The Andersons, Inc. Reports Second Quarter Results and Announces Business Structure and Organizational Changes

MAUMEE, Ohio, Aug. 4, 2020 /PRNewswire/ — The Andersons, Inc. (Nasdaq: ANDE) announces financial results for the second quarter ended June 30,…

MAUMEE, Ohio, Aug. 4, 2020 /PRNewswire/ — The Andersons, Inc. (Nasdaq: ANDE) announces financial results for the second quarter ended June 30, 2020 and business structure and organizational changes.

Second Quarter Highlights:

  • Company reported net income attributable to The Andersons of $30.4 million, or $0.92 per diluted share, and adjusted net income of $29.3 million, or $0.88 per diluted share.
  • Adjusted EBITDA attributable to the company was $70.7 million for the quarter.
  • Trade Group reported pretax income of $0.4 million and adjusted pretax income of $1.4 million despite a tough operating environment.
  • Ethanol Group reported pretax income attributable to the company of $0.9 million due to its timely maintenance shutdowns and improved ethanol margins. 
  • Plant Nutrient Group recorded pretax income of $19.4 million driven by a strong planting season.
  • Rail Group earned $2.6 million of pretax income due to lower car sale income.
  • Company announced a reorganization of its business groups and several leadership changes.

“I am proud of what we were able to accomplish in the second quarter, as all four of our business groups were profitable,” said President and CEO Pat Bowe. “We are focused on transforming The Andersons into a more cost-efficient company positioned for scalable growth. Our vision is to be the most nimble and innovative North American ag supply chain company. The steps we are taking to transform the organization should ensure that we have the right vision at the right time to continue to serve our customers.”

“Our Plant Nutrient Group’s income was up more than 20 percent due to an excellent spring planting season,” continued Bowe. “Our Ethanol Group’s navigation of the unprecedented decrease in demand due to the COVID-19 crisis helped produce good results under those difficult conditions. The Trade Group continued to feel the effects of a small 2019 corn crop in the East. Both the Trade Group and the Rail Group both felt the persistent negative impact of the pandemic on customer demand. Both groups were profitable for the quarter.”

“I want to again thank our employees, particularly those working in our plants and operations, for continuing to demonstrate their commitment to the company and to our customers and communities by keeping our businesses running safely and effectively during this time. We have maintained as our top priority, the health and safety of our employees, who have performed admirably in these difficult circumstances. We also extend our thanks to the health and safety personnel in our communities who have helped respond to the pandemic.”

$ in millions, except per share amounts     





Q2 2020

Q2 2019

Variance

YTD 2020

YTD 2019

Variance

Pretax Income (Loss) Attributable to the Company1

$

18.2


$

40.9


$

(22.7)


$

(20.9)


$

21.5


$

(42.4)


Adjusted Pretax Income (Loss) Attributable to the Company1

21.6


44.1


(22.5)


(16.2)


36.2


(52.4)


     Trade Group

1.4


25.8


(24.4)


(7.2)


19.5


(26.7)


     Ethanol Group1

0.9


3.7


(2.8)


(23.1)


6.8


(29.9)


     Plant Nutrient Group

19.4


15.9


3.5


18.2


12.0


6.2


     Rail Group

2.6


3.2


(0.6)


3.6


7.5


(3.9)


     Other

(2.7)


(4.6)


1.9


(7.7)


(9.5)


1.8


Net Income (Loss) Attributable to the Company1

30.4


29.9


0.5


(7.2)


15.9


(23.1)


Adjusted Net Income (Loss) Attributable to the Company1

29.3


32.3


(3.0)


(14.0)


27.0


(41.0)


Diluted EPS

0.92


0.91


0.01


(0.22)


0.48


(0.70)


Adjusted Diluted EPS

0.88


0.98


(0.10)


(0.43)


0.81


(1.24)


EBITDA

66.7


86.4


(19.7)


76.6


116.6


(40.0)


Adjusted EBITDA Attributable to the Company

$

70.7


$

90.1


$

(19.4)


$

85.4


$

132.0


$

(46.6)



1 Reflects amounts attributable to the company and excludes losses attributable to the noncontrolling interests of $10.4 in Q2 2020, $0.5 in Q2 2019, $23.9 for year-to-date 2020 and $0.6 for year-to-date 2019. See non-GAAP reconciliations in the accompanying tables.

