Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2018 | Feb. 21, 2019 | Jun. 30, 2018 | |
Document and Entity Information [Abstract] | |||
Entity Registrant Name | MGP INGREDIENTS INC | ||
Document Type | 10-K | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Common Stock, Shares Outstanding | 16,957,803 | ||
Amendment Flag | false | ||
Entity Central Index Key | 835,011 | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Well-known Seasoned Issuer | Yes | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Entity Public Float | $ 1,162,065,937 | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Entity Shell Company | false |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||
Income Statement [Abstract] | ||||
Net sales | $ 376,089 | $ 347,448 | $ 318,263 | |
Cost of sales | [1] | 292,490 | 271,432 | 252,980 |
Gross profit | 83,599 | 76,016 | 65,283 | |
Selling, general, and administrative expenses | 33,451 | 33,107 | 26,693 | |
Other operating income, net | 0 | 0 | (3,385) | |
Operating income | 50,148 | 42,909 | 41,975 | |
Gain on sale of equity method investment (Note 4) | 0 | 11,381 | 0 | |
Equity method investment earnings (loss) (Note 4) | 0 | (348) | 4,036 | |
Interest expense, net | (1,168) | (1,184) | (1,294) | |
Income before income taxes | 48,980 | 52,758 | 44,717 | |
Income tax expense (Note 6) | 11,696 | 10,935 | 13,533 | |
Net income | 37,284 | 41,823 | 31,184 | |
Income attributable to participating securities | 708 | 996 | 954 | |
Net income attributable to common shareholders and used in Earnings Per Share calculation (Note 7) | $ 36,576 | $ 40,827 | $ 30,230 | |
Share information | ||||
Basic and diluted weighted average common shares (in shares) | 16,866,176 | 16,746,731 | 16,643,811 | |
Basic and diluted EPS (in dollars per share) | $ 2.17 | $ 2.44 | $ 1.82 | |
Dividends and dividend equivalents per common share (in dollars per share) | $ 0.32 | $ 1.01 | $ 0.12 | |
[1] | Includes related party purchases of $0, and $18,425, $29,596 for the years ended December 31, 2018, 2017, and 2016, respectively. |
Consolidated Statements of In_2
Consolidated Statements of Income (Parentheticals) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Statement [Abstract] | |||
Cost of sales, related party transactions | $ 0 | $ 18,425 | $ 29,596 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 37,284 | $ 41,823 | $ 31,184 |
Other comprehensive income (loss), net of tax: | |||
Change in post-employment benefits | 147 | 66 | 134 |
Other | 0 | (4) | (7) |
Other comprehensive income | 147 | 62 | 127 |
Comprehensive income | $ 37,431 | $ 41,885 | $ 31,311 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Current Assets | ||
Cash and cash equivalents | $ 5,025 | $ 3,084 |
Receivables (less allowance for doubtful accounts at December 31, 2018 and 2017 - $24 | 38,797 | 34,347 |
Inventory | 108,769 | 93,149 |
Prepaid expenses | 1,320 | 2,182 |
Refundable income taxes | 712 | 1,980 |
Total current assets | 154,623 | 134,742 |
Property, plant, and equipment, net | 120,788 | 103,051 |
Other assets | 2,481 | 2,535 |
Total assets | 277,892 | 240,328 |
Current Liabilities | ||
Current maturities of long-term debt | 386 | 372 |
Accounts payable | 25,363 | 30,037 |
Accrued expenses | 11,714 | 11,171 |
Total current liabilities | 37,463 | 41,580 |
Long-term debt, less current maturities | 21,040 | 21,407 |
Credit agreement - revolver | 10,588 | 2,775 |
Deferred credits | 1,565 | 2,151 |
Accrued retirement, health, and life insurance benefits | 2,595 | 3,133 |
Other noncurrent liabilities | 1,523 | 540 |
Deferred income taxes | 1,677 | 12 |
Total liabilities | 76,451 | 71,598 |
Commitments and Contingencies – Note 8 | ||
Capital stock | ||
Preferred, 5% non-cumulative; $10 par value; authorized 1,000 shares; issued and outstanding 437 shares | 4 | 4 |
Common stock | ||
No par value; authorized 40,000,000 shares; issued 18,115,965 shares at December 31, 2018 and 2017; 16,856,414 and 16,797,420 shares outstanding at December 31, 2018 and 2017, respectively | 6,715 | 6,715 |
Additional paid-in capital | 15,375 | 13,912 |
Retained earnings | 198,914 | 167,129 |
Accumulated other comprehensive loss | (164) | (311) |
Treasury stock, at cost, 1,259,551 and 1,318,545 shares at December 31, 2018 and 2017, respectively | (19,403) | (18,719) |
Total stockholders’ equity | 201,441 | 168,730 |
Total liabilities and stockholders’ equity | $ 277,892 | $ 240,328 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Financial Position [Abstract] | ||
Receivables allowance for doubtful accounts (in Dollars) | $ 24 | $ 24 |
Preferred stock, par value (in Dollars per share) | $ 10 | $ 10 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 437,000 | 437,000 |
Preferred stock, shares outstanding | 437,000 | 437,000 |
Preferred stock, percentage non-cumulative | 5.00% | 5.00% |
Common stock, par value (in Dollars per share) | $ 0 | $ 0 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 18,115,965 | 18,115,965 |
Common stock, shares outstanding | 16,856,414 | 16,797,420 |
Treasury stock, shares | 1,259,551 | 1,318,545 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash Flows from Operating Activities | |||
Net income | $ 37,284 | $ 41,823 | $ 31,184 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 11,362 | 11,308 | 11,253 |
Gain on sale of equity method investment | 0 | (11,381) | 0 |
Gain on property insurance recoveries | 0 | 0 | (230) |
Gain on sale of assets | 0 | 0 | (872) |
Share-based compensation | 3,099 | 2,574 | 2,402 |
Equity method investment (earnings) loss | 0 | 348 | (4,036) |
Distributions received from equity method investee | 0 | 7,131 | 3,300 |
Deferred income taxes, including change in valuation allowance | 1,665 | (3,420) | 681 |
Other, net | 0 | 61 | 0 |
Changes in operating assets and liabilities: | |||
Receivables, net | (4,450) | (8,262) | 4,585 |
Inventory | (15,620) | (14,291) | (20,106) |
Prepaid expenses | 862 | (498) | (622) |
Refundable income taxes | 1,268 | 725 | (3,390) |
Accounts payable | (2,542) | 9,540 | (3,178) |
Accounts payable to affiliate, net | 0 | (3,349) | 1,058 |
Accrued expenses | 551 | 2,278 | (1,407) |
Deferred credits | (586) | (827) | (424) |
Accrued retirement, health, and life insurance benefits | 588 | (289) | (477) |
Net cash provided by operating activities | 33,481 | 33,471 | 19,721 |
Cash Flows from Investing Activities | |||
Additions to property, plant, and equipment | (31,046) | (21,055) | (17,922) |
Divestiture of equity method investment, net | 0 | 22,832 | 351 |
Proceeds from property insurance recoveries | 0 | 0 | 230 |
Proceeds from sale of property and other | 0 | 0 | 1,209 |
Acquisition of George Remus® | 0 | 0 | (1,551) |
Net cash provided by (used in) investing activities | (31,046) | 1,777 | (17,683) |
Cash Flows from Financing Activities | |||
Payment of dividends and dividend equivalents | (5,500) | (17,380) | (2,066) |
Purchase of treasury stock for tax withholding on equity-based compensation | (2,324) | (4,663) | (1,518) |
Loan fees incurred with borrowings | 0 | (377) | (114) |
Principal payments on long-term debt | (372) | (358) | (2,346) |
Proceeds on long-term debt | 0 | 20,000 | 0 |
Proceeds from credit agreement - revolver | 28,966 | 25,930 | 27,184 |
Payments on credit agreement - revolver | (21,264) | (56,885) | (22,356) |
Net cash used in financing activities | (494) | (33,733) | (1,216) |
Increase in cash | 1,941 | 1,515 | 822 |
Cash, beginning of year | 3,084 | 1,569 | 747 |
Cash, end of year | $ 5,025 | $ 3,084 | $ 1,569 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders’ Equity - USD ($) $ in Thousands | Total | Capital Stock Preferred | Issued Common | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock |
Beginning Balance at Dec. 31, 2015 | $ 116,160 | $ 4 | $ 6,715 | $ 12,383 | $ 113,531 | $ (500) | $ (15,973) |
Comprehensive income (loss): | |||||||
Net income | 31,184 | 31,184 | |||||
Other comprehensive income | 127 | 127 | |||||
Dividends and dividend equivalents, net of estimated forfeitures | (2,063) | (2,063) | |||||
Share-based compensation | 1,896 | 1,896 | |||||
Stock shares awarded, forfeited or vested | 506 | 506 | |||||
Stock shares repurchased | (1,518) | (1,518) | |||||
Ending Balance at Dec. 31, 2016 | 146,292 | 4 | 6,715 | 14,279 | 142,652 | (373) | (16,985) |
Comprehensive income (loss): | |||||||
Net income | 41,823 | 41,823 | |||||
Other comprehensive income | 62 | 62 | |||||
Dividends and dividend equivalents, net of estimated forfeitures | (17,346) | (17,346) | |||||
Share-based compensation | 2,065 | 2,065 | |||||
Stock shares awarded, forfeited or vested | 497 | (2,432) | 2,929 | ||||
Stock shares repurchased | (4,663) | (4,663) | |||||
Ending Balance at Dec. 31, 2017 | 168,730 | 4 | 6,715 | 13,912 | 167,129 | (311) | (18,719) |
Comprehensive income (loss): | |||||||
Net income | 37,284 | 37,284 | |||||
Other comprehensive income | 147 | 147 | |||||
Dividends and dividend equivalents, net of estimated forfeitures | (5,499) | (5,499) | |||||
Share-based compensation | 2,687 | 2,687 | |||||
Stock shares awarded, forfeited or vested | 416 | (1,224) | 1,640 | ||||
Stock shares repurchased | (2,324) | (2,324) | |||||
Ending Balance at Dec. 31, 2018 | $ 201,441 | $ 4 | $ 6,715 | $ 15,375 | $ 198,914 | $ (164) | $ (19,403) |
Nature of Operations and Summar
Nature of Operations and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations and Summary of Significant Accounting Policies | NOTE 1: NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Company. MGP Ingredients, Inc. ("Company") is a Kansas corporation headquartered in Atchison, Kansas and is a leading producer and supplier of premium distilled spirits and specialty wheat protein and starch food ingredients. Distilled spirits include premium bourbon and rye whiskeys and grain neutral spirits, including vodka and gin. MGP is also a top producer of high quality industrial alcohol for use in both food and non-food applications. The Company’s protein and starch food ingredients provide a host of functional, nutritional, and sensory benefits for a wide range of food products to serve the packaged goods industry. The Company's distillery products are derived from corn and other grains (including rye, barley, wheat, barley malt, and milo), and its ingredient products are derived from wheat flour. The majority of the Company's sales are made directly or through distributors to manufacturers and processors of finished packaged goods or to bakeries. Principles of Consolidation. The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. Use of Estimates. The financial reporting policies of the Company conform to accounting principles generally accepted in the United States of America ("GAAP"). The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. The application of certain of these policies places demands on management’s judgment, with financial reporting results relying on estimation about the effects of matters that are inherently uncertain. For all of these policies, management cautions that future events rarely develop as forecast, and estimates routinely require adjustment and may require material adjustment. Inventory. Inventory includes finished goods, raw materials in the form of agricultural commodities used in the production process, and certain maintenance and repair items. Bourbons and whiskeys are normally aged in barrels for several years, following industry practice; all barreled bourbon and whiskey is classified as a current asset. The Company includes warehousing, insurance, and other carrying charges applicable to barreled whiskey in inventory costs. Inventories are stated at the lower of cost or net realizable value on the first-in, first-out, or FIFO, method. Inventory valuations are impacted by constantly changing prices paid for key materials, primarily corn. Properties, Depreciation, and Amortization. Property, plant, and equipment are typically stated at cost. Additions, including those that increase the life or utility of an asset, are capitalized and all properties are depreciated over their estimated remaining useful lives. Depreciation and amortization are computed using the straight line method over the following estimated useful lives: Buildings and improvements (a) 10 – 30 years Machinery and equipment 3 – 10 years Office furniture and equipment 5 – 10 years Computer equipment and software 3 – 5 years Motor vehicles 5 years (a) Leasehold improvements are the shorter of economic useful life or life of lease Maintenance costs are expensed as incurred. The cost of property, plant, and equipment sold, retired, or otherwise disposed of, as well as related accumulated depreciation and amortization, are eliminated from the property accounts with related gains and losses reflected in the Consolidated Statements of Income. The Company capitalizes interest costs associated with significant construction projects. Total interest incurred for 2018 , 2017 , and 2016 is noted below: Year Ended December 31, 2018 2017 2016 Interest costs charged to expense $ 1,168 $ 1,184 $ 1,294 Plus: Interest cost capitalized 562 293 198 Total $ 1,730 $ 1,477 $ 1,492 Revenue Recognition. As a result of the adoption of Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers and related amendments ("Topic 606") on January 1, 2018, the Company has changed its accounting policy for revenue recognition (see Note 3). Revenue is recognized when control of the promised goods or services, through performance obligations by the Company, is transferred to the customer in an amount that reflects the consideration it expects to be entitled to in exchange for the performance obligations. The term between invoicing and when payment is due is not significant and the period between when the entity transfers the promised good or service to the customer and when the customer pays for that good or service is one year or less. Excise taxes that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the Company from a customer are excluded from revenue. Revenue is recognized for the sale of products at the point in time finished products are delivered to the customer in accordance with shipping terms. This is a faithful depiction of the satisfaction of the performance obligation because, at that point control passes to the customer, the customer has legal title and the risk and rewards of ownership have transferred, and the customer has present obligation to pay. The Company’s distillery products segment routinely enters into bill and hold arrangements, whereby the Company produces and sells unaged distillate to customers, and the product is subsequently barreled at the customer’s request and warehoused at a Company location for an extended period of time in accordance with directions received from the Company’s customers. Even though the unaged distillate remains in the Company's possession, a sale is recognized at the point in time when the customer obtains control of the product. Control is transferred to the customer in bill and hold transactions when: customer acceptance specifications have been met, legal title has transferred, the customer has a present obligation to pay for the product, the risk and rewards of ownership have transferred to the customer, and all the following additional bill and hold criteria have been met: the customer has requested the product be warehoused, the product has been identified as separately belonging to the customer, the product is currently ready for physical transfer to the customer, and the Company does not have the ability to use the product or direct it to another customer. Warehouse service revenue is recognized over the time that warehouse services are rendered and as they are rendered. This is a faithful depiction of the satisfaction of the performance obligation because control of the aging products has already passed to the customer and there are no additional performance activities required by the Company, except as requested by the customer. The performance of the service activities, as requested, is invoiced as satisfied and revenue is concurrently recognized. Income Taxes. The Company accounts for income taxes using an asset and liability method which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. A valuation allowance is recognized if it is "more likely than not" that at least some portion of the deferred tax asset will not be realized. EPS. Basic and diluted EPS is computed using the two class method, which is an earnings allocation formula that determines net income per share for each class of Common Stock and participating security according to dividends declared and participation rights in undistributed earnings. Per share amounts are computed by dividing net income attributable to common shareholders by the weighted average shares outstanding during each year or period. Fair Value of Financial Instruments. The Company determines the fair values of its financial instruments based on a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The hierarchy is broken down into three levels based upon the observability of inputs. Fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access. Level 2 inputs include quoted prices for similar assets and liabilities in active markets and inputs other than quoted prices that are observable for the asset or liability. Level 3 inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value in its entirety requires judgment and considers factors specific to the asset or liability. The Company’s short term financial instruments include cash and cash equivalents, accounts receivable and accounts payable. The carrying value of the short term financial instruments approximates the fair value due to their short term nature. These financial instruments have no stated maturities or the financial instruments have short term maturities that approximate market. The fair value of the Company’s debt is estimated based on current market interest rates for debt with similar maturities and credit quality. The fair value of the Company’s debt was $32,018 and $24,838 at December 31, 2018 and 2017 , respectively. The financial statement carrying value (including unamortized loan fees) was $32,014 and $24,554 at December 31, 2018 and 2017 , respectively. These fair values are considered Level 2 under the fair value hierarchy. Recently Issued Accounting Pronouncements. In August 2018, the Financial Accounting Standards Board ("FASB") issued ASU 2018-13, Fair Value Measurement (Topic 820) , which modifies the disclosure requirements on fair value measurements. The amendments are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted upon issuance of this update. An entity is permitted to early adopt any removed or modified disclosures upon issuance of this update and delay adoption of the additional disclosures until their effective date. The Company is evaluating the effect that ASU 2018-13 will have on its consolidated financial statements and related disclosures. In July 2018, the FASB issued ASU 2018-09, Codification Improvements , which clarifies and corrects unintended application of guidance, and makes improvements to several Codification Topics. Most of the amendments are effective immediately. Some of the amendments are effective for Public business entities for annual and interim periods in fiscal years beginning after December 15, 2018, and for all other entities, for annual periods in fiscal years beginning after December 15, 2019, and interim periods in fiscal years beginning after December 15, 2020. Other amendments, which affect recently issued ASUs that are not yet effective, are effective with the original ASU. The Company is evaluating the effect that ASU 2018-09 will have on its consolidated financial statements and related disclosures. