643,474 642,538 Total assets held-for-sale $ 65,424 $ 676,133 $ 687,670 Liabilities Current liabilities: Trade and other payables $ 4,223 $ 2,874 $ 6,607 Customer prepayments and deferred revenue 128 1,934 1,667 Current maturities of long-term debt — 6,109 5,286 Accrued expenses and other current liabilities 9,076 14,360 14,436 Total current liabilities held-for-sale 13,427 25,277 27,996 Long-term lease liabilities 13,592 17,342 19,016 Long-term debt, less current maturities — 30,087 198,889 Other long-term liabilities — 667 3,429 Non-current liabilities held-for-sale 13,592 48,096 221,334 Total liabilities held-for-sale $ 27,019 $ 73,373 $ 249,330 The following table summarizes cash flow data relating to discontinued operations for the nine months ended September 30, 2021 and 2020: Nine months ended September 30, (in thousands) 2021 2020 Depreciation and amortization $ 21,786 $ 26,670 Capital expenditures (8,368) (29,460) Proceeds from sale of assets 18,705 7,774 Loss on sale of discontinued operations 1,491 — Non-cash operating activities - Gain on sale of railcars (5,603) (175) Non-cash operating activities - fixed asset impairment 626 — Non-cash investing activities - capital expenditures, consisting of unpaid capital expenditure liabilities at period end — 1,081 |
Goodwill
Goodwill | 9 Months Ended |
Sep. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Goodwill The changes in the carrying amount of goodwill by reportable segment for the nine months ended September 30, 2021 are as follows: (in thousands) Trade Ethanol Plant Nutrient Total Balance at December 31, 2020 $ 122,067 $ 8,789 $ 686 $ 131,542 Divestitures (a) (2,200) — — (2,200) Balance at September 30, 2021 $ 119,867 $ 8,789 $ 686 $ 129,342 (a) Removal of allocated goodwill due to the sale of the grain asset location in Champaign, IL. |
Basis of Presentation and Con_2
Basis of Presentation and Consolidation (Policies) | 9 Months Ended |
Sep. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
New Accounting Standards | Recently Adopted Accounting Pronouncements Simplified Accounting for Income Taxes |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Inventory, Net [Abstract] | |
Classes of inventories | (in thousands) September 30, December 31, September 30, Grain and other agricultural products (a) $ 732,512 $ 1,025,809 $ 557,808 Frac sand and propane (a) 18,481 12,477 10,064 Ethanol and co-products (a) 105,052 114,895 59,543 Plant nutrients and cob products 161,759 139,885 120,173 Total Inventories $ 1,017,804 $ 1,293,066 $ 747,588 (a) Includes RMI of $700.3 million , $983.2 million and $523.3 million at September 30, 2021, December 31, 2020 and September 30, 2020, respectively. |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Property, Plant and Equipment [Abstract] | |
Components of property, plant and equipment | The components of Property, plant and equipment, net are as follows: (in thousands) September 30, December 31, September 30, Land $ 39,159 $ 39,704 $ 39,705 Land improvements and leasehold improvements 89,941 92,455 92,138 Buildings and storage facilities 368,678 379,195 375,715 Machinery and equipment 920,232 898,557 881,617 Construction in progress 24,556 19,473 20,936 1,442,566 1,429,384 1,410,111 Less: accumulated depreciation 644,906 569,073 539,960 Property, plant and equipment, net $ 797,660 $ 860,311 $ 870,151 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Short-term and Long-term Debt | Short-term and long-term debt at September 30, 2021, December 31, 2020 and September 30, 2020 consisted of the following: (in thousands) September 30, December 31, September 30, Short-term debt – non-recourse $ 81,494 $ 93,192 $ 40,985 Short-term debt – recourse 199,705 310,511 59,420 Total short-term debt $ 281,199 $ 403,703 $ 100,405 Current maturities of long-term debt – non-recourse $ 69,932 $ 678 $ 211 Current maturities of long-term debt – recourse 36,323 68,688 62,288 Total current maturities of long-term debt $ 106,255 $ 69,366 $ 62,499 Long-term debt, less: current maturities – non-recourse $ — $ 127,192 $ 89,419 Long-term debt, less: current maturities – recourse 542,821 759,261 627,779 Total long-term debt, less: current maturities $ 542,821 $ 886,453 $ 717,198 |
Derivatives (Tables)
Derivatives (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Estimated fair value of Company's commodity derivative instruments for cash collateral and associated cash as collateral | The net asset or liability positions of these derivatives (net of their cash collateral) are determined on a counterparty-by-counterparty basis and are included within current or non-current commodity derivative assets (or liabilities) on the Condensed Consolidated Balance Sheets: (in thousands) September 30, 2021 December 31, 2020 September 30, 2020 Cash collateral paid $ 136,977 $ 208,670 $ 70,446 Fair value of derivatives (14,100) (157,301) (58,495) Net derivative asset position $ 122,877 $ 51,369 $ 11,951 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The following table presents, on a gross basis, current and non-current commodity derivative assets and liabilities: September 30, 2021 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 380,391 $ 11,704 $ 27,035 $ 461 $ 419,591 Commodity derivative liabilities (107,721) (370) (105,737) (7,645) (221,473) Cash collateral paid 136,977 — — — 136,977 Balance sheet line item totals $ 409,647 $ 11,334 $ (78,702) $ (7,184) $ 335,095 December 31, 2020 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 304,533 $ 4,328 $ 19,386 $ 14 $ 328,261 Commodity derivative liabilities (192,023) (348) (166,850) (243) (359,464) Cash collateral paid 208,196 — 474 — 208,670 Balance sheet line item totals $ 320,706 $ 3,980 $ (146,990) $ (229) $ 177,467 September 30, 2020 (in thousands) Commodity Derivative Assets - Current Commodity Derivative Assets - Noncurrent Commodity Derivative Liabilities - Current Commodity Derivative Liabilities - Noncurrent Total Commodity derivative assets $ 159,553 $ 3,565 $ 7,323 $ 42 $ 170,483 Commodity derivative liabilities (89,933) (508) (86,482) (490) (177,413) Cash collateral paid 70,446 — — — 70,446 Balance sheet line item totals $ 140,066 $ 3,057 $ (79,159) $ (448) $ 63,516 |
Company's Condensed Consolidated Statement of Income gains and location of line items | The net pre-tax gains and losses on commodity derivatives not designated as hedging instruments are included in the Company’s Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2021 and 2020 are as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Gains (losses) on commodity derivatives included in cost of sales and merchandising revenues $ (11,353) $ (52,047) $ 229,320 $ (12,290) The recording of derivatives gains and losses and the financial statement line in which they are located are as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Derivatives not designated as hedging instruments Interest rate derivative gains (losses) included in Interest income (expense), net $ 51 $ 357 $ 760 $ (363) Derivatives designated as hedging instruments Interest rate derivative losses included in Other comprehensive income (loss) $ (2,044) $ 2,373 $ (12,520) $ (18,284) Interest rate derivatives losses included in Interest income (expense), net (1,746) (2,345) (5,020) (5,045) |
