The Andersons incurred a $15 million loss in the first quarter ended March 31. The company noted that lower ethanol crush margins and declining fertilizer prices impacted those business segments.
"The Renewables team was faced with lower ethanol crush margins to start the quarter but showed improvement over 2022 on an adjusted basis," said Pat Bowe, president and CEO. "The Nutrient & Industrial business was faced with declining fertilizer prices and deferred customer purchasing in the quarter."
The Nutrient & Industrial (formerly Plant Nutrient) reported a pretax loss of $10 million on a slow start to the planting season, said Bowe.
"In April, customers have engaged and prices have firmed a bit as fieldwork began in our service geography," he said. "While some of the typical first quarter business will shift into Q2, we do not expect that all the business will be recovered."
First quarter highlights
- Company reported a net loss attributable to The Andersons of $15 million, or $0.44 per diluted share and adjusted net income of $7 million, or $0.20 per diluted share
- Adjusted EBITDA was $55 million for the quarter
- Trade reported pretax income of $39 million and adjusted pretax income of $24 million, a record first quarter
- Renewables produced a pretax loss of $83 million due to a previously announced non-cash impairment and adjusted pretax income attributable to The Andersons of $6 million
"We are making good progress on several growth opportunities," added Bowe. "We remain focused on executing within our stated strategy in our core grain and fertilizer verticals including further focus on renewables and new opportunities in renewable diesel feedstocks. We remain confident in the long-term outlook for the company and achieving our previously stated goal."
