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NYSE: REX www.rexamerican.com March 2025 Investor Presentation
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Safe Harbor This presentation contains or may contain forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Such statements can be identified by use of forward-looking terminology such as “may,” “expect,” “believe,” “estimate,” “anticipate” or “continue” or the negative thereof or other variations thereon or comparable terminology. Readers are cautioned that there are risks and uncertainties that could cause actual events or results to differ materially from those referred to in such forward-looking statements. These risks and uncertainties include the risk factors set forth from time to time in the Company’s filings with the Securities and Exchange Commission and include among other things: the impact of legislative and regulatory changes, the price volatility and availability of corn, distillers grains, ethanol, distillers corn oil, gasoline and natural gas, commodity market risk, ethanol plants operating efficiently and according to forecasts and projections, logistical interruptions, success in permitting and developing the planned carbon sequestration facility near the One Earth Energy ethanol plant, changes in the international, national or regional economies, the impact of inflation, the ability to attract employees, weather, results of income tax audits, changes in income tax laws or regulations, the impact of U.S. foreign trade policy and tariffs, changes in foreign currency exchange rates, the effects of terrorism or acts of war and the effect of pandemics on the Company’s business operations, including impacts on supplies, demand, personnel and other factors. The Company does not intend to update publicly any forward- looking statements except as required by law. Safe Harbor 2
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Executive Summary
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Established, Mature Company • Publicly traded on the NYSE since 1984; currently traded under the ticker symbol “REX” • Headquartered in Dayton, OH Growth Strategy Vital to a Low Carbon Future • Existing ethanol production business provides feedstock for fuel blending from six Corn Belt facilities in the Midwest • Expansion of ethanol production capacity from 150 million to 200 million gallons per year at One Earth Energy facility to add to earnings power • Company is developing carbon capture and sequestration capabilities to reduce carbon intensity of its produced ethanol, and drive bottom line growth through tax credit programs and potential third-party carbon storage Focus on Profitable Execution • REX is a recognized leader in the ethanol production space, with a strong commitment to efficient and consistently profitable operations • Forty-year track record of delivering value to shareholders and growing within cash flow • No bank debt REX American Overview 4
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5 REX American Full Year 2024 Financial Highlights $642.5 million Net Sales and Revenue $91.5 million Gross Profit $3.30 Per diluted share Net Income Attributable to Shareholders Cash, Cash Equivalents & ST Investments $359.1 million1 Working Capital $385.4 million1 No Bank Debt Historically profitable ethanol business serves as foundation for strong balance sheet position 1As of January 31, 2025
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▪ REX has interest in the ethanol production from six facilities spread across four states in the Midwest, which are located in: • Marion, SD – majority owned • Gibson City, IL – majority owned • Galva, IL • West Burlington, IA • Boyceville, WI • Dyersville, IA ▪ Total production capacity for all facilities: approx. 730 million gallons/year ▪ REX total ownership: approx. 300 million gallons/year ▪ All facilities are located on major Class 1 rail lines for easy shipment ▪ In addition to ethanol, both consolidated facilities combined can produce approximately 735,000 tons of distiller grain and approximately 93 million pounds of corn oil products per year South Dakota Iowa Illinois Wisconsin Total Annual Ethanol Production Capacity From Consolidated and Non-Consolidated Facilities: Approx. 730 million gallons Total Ethanol Volumes Controlled by REX: Approx. 300 million gallons Ethanol Production 6 = One Earth Energy facility (ethanol + planned CCS)