Company Continues to Actively Manage COVID-19 Pandemic

The company’s executive-level response team has continued to closely monitor the crisis, share information and best practices across the company’s operations and manage its coordinated response. It has also implemented policies for remote work and supplemental sick time for those employees who have been impacted by the virus. Employees continue to practice appropriate social distancing and follow protocols for sanitation and good hygiene developed in conjunction with the pandemic.

Strategic Business Structure and Senior Leadership Changes Announced

The company announced strategic business structure and senior leadership changes. Among the changes were the following:

  • The Trade Group and Ethanol Group will be combined and led by President Bill Krueger, who was formerly president of the Trade Group. Jim Pirolli, who was the Ethanol Group president, has been appointed senior vice president of the combined group, which will enable him to assume expanded responsibilities.
  • The Plant Nutrient Group and Rail Group will be combined and led by Joe McNeely, who was formerly the president of the Rail Group. 

“This new structure will enable us to focus on increasing gross profit and enhancing service to our customers, while also managing our cost structure,” said Bowe. “The combination of the Trade and Ethanol Groups will allow for greater strategic alignment, risk management and integrated service to our customers. This restructuring of our business will also result in a leaner cost environment.”

Liquidity and Cash Management

“We generated strong operating cash flows and continued to manage capital expenditures during the second quarter,” said Executive Vice President and CFO Brian Valentine. “As the pandemic persists, we remain very focused on overall liquidity, including expense and cash management.”

In May, the company announced that it was targeting total expense reductions of $30 million in 2020, with approximately half of those savings expected to be permanent in nature. The company anticipates further general and administrative cost reductions that will be realized beginning in early 2021.     

The company still expects to spend approximately $100 million on capital projects in 2020 after averaging more than $200 million over the last three years. This reduction prudently preserves working capital and supports our continued strong financial position.

Second Quarter Segment Overview

Trade Group Records Lower Adjusted Results Driven by Low Income from Storage Assets

The Trade Group recorded pretax income of $0.4 million and adjusted pretax income of $1.4 million for the quarter compared to pretax income of $22.6 million and adjusted pretax income of $25.8 million in the second quarter of 2019. The 2019 results were positively impacted by corn and wheat basis appreciation caused by the poor 2019 planting season and concerns about adequate grain supplies.

  • The merchandising business continued to perform well, with comparable year-over-year results.
  • The group’s return on its Eastern Corn Belt assets was hurt by the small 2019 harvest and COVID-related decreases in demand, which resulted in compressed margins, minimal basis appreciation and lower originations.

The group adjusted its reported pretax income by $1.0 million for stock compensation expense associated with the 2019 acquisition of Lansing Trade Group.

The group’s second quarter adjusted EBITDA was $17.5 million compared to second quarter 2019 adjusted EBITDA of $46.8 million.

The group anticipates a large corn harvest, which should improve profitability during the latter part of the year and into 2021.

Ethanol Group Records a Profit Due to Timely Maintenance Shutdowns and Improving Margins

The Ethanol Group reported pretax income attributable to the company of $0.9 million in the second quarter compared to the $3.7 million of pretax income attributable to the company it earned in the same period in 2019.

  • Margins began to improve in early May and were strong by the end of the quarter as improving demand outpaced increases in industry production. 
  • As expected, a significant portion of the non-cash mark-to-market losses recorded in the first quarter reversed during the second quarter. 
  • The group’s five plants operated at approximately 50 percent of capacity during the quarter as planned. The group safely completed extended maintenance shutdowns using largely its own employees.

The group recorded adjusted EBITDA attributable to the company of $11.0 million in the second quarter of 2020 compared to 2019 second quarter adjusted EBITDA attributable to the company of $4.5 million.

Plant Nutrient Group Pretax Income Increases 22 Percent Driven by a Strong Planting Season

The Plant Nutrient Group improved its results year over year, recording pretax income of $19.4 million compared to pretax income of $15.9 million in the same period of the prior year. This was the fifth consecutive quarter that the group posted improved year-over-year results.

  • Volumes were up substantially due to a strong planting season.
  • Improved Engineered Granules results continued to be driven by better procurement and operating expenses controls.

The group’s current quarter EBITDA was $27.2 million compared to 2019 second quarter EBITDA of $24.9 million.

The group’s near-term outlook is guarded, as low corn prices and COVID-related demand decreases in the industrial sector may offset the positive impacts of continuing cost reductions, which have improved results over the last several quarters, and new business opportunities in Engineered Granules.

