Cover Page
Cover Page - shares | 6 Months Ended | |
Mar. 31, 2021 | May 05, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2021 | |
Document Transition Report | false | |
Entity File Number | 000-53036 | |
Entity Registrant Name | CARDINAL ETHANOL, LLC | |
Entity Incorporation, State or Country Code | IN | |
Entity Tax Identification Number | 20-2327916 | |
Entity Address, Address Line One | 1554 N. County Road 600 E. | |
Entity Address, City or Town | Union City | |
Entity Address, State or Province | IN | |
Entity Address, Postal Zip Code | 47390 | |
City Area Code | 765 | |
Local Phone Number | 964-3137 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 14,606 | |
Entity Central Index Key | 0001352081 | |
Current Fiscal Year End Date | --09-30 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Condensed Balance Sheets
Condensed Balance Sheets - USD ($) | Mar. 31, 2021 | Sep. 30, 2020 |
Current Assets | ||
Cash | $ 728,444 | $ 12,950,558 |
Restricted cash | 6,637,948 | 3,963,424 |
Trade accounts receivable | 25,762,781 | 9,174,937 |
Miscellaneous receivables | 1,456,432 | 813,060 |
Inventories | 37,627,024 | 17,318,700 |
Prepaid and other current assets | 727,684 | 186,761 |
Total current assets | 74,799,786 | 45,522,739 |
Property, Plant, and Equipment, Net | 74,572,508 | 78,003,177 |
Other Assets | ||
Operating lease right of use asset, net | 4,175,120 | 4,951,592 |
Investment | 1,259,770 | 1,259,770 |
Total other assets | 5,434,890 | 6,211,362 |
Total Assets | 154,807,184 | 129,737,278 |
Current Liabilities | ||
Checks written in excess of bank balances | 6,050,517 | 0 |
Revolving credit loan | 14,176,369 | 0 |
Contract liability | 701,087 | 15,000 |
Accounts payable | 3,103,637 | 4,154,598 |
Accounts payable - grain | 4,917,127 | 5,673,785 |
Accrued expenses | 1,983,780 | 1,407,746 |
Operating lease liability current | 2,706,565 | 2,638,003 |
Current maturities of long-term debt | 275,840 | 275,840 |
Total current liabilities | 38,827,874 | 16,442,809 |
Long-Term Liabilities | ||
Long-term debt, net of current maturities | 1,803,242 | 580,825 |
Operating lease long-term liabilities | 1,468,991 | 2,313,694 |
Liability for railcar rehabilitation costs | 1,601,640 | 1,452,600 |
Total long-term liabilities | 4,873,873 | 4,347,119 |
Commitments and Contingencies | 0 | 0 |
Members’ Equity | ||
Members' contributions, net of cost of raising capital, 14,606 units authorized, issued and outstanding | 70,912,213 | 70,912,213 |
Retained earnings | 40,193,224 | 38,035,137 |
Total members' equity | 111,105,437 | 108,947,350 |
Total Liabilities and Members’ Equity | 154,807,184 | 129,737,278 |
Futures & options derivatives | ||
Current Liabilities | ||
Derivatives | 4,904,204 | 2,051,928 |
Forward purchase/sales derivatives | ||
Current Assets | ||
Forward purchase/sales derivatives | 1,859,473 | 1,115,299 |
Current Liabilities | ||
Derivatives | $ 8,748 | $ 225,909 |
Condensed Balance Sheets (Paren
Condensed Balance Sheets (Parenthetical) (Unaudited) - shares | Mar. 31, 2021 | Sep. 30, 2020 |
Statement of Financial Position [Abstract] | ||
Capital units, authorized (in shares) | 14,606 | 14,606 |
Capital units, issued (in shares) | 14,606 | 14,606 |
Capital units, outstanding (in shares) | 14,606 | 14,606 |
Condensed Statements of Operati
Condensed Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | |
Income Statement [Abstract] | ||||
Revenues | $ 97,911,947 | $ 67,278,692 | $ 191,151,930 | $ 131,015,543 |
Cost of Goods Sold | 89,149,617 | 71,500,230 | 181,860,247 | 132,249,038 |
Gross Profit (Loss) | 8,762,330 | (4,221,538) | 9,291,683 | (1,233,495) |
Operating Expenses | 1,837,111 | 1,926,361 | 3,649,770 | 3,621,103 |
Operating Income (Loss) | 6,925,219 | (6,147,899) | 5,641,913 | (4,854,598) |
Other Income (Expense) | ||||
Interest expense | (76,075) | (61,274) | (76,075) | (133,992) |
Miscellaneous income | 16,297 | 8,991 | 243,749 | 427,168 |
Total | (59,778) | (52,283) | 167,674 | 293,176 |
Net Income (Loss) | $ 6,865,441 | $ (6,200,182) | $ 5,809,587 | $ (4,561,422) |
Weight Average Units Outstanding - basic and diluted (in shares) | 14,606 | 14,606 | 14,606 | 14,606 |
Net Income (Loss) Per Unit - basic and diluted (in dollars per shares) | $ 470 | $ (424) | $ 398 | $ (312) |
Distributions Per Unit (in dollars per shares) | $ 150 | $ 150 | $ 250 | $ 150 |
Condensed Statements of Cash Fl
Condensed Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Cash Flows from Operating Activities | ||
Net income (loss) | $ 5,809,587 | $ (4,561,422) |
Adjustments to reconcile net income (loss) to net cash used in operations: | ||
Depreciation and amortization | 5,652,802 | 5,618,084 |
Change in fair value of commodity derivative instruments | 1,890,941 | (562,908) |
Change in operating assets and liabilities: | ||
Trade accounts receivable | (16,587,844) | 5,782,004 |
Miscellaneous receivables | (643,372) | 959,908 |
Inventories | (20,308,324) | (9,638,250) |
Prepaid and other current assets | (540,923) | (608,595) |
Contract liability | 686,087 | 31,425 |
Accounts payable | (908,256) | 485,342 |
Accounts payable - grain | (756,658) | (6,324,517) |
Accrued expenses | 576,034 | 842,248 |
Liability for railcar rehabilitation costs | 149,040 | 149,040 |
Due to broker | 0 | (1,589,324) |
Net cash used for operating activities | (24,980,886) | (9,416,965) |
Cash Flows from Investing Activities | ||
Capital expenditures | 0 | (14,372) |
Payments for construction in progress | (2,364,507) | (1,068,616) |
Net cash used for investing activities | (2,364,507) | (1,082,988) |
Cash Flows from Financing Activities | ||
Checks written in excess of bank balances | 6,050,517 | 0 |
Distributions paid | (3,651,500) | (2,190,900) |
Proceeds from revolving credit loan | 59,926,397 | 0 |
Payments on revolving credit loan | (45,750,028) | 0 |
Proceeds from long-term debt | 1,222,417 | 0 |
Payments on long-term debt | 0 | (1,008,859) |
Net cash provided by (used for) financing activities | 17,797,803 | (3,199,759) |
Net Decrease in Cash and Restricted Cash | (9,547,590) | (13,699,712) |
Cash and Restricted Cash – Beginning of Period | 16,913,982 | 22,034,120 |
Cash and Restricted Cash – End of Period | 7,366,392 | 8,334,408 |
Reconciliation of Cash and Restricted Cash | ||
Cash and Restricted Cash | 7,366,392 | 8,334,408 |
Supplemental Cash Flow Information | ||
Interest paid | 46,260 | 157,344 |
Supplemental Disclosure of Non-cash Investing and Financing Activities | ||
Construction in process included in accrued expenses and accounts payable | $ 159,019 | $ 10,031 |
Condensed Statements of Changes
Condensed Statements of Changes in Members' Equity (Unaudited) - USD ($) | Total | Member Contributions | Retained Earnings |
Beginning balance at Sep. 30, 2019 | $ 70,912,213 | $ 41,366,470 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Net income (loss) | 0 | 1,638,760 | |
Ending balance at Dec. 31, 2019 | 70,912,213 | 43,005,230 | |
Beginning balance at Sep. 30, 2019 | 70,912,213 | 41,366,470 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Net income (loss) | $ (4,561,422) | ||
Ending balance at Mar. 31, 2020 | 70,912,213 | 34,614,148 | |
Beginning balance at Dec. 31, 2019 | 70,912,213 | 43,005,230 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Net income (loss) | (6,200,182) | 0 | (6,200,182) |
Member Distributions | 0 | (2,190,900) | |
Ending balance at Mar. 31, 2020 | 70,912,213 | 34,614,148 | |
Beginning balance at Sep. 30, 2020 | 108,947,350 | 70,912,213 | 38,035,137 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Net income (loss) | 0 | (1,055,854) | |
Member Distributions | 0 | (1,460,600) | |
Ending balance at Dec. 31, 2020 | 70,912,213 | 35,518,683 | |
Beginning balance at Sep. 30, 2020 | 108,947,350 | 70,912,213 | 38,035,137 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Net income (loss) | 5,809,587 | ||
Ending balance at Mar. 31, 2021 | 111,105,437 | 70,912,213 | 40,193,224 |
Beginning balance at Dec. 31, 2020 | 70,912,213 | 35,518,683 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Net income (loss) | 6,865,441 | 0 | 6,865,441 |
Member Distributions | 0 | (2,190,900) | |
Ending balance at Mar. 31, 2021 | $ 111,105,437 | $ 70,912,213 | $ 40,193,224 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited condensed financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted as permitted by such rules and regulations. These financial statements and related notes should be read in conjunction with the financial statements and notes thereto included in the Company's audited financial statements for the year ended September 30, 2020, contained in the Company's annual report on Form 10-K. In the opinion of management, the interim condensed financial statements reflect all adjustments considered necessary for fair presentation. Nature of Business Cardinal Ethanol, LLC, (the “Company”) is an Indiana limited liability company currently producing fuel-grade ethanol, distillers grains, corn oil and carbon dioxide near Union City, Indiana and sells these products throughout the continental United States. During the six months ended March 31, 2021 and 2020, the Company produced approximately 67,896,000 and 67,034,000 gallons of ethanol, respectively. In addition, the Company procures, transports, and sells grain commodities through grain operations (the "Trading Division"). Reportable Segments Accounting Standards Codification (“ASC”) 280, “Segment Reporting,” establishes the standards for reporting information about segments in financial statements. Operating segments are defined as components of an enterprise for which separate financial information is available that are evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. Based on the related business nature and expected financial results criteria set forth in ASC 280, the Company has two reportable operating segments for financial reporting purposes. • Ethanol Division. Based on the nature of the products and production process and the expected financial results, the Company’s operations at its ethanol plant, including the production and sale of ethanol and its co-products, are aggregated into one financial reporting segment. • Trading Division. The Company has a grain loading facility within the Company's single site to buy, hold and sell inventories of agricultural grains, primarily soybeans. The Company performs no additional processing of these grains, unlike the corn inventory the Company holds and uses in ethanol production. The activities of buying, selling and holding of grains other than for ethanol and co-product production comprise this financial reporting segment. Accounting Estimates Management uses estimates and assumptions in preparing these financial statements in accordance with generally accepted accounting principles. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. The Ethanol Division uses estimates and assumptions in accounting for the following significant matters, among others; the useful lives of fixed assets, inventory, the assumptions used in the analysis of the impairment of long lived assets, railcar rehabilitation costs, and inventory purchase commitments. The Trading Division uses estimates and assumptions in accounting for the following significant matters, among others; the useful lives of fixed assets, the valuation of inventory purchase and sale commitments derivatives and inventory at market. Actual results may differ from previously estimated amounts, and such differences may be material to the financial statements. The Company periodically reviews estimates and assumptions, and the effects of revisions are reflected in the period in which the revision is made. Actual results could differ materially from those estimates. Cash The Company maintains its accounts primarily at two financial institutions. At times throughout the year the Company's cash balances may exceed amounts insured by the Federal Deposit Insurance Corporation. Restricted Cash As a part of its commodities hedging activities, the Company is required to maintain cash balances with our commodities trading companies for initial and maintenance margins on a per futures contract basis. Changes in the market value of contracts may increase these requirements. As the futures contracts expire, the margin requirements also expire. Accordingly, the Company records the cash maintained with the traders in the margin accounts as restricted cash. Since this cash is immediately available to us upon request when there is a margin excess, the Company considers this restricted cash to be a current asset. Trade Accounts Receivable Credit terms are extended to customers in the normal course of business. The Company performs ongoing credit evaluations of its customers' financial condition and, generally, requires no collateral. Accounts receivable are recorded at their estimated net realizable value. Accounts are considered past due if payment is not made on a timely basis in accordance with the Company's credit terms. Amounts considered uncollectible are written off. The Company's estimate of the allowance for doubtful accounts is based on historical experience, its evaluation of the current status of receivables, and unusual circumstances, if any. At March 31, 2021 and September 30, 2020, the Company determined that an allowance for doubtful accounts was not necessary. Inventories Ethanol Division (see Reportable Segments) inventories consist of raw materials, work in process, finished goods and spare parts. Corn is the primary raw material. Finished goods consist of ethanol, dried distiller grains and corn oil. Inventories are stated at the lower of weighted average cost or net realizable value. Net realizable value is the estimated selling prices in the normal course of business, less reasonably predictable selling costs. Trading Division (see Reportable Segments) inventories consist of grain. Soybeans were the only grains held and traded at March 31, 2021 and September 30, 2020. These inventories are stated at market value less estimated selling costs, which may include reductions for quality. Property, Plant and Equipment Property, plant, and equipment are stated at cost. Depreciation is provided over estimated useful lives by use of the straight line depreciation method. Maintenance and repairs are expensed as incurred; major improvements and betterments are capitalized. Construction in progress expenditures will be depreciated using the straight-line method over their estimated useful lives once the assets are placed into service. The Company has various capital projects scheduled for the 2021 fiscal year in order to make certain improvements to the ethanol plant and maintain the facility. These improvements include updates to the heat exchangers, boilers, grain probe, and other small miscellaneous projects as well as the purchase of a new payloader for the dried distillers grains loadout system. The Company also invested in an ethanol recovery system which is expected to cost approximately $2,400,000 and be funded with funds from operations and existing debt facilities. The Company anticipates completion of this project by early summer of 2021. Long-Lived Assets The Company reviews its long-lived assets, such as property, plant and equipment and financing costs, subject to depreciation and amortization, for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset be tested for possible impairment, the Company first compares undiscounted cash flows expected to be generated by an asset to the carrying value of the asset. If the carrying value of the long-lived asset is not recoverable on an undiscounted cash flow basis, impairment is recognized to the extent that the carrying value exceeds its fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. Management evaluated and determined no impairment write-downs were considered necessary for the three and six months ended March 31, 2021 and 2020. Investment Investments consist of the capital stock and patron equities of the Company's distillers grains marketer. The investments are stated at the lower of cost or fair value and adjusted for non cash patronage equities and cash equity redemptions received. Non cash patronage dividends are recognized when received and included within revenue in the condensed statements of operations. Revenue Recognition Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration we expect to receive in exchange for those products or services. The Company's contracts primarily consist of agreements with marketing companies and other customers as described below. The Company's performance obligations consist of the delivery of ethanol, distillers' grains, corn oil, soybeans and carbon dioxide to our customers. The consideration the Company receives for these products is fixed based on current observable market prices at the Chicago Mercantile Exchange, generally, and adjusted for local market differentials. The Company's contracts have specific delivery modes, rail or truck, and dates. Revenue is recognized when the Company delivers the products to the mode of transportation specified in the contract, at the transaction price established in the contract, net of commissions, fees, and freight. The Company sells each of the products via different marketing channels as described below. • Ethanol. The Company sells its ethanol via a marketing agreement with Murex, LLC. Murex sells one hundred percent of the Company's ethanol production based on agreements with end users at prices agreed upon mutually among the end user, Murex and the Company. Murex then provides a schedule of deliveries required and an order for each rail car or tankers needed to fulfill their commitment with the end user. These are individual performance obligations of the Company. The marketing agreement calls for control and title to pass when the delivery vehicle is filled. Revenue is recognized then at the price in the agreement with the end user, net of commissions, rail car lease, freight, and insurance. • Distillers grains. The Company engages another third-party marketing company, CHS, Inc, to sell one hundred percent of the distillers grains it produces at the plant. The process for selling the distillers grains is like that of ethanol, except that CHS takes title and control once a rail car is released to the railroad or a truck is released from the Company's scales. Prices are agreed upon among the three parties and CHS provides schedules and orders representing performance obligations. Revenue is recognized net of commissions, freight and fees. • Distillers corn oil (corn oil). The Company sells its production of corn oil directly to commercial customers. The customer is provided with a delivery schedule and pick up orders representing performance obligations are fulfilled when the customer’s driver picks up the scheduled load. The price is agreed upon at the time each contract is made, and the Company recognizes revenue at the time of delivery at that price. • Carbon dioxide. The Company sells a portion of the carbon dioxide it produces to a customer that maintains a plant on-site for a set price per ton. Delivery is defined as transference of the gas from the Company's stream to their plant. • Soybeans and other grains. The Company sells soybeans exclusively to commercial mills, processors or grain traders. Contracts are negotiated directly with the parties at prices based on negotiated prices. Cost of Goods Sold Cost of goods sold include corn, trading division grains, natural gas and other components which includes processing ingredients, electricity, railcar maintenance, depreciation of ethanol production fixed assets and wages, salaries of benefits of production personnel. Operating Expense Operating expenses include wages, salaries and benefits of administrative employees at the plant, insurance, professional fees, depreciation of trading division fixed assets, property taxes and similar costs. Derivative Instruments From time to time the Company enters into derivative transactions to hedge its exposures to commodity price fluctuations. The Company is required to record these derivatives in the balance sheet at fair value. In order for a derivative to qualify as a hedge, specific criteria must be met and appropriate documentation maintained. Gains and losses from derivatives that do not qualify as hedges, or are undesignated, must be recognized immediately in earnings. If the derivative does qualify as a hedge, depending on the nature of the hedge, changes in the fair value of the derivative will be either offset against the change in fair value of the hedged assets, liabilities, or firm commitments through earnings or recognized in other comprehensive income until the hedged item is recognized in earnings. Changes in the fair value of undesignated derivatives are recorded in the statement of operations, depending on the item being hedged. Additionally, the Company is required to evaluate its contracts to determine whether the contracts are derivatives. Certain contracts that literally meet the definition of a derivative may be exempted as “normal purchases or normal sales”. Normal purchases and normal sales are contracts that provide for the purchase or sale of something other than a financial instrument or derivative instrument that will be delivered in quantities expected to be used or sold over a reasonable period in the normal course of business. Contracts that meet the requirements of normal purchases or sales are documented as normal and exempted from accounting and reporting requirements, and therefore, are not marked to market in our financial statements. The Company has elected for its Ethanol Division to apply the normal purchase normal sale exemption to all forward commodity contracts. For the Trading Division, the Company has elected not to apply the normal purchase normal sale exemption to its forward purchase and sales contracts and therefore, marks these derivative instruments to market. Net Income (Loss) per Unit Basic net income (loss) per unit is computed by dividing net income (loss) by the weighted average number of members' units outstanding during the period. Diluted net income (loss) per unit is computed by dividing net income (loss) by the weighted average number of members' units and members' unit equivalents outstanding during the period. There were no member unit equivalents outstanding during the periods presented; accordingly, the Company's basic and diluted net income (loss) per unit are the same. |
REVENUE
REVENUE | 6 Months Ended |
