Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 28, 2022 | Jun. 30, 2021 | |
Cover [Abstract] | |||
Entity Central Index Key | 0001592057 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2021 | ||
Document Annual Report | true | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Address, Address Line One | 7272 Wisconsin Ave. | ||
Entity Address, Address Line Two | Suite 1800 | ||
Entity Address, City or Town | Bethesda, | ||
Entity Address, State or Province | MD | ||
Entity Address, Postal Zip Code | 20814 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Shell Company | false | ||
Entity Public Float | $ 1,646,811,507 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Entity Common Units, Units Outstanding | 66,558,919 | ||
Entity Interactive Data Current | Yes | ||
Document Transition Report | false | ||
Entity File Number | 001-37363 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 46-4097730 | ||
Title of 12(b) Security | Common Stock | ||
Trading Symbol | EVA | ||
Security Exchange Name | NYSE | ||
Documents Incorporated by Reference | None | ||
ICFR Auditor Attestation Flag | true | ||
City Area Code | (301) | ||
Local Phone Number | 657-5560 | ||
Entity Registrant Name | Enviva Inc. | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false | ||
Auditor Firm ID | 42 | ||
Auditor Name | Ernst & Young LLP | ||
Auditor Location | Tysons, Virginia |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 16,801 | $ 66,114 |
Restricted Cash | 1,717 | 1,561 |
Accounts receivable | 97,439 | 124,212 |
Other accounts receivable | 17,826 | 15,112 |
Inventories | 57,717 | 45,224 |
Prepaid expenses and other current assets | 7,230 | 6,820 |
Total current assets | 198,730 | 259,043 |
Property, plant and equipment, net | 1,498,197 | 1,242,421 |
Operating lease right-of-use assets | 108,846 | 111,927 |
Goodwill | 103,928 | 99,660 |
Other long-term assets | 14,446 | 12,943 |
Total assets | 1,924,147 | 1,725,994 |
Current liabilities: | ||
Accounts payable | 29,535 | 22,398 |
Accrued and other current liabilities | 163,306 | 147,815 |
Current portion of interest payable | 25,060 | 24,656 |
Current portion of long-term debt and finance lease obligations | 39,105 | 14,551 |
Related-party note payable | 0 | 20,000 |
Deferred revenue | 0 | 4,855 |
Total current liabilities | 257,006 | 234,275 |
Long-term debt and finance lease obligations | 1,232,441 | 913,498 |
Long-term operating lease liabilities | 122,252 | 111,991 |
Deferred tax liabilities, net | 36 | 25,218 |
Other long-term liabilities | 41,748 | 31,352 |
Total liabilities | 1,653,483 | 1,316,334 |
Commitments and contingencies | ||
Common Shareholders and Limited Partners: | ||
LImited partner interestsl, Series A, Value | 0 | (92,703) |
LImited partner interestsl, Series B, Value | 0 | 13,865 |
Preferred Stock, Value, Issued | 0 | 0 |
Common Stock, Value, Issued | 61 | 0 |
Additional Paid in Capital | 317,998 | 0 |
Retained Earnings (Accumulated Deficit) | 0 | 0 |
Accumulated other comprehensive income | 299 | 0 |
Stockholders' Equity Attributable to Parent | 318,358 | (78,838) |
Noncontrolling interest | (47,694) | 488,498 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest, Total | 270,664 | 409,660 |
Liabilities and Equity | $ 1,924,147 | $ 1,725,994 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Net revenue | $ 1,041,678 | $ 874,962 | $ 683,568 | |
Cost of goods sold, excluding depreciation and amortization | 861,703 | 711,248 | 601,869 | |
Loss on disposal of assets | 10,153 | 8,715 | 3,558 | |
Selling, general, administrative and development expenses | [1] | 175,108 | 129,537 | 98,818 |
Depreciation and amortization | 91,966 | 85,892 | 65,565 | |
Total operating costs and expenses | 1,138,930 | 935,392 | 769,810 | |
Operating Income (Loss) | (97,252) | (60,430) | (86,242) | |
Other income (expense): | ||||
Interest expense | (56,497) | (45,996) | (42,042) | |
Early retirement of debt obligation | (9,377) | 0 | (9,042) | |
Other income (expense) | 880 | 271 | 410 | |
Total other expense, net | (64,994) | (45,725) | (50,674) | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | (162,246) | (106,155) | (136,916) | |
Income Tax Expense (Benefit) | (16,975) | 169 | (1,932) | |
Net loss | (145,271) | (106,324) | (134,984) | |
Net loss attributable to noncontrolling partners' interests | 23,202 | 20,034 | 53,480 | |
Net loss | $ (122,069) | $ (86,290) | $ (81,504) | |
Net (loss) income per limited partner common unit: | ||||
Common - basic and diluted (in dollars per unit) | [2] | $ (4.76) | $ (5.39) | $ (5.09) |
Weighted-average number of limited partner units outstanding: | ||||
Common units - basic and diluted | [2] | 25,632,000 | 16,000,000 | 16,000,000 |
Product sales | ||||
Net revenue | $ 999,190 | $ 830,528 | $ 674,251 | |
Other revenue | ||||
Net revenue | $ 42,488 | $ 44,434 | $ 9,317 | |
[1] | See Note 15, Related-Party Transactions. | |||
[2] | Effective December 31, 2021, units were converted into shares due to the conversion from a partnership to a corporation. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | ||
Net (loss) income | $ (145,271) | $ (106,324) | $ (134,984) | |
Other comprehensive (loss) income: | ||||
Reclassification of net gains on cash flow hedges realized into net loss | 0 | (22) | (288) | |
Currency translation adjustment | 37 | 98 | 31 | |
Net unrealized losses on cash flow hedges | 0 | 0 | (146) | |
Total other comprehensive (loss) income | 37 | 76 | (403) | [1] |
Total comprehensive loss | (145,234) | (106,248) | (135,387) | |
Less comprehensive loss attributable to noncontrolling interests | 23,202 | 20,034 | 53,480 | |
Comprehensive loss attributable to Enviva Inc. | $ (122,032) | $ (86,214) | $ (81,907) | |
[1] | See Note 17, Equity |
Statement of Shareholders' Equi
Statement of Shareholders' Equity (Statement) - USD ($) $ in Thousands | Total | Enviva Partners, LP [Member] | Enviva Inc. [Member] | Our Former Sponsor | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (loss) | Equity attributable to Enviva Inc. | Equity attributable to Enviva Inc.Enviva Partners, LP [Member] | Equity attributable to Enviva Inc.Enviva Inc. [Member] | Equity attributable to Enviva Inc.Our Former Sponsor | Non- controlling Interests | Non- controlling InterestsEnviva Partners, LP [Member] | Non- controlling InterestsEnviva Inc. [Member] | Non- controlling InterestsOur Former Sponsor | RecapitalizationOur Former Sponsor | [1] | Preferred Stock [Member]Series A | Preferred Stock [Member]Series AEnviva Partners, LP [Member] | [1] | Preferred Stock [Member]Series AEnviva Inc. [Member] | Preferred Stock [Member]Series AOur Former Sponsor | Preferred Stock [Member]Series B | Preferred Stock [Member]Series BEnviva Partners, LP [Member] | [1] | Preferred Stock [Member]Series BEnviva Inc. [Member] | Preferred Stock [Member]Series BOur Former Sponsor | Preferred Stock [Member]Series C | Preferred Stock [Member]Series D | Preferred Stock [Member]Series DEnviva Partners, LP [Member] | Preferred Stock [Member]Series DOur Former Sponsor | Preferred Stock [Member]Series E | Common Units— PublicCommon Stock [Member] | ||||||||||||||||
Distributions after the Simplification Transaction | [1] | $ (74,726) | $ (20) | $ (74,706) | $ (20) | ||||||||||||||||||||||||||||||||||||||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Amount | [1] | 583 | 583 | ||||||||||||||||||||||||||||||||||||||||||||||
Other Comprehensive Income (Loss), Net of Tax | [1] | $ (403) | $ (202) | $ (201) | $ (134) | $ (8) | $ (60) | ||||||||||||||||||||||||||||||||||||||||||
Support payments | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Net (loss) income | (134,984) | $ (134,984) | [1] | $ (81,504) | [1] | $ (53,480) | [1] | $ (54,014) | [1] | $ (3,038) | [1] | $ (24,452) | [1] | ||||||||||||||||||||||||||||||||||||
Balance at the beginning of period at Dec. 31, 2018 | [1] | 433,368 | 137,813 | 295,555 | 128,179 | (2,228) | $ 1,200 | 10,276 | $ 386 | ||||||||||||||||||||||||||||||||||||||||
Balance at the end of the period at Dec. 31, 2019 | [1] | 357,256 | 56,087 | 301,169 | $ 74,031 | $ (5,274) | $ 1,200 | $ (14,256) | $ 386 | ||||||||||||||||||||||||||||||||||||||||
Shares, Outstanding, Period Beginning Balance at Dec. 31, 2018 | [1] | 250,000,000 | 14,063,000 | 6,045,000 | 113,172,000 | 1,115,000 | |||||||||||||||||||||||||||||||||||||||||||
Shares, Outstanding, Period Ending Balance at Dec. 31, 2019 | [1] | 250,000,000 | 14,063,000 | 6,045,000 | 113,172,000 | 1,115,000 | |||||||||||||||||||||||||||||||||||||||||||
Sale of common units | [1] | 146,278 | 146,278 | ||||||||||||||||||||||||||||||||||||||||||||||
Limited Partners' Contributed Capital | [1] | 32,500 | 32,500 | ||||||||||||||||||||||||||||||||||||||||||||||
Partners Capital/Equity non cash equity-based compensation and other expense (in shares/untis) | [1] | $ 2,500 | |||||||||||||||||||||||||||||||||||||||||||||||
Distributions after the Simplification Transaction | [1] | (74,169) | (74,169) | ||||||||||||||||||||||||||||||||||||||||||||||
Partners Capital/Equity non cash equity-based compensation and other expense | [1] | 21,311 | $ 13,865 | $ 13,865 | 21,311 | $ 0 | $ 13,865 | ||||||||||||||||||||||||||||||||||||||||||
Partners' Capital Account, Unit-based Payment Arrangement, Amount | [1] | 4,340 | $ 4,340 | ||||||||||||||||||||||||||||||||||||||||||||||