Amounts of quantities outstanding included in commodity derivative contracts | The Company had the following volume of commodity derivative contracts outstanding (on a gross basis) at September 30, 2021, December 31, 2020 and September 30, 2020: September 30, 2021 (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 687,177 — — — Soybeans 96,061 — — — Wheat 94,132 — — — Oats 35,460 — — — Ethanol — 174,381 — — Corn oil — — 92,709 — Soybean Oil — — 41,322 — Other 31,086 2,264 1,959 2,324 Subtotal 943,916 176,645 135,990 2,324 Exchange traded: Corn 236,395 — — — Soybeans 60,660 — — — Wheat 101,087 — — — Oats 1,290 — — — Ethanol — 96,894 — — Propane — 24,402 — — Other — 8 1,890 240 Subtotal 399,432 121,304 1,890 240 Total 1,343,348 297,949 137,880 2,564 December 31, 2020 (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 684,654 — — — Soybeans 73,521 — — — Wheat 109,661 — — — Oats 27,482 — — — Ethanol — 124,795 — — Corn oil — — 36,015 — Soybean oil — — 26,510 — Other 4,371 2,058 740 1,859 Subtotal 899,689 126,853 63,265 1,859 Exchange traded: Corn 267,792 — — — Soybeans 53,730 — — — Wheat 80,733 — — — Oats 1,800 — — — Ethanol — 73,584 — — Propane — 17,094 — — Other — 2,898 14 149 Subtotal 404,055 93,576 14 149 Total 1,303,744 220,429 63,279 2,008 September 30, 2020 (in thousands) Number of Bushels Number of Gallons Number of Pounds Number of Tons Non-exchange traded: Corn 527,924 — — — Soybeans 121,248 — — — Wheat 80,546 — — — Oats 40,004 — — — Ethanol — 96,470 — — Corn oil — — 45,144 — Soybean oil — — 17,262 — Other 42,235 3,655 350 2,237 Subtotal 811,957 100,125 62,756 2,237 Exchange traded: Corn 250,445 — — — Soybeans 62,785 — — — Wheat 108,805 — — — Oats 715 — — — Ethanol — 19,488 — — Propane — 31,962 — — Other — 7,140 16 183 Subtotal 422,750 58,590 16 183 Total 1,234,707 158,715 62,772 2,420 |
Schedule of Fair Value of Interest Rate Derivative Liabilities | At September 30, 2021, December 31, 2020 and September 30, 2020, the Company had recorded the following amounts for the fair value of the Company's other derivatives: (in thousands) September 30, 2021 December 31, 2020 September 30, 2020 Derivatives not designated as hedging instruments Interest rate contracts included in Accrued expenses and other current liabilities $ — $ (589) $ (879) Interest rate contracts included in Other long-term liabilities (258) (430) (491) Foreign currency contracts included in Other assets 491 2,753 326 Derivatives designated as hedging instruments Interest rate contracts included in Other assets $ 4,431 $ 164 $ — Interest rate contracts included in Accrued expenses and other current liabilities (6,892) (6,664) (8,431) Interest rate contracts included in Other long-term liabilities (9,146) (18,539) (22,409) |
Schedule of Outstanding Interest Rate Derivatives | Outstanding interest rate derivatives, as of September 30, 2021, are as follows: Interest Rate Hedging Instrument Year Entered Year of Maturity Initial Notional Amount Description Interest Rate Long-term Swap 2014 2023 $ 23.0 Interest rate component of debt - not accounted for as a hedge 1.9% Swap 2017 2022 $ 20.0 Interest rate component of debt - accounted for as a hedge 1.8% Swap 2018 2023 $ 10.0 Interest rate component of debt - accounted for as a hedge 2.6% Swap 2018 2025 $ 20.0 Interest rate component of debt - accounted for as a hedge 2.7% Swap 2019 2025 $ 100.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2025 $ 50.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2019 2025 $ 50.0 Interest rate component of debt - accounted for as a hedge 2.5% Swap 2020 2030 $ 50.0 Interest rate component of debt - accounted for as a hedge 0.0% to 0.8% Swap 2020 2030 $ 50.0 Interest rate component of debt - accounted for as a hedge 0.0% to 0.8% |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Breakdown of Revenues between ASC 606 | The breakdown of revenues between ASC 606 and other standards are as follows: Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Revenues under ASC 606 $ 457,621 $ 282,258 $ 1,568,529 $ 1,066,620 Revenues under ASC 815 2,541,203 1,603,328 7,260,819 4,489,697 Total revenues $ 2,998,824 $ 1,885,586 $ 8,829,348 $ 5,556,317 |
Schedule of Disaggregation of Revenues | The following tables disaggregate revenues under ASC 606 by major product/service line for the three and nine months ended September 30, 2021 and 2020, respectively: Three months ended September 30, 2021 (in thousands) Trade Ethanol Plant Nutrient Total Specialty nutrients $ — $ — $ 49,249 $ 49,249 Primary nutrients — — 69,835 69,835 Services 8,828 — 2,233 11,061 Products and co-products 70,924 183,225 — 254,149 Frac sand and propane 49,379 — — 49,379 Other 2,163 1,046 20,739 23,948 Total $ 131,294 $ 184,271 $ 142,056 $ 457,621 Three months ended September 30, 2020 (in thousands) Trade Ethanol Plant Nutrient Total Specialty nutrients $ — $ — $ 31,835 $ 31,835 Primary nutrients — — 62,094 62,094 Service 2,010 — 975 2,985 Products and co-products 55,235 97,703 — 152,938 Frac sand and propane 21,676 — — 21,676 Other 2,414 513 7,803 10,730 Total $ 81,335 $ 98,216 $ 102,707 $ 282,258 Nine months ended September 30, 2021 (in thousands) Trade Ethanol Plant Nutrient Total Specialty nutrients $ — $ — $ 210,971 $ 210,971 Primary nutrients — — 355,098 355,098 Service 12,396 — 7,391 19,787 Products and co-products 217,859 513,132 — 730,991 Frac sand and propane 178,094 — — 178,094 Other 9,132 5,199 59,257 73,588 Total $ 417,481 $ 518,331 $ 632,717 $ 1,568,529 Nine months ended September 30, 2020 (in thousands) Trade Ethanol Plant Nutrient Total Specialty nutrients $ — $ — $ 187,700 $ 187,700 Primary nutrients — — 296,247 296,247 Service 6,053 — 3,753 9,806 Products and co-products 171,744 275,175 — 446,919 Frac sand and propane 92,990 — — 92,990 Other 11,732 1,481 19,745 32,958 Total $ 282,519 $ 276,656 $ 507,445 $ 1,066,620 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table summarizes the changes in accumulated other comprehensive income (loss) attributable to the Company for the three and nine months ended September 30, 2021 and 2020: Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Currency Translation Adjustment Beginning balance $ 8,432 $ (2,325) $ 5,739 $ 1,065 Other comprehensive income (loss) before reclassifications (3,004) 2,351 (311) (1,039) Tax effect — — — — Other comprehensive income (loss), net of tax (3,004) 2,351 (311) (1,039) Ending balance $ 5,428 $ 26 $ 5,428 $ 26 Hedging Adjustment Beginning balance $ (10,223) $ (24,966) $ (18,106) $ (9,443) Other comprehensive income (loss) before reclassifications (146) (535) 4,467 (18,594) Amounts reclassified from accumulated other comprehensive income (loss)(a) 2,244 3,090 6,604 6,471 Tax effect (561) (772) (1,651) (1,617) Other comprehensive income (loss), net of tax 1,537 1,783 9,420 (13,740) Ending balance $ (8,686) $ (23,183) $ (8,686) $ (23,183) Pension and Other Postretirement Adjustment Beginning balance $ (304) $ 788 $ 33 $ 889 Other comprehensive income (loss) before reclassifications 69 52 74 293 Amounts reclassified from accumulated other comprehensive income (loss)(b) (228) (228) (684) (684) Tax effect 57 57 171 171 Other comprehensive income (loss), net of tax (102) (119) (439) (220) Ending balance $ (406) $ 669 $ (406) $ 669 Investments in Convertible Preferred Securities Adjustment Beginning balance $ 258 $ 258 $ 258 $ 258 Other comprehensive income (loss), net of tax — — — — Ending balance $ 258 $ 258 $ 258 $ 258 Total AOCI Ending Balance $ (3,406) $ (22,230) $ (3,406) $ (22,230) (a) Amounts reclassified from gain (loss) on cash flow hedges are reclassified from AOCI to income when the hedged item affects earnings and is recognized in Interest expense, net. See Note 5 for additional information. (b) This accumulated other comprehensive loss component is included in the computation of net periodic benefit cost recorded in Operating, administrative and general expenses. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings per share | (in thousands, except per common share data) Three months ended September 30, Nine months ended September 30, 2021 2020 2021 2020 Numerator: Net income (loss) from continuing operations $ 12,290 $ 1,788 $ 66,069 $ (32,088) Net income (loss) attributable to noncontrolling interests (a) (1,602) 3,273 (822) (20,583) Net income (loss) available to The Andersons Inc. common shareholders from continuing operations $ 13,892 $ (1,485) $ 66,891 $ (11,505) Income (loss) from discontinued operations, net of income taxes $ 1,846 $ 427 $ 7,453 $ 3,224 Denominator: Weighted average shares outstanding – basic 33,284 32,962 33,246 32,905 Effect of dilutive awards 350 — 424 — Weighted average shares outstanding – diluted 33,634 32,962 33,670 32,905 Earnings (loss) per share attributable to The Andersons, Inc. common shareholders: Basic earnings (loss): Continuing operations $ 0.42 $ (0.04) $ 2.01 $ (0.35) Discontinued operations 0.06 0.01 0.22 0.10 $ 0.48 $ (0.03) $ 2.23 $ (0.25) Diluted earnings (loss): Continuing operations $ 0.41 $ (0.04) $ 1.99 $ (0.35) Discontinued operations 0.05 0.01 0.22 0.10 $ 0.46 $ (0.03) $ 2.21 $ (0.25) (a) All net income (loss) attributable to noncontrolling interests is within the continuing operations of the Company. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Assets and liabilities measured at fair value on a recurring basis | The following table presents the Company’s assets and liabilities measured at fair value on a recurring basis at September 30, 2021, December 31, 2020 and September 30, 2020: (in thousands) September 30, 2021 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 122,877 $ 212,218 $ — $ 335,095 Provisionally priced contracts (b) 28,469 (25,134) — 3,335 Convertible preferred securities (c) — — 11,066 11,066 Other assets and liabilities (d) 4,171 (11,865) — (7,694) Total $ 155,517 $ 175,219 $ 11,066 $ 341,802 (in thousands) December 31, 2020 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 51,369 $ 126,098 $ — $ 177,467 Provisionally priced contracts (b) 19,793 (48,818) — (29,025) Convertible preferred securities (c) — — 8,849 8,849 Other assets and liabilities (d) 7,972 (26,058) — (18,086) Total $ 79,134 $ 51,222 $ 8,849 $ 139,205 (in thousands) September 30, 2020 Assets (liabilities) Level 1 Level 2 Level 3 Total Commodity derivatives, net (a) $ 11,951 $ 51,565 $ — $ 63,516 Provisionally priced contracts (b) (5,190) (22,541) — (27,731) Convertible preferred securities (c) — — 8,654 8,654 Other assets and liabilities (d) 4,998 (32,210) — (27,212) Total $ 11,759 $ (3,186) $ 8,654 $ 17,227 (a) Includes associated cash posted/received as collateral (b) Included in "Provisionally priced contracts" are those instruments based only on underlying futures values (Level 1) and delayed price contracts (Level 2) (c) Recorded in “Other assets, net” on the Company’s Condensed Consolidated Balance Sheets related to certain available for sale securities. (d) Included in other assets and liabilities are assets held by the Company to fund deferred compensation plans and foreign exchange derivative contracts (Level 1), as well as interest rate derivatives (Level 2). |
Beginning and ending balances for the Company's fair value measurements using Level 3 inputs | A reconciliation of beginning and ending balances for the Company’s fair value measurements using Level 3 inputs is as follows: Convertible Preferred Securities (in thousands) 2021 2020 Assets at January 1, $ 8,849 $ 8,404 Additional investments 2,800 250 Assets at March 31, $ 11,649 $ 8,654 Additional Investments 1,901 — Assets at June 30, $ 13,550 $ 8,654 Additional investments 300 — Losses included in earnings (2,784) — Assets at September 30, $ 11,066 $ 8,654 |
Fair Value Inputs, Assets, Quantitative Information | The following tables summarize quantitative information about the Company's Level 3 fair value measurements as of September 30, 2021, December 31, 2020 and September 30, 2020: Quantitative Information about Recurring Level 3 Fair Value Measurements Fair Value as of (in thousands) September 30, 2021 December 31, 2020 September 30, 2020 Valuation Method Unobservable Input Weighted Average Convertible preferred securities (a) $ 11,066 $ 8,849 $ 8,654 Implied based on market prices N/A N/A (a) The Company considers observable price changes and other additional market data available to estimate fair value, including additional capital raising, internal valuation models, progress towards key business milestones, and other relevant market data points. |
Related Parties (Tables)
Related Parties (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Related Party Transactions [Abstract] | |
Schedule of related party transactions | The following table sets forth the related party transactions entered into for the time periods presented: Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Sales revenues $ 77,577 $ 44,789 $ 229,517 $ 129,143 Purchases of product and capital assets 9,715 16,641 30,051 38,637 (in thousands) September 30, 2021 December 31, 2020 September 30, 2020 Accounts receivable (a) $ 13,523 $ 5,623 $ 7,184 Accounts payable (b) 2,514 5,251 3,058 (a) Accounts receivable represents amounts due from related parties for the sale of ethanol and other various items. (b) Accounts payable represents amounts due to related parties for purchases of ethanol equipment and other various items. |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Segment Reporting [Abstract] | |
Segment Information | The segment information below includes the allocation of expenses shared by one or more operating segments. Although management believes such allocations are reasonable, the operating information does not necessarily reflect how such data might appear if the segments were operated as separate businesses. The Company does not have any customers who represent 10 percent or more of total revenues from external customers. Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Revenues from external customers Trade $ 2,242,131 $ 1,432,922 $ 6,522,508 $ 4,162,130 Ethanol 614,637 349,957 1,674,123 886,742 Plant Nutrient 142,056 102,707 632,717 507,445 Total $ 2,998,824 $ 1,885,586 $ 8,829,348 $ 5,556,317 Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Income (loss) before income taxes attributable to the Company from continuing operations Trade $ 41,999 $ 5,941 $ 69,631 $ (3,650) Ethanol (3,636) 1,148 22,821 (21,960) Plant Nutrient (5,832) (5,387) 26,686 12,828 Other (14,612) (7,335) (34,182) (17,351) Income (loss) before income taxes attributable to the Company from continuing operations 17,919 (5,633) 84,956 (30,133) Income (loss) attributable to noncontrolling interests (1,602) 3,273 (822) (20,583) Income (loss) before income taxes from continuing operations $ 16,317 $ (2,360) $ 84,134 $ (50,716) |