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income , which allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. This ASU is effective for all entities for annual and interim periods in fiscal years beginning after December 15, 2018. Early adoption is permitted, including adoption in any interim period, (1) for public business entities for reporting periods for which financial statements have not yet been issued and (2) for all other entities for reporting periods for which financial statements have not yet been made available for issuance. The Company is evaluating the effect that ASU 2018-02 will have on its consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU 2016-02, Leases , as well as subsequent guidance, which requires lessees to recognize for all leases a right-of-use asset and a lease obligation in the consolidated balance sheet. Expenses are recognized in the consolidated statements of income in a manner similar to current accounting guidance. Lessees are permitted to make an accounting policy election to not recognize an asset and liability for leases with a term of twelve months or less. Lessor accounting under the new standard is substantially unchanged. Additional qualitative and quantitative disclosures, including significant judgments made by management, will be required. The new standard will become effective for the Company beginning with the first quarter 2019. The Company will adopt the accounting standard using a prospective transition approach, which applies the provisions of the new guidance at the effective date without adjusting the comparative periods presented. The Company is finalizing its evaluation of the impacts that the adoption of this accounting guidance will have on the consolidated financial statements, and estimates approximately $7,000 of right-of-use assets and lease liabilities related to operating leases will be recognized in its Consolidated Balance Sheet upon adoption. Recently Adopted Accounting Standard Updates. In March 2017, the FASB issued ASU 2017-07, Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost , which requires companies to present the service cost component of net benefit cost in the same line items in which they report compensation cost. Companies will present all other components of net benefit cost outside operating income, if this subtotal is presented. The Company adopted ASU 2017-07 on January 1, 2018, with an immaterial impact on its financial results and presentation for year ended December 31, 2018 . In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash, which requires companies to include cash and cash equivalents that have restrictions on withdrawal or use in total cash and cash equivalents on the statement of cash flows. The Company adopted ASU 2016-18 on January 1, 2018, and has determined that there was no impact to the presentation of its Consolidated Statements of Cash Flows because the Company had no restricted cash for years ended December 31, 2018 , 2017 , and 2016 . In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments , which addresses eight classification issues related to the statement of cash flows: Debt prepayment or debt extinguishment costs; Settlement of zero coupon bonds; Contingent consideration payments made after a business combination; Proceeds from the settlement of insurance claims; Proceeds from the settlement of corporate owned life insurance policies, including bank owned life insurance policies; Distributions received from equity method investees; Beneficial interests in securitization transactions; and Separately identifiable cash flows and application of the predominance principle. The Company adopted ASU 2016-15 on January 1, 2018, and has determined that there was no impact to the presentation of its Consolidated Statements of Cash Flows for years ended December 31, 2018 , 2017 , and 2016 . On January 1, 2018, the Company adopted Topic 606, using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018 (Note 3). |
Other Balance Sheet Captions
Other Balance Sheet Captions | 12 Months Ended |
Dec. 31, 2018 | |
Supplemental Balance Sheet Disclosures [Abstract] | |
Other Balance Sheet Captions | NOTE 2: OTHER BALANCE SHEET CAPTIONS Inventory. December 31, 2018 2017 Finished goods $ 17,296 $ 13,284 Barreled distillate (bourbons and whiskeys) 76,374 65,726 Raw materials 4,906 3,954 Work in process 1,550 1,935 Maintenance materials 7,541 7,256 Other 1,102 994 Total $ 108,769 $ 93,149 Property, plant, and equipment, net. December 31, 2018 2017 Land, buildings, and improvements $ 90,992 $ 72,223 Transportation equipment 3,308 3,286 Machinery and equipment 184,779 175,371 Construction in progress 16,814 16,408 Property, plant, and equipment, at cost 295,893 267,288 Less accumulated depreciation and amortization (175,105 ) (164,237 ) Property, plant, and equipment, net $ 120,788 $ 103,051 Accrued expenses. December 31, 2018 2017 Employee benefit plans $ 1,288 $ 962 Salaries and wages 7,099 7,452 Property taxes 1,248 1,185 Other 2,079 1,572 Total $ 11,714 $ 11,171 |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2018 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Revenue | NOTE 3: REVENUE Adoption of Topic 606 , Revenue from Contracts with Customers . On January 1, 2018, the Company adopted Topic 606, using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Financial results for reporting periods beginning after January 1, 2018 are presented under Topic 606, while prior period amounts are not adjusted and continue to be reported in accordance with the Company's historic accounting under ASC 605, Revenue Recognition . The Company has completed its evaluation of the impact of Topic 606 and concluded that there is no impact to the financial statements as a result of its adoption. The Company recorded no adjustment to opening retained earnings as of January 1, 2018 related to the transition from ASC 605 to Topic 606 and there are no differences to disclose to reconcile financial statement activity as reported under Topic 606 to ASC 605 for the year ended December 31, 2018 . Disaggregation of Revenue. The following table presents the Company's revenues disaggregated by segment and major products and services. NET SALES Year Ended December 31, 2018 2017 (a) 2016 (a) Distillery Products Premium beverage alcohol $ 188,431 $ 177,998 $ 150,364 Industrial alcohol 80,650 76,636 77,290 Food grade alcohol 269,081 254,634 227,654 Fuel grade alcohol 6,347 6,368 7,372 Distillers feed and related co-products 25,698 19,332 21,780 Warehouse services 12,929 10,674 8,437 Total distillery products $ 314,055 $ 291,008 $ 265,243 Ingredient Solutions Specialty wheat starches $ 28,594 $ 28,092 $ 26,803 Specialty wheat proteins 21,098 19,458 18,211 Commodity wheat starch 9,223 8,288 7,002 Commodity wheat protein 3,119 602 1,004 Total ingredient solutions $ 62,034 $ 56,440 $ 53,020 Total net sales $ 376,089 $ 347,448 $ 318,263 (a) Prior year amounts were not adjusted upon adoption of Topic 606. The following table presents the Company's revenues disaggregated by segment and timing of revenue recognition. NET SALES Year Ended December 31, 2018 2017 (a) 2016 (a) Distillery Products Products transferred at a point in time $ 301,126 $ 280,334 $ 256,806 Services transferred over time 12,929 10,674 8,437 Total distillery products $ 314,055 $ 291,008 $ 265,243 Ingredient Solutions Products transferred at a point in time $ 62,034 $ 56,440 $ 53,020 Total net sales $ 376,089 $ 347,448 $ 318,263 (a) Prior year amounts were not adjusted upon adoption of Topic 606. The Company generates revenues from the distillery products segment by the sale of products and by providing warehouse services related to the storage and aging of customer products. The Company generates revenues from the ingredient solutions segment by the sale of products. Contracts with customers in both segments include a single performance obligation (either the sale of products or the provision of warehouse services). |
Equity Method Investments
Equity Method Investments | 12 Months Ended |
Dec. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments | NOTE 4: EQUITY METHOD INVESTMENTS As of December 31, 2018 and 2017 , the Company's equity method investments were zero . Illinois Corn Processing ("ICP") Investment. On July 3, 2017, the Company completed the sale of its equity ownership interest in ICP to Pacific Ethanol Central, LLC ("Pacific Ethanol"), consistent with an Agreement and Plan of Merger ("Merger Agreement") entered into on June 26, 2017. The total transaction proceeds to the Company from the ICP sale transaction represented a return of its investment in ICP of $22,832 (net of fees and including additional dividends), which included a gain on sale of equity method investment of $11,381 (before tax), on the Company's 2017 Consolidated Statement of Income. The Merger Agreement contemplated a special distribution of all of ICP’s cash and cash equivalents to equity owners prior to the closing, which resulted in the Company receiving cash dividend distributions from ICP during June 2017 totaling $7,430 that reduced its 30 percent ownership interest. On February 26, 2016, the Company received a cash dividend distribution from ICP of $3,300 that reduced its investment in ICP as of December 31, 2016. DMI Investment. Our joint venture terminated effective June 30, 2015, with a return of investment in the amount of $351 on December 23, 2016. Related Party Transactions. See Note 14 for discussion of related party transactions. Summary Financial Information. Condensed financial information of the Company’s equity method investment in ICP for the years ended December 31, 2017 and 2016 : Year Ended December 31, ICP’s Operating results: 2017 2016 Net sales (a) $ 78,062 $ 177,401 Cost of sales and expenses (b) (79,224 ) (163,837 ) Net income (loss) $ (1,162 ) $ 13,564 (a) Includes related party sales to MGPI of $17,672 , and $27,675 for 2017 and 2016 , respectively. (b) Includes depreciation and amortization of $1,720 and $3,030 for 2017 and 2016 , respectively. The Company’s equity method investment earnings (losses) for the years ended December 31, 2017 and 2016 : Year Ended December 31, 2017 2016 ICP (30% interest) $ (348 ) $ 4,069 DMI (50% interest) — (33 ) Total $ (348 ) $ 4,036 |
Corporate Borrowings
Corporate Borrowings | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Corporate Borrowings | NOTE 5: CORPORATE BORROWINGS Indebtedness Outstanding. December 31, Description (a) 2018 2017 Credit Agreement - Revolver, 3.889% (variable rate) due 2022 $ 11,000 $ 3,298 Secured Promissory Note, 3.71% (fixed rate) due 2022 1,594 1,966 Prudential Note Purchase Agreement, 3.53% (fixed rate) due 2027 20,000 20,000 Total indebtedness outstanding 32,594 25,264 Less unamortized loan fees (b) (580 ) (710 ) Total indebtedness outstanding, net 32,014 24,554 Less current maturities of long-term debt (386 ) (372 ) Long-term debt $ 31,628 $ 24,182 (a) Interest rates are as of December 31, 2018 . (b) Loan fees are being amortized over the life of the Credit Agreement and Note Purchase Agreement. Credit Agreement and Note Purchase Agreement. On August 23, 2017, the Company entered into a new credit agreement (the "Credit Agreement") with Wells Fargo Bank, National Association. The Credit Agreement replaced the Company’s Third Amended and Restated Credit Agreement, which included a revolver, a fixed asset sub-line term loan, and a term loan. The Credit Agreement provides for a $150,000 revolving credit facility. The Company may increase the facility from time to time by an aggregate principal amount of up to $25,000 provided certain conditions are satisfied and at the discretion of the lender. The Credit Agreement matures on August 23, 2022. The Credit Agreement includes certain requirements and covenants, which the Company was in compliance with at December 31, 2018 . The Company incurred no new loan fees related to the Credit Agreement during 2018 . The unamortized balance of total loan fees related to the Credit Agreement was $412 at December 31, 2018 and is being amortized over the life of the Credit Agreement. As of December 31, 2018 , the Company's total outstanding borrowings under the Credit Agreement were $11,000 leaving $139,000 available. The interest rate for the borrowings of the Credit Agreement at December 31, 2018 was 3.9 percent . On August 23, 2017, the Company also entered into a Note Purchase and Private Shelf Agreement (the "Note Purchase Agreement") with PGIM, Inc. ("Prudential Capital Group"), an affiliate of Prudential Financial, Inc., and certain affiliates of PGIM, Inc. The Note Purchase Agreement provides for the issuance of up to $75,000 of Senior Secured Notes, and the Company issued $20,000 of Senior Secured Notes with a maturity date of August 23, 2027. The Senior Secured Notes bear interest at a rate of 3.5 percent per year. The Note Purchase Agreement includes certain requirements and covenants, which the Company was in compliance with at December 31, 2018 . The Company incurred no new loan fees related to the Note Purchase Agreement during 2018 . The unamortized balance of total loan fees related to the Note Purchase Agreement was $168 at December 31, 2018 and is being amortized over the life of the Note Purchase Agreement. Debt Maturities. Year Ending December 31, 2019 $ 386 2020 400 2021 2,016 2022 14,592 2023 3,200 Thereafter 12,000 Total $ 32,594 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 6: INCOME TAXES Income tax expense is composed of the following: Year Ended December 31, 2018 2017 2016 Current: Federal $ 8,844 $ 14,020 $ 12,637 State 1,317 379 342 10,161 14,399 12,979 Deferred: Federal 55 (3,764 ) (254 ) State 1,480 300 808 1,535 (3,464 ) 554 Total $ 11,696 $ 10,935 $ 13,533 Income tax expense also included tax expense allocated to comprehensive income for 2018 , 2017 , and 2016 , of $73 , $37 , and $84 , respectively (see the Consolidated Statements of Comprehensive Income). On December 22, 2017, the United States enacted tax reform legislation commonly known as the Tax Cuts and Jobs Act (the "Tax Act"), resulting in significant modifications to the then existing law, impacting the measurement of income taxes for the year ended December 31, 2017, and the years thereafter. The Tax Act established new tax laws or modified existing tax laws starting in 2018, including but not limited to, (1) reducing the federal corporate income tax rate to a flat 21 percent rate, (2) eliminating the corporate alternative minimum tax, (3) repealing the domestic production activity deduction, (4) adding a new limitation on deductible interest, (5) changing the limitations on the deductibility of certain executive compensation, and, (6) starting in the quarter ended September 30, 2017, changing the bonus depreciation rules to allow full expensing of qualified property. In response to the Tax Act, the SEC staff