Financial Highlights:
Reported record first quarter net income attributable to The Andersons of $33 million or $0.97 per diluted share and adjusted net income attributable of $38 million, or $1.12 per diluted share
Adjusted EBITDA of $91 million
Renewables first quarter pretax income was $40 million on record production, strong merchandising, and biofuels policy benefits
Agribusiness recorded pretax income of $7 million and adjusted pretax income attributable to The Andersons of $18 million on resilient merchandising and improving conditions
"Our record first quarter includes outstanding results in Renewables and year-over-year improvement in Agribusiness. Ethanol margins were solid during the quarter on increased demand and higher gasoline prices. Our renewable feedstock business had a strong quarter as values and volumes improved following the finalization of the Required Volume Obligations (RVO). Our plants set another quarterly record for production, and we were able to qualify for a higher tier of 45Z tax credits. Fundamentals for this business remain positive," said President and CEO Bill Krueger. "In Agribusiness, with the return of some market volatility, our merchandising businesses had a solid quarter. Results from our premium ingredients business more than doubled the prior year, as we are focused on serving our key CPG customers. Our fertilizer business also improved, as we strategically positioned product in anticipation of spring planting."
"We continue to evaluate capital deployment to drive growth and expansion of our existing assets, make our operations more efficient, while analyzing potential acquisitions. We are on track to complete several capital investments during 2026, including the addition of soybean meal export capacity at Port Houston, the replacement and modernization of grain storage at our Toledo port assets, and several corn and wheat cleaning projects within our current asset footprint. Our Clymers, Indiana ethanol debottlenecking project, announced in December of last year, is in the early stages and progressing as planned. We expect the project to increase the plant's annual production capacity to approximately 170 million gallons upon completion. We are evaluating additional ethanol, premium ingredients, and other projects to drive further profitable growth as we remain focused on achieving the $7.00 run-rate EPS target exiting 2028, as announced in December at our Investor Day," continued Krueger.
$ in millions, except per share amounts
YTD 2026
YTD 2025
Variance
Pretax Income
$ 33.9
$ 3.2
$ 30.7
Pretax Income (loss) Attributable to the Company1
37.7
(1.8)
39.5
Adjusted Pretax Income Attributable to the Company1
44.4
3.2
41.2
Agribusiness1
17.9
(0.1)
18.0
Renewables
39.6
15.3
24.3
Other1
(13.1)
(12.0)
(1.1)
Net Income Attributable to the Company
33.2
0.3
32.9
Adjusted Net Income Attributable to the Company1
38.2
4.1
34.1
Diluted Earnings Per Share ("EPS")
0.97
0.01
0.96
Adjusted EPS1
1.12
0.12
1.00
EBITDA1
84.8
50.6
34.2
Adjusted EBITDA1
$ 91.5
$ 57.3
$ 34.2
1 Non-GAAP financial measures; see appendix for explanations and reconciliations.
Cash, Liquidity, and Long-Term Debt Management
"Our businesses generated improved cash flows on strong earnings this quarter. We expect to continue to fund many of our growth projects internally and our debt remains at a modest level," said Executive Vice President and CFO Brian Valentine. "We remain below our long-term debt to EBITDA target of less than 2.5 times and continue to be pleased with the strength of our balance sheet."
Cash used in operating activities was $394 million and $350 million in the first quarter of 2026 and 2025, respectively. Cash from operations before working capital changes in the same periods was $68 million and $57 million, respectively. Cash spent on capital projects in the quarter totaled $52 million, as we continue to invest in our facilities and fund growth.
First Quarter Segment Overview
Agribusiness Posts Improved First Quarter on Earnings Resilience
Agribusiness recorded pretax income of $7 million and adjusted pretax income attributable to the company of $18 million for the quarter, compared to a pretax loss of $10 million and break even adjusted pretax income in the first quarter of 2025.
Our diversified portfolio showed the resilience of our earnings as we saw more volatility return to the market this quarter. As prices rallied during the quarter, more old crop bushels came to market, which provided opportunities for our merchandising businesses. Our grain asset footprint saw less basis appreciation than expected as the price rally put pressure on basis values. Fertilizer results improved on higher margins.
Market conditions remain dynamic. There is the potential of continued volatility that will provide opportunities through 2026. We will remain nimble as conditions change. If the volatility continues, more opportunities should shift to our merchandising businesses. We expect our asset footprint, especially in the west, to capture some of the delayed basis appreciation over the next few quarters. Anticipated corn plantings are above the five-year average with expanded margin opportunities in this higher priced environment. Our fertilizer business is well positioned heading into Q2 and the application season for planting.
Agribusiness had adjusted first quarter EBITDA of $49 million, compared to $31 million in 2025.
Renewables Reports Record Quarter on Efficient Operations and Strong Demand
The Renewables segment reported pretax income of $40 million in the first quarter. For the same period in 2025, the segment reported pretax income of $25 million and pretax income attributable to the company of $15 million.
The segment had a strong first quarter performance on efficient plant operations and record production. Ethanol demand drove board crush higher year over year but was offset by firmer corn basis and higher natural gas expense. First quarter results include $26 million of 45Z producer tax credits. As expected, each of our plants qualified for the next tier of credits following rule changes effective in 2026. Our merchandising businesses had improved performance, largely driven by volatility surrounding the RVO announcement, resulting in higher distillers corn oil and RIN values.