Other Comprehensive Income (Loss), Net of Tax | 76 | ||||||||||||||||||||||||||||||||||||||||||||||||
Support payments | 0 | ||||||||||||||||||||||||||||||||||||||||||||||||
Net (loss) income | (106,324) | $ (49,187) | [1] | $ (57,137) | [1] | $ (49,187) | [1] | $ (37,103) | [1] | $ (20,034) | [1] | $ (32,597) | $ (37,103) | [1] | $ (1,834) | $ (14,756) | [1] | ||||||||||||||||||||||||||||||||
Balance at the end of the period at Dec. 31, 2020 | 409,660 | (78,838) | (78,838) | [1] | 488,498 | 488,498 | [1] | $ 409,660 | $ (92,703) | [1] | $ 13,865 | [1] | |||||||||||||||||||||||||||||||||||||
Shares, Outstanding, Period Ending Balance at Dec. 31, 2020 | 784,980,000 | [1] | 2,500 | 2,500 | [1] | ||||||||||||||||||||||||||||||||||||||||||||
Partners Capital, Excess Consideration Over, Net Assets | [1] | (93,659) | (62,538) | (31,121) | $ (41,445) | $ (2,331) | $ (18,762) | ||||||||||||||||||||||||||||||||||||||||||
Distribution Made to Limited Partner, Unit Distribution | [1] | (49,700,000) | 49,700,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Recapitalization of units | [1] | $ (7) | $ (55,610) | $ (9,438) | $ (1,200) | $ (47,765) | $ (386) | ||||||||||||||||||||||||||||||||||||||||||
Recapitalization of units (in units) | [1] | (250,000,000) | (784,980,000) | (14,063,000) | (6,045,000) | (113,172,000) | (1,115,000) | ||||||||||||||||||||||||||||||||||||||||||
Other Comprehensive Income Los sNet Of Tax Prior to Recapitalization | [1] | 28 | 28 | 18 | $ 1 | $ 9 | |||||||||||||||||||||||||||||||||||||||||||
Other Comprehensive Income Los sNet Of Tax After Recapitalization | [1] | $ 48 | 10 | 38 | $ 10 | ||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling interest | 488,498 | ||||||||||||||||||||||||||||||||||||||||||||||||
Limited Partners' Capital Account, Units Issued | [1] | 190,529,000 | 190,529,000 | ||||||||||||||||||||||||||||||||||||||||||||||
Limited Partners' Contributed Capital | [1] | 100,775 | 100,775 | ||||||||||||||||||||||||||||||||||||||||||||||
Partners Capital/Equity non cash equity-based compensation and other expense (in shares/untis) | $ 6,900 | ||||||||||||||||||||||||||||||||||||||||||||||||
Acquisition of noncontrolling interest | (153,419) | 45,388 | 108,031 | $ (45,388) | |||||||||||||||||||||||||||||||||||||||||||||
Distributions after the Simplification Transaction | (71,471) | (71,471) | |||||||||||||||||||||||||||||||||||||||||||||||
Partners Capital/Equity non cash equity-based compensation and other expense | 29,024 | 23,833 | 5,191 | $ 23,833 | |||||||||||||||||||||||||||||||||||||||||||||
Other Comprehensive Income (Loss), Net of Tax | 23 | 12 | 11 | 12 | |||||||||||||||||||||||||||||||||||||||||||||
Net (loss) income | (125,513) | (102,284) | (23,229) | (102,284) | |||||||||||||||||||||||||||||||||||||||||||||
Sale of common units | 214,510 | 214,510 | |||||||||||||||||||||||||||||||||||||||||||||||
Other Comprehensive Income (Loss), Net of Tax | 37 | ||||||||||||||||||||||||||||||||||||||||||||||||
Support payments | 15,446 | ||||||||||||||||||||||||||||||||||||||||||||||||
Net (loss) income | (145,271) | ||||||||||||||||||||||||||||||||||||||||||||||||
C-Corporation Conversion (in units/shares) | (61,138,000) | (16,121,000) | |||||||||||||||||||||||||||||||||||||||||||||||
C-Corporation Conversion | $ (61) | $ (317,998) | $ (299) | $ (314,827) | |||||||||||||||||||||||||||||||||||||||||||||
Balance at the beginning of period at Dec. 31, 2020 | 409,660 | $ (78,838) | $ (78,838) | [1] | 488,498 | $ 488,498 | [1] | $ 409,660 | $ (92,703) | [1] | $ 13,865 | [1] | |||||||||||||||||||||||||||||||||||||
Balance at the end of the period at Dec. 31, 2021 | 270,664 | $ 61 | $ 317,998 | $ 299 | (47,694) | ||||||||||||||||||||||||||||||||||||||||||||
Shares, Outstanding, Period Beginning Balance at Dec. 31, 2020 | 784,980,000 | [1] | 2,500 | 2,500 | [1] | ||||||||||||||||||||||||||||||||||||||||||||
Shares, Outstanding, Period Ending Balance at Dec. 31, 2021 | 61,138,000 | ||||||||||||||||||||||||||||||||||||||||||||||||
Contribution of assets | 389 | $ 389 | |||||||||||||||||||||||||||||||||||||||||||||||
Noncontrolling interest | (47,694) | ||||||||||||||||||||||||||||||||||||||||||||||||
Equity ending balance | $ 318,358 | ||||||||||||||||||||||||||||||||||||||||||||||||
[1] | See Note 17, Equity |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash flows from operating activities: | |||
Net (loss) income | $ (145,271) | $ (106,324) | $ (134,984) |
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | |||
Depreciation and amortization | 92,919 | 82,436 | 65,565 |
Early retirement of debt obligation | 9,377 | 0 | 9,042 |
Amortization of debt issuance costs, debt premium and original issue discounts | 764 | 2,506 | 2,138 |
Gain (Loss) on Disposition of Assets | 10,153 | 8,715 | 3,558 |
Increase (Decrease) in Deferred Income Taxes | (21,629) | (336) | (1,997) |
Unit-based compensation | 55,924 | 39,528 | 7,963 |
Fair value changes in derivatives | 1,829 | 5,294 | 3,701 |
Unrealized loss on foreign currency transactions, net | 22 | 10 | 215 |
Change in operating assets and liabilities: | |||
Accounts and insurance receivables | 24,088 | (60,276) | (16,569) |
Prepaid expenses, assets held for sale and other current and long-term assets | 1,723 | (12,892) | (1,622) |
Inventories | (15,398) | (1,903) | (4,735) |
Derivatives | (5,792) | (249) | (1,770) |
Accounts payable, accrued liabilities and other current liabilities | 50,797 | 62,080 | 11,190 |
Related-party payables | (440) | (464) | (531) |
Deferred revenue | (4,324) | (4,139) | 3,887 |
Accrued interest | (11,241) | (8,630) | (5,209) |
Increase (decrease) in operating lease liabilities | (7,509) | (10,912) | (8,464) |
Other long-term liabilities | (2,602) | (1,095) | (9,729) |
Net Cash Provided by (Used in) Operating Activities | 33,390 | 14,399 | (55,353) |
Cash flows from investing activities: | |||
Purchases of property, plant and equipment | (332,322) | (220,998) | (145,200) |
Payments in relation to the Georgia Biomass Acquisition, net of cash acquired | 0 | (163,299) | 0 |
Other | 0 | 328 | 0 |
Net cash used in investing activities | (332,322) | (383,969) | (145,200) |
Cash flows from financing activities: | |||
Proceeds from senior secured revolving credit facility | 1,025,000 | 755,500 | 453,000 |
Principal payments on senior secured revolving credit facility | (679,000) | (635,500) | (526,000) |
Principal payments on Green Term Loan | (325,000) | 0 | 0 |
Principal payments on other long-term debt and finance lease obligations | (13,188) | (10,951) | (361,879) |
Cash paid related to debt issuance costs and deferred offering costs | (9,401) | (3,858) | (7,560) |
Proceeds from common unit issuances, net | 214,501 | 190,529 | 96,822 |
Distributions to unitholders, distribution equivalent rights and incentive distribution rights holder | (116,006) | (71,169) | (74,732) |
Proceeds from debt issuance | 321,750 | 155,625 | 601,777 |
Payment for withholding tax associated with Long-Term Incentive Plan vesting | (10,979) | (4,996) | (1,910) |
Payments for acquisition of noncontrolling interest in Development JV | (153,348) | 0 | 0 |
Payment for acquisition of noncontrolling interest in common control and other projects | 0 | 93,659 | 0 |
Support payments | 15,446 | 0 | 0 |
Repayments of Notes Payable | (20,000) | 0 | 0 |
Proceeds from related-party note payable | 0 | 20,000 | 0 |
Contributed capital to common control entities acquired | 0 | 105,000 | 32,500 |
Debt redemption premium | 0 | 0 | (7,544) |
Net cash provided by (used in) financing activities | 249,775 | 406,521 | 204,474 |
Net increase (decrease) in cash, cash equivalents and restricted cash | (49,157) | 36,951 | 3,921 |
Cash, cash equivalents and restricted cash, beginning of period | 67,675 | 30,724 | 26,803 |
Cash, cash equivalents and restricted cash, end of period | 18,518 | 67,675 | 30,724 |
Cash Flow, Noncash Investing and Financing Activities Disclosure [Abstract] | |||
Capital Expenditures Incurred but Not yet Paid | 20,105 | 28,231 | 13,603 |
Enviva Partners, LP common units distributed to Hancock Member | 0 | 0 | (49,700) |
Supplemental information: | |||
Interest paid, net of capitalized interest | 14,884 | 28,351 | 41,190 |
Issuance of common units value | $ 0 | $ 0 | $ 49,700 |
Statement of Financial Position
Statement of Financial Position, Classified (Parentheticals) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Series A | ||
Limited partner units outstanding | 785,000,000 | |
Common Units, liquidation preference value | $ 812,900,000 | |
Series B | ||
Limited partner units outstanding | 2,500 | |
Preferred Stock | ||
Preferred Stock, Par or Stated Value Per Share | $ 0.001 | |
Preferred Stock, Shares Authorized | 100,000,000 | |
Preferred Stock, Shares Outstanding | 0 | |
Preferred Stock, Shares Issued | 0 | |
Common Stock | ||
Common Stock, Par or Stated Value Per Share | $ 0.001 | |
Common Stock, Shares Authorized | 600,000,000 | |
Common Stock, Shares, Issued | 61,137,744 | |
Common Stock, Shares, Outstanding | 61,137,744 |
Description of Business and Bas