Discontinued Operation (Tables)
Discontinued Operation (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations | The table below summarizes the results of the Rail Leasing business and the Rail Repair business for the three and nine months ended September 30, 2021 and 2020 which are reflected in the consolidated statements of operations as discontinued operations. Three months ended September 30, Nine months ended September 30, (in thousands) 2021 2020 2021 2020 Sales and merchandising revenues $ 25,018 $ 36,647 $ 103,950 $ 109,202 Cost of sales and merchandising revenues 19,065 28,049 78,089 80,187 Gross profit 5,953 8,598 25,861 29,015 Operating, administrative and general expenses 3,415 5,609 10,705 16,052 Interest expense, net 2,139 3,716 8,714 12,032 Other income, net: Other income (loss), net (1,330) 588 583 2,543 Income (loss) from discontinued operations before income taxes (931) (139) 7,025 3,474 Income tax provision (benefit) (2,777) (566) (428) 250 Income (loss) from discontinued operations, net of income taxes $ 1,846 $ 427 $ 7,453 $ 3,224 The following table summarizes the assets and liabilities which are classified as discontinued operations at September 30, 2021, December 31, 2020 and September 30, 2020. (in thousands) September 30, December 31, September 30, Assets Current assets: Cash and cash equivalents $ — $ — $ — Accounts receivable, net 18,389 18,508 19,620 Inventories 6,803 7,627 7,016 Other current assets 1,369 6,524 18,496 Current assets held-for-sale 26,561 32,659 45,132 Other assets: Rail assets leased to others, net 458 591,946 587,848 Property, plant and equipment, net 17,439 18,868 18,360 Goodwill 4,167 4,167 4,167 Other intangible assets, net 24 2,855 3,369 Right of use assets, net 16,521 22,644 24,561 Other assets, net 254 2,994 4,233 Total non-current assets held-for-sale 38,863 643,474 642,538 Total assets held-for-sale $ 65,424 $ 676,133 $ 687,670 Liabilities Current liabilities: Trade and other payables $ 4,223 $ 2,874 $ 6,607 Customer prepayments and deferred revenue 128 1,934 1,667 Current maturities of long-term debt — 6,109 5,286 Accrued expenses and other current liabilities 9,076 14,360 14,436 Total current liabilities held-for-sale 13,427 25,277 27,996 Long-term lease liabilities 13,592 17,342 19,016 Long-term debt, less current maturities — 30,087 198,889 Other long-term liabilities — 667 3,429 Non-current liabilities held-for-sale 13,592 48,096 221,334 Total liabilities held-for-sale $ 27,019 $ 73,373 $ 249,330 The following table summarizes cash flow data relating to discontinued operations for the nine months ended September 30, 2021 and 2020: Nine months ended September 30, (in thousands) 2021 2020 Depreciation and amortization $ 21,786 $ 26,670 Capital expenditures (8,368) (29,460) Proceeds from sale of assets 18,705 7,774 Loss on sale of discontinued operations 1,491 — Non-cash operating activities - Gain on sale of railcars (5,603) (175) Non-cash operating activities - fixed asset impairment 626 — Non-cash investing activities - capital expenditures, consisting of unpaid capital expenditure liabilities at period end — 1,081 |
Goodwill (Tables)
Goodwill (Tables) | 9 Months Ended |
Sep. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The changes in the carrying amount of goodwill by reportable segment for the nine months ended September 30, 2021 are as follows: (in thousands) Trade Ethanol Plant Nutrient Total Balance at December 31, 2020 $ 122,067 $ 8,789 $ 686 $ 131,542 Divestitures (a) (2,200) — — (2,200) Balance at September 30, 2021 $ 119,867 $ 8,789 $ 686 $ 129,342 (a) Removal of allocated goodwill due to the sale of the grain asset location in Champaign, IL. |
Inventories (Details)
Inventories (Details) $ in Thousands, bu in Millions | 9 Months Ended | ||
Sep. 30, 2021USD ($)bu | Sep. 30, 2020USD ($)bu | Dec. 31, 2020USD ($)bu | |
Inventory [Line Items] | |||
Grain and other agricultural products | $ 732,512 | $ 557,808 | $ 1,025,809 |
Frac sand and propane | 18,481 | 10,064 | 12,477 |
Ethanol and co-products | 105,052 | 59,543 | 114,895 |
Plant nutrients and cob products | 161,759 | 120,173 | 139,885 |
Total inventories | 1,017,804 | 747,588 | 1,293,066 |
Readily marketable inventory | $ 700,300 | $ 523,300 | $ 983,200 |
Bushels of grain held in storage for others and excluded from inventory calculations | bu | 2 | 2.3 | 3 |
Inventory write down | $ 3,399 | $ 10,933 | |
COVID-19 Pandemic | |||
Inventory [Line Items] | |||
Inventory write down | $ 10,900 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 |
Components of property, plant and equipment | |||
Land | $ 39,159 | $ 39,704 | $ 39,705 |
Land improvements and leasehold improvements | 89,941 | 92,455 | 92,138 |
Buildings and storage facilities | 368,678 | 379,195 | 375,715 |
Machinery and equipment | 920,232 | 898,557 | 881,617 |
Construction in progress | 24,556 | 19,473 | 20,936 |
Property, plant and equipment, gross | 1,442,566 | 1,429,384 | 1,410,111 |
Less: accumulated depreciation | 644,906 | 569,073 | 539,960 |
Property, plant and equipment, net | $ 797,660 | $ 860,311 | $ 870,151 |
Property, Plant and Equipment_3
Property, Plant and Equipment (Textual) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Property, Plant and Equipment [Line Items] | ||||
Depreciation expense | $ 35,200 | $ 30,800 | $ 97,700 | $ 91,400 |
Proceeds from sale of assets | $ 18,705 | $ 7,774 | ||
Grain Assets | ||||
Property, Plant and Equipment [Line Items] | ||||
Proceeds from sale of assets | 23,300 | |||
Gain on sale of assets | $ 14,600 |
Debt (Details)
Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 |
Debt Instrument [Line Items] | |||
Short-term debt | $ 281,199 | $ 403,703 | $ 100,405 |
Long-term debt | |||
Current maturities of long-term debt | 106,255 | 69,366 | 62,499 |
Total current maturities of long-term debt | 106,255 | 69,366 | 62,499 |
Long-term debt, less current maturities | 542,821 | 886,453 | 717,198 |
Total long-term debt, less: current maturities | 542,821 | 886,453 | 717,198 |
Nonrecourse | |||
Debt Instrument [Line Items] | |||
Short-term debt | 81,494 | 93,192 | 40,985 |
Long-term debt | |||
Current maturities of long-term debt | 69,932 | 678 | 211 |
Long-term debt, less current maturities | 0 | 127,192 | 89,419 |
Recourse | |||
Debt Instrument [Line Items] | |||
Short-term debt | 199,705 | 310,511 | 59,420 |
Long-term debt | |||
Current maturities of long-term debt | 36,323 | 68,688 | 62,288 |
Long-term debt, less current maturities | 542,821 | $ 759,261 | $ 627,779 |
Line of credit | |||
Long-term debt | |||
Credit facility, maximum borrowing capacity | 1,297,500 | ||
Total available for borrowings under lines of credit | $ 1,169,900 |
Debt (Textual) (Details)
Debt (Textual) (Details) $ in Thousands | Sep. 30, 2021USD ($) | May 06, 2021USD ($) | Feb. 04, 2021USD ($) | Dec. 31, 2020USD ($) | Sep. 30, 2020USD ($) |
Line of Credit Facility [Line Items] | |||||
Short-term debt | $ 281,199 | $ 403,703 | $ 100,405 | ||
Debt Instrument, Coverage Ratio | 1.4 | ||||
Long-term Debt, Current Maturities | $ 106,255 | 69,366 | 62,499 | ||