Rail Group Results Down Slightly on Lower Car Sale Income

The Rail Group earned second quarter pretax income of $2.6 million compared to $3.2 million in the same period of the prior year.

  • Railcar leasing results were flat year over year. Cars on lease, average lease rate and utilization were all lower as railcar loadings continued to decrease.
  • Income from cars sales was negligible.
  • Service and other pretax income was unchanged.

The group’s second quarter 2020 EBITDA of $15.3 million was comparable to its second quarter 2019 EBITDA.  

The COVID-19 pandemic has caused the idling of nearly one-third of the North American railcar fleet and has driven year-to-date railcar loadings 16 percent lower year over year through June. These conditions are expected to continue until the general economy returns to normal levels, and will continue to negatively impact lease renewals, lease rates and demand for railcar repairs.

Provision for Income Taxes Includes CARES Act Benefits

The company’s second quarter income tax provision included additional CARES Act tax benefits of approximately $3.7 million, or $0.11 per diluted share in the current quarter and approximately $10.3 million, or $0.31 per diluted share year to date. As with the impacts of the Tax Cuts and Jobs Act of 2017 and CARES Act benefits recognized in the first quarter of 2020, the company has excluded the current quarter benefits from its adjusted net income. This quarter’s additional benefits are expected to result in cash refunds of nearly $14 million, bringing the total expected CARES Act refunds in 2020 to approximately $32 million. In addition, the company’s reported effective income tax rate is substantially impacted by the income or loss earned by the noncontrolling interests and may result in highly variable effective tax rates in future periods.

Conference Call

The company will host a webcast on Wednesday, August 5, 2020, at 11 a.m. Eastern Daylight Time, to discuss its performance and provide its updated outlook for 2020. To access the call, please dial 866-439-8514 or 678-509-7568 (participant passcode is 3588432). It is recommended that you call 10 minutes before the conference call begins. 

To access the webcast, click on the link: http://edge.media-server.com/mmc/p/r7mauxjq. Complete the four fields as directed and click Submit. A replay of the call can also be accessed under the heading “Investors” on the company’s website at www.andersonsinc.com.  

Investor Day Rescheduled

The company has rescheduled its investor day for the morning of Tuesday, December 8, 2020.  The event will be presented in a virtual format.  The company will share more details about the event at a later date.

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, the COVID-19 pandemic 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 attributable to The Andersons, adjusted pretax income attributable to the company, net income attributable to the company, adjusted net income attributable to the company, adjusted diluted earnings per share, EBITDA and adjusted EBITDA attributable to the company provide additional information to investors and others about its operations, allowing an evaluation of underlying operating performance and better period-to-period comparability. The above measures are not and should not be considered as alternatives to pretax income, net income or net income per share 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

Founded in 1947 in Maumee, Ohio, The Andersons, Inc. (Nasdaq: ANDE) is a diversified company rooted in agriculture that conducts business in the commodity trading, ethanol, plant nutrient and rail sectors. Guided by its Statement of Principles, The Andersons strives to provide extraordinary service to its customers, help its employees improve, support its communities and increase 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

June 30,


Six months ended

June 30,

(in thousands, except per share data)

2020


2019


2020


2019

Sales and merchandising revenues

$

1,890,180



$

2,325,041



$

3,743,286



$

4,301,833


Cost of sales and merchandising revenues

1,783,914



2,164,313



3,573,890



4,031,441


Gross profit

106,266



160,728



169,396



270,392


Operating, administrative and general expenses

90,136



106,918



195,196



220,267


Asset impairment



3,081





3,081


Interest expense, net

11,827



15,727



27,414



31,637


Other income, net:








Equity in earnings (loss) of affiliates, net

79



(157)



209



1,362


Other income, net

3,450



5,563



8,263



4,049


Income (loss) before income taxes

7,832



40,408



(44,742)



20,818


Income tax (benefit) provision

(12,200)



10,997



(13,664)



5,555


Net income (loss)

20,032



29,411



(31,078)



15,263


Net loss attributable to the noncontrolling interests

(10,407)



(477)



(23,856)



(632)


Net income (loss) attributable to The Andersons, Inc.