Mar. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE | REVENUE Revenue by Source All revenues from contracts with customers under ASC Topic 606 are recognized at a point in time. The following tables disaggregate revenue by major source for the three and six months ended March 31, 2021 and 2020: Three Months Ended March 31, 2021 (Unaudited) Ethanol Division Trading Division Total Revenues from contracts with customers under ASC Topic 606 Ethanol $ 53,236,704 $ — $ 53,236,704 Distillers' grains 15,893,097 — 15,893,097 Corn Oil 3,615,082 — 3,615,082 Carbon Dioxide 123,375 — 123,375 Other Revenue 16,775 55,500 72,275 Total revenues from contracts with customers 72,885,033 55,500 72,940,533 Revenues from contracts accounted for as derivatives under ASC Topic 815 (1) Soybeans and other grains — 24,971,414 24,971,414 Total revenues from contracts accounted for as derivatives — 24,971,414 24,971,414 Total Revenues $ 72,885,033 $ 25,026,914 $ 97,911,947 Six Months Ended March 31, 2021 (Unaudited) Ethanol Division Trading Division Total Revenues from contracts with customers under ASC Topic 606 Ethanol $ 102,608,280 $ — $ 102,608,280 Distillers' grains 28,851,464 — 28,851,464 Corn Oil 7,052,624 — 7,052,624 Carbon Dioxide 246,750 — 246,750 Other Revenue 26,775 104,975 131,750 Total revenues from contracts with customers 138,785,893 104,975 138,890,868 Revenues from contracts accounted for as derivatives under ASC Topic 815 (1) Soybeans and other grains — 52,261,062 52,261,062 Total revenues from contracts accounted for as derivatives — 52,261,062 52,261,062 Total Revenues $ 138,785,893 $ 52,366,037 $ 191,151,930 Three Months Ended March 31, 2020 (Unaudited) Ethanol Division Trading Division Total Revenues from contracts with customers under ASC Topic 606 Ethanol $ 40,095,335 $ — $ 40,095,335 Distillers' grains 11,353,268 — 11,353,268 Corn Oil 2,667,214 — 2,667,214 Carbon Dioxide 123,375 — 123,375 Other 233,276 24,000 257,276 Total revenues from contracts with customers 54,472,468 24,000 54,496,468 Revenues from contracts accounted for as derivatives under ASC Topic 815 (1) Soybeans and other grains — 12,782,224 12,782,224 Total revenues from contracts accounted for as derivatives — 12,782,224 12,782,224 Total Revenues $ 54,472,468 $ 12,806,224 $ 67,278,692 Six Months Ended March 31, 2020 (Unaudited) Ethanol Division Trading Division Total Revenues from contracts with customers under ASC Topic 606 Ethanol $ 85,675,558 $ — $ 85,675,558 Distillers' grains 22,181,618 — 22,181,618 Corn Oil 5,007,568 — 5,007,568 Carbon Dioxide 246,750 — 246,750 Other 243,076 53,450 296,526 Total revenues from contracts with customers 113,354,570 53,450 113,408,020 Revenues from contracts accounted for as derivatives under ASC Topic 815 (1) Soybeans and other grains — 17,607,523 17,607,523 Total revenues from contracts accounted for as derivatives — 17,607,523 17,607,523 Total Revenues $ 113,354,570 $ 17,660,973 $ 131,015,543 (1) Revenues from contracts accounted for as derivatives represent physically settled derivative sales that are outside the scope of ASC Topic 606, Revenue from Contracts with Customers (ASC Topic 606), where the company recognizes revenue when control of the inventory is transferred within the meaning of ASC Topic 606 as required by ASC Topic 610-20, Gains and Losses from the Derecognition of Nonfinancial Assets. Payment Terms The Company has contractual payment terms with each respective marketer that sells ethanol and distillers grains. These terms are generally 10 - 20 days after the week of the transfer of control. The Company has standard payment terms of net 10 days for its sale for corn oil. The Company has standard payments terms due upon delivery for its sale of soybeans. The contractual terms with the carbon dioxide customer calls for an annual settlement. Shipping and Handling Costs Shipping and handling costs related to contracts with customers for sale of goods are accounted for as a fulfillment activity and are included in cost of goods sold. Accordingly, amounts billed to customers for such costs are included as a component of revenue. Contract Liabilities |
CONCENTRATIONS
CONCENTRATIONS | 6 Months Ended |
Mar. 31, 2021 | |
Risks and Uncertainties [Abstract] | |
CONCENTRATIONS | CONCENTRATIONSTwo major customers accounted for approximately 80% and 91% of the outstanding accounts receivable balance at March 31, 2021 and September 30, 2020, respectively. These same two customers accounted for approximately 69% of revenue for the six month period ended March 31, 2021 and 82% of revenue for the six months ended March 31, 2020.UNCERTAINTIES IMPACTING THE ETHANOL INDUSTRY AND OUR FUTURE OPERATIONS The Company has certain risks and uncertainties that it experiences during volatile market conditions, which can have a severe impact on operations. The Company's revenues are primarily derived from the sale and distribution of ethanol, distillers grains and corn oil to customers primarily located in the U.S. Corn for the production process is supplied to the plant primarily from local agricultural producers and from purchases on the open market. During the six months ended March 31, 2021 ethanol sales average approximately 54% of total revenues and corn costs average 60% of total cost of goods sold. The Company's operating and financial performance is largely driven by prices at which the Company sells ethanol, distillers grains and corn oil, and the related cost of corn. The price of ethanol is influenced by factors such as supply and demand, weather, government policies and programs, and the unleaded gasoline and petroleum markets, although, since 2005, the prices of ethanol and gasoline began a divergence with ethanol selling for less than gasoline at the wholesale level. Excess ethanol |
INVENTORIES
INVENTORIES | 6 Months Ended |
Mar. 31, 2021 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES Inventories consist of the following as of: March 31, 2021 (Unaudited) September 30, 2020 Ethanol Division: Raw materials $ 17,248,360 $ 2,465,782 Work in progress 2,127,217 1,508,084 Finished goods 5,631,811 3,833,939 Spare parts 3,592,261 3,523,781 Ethanol Division Subtotal $ 28,599,649 $ 11,331,586 Trading Division: Grain inventory $ 9,027,375 $ 5,987,114 Trading Division Subtotal 9,027,375 5,987,114 Total Inventories $ 37,627,024 $ 17,318,700 The Company had a net realizable value write-down of ethanol inventory of approximately $496,000 and $1,217,000 for the six months ended March 31, 2021, and 2020, respectively. In the ordinary course of business, the Company enters into forward purchase contracts for its commodity purchases and sales. Certain contracts for the ethanol division that literally meet the definition of a derivative may be exempted from derivative accounting as normal purchases or normal sales. At March 31, 2021, the Company had forward corn purchase contracts at various fixed prices for various delivery periods through July 2023 for approximately 5.7% of expected production needs for the next 28 months. Approximately 13.3% of the forward corn purchases were with related parties. Given the uncertainty of future commodity prices, the Company could incur a loss on the outstanding purchase contracts in future periods. Management has evaluated these forward contracts using the lower of cost or net realizable value evaluation, and has determined that no impairment loss existed at March 31, 2021 and September 30, 2020. The Company has elected not to apply the normal purchase and sale exemption to its forward soybean contracts of the trading division and therefore, treats them as derivative instruments. |
DERIVATIVE INSTRUMENTS
DERIVATIVE INSTRUMENTS | 6 Months Ended |
Mar. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS | DERIVATIVE INSTRUMENTS The Company enters into corn, ethanol, natural gas and soybean derivative instruments, which are required to be recorded as either assets or liabilities at fair value in the balance sheet. Derivatives qualify for treatment as hedges when there is a high correlation between the change in fair value of the derivative instrument and the related change in value of the underlying hedged item. The Company must designate the hedging instruments based upon the exposure being hedged as a fair value hedge, a cash flow hedge or a hedge against foreign currency exposure. Commodity Contracts The Company enters into commodity-based derivatives, for corn, ethanol, natural gas and soybeans in order to protect cash flows from fluctuations caused by volatility in commodity prices and to protect gross profit margins from potentially adverse effects of market and price volatility on commodity based purchase commitments where the prices are set at a future date. These derivatives are not designated as effective hedges for accounting purposes. For derivative instruments that are not accounted for as hedges, or for the ineffective portions of qualifying hedges, the change in fair value is recorded through earnings in the period of change. The changes in the fair market value of ethanol derivative instruments are included as a component of revenue. The changes in the fair market value of corn, natural gas, and soybean derivative instruments are included as a component of cost of goods sold. At March 31, 2021, the Ethanol Division had a net short (selling) position of 14,223,500 bushels of corn under derivative contracts used to hedge its forward corn purchase contracts, corn inventory and ethanol sales. These corn derivatives are traded on the Chicago Board of Trade as of March 31, 2021 and are forecasted to settle for various delivery periods through July 2023. The Ethanol Division had a net short (selling) position of 3,780,000 gallons of ethanol under derivative contracts used to hedge its future ethanol sales. These ethanol derivatives are traded on the New York Mercantile Exchange and are forecasted to settle for various delivery periods through June 2021. At March 31, 2021, the Trading Division also had a net short (selling) position of 1,587,975 bushels of soybeans under derivative contracts used to hedge its forward soybean contract purchases. These soybean derivatives are traded on the Chicago Board of Trade and are, as of March 31, 2021, forecasted to settle for various delivery periods through January 2022. At March 31, 2021, the Trading Division also had a net long (buying) position of 9,600,000 pounds of soybean oil under derivative contracts used to hedge its forward corn oil contract purchases. These soybean oil derivatives are traded on the Chicago Board of Trade and are, as of March 31, 2021, forecasted to settle for various delivery periods through August 2021. These derivatives have not been designated as effective hedges for accounting purposes. The following table provides balance sheet details regarding the Company's derivative financial instruments at March 31, 2021: Instrument Balance Sheet Location Assets Liabilities Ethanol Futures and Options Contracts Futures & Options Derivatives $ — $ 16,842 Corn Futures and Options Contracts Futures & Options Derivatives $ — $ 3,214,073 Soybean Oil Derivative Contracts Futures & Options Derivatives $ — $ 111,534 Soybean Futures and Options Contracts Futures & Options Derivatives $ — $ 1,516,755 Soybean Forward Purchase and Sales Contracts Forward Purchase/Sales Derivatives $ 1,859,473 $ 8,748 As of March 31, 2021, the Company had approximately $6,638,000 cash collateral (restricted cash) related to ethanol, corn, and soybean derivatives held by four brokers. The following table provides balance sheet details regarding the Company's derivative financial instruments at September 30, 2020: Instrument Balance Sheet Location Assets Liabilities Ethanol Futures and Options Contracts Futures & Options Derivatives $ — $ 666,571 Corn Futures and Options Contracts Futures & Options Derivatives $ — $ 740,993 Soybean Futures and Options Contracts Futures & Options Derivatives $ — $ 644,364 Soybean Forward Purchase and Sales Contracts Forward Purchase/Sales Derivatives $ 1,115,299 $ 225,909 As of September 30, 2020, the Company had approximately $4,000,000 of cash collateral (restricted cash) related to ethanol, corn and soybean derivatives held by two brokers. The following table provides details regarding the gains and (losses) from the Company's derivative instruments in the statements of operations, none of which are designated as hedging instruments: Instrument Statement of Operations Location Three Months Ended March 31, 2020 Six Months Ended March 31, 2020 Three Months Ended March 31, 2021 Six Months Ended March 31, 2021 Corn Futures and Options Contracts Cost of Goods Sold $ 2,536,537 $ 2,398,643 $ (5,941,286) $ (12,106,842) Ethanol Futures and Options Contracts Revenues (1,882,644) (2,564,199) 579,082 154,754 Natural Gas Futures and Options Contracts Cost of Goods Sold — — — (836) Soybean Futures and Options Contracts Cost of Goods Sold 724,217 651,376 (2,085,684) (5,889,252) Soybean Forward Purchase and Sales Contracts Cost of Goods Sold (804,039) (136,163) (379,206) 1,543,084 Totals $ 574,071 $ 349,657 $ (7,827,094) $ (16,299,092) |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | FAIR VALUE MEASUREMENTS The following table provides information on those assets and liabilities measured at fair value on a recurring basis as of March 31, 2021: Instruments Carrying Amount Fair Value Level 1 Level 2 Level 3 Corn Futures and Options Contracts $ (3,214,073) $ (3,214,073) $ (2,804,150) $ (409,923) $ — Ethanol Futures and Options Contracts $ (16,842) $ (16,842) $ (16,842) $ — $ — Soybean Oil Futures and Options Contracts $ (111,534) $ (111,534) $ (111,534) $ — $ — Soybean Futures and Options Contracts $ (1,561,755) $ (1,561,755) $ (1,212,725) $ (349,030) $ — Soybean Forward Purchase Contracts $ 1,850,725 $ 1,850,725 $ — $ 1,850,725 $ — Soybean Inventory $ 9,037,016 $ 9,037,016 $ — $ 9,037,016 $ — The following table provides information on those assets and liabilities measured at fair value on a recurring basis as of September 30, 2020: Instruments Carrying Amount Fair Value Level 1 Level 2 Level 3 Corn Futures and Options Contracts $ (740,993) $ (740,993) $ (718,333) $ (22,660) $ — Ethanol Futures and Options Contracts $ (666,571) $ (666,571) $ (666,571) $ — $ — Soybean Futures and Options Contracts $ (644,364) $ (644,364) $ (525,753) $ (118,611) $ — Soybean Forward Purchase Contracts $ 889,390 $ 889,390 $ — $ 889,390 $ — Soybean Inventory $ 5,987,114 $ 5,987,114 $ — $ 5,987,114 $ — We determine the fair value of commodity futures derivative instruments utilizing Level 1 inputs by obtaining fair value measurements from an independent pricing service. The fair value measurements consider observable data that may include dealer quotes and live trading levels from the Chicago Board of Trade market and New York Mercantile Exchange. Corn and soybean futures and options and soybean forward purchase contracts are reported at fair value utilizing Level 2 inputs from current contract prices that are being issued by the Company. Estimated fair values for inventories carried at market are based on exchange-quoted prices, adjusted for differences in local markets and quality. |
BANK FINANCING
BANK FINANCING | 6 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
BANK FINANCING | BANK FINANCINGThe Company has a loan agreement consisting of two loans, the Declining Revolving Loan (Declining Loan) and the Revolving Credit Loan in exchange for liens on all property (real and personal, tangible and intangible) which include, among other things, a mortgage on the property, a security interest on commodity trading accounts and assignment of material contracts. The loan agreement assigns an interest rate of LIBOR plus 290 basis points (2.9%) to each of the individual loans. The Revolving Credit Loan is assigned the one month LIBOR rate which changes on the first day of every month. The Declining Loan has interest charged based on the ninety day (three month) LIBOR rate. The interest rate is assigned at the beginning of the ninety day period and not all of the loans have the same interest rate beginning and ending dates. The loan agreement provides for a minimum fixed charge coverage ratio of no less than 1.15:1.0 measured quarterly on a rolling four quarter average basis if our working capital is less than $23,000,000 for any reporting period and a debt service charge coverage ratio of no less than 1.25:1.0 measured quarterly on a rolling four quarter average basis, in lieu of the fixed charge coverage ratio, if working capital is equal to or more than $23,000,000. Effective January 26, 2021, the Company amended its loan agreement in order to increase the limit under the Revolving Credit Loan to $20,000,000. On April 30, 2021, the loan agreement was amended to extend the termination date of the Declining Loan to February 28, 2023 and the Revolving Credit Loan to February 28, 2022 and modify the applicable interest rates for both loans. The amendment assigns an interest rate of the U.S. Prime Rate as published in The Wall Street Journal minus 15 basis points (.15%) to the Declining Loan and the U.S. Prime Rate as published in The Wall Street Journal minus 25 basis points (.25%) to the Revolving Credit Loan. The interest rates may change each day that Prime Rate may change, but not more than once per day. The amendment also establishes a minimum interest rate for each loan. The minimum interest rate for the Declining Loan is 2.85% and for the Revolving Credit Loan is 2.75%. Declining Loan The maximum availability of the Declining Loan is $5,000,000 and such amount is to be available for working capital purposes. The interest rate on the Declining Loan was 3.16% at March 31, 2021 and 3.13% at September 30, 2020. There were approximately $1,222,000 in borrowings outstanding on the Declining Loan at March 31, 2021 and no borrowings outstanding at September 30, 2020. The Declining Loan was due to mature on April 30, 2021 but has since been renewed until February 28, 2023. Revolving Credit Loan The Revolving Credit Loan has a limit of $20,000,000 supported by a borrowing base made up of the Company's corn, ethanol, dried distillers grain, corn oil and soybean inventories reduced by accounts payable associated with those inventories having a priority. It is also supported by the eligible accounts receivable and commodity trading account excess margin funds. The interest rate was 3.02% at March 31, 2021 and 3.06% at September 30, 2020. There were approximately $14,176,000 borrowings outstanding on the Revolving Credit Loan at March 31, 2021 and no borrowings outstanding at September 30, 2020. The Revolving Credit Loan was due to mature on April 30, 2021 but has since been renewed until February 28, 2022. These loans are subject to protective covenants, which require the Company to maintain various financial ratios. The covenants include a working capital requirement of $15,000,000, and a capital expenditures covenant that allows the Company $5,000,000 of expenditures per year without prior approval. There is also a requirement to maintain a minimum fixed charge coverage ratio of no less than 1.15:1.0 measured quarterly on a rolling four quarter basis. Paycheck Protection Program Loan On April 20, 2020, the Company received a loan in the approximate amount of $856,000 through the Paycheck Protection Program. The entire loan was used for payroll, utilities and interest on our loans; therefore, management anticipates that the loan will be substantially forgiven and is expected to record as a component of miscellaneous income once forgiveness has been granted. To the extent it is not forgiven, the Company would be required to repay that portion at an interest rate of 1% over eighteen months beginning six months after the loan is executed. The Company intends to use the entire loan amount for qualifying expenses. The Company has applied for forgiveness and the entire loan was forgiven on April 19, 2021 which will be recorded as a component of other income at that time. As of March 31, 2021, the Company had not recognized any forgiveness of the loan. Long-term debt, as discussed above, consists of the following at March 31, 2021: Paycheck Protection Program loan $ 856,665 Declining Loan 1,222,417 Less amounts due within one year 275,840 Net long-term debt $ 1,803,242 The estimated maturities of long-term debt at March 31, 2021 are as follows: April 1, 2021 to March 31, 2022 $ 275,840 April 1, 2022 to March 31, 2023 1,794,826 April 1, 2023 to March 31, 2024 8,416 Total long-term debt $ 2,079,082 |
LEASES
LEASES | 6 Months Ended |
Mar. 31, 2021 | |
Leases [Abstract] | |
LEASES | LEASES The Company leases rail cars for its facility to transport ethanol and dried distillers grains to its end customers. Operating lease right of use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. The Company uses its estimated incremental borrowing rate, unless an implicit rate is readily determinable, as the discount rate for each lease in determining the present value of lease payments. For the three and six months ended March 31, 2021, the Company’s weighted average discount rate was 5.05%. Operating lease expense is recognized on a straight-line basis over the lease term. The Company determines if an arrangement is a lease or contains a lease at inception. The Company’s leases have remaining lease terms of approximately 1 year to 2.5 years, which may include options to extend the lease when it is reasonably certain the Company will exercise those options. For the three and six months ended March 31, 2021, the weighted average remaining lease term was 2.2 years. The Company does not have lease arrangements with residual value guarantees, sale leaseback terms or material restrictive covenants. The Company does not have any material finance lease obligations nor sublease agreements. The following table summarizes the remaining maturities of the Company’s operating lease liabilities as of March 31, 2021: For the Fiscal Year Ending September 30, 2021 $ 1,570,740 2022 2,384,022 2023 376,201 Totals 4,330,963 Amount representing interest 155,407 Lease liabilities $ 4,175,556 For the three months ended March 31, 2021, the Company recorded operating lease costs of approximately $616,000 against ethanol revenue and $229,000 in cost of goods sold in the Company’s statement of operations. For the six months ended March 31, 2021, the Company recorded operating lease costs of approximately $1,116,000 against ethanol revenue and $459,000 in costs of goods sold in the Company's statement of operations. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Mar. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Legal Proceedings In February 2010, a lawsuit against the Company was filed by an unrelated party claiming the Company's operation of the oil separation system in a patent infringement. In connection with the lawsuit, in February 2010, the agreement for the construction and installation of the tricanter oil separation system was amended. In this amendment the manufacturer and installer of the tricanter oil separation system indemnifies the Company against all claims of infringement of patents, copyrights or other intellectual property rights from the Company's purchase and use of the tricanter oil system and agrees to defend the Company in the lawsuit filed at no expense to the Company. On October 23, 2014, the court granted summary judgment finding that all of the patents claimed were invalid and that the Company had not infringed. In addition, on September 15, 2016, the United States District Court granted summary judgment finding that the patents were invalid due to inequitable conduct before the US Patent and Trademark Office by the inventors and their attorneys. The Company has since settled with the attorneys for the inventors. On March 2, 2020, the rulings were affirmed on appeal. GS CleanTech's petition for a rehearing of the appeal has been denied. On December 7, 2020, GS CleanTech petitioned the U.S. Supreme Court for a writ of certiorari to review the decision. The U.S. Supreme Court denied review of the lower court decision on February 22, 2021. The manufacturer has, and the Company expects it will continue, to vigorously defend itself and the Company. If the ruling was to be successfully appealed, the Company estimates that damages sought in this litigation if awarded would be based on a reasonable royalty to, or lost profits of, the plaintiff. If the court deems the case exceptional, attorney's fees may be awarded and are likely to be $1,000,000 or more. The manufacturer has also agreed to indemnify the Company for these fees. However, in the event that damages are awarded and if the manufacturer is unable to fully indemnify the Company for any reason, the Company could be liable. In addition, the Company may need to cease use of its current oil separation process and seek out a replacement or cease oil production altogether. Rail Car Rehabilitation Costs The Company leases 180 hopper rail cars under a multi-year agreement which ends in November 2021. Under the agreement, the Company is required to pay to rehabilitate each car for "damage" that is considered to be other than normal wear and tear upon turn in of the car(s). Company management has estimated total costs to rehabilitate the cars at March 31, 2021, to be approximately $1,602,000. During the six months ended March 31, 2021, the Company has recorded a corresponding expense in cost of goods sold of approximately $149,000. Boiler Replacement The Company entered into a fixed commitment to replace one of its boilers. The boiler is being installed during April 2021. The estimated cost of the replacement is $800,000. |