Nonrecourse | |||||
Line of Credit Facility [Line Items] | |||||
Short-term debt | 81,494 | 93,192 | 40,985 | ||
Long-term Debt, Current Maturities | 69,932 | 678 | 211 | ||
Notes payable | |||||
Line of Credit Facility [Line Items] | |||||
Debt amount | $ 358,000 | $ 250,000 | |||
Short-term debt | 200,000 | ||||
Estimate of Fair Value Measurement | |||||
Line of Credit Facility [Line Items] | |||||
Long-term debt, fair value | 667,900 | $ 1,003,100 | $ 831,300 | ||
Line of credit | |||||
Line of Credit Facility [Line Items] | |||||
Credit facility, maximum borrowing capacity | 1,297,500 | ||||
Total available for borrowings under lines of credit | $ 1,169,900 |
Derivatives (Textual) (Details)
Derivatives (Textual) (Details) | 9 Months Ended |
Sep. 30, 2021 | |
Derivative [Line Items] | |
Maximum period in which contracts for the sale of grain to processors or other consumers extend (years) | 1 year |
Derivatives (Net Asset or Liabi
Derivatives (Net Asset or Liability Positions in Balance Sheet) (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 |
Estimated fair value of Company's commodity derivative instruments for cash collateral and associated cash as collateral | |||
Net derivative asset position, Collateral paid (received) | $ 136,977 | $ 208,670 | $ 70,446 |
Net derivative liability position, Fair value of derivatives | (14,100) | (157,301) | (58,495) |
Net derivative asset position, net | $ 122,877 | $ 51,369 | $ 11,951 |
Derivatives (Gross Current and
Derivatives (Gross Current and Noncurrent Assets and Liabilities) (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 |
Derivatives, Fair Value [Line Items] | |||
Commodity derivative liabilities | $ (14,100) | $ (157,301) | $ (58,495) |
Commodity derivative assets - current | 409,647 | 320,706 | 140,065 |
Commodity derivative liabilities - current | (78,702) | (146,990) | (79,159) |
Commodity | |||
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | 419,591 | 328,261 | 170,483 |
Commodity derivative liabilities | (221,473) | (359,464) | (177,413) |
Cash collateral paid | 136,977 | 208,670 | |
Cash collateral paid | 70,446 | ||
Total | 335,095 | 177,467 | 63,516 |
Commodity | Commodity Derivative Assets - Current | |||
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | 380,391 | 304,533 | 159,553 |
Commodity derivative liabilities | (107,721) | (192,023) | (89,933) |
Cash collateral paid | 136,977 | 208,196 | |
Cash collateral paid | 70,446 | ||
Commodity derivative assets - current | 409,647 | 320,706 | 140,066 |
Commodity | Commodity Derivative Assets - Noncurrent | |||
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | 11,704 | 4,328 | 3,565 |
Commodity derivative liabilities | (370) | (348) | (508) |
Cash collateral paid | 0 | 0 | |
Cash collateral paid | 0 | ||
Commodity derivative assets - noncurrent | 11,334 | 3,980 | 3,057 |
Commodity | Commodity Derivative Liabilities - Current | |||
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | 27,035 | 19,386 | 7,323 |
Commodity derivative liabilities | (105,737) | (166,850) | (86,482) |
Cash collateral paid | 0 | 474 | |
Cash collateral paid | 0 | ||
Commodity derivative liabilities - current | (78,702) | (146,990) | (79,159) |
Commodity | Commodity Derivative Liabilities - Noncurrent | |||
Derivatives, Fair Value [Line Items] | |||
Commodity derivative assets | 461 | 14 | 42 |
Commodity derivative liabilities | (7,645) | (243) | (490) |
Cash collateral paid | 0 | 0 | |
Cash collateral paid | 0 | ||
Commodity derivative liabilities - noncurrent | $ (7,184) | $ (229) | $ (448) |
Derivatives (Pre-tax Gains and
Derivatives (Pre-tax Gains and Losses) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Commodity | Cost of sales and merchandising revenues | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) on derivatives instruments recognized in earnings | $ (11,353) | $ (52,047) | $ 229,320 | $ (12,290) |
Not Designated as Hedging Instrument | Interest rate contracts | Operating, administrative and general expenses | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gains (losses) on derivatives instruments recognized in earnings | 51 | 357 | 760 | (363) |
Designated as Hedging Instrument | Interest rate contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest rate derivative losses included in Other comprehensive income (loss) | (2,044) | 2,373 | (12,520) | (18,284) |
Designated as Hedging Instrument | Interest rate contracts | Operating, administrative and general expenses | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest rate derivatives losses included in Interest income (expense), net | $ (1,746) | $ (2,345) | $ (5,020) | $ (5,045) |
Derivatives (Volume of Contract
Derivatives (Volume of Contracts Outstanding) (Details) lb in Thousands, gal in Thousands, bu in Thousands, T in Thousands | Sep. 30, 2021bu | Sep. 30, 2021gal | Sep. 30, 2021lb | Sep. 30, 2021T | Dec. 31, 2020bu | Dec. 31, 2020gal | Dec. 31, 2020lb | Dec. 31, 2020T | Sep. 30, 2020bu | Sep. 30, 2020gal | Sep. 30, 2020lb | Sep. 30, 2020T |
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 1,343,348 | 297,949 | 137,880 | 2,564 | 1,303,744 | 220,429 | 63,279 | 2,008 | 1,234,707 | 158,715 | 62,772 | 2,420 |
Non-exchange Traded | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 943,916 | 176,645 | 135,990 | 2,324 | 899,689 | 126,853 | 63,265 | 1,859 | 811,957 | 100,125 | 62,756 | 2,237 |
Non-exchange Traded | Corn | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 687,177 | 0 | 0 | 0 | 684,654 | 0 | 0 | 0 | 527,924 | 0 | 0 | 0 |
Non-exchange Traded | Soybeans | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 96,061 | 0 | 0 | 0 | 73,521 | 0 | 0 | 0 | 121,248 | 0 | 0 | 0 |
Non-exchange Traded | Wheat | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 94,132 | 0 | 0 | 0 | 109,661 | 0 | 0 | 0 | 80,546 | 0 | 0 | 0 |
Non-exchange Traded | Oats | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 35,460 | 0 | 0 | 0 | 27,482 | 0 | 0 | 0 | 40,004 | 0 | 0 | 0 |
Non-exchange Traded | Ethanol | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 174,381 | 0 | 0 | 0 | 124,795 | 0 | 0 | 0 | 96,470 | 0 | 0 |
Non-exchange Traded | Corn oil | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 0 | 92,709 | 0 | 0 | 0 | 36,015 | 0 | 0 | 0 | 45,144 | 0 |
Non-exchange Traded | Soybean oil | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 0 | 41,322 | 0 | 0 | 0 | 26,510 | 0 | 0 | 0 | 17,262 | 0 |
Non-exchange Traded | Other | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 31,086 | 2,264 | 1,959 | 2,324 | 4,371 | 2,058 | 740 | 1,859 | 42,235 | 3,655 | 350 | 2,237 |
Exchange Traded | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 399,432 | 121,304 | 1,890 | 240 | 404,055 | 93,576 | 14 | 149 | 422,750 | 58,590 | 16 | 183 |
Exchange Traded | Corn | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 236,395 | 0 | 0 | 0 | 267,792 | 0 | 0 | 0 | 250,445 | 0 | 0 | 0 |
Exchange Traded | Soybeans | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 60,660 | 0 | 0 | 0 | 53,730 | 0 | 0 | 0 | 62,785 | 0 | 0 | 0 |
Exchange Traded | Wheat | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 101,087 | 0 | 0 | 0 | 80,733 | 0 | 0 | 0 | 108,805 | 0 | 0 | 0 |
Exchange Traded | Oats | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 1,290 | 0 | 0 | 0 | 1,800 | 0 | 0 | 0 | 715 | 0 | 0 | 0 |