$

30,439



$

29,888



$

(7,222)



$

15,895










Per common share:








Basic earnings (loss) attributable to The Andersons, Inc. common shareholders

$

0.92



$

0.92



$

(0.22)



$

0.49


Diluted earnings (loss) attributable to The Andersons, Inc. common shareholders

$

0.92



$

0.91



$

(0.22)



$

0.48


 

 

The Andersons, Inc.

Reconciliation to Adjusted Net Income (unaudited)





(in thousands, except per share data)

Three months ended

June 30,


Six months ended

June 30,


2020


2019


2020


2019

Net income (loss) attributable to The Andersons, Inc.

$

30,439



$

29,888



$

(7,222)



$

15,895


Items adjusted for certain gains and charges:








Acquisition costs



1,229





5,872


Transaction related stock compensation

1,017



1,346



2,348



4,762


Asset impairment



3,081





3,081


Loss (gain) from remeasurement of equity method investments



(2,439)





1,073


Severance costs

2,341





2,341




Income tax impact of adjustments (a)

(4,541)



(803)



(11,451)



(3,696)


Total adjustments

(1,183)



2,414



(6,762)



11,092


Adjusted net income (loss) attributable to The Andersons, Inc.

$

29,256



$

32,302



$

(13,984)



$

26,987










Diluted earnings (loss) attributable to The Andersons, Inc. common shareholders

$

0.92



$

0.91



$

(0.22)



$

0.48










Impact on diluted earnings (loss) per share

(0.04)



0.07



$

(0.21)



0.33


Adjusted diluted income (loss) per share

$

0.88



$

0.98



$

(0.43)



$

0.81



(a) Income tax adjustments include $(4.5) million and $(11.5) million due to CARES Act benefits and certain discrete items in the current quarter and year to date, respectively, and $(0.8) million and $(3.7) million due to certain discrete items in the prior year quarter and year to date, respectively.

 

 

 

The Andersons, Inc.

Condensed Consolidated Balance Sheets (unaudited)







(in thousands)

June 30, 2020


December 31, 2019


June 30, 2019

Assets






Current assets:






  Cash, cash equivalents and restricted cash

$

30,011



$

54,895



$

11,087


  Accounts receivable, net

537,011



536,367



712,294


  Inventories

616,323



1,170,536



753,641


  Commodity derivative assets – current

112,089



107,863



233,015


  Other current assets

102,755



75,681



58,590


Total current assets

1,398,189



1,945,342



1,768,627








Other assets:






Goodwill

135,709



135,360



135,872


Other intangible assets, net

160,180



175,312



188,818


Right of use assets, net

62,838



76,401



74,073


Equity method investments

25,083



23,857



120,929


Other assets, net

23,152



21,753



28,002


Total other assets

406,962



432,683



547,694


Rail Group assets leased to others, net

592,821



584,298



559,711


Property, plant and equipment, net

906,017



938,418



695,827


Total assets

$

3,303,989



$

3,900,741



$

3,571,859








Liabilities and equity






Current liabilities:






  Short-term debt

96,071



147,031



426,125


  Trade and other payables

503,892



873,081



527,250


  Customer prepayments and deferred revenue

45,734



133,585



49,761


  Commodity derivative liabilities – current

65,186



46,942



69,369


  Current maturities of long-term debt

68,477



62,899



66,678


  Accrued expenses and other current liabilities

147,422



176,381



165,383


Total current liabilities

926,782



1,439,919



1,304,566








Long-term lease liabilities

41,061



51,091



48,401


Long-term debt, less current maturities

975,973



1,016,248



1,007,012


Deferred income taxes

162,475



146,155



146,839


Other long-term liabilities

65,615



51,673



44,402


Total liabilities

2,171,906



2,705,086



2,551,220


Total equity

1,132,083



1,195,655



1,020,639


Total liabilities and equity

$

3,303,989



$

3,900,741



$

3,571,859


 

 

The Andersons, Inc.

