Key Highlights

  • Net income attributable to the company reached a record third-quarter USD 46 million, or USD 1.36 per diluted share.
  • Adjusted Net Income was USD 47 million, or USD 1.38 per diluted share, with adjusted EBITDA of USD 101 million.
  • Renewables posted record third-quarter pretax income of USD 63 million, including USD 27 million of 45Z tax credits.
  • Agribusiness pretax income attributable to the company was USD 5 million, and adjusted pretax income was USD 9 million.

Record Third Quarter

The Andersons, Inc. (NASDAQ:ANDE) reported net income attributable to the company of USD 46.4 million for the third quarter of 2026, compared with USD 20.1 million a year earlier, or USD 1.36 per diluted share. Adjusted net income attributable to the company was USD 47 million, or USD 1.38 per diluted share. Adjusted EBITDA was USD 101.4 million against USD 78.3 million, a gain of USD 23.1 million.

President and Chief Executive Officer Bill Krueger said results improved in both Renewables and Agribusiness. For the first nine months, net income attributable to the company was USD 136.2 million versus USD 28.3 million, and adjusted EBITDA was USD 333.1 million versus USD 200.7 million.

Analyst estimates were EPS of USD 1.11 against reported EPS of USD 1.36, and Revenue of USD 2.97 billion against reported revenue of USD 2.83 billion.

Segment Results

Renewables reported pretax income of USD 63 million, compared with USD 43 million a year earlier, on efficient operations, higher co-product values and lower eastern corn basis. Ethanol and corn-oil yields improved, and the segment recognized USD 27 million of 45Z tax credits tied to its low-carbon strategies.

Agribusiness recorded pretax income of USD 5 million and adjusted pretax income attributable to the company of USD 9 million, compared with USD 1 million and USD 2 million a year earlier. Merchandising businesses benefited from higher Commodity prices and Volatility tied to weather variability and production uncertainty in the western grain belt. Agribusiness adjusted EBITDA was USD 40 million versus USD 29 million.

Projects, Cash and Balance Sheet

Krueger said completed organic growth projects are delivering at or above original estimates, and that the Port of Houston soybean meal export project is operational with shipments being booked for the rest of 2026 and into 2027. The ethanol de-bottlenecking project at Clymers, Indiana remains on schedule to add 30 million gallons of capacity in mid-2027.

Cash used in Operating Activities was USD 124 million in the quarter versus cash provided of USD 234 million a year earlier. The chief financial officer said long-term Debt to EBITDA remains well below the target of less than 2.5 times, and that the company agreed to sell the majority of its 2026 45Z tax credits, with most of the cash received later this year. The company anticipates a full-year adjusted effective tax rate of 14% to 18%.

Fourth-Quarter Considerations

Market dislocations and a eastern grain belt harvest offer opportunities for merchandising in the fourth quarter and into 2027. The timing of 45Z Credit proceeds is the main cash item to follow.