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7 One Earth Energy ▪ Under development since 2019 ▪ Project co-located with REX’s Gibson City, IL ethanol production facility, which will produce approx. 560,000 tons of carbon per year after expansion ▪ Three underground injection wells will have capacity to sequester 90 million tons of carbon ▪ Project is designed to take advantage of 45Q and 45Z tax credits provided for in the Inflation Reduction Act; the US Dept. of the Treasury has not yet issued final rules or qualification for 45Z tax credits ▪ Construction of carbon capture and compression facility is substantially complete; facility testing remains to be completed ▪ Currently awaiting approval for Class VI well permit from US Environmental Protection Agency, a special zoning use permit from McLean County, IL, and other approvals and permits; pipeline permitting from Illinois Commerce Commission currently under moratorium Carbon Capture and Sequestration CCS operations will initially sequester carbon produced by the One Earth Energy ethanol plant ; in later stages, extra well capacity could be used to accept third - party carbon for sequestration for a fee Interior of carbon capture facility (March 2025)
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8 Gross Profit and Net Profit Remained Strong in 2024 $855.0 $833.4 $642.5 $0 $100 $200 $300 $400 $500 $600 $700 $800 $900 2022 2023 2024 $ Millions Total Annual Product Revenue 2022-2024Product Sales ▪ Ethanol sales totaled 289.7 million gallons for FY 2024 ▪ Sales of ethanol related co-products in FY 2024: ▪ 632,469 tons of DDG ▪ 70,013 tons of MDG ▪ 88.1 million pounds of corn oil ▪ Ethanol average selling price per gallon was $1.711 for FY 2024 ▪ Gross profit margin increased to 14% in FY 2024 from 11% in FY 2023 1 Net of hedging $48.6 $98.2 $91.5 $0 $10 $20 $30 $40 $50 $60 $70 $80 $90 $100 2022 2023 2024 Total Annual Gross Profit 2022-2024 $ Millions $27.7 $60.9 $58.2 $0 $5 $10 $15 $20 $25 $30 $35 $40 $45 $50 $55 $60 $65 2022 2023 2024 Total Annual Net Income 2022-2024 $ Millions
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Ethanol Operations
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10 REX Consolidated Ethanol Facilities South Dakota Illinois ▪ NuGen Energy, LLC ▪ Located in Marion, SD ▪ REX Ownership Interest: 99.7% ▪ Annual Production Capacity: ~150 MM gallons ▪ One Earth Energy, LLC ▪ Located in Gibson City, IL ▪ REX Ownership Interest: 75.9% ▪ Annual Production Capacity: ~150 MM gallons ▪ Expansion to 200 MM gal/yr. is planned
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11 Non-Consolidated REX Ethanol Production Facilities Illinois Wisconsin Non - consolidated plants contribute 13 % of REX total ethanol ownership Big River Resources Boyceville, LLC ▪ Located in Boyceville, WI ▪ REX Ownership Interest: 10.3% ▪ Annual Production Capacity: 65 million gallons Big River Resources Galva, LLC ▪ Located in Galva, IL ▪ REX Ownership Interest: 10.3% ▪ Annual Production Capacity: 120 million gallons Iowa Iowa Big River Resources W. Burlington, LLC ▪ Located in W. Burlington, IA ▪ REX Ownership Interest: 10.3% ▪ Annual Production Capacity: 115 million gallons Big River United Energy, LLC ▪ Located in Dyersville, IA ▪ REX Ownership Interest: 5.7% ▪ Annual Production Capacity: 130 million gallons
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12 REX Consolidated Full Year Ethanol Sales Volumes and Net Income/Share, 2021-2024 All REX ethanol facilities were designed and built by Fagen/ICM, utilizing similar technology; This approach helps to drive efficiencies and ease of operation, while also reducing overall costs MM gallons 277.8 265.8 285.9 289.7 $2.92 $1.57 $3.47 $3.30 $0.00 $1.00 $2.00 $3.00 $4.00 $5.00 $6.00 250 255 260 265 270 275 280 285 290 295 2021 2022 2023 2024 Ethanol Gallons Net Income/Share (Right Hand Axis) $/share Trailing 12 Months EPS: $3.30/share