Segment Data (unaudited)













(in thousands)

Trade


Ethanol


Plant

Nutrient


Rail


Other


Total

Three months ended June 30, 2020












Revenues from external customers

$

1,351,168



$

223,745



$

279,825



$

35,442



$



$

1,890,180


Gross profit

59,382



(2,599)



38,765



10,718





106,266


Equity in earnings of affiliates

79











79


Other income, net

986



466



386



905



707



3,450


Income (loss) before income taxes

393



(9,539)



19,407



2,606



(5,035)



7,832


Loss attributable to the noncontrolling interests



(10,407)









(10,407)


Income (loss) before income taxes attributable to The Andersons, Inc. (a)

$

393



$

868



$

19,407



$

2,606



$

(5,035)



$

18,239


Adjustments to income (loss) before income taxes (b)

1,017









2,341



3,358


Adjusted income (loss) before income taxes attributable to The Andersons, Inc. (a)

$

1,410



$

868



$

19,407



$

2,606



$

(2,694)



$

21,597














Three months ended June 30, 2019












Revenues from external customers

$

1,700,581



$

310,867



$

270,577



$

43,016



$



$

2,325,041


Gross profit

100,666



6,492



38,798



14,772





160,728


Equity in earnings (losses) of affiliates

(1,614)



1,457









(157)


Other income, net

3,817



195



570



329



652



5,563


Income (loss) before income taxes

22,631



3,272



15,903



3,180



(4,578)



40,408


Loss attributable to the noncontrolling interests



(477)









(477)


Income (loss) before income taxes attributable to The Andersons, Inc. (a)

$

22,631



$

3,749



$

15,903



$

3,180



$

(4,578)



$

40,885


Adjustments to income (loss) before income taxes (b)

3,217











3,217


Adjusted income (loss) before income taxes attributable to The Andersons, Inc. (a)

$

25,848



$

3,749



$

15,903



$

3,180



$

(4,578)



$

44,102



(a) Income (loss) before income taxes attributable to The Andersons, Inc. for each operating segment is defined as net sales and merchandising revenues plus identifiable other income less all identifiable operating expenses, including interest expense for carrying working capital and long-term assets and is reported net of the noncontrolling interest share of income.

(b) Additional information on the individual adjustments that are included in the adjustments to income (loss) before income taxes can be found in the Reconciliation to EBITDA and Adjusted EBITDA table.

 

 

 

























(in thousands)

Trade


Ethanol


Plant

Nutrient


Rail


Other


Total

Six months ended June 30, 2020












Revenues from external customers

$

2,729,209



$

536,784



$

404,738



$

72,555



$



$

3,743,286


Gross profit

121,848



(31,998)



59,129



20,417





169,396


Equity in earnings of affiliates

209











209


Other income, net

3,750



912



356



1,955



1,290



8,263


Income (loss) before income taxes

(9,591)



(46,964)



18,215



3,613



(10,015)



(44,742)


Loss attributable to the noncontrolling interests



(23,856)









(23,856)


Income (loss) before income taxes attributable to The Andersons, Inc. (a)

$

(9,591)



$

(23,108)



$

18,215



$

3,613



$

(10,015)



$

(20,886)


Adjustments to income (loss) before income taxes (b)

2,348









2,341



4,689


Adjusted income (loss) before income taxes attributable to The Andersons, Inc. (a)

$

(7,243)



$

(23,108)



$

18,215



$

3,613



$

(7,674)



$

(16,197)














Six months ended June 30, 2019












Revenues from external customers

$

3,238,267



$

580,033



$

399,102



$

84,431



$



$

4,301,833


Gross profit

168,063



11,892



59,732



30,705





270,392


Equity in earnings (losses) of affiliates

(1,745)



3,107









1,362


Other income, net

827



279



1,137



538



1,268



4,049


Income (loss) before income taxes

4,729



6,128



11,974



7,492



(9,505)



20,818


Loss attributable to the noncontrolling interests



(632)









(632)


Income (loss) before income taxes attributable to The Andersons, Inc. (a)

$

4,729



$

6,760



$

11,974



$

7,492



$

(9,505)



$

21,450


Adjustments to income (loss) before income taxes (b)

14,788











14,788


Adjusted income (loss) before income taxes attributable to The Andersons, Inc. (a)

$

19,517



$

6,760



$

11,974



$

7,492



$

(9,505)



$

36,238



(a) Income (loss) before income taxes attributable to The Andersons, Inc. for each operating segment is defined as net sales and merchandising revenues plus identifiable other income less all identifiable operating expenses, including interest expense for carrying working capital and long-term assets and is reported net of the noncontrolling interest share of income.

(b) Additional information on the individual adjustments that are included in the adjustments to income (loss) before income taxes can be found in the Reconciliation to EBITDA and Adjusted EBITDA table.

 

 

 

The Andersons, Inc.