issued SAB 118, which provided guidance on accounting for the tax effects of the Tax Act. SAB 118 provided for a measurement period not to extend beyond one year from the Tax Act enactment date for companies to complete the accounting under ASC 740 - Income Taxes . The Company, following the guidance in SAB 118, recorded a provisional discrete net tax benefit in its Consolidated Statement of Income through net income of $3,343 in the year ended December 31, 2017. This net benefit was driven by a re-measurement of the carrying value of its deferred tax assets and liabilities because of the corporate rate reduction. This net benefit provided a 6.3 percent reduction in the Company’s effective tax rate for the year ended December 31, 2017. The Company has evaluated the elements of the Tax Act, including filing its federal income tax return during the quarter ended December 31, 2018. The Company was not required to make a measurement period adjustment. Therefore, the accounting for the Tax Act is now complete, and the discrete net benefit recorded for the year ended December 31, 2017, is no longer provisional. In addition, the Company has incorporated the law changes and subsequent guidance related to the Tax Act into its December 31, 2018, provision for income taxes contained herein. A reconciliation of income tax expense at the normal statutory federal rate to income tax expense included in the accompanying Consolidated Statements of Income is below: Year Ended December 31, 2018 2017 2016 "Expected" provision at federal statutory rate $ 10,286 $ 18,465 $ 15,651 State income taxes, net (a) 2,029 1,612 1,672 Change in valuation allowance 1,304 (578 ) (718 ) Domestic production activity deduction — (957 ) (1,247 ) Share-based compensation (a) (1,201 ) (4,254 ) (1,408 ) Compensation limits — 931 — Federal and state tax credits (807 ) (1,058 ) (1,065 ) Tax benefit from the Tax Act — (3,343 ) — Other 85 117 648 Income tax expense $ 11,696 $ 10,935 $ 13,533 Effective tax rate 23.9 % 20.7 % 30.3 % (a) The Company received federal excess tax benefits on share-based compensation awards in 2018, 2017, and 2016 of $1,201 , $4,254 , and $1,408 , respectively, and state benefits of $236 , $371 and $163 , respectively, for excess tax benefits. The state benefits are part of the State income taxes, net, balances in the above table. The tax effects of temporary differences giving rise to deferred income taxes shown on the Consolidated Balance Sheets are as follows: December 31, 2018 2017 Deferred income tax assets: Post-retirement liability $ 770 $ 910 Deferred income 393 543 Share-based compensation 1,581 1,158 Capital loss carryforwards 379 — State tax credit carryforwards 3,245 3,488 State operating loss carryforwards 1,505 1,434 Inventories 1,476 1,346 Other 1,231 766 Gross deferred income tax assets $ 10,580 $ 9,645 Less: valuation allowance (1,452 ) (148 ) Net deferred income tax assets 9,128 9,497 Deferred income tax liabilities: Fixed assets (10,497 ) (9,255 ) Other (308 ) (254 ) Gross deferred income tax liabilities (10,805 ) (9,509 ) Net deferred income tax liability $ (1,677 ) $ (12 ) A schedule of the change in valuation allowance is as follows: Valuation allowance Balance at December 31, 2016 $ 726 Decrease (578 ) Balance at December 31, 2017 $ 148 Increase 1,304 Balance at December 31, 2018 $ 1,452 As of December 31, 2018 , the Company’s total valuation allowance of $1,452 related to net operating loss carryforwards in states in which it is not "more likely than not" to create enough state taxable income to fully utilize the carryforwards before expiration of the carryforward periods, and capital loss carryforwards that the Company is not "more likely than not" to use before they expire. Based upon final information received in 2018 concerning the sale of the Company’s equity ownership interest in ICP during 2017, the Company was required to revise the estimate of its ability to use its capital loss carryforwards. This revision increased its deferred tax assets and corresponding valuation allowance by $379 . The remainder of the change in the Company’s valuation allowance was an increase of $925 related to additional net operating loss carryforwards. The total net increase in the Company's valuation allowance was $1,304 for the year ended December 31, 2018 . The carrying value of the Company’s deferred tax assets, liabilities, and the corresponding valuation allowances for the years ended December 31, 2018 , and December 31, 2017 , reflect the completed accounting concerning the Tax Act. As of December 31, 2017 , the Company’s total valuation allowance of $148 related to net operating loss carryforwards in states in which the Company is not "more likely than not" to create enough state taxable income to fully utilize the carryforwards before expiration of the carryforward periods. Due to capital gains estimated to be realized as part of the sale of the Company’s equity ownership interest in ICP during 2017, the Company was able to utilize all of its federal capital loss carryforwards in 2017, and reduce its valuation allowance and corresponding deferred tax asset by $690 . The remainder of the change in the valuation allowance was an increase of $112 for additional net operating loss carryforwards for a net reduction of the Company's valuation allowance of $578 . As of December 31, 2018 , the Company had $21,575 in gross state net operating loss carryforwards. As of December 31, 2017 , the Company had $19,979 in state net operating loss carryforwards. Due to varying state carryforward periods, the state net operating loss carryforwards will expire in varying years between calendar years 2019 and 2038. The Company has gross state tax credit carryforwards of $4,107 as of December 31, 2018 and $4,416 as of December 31, 2017 . State credits, if not used to offset income tax expense in their respective jurisdictions, will expire in varying years between 2020 and 2034. The Company treats accrued interest and penalties related to tax liabilities, if any, as a component of income tax expense. During 2018 , 2017 , and 2016 , the Company’s activity in accrued interest and penalties was not significant. The following is a reconciliation of the total amount of unrecognized tax benefits (excluding interest and penalties) for 2018 , 2017 , and 2016 : Year Ended December 31, 2018 2017 2016 Beginning of year balance $ 185 $ 43 $ 613 Additions based on prior year tax positions 2 130 2 Additions based on current year tax positions 11 12 21 Reduction for prior year tax positions (5 ) — (48 ) Reductions for settlements — — (545 ) End of year balance $ 193 $ 185 $ 43 For each period presented, substantially all of the amount of unrecognized benefits (excluding interest and penalties) would impact the effective tax rate, if recognized. The Company reasonably expects that the amount of unrecognized tax benefit will not decrease by a significant amount in the next 12 months. The Company is currently under federal income tax audit for tax year 2016, and by the state of Michigan related to Corporate Income Tax for tax years 2013 through 2016. The Company does not expect either audit to result in a significant adjustment. The Company has been audited for United States income tax purposes through tax year 2013, resulting in no significant adjustments. All tax years after 2014 remain open to adjustment due to use of net operating loss and credit carryforwards in tax years through 2015. The Company is subject to examination for its state tax returns for years 2014 and forward, with the exception of certain net operating losses and credit carryforwards originating in years prior to 2014 that remain subject to adjustment. |
Equity and EPS
Equity and EPS | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Equity and EPS | NOTE 7: EQUITY AND EPS Capital Stock. Common Stockholders are entitled to elect four of the nine members of the Board of Directors, while Preferred Stockholders are entitled to elect the remaining five members. All directors are elected annually for a one year term. Any vacancies on the Board are to be filled only by the shareholders and not by the Board. Shareholders who own 10 percent or more of the outstanding Common or Preferred Stock have the right to call a special meeting of stockholders. Common Stockholders are not entitled to vote with respect to a merger, dissolution, lease, exchange or sale of substantially all of the Company’s assets, or on an amendment to the Articles of Incorporation, unless such action would increase or decrease the authorized shares or par value of the Common or Preferred Stock, or change the powers, preferences or special rights of the Common or Preferred Stock so as to affect the Common Stockholders adversely. Generally, Common Stockholders and Preferred Stockholders vote as separate classes on all other matters requiring shareholder approval. EPS. The computations of basic and diluted EPS: Year Ended December 31, 2018 2017 2016 Operations: Net income (a) $ 37,284 $ 41,823 $ 31,184 Less: Income attributable to participating securities (unvested shares and units) (b) 708 996 954 Net income attributable to common shareholders $ 36,576 $ 40,827 $ 30,230 Share information: Basic and diluted weighted average common shares (c) 16,866,176 16,746,731 16,643,811 Basic and diluted EPS $ 2.17 $ 2.44 $ 1.82 (a) Net income attributable to all shareholders. (b) Participating securities included RSUs of 326,375 , 368,492 , and 527,486 for the years ended December 31, 2018 , 2017 , and 2016 , respectively. (c) Under the two class method, basic weighted average common shares exclude outstanding unvested participating securities. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 8: COMMITMENTS AND CONTINGENCIES Commitments. The Company leases railcars and other assets under various operating leases. For railcar leases, which are the majority, the Company is generally required to pay all service costs associated with the railcars. Rental payments include minimum rentals plus contingent amounts based on mileage. Rental expenses under railcar operating leases with terms longer than one month were $2,081 , $2,372 , and $2,561 for the years ended December 31, 2018 , 2017 , and 2016 , respectively. The Company's future minimum rental payments are $2,224 ; $1,858 ; $1,357 ; $977 ; and $481 for the years ending December 31, 2019, 2020, 2021, 2022, and 2023, respectively. As of October 2018, the Company carries $10,000 in industrial revenue bonds with the City of Williamstown, Kentucky (the "City") that mature in 2047, and leases back facilities owned by the City that the Company recorded as property, plant, and equipment, net, on its Consolidated Balance Sheet under a capital lease. The lease payment on the facilities is sufficient to pay principal and interest on the bonds. Because the Company owns all of the outstanding bonds, has a legal right to set-off, and intends to set-off the corresponding lease and interest payment, the Company netted the capital lease obligation with the bond asset and, in turn, reflected no amount for the obligation or the corresponding asset on its Consolidated Balance Sheet at December 31, 2018 . Contingencies. There are various legal and regulatory proceedings involving the Company and its subsidiaries. The Company accrues estimated costs for a contingency when management believes that a loss is probable and can be reasonably estimated. A chemical release occurred at the Company's Atchison facility on October 21, 2016, which resulted in emissions venting into the air ("the Atchison Chemical Release"). The Company reported the event to the Environmental Protection Agency ("EPA"), the Occupational, Safety, and Health Administration ("OSHA"), and to Kansas and local authorities on that date, and is cooperating fully to investigate and ensure that all appropriate response actions are taken. The Company has also engaged outside experts to assist the investigation and response. The Company believes it is probable that a fine or penalty may be imposed by regulatory authorities, but it is currently unable to reasonably estimate the amount thereof since some investigations are not complete and could take several months up to a few years to complete. Private plaintiffs have initiated, and additional private plaintiffs may initiate, legal proceedings for damages resulting from the emission, but the Company is currently unable to reasonably estimate the amount of any such damages that might result. The Company's insurance is expected to provide coverage of any damages to private plaintiffs, subject to a deductible of $250 , but certain regulatory fines or penalties may not be covered and there can be no assurance to the amount or timing of possible insurance recoveries if ultimately claimed by the Company. There was no significant damage to the Company's Atchison plant as a result of this incident. No other MGP facilities, including the distillery in Lawrenceburg, Indiana, were affected by this incident. OSHA completed its investigation of the Atchison Chemical Release and, on April 19, 2017, issued its penalty to the Company in the amount of $138 . Management settled this assessment with OSHA in full for $75 , which was paid on May 16, 2017. A portion, or all, of the penalty amount may be covered by insurance. The EPA informed the Company on August 1, 2017, that it intends to seek civil penalties of approximately $250 in connection with its investigation of the Atchison Chemical Release, while offering the Company the opportunity to settle the matter prior to the EPA proceeding with a formal enforcement action. The Company is seeking a negotiated settlement with the EPA, but negotiations have paused pending resolution of the EPA's criminal investigation. Since the Company expects a negotiated resolution of the EPA civil case and EPA-proposed civil penalties are not material to the year ended December 31, 2018 , the Company has not included an accrual in its results. A portion, or all, of the settled penalty amount may be covered by insurance. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | NOTE 9: EMPLOYEE BENEFIT PLANS 401(k) Plans. The Company has established 401(k) plans covering all employees after certain eligibility requirements are met. Amounts charged to operations for employer contributions related to the plans totaled $1,488 , $1,299 , and $1,097 for 2018 , 2017 , and 2016 , respectively. Post-Employment Benefits. The Company sponsors life insurance coverage as well as medical benefits, including prescription drug coverage, to certain retired employees and their spouses. In 2014, the Company made a change to the plan to terminate post-employment health care and life insurance benefits for all union employees except for a specified grandfathered group. At December 31, 2018 the plan covered 181 participants, both active and retired. The post-employment health care benefit is contributory for spouses under certain circumstances. Otherwise, participant contribution premiums are not required. The health care plan contains fixed deductibles, co-pays, coinsurance, and out-of-pocket limitations. The life insurance segment of the plan is noncontributory and is available to retirees only. The Company funds the post-employment benefit on a pay-as-you-go basis, and there are no assets that have been segregated and restricted to provide for post-employment benefits. Benefit eligibility for the current remaining grandfathered active group ( 25 employees) is age 62 and five years of service. The Company pays claims and premiums as they are submitted. The Company provides varied levels of benefits to participants depending upon the date of retirement and the location in which the employee worked. An older group of grandfathered retirees receives lifetime health care coverage. All other retirees receive coverage to age 65 through continuation of the Company group medical plan and a lump sum advance premium to the MediGap carrier of the retiree’s choice. Life insurance is available over the lifetime of the retiree in all cases. The Company bases its post-employment plan valuation on The Society of Actuaries RPH-2014 Adjusted to 2006 Total Dataset Headcount-weighted Mortality with Scale MP-2018 Full Generational Improvement ("MP-2018 scale"). Based on the 2018 update, the MP-2018 scale reflects a lower level of improvement resulting in shorter assumed life spans. The impact of this change in assumed mortality on post-employment benefits liability was included in the Company's post-employment plan valuation for 2018, and using previous year scales, for 2017 , and 2016 . The Company’s measurement date is December 31. The Company expects to contribute approximately $484 , net $17 for Medicare Part D subsidy receipts, resulting in a net contribution of $467 to the plan in 2019 . The status of the Company’s plan at December 31, 2018 , 2017 , and 2016 : Post-Employment Benefit Plan December 31, 2018 2017 2016 Change in benefit obligation: Beginning of year $ 3,604 $ 4,106 $ 4,681 Service cost 22 25 36 Interest cost 100 122 142 Actuarial gain (196 ) (261 ) (297 ) Benefits paid (421 ) (388 ) (456 ) Other (47 ) — — Benefit obligation at end of year $ 3,062 $ 3,604 $ 4,106 Assumptions used to determine accumulated benefit obligations as of year end: Post-Employment Benefit Plan Year