Exchange Traded | Ethanol | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 96,894 | 0 | 0 | 0 | 73,584 | 0 | 0 | 0 | 19,488 | 0 | 0 |
Exchange Traded | Propane | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 24,402 | 0 | 0 | 0 | 17,094 | 0 | 0 | 0 | 31,962 | 0 | 0 |
Exchange Traded | Other | ||||||||||||
Amounts of quantities outstanding included in commodity derivative contracts | ||||||||||||
Nonmonetary notional amount | 0 | 8 | 1,890 | 240 | 0 | 2,898 | 14 | 149 | 0 | 7,140 | 16 | 183 |
Derivatives (Fair Value of the
Derivatives (Fair Value of the Company's Other Derivatives) (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 |
Not Designated as Hedging Instrument | Accrued expenses and other current liabilities | Interest rate contracts | |||
Derivative [Line Items] | |||
Derivative liabilities | $ 0 | $ (589) | $ (879) |
Not Designated as Hedging Instrument | Accrued expenses and other current liabilities | Foreign currency contract | |||
Derivative [Line Items] | |||
Derivative assets | 326 | ||
Not Designated as Hedging Instrument | Other long term liabilities | Interest rate contracts | |||
Derivative [Line Items] | |||
Derivative liabilities | (258) | (430) | (491) |
Not Designated as Hedging Instrument | Other current assets | Foreign currency contract | |||
Derivative [Line Items] | |||
Derivative assets | 491 | 2,753 | |
Designated as Hedging Instrument | Accrued expenses and other current liabilities | Interest rate contracts | |||
Derivative [Line Items] | |||
Derivative liabilities | (6,892) | (6,664) | (8,431) |
Designated as Hedging Instrument | Other long term liabilities | Interest rate contracts | |||
Derivative [Line Items] | |||
Derivative liabilities | (9,146) | (18,539) | (22,409) |
Designated as Hedging Instrument | Other current assets | Interest rate contracts | |||
Derivative [Line Items] | |||
Derivative assets | $ 4,431 | $ 164 | $ 0 |
Derivatives (Outstanding Intere
Derivatives (Outstanding Interest Rate Derivatives) (Details) - Long-term $ in Millions | Sep. 30, 2021USD ($) |
Not Accounted for as Hedge | Swap 1.9% | |
Derivative [Line Items] | |
Notional amount | $ 23 |
Interest rate | 1.90% |
Not Accounted for as Hedge | Swap 0.0% to 0.8% | Minimum | |
Derivative [Line Items] | |
Interest rate | 0.00% |
Not Accounted for as Hedge | Swap 0.0% to 0.8% | Maximum | |
Derivative [Line Items] | |
Interest rate | 0.80% |
Not Accounted for as Hedge | Swap 0.0% to 0.8% | Minimum | |
Derivative [Line Items] | |
Interest rate | 0.00% |
Not Accounted for as Hedge | Swap 0.0% to 0.8% | Maximum | |
Derivative [Line Items] | |
Interest rate | 0.80% |
Accounted for as Hedge | Swap 1.8% | |
Derivative [Line Items] | |
Notional amount | $ 20 |
Interest rate | 1.80% |
Accounted for as Hedge | Swap 2.6% | |
Derivative [Line Items] | |
Notional amount | $ 10 |
Interest rate | 2.60% |
Accounted for as Hedge | Swap 2.7% | |
Derivative [Line Items] | |
Notional amount | $ 20 |
Interest rate | 2.70% |
Accounted for as Hedge | Swap 2.5% | |
Derivative [Line Items] | |
Notional amount | $ 100 |
Interest rate | 2.50% |
Accounted for as Hedge | Swap 2.5% | |
Derivative [Line Items] | |
Notional amount | $ 50 |
Interest rate | 2.50% |
Accounted for as Hedge | Swap 2.5% | |
Derivative [Line Items] | |
Notional amount | $ 50 |
Interest rate | 2.50% |
Accounted for as Hedge | Swap 0.0% to 0.8% | |
Derivative [Line Items] | |
Notional amount | $ 50 |
Accounted for as Hedge | Swap 0.0% to 0.8% | |
Derivative [Line Items] | |
Notional amount | $ 50 |
Revenue (Breakdown of Revenues
Revenue (Breakdown of Revenues by Accounting Standards) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Revenue from contract with customers | $ 457,621 | $ 282,258 | $ 1,568,529 | $ 1,066,620 |
Total revenues | 2,998,824 | 1,885,586 | 8,829,348 | 5,556,317 |
Revenues under ASC 606 | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Revenue from contract with customers | 457,621 | 282,258 | 1,568,529 | 1,066,620 |
Revenues under ASC 815 | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Total revenues | $ 2,541,203 | $ 1,603,328 | $ 7,260,819 | $ 4,489,697 |
Revenue (Disaggregation of Reve
Revenue (Disaggregation of Revenues) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Total | $ 457,621 | $ 282,258 | $ 1,568,529 | $ 1,066,620 |
Specialty nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 49,249 | 31,835 | 210,971 | 187,700 |
Primary nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 69,835 | 62,094 | 355,098 | 296,247 |
Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 11,061 | 2,985 | 19,787 | 9,806 |
Products and co-products | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 254,149 | 152,938 | 730,991 | 446,919 |
Frac sand and propane | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 49,379 | 21,676 | 178,094 | 92,990 |
Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 23,948 | 10,730 | 73,588 | 32,958 |
Trade | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 131,294 | 81,335 | 417,481 | 282,519 |
Trade | Specialty nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Trade | Primary nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Trade | Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 8,828 | 2,010 | 12,396 | 6,053 |
Trade | Products and co-products | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 70,924 | 55,235 | 217,859 | 171,744 |
Trade | Frac sand and propane | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 49,379 | 21,676 | 178,094 | 92,990 |
Trade | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 2,163 | 2,414 | 9,132 | 11,732 |
Ethanol | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 184,271 | 98,216 | 518,331 | 276,656 |
Ethanol | Specialty nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Ethanol | Primary nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Ethanol | Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Ethanol | Products and co-products | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 183,225 | 97,703 | 513,132 | 275,175 |
Ethanol | Frac sand and propane | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Ethanol | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 1,046 | 513 | 5,199 | 1,481 |
Plant Nutrient | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 142,056 | 102,707 | 632,717 | 507,445 |
Plant Nutrient | Specialty nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 49,249 | 31,835 | 210,971 | 187,700 |
Plant Nutrient | Primary nutrients | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 69,835 | 62,094 | 355,098 | 296,247 |
Plant Nutrient | Service | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 2,233 | 975 | 7,391 | 3,753 |
Plant Nutrient | Products and co-products | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Plant Nutrient | Frac sand and propane | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 0 | 0 | 0 | 0 |
Plant Nutrient | Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | $ 20,739 | $ 7,803 | $ 59,257 | $ 19,745 |
Revenue (Textual) (Details)
Revenue (Textual) (Details) - USD ($) $ in Millions | Sep. 30, 2021 | Dec. 31, 2020 |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Contract Liabilities | $ 31.2 | $ 45.6 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||||