UNCERTAINTIES IMPACTING THE ETH
UNCERTAINTIES IMPACTING THE ETHANOL INDUSTRY AND OUR FUTURE OPERATIONS | 6 Months Ended |
Mar. 31, 2021 | |
Risks and Uncertainties [Abstract] | |
UNCERTAINTIES IMPACTING THE ETHANOL INDUSTRY AND OUR FUTURE OPERATIONS | CONCENTRATIONSTwo major customers accounted for approximately 80% and 91% of the outstanding accounts receivable balance at March 31, 2021 and September 30, 2020, respectively. These same two customers accounted for approximately 69% of revenue for the six month period ended March 31, 2021 and 82% of revenue for the six months ended March 31, 2020.UNCERTAINTIES IMPACTING THE ETHANOL INDUSTRY AND OUR FUTURE OPERATIONS The Company has certain risks and uncertainties that it experiences during volatile market conditions, which can have a severe impact on operations. The Company's revenues are primarily derived from the sale and distribution of ethanol, distillers grains and corn oil to customers primarily located in the U.S. Corn for the production process is supplied to the plant primarily from local agricultural producers and from purchases on the open market. During the six months ended March 31, 2021 ethanol sales average approximately 54% of total revenues and corn costs average 60% of total cost of goods sold. The Company's operating and financial performance is largely driven by prices at which the Company sells ethanol, distillers grains and corn oil, and the related cost of corn. The price of ethanol is influenced by factors such as supply and demand, weather, government policies and programs, and the unleaded gasoline and petroleum markets, although, since 2005, the prices of ethanol and gasoline began a divergence with ethanol selling for less than gasoline at the wholesale level. Excess ethanol |
BUSINESS SEGMENTS
BUSINESS SEGMENTS | 6 Months Ended |
Mar. 31, 2021 | |
Segment Reporting [Abstract] | |
BUSINESS SEGMENTS | BUSINESS SEGMENTS The Company has two reportable operating segments. Segment reporting is intended to give financial statement users a better view of how the Company manages and evaluates its businesses. The accounting policies for each segment are the same as those described in the summary of significant accounting policies. Segment income or loss does not include any allocation of shared-service costs. Segment assets are those that are directly used in or identified with segment operations. Inter-segment balances and transactions have been eliminated. The following tables summarize financial information by segment and provide a reconciliation of segment revenue, gross profit, grain inventories, operating income, and total assets: Three Months Ended Six Months Ended March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020 Revenue: (unaudited) (unaudited) (unaudited) (unaudited) Ethanol division $ 72,885,033 $ 54,472,468 $ 138,785,893 $ 113,354,570 Trading division 25,026,914 12,806,224 52,366,037 17,660,973 Total Revenue $ 97,911,947 $ 67,278,692 $ 191,151,930 $ 131,015,543 Three Months Ended Six Months Ended March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020 Gross Profit (Loss): (unaudited) (unaudited) (unaudited) (unaudited) Ethanol division $ 7,094,939 $ (4,267,000) $ 6,811,269 $ (2,197,761) Trading division 1,667,391 45,462 2,480,414 964,266 Total Gross Profit (Loss) $ 8,762,330 $ (4,221,538) $ 9,291,683 $ (1,233,495) Three Months Ended Six Months Ended March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020 Operating Income (Loss): (unaudited) (unaudited) (unaudited) (unaudited) Ethanol division $ 5,575,071 $ (5,876,117) $ 3,795,985 $ (5,184,376) Trading division 1,350,148 (271,782) 1,845,928 329,778 Total Operating Income (Loss) $ 6,925,219 $ (6,147,899) $ 5,641,913 $ (4,854,598) March 31, 2021 September 30, 2020 Grain Inventories: (unaudited) Ethanol division $ 17,248,360 $ 2,465,782 Trading division 9,027,375 5,987,114 Total Grain Inventories $ 26,275,735 $ 8,452,896 March 31, 2021 September 30, 2020 Total Assets: (unaudited) Ethanol division $ 134,194,421 $ 111,774,989 Trading division 20,612,763 17,962,289 Total Assets $ 154,807,184 $ 129,737,278 |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Mar. 31, 2021 | |
Accounting Policies [Abstract] | |
Reportable Segments | Reportable Segments Accounting Standards Codification (“ASC”) 280, “Segment Reporting,” establishes the standards for reporting information about segments in financial statements. Operating segments are defined as components of an enterprise for which separate financial information is available that are evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. Based on the related business nature and expected financial results criteria set forth in ASC 280, the Company has two reportable operating segments for financial reporting purposes. • Ethanol Division. Based on the nature of the products and production process and the expected financial results, the Company’s operations at its ethanol plant, including the production and sale of ethanol and its co-products, are aggregated into one financial reporting segment. • Trading Division. The Company has a grain loading facility within the Company's single site to buy, hold and sell inventories of agricultural grains, primarily soybeans. The Company performs no additional processing of these grains, unlike the corn inventory the Company holds and uses in ethanol production. The activities of buying, selling and holding of grains other than for ethanol and co-product production comprise this financial reporting segment. |
Accounting Estimates | Accounting EstimatesManagement uses estimates and assumptions in preparing these financial statements in accordance with generally accepted accounting principles. Those estimates and assumptions affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported revenues and expenses. The Ethanol Division uses estimates and assumptions in accounting for the following significant matters, among others; the useful lives of fixed assets, inventory, the assumptions used in the analysis of the impairment of long lived assets, railcar rehabilitation costs, and inventory purchase commitments. The Trading Division uses estimates and assumptions in accounting for the following significant matters, among others; the useful lives of fixed assets, the valuation of inventory purchase and sale commitments derivatives and inventory at market. Actual results may differ from previously estimated amounts, and such differences may be material to the financial statements. The Company periodically reviews estimates and assumptions, and the effects of revisions are reflected in the period in which the revision is made. |
Cash and Restricted Cash | Cash The Company maintains its accounts primarily at two financial institutions. At times throughout the year the Company's cash balances may exceed amounts insured by the Federal Deposit Insurance Corporation. Restricted Cash As a part of its commodities hedging activities, the Company is required to maintain cash balances with our commodities trading companies for initial and maintenance margins on a per futures contract basis. Changes in the market value of contracts may increase these requirements. As the futures contracts expire, the margin requirements also expire. Accordingly, the Company records the cash maintained with the traders in the margin accounts as restricted cash. Since this cash is immediately available to us upon request when there is a margin excess, the Company considers this restricted cash to be a current asset. |
Trade Accounts Receivable | Trade Accounts ReceivableCredit terms are extended to customers in the normal course of business. The Company performs ongoing credit evaluations of its customers' financial condition and, generally, requires no collateral. Accounts receivable are recorded at their estimated net realizable value. Accounts are considered past due if payment is not made on a timely basis in accordance with the Company's credit terms. Amounts considered uncollectible are written off. The Company's estimate of the allowance for doubtful accounts is based on historical experience, its evaluation of the current status of receivables, and unusual circumstances, if any. |
Inventories | Inventories Ethanol Division (see Reportable Segments) inventories consist of raw materials, work in process, finished goods and spare parts. Corn is the primary raw material. Finished goods consist of ethanol, dried distiller grains and corn oil. Inventories are stated at the lower of weighted average cost or net realizable value. Net realizable value is the estimated selling prices in the normal course of business, less reasonably predictable selling costs. Trading Division (see Reportable Segments) inventories consist of grain. Soybeans were the only grains held and traded at March 31, 2021 and September 30, 2020. These inventories are stated at market value less estimated selling costs, which may include reductions for quality. |
Property, Plant and Equipment | Property, Plant and EquipmentProperty, plant, and equipment are stated at cost. Depreciation is provided over estimated useful lives by use of the straight line depreciation method. Maintenance and repairs are expensed as incurred; major improvements and betterments are capitalized. Construction in progress expenditures will be depreciated using the straight-line method over their estimated useful lives once the assets are placed into service. |
Long-Lived Assets | Long-Lived Assets The Company reviews its long-lived assets, such as property, plant and equipment and financing costs, subject to depreciation and amortization, for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset be tested for possible impairment, the Company first |
Investment | Investment Investments consist of the capital stock and patron equities of the Company's distillers grains marketer. The investments are stated at the lower of cost or fair value and adjusted for non cash patronage equities and cash equity redemptions received. Non cash patronage dividends are recognized when received and included within revenue in the condensed statements of operations. |