Ended December 31, 2018 2017 Discount rate 3.67% 2.96% Measurement date December 31, December 31, Assumptions used to determine net benefit cost (credit) for 2018 , 2017 , and 2016 : Post-Employment Benefit Plan Year Ended December 31, 2018 2017 2016 Discount rate 2.96 % 3.15 % 3.20 % Average compensation increase N/A N/A N/A The discount rate refers to the interest rate used to discount the estimated future benefit payments to their present value, referred to as the benefit obligation. The Company determines the discount rate using a yield curve of high quality fixed income investments whose cash flows match the timing and amount of the Company’s expected benefit payments. Components of net benefit cost (credit): Post-Employment Benefit Plan Year Ended December 31, 2018 2017 2016 Service cost $ 22 $ 25 $ 36 Interest cost 100 122 142 Amortization of unrecognized prior service cost (37 ) (339 ) (338 ) Amortization of unrecognized net actuarial loss 92 184 269 Net benefit cost (credit) $ 177 $ (8 ) $ 109 Changes in plan assets and benefit obligations recognized in accumulated other comprehensive loss in the Consolidated Balance Sheets: Post-Employment Benefit Plan Year Ended December 31, 2018 2017 2016 Net actuarial gain $ 196 $ 261 $ 293 Amortization of unrecognized net actuarial loss 92 184 269 Amortization of unrecognized prior service cost (37 ) (339 ) (338 ) Stranded tax effects from the Tax Act and Other (78 ) — — Other 47 — — Total other comprehensive income, pre-tax 220 106 224 Income tax expense 73 40 90 Total other comprehensive income, net of tax $ 147 $ 66 $ 134 Benefit obligation recognized in the Consolidated Balance Sheets: Post-Employment Benefit Plan As of December 31, Benefit obligation 2018 2017 Current $ (467 ) $ (471 ) Non-Current (2,595 ) (3,133 ) Net amount recognized $ (3,062 ) $ (3,604 ) The estimated amount that will be recognized from accumulated other comprehensive income (loss) into net periodic benefit cost during 2019 : Post-Employment Benefit Plan Actuarial net loss $ (23 ) Net prior service credits 15 Net amount recognized $ (8 ) The assumed average annual rate of increase in the per capita cost of covered benefits (health care cost trend rate): Post-Employment Benefit Plan Year Ended December 31, 2018 2017 Group Plan Lifetime Prescription Cost Medicare Supplement Group Plan Lifetime Prescription Cost Medicare Supplement Health care cost trend rate 7.00 % 9.00 % 4.50 % 7.00 % 9.00 % 4.50 % Ultimate trend rate 5.00 % 5.00 % 4.50 % 5.00 % 5.00 % 4.50 % Year rate reaches ultimate trend rate 2025 2027 2019 2025 2027 2018 A one percentage point increase (decrease) in the assumed health care cost trend rate would have increased (decreased) the accumulated benefit obligation by $69 ($104) at December 31, 2018 and the service and interest cost would have increased (decreased) by $4 ($3) for the year ended December 31, 2018 . As of December 31, 2018 , the following expected benefit payments (net of Medicare Part D subsidiary for Post-Employment Benefit Plan Payments) and the related expected subsidy receipts that reflect expected future service, as appropriate, are expected to be paid to plan participants: Post-Employment Benefit Plan Expected Benefit Payments Expected Subsidy Receipts 2019 $ 484 $ 17 2020 468 15 2021 438 14 2022 426 13 2023 376 11 2024-2028 961 34 Total $ 3,153 $ 104 Share-Based Compensation Plans. As of December 31, 2018 , the Company was authorized to issue 40,000,000 shares of Common Stock and had a treasury share balance of 1,259,551 at December 31, 2018 . The Company currently has two active share-based compensation plans: the Employee Equity Incentive Plan of 2014 (the "2014 Plan") and the Non-Employee Director Equity Incentive Plan (the "Directors' Plan"). The plans were approved by shareholders at the Company's annual meeting in May 2014. The 2014 Plan replaced the 2004 Plan. Detail of activities in both plans follows below. The Company’s share-based compensation plans provide for the awarding of stock options, stock appreciation rights, and shares of restricted stock and RSUs for senior executives and salaried employees, as well as for outside directors. Compensation expense related to restricted stock awards is based on the market price of the stock on the date the Board of Directors communicates the approved award and is amortized over the vesting period of the restricted stock award. The Consolidated Statements of Income for 2018 , 2017 , and 2016 reflect total share-based compensation costs and director fees for awarded grants of $2,612 , $2,245 , $2,402 , respectively, related to these plans. For long-term incentive awards to be granted in the form of RSUs in 2019 based on 2018 results, the Human Resources and Compensation Committee ("HRCC") determined that the grants would have performance conditions that would be based on the same performance metrics as the Short-Term Incentive Plan (the "STI Plan"). The performance metrics are operating income, earnings before interest, taxes, depreciation, and amortization ("EBITDA"), and EPS. Because management determined at the beginning of 2018 that the performance metrics would most likely be met, amortization of the estimated dollar pool of RSUs to be awarded based on 2018 results was started in the first quarter over an estimated 48 month period, including 12 months to the grant date and an additional 36 months to the vesting date. The Consolidated Statements of Income for 2018 , 2017 , and 2016 reflects share-based compensation costs for grants to be awarded of $821 , $491 , and $317 , respectively. At the Company's annual meeting in May 2014, shareholders approved a new Employee Stock Purchase Plan (the "ESPP Plan") with 300,000 shares registered for employee purchase. The ESPP Plan is not active at this time. The Company's former employee stock purchase plan continued in use until its termination during 2017. 2014 Plan The 2014 Plan, with 1,500,000 shares registered for future grants, provides that vesting occurs pursuant to the time period specified in the particular award agreement approved for that issuance of RSUs, which is to be not less than three years unless vesting is accelerated due to the occurrence of certain events. As of December 31, 2018 , 321,131 RSUs had been granted of the 1,500,000 shares approved for under the 2014 Plan. Directors' Plan The Director's Plan, with 300,000 shares registered for future grants, provides that vesting occurs pursuant to the time period specified in the particular award agreement approved for that issuance of equity. As of December 31, 2018 , 69,900 shares were granted of the 300,000 shares approved for grants under the Directors' Plan and all 69,900 shares were vested. 2004 Plan Under the 2004 Plan, as amended, the Company granted incentives (including stock options and restricted stock awards) for up to 2,680,000 shares of the Company’s Common Stock to salaried, full time employees, including executive officers. The term of each award generally was determined by the committee of the Board of Directors charged with administering the 2004 Plan. Under the terms of the 2004 Plan, any options granted were non-qualified stock options, exercisable within ten years and had an exercise price of not less than the fair value of the Company’s Common Stock on the date of the grant. As of December 31, 2018 , no stock options and no unvested restricted stock shares (net of forfeitures) remained outstanding under the 2004 Plan. No future grants can be made under the 2004 Plan. In connection with the Reorganization, the 2004 Plan was amended to provide for grants in the form of RSUs. The awards entitle participants to receive shares of stock following the end of a five year vesting period. Participants have no voting of dividend rights under the awards that were granted; however, the awards provide for payment of dividend equivalents when dividends are paid to stockholders. As of December 31, 2018 , 145,000 unvested RSUs remained under the 2004 Plan that will vest in January 2019. As of December 31, 2018 , no RSU awards were available for future grants under the 2004 Plan. RSUs. Summary of unvested RSUs under the Company’s share-based compensation plans for 2018 , 2017 , and 2016 : Year Ended December 31, 2018 2017 2016 Units Weighted Average Units Weighted Average Units Weighted Average Unvested balance at beginning of year 368,492 $ 17.20 527,486 $ 10.17 437,946 $ 7.09 Granted 42,136 78.37 47,514 42.93 100,892 23.15 Forfeited (1,080 ) 28.30 (3,508 ) 25.74 (11,352 ) 11.55 Vested (80,343 ) 15.42 (203,000 ) 4.82 — — Unvested balance at end of year 329,205 $ 25.42 368,492 $ 17.20 527,486 $ 10.17 During 2018 , 2017 , and 2016 , the total grant date fair value of RSU awards vested was $1,239 , $979 , and $0 , respectively. As of December 31, 2018 there was $2,779 of total estimated unrecognized compensation costs (net of estimated forfeitures) related to granted RSU awards. These costs are expected to be recognized over a weighted average period of approximately 1.8 years . Upon their vesting, the Company purchased restricted stock and RSUs from employees to cover associated withholding taxes. Total treasury stock purchases added 27,214 shares for $2,324 in 2018; 74,132 shares for $4,663 in 2017; and 40,870 shares for $1,518 in 2016. Annual Cash Incentive Plan. The STI Plan, effective January 1, 2014, is designed to motivate and retain the Company's officers and employees and tie short-term incentive compensation to achievement of certain profitability goals by the Company. Pursuant to the STI Plan, short-term incentive compensation is dependent on the achievement of certain performance metrics by the Company, established by the Board of Directors. Each performance metric is calculated in accordance with the rules approved by the HRCC, which may adjust the results to eliminate unusual items. For 2018 , 2017 , and 2016 , the performance metrics were operating income, EBITDA, and EPS. Operating income for the performance metric was defined as reported GAAP operating income adjusted for certain discretionary items as determined by the Company's management, if applicable ("adjusted operating income"). The HRCC determines the officers and employees eligible to participate under the STI Plan for the plan year as well as the target annual incentive compensation for each participant for each plan year. Amounts expensed under the STI Plan totaled $5,581 , $5,150 , and $3,394 for 2018 , 2017 , and 2016 , respectively. Deferred Compensation Plan. The Company established an unfunded Executive Deferred Compensation Plan effective as of June 30, 2018, with a purpose to attract and retain highly-compensated key employees by providing participants with an opportunity to defer receipt of a portion of their salary, bonus, and other specified compensation. The Company's obligations under this plan will change in conjunction with the performance of the participants' investments, along with contributions to and withdrawals from the plan. For 2018, participants were only able to direct the deferral of the receipt of a portion of their 2018 STI Plan amounts that are to be paid in early 2019 (see detail above). At the time of payment in 2019, the amounts elected for deferral will be deposited into the plan by the Company and allocated by participants among Company-determined investment options. The current portion of deferred compensation plan deferrals is comprised of estimated amounts to be paid within one year depending on timing of planned disbursements. At December 31, 2018 , all $1,176 of participant 2018 STI Plan deferrals were expensed currently in the year earned. Based on expected planned disbursements, all were considered non-current and were included in Other noncurrent liabilities on the Company's 2018 Consolidated Balance Sheet. |
Concentrations
Concentrations | 12 Months Ended |
Dec. 31, 2018 | |
Risks and Uncertainties [Abstract] | |
Concentrations | NOTE 10: CONCENTRATIONS Significant customers. For 2018 , 2017 , and 2016 , the Company had no sales to an individual customer that accounted for more than 10 percent of consolidated net sales. During the years 2018 , 2017 , and 2016 , the Company’s ten largest customers accounted for approximately 40 percent , 39 percent , and 36 percent of consolidated net sales, respectively. Significant suppliers. For 2018 , the Company had purchases from two grain suppliers that approximated 29 percent of consolidated purchases. The Company also purchased food grade alcohol from Pacific Ethanol of approximately 12 percent of consolidated purchases. In addition, the Company's 10 largest suppliers, including these three suppliers, accounted for approximately 68 percent of consolidated purchases. For 2017 , the Company had purchases from two grain suppliers that approximated 29 percent of consolidated purchases. In addition, the Company's 10 largest suppliers accounted for approximately 65 percent of consolidated purchases. For 2016 , the Company had purchases from two grain suppliers that approximated 31 percent of consolidated purchases. In addition, the Company’s 10 largest suppliers accounted for approximately 63 percent of consolidated purchases. |
Operating Segments
Operating Segments | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Operating Segments | NOTE 11: OPERATING SEGMENTS At December 31, 2018 and 2017 , the Company had two segments: distillery products and ingredient solutions. The distillery products segment consists of food grade alcohol and distillery co-products, such as distillers feed (commonly called dried distillers grain in the industry) and fuel grade alcohol. The distillery products segment also includes warehouse services, including barrel put away, barrel storage, and barrel retrieval services. Ingredient solutions consists of specialty starches and proteins and commodity starches and proteins. Operating profit for each segment is based on net sales less identifiable operating expenses. Non-direct SG&A, interest expense, earnings from the Company's equity method investments until sold on July 3, 2017, other special charges, and other general miscellaneous expenses are excluded from segment operations and are classified as Corporate. Receivables, inventories, and equipment have been identified with the segments to which they relate. All other assets are considered as Corporate. Year Ended December 31, 2018 2017 2016 Net sales to customers: Distillery products $ 314,055 $ 291,008 $ 265,243 Ingredient solutions 62,034 56,440 53,020 Total (a) $ 376,089 $ 347,448 $ 318,263 Gross profit: Distillery products $ 71,793 $ 66,817 $ 56,836 Ingredient solutions 11,806 9,199 8,447 Total $ 83,599 $ 76,016 $ 65,283 Depreciation and amortization: Distillery products $ 8,739 $ 8,490 $ 8,371 Ingredient solutions 1,567 1,660 1,655 Corporate 1,056 1,158 1,227 Total $ 11,362 $ 11,308 $ 11,253 Income (loss) before income taxes: Distillery products $ 64,791 $ 60,424 $ 53,583 Ingredient solutions 9,336 6,613 5,836 Corporate (25,147 ) (14,279 ) (14,702 ) Total $ 48,980 $ 52,758 $ 44,717 (a) Net sales revenue from foreign sources totaled $19,782 , $22,870 , and $22,422 for 2018 , 2017 , and 2016 , respectively, and is largely derived from Japan, Thailand, and Canada. The balance of total net sales revenue is from domestic sources. December 31, 2018 2017 Identifiable Assets Distillery products $ 223,890 $ 191,321 Ingredient solutions 35,147 28,950 Corporate 18,855 20,057 Total (a) $ 277,892 $ 240,328 (a) The Company has no assets located in foreign countries. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 12 Months Ended |
Dec. 31, 2018 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | NOTE 12: SUPPLEMENTAL CASH FLOW INFORMATION Year Ended December 31, 2018 2017 2016 Non-cash investing and financing activities: Purchase of property, plant, and equipment in accounts payable $ 2,389 $ 4,522 $ 4,364 Additional cash payment information: Interest paid 1,578 1,489 1,467 Income taxes paid 8,818 13,526 16,409 |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | NOTE 13: DERIVATIVE INSTRUMENTS Certain commodities the Company uses in its production process, or input costs, exposes it to market price risk due to volatility in the prices for those commodities. Through the Company's grain supply contracts for its Atchison and Lawrenceburg facilities, its wheat flour supply contract for the Atchison facility, and its natural gas contracts for both facilities, it purchases grain, wheat flour, and natural gas, respectively, for delivery from one to 24 months into the future at negotiated prices. The Company has determined that the firm commitments to purchase grain, wheat flour, and natural gas under the terms of its supply contracts meets the normal purchases and sales exception as defined under ASC 815, Derivatives and Hedging , because the quantities involved are for amounts to be consumed within the normal expected production process. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | NOTE 14: RELATED PARTY TRANSACTIONS In 2018, Pacific Ethanol (formerly ICP) was not a related party of the Company (Note 4). During 2017 and 2016 , related party purchases by the Company from ICP were approximately $18,425 and $29,596 , respectively, that were included in cost of sales on the Company's Consolidated Statements of Income. In June 2017, the Company received cash dividend distributions from ICP totaling $7,430 , which reduced its investment in ICP (Note 4). On February 26, 2016, the Company received a cash dividend distribution from ICP of $3,300 , which was its 30 percent ownership share of the total distribution. |
