REX reports higher earnings, cash

REX American Resources says its first quarter 2017 marked growth in sales, revenue and earnings per share.

The investor in American ethanol production facilities said its first quarter diluted EPS rose 61 percent to 69 cents.

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Net sales and revenue for the quarter grew 12.9 percent to $113.1 million, compared with $100 million in the first quarter of 2016, reflecting a 9.1 percent increase in the average sales price per gallon of ethanol as well as what the company said were its initiatives to increase plant production.

Gross profit also increased 48.3 percent to $12.5 million, compared to $8.4 million during the prior year’s quarter, the company said in a release Wednesday.

Quarterly results principally reflect REX’ interests in six ethanol production facilities.

Net income attributable to REX shareholders in the first quarter was $4.5 million, compared with $2.8 million in the same quarter last year,

“We achieved both top and bottom-line growth in the first quarter, compared to the prior year’s first quarter, highlighting our disciplined approach to ensure operating excellence throughout the organization,” REX CEO Zafar Rizvi said in his company’s statment.

As of April 30, REX had cash and cash equivalents of $191.5 million, $76.5 million of which was at the parent company and $115 million of which was at its ethanol production facilities.

With some of the cash, the company said it is authorized to repurchase up to an additional 155,334 shares of common stock and has 6,558,679 shares outstanding.

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