Description of Business and Basis of Presentation | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business and Basis of Presentation | Description of Business and Basis of Presentation Enviva Partners, LP (the “Partnership”) converted from a Delaware limited partnership to a Delaware corporation (the “Conversion”) named “Enviva Inc.” effective December 31, 2021. The Partnership was formed on November 12, 2013 as a wholly owned subsidiary of Enviva Holdings, LP (our “ former sponsor” or “Holdings”). Enviva Partners GP, LLC, a wholly owned subsidiary of our former sponsor, was our former general partner (the “ former GP”). References to “Enviva,” the “Company,” “we,” “us,” or “our” refer to (i) Enviva Inc. and its subsidiaries for the periods following the Conversion and (ii) Enviva Partners, LP and its subsidiaries for periods prior to the Conversion, except where the context otherwise requires. We procure wood fiber and process it into utility-grade wood pellets and load the finished wood pellets into railcars, trucks and barges for transportation to deep-water marine terminals, where they are received, stored and ultimately loaded onto oceangoing vessels for delivery under long-term, take-or-pay off-take contracts to our customers principally in the United Kingdom (the “U.K.”), the European Union, and Japan. We own and operate ten industrial-scale wood pellet production plants located in the Southeastern United States. In addition to the volumes from our plants, we also procure wood pellets from third parties. Wood pellets are exported from our wholly owned deep-water marine terminal at the Port of Chesapeake, Virginia, terminal assets at the Port of Wilmington, North Carolina, and from third-party deep-water marine terminals in Mobile, Alabama, Panama City, Florida, and Savannah, Georgia under a short-term contract, a long-term contract, and a lease and associated terminal services agreement, respectively. We are constructing a deep-water marine terminal at the Port of Pascagoula, Mississippi. Basis of Presentation As a result of the Conversion, periods prior to December 31, 2021 reflect Enviva as a limited partnership, not a corporation. References to common units for periods prior to the Conversion refer to common units of Enviva Partners, LP, and references to common stock for periods following the Conversion refer to shares of common stock of Enviva Inc. The primary financial impacts of the Conversion to the consolidated financial statements were (i) reclassification of partnership capital accounts to equity accounts reflective of a corporation and (ii) income tax effects. On the date of the Conversion, each common unit representing a limited partner interest in the Partnership issued and outstanding immediately prior to the Conversion was exchanged for one share of common stock of the Company, par value $0.001 per share. On October 14, 2021, the Partnership entered into and closed on an Agreement and Plan of Merger (the “Merger Agreement”) by and among the Partnership, our former sponsor, Enviva Partners Merger Sub, LLC (“Merger Sub”), and the limited partners of our former sponsor (the “Holdings Limited Partners”) set forth in the Merger Agreement. Pursuant to the terms of the Merger Agreement, (a) the Company acquired (i) all of the limited partner interests in our former sponsor and (ii) all of the limited liability company interests in the former GP, and (b) the incentive distribution rights directly held by our former sponsor were cancelled and eliminated (collectively, the “Simplification Transaction”). As a result of the Simplification Transaction, the Company acquired certain assets under development, as well as off-take contracts in varying stages of negotiation. The Simplification Transaction also included the acquisition of a workforce that was historically employed by our former sponsor. On October 14, 2021, the Partnership issued 16.0 million common units to the owners of the former sponsor as consideration for the Simplification Transaction. The Simplification Transaction was a business combination of entities under common control and net assets acquired were combined at their historical costs with a change in reporting entity. Accordingly, the consolidated financial statements have been retroactively recast to reflect the Simplification Transaction as if the Simplification Transaction had occurred on March 18, 2010, the date Holdings was originally organized. While the Partnership was the surviving entity for legal purposes, Holdings is the surviving entity for accounting purposes. As a result, the historical financial results prior to the Simplification are those of Holdings. Prior to the Simplification Transaction, Holdings controlled the Partnership so the financial statements of the Partnership were consolidated into the financial statements of Holdings and the common units of the Partnership held by the public are reflected as a noncontrolling interest. Principles of Consolidation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). Our consolidated financial statements include the accounts of Enviva and its wholly owned subsidiaries and controlled subsidiaries, including a variable interest entity in which we are the primary beneficiary. As managing member, we have the sole power to direct the activities that most impact the economics of the variable interest entity. All intercompany accounts and transactions have been eliminated. We operate and manage our business as one operating segment. Georgia Biomass Holding LLC On July 31, 2020, Enviva Pellets Waycross Holdings, LLC, a wholly owned subsidiary of the Company, acquired all of the limited liability company interests in Georgia Biomass Holding LLC, a Georgia limited liability company (“Georgia Biomass”), and the indirect owner of a wood pellet production plant located in Waycross, Georgia (the “Waycross plant”), for a purchase price of $175.0 million, subject to certain adjustments (the “Georgia Biomass Acquisition”). In August 2020, Georgia Biomass converted to a limited liability company organized under the laws of the State of Delaware under the name Enviva Pellets Waycross Holdings Sub, LLC. The Georgia Biomass Acquisition was recorded as a business combination and accounted for using the acquisition method. Assets acquired and liabilities assumed were recognized at fair value on the acquisition date of July 31, 2020, and the difference between the consideration transferred, excluding acquisition-related costs and the fair values of the assets acquired and liabilities assumed was recognized as goodwill. See Note 4, Acquisition . |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Significant Accounting Policies Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make judgments, estimates and assumptions that affect the amounts reported in our consolidated financial statements and accompanying notes. Actual results could differ materially from those estimates. Noncontrolling Interests Noncontrolling interests include third-party equity ownership in Enviva Wilmington Holdings, LLC (the “Hamlet JV”) and Enviva JV Development Company, LLC (the “Development JV”), each of which are limited liability companies. Prior to the Simplification Transaction, noncontrolling interests also included the third-party, public equity ownership in the Partnership. Noncontrolling interests are presented as a component of equity in the accompanying consolidated balance sheet. The allocation for the Hamlet JV was based on the percentage of units held by third-parties and the Partnership until April 1, 2019, after which there was no allocation to third parties primarily as their capital contributions had all been repaid and substantially all of their preferred return on those capital contributions had been paid. For the Development JV, the allocation of income (loss) is based on the percentage of capital contributions from third-parties and the Partnership. In February 2021, the Partnership purchased the third-party member’s interest in the Development JV. See Note 17, Equity. Business Combinations Determining whether an entity has acquired a business or an asset (or a group of assets) is critical because the accounting for a business combination differs significantly from that of an asset acquisition. For an acquisition of a business, the general principle is that, when an entity (the acquirer) takes control of another entity (the target), the fair value of the underlying exchange transaction is used to establish a new accounting basis for the acquired entity where the acquirer recognizes and measures the assets acquired and liabilities assumed at their full fair values as of the date control is obtained. For an acquisition of an asset, a cost accumulation and allocation model is used under which the cost of the acquisition is allocated to the assets acquired and liabilities assumed. We must first evaluate whether substantially all of the fair value of the gross assets acquired is concentrated in a single identifiable asset or group of similar identifiable assets. Gross assets acquired should exclude cash and cash equivalents, deferred tax assets and goodwill resulting from the effects of deferred tax liabilities. However, the gross assets acquired should include any consideration transferred (plus the fair value of any noncontrolling interest and previously held interest, if any) in excess of the fair value of net identifiable assets acquired. A tangible asset that is attached to and cannot be physically removed and used separately from another tangible asset (or an intangible asset representing the right to use a tangible asset) without incurring significant cost or significant diminution in utility or fair value to either asset (for example, land and building) should be considered a single asset. In that context, we consider a wood pellet production facility to be a single identifiable asset. We need to apply judgment to determine what is considered “substantially all” because ASC 805 does not provide a bright line for making this assessment. If the “substantially all” threshold is met, the acquired set of assets and activities is not a business. If that threshold is not met, we must evaluate whether the set meets the definition of a business, which consists of inputs and at least one substantive process applied to those inputs that have the ability to contribute to the creation of outputs. If that threshold is not met but the set does not meet the definition of a business, the acquisition would be an asset acquisition. A business combination is an acquisition of a business and is accounted for using the acquisition method. Identifiable assets acquired and liabilities assumed are recognized at fair value on the acquisition date. Goodwill is calculated as the excess of the fair value of the consideration transferred, which excludes acquisition-related costs that are expensed, over the fair value of the net assets recognized and represents the future economic benefits arising from other net assets acquired that could not be individually identified and separately recognized. Fair value measurements may require us to make significant estimates and assumptions. A measurement period, which could be up to one year from the date of acquisition, exists to identify and measure the assets acquired and the liabilities assumed. During the measurement period, provisional amounts may be recognized and those amounts may subsequently be prospectively adjusted to reflect any new information about facts and circumstances that existed at the acquisition date that, if known, would have affected the measurement of these amounts. At the end of the measurement period, any subsequent changes would not be recognized under the acquisition method but would instead follow other accounting principles, which would then generally impact earnings. Other Comprehensive Income (Loss) Comprehensive income (loss) consists of two components, net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) refers to revenue, expenses, and gains and losses that under GAAP are included in comprehensive income (loss) but excluded from net income (loss). Other comprehensive income (loss) consists of net unrealized gains and losses related to derivative instruments accounted for as cash flow hedges and foreign currency translation adjustments. Cash and Cash Equivalents Cash and cash equivalents consist of short-term, highly liquid investments readily convertible into cash with an original maturity of three months or less. Restricted Cash Restricted cash consists of cash collateral for an irrevocable standby letter of credit and an amount held in escrow. Accounts Receivable Accounts receivable represent amounts billed that are recorded at the invoiced amount and billable under our contracts that are pending finalization of prerequisite billing documentation and do not bear interest. As of December 31, 2021 and 2020, we had no amounts in allowance for doubtful accounts given the lack of historical credit losses and no current expectations of credit losses. Inventories Inventories consist of raw materials, work-in-progress, consumable tooling and finished goods. Fixed production overhead, including related depreciation expense, is allocated to inventory based on the normal production capacity of the facilities. To the extent we do not achieve normal production levels, we charge such under-absorption of fixed overhead to cost of goods sold in the period incurred. Consumable tooling consists of spare parts and tooling to be consumed in the production process. Spare parts are expected to be used within a year and are expensed as used. Tooling items are amortized to expense over an estimated service life generally less than one year. Inventories are stated at the lower of cost or net realizable value using the first-in, first-out method (“FIFO”) for all inventories. Raw material, production and distribution costs associated with delivering wood pellets to marine terminals and third-party wood pellet purchase costs are capitalized as a component of inventory. These costs and the finished production overhead allocated to inventory are reflected in cost of goods sold when inventory is sold. Intangibles Intangibles primarily consist of favorable or unfavorable customer contracts and an unfavorable shipping contact that were acquired in the Georgia Biomass Acquisition. Intangibles with definite lives are amortized based on the pattern of economic benefit over their estimated useful lives, which are reviewed annually. The intangibles acquired in the Georgia Biomass Acquisition are being amortized on a straight-line basis, as metric tons (“MT”) of wood pellets to be sold or shipped under each contract are constant through the end of such contracts. See Note 12, Goodwill and Other Intangibles . Revenue Recognition We primarily earn revenue by supplying wood pellets to customers under off-take contracts, the majority of the commitments under which are long-term in nature. Our off-take contracts are considered “take-or-pay” because they include a firm obligation of the customer to take a fixed quantity of product at a stated price and provisions that require that we be compensated in the case of a customer’s failure to accept all or a part of the contracted volumes or termination of a contract by a customer. Each of our long-term off-take contracts defines the annual volume of wood pellets that a customer is required to purchase, and we are required to sell, the fixed price per MT for product satisfying a base net calorific value and other technical specifications. These prices are generally fixed for the entire term, however, some may be subject to adjustments which may include annual inflation-based adjustments or price escalators, price adjustments for product specifications, as well as, in some instances, price adjustments due to changes in underlying indices. In addition to sales of our product under these long-term off-take contracts, we routinely sell wood pellets under shorter-term contracts, which range in volume and tenor and, in some cases, may include only one specific shipment. Because each of our off-take contracts is a bilaterally negotiated agreement, our revenue over the duration of such contracts does not generally follow observable current market pricing trends. Our performance obligations under these contracts are the delivery of wood pellets, which we aggregate into MT. We account for each MT as a single performance obligation. Our revenue from the sales of wood pellets we produce is recognized as product sales upon satisfaction of our performance obligation when control transfers to the customer at the time of loading wood pellets onto a ship. The amount of wood pellets loaded onto a ship is determined by management with the assistance of a third-party specialist. Depending on the specific off‑take contract, shipping terms are either Cost, Insurance and Freight (“CIF”), Cost and Freight (“CFR”) or Free on Board (“FOB”). Under a CIF contract, we procure and pay for shipping costs, which include insurance and all other charges, up to the port of destination for the customer. Under a CFR contract, we procure and pay for shipping costs, which include insurance (excluding marine cargo insurance) and all other charges, up to the port of destination for the customer. Shipping under CIF and CFR contracts after control has passed to the customer is considered a fulfillment activity rather than a performance obligation and associated expenses are included in the price to the customer. Under FOB contracts, the customer is directly responsible for shipping costs. In some cases, we may purchase shipments of product from third-party suppliers and resell them to other parties in back-to-back transactions (“purchase and sale transactions”). We recognize revenue on a gross basis in product sales when we determine that we act as a principal by having control of the wood pellets before they are transferred to the customer. Indicators of control have included being primarily responsible for fulfilling the promise to provide the wood pellets (such as by contracting to sell wood pellets before contracting to buy them), having inventory risk, or having discretion in establishing the sales price for the wood pellets. The decision as to whether to recognize revenue on a gross or net basis requires significant judgment. We recognize terminal services revenue ratably over the related contract term, which is included in other revenue. Terminal services are performance obligations that are satisfied over time, as customers simultaneously receive and consume the benefits of the terminal services we perform. The consideration is generally fixed for minimum quantities and any services above the minimum are generally billed based on a per-MT rate as variable consideration and recognized as services are performed. Any deficiency payments receivable and probable of being collected from a customer not meeting quarterly minimum throughput requirements are recognized during the related quarter in satisfaction of the related performance obligation. Variable