Shareholders of REX American Resources Corp. (NYSE: REX) saw nearly $11.9 million in net income, or $1.86 in earnings per share in its fiscal year 2018 third quarter, the company reported Wednesday.
That’s down from the nearly $13.2 million reported for the same quarter in 2017.
For the year to date, net income attributable to common shareholders has been nearly $30.6 million, above the more than $20.6 million at the same point in 2017.
REX results principally reflect its interests in six ethanol production facilities and its refined coal operation.
REX’s Q3 ‘18 net sales and revenue increased 2.1 percent to $123.8 million, compared with $121.2 million in Q3 ‘17. The year-over-year net sales and revenue increase primarily reflects higher average selling prices during the current year quarter for dried and modified distillers grains as well as increased production in the company’s ethanol and by-products segment.
Q3 ‘18 basic and diluted net income per share attributable to REX common shareholders was $1.86 per share, compared to $2 per share in Q3 ‘17.
Zafar Rizvi, REX chief executive, said he expects a continued “challenging environment.”
“The third quarter saw a continuation of the operating environment encountered during the first half of 2018, including increased pressure on ethanol pricing” Rizvi said in a release. “We were successful in partially offsetting these challenges with increased distillers grains pricing, compared to the prior year period, as well as the continued benefit of our refined coal operation.
“We remain focused on the long-term prospects for our businesses,” he also said.
Company founder Stuart Rose in 1980 purchased the former Rex Stores Corp. and grew it from a four-store chain to a publicly traded company with 223 U.S. locations as a retailer of electronics and appliances. In 2009, the company closed its stores and exited the retail business to focus on ethanol production.
“What has happened in the last few years is ethanol has just become our company,” Rose told the Dayton Daily News in 2015.