Revenue Recognition | Revenue Recognition Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration we expect to receive in exchange for those products or services. The Company's contracts primarily consist of agreements with marketing companies and other customers as described below. The Company's performance obligations consist of the delivery of ethanol, distillers' grains, corn oil, soybeans and carbon dioxide to our customers. The consideration the Company receives for these products is fixed based on current observable market prices at the Chicago Mercantile Exchange, generally, and adjusted for local market differentials. The Company's contracts have specific delivery modes, rail or truck, and dates. Revenue is recognized when the Company delivers the products to the mode of transportation specified in the contract, at the transaction price established in the contract, net of commissions, fees, and freight. The Company sells each of the products via different marketing channels as described below. • Ethanol. The Company sells its ethanol via a marketing agreement with Murex, LLC. Murex sells one hundred percent of the Company's ethanol production based on agreements with end users at prices agreed upon mutually among the end user, Murex and the Company. Murex then provides a schedule of deliveries required and an order for each rail car or tankers needed to fulfill their commitment with the end user. These are individual performance obligations of the Company. The marketing agreement calls for control and title to pass when the delivery vehicle is filled. Revenue is recognized then at the price in the agreement with the end user, net of commissions, rail car lease, freight, and insurance. • Distillers grains. The Company engages another third-party marketing company, CHS, Inc, to sell one hundred percent of the distillers grains it produces at the plant. The process for selling the distillers grains is like that of ethanol, except that CHS takes title and control once a rail car is released to the railroad or a truck is released from the Company's scales. Prices are agreed upon among the three parties and CHS provides schedules and orders representing performance obligations. Revenue is recognized net of commissions, freight and fees. • Distillers corn oil (corn oil). The Company sells its production of corn oil directly to commercial customers. The customer is provided with a delivery schedule and pick up orders representing performance obligations are fulfilled when the customer’s driver picks up the scheduled load. The price is agreed upon at the time each contract is made, and the Company recognizes revenue at the time of delivery at that price. • Carbon dioxide. The Company sells a portion of the carbon dioxide it produces to a customer that maintains a plant on-site for a set price per ton. Delivery is defined as transference of the gas from the Company's stream to their plant. • Soybeans and other grains. The Company sells soybeans exclusively to commercial mills, processors or grain traders. Contracts are negotiated directly with the parties at prices based on negotiated prices. Payment Terms The Company has contractual payment terms with each respective marketer that sells ethanol and distillers grains. These terms are generally 10 - 20 days after the week of the transfer of control. The Company has standard payment terms of net 10 days for its sale for corn oil. The Company has standard payments terms due upon delivery for its sale of soybeans. The contractual terms with the carbon dioxide customer calls for an annual settlement. Shipping and Handling Costs Shipping and handling costs related to contracts with customers for sale of goods are accounted for as a fulfillment activity and are included in cost of goods sold. Accordingly, amounts billed to customers for such costs are included as a component of revenue. Contract Liabilities |
Derivative Instruments | Derivative Instruments From time to time the Company enters into derivative transactions to hedge its exposures to commodity price fluctuations. The Company is required to record these derivatives in the balance sheet at fair value. In order for a derivative to qualify as a hedge, specific criteria must be met and appropriate documentation maintained. Gains and losses from derivatives that do not qualify as hedges, or are undesignated, must be recognized immediately in earnings. If the derivative does qualify as a hedge, depending on the nature of the hedge, changes in the fair value of the derivative will be either offset against the change in fair value of the hedged assets, liabilities, or firm commitments through earnings or recognized in other comprehensive income until the hedged item is recognized in earnings. Changes in the fair value of undesignated derivatives are recorded in the statement of operations, depending on the item being hedged. Additionally, the Company is required to evaluate its contracts to determine whether the contracts are derivatives. Certain contracts that literally meet the definition of a derivative may be exempted as “normal purchases or normal sales”. Normal purchases and normal sales are contracts that provide for the purchase or sale of something other than a financial instrument or derivative instrument that will be delivered in quantities expected to be used or sold over a reasonable period in the normal course of business. Contracts that meet the requirements of normal purchases or sales are documented as normal and exempted from accounting and reporting requirements, and therefore, are not marked to market in our financial statements. The Company has elected for its Ethanol Division to apply the normal purchase normal sale exemption to all forward commodity contracts. For the Trading Division, the Company has elected not to apply the normal purchase normal sale exemption to its forward purchase and sales contracts and therefore, marks these derivative instruments to market. |
Net Income (Loss) per Unit | Net Income (Loss) per Unit Basic net income (loss) per unit is computed by dividing net income (loss) by the weighted average number of members' units outstanding during the period. Diluted net income (loss) per unit is computed by dividing net income (loss) by the weighted average number of members' units and members' unit equivalents outstanding during the period. There were no member unit equivalents outstanding during the periods presented; accordingly, the Company's basic and diluted net income (loss) per unit are the same. |
REVENUE (Tables)
REVENUE (Tables) | 6 Months Ended |
Mar. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following tables disaggregate revenue by major source for the three and six months ended March 31, 2021 and 2020: Three Months Ended March 31, 2021 (Unaudited) Ethanol Division Trading Division Total Revenues from contracts with customers under ASC Topic 606 Ethanol $ 53,236,704 $ — $ 53,236,704 Distillers' grains 15,893,097 — 15,893,097 Corn Oil 3,615,082 — 3,615,082 Carbon Dioxide 123,375 — 123,375 Other Revenue 16,775 55,500 72,275 Total revenues from contracts with customers 72,885,033 55,500 72,940,533 Revenues from contracts accounted for as derivatives under ASC Topic 815 (1) Soybeans and other grains — 24,971,414 24,971,414 Total revenues from contracts accounted for as derivatives — 24,971,414 24,971,414 Total Revenues $ 72,885,033 $ 25,026,914 $ 97,911,947 Six Months Ended March 31, 2021 (Unaudited) Ethanol Division Trading Division Total Revenues from contracts with customers under ASC Topic 606 Ethanol $ 102,608,280 $ — $ 102,608,280 Distillers' grains 28,851,464 — 28,851,464 Corn Oil 7,052,624 — 7,052,624 Carbon Dioxide 246,750 — 246,750 Other Revenue 26,775 104,975 131,750 Total revenues from contracts with customers 138,785,893 104,975 138,890,868 Revenues from contracts accounted for as derivatives under ASC Topic 815 (1) Soybeans and other grains — 52,261,062 52,261,062 Total revenues from contracts accounted for as derivatives — 52,261,062 52,261,062 Total Revenues $ 138,785,893 $ 52,366,037 $ 191,151,930 Three Months Ended March 31, 2020 (Unaudited) Ethanol Division Trading Division Total Revenues from contracts with customers under ASC Topic 606 Ethanol $ 40,095,335 $ — $ 40,095,335 Distillers' grains 11,353,268 — 11,353,268 Corn Oil 2,667,214 — 2,667,214 Carbon Dioxide 123,375 — 123,375 Other 233,276 24,000 257,276 Total revenues from contracts with customers 54,472,468 24,000 54,496,468 Revenues from contracts accounted for as derivatives under ASC Topic 815 (1) Soybeans and other grains — 12,782,224 12,782,224 Total revenues from contracts accounted for as derivatives — 12,782,224 12,782,224 Total Revenues $ 54,472,468 $ 12,806,224 $ 67,278,692 Six Months Ended March 31, 2020 (Unaudited) Ethanol Division Trading Division Total Revenues from contracts with customers under ASC Topic 606 Ethanol $ 85,675,558 $ — $ 85,675,558 Distillers' grains 22,181,618 — 22,181,618 Corn Oil 5,007,568 — 5,007,568 Carbon Dioxide 246,750 — 246,750 Other 243,076 53,450 296,526 Total revenues from contracts with customers 113,354,570 53,450 113,408,020 Revenues from contracts accounted for as derivatives under ASC Topic 815 (1) Soybeans and other grains — 17,607,523 17,607,523 Total revenues from contracts accounted for as derivatives — 17,607,523 17,607,523 Total Revenues $ 113,354,570 $ 17,660,973 $ 131,015,543 (1) Revenues from contracts accounted for as derivatives represent physically settled derivative sales that are outside the scope of ASC Topic 606, Revenue from Contracts with Customers (ASC Topic 606), where the company recognizes revenue when control of the inventory is transferred within the meaning of ASC Topic 606 as required by ASC Topic 610-20, Gains and Losses from the Derecognition of Nonfinancial Assets. |
INVENTORIES (Tables)
INVENTORIES (Tables) | 6 Months Ended |
Mar. 31, 2021 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | Inventories consist of the following as of: March 31, 2021 (Unaudited) September 30, 2020 Ethanol Division: Raw materials $ 17,248,360 $ 2,465,782 Work in progress 2,127,217 1,508,084 Finished goods 5,631,811 3,833,939 Spare parts 3,592,261 3,523,781 Ethanol Division Subtotal $ 28,599,649 $ 11,331,586 Trading Division: Grain inventory $ 9,027,375 $ 5,987,114 Trading Division Subtotal 9,027,375 5,987,114 Total Inventories $ 37,627,024 $ 17,318,700 |
DERIVATIVE INSTRUMENTS (Tables)
DERIVATIVE INSTRUMENTS (Tables) | 6 Months Ended |
Mar. 31, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivatives Instruments Statements of Financial Performance and Financial Position, Location | The following table provides balance sheet details regarding the Company's derivative financial instruments at March 31, 2021: Instrument Balance Sheet Location Assets Liabilities Ethanol Futures and Options Contracts Futures & Options Derivatives $ — $ 16,842 Corn Futures and Options Contracts Futures & Options Derivatives $ — $ 3,214,073 Soybean Oil Derivative Contracts Futures & Options Derivatives $ — $ 111,534 Soybean Futures and Options Contracts Futures & Options Derivatives $ — $ 1,516,755 Soybean Forward Purchase and Sales Contracts Forward Purchase/Sales Derivatives $ 1,859,473 $ 8,748 The following table provides balance sheet details regarding the Company's derivative financial instruments at September 30, 2020: Instrument Balance Sheet Location Assets Liabilities Ethanol Futures and Options Contracts Futures & Options Derivatives $ — $ 666,571 Corn Futures and Options Contracts Futures & Options Derivatives $ — $ 740,993 Soybean Futures and Options Contracts Futures & Options Derivatives $ — $ 644,364 Soybean Forward Purchase and Sales Contracts Forward Purchase/Sales Derivatives $ 1,115,299 $ 225,909 |
Derivatives Not Designated as Hedging Instruments | The following table provides details regarding the gains and (losses) from the Company's derivative instruments in the statements of operations, none of which are designated as hedging instruments: Instrument Statement of Operations Location Three Months Ended March 31, 2020 Six Months Ended March 31, 2020 Three Months Ended March 31, 2021 Six Months Ended March 31, 2021 Corn Futures and Options Contracts Cost of Goods Sold $ 2,536,537 $ 2,398,643 $ (5,941,286) $ (12,106,842) Ethanol Futures and Options Contracts Revenues (1,882,644) (2,564,199) 579,082 154,754 Natural Gas Futures and Options Contracts Cost of Goods Sold — — — (836) Soybean Futures and Options Contracts Cost of Goods Sold 724,217 651,376 (2,085,684) (5,889,252) Soybean Forward Purchase and Sales Contracts Cost of Goods Sold (804,039) (136,163) (379,206) 1,543,084 Totals $ 574,071 $ 349,657 $ (7,827,094) $ (16,299,092) |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended |
Mar. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The following table provides information on those assets and liabilities measured at fair value on a recurring basis as of March 31, 2021: Instruments Carrying Amount Fair Value Level 1 Level 2 Level 3 Corn Futures and Options Contracts $ (3,214,073) $ (3,214,073) $ (2,804,150) $ (409,923) $ — Ethanol Futures and Options Contracts $ (16,842) $ (16,842) $ (16,842) $ — $ — Soybean Oil Futures and Options Contracts $ (111,534) $ (111,534) $ (111,534) $ — $ — Soybean Futures and Options Contracts $ (1,561,755) $ (1,561,755) $ (1,212,725) $ (349,030) $ — Soybean Forward Purchase Contracts $ 1,850,725 $ 1,850,725 $ — $ 1,850,725 $ — Soybean Inventory $ 9,037,016 $ 9,037,016 $ — $ 9,037,016 $ — The following table provides information on those assets and liabilities measured at fair value on a recurring basis as of September 30, 2020: Instruments Carrying Amount Fair Value Level 1 Level 2 Level 3 Corn Futures and Options Contracts $ (740,993) $ (740,993) $ (718,333) $ (22,660) $ — Ethanol Futures and Options Contracts $ (666,571) $ (666,571) $ (666,571) $ — $ — Soybean Futures and Options Contracts $ (644,364) $ (644,364) $ (525,753) $ (118,611) $ — Soybean Forward Purchase Contracts $ 889,390 $ 889,390 $ — $ 889,390 $ — Soybean Inventory $ 5,987,114 $ 5,987,114 $ — $ 5,987,114 $ — |
BANK FINANCING (Tables)
BANK FINANCING (Tables) | 6 Months Ended |
Mar. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Long-term debt, as discussed above, consists of the following at March 31, 2021: Paycheck Protection Program loan $ 856,665 Declining Loan 1,222,417 Less amounts due within one year 275,840 Net long-term debt $ 1,803,242 |
Schedule of Maturities of Long-term Debt | The estimated maturities of long-term debt at March 31, 2021 are as follows: April 1, 2021 to March 31, 2022 $ 275,840 April 1, 2022 to March 31, 2023 1,794,826 April 1, 2023 to March 31, 2024 8,416 Total long-term debt $ 2,079,082 |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Mar. 31, 2021 | |
Leases [Abstract] | |
Schedule of Future Minimum Payments for Operating Leases | The following table summarizes the remaining maturities of the Company’s operating lease liabilities as of March 31, 2021: For the Fiscal Year Ending September 30, 2021 $ 1,570,740 2022 2,384,022 2023 376,201 Totals 4,330,963 Amount representing interest 155,407 Lease liabilities $ 4,175,556 |
BUSINESS SEGMENTS (Tables)
BUSINESS SEGMENTS (Tables) | 6 Months Ended |
Mar. 31, 2021 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | The following tables summarize financial information by segment and provide a reconciliation of segment revenue, gross profit, grain inventories, operating income, and total assets: Three Months Ended Six Months Ended March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020 Revenue: (unaudited) (unaudited) (unaudited) (unaudited) Ethanol division $ 72,885,033 $ 54,472,468 $ 138,785,893 $ 113,354,570 Trading division 25,026,914 12,806,224 52,366,037 17,660,973 Total Revenue $ 97,911,947 $ 67,278,692 $ 191,151,930 $ 131,015,543 Three Months Ended Six Months Ended March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020 Gross Profit (Loss): (unaudited) (unaudited) (unaudited) (unaudited) Ethanol division $ 7,094,939 $ (4,267,000) $ 6,811,269 $ (2,197,761) Trading division 1,667,391 45,462 2,480,414 964,266 Total Gross Profit (Loss) $ 8,762,330 $ (4,221,538) $ 9,291,683 $ (1,233,495) Three Months Ended Six Months Ended March 31, 2021 March 31, 2020 March 31, 2021 March 31, 2020 Operating Income (Loss): (unaudited) (unaudited) (unaudited) (unaudited) Ethanol division $ 5,575,071 $ (5,876,117) $ 3,795,985 $ (5,184,376) Trading division 1,350,148 (271,782) 1,845,928 329,778 Total Operating Income (Loss) $ 6,925,219 $ (6,147,899) $ 5,641,913 $ (4,854,598) March 31, 2021 September 30, 2020 Grain Inventories: (unaudited) Ethanol division $ 17,248,360 $ 2,465,782 Trading division 9,027,375 5,987,114 Total Grain Inventories $ 26,275,735 $ 8,452,896 March 31, 2021 September 30, 2020 Total Assets: (unaudited) Ethanol division $ 134,194,421 $ 111,774,989 Trading division 20,612,763 17,962,289 Total Assets $ 154,807,184 $ 129,737,278 |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Narrative (Details) gal in Thousands | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2021USD ($) | Mar. 31, 2020USD ($) | Mar. 31, 2021USD ($)segmentgal | Mar. 31, 2020USD ($)gal | |
Product Information [Line Items] | ||||
Number of reportable segments | segment | 2 | |||
Number of operating segments | segment | 2 | |||
Impairment loss | $ | $ 0 | $ 0 | $ 0 | $ 0 |
Ethanol | ||||
Product Information [Line Items] | ||||
Annual production | gal | 67,896 | 67,034 | ||
Ethanol Recovery System | Ethanol | ||||
Product Information [Line Items] | ||||
Additional liquefaction tank and fermenter cost | $ | $ 2,400,000 |
REVENUE - Disaggregation of Rev
REVENUE - Disaggregation of Revenue (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | $ 72,940,533 | $ 54,496,468 | $ 138,890,868 | $ 113,408,020 |
Total revenues from contracts accounted for as derivatives | 24,971,414 | 12,782,224 | 52,261,062 | 17,607,523 |
Total Revenues | 97,911,947 | 67,278,692 | 191,151,930 | 131,015,543 |
Ethanol | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 53,236,704 | 40,095,335 | 102,608,280 | 85,675,558 |
Distillers' grains | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 15,893,097 | 11,353,268 | 28,851,464 | 22,181,618 |
Corn Oil | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 3,615,082 | 2,667,214 | 7,052,624 | 5,007,568 |
Carbon Dioxide | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 123,375 | 123,375 | 246,750 | 246,750 |
Other Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 72,275 | 257,276 | 131,750 | 296,526 |
Soybeans and other grains | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts accounted for as derivatives | 24,971,414 | 12,782,224 | 52,261,062 | 17,607,523 |
Ethanol Division | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 72,885,033 | 54,472,468 | 138,785,893 | 113,354,570 |
Total revenues from contracts accounted for as derivatives | 0 | 0 | 0 | 0 |
Total Revenues | 72,885,033 | 54,472,468 | 138,785,893 | 113,354,570 |
Ethanol Division | Ethanol | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 53,236,704 | 40,095,335 | 102,608,280 | 85,675,558 |
Ethanol Division | Distillers' grains | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 15,893,097 | 11,353,268 | 28,851,464 | 22,181,618 |
Ethanol Division | Corn Oil | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 3,615,082 | 2,667,214 | 7,052,624 | 5,007,568 |
Ethanol Division | Carbon Dioxide | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 123,375 | 123,375 | 246,750 | 246,750 |
Ethanol Division | Other Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 16,775 | 233,276 | 26,775 | 243,076 |
Ethanol Division | Soybeans and other grains | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts accounted for as derivatives | 0 | 0 | 0 | 0 |
Trading Division | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 55,500 | 24,000 | 104,975 | 53,450 |
Total revenues from contracts accounted for as derivatives | 24,971,414 | 12,782,224 | 52,261,062 | 17,607,523 |
Total Revenues | 25,026,914 | 12,806,224 | 52,366,037 | 17,660,973 |
Trading Division | Ethanol | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 0 | 0 | 0 |
Trading Division | Distillers' grains | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 0 | 0 | 0 |
Trading Division | Corn Oil | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 0 | 0 | 0 |
Trading Division | Carbon Dioxide | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 0 | 0 | 0 | 0 |
Trading Division | Other Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts with customers | 55,500 | 24,000 | 104,975 | 53,450 |
Trading Division | Soybeans and other grains | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenues from contracts accounted for as derivatives | $ 24,971,414 | $ 12,782,224 | $ 52,261,062 | $ 17,607,523 |
REVENUE - Narrative (Details)
REVENUE - Narrative (Details) | 6 Months Ended |
Mar. 31, 2021 | |
Corn Oil | |
Disaggregation of Revenue [Line Items] | |
Revenue from contract with customer, payment terms | 10 days |
Minimum | Ethanol And Distillers' Grains | |
Disaggregation of Revenue [Line Items] | |
Revenue from contract with customer, payment terms | 10 days |
Maximum | Ethanol And Distillers' Grains | |
Disaggregation of Revenue [Line Items] | |
Revenue from contract with customer, payment terms | 20 days |
CONCENTRATIONS (Details)
CONCENTRATIONS (Details) - Customer Concentration Risk | 6 Months Ended | 12 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | Sep. 30, 2020 | |
Accounts Receivable | |||
Concentration Risk [Line Items] | |||
Concentration risk | 80.00% | 91.00% | |
Sales Revenue, Goods, Net | |||
Concentration Risk [Line Items] | |||
Concentration risk | 69.00% | 82.00% |
INVENTORIES - Schedule of Inven
INVENTORIES - Schedule of Inventory (Details) - USD ($) | Mar. 31, 2021 | Sep. 30, 2020 |
Inventory [Line Items] | ||
Raw materials | $ 26,275,735 | $ 8,452,896 |
Total Inventories | 37,627,024 | 17,318,700 |
Ethanol Division | ||
Inventory [Line Items] | ||
Raw materials | 17,248,360 | 2,465,782 |
Work in progress | 2,127,217 | 1,508,084 |
Finished goods | 5,631,811 | 3,833,939 |
Spare parts | 3,592,261 | 3,523,781 |
Total Inventories | 28,599,649 | 11,331,586 |
Trading Division | ||
Inventory [Line Items] | ||
Raw materials | 9,027,375 | 5,987,114 |
Total Inventories | $ 9,027,375 | $ 5,987,114 |
INVENTORIES - Narrative (Detail
INVENTORIES - Narrative (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Ethanol Division | ||
Inventory [Line Items] | ||
Inventory written down | $ 496 | $ 1,217 |
Corn | Ethanol Division | ||
Inventory [Line Items] | ||
Expected production needed | 5.70% | |
Number of months of coverage | 28 months | |
Distillers' grains | Ethanol Division | ||
Inventory [Line Items] | ||
Expected production needed | 32.30% | |
Corn Oil | Ethanol Division | ||
Inventory [Line Items] | ||
Expected production needed | 40.70% | |
Number of months of coverage | 9 months | |
Forward Soybean Purchase Contract | Trading Division | ||
Inventory [Line Items] | ||
Expected production needed | 21.30% | |
Forward Soybean Sales Contract | Trading Division | ||
Inventory [Line Items] | ||
Expected production needed | 75.50% | |
Affiliated Entity | Corn | Ethanol Division | ||
Inventory [Line Items] | ||
Expected production needed | 13.30% | |
Affiliated Entity | Forward Soybean Purchase Contract | Trading Division | ||
Inventory [Line Items] | ||
Expected production needed | 16.90% |
Derivative Instruments - Narrat
Derivative Instruments - Narrative (Details) $ in Thousands | 6 Months Ended | |
Mar. 31, 2021USD ($)brokerbu | Sep. 30, 2020USD ($)broker | |
Derivative [Line Items] | ||
Cash collateral | $ | $ 6,638 | $ 4,000 |
Number of brokers, cash collateral | broker | 4 | 2 |
Ethanol Division | Corn | Short | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, volume (in bushels or gallons) | 14,223,500 | |
Ethanol Division | Ethanol | Short | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, volume (in bushels or gallons) | 3,780,000 | |
Trading Division | Soybean | Short | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, volume (in bushels or gallons) | 1,587,975 | |
Trading Division | Soybean | Long | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Derivative, nonmonetary notional amount, volume (in bushels or gallons) | 9,600,000 |
Derivative Instruments - Balanc
Derivative Instruments - Balance Sheet (Details) - Not Designated as Hedging Instrument - USD ($) | Mar. 31, 2021 | Sep. 30, 2020 |
Future | Ethanol | Futures & Options Derivatives | ||
Derivatives, Fair Value [Line Items] | ||
Assets | $ 0 | $ 0 |
Liabilities | 16,842 | 666,571 |
Future | Corn | Futures & Options Derivatives | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 0 | 0 |