Quarterly Financial Data (unaud
Quarterly Financial Data (unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data (Unaudited) | NOTE 15: QUARTERLY FINANCIAL DATA (UNAUDITED) Year Ended December 31, 2018 Fourth Quarter Third Quarter Second Quarter First Quarter Net sales $ 104,850 $ 95,031 $ 88,252 $ 87,956 Cost of sales 79,242 75,432 68,811 69,005 Gross profit 25,608 19,599 19,441 18,951 SG&A expenses 8,996 7,584 8,309 8,562 Operating income 16,612 12,015 11,132 10,389 Interest expense, net (338 ) (334 ) (289 ) (207 ) Income before income taxes 16,274 11,681 10,843 10,182 Income tax expense (Note 6) 4,452 2,673 3,316 1,255 Net income $ 11,822 $ 9,008 $ 7,527 $ 8,927 Basic and diluted EPS data $ 0.69 $ 0.52 $ 0.44 $ 0.52 Dividends and dividend equivalents per common share and per unit $ 0.08 $ 0.08 $ 0.08 $ 0.08 Year Ended December 31, 2017 Fourth Quarter Third Quarter Second Quarter First Quarter Net sales $ 88,193 $ 86,333 $ 85,753 $ 87,169 Cost of sales 68,668 67,708 66,928 68,128 Gross profit 19,525 18,625 18,825 19,041 SG&A expenses 8,993 8,154 8,311 7,649 Operating income 10,532 10,471 10,514 11,392 Gain on sale of equity method investment (Note 4) (a) — 11,381 — — Equity method investment earnings (loss) (Note 4) — — (819 ) 471 Interest expense, net (250 ) (224 ) (379 ) (331 ) Income before income taxes 10,282 21,628 9,316 11,532 Income tax expense (benefit) (Note 6) (b) (2,357 ) 7,491 2,947 2,854 Net income $ 12,639 $ 14,137 $ 6,369 $ 8,678 Basic and diluted EPS data (c) $ 0.74 $ 0.82 $ 0.37 $ 0.50 Dividends and dividend equivalents per common share and per unit $ 0.04 $ 0.89 $ 0.04 $ 0.04 (a) Net income was positively impacted during the third quarter of 2017 by a gain on sale of equity method investment of $11,381 related to the sale of the Company's equity ownership interest in ICP to Pacific Ethanol on July 3, 2017 (Note 4). (b) Net income was positively impacted during the fourth quarter of 2017 by a provisional income tax benefit of $3,343 related to the Tax Act enacted on December 22, 2017 (Note 6). (c) Quarterly EPS amounts may not add to amounts for the year because quarterly and annual EPS calculations are performed separately. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 16: SUBSEQUENT EVENTS Share Repurchase On February 25, 2019, the Board of Directors approved a $25,000 share repurchase authorization commencing February 27, 2019 through February 27, 2022. Under the share repurchase program, the company can repurchase stock from time to time for cash in open market purchases, block transactions, and privately negotiated transactions in accordance with applicable federal securities laws. This share repurchase program may be modified, suspended, or terminated by the company at any time without prior notice. Dividend Declaration On February 25, 2019, the Board of Directors declared a quarterly dividend payable to stockholders of record as of March 13, 2019, of our Common Stock and a dividend equivalent payable to holders of certain RSUs as of March 13, 2019, of $0.10 per share and per unit. The dividend payment and dividend equivalent payment will occur on March 29, 2019. |
Nature of Operations and Summ_2
Nature of Operations and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
The Company | The Company. MGP Ingredients, Inc. ("Company") is a Kansas corporation headquartered in Atchison, Kansas and is a leading producer and supplier of premium distilled spirits and specialty wheat protein and starch food ingredients. Distilled spirits include premium bourbon and rye whiskeys and grain neutral spirits, including vodka and gin. MGP is also a top producer of high quality industrial alcohol for use in both food and non-food applications. The Company’s protein and starch food ingredients provide a host of functional, nutritional, and sensory benefits for a wide range of food products to serve the packaged goods industry. The Company's distillery products are derived from corn and other grains (including rye, barley, wheat, barley malt, and milo), and its ingredient products are derived from wheat flour. The majority of the Company's sales are made directly or through distributors to manufacturers and processors of finished packaged goods or to bakeries. |
Principles of Consolidation | Principles of Consolidation. The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. |
Use of Estimates | Use of Estimates. The financial reporting policies of the Company conform to accounting principles generally accepted in the United States of America ("GAAP"). The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. The application of certain of these policies places demands on management’s judgment, with financial reporting results relying on estimation about the effects of matters that are inherently uncertain. For all of these policies, management cautions that future events rarely develop as forecast, and estimates routinely require adjustment and may require material adjustment. |
Inventory | Inventory. Inventory includes finished goods, raw materials in the form of agricultural commodities used in the production process, and certain maintenance and repair items. Bourbons and whiskeys are normally aged in barrels for several years, following industry practice; all barreled bourbon and whiskey is classified as a current asset. The Company includes warehousing, insurance, and other carrying charges applicable to barreled whiskey in inventory costs. Inventories are stated at the lower of cost or net realizable value on the first-in, first-out, or FIFO, method. Inventory valuations are impacted by constantly changing prices paid for key materials, primarily corn. |
Revenue Recognition | Revenue Recognition. As a result of the adoption of Accounting Standards Update ("ASU") No. 2014-09, Revenue from Contracts with Customers and related amendments ("Topic 606") on January 1, 2018, the Company has changed its accounting policy for revenue recognition (see Note 3). Revenue is recognized when control of the promised goods or services, through performance obligations by the Company, is transferred to the customer in an amount that reflects the consideration it expects to be entitled to in exchange for the performance obligations. The term between invoicing and when payment is due is not significant and the period between when the entity transfers the promised good or service to the customer and when the customer pays for that good or service is one year or less. Excise taxes that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the Company from a customer are excluded from revenue. Revenue is recognized for the sale of products at the point in time finished products are delivered to the customer in accordance with shipping terms. This is a faithful depiction of the satisfaction of the performance obligation because, at that point control passes to the customer, the customer has legal title and the risk and rewards of ownership have transferred, and the customer has present obligation to pay. The Company’s distillery products segment routinely enters into bill and hold arrangements, whereby the Company produces and sells unaged distillate to customers, and the product is subsequently barreled at the customer’s request and warehoused at a Company location for an extended period of time in accordance with directions received from the Company’s customers. Even though the unaged distillate remains in the Company's possession, a sale is recognized at the point in time when the customer obtains control of the product. Control is transferred to the customer in bill and hold transactions when: customer acceptance specifications have been met, legal title has transferred, the customer has a present obligation to pay for the product, the risk and rewards of ownership have transferred to the customer, and all the following additional bill and hold criteria have been met: the customer has requested the product be warehoused, the product has been identified as separately belonging to the customer, the product is currently ready for physical transfer to the customer, and the Company does not have the ability to use the product or direct it to another customer. Warehouse service revenue is recognized over the time that warehouse services are rendered and as they are rendered. This is a faithful depiction of the satisfaction of the performance obligation because control of the aging products has already passed to the customer and there are no additional performance activities required by the Company, except as requested by the customer. The performance of the service activities, as requested, is invoiced as satisfied and revenue is concurrently recognized. |
Income Taxes | Income Taxes. The Company accounts for income taxes using an asset and liability method which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax basis. A valuation allowance is recognized if it is "more likely than not" that at least some portion of the deferred tax asset will not be realized. |
EPS | EPS. Basic and diluted EPS is computed using the two class method, which is an earnings allocation formula that determines net income per share for each class of Common Stock and participating security according to dividends declared and participation rights in undistributed earnings. Per share amounts are computed by dividing net income attributable to common shareholders by the weighted average shares outstanding during each year or period. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments. The Company determines the fair values of its financial instruments based on a fair value hierarchy, which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The hierarchy is broken down into three levels based upon the observability of inputs. Fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access. Level 2 inputs include quoted prices for similar assets and liabilities in active markets and inputs other than quoted prices that are observable for the asset or liability. Level 3 inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value in its entirety requires judgment and considers factors specific to the asset or liability. The Company’s short term financial instruments include cash and cash equivalents, accounts receivable and accounts payable. The carrying value of the short term financial instruments approximates the fair value due to their short term nature. These financial instruments have no stated maturities or the financial instruments have short term maturities that approximate market. |
Recently Accounting Pronouncements | Recently Issued Accounting Pronouncements. In August 2018, the Financial Accounting Standards Board ("FASB") issued ASU 2018-13, Fair Value Measurement (Topic 820) , which modifies the disclosure requirements on fair value measurements. The amendments are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Early adoption is permitted upon issuance of this update. An entity is permitted to early adopt any removed or modified disclosures upon issuance of this update and delay adoption of the additional disclosures until their effective date. The Company is evaluating the effect that ASU 2018-13 will have on its consolidated financial statements and related disclosures. In July 2018, the FASB issued ASU 2018-09, Codification Improvements , which clarifies and corrects unintended application of guidance, and makes improvements to several Codification Topics. Most of the amendments are effective immediately. Some of the amendments are effective for Public business entities for annual and interim periods in fiscal years beginning after December 15, 2018, and for all other entities, for annual periods in fiscal years beginning after December 15, 2019, and interim periods in fiscal years beginning after December 15, 2020. Other amendments, which affect recently issued ASUs that are not yet effective, are effective with the original ASU. The Company is evaluating the effect that ASU 2018-09 will have on its consolidated financial statements and related disclosures. In February 2018, the FASB issued ASU 2018-02, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income , which allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. This ASU is effective for all entities for annual and interim periods in fiscal years beginning after December 15, 2018. Early adoption is permitted, including adoption in any interim period, (1) for public business entities for reporting periods for which financial statements have not yet been issued and (2) for all other entities for reporting periods for which financial statements have not yet been made available for issuance. The Company is evaluating the effect that ASU 2018-02 will have on its consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU 2016-02, Leases , as well as subsequent guidance, which requires lessees to recognize for all leases a right-of-use asset and a lease obligation in the consolidated balance sheet. Expenses are recognized in the consolidated statements of income in a manner similar to current accounting guidance. Lessees are permitted to make an accounting policy election to not recognize an asset and liability for leases with a term of twelve months or less. Lessor accounting under the new standard is substantially unchanged. Additional qualitative and quantitative disclosures, including significant judgments made by management, will be required. The new standard will become effective for the Company beginning with the first quarter 2019. The Company will adopt the accounting standard using a prospective transition approach, which applies the provisions of the new guidance at the effective date without adjusting the comparative periods presented. The Company is finalizing its evaluation of the impacts that the adoption of this accounting guidance will have on the consolidated financial statements, and estimates approximately $7,000 of right-of-use assets and lease liabilities related to operating leases will be recognized in its Consolidated Balance Sheet upon adoption. Recently Adopted Accounting Standard Updates. In March 2017, the FASB issued ASU 2017-07, Compensation-Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost , which requires companies to present the service cost component of net benefit cost in the same line items in which they report compensation cost. Companies will present all other components of net benefit cost outside operating income, if this subtotal is presented. The Company adopted ASU 2017-07 on January 1, 2018, with an immaterial impact on its financial results and presentation for year ended December 31, 2018 . In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash, which requires companies to include cash and cash equivalents that have restrictions on withdrawal or use in total cash and cash equivalents on the statement of cash flows. The Company adopted ASU 2016-18 on January 1, 2018, and has determined that there was no impact to the presentation of its Consolidated Statements of Cash Flows because the Company had no restricted cash for years ended December 31, 2018 , 2017 , and 2016 . In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments , which addresses eight classification issues related to the statement of cash flows: Debt prepayment or debt extinguishment costs; Settlement of zero coupon bonds; Contingent consideration payments made after a business combination; Proceeds from the settlement of insurance claims; Proceeds from the settlement of corporate owned life insurance policies, including bank owned life insurance policies; Distributions received from equity method investees; Beneficial interests in securitization transactions; and Separately identifiable cash flows and application of the predominance principle. The Company adopted ASU 2016-15 on January 1, 2018, and has determined that there was no impact to the presentation of its Consolidated Statements of Cash Flows for years ended December 31, 2018 , 2017 , and 2016 . On January 1, 2018, the Company adopted Topic 606, using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018 (Note 3). |
Nature of Operations and Summ_3
Nature of Operations and Summary of Significant Accounting Policies Nature of Operations and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Property, Plant and Equipment, Net | Depreciation and amortization are computed using the straight line method over the following estimated useful lives: Buildings and improvements (a) 10 – 30 years Machinery and equipment 3 – 10 years Office furniture and equipment 5 – 10 years Computer equipment and software 3 – 5 years Motor vehicles 5 years (a) Leasehold improvements are the shorter of economic useful life or life of lease Property, plant, and equipment, net. December 31, 2018 2017 Land, buildings, and improvements $ 90,992 $ 72,223 Transportation equipment 3,308 3,286 Machinery and equipment 184,779 175,371 Construction in progress 16,814 16,408 Property, plant, and equipment, at cost 295,893 267,288 Less accumulated depreciation and amortization (175,105 ) (164,237 ) Property, plant, and equipment, net $ 120,788 $ 103,051 |
