REX American Resources (REX) Q3 2026 earnings summary

Executive summary

• Q3 2025 net sales were $175.6 million, up slightly from $174.9 million in Q3 2024, with net income attributable to shareholders at $23.4 million, or $0.71 per diluted share, compared to $24.5 million, or $0.69 per share, last year.

• Gross profit declined to $36.1 million from $39.7 million in Q3 2024, mainly due to lower ethanol and distillers grains prices.

• Achieved 21 consecutive quarters of profitability, reflecting disciplined execution and strategic positioning for long-term growth.

• Progressed on One Earth Energy facility expansion, targeting 200 million gallons per year by 2026, and advanced carbon capture and sequestration initiatives, with substantial completion of capture and compression at Gibson City.

• Operates one reportable segment: ethanol and by-products, with interests in several ethanol plants.

Financial highlights

• Ethanol sales volumes reached 78.4 million gallons, up from 75.5 million gallons in Q3 2024; average selling price was $1.73 per gallon, down from $1.83.

• Corn oil sales revenue increased by 60% year-over-year, driven by a 17% rise in volume and a 36% increase in average selling price.

• SG&A expenses were $8.2 million, slightly down from $8.4 million in Q3 2024, mainly due to lower performance bonuses and stock compensation.

• Interest and other income totaled $3.2 million, down from $4.6 million in Q3 2024.

• Cash, cash equivalents, and short-term investments totaled $335.5 million as of October 31, 2025, with no bank debt.

Outlook and guidance

• Ethanol expansion at One Earth is progressing, with completion expected in 2026; capital expenditures for expansion and sequestration projects are budgeted at $220–$230 million, funded from available cash.

• Management expects Q4 2025 net profit to exceed last year's profitable fourth quarter and anticipates continued growth and improved performance in 2026.

• Ethanol export momentum is expected to set a new record in 2025, with favorable corn production forecasts for 2025-2026.

• Actively preparing to capitalize on 45Z tax credits, pending final Treasury guidance.

• Plans to spend $25–$35 million on expansion and sequestration projects during the remainder of fiscal 2025.