Reconciliation to EBITDA and Adjusted EBITDA

(unaudited)













(in thousands)

Trade


 Ethanol


 Plant

Nutrient


 Rail


 Other


 Total

Three months ended June 30, 2020












Net income (loss)

$

393



$

(9,539)



$

19,407



$

2,606



$

7,165



$

20,032


Interest expense

5,056



1,900



1,463



3,833



(425)



11,827


Tax benefit









(12,200)



(12,200)


Depreciation and amortization

11,055



17,952



6,364



8,869



2,757



46,997


Earnings before interest, taxes, depreciation and amortization (EBITDA)

16,504



10,313



27,234



15,308



(2,703)



66,656


EBITDA attributable to non-controlling interests



(645)









(645)


EBITDA attributable to The Andersons, Inc.

16,504



10,958



27,234



15,308



(2,703)



67,301


Adjusting items impacting EBITDA:












Transaction related stock compensation

1,017











1,017


Severance Costs









2,341



2,341


Total adjusting items

1,017









2,341



3,358


Adjusted EBITDA attributable to The Andersons, Inc.

$

17,521



$

10,958



$

27,234



$

15,308



$

(362)



$

70,659














Three months ended June 30, 2019












Net income (loss)

$

22,631



$

3,272



$

15,903



$

3,180



$

(15,575)



$

29,411


Interest expense

10,148



(811)



2,386



4,181



(177)



15,727


Tax provision









10,997



10,997


Depreciation and amortization

10,836



1,587



6,631



8,389



2,850



30,293


Earnings before interest, taxes, depreciation and amortization (EBITDA)

43,615



4,048



24,920



15,750



(1,905)



86,428


EBITDA attributable to non-controlling interests



(439)









(439)


EBITDA attributable to The Andersons, Inc.

43,615



4,487



24,920



15,750



(1,905)



86,867


Adjusting items impacting EBITDA:












Acquisition costs

1,229











1,229


Transaction related stock compensation

1,346











1,346


Asset impairment

3,081











3,081


Loss from remeasurement of equity method investment

(2,439)











(2,439)


Total adjusting items

3,217











3,217


Adjusted EBITDA attributable to The Andersons, Inc.

$

46,832



$

4,487



$

24,920



$

15,750



$

(1,905)



$

90,084






































(in thousands)

Trade


 Ethanol


 Plant

Nutrient


 Rail


 Other


 Total

Six months ended June 30, 2020












Net income (loss)

$

(9,591)



$

(46,964)



$

18,215



$

3,613



$

3,649



$

(31,078)


Interest expense

12,245



4,257



3,248



8,316



(652)



27,414


Tax benefit









(13,664)



(13,664)


Depreciation and amortization

22,399



35,504



12,705



17,788



5,502



93,898


Earnings before interest, taxes, depreciation and amortization (EBITDA)

25,053



(7,203)



34,168



29,717



(5,165)



76,570


EBITDA attributable to non-controlling interests



(4,120)









(4,120)


EBITDA attributable to The Andersons, Inc.

25,053



(3,083)



34,168



29,717



(5,165)



80,690


Adjusting items impacting EBITDA:












Transaction related stock compensation

2,348











2,348


Severance Costs









2,341



2,341


Total adjusting items

2,348









2,341



4,689


Adjusted EBITDA attributable to The Andersons, Inc.

$

27,401



$

(3,083)



$

34,168



$

29,717



$

(2,824)



$

85,379














Six months ended June 30, 2019












Net income (loss)

$

4,729



$

6,128



$

11,974



$

7,492



$

(15,060)



$

15,263


Interest expense

20,951



(1,523)



4,647



7,860



(298)



31,637


Tax provision









5,555



5,555


Depreciation and amortization

25,035



3,377



13,293



16,664



5,777



64,146


Earnings before interest, taxes, depreciation and amortization (EBITDA)

50,715



7,982



29,914



32,016



(4,026)



116,601


EBITDA attributable to non-controlling interests



(590)









(590)


EBITDA attributable to The Andersons, Inc.

50,715



8,572



29,914



32,016



(4,026)



117,191


Adjusting items impacting EBITDA:













Acquisition costs

5,872











5,872


Transaction related stock compensation

4,762











4,762


Asset impairment

3,081











3,081


Loss from remeasurement of equity method investment

1,073











1,073


Total adjusting items

14,788











14,788


Adjusted EBITDA attributable to The Andersons, Inc.

$

65,503



$

8,572



$

29,914



$

32,016



$

(4,026)



$

131,979


 

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SOURCE The Andersons, Inc.