consideration from off-take contracts arises from several pricing features outlined in our off-take contracts, pursuant to which such contract pricing may be adjusted in respect of particular shipments to reflect differences between certain contractual quality specifications of the wood pellets as measured both when the wood pellets are loaded onto ships and unloaded at the discharge port as well as certain other contractual adjustments. Variable consideration from terminal services contracts arises from price increases based on agreed inflation indices and from above-minimum throughput quantities or services. We allocate variable consideration under our off-take and terminal services contracts entirely to each performance obligation to which variable consideration relates. The estimate of variable consideration represents the amount that is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty is resolved. Under our off-take contracts, customers are obligated to pay the majority of the purchase price prior to the arrival of the ship at the customers’ discharge port. The remaining portion is paid after the wood pellets are unloaded at the discharge port. We generally recognize revenue prior to the issuance of an invoice to the customer. In instances where we have contracts to exchange wood pellets held for sale in the ordinary course of business for similar wood pellets to be sold in the same line of business to facilitate sales to customers other than the parties to the exchange, we account for these exchanges as nonmonetary transactions at the carrying amount of the wood pellets transferred, with no impact to revenue and with no net impact to cost of goods sold once an equal amount of wood pellets have been exchanged. For the sale of the wood pellets received to customers not parties to the exchange, we recognize product sales revenue as described above for off-take contracts. To the extent that these exchanges also include compensation to us for shipping wood pellets, we recognize it as product sales revenue as those wood pellets are loaded and we recognize the shipping costs in cost of goods sold. Cost of Goods Sold Cost of goods sold includes the cost to produce and deliver wood pellets to customers, reimbursable shipping-related costs associated with specific off-take contracts with CIF and CFR shipping terms and costs associated with purchase and sale transactions. Distribution costs associated with shipping wood pellets to customers are expensed as incurred. The calculation of cost of goods sold is based on estimates used in the valuation of the FIFO inventory and in determining the specific composition of inventory that is sold to each customer. Accrued and Other Current Liabilities Accrued and other current liabilities primarily includes liabilities related to construction in progress, amounts related to cost of goods sold such as utility costs at our production facilities, distribution costs associated with shipping wood pellets to customers, costs associated with the purchase of wood fiber and wood pellets not yet invoiced and compensation and benefits. Derivative Instruments Derivative instruments are classified as either assets or liabilities on a gross basis and carried at fair value and included in prepaid expenses and other current assets, other long-term assets, accrued and other current liabilities and other long-term liabilities on the consolidated balance sheets. During the three years ended December 31, 2021 and since and March 2020, we have no longer applied hedge accounting treatment to any foreign currency and interest rate derivatives, respectively. Derivative instruments that did not or ceased to qualify, or are no longer designated, as accounting hedges are adjusted to fair value through earnings in the current period. To the extent hedge accounting had previously been applied, it was applied to qualifying cash flow hedges with unrealized changes in their fair value recognized as accumulated other comprehensive income in equity to the extent they could be considered effective in accordance with the accounting standards on derivatives and hedging applicable during those periods. The effective portion of qualifying foreign currency hedges was reclassified into revenue in the same period or periods during which the hedged revenue affected earnings. The effective portion of qualifying interest rate swaps was reclassified into interest expense in the same period or periods during which the hedged interest expense affects earnings. Property, Plant and Equipment Property, plant and equipment are recorded at cost, which includes the fair values of assets acquired. Equipment under finance leases is stated at the present value of minimum lease payments. Useful lives of assets are based on historical experience and other relevant information. The useful lives of assets are adjusted when changes in the expected physical life of the asset, its planned use, technological advances, or other factors show that a different life would be more appropriate. Changes in useful lives are recognized prospectively. Depreciation is calculated using the straight-line method based on the estimated useful lives of the related assets. Plant and equipment held under finance leases are amortized on a straight-line basis over the shorter of the lease term or estimated useful life of the asset. Construction in progress primarily represents expenditures for the development and expansion of facilities. Capitalized interest cost and all direct costs, which include equipment and engineering costs related to the development and expansion of facilities, are capitalized as construction in progress. Depreciation is not recognized for amounts in construction in progress. Normal repairs and maintenance costs are expensed as incurred. Amounts incurred that extend an asset’s useful life, increase its productivity or add production capacity are capitalized. Direct costs, such as outside labor, materials, internal payroll and benefit costs, incurred during the construction of a new plant are capitalized; indirect costs are not capitalized. The principal useful lives are as follows: Asset Estimated useful life Land improvements 15 to 25 years Buildings 5 to 40 years Machinery and equipment 2 to 30 years Vehicles 5 to 6 years Furniture and office equipment 2 to 10 years Leasehold improvements Shorter of estimated useful life or lease term, generally 10 years Costs and accumulated depreciation applicable to assets retired or sold are removed from the accounts and any resulting gain or loss is included in the consolidated statements of operations. A long-lived asset (group), such as property, plant and equipment and amortizable intangible assets, is tested for impairment whenever events or changes in circumstances indicate that the carrying amount of a long-lived asset (group) may not be recoverable. There were no such indicators that would require impairment testing to be performed during the years ended December 31, 2021 and 2020. Leases We have operating and finance leases related to real estate, machinery, equipment and other assets where we are the lessee. Operating leases with an initial term of 12 months or less are not recorded on the balance sheet but are recognized as lease expense on a straight-line basis over the applicable lease terms. Operating and finance leases with an initial term longer than 12 months are recorded on the balance sheet and classified as either operating or finance. Right-of-use (“ROU”) assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Our leases do not contain any material residual value guarantees or restrictive covenants. In addition to fixed lease payments, we have contracts that incur variable lease expense related to usage (e.g. throughput fees, maintenance and repair and machine hours), which are expensed as incurred. Our leases have remaining terms of one five An incremental borrowing rate is applied to our leases for balance sheet measurement. As most of our leases do not provide an implicit rate, we generally use our incremental borrowing rate based on the estimated rate of interest for a collateralized borrowing over a similar term of the lease payments as of the commencement date. For contracts that contain lease and nonlease components, nonlease components are separated and accounted for under other relevant accounting standards. We made an accounting policy election to not separate nonlease components from lease components for heavy machinery and equipment and buildings. Operating leases are included in operating lease ROU assets, accrued and other current liabilities and long-term operating lease liabilities on our consolidated balance sheets. Finance leases are included in property, plant and equipment, the current portion of long-term debt and finance lease obligations and long-term debt and finance lease obligations on our consolidated balance sheets. Changes in ROU assets and operating lease liabilities are included net in change in operating lease liabilities on the consolidated statement of cash flows. Debt Issuance Costs and Original Issue Discounts and Premiums Debt issuance costs and original issue discounts and premiums incurred with debt financing are capitalized and amortized over the life of the debt. Amortization expense is included in interest expense. If a debt instrument is retired before