Ethanol fundamentals continue to be supportive as we anticipate elevated demand, including increasing global blend rates, high gasoline prices, and planned industry maintenance. Renewable feedstocks should also continue to benefit from the robust RVO.
Renewables had first quarter EBITDA of $54 million in 2026, compared to $37 million in 2025.
Income Taxes
The company recorded income tax expense of $4.6 million for the quarter, resulting in an effective tax rate of 14% for the period. The rate was impacted by non-taxable 45Z income. We anticipate a full-year adjusted effective rate of approximately 14% - 18%.
Conference Call
The company will host a webcast on Wednesday, May 6, 2026, at 8:30 a.m. ET, to discuss its performance and provide its outlook for the remainder of 2026. To access the call, please dial 888-317-6003 or 412-317-6061 (elite entry number is 7394049). It is recommended that you call 10 minutes before the conference call begins.
To access the webcast, click on the link: https://app.webinar.net/r9QEJNbJ2Mk and submit the requested information as directed. A replay of the call can also be accessed under the heading "Investors" on the company's website at www.andersonsinc.com.
Forward-Looking Statements
This release contains forward-looking statements. These statements involve risks and uncertainties that could cause actual results to differ materially. Without limitation, these risks include economic, weather and regulatory conditions, competition, geopolitical risk, and the risk factors set forth from time to time in the company's filings with the Securities and Exchange Commission. Although the company believes that the assumptions upon which the financial information and its forward-looking statements are based are reasonable, it can give no assurance that these assumptions will prove to be correct.
Non-GAAP Measures
This release contains non-GAAP financial measures. The company believes that pretax income (loss) attributable to the company; adjusted pretax income (loss) attributable to the company; adjusted pretax income (loss); adjusted net income attributable to the company; adjusted diluted earnings per share; earnings before interest, taxes, depreciation, and amortization (or EBITDA); adjusted EBITDA; and cash from operations before working capital changes provide additional information to investors and others about its operations, allowing an evaluation of underlying operating performance and liquidity and better period-to-period comparability. The above measures are not and should not be considered as alternatives to pretax income (loss) or income (loss) before income taxes, net income (loss), diluted earnings (loss) per share attributable to The Andersons, Inc. common shareholders and cash provided by (used in) operating activities as determined by generally accepted accounting principles. Reconciliations of the GAAP to non-GAAP measures may be found within this press release and the financial tables provided herein.
Company Description
The Andersons, Inc., is a North American agriculture and renewable fuels company. Guided by its Statement of Principles, The Andersons is committed to providing extraordinary service to its customers, helping its employees improve, supporting its communities, and increasing the value of the company. For more information, please visit www.andersonsinc.com.
The Andersons, Inc.
Condensed Consolidated Statements of Operations
(unaudited)
Three months ended March 31,
(in thousands, except per share data)
2026
2025
Sales and merchandising revenues
$ 2,627,266
$ 2,659,098
Cost of sales and merchandising revenues
2,466,682
2,506,226
Gross profit
160,584
152,872
Operating, administrative and general expenses
144,664
145,754
Interest expense, net
16,838
13,096
Other income, net
34,810
9,191
Income before income taxes
33,892
3,213
Income tax provision (benefit)
4,560
(2,118)
Net income
29,332
5,331
Net (loss) income attributable to noncontrolling interests
(3,856)
5,047
Net income attributable to The Andersons, Inc.
$ 33,188
$ 284
Earnings per share attributable to The Andersons, Inc. common shareholders:
Basic earnings:
$ 0.98
$ 0.01
Diluted earnings:
$ 0.97
$ 0.01
The Andersons, Inc.
Condensed Consolidated Balance Sheets
(unaudited)
(in thousands)
March 31, 2026
December 31, 2025
March 31, 2025
Assets
Current assets:
Cash and cash equivalents
$ 72,398
$ 98,283
$ 219,219
Accounts receivable, net
772,010
652,472
812,482
Inventories
1,398,686
1,365,121
1,249,047
Commodity derivative assets, current
161,858
135,466
155,028
Other current assets
152,153
125,067
92,968
Total current assets
2,557,105
2,376,409
2,528,744
Property, plant and equipment, net
961,401
939,500
860,246
Other assets, net
401,670
396,923
408,692
Total assets
$ 3,920,176
$ 3,712,832
$ 3,797,682
Liabilities and equity
Current liabilities:
Short-term debt
$ 716,519
$ 249,420
$ 222,691
Trade and other payables
633,027
918,691
661,202
Customer prepayments and deferred revenue
222,811
195,331
223,702
Commodity derivative liabilities, current
67,682
51,153
69,648
Current maturities of long-term debt
23,466
63,375
62,675
Accrued expenses and other current liabilities
207,125
208,427
194,390
Total current liabilities
1,870,630
1,686,397
1,434,308
Long-term debt, less current maturities
569,063
560,016
588,087
Other long-term liabilities
170,638
176,184
180,853
Total liabilities
2,610,331
2,422,597
2,203,248
Total equity
1,309,845
1,290,235
1,594,434