Income tax (benefit) expense | $ 4,027 | $ (4,148) | $ 18,065 | $ (18,628) |
Effective income tax rate | (24.70%) | (175.80%) | (21.50%) | 36.70% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | ||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||
Beginning Balance | $ 1,224,964 | $ 1,132,083 | $ 1,160,660 | $ 1,195,655 | |
Other comprehensive income (loss) | (1,569) | 4,015 | 8,670 | (14,999) | |
Ending Balance | 1,236,013 | 1,137,227 | 1,236,013 | 1,137,227 | |
Accumulated Other Comprehensive Income (Loss) | |||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||
Beginning Balance | (1,837) | (26,245) | (12,076) | (7,231) | |
Ending Balance | (3,406) | (22,230) | (3,406) | (22,230) | |
Currency Translation Adjustment | |||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||
Beginning Balance | 8,432 | (2,325) | 5,739 | 1,065 | |
Other comprehensive income (loss) before reclassifications | (3,004) | 2,351 | (311) | (1,039) | |
Other Comprehensive Income (Loss), Tax | 0 | 0 | 0 | 0 | |
Other comprehensive income (loss) | (3,004) | 2,351 | (311) | (1,039) | |
Ending Balance | 5,428 | 26 | 5,428 | 26 | |
Hedging Adjustment | |||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||
Beginning Balance | (10,223) | (24,966) | (18,106) | (9,443) | |
Other comprehensive income (loss) before reclassifications | (146) | (535) | 4,467 | (18,594) | |
Amounts reclassified from accumulated other comprehensive income (loss) | [1] | 2,244 | 3,090 | 6,604 | 6,471 |
Other Comprehensive Income (Loss), Tax | (561) | (772) | (1,651) | (1,617) | |
Other comprehensive income (loss) | 1,537 | 1,783 | 9,420 | (13,740) | |
Ending Balance | (8,686) | (23,183) | (8,686) | (23,183) | |
Pension and Other Postretirement Adjustment | |||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||
Beginning Balance | (304) | 788 | 33 | 889 | |
Other comprehensive income (loss) before reclassifications | 69 | 52 | 74 | 293 | |
Amounts reclassified from accumulated other comprehensive income (loss) | [2] | (228) | (228) | (684) | (684) |
Other Comprehensive Income (Loss), Tax | 57 | 57 | 171 | 171 | |
Other comprehensive income (loss) | (102) | (119) | (439) | (220) | |
Ending Balance | (406) | 669 | (406) | 669 | |
Investments in Convertible Preferred Securities Adjustment | |||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||
Beginning Balance | 258 | 258 | 258 | 258 | |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | |
Ending Balance | $ 258 | $ 258 | $ 258 | $ 258 | |
[1] | Amounts reclassified from gain (loss) on cash flow hedges are reclassified from AOCI to income when the hedged item affects earnings and is recognized in Interest expense, net. See Note 5 for additional information. | ||||
[2] | This accumulated other comprehensive loss component is included in the computation of net periodic benefit cost recorded in Operating, administrative and general expenses. |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | |
Earnings Per Share [Abstract] | ||||
Net income (loss) from continuing operations | $ 12,290 | $ 1,788 | $ 66,069 | $ (32,088) |
Net income (loss) attributable to noncontrolling interests | (1,602) | 3,273 | (822) | (20,583) |
Net income attributable to The Andersons, Inc. | 13,892 | (1,485) | 66,891 | (11,505) |
Income (loss) from discontinued operations, net of income taxes | $ 1,846 | $ 427 | $ 7,453 | $ 3,224 |
Denominator: | ||||
Weighted average shares outstanding - basic (shares) | 33,284 | 32,962 | 33,246 | 32,905 |
Effect of dilutive awards (shares) | 350 | 0 | 424 | 0 |
Weighted average shares outstanding - diluted (shares) | 33,634 | 32,962 | 33,670 | 32,905 |
Basic earnings (loss): | ||||
Continuing operations (in dollars per share) | $ 0.42 | $ (0.04) | $ 2.01 | $ (0.35) |
Discontinued operations (in dollars per share) | 0.06 | 0.01 | 0.22 | 0.10 |
Earnings per common share - basic (dollars per share) | 0.48 | (0.03) | 2.23 | (0.25) |
Diluted earnings (loss): | ||||
Continuing operations (in dollars per share) | 0.41 | (0.04) | 1.99 | (0.35) |
Discontinued operations (in dollars per share) | 0.05 | 0.01 | 0.22 | 0.10 |
Earnings per common share - diluted (dollars per share) | $ 0.46 | $ (0.03) | $ 2.21 | $ (0.25) |
Antidilutive awards (shares) | 80 | 80 |
Fair Value Measurements (Assets
Fair Value Measurements (Assets and Liabilities Measured on Recurring Basis) (Details) - Recurring - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | |
Assets and liabilities measured at fair value on a recurring basis | ||||
Commodity derivatives, net | [1] | $ 335,095 | $ 177,467 | $ 63,516 |
Provisionally price contracts | [2] | 3,335 | (29,025) | (27,731) |
Convertible preferred securities | [3] | 11,066 | 8,849 | 8,654 |
Other assets and liabilities | [4] | (7,694) | (18,086) | (27,212) |
Total | 341,802 | 139,205 | 17,227 | |
Level 1 | ||||
Assets and liabilities measured at fair value on a recurring basis | ||||
Commodity derivatives, net | [1] | 122,877 | 51,369 | 11,951 |
Provisionally price contracts | [2] | 28,469 | 19,793 | (5,190) |
Convertible preferred securities | [3] | 0 | 0 | 0 |
Other assets and liabilities | [4] | 4,171 | 7,972 | 4,998 |
Total | 155,517 | 79,134 | 11,759 | |
Level 2 | ||||
Assets and liabilities measured at fair value on a recurring basis | ||||
Commodity derivatives, net | [1] | 212,218 | 126,098 | 51,565 |
Provisionally price contracts | [2] | (25,134) | (48,818) | (22,541) |
Convertible preferred securities | [3] | 0 | 0 | 0 |
Other assets and liabilities | [4] | (11,865) | (26,058) | (32,210) |
Total | 175,219 | 51,222 | (3,186) | |
Level 3 | ||||
Assets and liabilities measured at fair value on a recurring basis | ||||
Commodity derivatives, net | [1] | 0 | 0 | 0 |
Provisionally price contracts | [2] | 0 | 0 | 0 |
Convertible preferred securities | [3] | 11,066 | 8,849 | 8,654 |
Other assets and liabilities | [4] | 0 | 0 | 0 |
Total | $ 11,066 | $ 8,849 | $ 8,654 | |
[1] | Includes associated cash posted/received as collateral | |||
[2] | Included in "Provisionally priced contracts" are those instruments based only on underlying futures values (Level 1) and delayed price contracts (Level 2) | |||
[3] | Recorded in “Other assets, net” on the Company’s Condensed Consolidated Balance Sheets related to certain available for sale securities. | |||
[4] | Included in other assets and liabilities are assets held by the Company to fund deferred compensation plans and foreign exchange derivative contracts (Level 1), as well as interest rate derivatives (Level 2). |
Fair Value Measurements (Reconc
Fair Value Measurements (Reconciliation of Beginning and Ending Balances of Level 3 Measurements) (Details) - Level 3 - Convertible preferred securities - USD ($) $ in Thousands | 3 Months Ended | |||||
Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | |
Reconciliation of Fair Value Measurements Using Level 3 | ||||||
Asset (liability), Beginning Balance | $ 13,550 | $ 11,649 | $ 8,849 | $ 8,654 | $ 8,654 | $ 8,404 |
Additional investments | 300 | 1,901 | 2,800 | 0 | 0 | 250 |
Losses included in earnings | (2,784) | 0 | ||||
Asset (liability), Ending Balance | $ 11,066 | $ 13,550 | $ 11,649 | $ 8,654 | $ 8,654 | $ 8,654 |
Fair Value Measurements (Quanti