its scheduled maturity date, any related unamortized debt issuance costs and original issue discounts and premiums are written-off as gain or loss on debt extinguishment in the same period. Unamortized debt issuance costs and original issue discounts and premiums related to a recognized debt liability are recognized as a direct deduction from the carrying amount of the related long-term debt and are amortized using the effective interest method. Unamortized debt issuance costs related to our revolving credit commitments are recognized as an asset and are amortized using the straight-line method. Goodwill Goodwill represents the purchase price paid for acquired businesses in excess of the identifiable acquired assets and assumed liabilities. Goodwill is not amortized but is tested for impairment annually and whenever an event occurs or circumstances change such that it is more likely than not that the fair value of the reporting unit is less than its carrying amounts. Impairment testing for goodwill is required to be done at the reporting unit level. A reporting unit is an operating segment or one level below an operating segment (also known as a component). A component of an operating segment is a reporting unit if the component constitutes a business for which discrete financial information is available and segment management regularly reviews the operating results of that component. Enviva Partners represents a single operating segment that has been deemed to be a single reporting unit. For the years ended December 31, 2021 and 2020, we performed a quantitative assessment using the market approach and determined the fair value of the reporting unit exceeded its carrying amount. There have been no impairments to the carrying value of our goodwill during the periods presented. See Note 12, Goodwill and Other Intangibles . Non-Cash Equity-Based Compensation and Other Expense Our employees, consultants and directors are eligible to receive equity awards and other forms of compensation under the Enviva Inc. Long-Term Incentive Plan (the “LTIP”). Restricted stock units issued in tandem with corresponding dividend equivalent rights (“DERs”) are granted to our employees and independent directors. These equity awards vest subject to the satisfaction of service requirements and/or the achievement of certain performance goals and the grant fair-value of these equity awards are recognized as non-cash equity-based compensation and other expense on a ratable basis over their vesting period. Once these conditions have been met, common stock in the Company will be delivered to the holder of these equity awards. Forfeitures are recognized as they occur. Modifications to these equity awards resulting in incremental fair value over the pre-modification fair value are recognized as non-cash equity-based compensation and other expense over the remaining vesting period. We also recognize non-cash equity-based compensation and other expense for restricted stock units awarded to independent directors. As of December 31, 2021 and 2020, we have the ability to settle certain of our outstanding restricted stock unit awards under the LTIP in either cash or common stock at our election. As we reasonably expect to be able to deliver common stock at the settlement date, we have classified all of our outstanding restricted stock unit awards as equity on our balance sheets. See Note 18, Equity-Based Awards . Commitments and Contingencies Liabilities for loss contingencies arising from claims, assessments, litigation, fines, penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. Fair Value Measurements We apply authoritative accounting guidance for fair value measurements of financial and nonfinancial assets and liabilities. We use valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. We determine fair value based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels: • Level 1 Inputs: Unadjusted, quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date. • Level 2 Inputs: Other than quoted prices included in Level 1, inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability. • Level 3 Inputs: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date. Income taxes Effective December 31, 2021, Enviva Partners, LP converted from a Delaware limited partnership to a Delaware corporation named Enviva Inc. (the “Conversion”). Following the Conversion, we became subject to U.S. federal, foreign, state, and local corporate income tax. In addition, certain of Enviva’s subsidiaries are subject to federal, state, and local income, franchise, or capital taxes at the entity level and the related tax provision is reflected in the Consolidated Financial Statements. Prior to the Conversion, substantially all of Enviva’s operating subsidiaries were organized as limited partnerships and entities that were disregarded entities for U.S. federal and applicable state income tax purposes. As a result, for taxable periods ending on or prior to the conversion, Enviva’s unitholders are liable for income taxes on their share of Enviva’s taxable income. As a result of the Conversion, Enviva recognized a step-up in the tax basis of certain assets that will be recovered as the assets are sold or the basis is amortized. The calculation and allocation of the step-up in tax basis to the various assets of the company was determined by management with the assistance of a third-party specialist. The basis information used was based on an estimate of the basis in Enviva Inc. as of December 31, 2021. The final amount of the step-up in tax basis may differ as basis information, including the Partnership’s tax basis in underlying assets and liabilities based on 2021 tax return information, becomes available and is finalized. Income taxes are accounted for using the asset and liability method of accounting. Under this method, deferred income taxes reflect the net tax effects of temporary differences between the financial reporting and tax bases of assets and liabilities and are measured using the applicable enacted tax rates and laws that will be in effect when such differences are expected to reverse. Deferred tax assets are reduced by a valuation allowance when, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred tax assets will not be realized. When evaluating the realizability of the deferred tax assets, all evidence, both positive and negative, is considered. Items considered when evaluating the need for a valuation allowance include historical book losses, future reversals of existing temporary differences, tax planning strategies and expectations of future earnings. For a particular tax‑paying component of an entity and within a particular tax jurisdiction, deferred tax assets and liabilities are offset and presented as a single amount, as applicable, in the accompanying statements of financial condition. Recently Adopted Accounting Standards On January 1, 2021, we adopted ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which removes certain exceptions for recognizing deferred taxes for investments, performing intraperiod allocation, and calculating income taxes in interim periods. The ASU also adds guidance to reduce complexity in certain areas, including recognizing deferred taxes for tax goodwill, and allocating taxes to members of a consolidated group. The adoption did not have a material impact on the financial statements. Recently Issued Accounting Standards not yet Adopted Currently, there are no recently issued accounting standards not yet adopted by us that we expect to be reasonably likely to materially impact our financial position, results of operations or cash flows. |
Transactions Between Entities U
Transactions Between Entities Under Common Control | 12 Months Ended |
Dec. 31, 2021 | |
Transactions Between Entities Under Common Control | |
Transactions between entities under common control - Recast of Historical Financial Information | Transactions Between Entities Under Common Control Recast of Historical Financial Statements The Simplification Transaction was a business combination of entities under common control and net assets acquired were combined at their historical costs with a change in reporting entity. Accordingly, the consolidated financial statements have been retroactively recast to reflect the Simplification Transaction as if the Simplification Transaction had occurred on March 18, 2010, the date Holdings was originally organized. While the Partnership was the surviving entity for legal purposes, Holdings is the surviving entity for accounting purposes. As a result, the historical financial results prior to the Simplification are those of Holdings. Prior to the Simplification Transaction, Holdings controlled the Partnership so the financial statements of the Partnership were consolidated into the financial statements of Holdings and the common units of the Partnership held by the public are reflected as a noncontrolling interest. The following table presents changes as a result of the Simplification Transaction for the common control entities acquired to previously reported amounts in the audited consolidated balance sheet as of December 31, 2020 included in Enviva’s annual report on Form 10-K for the year ended December 31, 2020: As of December 31, 2020 As Reported Common Control Entities Acquired Total (Recast) Assets Current assets: Cash and cash