Schedule of Interest Expenses Incurred | Total interest incurred for 2018 , 2017 , and 2016 is noted below: Year Ended December 31, 2018 2017 2016 Interest costs charged to expense $ 1,168 $ 1,184 $ 1,294 Plus: Interest cost capitalized 562 293 198 Total $ 1,730 $ 1,477 $ 1,492 |
Other Balance Sheet Captions (T
Other Balance Sheet Captions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Supplemental Balance Sheet Disclosures [Abstract] | |
Schedule of Inventory | Inventory. December 31, 2018 2017 Finished goods $ 17,296 $ 13,284 Barreled distillate (bourbons and whiskeys) 76,374 65,726 Raw materials 4,906 3,954 Work in process 1,550 1,935 Maintenance materials 7,541 7,256 Other 1,102 994 Total $ 108,769 $ 93,149 |
Property, Plant and Equipment, Net | Depreciation and amortization are computed using the straight line method over the following estimated useful lives: Buildings and improvements (a) 10 – 30 years Machinery and equipment 3 – 10 years Office furniture and equipment 5 – 10 years Computer equipment and software 3 – 5 years Motor vehicles 5 years (a) Leasehold improvements are the shorter of economic useful life or life of lease Property, plant, and equipment, net. December 31, 2018 2017 Land, buildings, and improvements $ 90,992 $ 72,223 Transportation equipment 3,308 3,286 Machinery and equipment 184,779 175,371 Construction in progress 16,814 16,408 Property, plant, and equipment, at cost 295,893 267,288 Less accumulated depreciation and amortization (175,105 ) (164,237 ) Property, plant, and equipment, net $ 120,788 $ 103,051 |
Schedule of Accrued Expenses | Accrued expenses. December 31, 2018 2017 Employee benefit plans $ 1,288 $ 962 Salaries and wages 7,099 7,452 Property taxes 1,248 1,185 Other 2,079 1,572 Total $ 11,714 $ 11,171 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Schedule of Revenues Disaggregated | The following table presents the Company's revenues disaggregated by segment and major products and services. NET SALES Year Ended December 31, 2018 2017 (a) 2016 (a) Distillery Products Premium beverage alcohol $ 188,431 $ 177,998 $ 150,364 Industrial alcohol 80,650 76,636 77,290 Food grade alcohol 269,081 254,634 227,654 Fuel grade alcohol 6,347 6,368 7,372 Distillers feed and related co-products 25,698 19,332 21,780 Warehouse services 12,929 10,674 8,437 Total distillery products $ 314,055 $ 291,008 $ 265,243 Ingredient Solutions Specialty wheat starches $ 28,594 $ 28,092 $ 26,803 Specialty wheat proteins 21,098 19,458 18,211 Commodity wheat starch 9,223 8,288 7,002 Commodity wheat protein 3,119 602 1,004 Total ingredient solutions $ 62,034 $ 56,440 $ 53,020 Total net sales $ 376,089 $ 347,448 $ 318,263 (a) Prior year amounts were not adjusted upon adoption of Topic 606. The following table presents the Company's revenues disaggregated by segment and timing of revenue recognition. NET SALES Year Ended December 31, 2018 2017 (a) 2016 (a) Distillery Products Products transferred at a point in time $ 301,126 $ 280,334 $ 256,806 Services transferred over time 12,929 10,674 8,437 Total distillery products $ 314,055 $ 291,008 $ 265,243 Ingredient Solutions Products transferred at a point in time $ 62,034 $ 56,440 $ 53,020 Total net sales $ 376,089 $ 347,448 $ 318,263 (a) Prior year amounts were not adjusted upon adoption of Topic 606. |
Equity Method Investments (Tabl
Equity Method Investments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Condensed Financial Information of Equity Method Investment | Condensed financial information of the Company’s equity method investment in ICP for the years ended December 31, 2017 and 2016 : Year Ended December 31, ICP’s Operating results: 2017 2016 Net sales (a) $ 78,062 $ 177,401 Cost of sales and expenses (b) (79,224 ) (163,837 ) Net income (loss) $ (1,162 ) $ 13,564 (a) Includes related party sales to MGPI of $17,672 , and $27,675 for 2017 and 2016 , respectively. (b) Includes depreciation and amortization of $1,720 and $3,030 for 2017 and 2016 , respectively. |
The Company's Equity in Earnings (Loss) of Joint Ventures | The Company’s equity method investment earnings (losses) for the years ended December 31, 2017 and 2016 : Year Ended December 31, 2017 2016 ICP (30% interest) $ (348 ) $ 4,069 DMI (50% interest) — (33 ) Total $ (348 ) $ 4,036 |
Corporate Borrowings (Tables)
Corporate Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Indebtedness Outstanding. December 31, Description (a) 2018 2017 Credit Agreement - Revolver, 3.889% (variable rate) due 2022 $ 11,000 $ 3,298 Secured Promissory Note, 3.71% (fixed rate) due 2022 1,594 1,966 Prudential Note Purchase Agreement, 3.53% (fixed rate) due 2027 20,000 20,000 Total indebtedness outstanding 32,594 25,264 Less unamortized loan fees (b) (580 ) (710 ) Total indebtedness outstanding, net 32,014 24,554 Less current maturities of long-term debt (386 ) (372 ) Long-term debt $ 31,628 $ 24,182 (a) Interest rates are as of December 31, 2018 . (b) Loan fees are being amortized over the life of the Credit Agreement and Note Purchase Agreement. |
Contractual Obligation, Fiscal Year Maturity Schedule | Debt Maturities. Year Ending December 31, 2019 $ 386 2020 400 2021 2,016 2022 14,592 2023 3,200 Thereafter 12,000 Total $ 32,594 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | Income tax expense is composed of the following: Year Ended December 31, 2018 2017 2016 Current: Federal $ 8,844 $ 14,020 $ 12,637 State 1,317 379 342 10,161 14,399 12,979 Deferred: Federal 55 (3,764 ) (254 ) State 1,480 300 808 1,535 (3,464 ) 554 Total $ 11,696 $ 10,935 $ 13,533 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of income tax expense at the normal statutory federal rate to income tax expense included in the accompanying Consolidated Statements of Income is below: Year Ended December 31, 2018 2017 2016 "Expected" provision at federal statutory rate $ 10,286 $ 18,465 $ 15,651 State income taxes, net (a) 2,029 1,612 1,672 Change in valuation allowance 1,304 (578 ) (718 ) Domestic production activity deduction — (957 ) (1,247 ) Share-based compensation (a) (1,201 ) (4,254 ) (1,408 ) Compensation limits — 931 — Federal and state tax credits (807 ) (1,058 ) (1,065 ) Tax benefit from the Tax Act — (3,343 ) — Other 85 117 648 Income tax expense $ 11,696 $ 10,935 $ 13,533 Effective tax rate 23.9 % 20.7 % 30.3 % (a) The Company received federal excess tax benefits on share-based compensation awards in 2018, 2017, and 2016 of $1,201 , $4,254 , and $1,408 , respectively, and state benefits of $236 , $371 and $163 , respectively, for excess tax benefits. The state benefits are part of the State income taxes, net, balances in the above table. |
Schedule of Deferred Tax Assets and Liabilities | The tax effects of temporary differences giving rise to deferred income taxes shown on the Consolidated Balance Sheets are as follows: December 31, 2018 2017 Deferred income tax assets: Post-retirement liability $ 770 $ 910 Deferred income 393 543 Share-based compensation 1,581 1,158 Capital loss carryforwards 379 — State tax credit carryforwards 3,245 3,488 State operating loss carryforwards 1,505 1,434 Inventories 1,476 1,346 Other 1,231 766 Gross deferred income tax assets $ 10,580 $ 9,645 Less: valuation allowance (1,452 ) (148 ) Net deferred income tax assets 9,128 9,497 Deferred income tax liabilities: Fixed assets (10,497 ) (9,255 ) Other (308 ) (254 ) Gross deferred income tax liabilities (10,805 ) (9,509 ) Net deferred income tax liability $ (1,677 ) $ (12 ) |
Summary of Valuation Allowance | A schedule of the change in valuation allowance is as follows: Valuation allowance Balance at December 31, 2016 $ 726 Decrease (578 ) Balance at December 31, 2017 $ 148 Increase 1,304 Balance at December 31, 2018 $ 1,452 |
Schedule of Unrecognized Tax Benefits Roll Forward | The following is a reconciliation of the total amount of unrecognized tax benefits (excluding interest and penalties) for 2018 , 2017 , and 2016 : Year Ended December 31, 2018 2017 2016 Beginning of year balance $ 185 $ 43 $ 613 Additions based on prior year tax positions 2 130 2 Additions based on current year tax positions 11 12 21 Reduction for prior year tax positions (5 ) — (48 ) Reductions for settlements — — (545 ) End of year balance $ 193 $ 185 $ 43 |
Equity and EPS (Tables)
Equity and EPS (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The computations of basic and diluted EPS: Year Ended December 31, 2018 2017 2016 Operations: Net income (a) $ 37,284 $ 41,823 $ 31,184 Less: Income attributable to participating securities (unvested shares and units) (b) 708 996 954 Net income attributable to common shareholders $ 36,576 $ 40,827 $ 30,230 Share information: Basic and diluted weighted average common shares (c) 16,866,176 16,746,731 16,643,811 Basic and diluted EPS $ 2.17 $ 2.44 $ 1.82 (a) Net income attributable to all shareholders. (b) Participating securities included RSUs of 326,375 , 368,492 , and 527,486 for the years ended December 31, 2018 , 2017 , and 2016 , respectively. (c) Under the two class method, basic weighted average common shares exclude outstanding unvested participating securities. |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Schedule of Defined Benefit Plans Disclosures | The status of the Company’s plan at December 31, 2018 , 2017 , and 2016 : Post-Employment Benefit Plan December 31, 2018 2017 2016 Change in benefit obligation: Beginning of year $ 3,604 $ 4,106 $ 4,681 Service cost 22 25 36 Interest cost 100 122 142 Actuarial gain (196 ) (261 ) (297 ) Benefits paid (421 ) (388 ) (456 ) Other (47 ) — — Benefit obligation at end of year $ 3,062 $ 3,604 $ 4,106 |
Schedule of Assumptions Used | Assumptions used to determine accumulated benefit obligations as of year end: Post-Employment Benefit Plan Year Ended December 31, 2018 2017 Discount rate 3.67% 2.96% Measurement date December 31, December 31, Assumptions used to determine net benefit cost (credit) for 2018 , 2017 , and 2016 : Post-Employment Benefit Plan Year Ended December 31, 2018 2017 2016 Discount rate 2.96 % 3.15 % 3.20 % Average compensation increase N/A N/A N/A |
Schedule of Net Benefit Costs | Components of net benefit cost (credit): Post-Employment Benefit Plan Year Ended December 31, 2018 2017 2016 Service cost $ 22 $ 25 $ 36 Interest cost 100 122 142 Amortization of unrecognized prior service cost (37 ) (339 ) (338 ) Amortization of unrecognized net actuarial loss 92 184 269 Net benefit cost (credit) $ 177 $ (8 ) $ 109 The estimated amount that will be recognized from accumulated other comprehensive income (loss) into net periodic benefit cost during 2019 : Post-Employment Benefit Plan Actuarial net loss $ (23 ) Net prior service credits 15 Net amount recognized $ (8 ) |
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss) | Changes in plan assets and benefit obligations recognized in accumulated other comprehensive loss in the Consolidated Balance Sheets: Post-Employment Benefit Plan Year Ended December 31, 2018 2017 2016 Net actuarial gain $ 196 $ 261 $ 293 Amortization of unrecognized net actuarial loss 92 184 269 Amortization of unrecognized prior service cost (37 ) (339 ) (338 ) Stranded tax effects from the Tax Act and Other (78 ) — — Other 47 — — Total other comprehensive income, pre-tax 220 106 224 Income tax expense 73 40 90 Total other comprehensive income, net of tax $ 147 $ 66 $ 134 |
Schedule of Amounts Recognized in Balance Sheet | Benefit obligation recognized in the Consolidated Balance Sheets: Post-Employment Benefit Plan As of December 31, Benefit obligation 2018 2017 Current $ (467 ) $ (471 ) Non-Current (2,595 ) (3,133 ) Net amount recognized $ (3,062 ) $ (3,604 ) |
Schedule of Health Care Cost Trend Rates | The assumed average annual rate of increase in the per capita cost of covered benefits (health care cost trend rate): Post-Employment Benefit Plan Year Ended December 31, 2018 2017 Group Plan Lifetime Prescription Cost Medicare Supplement Group Plan Lifetime Prescription Cost Medicare Supplement Health care cost trend rate 7.00 % 9.00 % 4.50 % 7.00 % 9.00 % 4.50 % Ultimate trend rate 5.00 % 5.00 % 4.50 % 5.00 % 5.00 % 4.50 % Year rate reaches ultimate trend rate 2025 2027 2019 2025 2027 2018 |
Schedule of Expected Benefit Payments | As of December 31, 2018 , the following expected benefit payments (net of Medicare Part D subsidiary for Post-Employment Benefit Plan Payments) and the related expected subsidy receipts that reflect expected future service, as appropriate, are expected to be paid to plan participants: Post-Employment Benefit Plan Expected Benefit Payments Expected Subsidy Receipts 2019 $ 484 $ 17 2020 468 15 2021 438 14 2022 426 13 2023 376 11 2024-2028 961 34 Total $ 3,153 $ 104 |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity | Summary of unvested RSUs under the Company’s share-based compensation plans for 2018 , 2017 , and 2016 : Year Ended December 31, 2018 2017 2016 Units Weighted Average Units Weighted Average Units Weighted Average Unvested balance at beginning of year 368,492 $ 17.20 527,486 $ 10.17 437,946 $ 7.09 Granted 42,136 78.37 47,514 42.93 100,892 23.15 Forfeited (1,080 ) 28.30 (3,508 ) 25.74 (11,352 ) 11.55 Vested (80,343 ) 15.42 (203,000 ) 4.82 — — Unvested balance at end of year 329,205 $ 25.42 368,492 $ 17.20 527,486 $ 10.17 |
Operating Segments (Tables)
Operating Segments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Year Ended December 31, 2018 2017 2016 Net sales to customers: Distillery products $ 314,055 $ 291,008 $ 265,243 Ingredient solutions 62,034 56,440 53,020 Total (a) $ 376,089 $ 347,448 $ 318,263 Gross profit: Distillery products $ 71,793 $ 66,817 $ 56,836 Ingredient solutions 11,806 9,199 8,447 Total $ 83,599 $ 76,016 $ 65,283 Depreciation and amortization: Distillery products $ 8,739 $ 8,490 $ 8,371 Ingredient solutions 1,567 1,660 1,655 Corporate 1,056 1,158 1,227 Total $ 11,362 $ 11,308 $ 11,253 Income (loss) before income taxes: Distillery products $ 64,791 $ 60,424 $ 53,583 Ingredient solutions 9,336 6,613 5,836 Corporate (25,147 ) (14,279 ) (14,702 ) Total $ 48,980 $ 52,758 $ 44,717 (a) Net sales revenue from foreign sources totaled $19,782 , $22,870 , and $22,422 for 2018 , 2017 , and 2016 , respectively, and is largely derived from Japan, Thailand, and Canada. The balance of total net sales revenue is from domestic sources. |
Schedule of Segment Reporting Identifiable Assets | December 31, 2018 2017 Identifiable Assets Distillery products $ 223,890 $ 191,321 Ingredient solutions 35,147 28,950 Corporate 18,855 20,057 Total (a) $ 277,892 $ 240,328 (a) The Company has no assets located in foreign countries. |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule of Cash Flow, Supplemental Disclosures | Year Ended December 31, 2018 2017 2016 Non-cash investing and financing activities: Purchase of property, plant, and equipment in accounts payable $ 2,389 $ 4,522 $ 4,364 Additional cash payment information: Interest paid 1,578 1,489 1,467 Income taxes paid 8,818 13,526 16,409 |
Quarterly Financial Data (una_2
Quarterly Financial Data (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Year Ended December 31, 2018 Fourth Quarter Third Quarter Second Quarter First Quarter Net sales $ 104,850 $ 95,031 $ 88,252 $ 87,956 Cost of sales 79,242 75,432 68,811 69,005 Gross profit 25,608 19,599 19,441 18,951 SG&A expenses 8,996 7,584 8,309 8,562 Operating income 16,612 12,015 11,132 10,389 Interest expense, net (338 ) (334 ) (289 ) (207 ) Income before income taxes 16,274 11,681 10,843 10,182 Income tax expense (Note 6) 4,452 2,673 3,316 1,255 Net income $ 11,822 $ 9,008 $ 7,527 $ 8,927 Basic and diluted EPS data $ 0.69 $ 0.52 $ 0.44 $ 0.52 Dividends and dividend equivalents per common share and per unit $ 0.08 $ 0.08 $ 0.08 $ 0.08 Year Ended December 31, 2017 Fourth Quarter Third Quarter Second Quarter First Quarter Net sales $ 88,193 $ 86,333 $ 85,753 $ 87,169 Cost of sales 68,668 67,708 66,928 68,128 Gross profit 19,525 18,625 18,825 19,041 SG&A expenses 8,993 8,154 8,311 7,649 Operating income 10,532 10,471 10,514 11,392 Gain on sale of equity method investment (Note 4) (a) — 11,381 — — Equity method investment earnings (loss) (Note 4) — — (819 ) 471 Interest expense, net (250 ) (224 ) (379 ) (331 ) Income before income taxes 10,282 21,628 9,316 11,532 Income tax expense (benefit) (Note 6) (b) (2,357 ) 7,491 2,947 2,854 Net income $ 12,639 $ 14,137 $ 6,369 $ 8,678 Basic and diluted EPS data (c) $ 0.74 $ 0.82 $ 0.37 $ 0.50 Dividends and dividend equivalents per common share and per unit $ 0.04 $ 0.89 $ 0.04 $ 0.04 (a) Net income was positively impacted during the third quarter of 2017 by a gain on sale of equity method investment of $11,381 related to the sale of the Company's equity ownership interest in ICP to Pacific Ethanol on July 3, 2017 (Note 4). (b) Net income was positively impacted during the fourth quarter of 2017 by a provisional income tax benefit of $3,343 related to the Tax Act enacted on December 22, 2017 (Note 6). (c) Quarterly EPS amounts may not add to amounts for the year because quarterly and annual EPS calculations are performed separately. |
Nature of Operations and Summ_4
Nature of Operations and Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2019 | |
Accounting Policies [Line Items] | ||||||||||||