Fair Value Measurements (Quantitative Information Level 3 Measurements ) (Details) - USD ($) $ in Thousands | Sep. 30, 2021 | Dec. 31, 2020 | Sep. 30, 2020 |
Implied based on market prices | Level 3 | Convertible preferred securities | Recurring | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Asset fair value | $ 11,066 | $ 8,849 | $ 8,654 |
Related Parties (Details)
Related Parties (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Related Party Transactions [Abstract] | |||||
Sales revenues | $ 77,577 | $ 44,789 | $ 229,517 | $ 129,143 | |
Purchases of product | 9,715 | 16,641 | 30,051 | 38,637 | |
Accounts receivable | 13,523 | 7,184 | 13,523 | 7,184 | $ 5,623 |
Accounts payable | $ 2,514 | $ 3,058 | $ 2,514 | $ 3,058 | $ 5,251 |
Segment Information (Textual) (
Segment Information (Textual) (Details) | 9 Months Ended |
Sep. 30, 2021segment | |
Segment Reporting [Abstract] | |
Number of reportable segments (business segments) | 3 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | $ 2,998,824 | $ 1,885,586 | $ 8,829,348 | $ 5,556,317 | |
Income (loss) before income taxes attributable to the Company from continuing operations | 17,919 | (5,633) | 84,956 | (30,133) | |
Net income (loss) attributable to noncontrolling interests | (1,602) | 3,273 | (822) | (20,583) | |
Income (loss) before income taxes from continuing operations | 16,317 | (2,360) | 84,134 | (50,716) | |
Total assets | 3,708,142 | 3,411,611 | 3,708,142 | 3,411,611 | $ 4,272,121 |
Continuing Operations | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | 3,642,718 | 2,723,941 | 3,642,718 | 2,723,941 | 3,595,988 |
Discontinued Operations | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | 65,424 | 687,670 | 65,424 | 687,670 | 676,133 |
Operating Segments | Trade | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 2,242,131 | 1,432,922 | 6,522,508 | 4,162,130 | |
Income (loss) before income taxes attributable to the Company from continuing operations | 41,999 | 5,941 | 69,631 | (3,650) | |
Operating Segments | Trade | Continuing Operations | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | 2,313,417 | 1,642,219 | 2,313,417 | 1,642,219 | 2,486,412 |
Operating Segments | Ethanol | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 614,637 | 349,957 | 1,674,123 | 886,742 | |
Income (loss) before income taxes attributable to the Company from continuing operations | (3,636) | 1,148 | 22,821 | (21,960) | |
Operating Segments | Ethanol | Continuing Operations | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | 679,687 | 625,587 | 679,687 | 625,587 | 666,839 |
Operating Segments | Plant Nutrient | |||||
Segment Reporting Information [Line Items] | |||||
Revenues from external customers | 142,056 | 102,707 | 632,717 | 507,445 | |
Income (loss) before income taxes attributable to the Company from continuing operations | (5,832) | (5,387) | 26,686 | 12,828 | |
Operating Segments | Plant Nutrient | Continuing Operations | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | 409,112 | 343,121 | 409,112 | 343,121 | 374,653 |
Other | |||||
Segment Reporting Information [Line Items] | |||||
Income (loss) before income taxes attributable to the Company from continuing operations | (14,612) | (7,335) | (34,182) | (17,351) | |
Other | Continuing Operations | |||||
Segment Reporting Information [Line Items] | |||||
Total assets | $ 240,502 | $ 113,014 | $ 240,502 | $ 113,014 | $ 68,084 |
Discontinued Operations (Detail
Discontinued Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2021 | Sep. 30, 2020 | Aug. 16, 2021 | Dec. 31, 2020 | |
Income Statement Disclosures | ||||||
Sales and merchandising revenues | $ 25,018 | $ 36,647 | $ 103,950 | $ 109,202 | ||
Cost of sales and merchandising revenues | 19,065 | 28,049 | 78,089 | 80,187 | ||
Gross profit | 5,953 | 8,598 | 25,861 | 29,015 | ||
Operating, administrative and general expenses | 3,415 | 5,609 | 10,705 | 16,052 | ||
Interest expense, net | 2,139 | 3,716 | 8,714 | 12,032 | ||
Other income (loss), net | (1,330) | 588 | 583 | 2,543 | ||
Income (loss) from discontinued operations before income taxes | (931) | (139) | 7,025 | 3,474 | ||
Income tax provision (benefit) | (2,777) | (566) | (428) | 250 | ||
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent | 1,846 | 427 | 7,453 | 3,224 | ||
Current assets: | ||||||
Cash and cash equivalents | 0 | 0 | 0 | 0 | $ 0 | |
Accounts receivable, net | 18,389 | 19,620 | 18,389 | 19,620 | 18,508 | |
Inventories | 6,803 | 7,016 | 6,803 | 7,016 | 7,627 | |
Other current assets | 1,369 | 18,496 | 1,369 | 18,496 | 6,524 | |
Current assets held-for-sale | 26,561 | 45,132 | 26,561 | 45,132 | 32,659 | |
Other assets: | ||||||
Rail assets leased to others, net | 458 | 587,848 | 458 | 587,848 | 591,946 | |
Property, plant and equipment, net | 17,439 | 18,360 | 17,439 | 18,360 | 18,868 | |
Goodwill | 4,167 | 4,167 | 4,167 | 4,167 | 4,167 | |
Other intangible assets, net | 24 | 3,369 | 24 | 3,369 | 2,855 | |
Right of use assets, net | 16,521 | 24,561 | 16,521 | 24,561 | 22,644 | |
Other assets, net | 254 | 4,233 | 254 | 4,233 | 2,994 | |
Total non-current assets held-for-sale | 38,863 | 642,538 | 38,863 | 642,538 | 643,474 | |
Total assets held-for-sale | 65,424 | 687,670 | 65,424 | 687,670 | 676,133 | |
Current liabilities: | ||||||
Trade and other payables | 4,223 | 6,607 | 4,223 | 6,607 | 2,874 | |
Customer prepayments and deferred revenue | 128 | 1,667 | 128 | 1,667 | 1,934 | |
Current maturities of long-term debt | 0 | 5,286 | 0 | 5,286 | 6,109 | |
Accrued expenses and other current liabilities | 9,076 | 14,436 | 9,076 | 14,436 | 14,360 | |
Total current liabilities held-for-sale | 13,427 | 27,996 | 13,427 | 27,996 | 25,277 | |
Long-term lease liabilities | 13,592 | 19,016 | 13,592 | 19,016 | 17,342 | |
Long-term debt, less current maturities | 0 | 198,889 | 0 | 198,889 | 30,087 | |
Other long-term liabilities | 0 | 3,429 | 0 | 3,429 | 667 | |
Non-current liabilities held-for-sale | 13,592 | 221,334 | 13,592 | 221,334 | 48,096 | |
Total liabilities held-for-sale | $ 27,019 | $ 249,330 | 27,019 | 249,330 | $ 73,373 | |
Cash Flow Disclosures | ||||||
Depreciation and amortization | 21,786 | 26,670 | ||||
Capital expenditures | (8,368) | (29,460) | ||||
Proceeds from sale of assets | 18,705 | 7,774 | ||||
Loss on sale of discontinued operations | 1,491 | 0 | ||||
Non-cash operating activities - Gain on sale of railcars | (5,603) | (175) | ||||
Non-cash operating activities - fixed asset impairment | 626 | 0 | ||||
Non-cash investing activities - capital expenditures, consisting of unpaid capital expenditure liabilities at period end | $ 0 | $ 1,081 | ||||
Rail Leasing Business | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Consideration on sell of assets | $ 543,100 |
Goodwill (Details)
Goodwill (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2021USD ($) | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | $ 131,542 |
Divestitures | (2,200) |
Goodwill, ending balance | 129,342 |
Trade | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 122,067 |
Divestitures | (2,200) |
Goodwill, ending balance | 119,867 |
Ethanol | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 8,789 |
Divestitures | 0 |
Goodwill, ending balance | 8,789 |
Plant Nutrient | |
Goodwill [Roll Forward] | |
Goodwill, beginning balance | 686 |
Divestitures | 0 |
Goodwill, ending balance | $ 686 |