equivalents $ 10,004 $ 56,110 $ 66,114 Restricted cash — 1,561 1,561 Accounts receivable 124,212 — 124,212 Other accounts receivable — 15,112 15,112 Related-party receivables, net 2,414 (2,414) — Inventories 42,364 2,860 45,224 Prepaid expenses and other current assets 16,457 (9,637) 6,820 Total current assets 195,451 63,592 259,043 Property, plant and equipment, net 1,071,819 170,602 1,242,421 Operating lease right-of-use assets 51,434 60,493 111,927 Goodwill 99,660 — 99,660 Other long-term assets 11,248 1,695 12,943 Total assets $ 1,429,612 $ 296,382 $ 1,725,994 Liabilities and Equity Current liabilities: Accounts payable $ 15,208 $ 7,190 $ 22,398 Accrued liabilities and other current liabilities 108,976 38,839 147,815 Current portion of interest payable 24,642 14 24,656 Current portion of long-term debt and finance lease obligations 13,328 1,223 14,551 Related-party note payable — 20,000 20,000 Deferred revenue — 4,855 4,855 Total current liabilities 162,154 72,121 234,275 Long-term debt and finance lease obligations 912,721 777 913,498 Long-term operating lease liabilities 50,074 61,917 111,991 Deferred tax liabilities, net 13,217 12,001 25,218 Other long-term liabilities 15,419 15,933 31,352 Total liabilities 1,153,585 162,749 1,316,334 Commitments and contingencies Total equity 276,027 133,633 409,660 Total liabilities and equity $ 1,429,612 $ 296,382 $ 1,725,994 The following tables present the changes as a result of the Simplification Transaction to previously reported amounts in the audited consolidated statements of operations for the years ended December 31, 2020 and 2019 included in Enviva’s annual report on Form 10-K for the year ended December 31, 2020: Year Ended December 31. 2020 As Reported Common Control Entities Acquired Total (Recast) Net revenue $ 875,079 $ (117) $ 874,962 Income (loss) from operations 61,778 (122,208) (60,430) Net income (loss) 17,080 (123,404) (106,324) Less net loss attributable to noncontrolling interests — 20,034 20,034 Net income (loss) attributable to Enviva Inc. 17,080 (103,370) (86,290) Year Ended December 31, 2019 As Reported Common Control Entities Acquired Total (Recast) Net revenue $ 684,393 $ (825) $ 683,568 Income (loss) from operations 44,679 (130,921) (86,242) Net loss (2,943) (132,041) (134,984) Less net loss attributable to noncontrolling interests — 53,480 53,480 Net loss attributable to Enviva Inc. (2,943) (78,561) (81,504) The following tables present the changes as a result of the Simplification Transaction to previously reported amounts in the audited consolidated statements of cash flows for the years ended December 31, 2020 and 2019 included in Enviva’s annual report on Form 10-K for the year ended December 31, 2020: Year Ended December 31. 2020 As Reported Common Control Entities Acquired Total (Recast) Net cash provided by (used in) operating activities $ 119,335 $ (104,936) $ 14,399 Net cash (used in) provided by investing activities (396,805) 12,836 (383,969) Net cash provided by financing activities 278,421 128,100 406,521 Net increase in cash, cash equivalents and restricted cash $ 951 $ 36,000 $ 36,951 Year Ended December 31, 2019 As Reported Common Control Entities Acquired Total (Recast) Net cash provided by (used in) operating activities $ 53,860 $ (109,213) $ (55,353) Net cash (used in) provided by investing activities (177,483) 32,283 (145,200) Net cash provided by financing activities 130,216 74,258 204,474 Net increase (decrease) in cash, cash equivalents and restricted cash $ 6,593 $ (2,672) $ 3,921 |
Business Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2021 | |
Business Combinations [Abstract] | |
Acquisition | Acquisition Purchase Price Allocation The Georgia Biomass Acquisition closed on July 31, 2020 and was accounted for as a business combination using the acquisition method of accounting. The following table summarizes the purchase price and the fair values of the amounts recorded for identifiable assets acquired and liabilities assumed at the acquisition date of July 31, 2020. Purchase price: Cash paid by the Partnership at closing $ 168,338 Reimbursement to the Partnership of certain acquisition-related costs, net 161 Settlement of payable from the Partnership to Georgia Biomass (3,684) Payment in relation to the Georgia Biomass Acquisition 164,815 Receivable from purchase price adjustment (850) $ 163,965 Identified net assets acquired: Cash $ 1,516 Accounts receivable 124 Inventories 5,774 Prepaid expenses and other current assets 792 Intangible assets 5,700 Property, plant and equipment 170,603 Operating lease right-of-use assets 14,716 Accounts payable (390) Accrued and other current liabilities (9,472) Current portion of long-term finance lease obligations (926) Long-term finance lease obligations (3,733) Long-term operating lease liabilities (13,356) Deferred tax liability, net (13,148) Intangible liabilities (7,400) Other long-term liabilities (880) Identifiable net assets acquired 149,920 Goodwill 14,045 Total purchase price $ 163,965 The opening balance sheet from July 31, 2020 has changed since what had been preliminarily included in our consolidated balance sheet as of December 31, 2020. As a result, goodwill decreased by $1.6 million, mainly driven by the change in certain intangible liabilities of $2.5 million resulting from updated information received offset by the impact on deferred taxes. The measurement period has now ended as the purchase price and the purchase price allocation have been finalized. The net assets of Georgia Biomass were recorded at their estimated fair values. Significant inputs used to estimate the fair values of certain net assets acquired included estimates of the: (1) replacement cost for property, plant and equipment as if each asset was new as of the acquisition date, which was then adjusted for the depreciation and any obsolescence since the date Georgia Biomass originally acquired that asset; (2) market prices for finished goods inventory and for customer and shipping contracts; (3) incremental borrowing rates as of the acquisition date for leases acquired; and (4) appropriate discount rates. Goodwill is calculated as the excess of the fair value of the consideration transferred over the fair value of the net assets recognized and represents the future economic benefits arising from other net assets acquired that could not be individually identified and separately recognized. We believe that the primary items that generated goodwill include both (1) the value of the synergies created between the acquired assets and our pre-existing assets and long-term, take-or-pay off-take contracts and (2) our expected ability to grow the combined business by leveraging the combined business experience and the expanded footprint. None of the goodwill is expected to be deductible for tax purposes. In connection with the Georgia Biomass Acquisition, acquisition-related costs through December 31, 2020 were approximately $3.9 million and are included within selling, general, administrative, and development expenses on the consolidated statements of operations. These acquisition-related costs do not include integration costs. |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | Revenue We disaggregate our revenue into two categories: product sales and other revenue. Product sales includes sales of wood pellets. Other revenue includes fees associated with customer requests to cancel, defer, or accelerate shipments in satisfaction of the related performance obligation and third- and related-party terminal services fees. Other revenue also includes fees received for other services, including for sales and marketing, scheduling, sustainability, consultation, shipping and risk management services, where the revenue is recognized when we have satisfied the performance obligation and have a right to the corresponding fee. These categories best reflect the nature, amount, timing and uncertainty of our revenue and cash flows. Performance Obligations As of December 31, 2021, the aggregate amount of consideration from contracts with customers allocated to the performance obligations that were unsatisfied or partially satisfied was approximately $18.2 billion. This amount excludes forward prices related to variable consideration including inflation, foreign currency and commodity prices. Also, this amount excludes the effects of the related foreign currency derivative contracts as they do not represent contracts with customers. We expect to recognize approximately 7.0% of our remaining performance obligations as revenue in each of the years ending 2022 and 2023 and the balance thereafter. Our off-take contracts expire at various times through 2045 and our terminal services contract expires in 2023. Variable Consideration Variable consideration from off-take contracts arises from several pricing features in our off-take contracts, pursuant to which such contract pricing may be adjusted in respect of particular shipments to reflect differences between certain contractual quality specifications of the wood pellets as measured both when the wood pellets are loaded onto ships and unloaded at the discharge port as well as certain other contractual adjustments. Variable consideration from our terminal services contract arises from price increases based on agreed inflation indices and from above-minimum throughput quantities or services. There was no variable consideration from our terminal services contract for the year ended December 31, 2021. For the years ended December 31, 2020 and 2019, variable consideration from our terminal service contract was insignificant. For the year ended December 31, 2021 and 2020, we recognized $0.3 million and $0.1 million, respectively, of product sales revenue related to performance obligations satisfied in previous periods. For the year ended December 31, 2019, product sales revenue was reduced by $0.1 million related to performance obligations satisfied in previous periods. Contract Balances Accounts receivable related to product sales as of December 31, 2021 and 2020 were $91.3 million and $108.5 million, respectively. Of these amounts, $61.3 million and $95.0 million, as of December 31, 2021 and 2020 respectively, related to amounts that were not yet billable under our contracts with customers pending finalization of prerequisite billing documentation. The amounts that had not been billed are billed upon receipt of prerequisite billing documentation, where substantially all is typically billed one to two weeks after full loading of the vessel, and where the remaining balance is typically billed one to two weeks after discharge of the vessel. |