Interest costs charged to expense | $ 338 | $ 334 | $ 289 | $ 207 | $ 250 | $ 224 | $ 379 | $ 331 | $ 1,168 | $ 1,184 | $ 1,294 | |
Plus: Interest cost capitalized | 562 | 293 | 198 | |||||||||
Total | 1,730 | 1,477 | $ 1,492 | |||||||||
Debt instrument, fair value disclosure | 32,018 | 24,838 | 32,018 | 24,838 | ||||||||
Long-term debt, including current maturities | $ 32,014 | $ 24,554 | $ 32,014 | $ 24,554 | ||||||||
ASU 2016-02 | Forecast | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Right of use asset | $ 7,000 | |||||||||||
Operating lease liability | $ 7,000,000 | |||||||||||
Building and improvements | Minimum | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Estimated useful lives | 10 years | |||||||||||
Building and improvements | Maximum | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Estimated useful lives | 30 years | |||||||||||
Machinery and equipment | Minimum | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Estimated useful lives | 3 years | |||||||||||
Machinery and equipment | Maximum | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Estimated useful lives | 10 years | |||||||||||
Office furniture and equipment | Minimum | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Estimated useful lives | 5 years | |||||||||||
Office furniture and equipment | Maximum | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Estimated useful lives | 10 years | |||||||||||
Computer equipment and software | Minimum | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Estimated useful lives | 3 years | |||||||||||
Computer equipment and software | Maximum | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Estimated useful lives | 5 years | |||||||||||
Motor vehicles | ||||||||||||
Accounting Policies [Line Items] | ||||||||||||
Estimated useful lives | 5 years |
Other Balance Sheet Captions -
Other Balance Sheet Captions - Components of Inventory (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Components of Inventory [Abstract] | ||
Finished goods | $ 17,296 | $ 13,284 |
Barreled distillate (bourbons and whiskeys) | 76,374 | 65,726 |
Raw materials | 4,906 | 3,954 |
Work in process | 1,550 | 1,935 |
Maintenance materials | 7,541 | 7,256 |
Other | 1,102 | 994 |
Total | $ 108,769 | $ 93,149 |
Other Balance Sheet Captions _2
Other Balance Sheet Captions - Components of Property and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Components of Property and Equipment [Abstract] | ||
Land, buildings, and improvements | $ 90,992 | $ 72,223 |
Transportation equipment | 3,308 | 3,286 |
Machinery and equipment | 184,779 | 175,371 |
Construction in progress | 16,814 | 16,408 |
Property, plant, and equipment, at cost | 295,893 | 267,288 |
Less accumulated depreciation and amortization | (175,105) | (164,237) |
Property, plant, and equipment, net | $ 120,788 | $ 103,051 |
Other Balance Sheet Captions _3
Other Balance Sheet Captions - Components of Accrued Expenses (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Components of Accrued Expenses [Abstract] | ||
Employee benefit plans | $ 1,288 | $ 962 |
Salaries and wages | 7,099 | 7,452 |
Property taxes | 1,248 | 1,185 |
Other | 2,079 | 1,572 |
Total | $ 11,714 | $ 11,171 |
Revenue (Details)
Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | $ 104,850 | $ 95,031 | $ 88,252 | $ 87,956 | $ 88,193 | $ 86,333 | $ 85,753 | $ 87,169 | $ 376,089 | $ 347,448 | $ 318,263 |
Distillery products | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 314,055 | 291,008 | 265,243 | ||||||||
Distillery products | Products transferred at a point in time | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 301,126 | 280,334 | 256,806 | ||||||||
Distillery products | Services transferred over time | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 12,929 | 10,674 | 8,437 | ||||||||
Ingredient solutions | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 62,034 | 56,440 | 53,020 | ||||||||
Ingredient solutions | Products transferred at a point in time | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 62,034 | 56,440 | 53,020 | ||||||||
Premium beverage alcohol | Distillery products | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 188,431 | 177,998 | 150,364 | ||||||||
Industrial alcohol | Distillery products | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 80,650 | 76,636 | 77,290 | ||||||||
Food grade alcohol | Distillery products | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 269,081 | 254,634 | 227,654 | ||||||||
Fuel grade alcohol | Distillery products | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 6,347 | 6,368 | 7,372 | ||||||||
Distillers feed and related co-products | Distillery products | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 25,698 | 19,332 | 21,780 | ||||||||
Warehouse services | Distillery products | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 12,929 | 10,674 | 8,437 | ||||||||
Specialty wheat starches | Ingredient solutions | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 28,594 | 28,092 | 26,803 | ||||||||
Specialty wheat proteins | Ingredient solutions | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 21,098 | 19,458 | 18,211 | ||||||||
Commodity wheat starch | Ingredient solutions | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | 9,223 | 8,288 | 7,002 | ||||||||
Commodity wheat protein | Ingredient solutions | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net sales | $ 3,119 | $ 602 | $ 1,004 |
Equity Method Investments (Deta
Equity Method Investments (Details) - USD ($) $ in Thousands | Dec. 23, 2016 | Feb. 26, 2016 | Jun. 30, 2017 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jul. 03, 2017 | Jun. 30, 2015 |
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Return of equity method investment | $ 22,832 | |||||||||||
Gain (loss) on equity method investments | $ 0 | $ 11,381 | $ 0 | $ 0 | $ 0 | 11,381 | $ 0 | |||||
Equity method ownership percentage | 30.00% | |||||||||||
Distributions received from equity method investee | 0 | 7,131 | 3,300 | |||||||||
Divestiture of equity method investment, net | $ 0 | 22,832 | 351 | |||||||||
Illinois Corn Processings LLC | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Return of equity method investment | $ 7,430 | |||||||||||
Illinois Corn Processings LLC | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Gain (loss) on equity method investments | 11,381 | |||||||||||
Equity method ownership percentage | 30.00% | 30.00% | ||||||||||
Distributions received from equity method investee | $ 3,300 | |||||||||||
Related party sales to MGPI | 17,672 | 27,675 | ||||||||||
Depreciation and amortization | $ 1,720 | $ 3,030 | ||||||||||
D.M. Ingredients GmbH | ||||||||||||
Schedule of Equity Method Investments [Line Items] | ||||||||||||
Equity method ownership percentage | 50.00% | |||||||||||
Divestiture of equity method investment, net | $ 351 |
Equity Method Investments - Ope
Equity Method Investments - Operating Results (Details) - Illinois Corn Processings LLC - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Schedule of Equity Method Investments [Line Items] | ||
Net sales | $ 78,062 | $ 177,401 |
Cost of sales and expenses | (79,224) | (163,837) |
Net income (loss) | $ (1,162) | $ 13,564 |
Equity Method Investments - Equ
Equity Method Investments - Equity in Earnings (Loss) of Joint Ventures (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Schedule of Equity Method Investments [Line Items] | |||||||
Equity method investment earnings | $ 0 | $ 0 | $ (819) | $ 471 | $ 0 | $ (348) | $ 4,036 |
Illinois Corn Processings LLC | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Equity method investment earnings | (348) | 4,069 | |||||
D.M. Ingredients GmbH | |||||||
Schedule of Equity Method Investments [Line Items] | |||||||
Equity method investment earnings | $ 0 | $ (33) |
Corporate Borrowings - Indebted
Corporate Borrowings - Indebtedness Outstanding Summary (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 32,594 | $ 25,264 |
Unamortized loan fees | (580) | (710) |
Total indebtedness outstanding, net | 32,014 | 24,554 |
Less current maturities of long-term debt | (386) | (372) |
Long-term debt | 31,628 | 24,182 |
Credit Agreement | ||
Debt Instrument [Line Items] | ||
Unamortized loan fees | $ (412) | |
Credit Agreement, interest rate | 3.90% | |
Credit Agreement | Revolver | Credit Agreement | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 11,000 | 3,298 |
Credit Agreement, interest rate | 3.889% | |
Secured Debt | Secured Promissory Note | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 1,594 | 1,966 |
Interest rate | 3.71% | |
Secured Debt | Note Purchase Agreement | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 20,000 | $ 20,000 |
Capital Lease interest rate | 3.53% |
Corporate Borrowings - Narrativ
Corporate Borrowings - Narrative (Details) - USD ($) | Aug. 23, 2017 | Dec. 31, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | |||
Unamortized loan fees | $ 580,000 | $ 710,000 | |
Long-term debt, gross | 32,594,000 | 25,264,000 | |
Credit Agreement | |||
Debt Instrument [Line Items] | |||
New loan fees on credit agreement | 0 | ||
Unamortized loan fees | 412,000 | ||
Remaining borrowing capacity | $ 139,000,000 | ||
Credit Agreement, interest rate | 3.90% | ||
Senior Notes | Note Purchase Agreement | |||
Debt Instrument [Line Items] | |||
New loan fees on credit agreement | $ 0 | ||
Unamortized loan fees | 168,000 | ||
Term loan face amount | $ 75,000,000 | ||
Proceeds from issuance of debt | $ 20,000,000 | ||
Senior secured notes, stated interest rate | 3.50% | ||
Revolver | Credit Agreement | Credit Agreement | |||
Debt Instrument [Line Items] | |||
Maximum borrowing capacity | $ 150,000,000 | ||
Contingent increase in borrowing capacity | $ 25,000,000 | ||
Long-term debt, gross | $ 11,000,000 | $ 3,298,000 | |
Credit Agreement, interest rate | 3.889% |
Corporate Borrowings - Summary
Corporate Borrowings - Summary of Leases and Debt Maturities (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
2,019 | $ 386 |
2,020 | 400 |
2,021 | 2,016 |
2,022 | 14,592 |
2,023 | 3,200 |
Thereafter | 12,000 |
Total | $ 32,594 |
Income Taxes - Provision (Benef
Income Taxes - Provision (Benefit) for Income Taxes from Continuing Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current: | |||||||||||
Federal | $ 8,844 | $ 14,020 | $ 12,637 | ||||||||
State | 1,317 | 379 | 342 | ||||||||
Current income tax expense (benefit) | 10,161 | 14,399 | 12,979 | ||||||||
Deferred: | |||||||||||
Federal | 55 | (3,764) | (254) | ||||||||
State | 1,480 | 300 | 808 | ||||||||
Deferred income tax expense (benefit) | 1,535 | (3,464) | 554 | ||||||||
Total | $ 4,452 | $ 2,673 | $ 3,316 | $ 1,255 | $ (2,357) | $ 7,491 | $ 2,947 | $ 2,854 | $ 11,696 | $ 10,935 | $ 13,533 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Operating Loss Carryforwards [Line Items] | |||
Income tax expense (benefit) allocated to comprehensive income (loss), Tax | $ 73 | $ 37 | $ 84 |
Tax act provisional tax expense (benefit) | 3,343 | ||
Net tax benefit due to Tax Cuts and Jobs Act of 2017, percent | 6.30% | ||
Excess tax benefit from share-based compensation | 1,201 | $ 4,254 | 1,408 |
Valuation Allowance | |||
Operating Loss Carryforwards [Line Items] | |||
Valuation allowance and reserves | 1,452 | 148 | 726 |
Decrease | 1,304 | (578) | |
Valuation Allowance | Illinois Corn Processings LLC | |||
Operating Loss Carryforwards [Line Items] | |||
Decrease | 379 | ||
Operating Loss Carryforward | |||
Operating Loss Carryforwards [Line Items] | |||
Decrease | 925 | 112 | |
Operating Loss Carryforward | Illinois Corn Processings LLC | |||
Operating Loss Carryforwards [Line Items] | |||
Decrease | 690 | ||
Federal | |||
Operating Loss Carryforwards [Line Items] | |||
Excess tax benefit from share-based compensation | 1,201 | 4,254 | 1,408 |
State | |||
Operating Loss Carryforwards [Line Items] | |||
Excess tax benefit from share-based compensation | 236 | 371 | $ 163 |
Operating loss carryforwards | 21,575 | 19,979 | |
Tax credit carryforward | $ 4,107 | $ 4,416 |
Income Taxes - A Reconciliation
Income Taxes - A Reconciliation of the Provision for income taxes from continuing operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||||||||||
Expected provision at federal statutory rate | $ 10,286 | $ 18,465 | $ 15,651 | ||||||||
State income taxes, net | 2,029 | 1,612 | 1,672 | ||||||||
Change in valuation allowance | 1,304 | (578) | (718) | ||||||||
Domestic production activity deduction | 0 | (957) | (1,247) | ||||||||
Share-based compensation | (1,201) | (4,254) | (1,408) | ||||||||
Compensation limits | 0 | 931 | 0 | ||||||||
Federal and state tax credits | (807) | (1,058) | (1,065) | ||||||||
Tax benefit from the Tax Act | 0 | (3,343) | 0 | ||||||||
Other | 85 | 117 | 648 | ||||||||
Total | $ 4,452 | $ 2,673 | $ 3,316 | $ 1,255 | $ (2,357) | $ 7,491 | $ 2,947 | $ 2,854 | $ 11,696 | $ 10,935 | $ 13,533 |
Effective tax rate | 23.90% | 20.70% | 30.30% |
Income Taxes - Temporary Differ
Income Taxes - Temporary Differences Related to Deferred Income Taxes (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred income tax assets: | ||
Post-retirement liability | $ 770 | $ 910 |
Deferred income | 393 | 543 |
Share-based compensation | 1,581 | 1,158 |
Capital loss carryforwards | 379 | 0 |
State tax credit carryforwards | 3,245 | 3,488 |
State operating loss carryforwards | 1,505 | 1,434 |
Inventories | 1,476 | 1,346 |
Other | 1,231 | 766 |
Gross deferred income tax assets | 10,580 | 9,645 |
Less: valuation allowance | (1,452) | (148) |
Net deferred income tax assets | 9,128 | 9,497 |
Deferred income tax liabilities: | ||
Fixed assets | (10,497) | (9,255) |
Other | (308) | (254) |
Gross deferred income tax liabilities | (10,805) | (9,509) |
Net deferred income tax liability | $ (1,677) | $ (12) |
Income Taxes - Change in Valuat
Income Taxes - Change in Valuation Allowance (Details) - Valuation Allowance - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | ||
Balance at beginning of period | $ 148 | $ 726 |
Decrease | 1,304 | (578) |
Balance at end of period | $ 1,452 | $ 148 |
Income Taxes - Unrecognized Tax
Income Taxes - Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Unrecognized Tax Benefits [Roll Forward] | |||
Beginning of year balance | $ 185 | $ 43 | $ 613 |
Additions based on prior year tax positions | 2 | 130 | 2 |
Additions based on current year tax positions | 11 | 12 | 21 |
Reduction for prior year tax positions | (5) | 0 | (48) |
Reductions for settlements | 0 | 0 | (545) |
End of year balance | $ 193 | $ 185 | $ 43 |
Equity and EPS (Details)
Equity and EPS (Details) | 12 Months Ended | ||
Dec. 31, 2018board_membershares | Dec. 31, 2017shares | Dec. 31, 2016shares | |
Equity [Abstract] | |||
Number of board members that common stockholders are entitled to elect | 4 | ||
Total number of board members | 9 | ||
Number of board members preferred stock shareholders entitled to elect | 5 | ||
Board of directors, term of service | 1 year | ||
Minimum single shareholder ownership percentage to call special stockholder meeting (as a percent) | 10.00% | ||
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Participating securities (in shares) | shares | 326,375 | 368,492 | 527,486 |
Equity and EPS - The Computatio
Equity and EPS - The Computations of Basic and Diluted Earnings (Loss) Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Operations: | |||||||||||
Net income | $ 11,822 | $ 9,008 | $ 7,527 | $ 8,927 | $ 12,639 | $ 14,137 | $ 6,369 | $ 8,678 | $ 37,284 | $ 41,823 | $ 31,184 |
Less: Income attributable to participating securities (unvested shares and units) | 708 | 996 | 954 | ||||||||
Net income attributable to common shareholders and used in Earnings Per Share calculation (Note 7) | $ 36,576 | $ 40,827 | $ 30,230 | ||||||||
Share information: | |||||||||||
Basic and diluted weighted average common shares (in shares) | 16,866,176 | 16,746,731 | 16,643,811 | ||||||||
Basic and diluted EPS (in dollars per share) | $ 0.69 | $ 0.52 | $ 0.44 | $ 0.52 | $ 0.74 | $ 0.82 | $ 0.37 | $ 0.50 | $ 2.17 | $ 2.44 | $ 1.82 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) - USD ($) | Aug. 01, 2017 | Apr. 19, 2017 | Oct. 21, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Oct. 31, 2018 |
Commitments and Contingencies Disclosure [Abstract] | |||||||
Rent expense under operating leases longer than 1 month | $ 2,081,000 | $ 2,372,000 | $ 2,561,000 | ||||
Future Minimum Rental Payments Due | |||||||
2,019 | 2,224,000 | ||||||
2,020 | 1,858,000 | ||||||
2,021 | 1,357,000 | ||||||
2,022 | 977,000 | ||||||
2,023 | 481,000 | ||||||
Industrial revenue bonds | $ 10,000 | ||||||
Capital lease obligations | $ 0 | ||||||
Insurance deductible | $ 250,000 | ||||||
OSHA, loss in period | $ 138,000 | ||||||
Payments for legal settlements | $ 75,000 | ||||||
Civil penalties sought | $ 250,000 |
Employee Benefit Plans - Narrat
Employee Benefit Plans - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)participant | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Cost recognized | $ 1,488 | $ 1,299 | $ 1,097 |
Effect of one percentage point increase in assumed health care costs, affect on accumulated benefit obligation | 69 | ||
Effect of one percentage point decrease in assumed health care costs, effect on accumulated benefit obligation | (104) | ||