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13 REX Consolidated Product Revenue by Quarter, 2022-2024 $0 $5 $10 $15 $20 $25 $30 $35 $40 $0 $50,000 $100,000 $150,000 $200,000 $250,000 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 Ethanol DDG MDG Corn Oil Gross Profit (right hand axis) $Thousands Q4 2024 Product Revenue ▪ Ethanol ▪ $122.5 million1 (~77% of Q4 2024) ▪ Avg. selling price/gal: $1.641 ▪ Dry Distillers Grain (DDG) ▪ $23.9 million (~15% of Q4 2024) ▪ Avg. selling price/ton: $143.81 ▪ Modified Distillers Grains (MDG) ▪ $1.4 million (~0.9% of Q4 2024) ▪ Avg. selling price/ton: $72.84 ▪ Corn Oil ▪ $10.4 million (~7% of Q4 2024) ▪ Avg. selling price/lb.: $0.44 Revenue fluctuations throughout the year are often impacted by realized commodity corn pricing 1 Net of hedging $Millions
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Crush Spread Reflects Seasonality (Platt’s/CBOT Corn) ▪ Crush spread is an indication of the profitability of corn-derived ethanol ▪ Crush spread calculation is as follows: ▪ One bushel of corn makes ~2.8 gallons of ethanol ▪ Crush Spread = Ethanol Price per Gallon – (Corn Price per Bushel / 2.8)1 ▪ Crush spread excludes other costs such as production, transportation, etc. ▪ Volatility in commodity corn prices, seasonal fluctuations in demand for ethanol and other factors all factor into crush spread changes ▪ Consistent monitoring of the crush spread and opportunism to lock in pricing are essential (per gallon) 14 -$0.40 -$0.20 $0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 $1.60 Oct-21 Dec-21 Feb-22 Apr-22 Jun-22 Aug-22 Oct-22 Dec-22 Feb-23 Apr-23 Jun-23 Aug-23 Oct-23 Dec-23 Feb-24 Apr-24 Jun-24 Aug-24 Oct-24 Dec-24 1Calculations based on Platt’s average monthly ethanol pricing and CBOT average monthly corn pricing Crush Spread Outlook
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15 Carbon Capture & Sequestration
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16 REX American CCS Growth Story 2025 2028+ One Earth Carbon Storage Potential Excess Storage Capacity Potential Sustainable Aviation Fuel (SAF) • CCS capture and compression facility construction is substantially complete • One Earth applied for permits for three Class VI injection wells with a total storage capacity of 90 million tons in October 2022 • Project to store approx. 560,000 tons of carbon per year from One Earth facility operations • Excess storage capacity could be used in the future to sequester carbon from third party emitters for a fee • Potential additional market for low-carbon ethanol to be used as a feedstock for SAF production
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17 One Earth Energy Carbon Capture Project – Gibson City, IL Project Details Milestones / Timeline ✓ Secured consent from 100% of landowners for use of land for pipeline route for injection wells 1 and 2 ✓ Secured sufficient subsurface easements for Well #1 - to allow for sequestration of all carbon emissions from the One Earth facility for 15 years ▪ Permit for Class VI injection well under technical review by EPA for carbon sequestration project at Gibson City, IL facility – projected Oct. 2025 ▪ Special use zoning permit application approval required by McLean County, IL ▪ Illinois Commerce Commission carbon dioxide pipeline permits now under moratorium pending new Federal PHMSA pipeline safety rules, or July 1, 2026, whichever is first to occur ▪ Pursued in partnership with the University of Illinois ▪ Carbon capture operations at One Earth Energy designed to capture carbon emissions from co-located ethanol plant (est. 560,000 tons/year after expansion) ▪ One Earth submitted applications for 3 Class VI injection well permits with total sequestration capacity of 90 million tons of carbon in October 2022 Completed utility substation (March 2025) Exterior of carbon capture facility (March 2025)
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18 Carbon Capture Relationships ▪ Fagen Inc. will lead integration with existing Gibson City ethanol plant for the One Earth project ▪ Integration experience from previous work on CO2 sequestration project in North Dakota ▪ REX has worked with Fagen on all existing ethanol facilities ▪ Salof Ltd. will provide complete modular CO2 liquefaction and sequestration system to the One Earth project ▪ Salof has more than 30 years’ experience in the CO2 liquefaction and sequestration industry ▪ As previously announced, REX has entered into an agreement with Summit Carbon Solutions ▪ Per the agreement, Summit Carbon Solutions would purchase carbon produced at REX’s NuGen Energy facility ▪ Summit is partnering with 57 ethanol plants across 5 states with plans for carbon sequestration in N. Dakota