Liabilities | 3,214,073 | 740,993 |
Future | Soybean | Futures & Options Derivatives | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 0 | 0 |
Liabilities | 1,516,755 | 644,364 |
Derivative | Soybean | Futures & Options Derivatives | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 0 | |
Liabilities | 111,534 | |
Forward Contracts | Soybean | Forward Purchase/Sales Derivatives | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 1,859,473 | 1,115,299 |
Liabilities | $ 8,748 | $ 225,909 |
Derivative Instruments - Income
Derivative Instruments - Income Statement (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) recognized in income | $ (7,827,094) | $ 574,071 | $ (16,299,092) | $ 349,657 |
Future | Not Designated as Hedging Instrument | Corn | Cost of Goods Sold | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) recognized in income | (5,941,286) | 2,536,537 | (12,106,842) | 2,398,643 |
Future | Not Designated as Hedging Instrument | Ethanol | Revenues | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) recognized in income | 579,082 | (1,882,644) | 154,754 | (2,564,199) |
Future | Not Designated as Hedging Instrument | Natural Gas | Cost of Goods Sold | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) recognized in income | 0 | 0 | (836) | 0 |
Future | Not Designated as Hedging Instrument | Soybean | Cost of Goods Sold | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) recognized in income | (2,085,684) | 724,217 | (5,889,252) | 651,376 |
Forward Contracts | Not Designated as Hedging Instrument | Soybean | Cost of Goods Sold | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) recognized in income | $ (379,206) | $ (804,039) | $ 1,543,084 | $ (136,163) |
FAIR VALUE MEASUREMENTS (Detail
FAIR VALUE MEASUREMENTS (Details) - USD ($) | Mar. 31, 2021 | Sep. 30, 2020 |
Soybean | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | $ 9,037,016 | $ 5,987,114 |
Soybean | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 9,037,016 | 5,987,114 |
Soybean | Fair Value, Measurements, Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 0 | 0 |
Soybean | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 9,037,016 | 5,987,114 |
Soybean | Fair Value, Measurements, Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 0 | 0 |
Future | Corn | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (3,214,073) | (740,993) |
Future | Corn | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (3,214,073) | (740,993) |
Future | Corn | Fair Value, Measurements, Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (2,804,150) | (718,333) |
Future | Corn | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (409,923) | (22,660) |
Future | Corn | Fair Value, Measurements, Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 0 | 0 |
Future | Ethanol | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (16,842) | (666,571) |
Future | Ethanol | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (16,842) | (666,571) |
Future | Ethanol | Fair Value, Measurements, Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (16,842) | (666,571) |
Future | Ethanol | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 0 | 0 |
Future | Ethanol | Fair Value, Measurements, Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 0 | 0 |
Future | Soybean Oil | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (111,534) | |
Future | Soybean Oil | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (111,534) | |
Future | Soybean Oil | Fair Value, Measurements, Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (111,534) | |
Future | Soybean Oil | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 0 | |
Future | Soybean Oil | Fair Value, Measurements, Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 0 | |
Future | Soybean | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (1,561,755) | (644,364) |
Future | Soybean | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (1,561,755) | (644,364) |
Future | Soybean | Fair Value, Measurements, Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (1,212,725) | (525,753) |
Future | Soybean | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | (349,030) | (118,611) |
Future | Soybean | Fair Value, Measurements, Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 0 | 0 |
Forward Contracts | Soybean | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 1,850,725 | 889,390 |
Forward Contracts | Soybean | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 1,850,725 | 889,390 |
Forward Contracts | Soybean | Fair Value, Measurements, Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 0 | 0 |
Forward Contracts | Soybean | Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | 1,850,725 | 889,390 |
Forward Contracts | Soybean | Fair Value, Measurements, Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets (liabilities), at fair value, net | $ 0 | $ 0 |
BANK FINANCING - Narrative (Det
BANK FINANCING - Narrative (Details) | Apr. 30, 2021 | Apr. 20, 2020USD ($) | Mar. 31, 2021USD ($)loan | Jan. 26, 2021USD ($) | Sep. 30, 2020USD ($) |
Debt Instrument [Line Items] | |||||
Number of loans | loan | 2 | ||||
Minimum fixed charge coverage ratio | 1.15 | ||||
Working capital requirement | $ 23,000,000 | ||||
Minimum debt service charge coverage ratio | 1.25 | ||||
Loan received | $ 856,000 | ||||
Declining Loan | |||||
Debt Instrument [Line Items] | |||||
Maximum availability | $ 5,000,000 | ||||
Interest rate | 3.16% | 3.13% | |||
Borrowings outstanding | $ 1,222,417 | $ 0 | |||
Declining Loan | Subsequent Event | |||||
Debt Instrument [Line Items] | |||||
Interest rate subtracted from U.S. Prime Rate | 0.15% | ||||
Revolving Credit Facility | |||||
Debt Instrument [Line Items] | |||||
Minimum fixed charge coverage ratio | 1.15 | ||||
Working capital requirement | $ 15,000,000 | ||||
Maximum availability | $ 20,000,000 | ||||
Interest rate | 3.02% | 3.06% | |||
Borrowings outstanding | $ 14,176,000 | $ 0 | |||
Covenant, maximum capital expenditures per year without prior approval | $ 5,000,000 | ||||
Revolving Credit Facility | Subsequent Event | |||||
Debt Instrument [Line Items] | |||||
Interest rate subtracted from U.S. Prime Rate | 0.25% | ||||
London Interbank Offered Rate (LIBOR) | Declining Loan | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 2.90% | ||||
London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | |||||
Debt Instrument [Line Items] | |||||
Basis spread on variable rate | 2.90% | ||||
Minimum | |||||
Debt Instrument [Line Items] | |||||
Working capital requirement | $ 23,000,000 | ||||
Minimum | Declining Loan | Subsequent Event | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 2.85% | ||||
Minimum | Revolving Credit Facility | Subsequent Event | |||||
Debt Instrument [Line Items] | |||||
Interest rate | 2.75% |
BANK FINANCING - Schedule of Lo
BANK FINANCING - Schedule of Long-term Debt (Details) - USD ($) | Mar. 31, 2021 | Sep. 30, 2020 |
Debt Instrument [Line Items] | ||
Less amounts due within one year | $ 275,840 | $ 275,840 |
Net long-term debt | 1,803,242 | 580,825 |
Paycheck Protection Program Loan | ||
Debt Instrument [Line Items] | ||
Paycheck Protection Program loan | 856,665 | |
Declining Loan | ||
Debt Instrument [Line Items] | ||
Borrowings outstanding | $ 1,222,417 | $ 0 |
BANK FINANCING - Schedule of De
BANK FINANCING - Schedule of Debt Maturities (Details) | Mar. 31, 2021USD ($) |
Debt Disclosure [Abstract] | |
April 1, 2021 to March 31, 2022 | $ 275,840 |
April 1, 2022 to March 31, 2023 | 1,794,826 |
April 1, 2023 to March 31, 2024 | 8,416 |
Total long-term debt | $ 2,079,082 |
LEASES - Narrative (Details)
LEASES - Narrative (Details) $ in Thousands | 3 Months Ended | 6 Months Ended |
Mar. 31, 2021USD ($) | Mar. 31, 2021USD ($) | |
Operating Leased Assets [Line Items] | ||
Operating lease weighted average discount rate | 5.05% | 5.05% |
Operating lease weighted average remaining lease term | 2 years 2 months 12 days | 2 years 2 months 12 days |
Minimum | ||
Operating Leased Assets [Line Items] | ||
Operating lease term | 1 year | 1 year |
Maximum | ||
Operating Leased Assets [Line Items] | ||
Operating lease term | 2 years 6 months | 2 years 6 months |
Revenue | Ethanol Division | ||
Operating Leased Assets [Line Items] | ||
Operating lease cost | $ 616 | $ 1,116 |
Cost of Goods Sold | Ethanol Division | ||
Operating Leased Assets [Line Items] | ||
Operating lease cost | $ 229 | $ 459 |
LEASES (Details)
LEASES (Details) - Transportation Equipment | Mar. 31, 2021USD ($) |
Operating Leased Assets [Line Items] | |
2021 | $ 1,570,740 |
2022 | 2,384,022 |
2023 | 376,201 |
Totals | 4,330,963 |
Amount representing interest | 155,407 |
Lease liabilities | $ 4,175,556 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||
Apr. 30, 2021USD ($) | Mar. 31, 2021USD ($)hopper_rail_car | Mar. 31, 2020USD ($) | Mar. 31, 2021USD ($)hopper_rail_car | Mar. 31, 2020USD ($) | |
Loss Contingencies [Line Items] | |||||
Hopper rail cars leased | hopper_rail_car | 180 | 180 | |||
Cost of goods sold | $ 89,149,617 | $ 71,500,230 | $ 181,860,247 | $ 132,249,038 | |
Payments to other acquire property, plant, and equipment | 0 | $ 14,372 | |||
Forecast | |||||
Loss Contingencies [Line Items] | |||||
Payments to other acquire property, plant, and equipment | $ 800,000 | ||||
Pending Litigation | |||||
Loss Contingencies [Line Items] | |||||
Estimated litigation liability | 1,000,000 | 1,000,000 | |||
Rail Car Rehabilitation Cost Liability | |||||
Loss Contingencies [Line Items] | |||||
Estimated rehabilitation costs | $ 1,602,000 | 1,602,000 | |||
Cost of goods sold | $ 149,000 |
UNCERTAINTIES IMPACTING THE E_2
UNCERTAINTIES IMPACTING THE ETHANOL INDUSTRY AND OUR FUTURE OPERATIONS (Details) gal in Millions | 6 Months Ended |
Mar. 31, 2021USD ($)gal | |
Concentration Risk [Line Items] | |
Reduction In Production Rate | 20.00% |
Revolving Credit Facility | |
Concentration Risk [Line Items] | |
Line of credit increase amount | $ | $ 5,000,000 |
Sales Revenue, Goods, Net | Ethanol | |
Concentration Risk [Line Items] | |
Concentration risk | 54.00% |
Cost of Goods, Segment | Corn | |
Concentration Risk [Line Items] | |
Concentration risk | 60.00% |
Ethanol | |
Concentration Risk [Line Items] | |
Annual production capacity | gal | 140 |
BUSINESS SEGMENTS - Narrative (
BUSINESS SEGMENTS - Narrative (Details) | 6 Months Ended |
Mar. 31, 2021segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Number of operating segments | 2 |
BUSINESS SEGMENTS - Schedule of
BUSINESS SEGMENTS - Schedule of Business Segments (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Mar. 31, 2021 | Mar. 31, 2020 | Sep. 30, 2020 | |
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||
Revenue: | $ 97,911,947 | $ 67,278,692 | $ 191,151,930 | $ 131,015,543 | |
Gross Profit (Loss): | 8,762,330 | (4,221,538) | 9,291,683 | (1,233,495) | |
Operating Income (Loss): | 6,925,219 | (6,147,899) | 5,641,913 | (4,854,598) | |
Grain Inventories: | 26,275,735 | 26,275,735 | $ 8,452,896 | ||
Total Assets: | 154,807,184 | 154,807,184 | 129,737,278 | ||
Ethanol division | |||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||
Revenue: | 72,885,033 | 54,472,468 | 138,785,893 | 113,354,570 | |
Gross Profit (Loss): | 7,094,939 | (4,267,000) | 6,811,269 | (2,197,761) | |
Operating Income (Loss): | 5,575,071 | (5,876,117) | 3,795,985 | (5,184,376) | |
Grain Inventories: | 17,248,360 | 17,248,360 | 2,465,782 | ||
Total Assets: | 134,194,421 | 134,194,421 | 111,774,989 | ||
Trading division | |||||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||||
Revenue: | 25,026,914 | 12,806,224 | 52,366,037 | 17,660,973 | |
Gross Profit (Loss): | 1,667,391 | 45,462 | 2,480,414 | 964,266 | |
Operating Income (Loss): | 1,350,148 | $ (271,782) | 1,845,928 | $ 329,778 | |
Grain Inventories: | 9,027,375 | 9,027,375 | 5,987,114 | ||
Total Assets: | $ 20,612,763 | $ 20,612,763 | $ 17,962,289 |