Effect of one percentage point increase in assumed health care costs, affect on service and interest cost | 4 | ||
Effect of one percentage point decrease in assumed health care costs, affect on service and interest cost | $ (3) | ||
Post-employment benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Number of participants | participant | 181 | ||
Number of active participants eligible for benefits | participant | 25 | ||
Minimum age of participant to become eligible for benefits | 62 years | ||
Requisite service period | 5 years | ||
Age up to which health benefits continuation paid | 65 years | ||
Expected contributions in next fiscal year, before Medicare Part D subsidy receipts | $ 484 | ||
Medicare Part D subsidy receipts to the plan in next fiscal year | 484 | ||
Expected contributions in next fiscal year, net of Medicare Part D subsidy receipts | 467 | ||
Post-employment benefits | Medicare Part D Subsidy Receipts | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Medicare Part D subsidy receipts to the plan in next fiscal year | $ 17 |
Employee Benefit Plans - Status
Employee Benefit Plans - Status of Benefit Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Change in benefit obligation: | |||
Other | $ (421) | $ (388) | $ (456) |
Post-employment benefits | |||
Change in benefit obligation: | |||
Beginning of year | 3,604 | 4,106 | 4,681 |
Service cost | 22 | 25 | 36 |
Interest cost | 100 | 122 | 142 |
Actuarial gain | (196) | (261) | (297) |
Other | (47) | 0 | 0 |
Benefit obligation at end of year | $ 3,062 | $ 3,604 | $ 4,106 |
Employee Benefit Plans - Assump
Employee Benefit Plans - Assumptions Used to Determine Accumulated Benefit Obligations (Details) | Dec. 31, 2018 | Dec. 31, 2017 |
Post-employment benefits | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Discount rate | 3.67% | 2.96% |
Employee Benefit Plans - Assu_2
Employee Benefit Plans - Assumptions Used to Determine Net Benefit Cost (Details) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Post-employment benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 2.96% | 3.15% | 3.20% |
Employee Benefit Plans - Compon
Employee Benefit Plans - Components of Net Periodic Benefit Cost (Details) - Post-employment benefits - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Service cost | $ 22 | $ 25 | $ 36 |
Interest cost | 100 | 122 | 142 |
Amortization of unrecognized prior service cost | (37) | (339) | (338) |
Amortization of unrecognized net actuarial loss | 92 | 184 | 269 |
Net benefit cost (credit) | $ 177 | $ (8) | $ 109 |
Employee Benefit Plans - Change
Employee Benefit Plans - Changes in Plan Assets and Benefit Obligations in Other Comprehensive Income (loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total other comprehensive income, net of tax | $ 147 | $ 66 | $ 134 |
Post-employment benefits | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Net actuarial gain | 196 | 261 | 293 |
Amortization of unrecognized net actuarial loss | 92 | 184 | 269 |
Amortization of unrecognized prior service cost | (37) | (339) | (338) |
Stranded tax effects from the Tax Act and Other | (78) | 0 | 0 |
Other | 47 | 0 | 0 |
Total other comprehensive income, pre-tax | 220 | 106 | 224 |
Income tax expense | 73 | 40 | 90 |
Total other comprehensive income, net of tax | $ 147 | $ 66 | $ 134 |
Employee Benefit Plans - Amount
Employee Benefit Plans - Amounts Recognized in the Consolidated Balance Sheets (Details) - Post-employment benefits - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Current | $ (467) | $ (471) |
Non-Current | (2,595) | (3,133) |
Net amount recognized | $ (3,062) | $ (3,604) |
Employee Benefit Plans - Estima
Employee Benefit Plans - Estimated Amount that will be Recognized From Accumulated Other Comprehensive Income (Loss) into Net Periodic Benefit Cost (Details) - Post-employment benefits $ in Thousands | Dec. 31, 2018USD ($) |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Actuarial net loss | $ (23) |
Net prior service credits | 15 |
Net amount recognized | $ (8) |
Employee Benefit Plans - Assume
Employee Benefit Plans - Assumed Average Annual Rate of Increase in the Per Capita Cost of Covered Benefits (Details) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Group Plan | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Health care cost trend rate | 7.00% | 7.00% |
Ultimate trend rate | 5.00% | 5.00% |
Year rate reaches ultimate trend rate | 2,025 | 2,025 |
Lifetime Prescription Cost | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Health care cost trend rate | 9.00% | 9.00% |
Ultimate trend rate | 5.00% | 5.00% |
Year rate reaches ultimate trend rate | 2,027 | 2,027 |
Medicare Supplement | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Health care cost trend rate | 4.50% | 4.50% |
Ultimate trend rate | 4.50% | 4.50% |
Year rate reaches ultimate trend rate | 2,019 | 2,018 |
Employee Benefit Plans - Expect
Employee Benefit Plans - Expected Benefit Payments (Details) - Post-employment benefits $ in Thousands | Dec. 31, 2018USD ($) |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2,019 | $ 484 |
2,020 | 468 |
2,021 | 438 |
2,022 | 426 |
2,023 | 376 |
2024-2028 | 961 |
Total | 3,153 |
Medicare Part D Subsidy Receipts | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2,019 | 17 |
2,020 | 15 |
2,021 | 14 |
2,022 | 13 |
2,023 | 11 |
2024-2028 | 34 |
Total | $ 104 |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Details) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2018USD ($)planshares | Dec. 31, 2017USD ($)shares | Dec. 31, 2016USD ($)shares | Dec. 31, 2015shares | May 31, 2014shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Common stock, shares authorized | 40,000,000 | 40,000,000 | |||
Treasury stock, shares | 1,259,551 | 1,318,545 | |||
Number of active plans | plan | 2 | ||||
Share-based compensation expense | $ | $ 2,612 | $ 2,245 | $ 2,402 | ||
Stock shares repurchased (in shares) | 27,214 | 74,132 | 40,870 | ||
Stock shares repurchased | $ | $ 2,324 | $ 4,663 | $ 1,518 | ||
Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Grants in period (in shares) | 42,136 | 47,514 | 100,892 | ||
Number of nonvested shares | 329,205 | 368,492 | 527,486 | 437,946 | |
Options, vested in period, fair value | $ | $ 1,239 | $ 979 | $ 0 | ||
Unrecognized compensation costs, other than options | $ | $ 2,779 | ||||
Period for recognition of unrecognized compensation cost | 1 year 9 months | ||||
Short-term Incentive Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Deferred compensation plan, expenses in the year earned | $ | $ 1,176 | ||||
Short-term Incentive Plan | Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation expense | $ | $ 821 | 491 | 317 | ||
Award vesting period | 48 months | ||||
Short-term Incentive Plan | Restricted Stock Units (RSUs) | Award vesting period, tranche one | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period | 12 months | ||||
Short-term Incentive Plan | Restricted Stock Units (RSUs) | Remaining award vesting period | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period | 36 months | ||||
ESPP | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares registered for employee purchase | 300,000 | ||||
The 2014 Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock authorized but not granted | 1,500,000 | ||||
RSUs granted (in shares) | 321,131 | ||||
The 2014 Plan | Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period | 3 years | ||||
The Director's Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock authorized but not granted | 300,000 | ||||
Grants in period (in shares) | 69,900 | ||||
The 2004 Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period | 5 years | ||||
Restricted stock authorized but not granted | 2,680,000 | ||||
Weighted average remaining contractual term | 10 years | ||||
The 2004 Plan | Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of shares available for grant | 0 | ||||
Authorized shares remaining for issuance | 145,000 | ||||
The 2004 Plan | Stock Options | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Options outstanding (in shares) | 0 | ||||
The 2004 Plan | Restricted Stock | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Number of nonvested shares | 0 | ||||
Number of shares available for grant | 0 | ||||
Annual Cash Incentive Plan | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Targeted bonus award expense | $ | $ 5,581 | $ 5,150 | $ 3,394 |
Employee Benefit Plans - Stat_2
Employee Benefit Plans - Status of Restricted Stock Awarded under Restricted Stock Plan (Details) - Restricted Stock Units (RSUs) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Non vested balance at beginning of period (in shares) | 368,492 | 527,486 | 437,946 |
Granted (in shares) | 42,136 | 47,514 | 100,892 |
Forfeited (in shares) | (1,080) | (3,508) | (11,352) |
Vested (in shares) | (80,343) | (203,000) | 0 |
Non vested balance at end of period (in shares) | 329,205 | 368,492 | 527,486 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | |||
Non vested balance at beginning of period (in dollars per share) | $ 17.20 | $ 10.17 | $ 7.09 |
Granted (in dollars per share) | 78.37 | 42.93 | 23.15 |
Forfeited (in dollars per share) | 28.30 | 25.74 | 11.55 |
Vested (in dollars per share) | 15.42 | 4.82 | 0 |
Non vested balance at end of period (in dollars per share) | $ 25.42 | $ 17.20 | $ 10.17 |
Concentrations (Details)
Concentrations (Details) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Supplier Concentration Risk | 2 Grain Suppliers | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 29.00% | 29.00% | 31.00% |
Supplier Concentration Risk | Pacific Ethanol | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 12.00% | ||
Supplier Concentration Risk | 10 Largest Suppliers | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 68.00% | 65.00% | 63.00% |
Net Sales | Customer Concentration Risk | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 40.00% | 39.00% | 36.00% |
Operating Segments (Details)
Operating Segments (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018USD ($)segment | Dec. 31, 2017USD ($)segment | Dec. 31, 2016USD ($) | |
Segment Reporting [Abstract] | |||
Number of reportable segments | segment | 2 | 2 | |
Revenue from foreign sources | $ | $ 19,782 | $ 22,870 | $ 22,422 |
Operating Segments - Operating
Operating Segments - Operating Profit (Loss) Per Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Net sales to customers: | |||||||||||
Net sales | $ 104,850 | $ 95,031 | $ 88,252 | $ 87,956 | $ 88,193 | $ 86,333 | $ 85,753 | $ 87,169 | $ 376,089 | $ 347,448 | $ 318,263 |
Gross profit: | |||||||||||
Gross profit | 25,608 | 19,599 | 19,441 | 18,951 | 19,525 | 18,625 | 18,825 | 19,041 | 83,599 | 76,016 | 65,283 |
Depreciation and amortization: | |||||||||||
Depreciation and amortization | 11,362 | 11,308 | 11,253 | ||||||||
Income (loss) before income taxes: | |||||||||||
Income (loss) before income taxes | $ 16,274 | $ 11,681 | $ 10,843 | $ 10,182 | $ 10,282 | $ 21,628 | $ 9,316 | $ 11,532 | 48,980 | 52,758 | 44,717 |
Distillery products | |||||||||||
Net sales to customers: | |||||||||||
Net sales | 314,055 | 291,008 | 265,243 | ||||||||
Ingredient solutions | |||||||||||
Net sales to customers: | |||||||||||
Net sales | 62,034 | 56,440 | 53,020 | ||||||||
Operating Segments | Distillery products | |||||||||||
Net sales to customers: | |||||||||||
Net sales | 314,055 | 291,008 | 265,243 | ||||||||
Gross profit: | |||||||||||
Gross profit | 71,793 | 66,817 | 56,836 | ||||||||
Depreciation and amortization: | |||||||||||
Depreciation and amortization | 8,739 | 8,490 | 8,371 | ||||||||
Income (loss) before income taxes: | |||||||||||
Income (loss) before income taxes | 64,791 | 60,424 | 53,583 | ||||||||
Operating Segments | Ingredient solutions | |||||||||||
Net sales to customers: | |||||||||||
Net sales | 62,034 | 56,440 | 53,020 | ||||||||
Gross profit: | |||||||||||
Gross profit | 11,806 | 9,199 | 8,447 | ||||||||
Depreciation and amortization: | |||||||||||
Depreciation and amortization | 1,567 | 1,660 | 1,655 | ||||||||
Income (loss) before income taxes: | |||||||||||
Income (loss) before income taxes | 9,336 | 6,613 | 5,836 | ||||||||
Corporate | |||||||||||
Depreciation and amortization: | |||||||||||
Depreciation and amortization | 1,056 | 1,158 | 1,227 | ||||||||
Income (loss) before income taxes: | |||||||||||
Income (loss) before income taxes | $ (25,147) | $ (14,279) | $ (14,702) |
Operating Segments - Identifiab
Operating Segments - Identifiable Assets by Segment (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Identifiable Assets | ||
Identifiable Assets | $ 277,892 | $ 240,328 |
Operating Segments | Distillery products | ||
Identifiable Assets | ||
Identifiable Assets | 223,890 | 191,321 |
Operating Segments | Ingredient solutions | ||
Identifiable Assets | ||
Identifiable Assets | 35,147 | 28,950 |
Corporate | ||
Identifiable Assets | ||
Identifiable Assets | $ 18,855 | $ 20,057 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Non-cash investing and financing activities: | |||
Purchase of property, plant, and equipment in accounts payable | $ 2,389 | $ 4,522 | $ 4,364 |
Additional cash payment information: | |||
Interest paid | 1,578 | 1,489 | 1,467 |
Income taxes paid | $ 8,818 | $ 13,526 | $ 16,409 |
Derivative Instruments (Detail)
Derivative Instruments (Detail) - Commodity Contract | 12 Months Ended |
Dec. 31, 2018 | |
Minimum | |
Derivative [Line Items] | |
Length of time hedged in commodity hedge | 1 month |
Maximum | |
Derivative [Line Items] | |
Length of time hedged in commodity hedge | 24 months |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Thousands | Feb. 26, 2016 | Jun. 30, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jul. 03, 2017 |
Related Party Transaction [Line Items] | ||||||
Cost of sales, related party transactions | $ 0 | $ 18,425 | $ 29,596 | |||
Return of equity method investment | 22,832 | |||||
Distributions received from equity method investee | $ 0 | 7,131 | 3,300 | |||
Equity method ownership percentage | 30.00% | |||||
Illinois Corn Processings LLC | ||||||
Related Party Transaction [Line Items] | ||||||
Return of equity method investment | $ 7,430 | |||||
Illinois Corn Processings LLC | ||||||
Related Party Transaction [Line Items] | ||||||
Distributions received from equity method investee | $ 3,300 | |||||
Equity method ownership percentage | 30.00% | 30.00% | ||||
ICP | ||||||
Related Party Transaction [Line Items] | ||||||
Cost of sales, related party transactions | $ 18,425 | $ 29,596 |
Quarterly Financial Data (Una_3
Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | ||||
Quarterly Financial Information Disclosure [Abstract] | ||||||||||||||
Net sales | $ 104,850 | $ 95,031 | $ 88,252 | $ 87,956 | $ 88,193 | $ 86,333 | $ 85,753 | $ 87,169 | $ 376,089 | $ 347,448 | $ 318,263 | |||
Cost of sales | 79,242 | 75,432 | 68,811 | 69,005 | 68,668 | 67,708 | 66,928 | 68,128 | 292,490 | [1] | 271,432 | [1] | 252,980 | [1] |
Gross profit | 25,608 | 19,599 | 19,441 | 18,951 | 19,525 | 18,625 | 18,825 | 19,041 | 83,599 | 76,016 | 65,283 | |||
SG&A expenses | 8,996 | 7,584 | 8,309 | 8,562 | 8,993 | 8,154 | 8,311 | 7,649 | 33,451 | 33,107 | 26,693 | |||
Operating income | 16,612 | 12,015 | 11,132 | 10,389 | 10,532 | 10,471 | 10,514 | 11,392 | 50,148 | 42,909 | 41,975 | |||
Gain (loss) on equity method investments | 0 | 11,381 | 0 | 0 | 0 | 11,381 | 0 | |||||||
Equity method investment earnings | 0 | 0 | (819) | 471 | 0 | (348) | 4,036 | |||||||
Interest expense, net | (338) | (334) | (289) | (207) | (250) | (224) | (379) | (331) | (1,168) | (1,184) | (1,294) | |||
Income before income taxes | 16,274 | 11,681 | 10,843 | 10,182 | 10,282 | 21,628 | 9,316 | 11,532 | 48,980 | 52,758 | 44,717 | |||
Income tax expense (benefit) | 4,452 | 2,673 | 3,316 | 1,255 | (2,357) | 7,491 | 2,947 | 2,854 | 11,696 | 10,935 | 13,533 | |||
Net income | $ 11,822 | $ 9,008 | $ 7,527 | $ 8,927 | $ 12,639 | $ 14,137 | $ 6,369 | $ 8,678 | $ 37,284 | $ 41,823 | $ 31,184 | |||
Basic and diluted EPS data (in dollars per share) | $ 0.69 | $ 0.52 | $ 0.44 | $ 0.52 | $ 0.74 | $ 0.82 | $ 0.37 | $ 0.50 | $ 2.17 | $ 2.44 | $ 1.82 | |||
Dividends and dividend equivalents per common share and per unit (in dollars per share) | $ 0.08 | $ 0.08 | $ 0.08 | $ 0.08 | $ 0.04 | $ 0.89 | $ 0.04 | $ 0.04 | ||||||
[1] | Includes related party purchases of $0, and $18,425, $29,596 for the years ended December 31, 2018, 2017, and 2016, respectively. |
Quarterly Financial Data (una_4
Quarterly Financial Data (unaudited) - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Interim Reporting [Line Items] | |||||||
Gain (loss) on equity method investments | $ 0 | $ 11,381 | $ 0 | $ 0 | $ 0 | $ 11,381 | $ 0 |
Tax act provisional tax expense (benefit) | $ 3,343 | ||||||
Illinois Corn Processings LLC | |||||||
Interim Reporting [Line Items] | |||||||
Gain (loss) on equity method investments | $ 11,381 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | Feb. 25, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 |
Subsequent Event [Line Items] | |||||||||
Dividends declared (in dollars per share) | $ 0.08 | $ 0.08 | $ 0.08 | $ 0.08 | $ 0.04 | $ 0.89 | $ 0.04 | $ 0.04 | |
Subsequent Event | |||||||||
Subsequent Event [Line Items] | |||||||||
Share repurchase authorization, amount | $ 25,000,000 | ||||||||
Dividends declared (in dollars per share) | $ 0.10 |