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19 Capturing Inflation Reduction Act Tax Credits During ’25 - ’27 Period, Taxpayer May Elect To Participate In The Most Economically Beneficial Program 45Q Program 45Z Program* ▪ Credit of $85 per ton of carbon sequestered ▪ Available for the first 12 years after project begins operation ▪ Taxpayer can elect direct pay during first 5 years ▪ Potential tax credit benefits to REX of approx. $36 million annually ▪ Credits can be earned at a rate of approximately $0.02 for each gallon of ethanol produced for each 1-point reduction in carbon intensity (CI) score below 50 ▪ Only available during calendar years 2025-2027 ▪ Potential tax credit benefits to REX of approx. $150 million annually *The ethanol industry is awaiting guidance from the U.S. Treasury Department on final rules and qualifications for 45Z tax credits
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20 Financial Update
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21 Key Financial Metrics $ in 000s, except ($/gal) and per share info. 4Q 2023 1Q 2024 2Q 2024 3Q 2024 4Q 2024 Net Sales and Revenue $187,614 $161,231 $148,155 $174,877 $158,228 Gross Profit $30,410 $14,451 $19,773 $39,681 $17,572 SG&A ($7,383) ($6,111) ($6,440) ($8,426) (6,171) Average ethanol selling price ($/gal) $1.94 $1.60 $1.79 $1.83 $1.64 Diluted net income per share attributable to REX common shareholders $1.16 $0.58 $0.70 $1.38 $0.63 Weighted average diluted shares outstanding 17,657 17,664 17,671 17,723 17,630 ▪ Company recorded 18th consecutive profitable quarter in the fiscal fourth quarter 2024 on a net income basis, despite declining prices across all of its products
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22 Strong Balance Sheet $ in 000s 4Q 2023 1Q 2024 2Q 2024 3Q 2024 4Q 2024 Cash, Cash Equivalents & Short-term Investments $378,657 $351,764 $345,982 $365,075 $359,075 Total Current Assets $452,103 $421,613 $418,914 $436,497 $435,819 Total Current Liabilities $66,259 $62,700 $51,909 $43,960 $50,443 Working Capital $385,844 $358,913 $367,005 $392,537 $385,376 Total REX Equity (excludes non-controlling interests) $513,918 $524,467 $539,633 $564,491 $560,337 ▪ Cash, cash equivalents and short-term investments decreased approximately 5% year-over-year from fiscal year end 2023 to fiscal year end 2024, primarily due to capital expenditures related to the projects at the One Earth Energy facility, as well as share repurchases ▪ Working capital stayed flat compared to fiscal year end 2023 ▪ REX continues to carry no bank debt; only debt is related to right-of-use agreements for railcars
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23 Appendix
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24 Experienced Management Team Stuart Rose - Founder, Executive Chairman of the Board Mr. Rose was elected Executive Chairman of the Board in 2015. Mr. Rose had served as Chairman of the Board and Chief Executive Officer since the Company’s incorporation in 1984 as a holding company. Prior to 1984, Mr. Rose was Chairman of the Board and Chief Executive Officer of Rex Radio and Television, Inc., which he founded in 1980 to acquire the stock of a corporation which operated four retail stores. Zafar Rizvi - Chief Executive Officer Mr. Rizvi was elected Chief Executive Officer in 2015. Mr. Rizvi has been President and Chief Operating Officer since 2010, was Vice President from 2006 to 2010 and has been President of Farmers Energy Incorporated, the Company’s alternative energy investment subsidiary, since 2006. From 1991 to 2006, Mr. Rizvi was the Company’s Vice President of Loss Prevention. Douglas Bruggeman - Chief Financial Officer Mr. Bruggeman has been Vice President Finance & Treasurer since 1989 and was elected Chief Financial Officer in 2003. From 1987 to 1989, Mr. Bruggeman was Manager of Corporate Accounting. Mr. Bruggeman was employed with the accounting firm of Ernst & Young prior to joining the Company in 1986.
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Contact rexamerican@icrinc.com