Significant Risks and Uncertain
Significant Risks and Uncertainties, Including Business and Credit Concentrations | 12 Months Ended |
Dec. 31, 2021 | |
Risks and Uncertainties [Abstract] | |
Significant Risks and Uncertainties, Including Business and Credit Concentrations | Significant Risks and Uncertainties, Including Business and Credit Concentrations Our business is significantly impacted by greenhouse gas emission and renewable energy legislation and regulations in the U.K., European Union (“EU”) as well as its member states and Japan. If the U.K., the EU or its member states or Japan significantly modify such legislation or regulations, then our ability to enter into new contracts as our existing contracts expire may be materially affected. Our product sales are primarily to industrial customers located in the U.K., Denmark, Japan, Belgium, and the Netherlands. Product sales to third-party customers that accounted for 10% or a greater share of consolidated product sales for each of the years ended December 31 are as follows: 2020 2019 2021 (Recast) (Recast) Customer A 32 % 40 % 48 % Customer B 5 % 9 % 10 % Customer C 17 % 23 % 20 % Customer D 9 % 11 % 15 % Customer E 18 % 8 % — % |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2021 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories consisted of the following as of December 31: 2020 2021 (Recast) Raw materials and work-in-process $ 21,995 $ 15,360 Consumable tooling 22,952 21,855 Finished goods 12,770 8,009 Total inventories $ 57,717 $ 45,224 |
Property, Plant and Equipment,
Property, Plant and Equipment, net | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, net | Property, Plant, and Equipment, net Property, plant, and equipment, net consisted of the following as of December 31: 2020 2021 (Recast) Land $ 26,414 $ 26,040 Land improvements 61,850 60,110 Buildings 321,577 316,706 Machinery and equipment 859,115 800,252 Vehicles 8,318 6,176 Furniture and office equipment 24,840 16,711 Leasehold improvements 22,101 7,462 Property, plant and equipment 1,324,215 1,233,457 Less accumulated depreciation (395,618) (307,775) Property, plant and equipment, net 928,597 925,682 Construction in progress 569,600 316,739 Total property, plant and equipment, net $ 1,498,197 $ 1,242,421 Total depreciation expense and capitalized interest related to construction-in-progress were as follows for the years ended December 31: 2020 2019 2021 (Recast) (Recast) Depreciation expense $ 92,630 $ 80,372 $ 64,853 Capitalized interest related to construction in progress 20,166 9,423 2,104 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Leases | Leases Operating lease ROU assets and liabilities and finance leases as of December 31: 2020 2021 (Recast) Operating leases: Operating lease right-of-use assets $ 108,846 $ 111,927 Current portion of operating lease liabilities $ 8,187 $ 5,799 Long-term operating lease liabilities 122,252 111,991 Total operating lease liabilities $ 130,439 $ 117,790 Finance leases: Property plant and equipment, net $ 25,052 $ 25,378 Current portion of long-term finance lease obligations $ 8,074 $ 10,051 Long-term finance lease obligations 10,358 11,552 Total finance lease liabilities $ 18,432 $ 21,603 Pascagoula leases certain real estate on which it is constructing a marine export terminal facility (the “Enviva System”). In addition, Pascagoula is party to an exclusive lease for terminal assets, on which the Enviva system will depend, to be constructed by Jackson County Port Authority (the “JCPA system”). The leases each have a 20-year term, with four five Operating and finance lease costs were as follows for the years ended December 31: 2020 2019 Lease Cost Classification 2021 (Recast) (Recast) Operating lease cost: Fixed lease cost Cost of goods sold $ 7,011 $ 6,557 $ 9,913 Selling, general, administrative, and development expenses 7,820 4,916 — Variable lease cost Cost of goods sold 18 28 67 Selling, general, administrative, and development expenses — 268 — Short-term lease cost Cost of goods sold 8,104 9,216 9,121 Selling, general, administrative, and development expenses 528 187 — Total operating lease costs $ 23,481 $ 21,172 $ 19,101 Finance lease cost: Amortization of leased assets Depreciation and amortization $ 10,574 $ 8,165 $ 5,220 Variable lease cost Cost of goods sold 58 254 16 Selling, general, administrative, and development expenses — 231 — Interest on lease liabilities Interest expense 528 651 472 Total finance lease costs $ 11,160 $ 9,301 $ 5,708 Total lease costs $ 34,641 $ 30,473 $ 24,809 Operating and finance lease cash flow information was as follows for the years ended December 31: 2020 2019 2021 (Recast) (Recast) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 7,509 $ 10,912 $ 9,917 Operating cash flows from finance leases 524 651 472 Financing cash flows from finance leases 10,688 8,334 4,305 Assets obtained in exchange for lease obligations: Operating leases $ 10,491 $ 55,784 $ 17,510 Finance leases 8,531 14,698 8,253 As of December 31, 2021, the future minimum lease payments and the aggregate maturities of operating and finance lease liabilities are as follows: Years Ending December 31, Operating Finance Total 2022 $ 13,382 $ 8,445 $ 21,827 2023 16,116 4,683 20,799 2024 15,545 1,854 17,399 2025 15,727 1,405 17,132 2026 15,373 1,012 16,385 Thereafter 135,422 2,018 137,440 Total lease payments 211,565 19,417 230,982 Less: imputed interest (81,126) (985) (82,111) Total present value of lease liabilities $ 130,439 $ 18,432 $ 148,871 As of December 31, 2021, the weighted-average remaining lease terms and discount rates for our operating and finance leases were weighted using the undiscounted future minimum lease payments and are as follows: Weighted average remaining lease term (years): Operating leases 15 Finance leases 4 Weighted average discount rate: Operating leases 6% Finance leases 3% |
Leases | Leases Operating lease ROU assets and liabilities and finance leases as of December 31: 2020 2021 (Recast) Operating leases: Operating lease right-of-use assets $ 108,846 $ 111,927 Current portion of operating lease liabilities $ 8,187 $ 5,799 Long-term operating lease liabilities 122,252 111,991 Total operating lease liabilities $ 130,439 $ 117,790 Finance leases: Property plant and equipment, net $ 25,052 $ 25,378 Current portion of long-term finance lease obligations $ 8,074 $ 10,051 Long-term finance lease obligations 10,358 11,552 Total finance lease liabilities $ 18,432 $ 21,603 Pascagoula leases certain real estate on which it is constructing a marine export terminal facility (the “Enviva System”). In addition, Pascagoula is party to an exclusive lease for terminal assets, on which the Enviva system will depend, to be constructed by Jackson County Port Authority (the “JCPA system”). The leases each have a 20-year term, with four five Operating and finance lease costs were as follows for the years ended December 31: 2020 2019 Lease Cost Classification 2021 (Recast) (Recast) Operating lease cost: Fixed lease cost Cost of goods sold $ 7,011 $ 6,557 $ 9,913 Selling, general, administrative, and development expenses 7,820 4,916 — Variable lease cost Cost of goods sold 18 28 67 Selling, general, administrative, and development expenses — 268 — Short-term lease cost Cost of goods sold 8,104 9,216 9,121 Selling, general, administrative, and development expenses 528 187 — Total operating lease costs $ 23,481 $ 21,172 $ 19,101 Finance lease cost: Amortization of leased assets Depreciation and amortization $ 10,574 $ 8,165 $ 5,220 Variable lease cost Cost of goods sold 58 254 16 Selling, general, administrative, and development expenses — 231 — Interest on lease liabilities Interest expense 528 651 472 Total finance lease costs $ 11,160 $ 9,301 $ 5,708 Total lease costs $ 34,641 $ 30,473 $ 24,809 Operating and finance lease cash flow information was as follows for the years ended December 31: 2020 2019 2021 (Recast) (Recast) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 7,509 $ 10,912 $ 9,917 Operating cash flows from finance leases 524 651 472 Financing cash flows from finance leases 10,688 8,334 4,305 Assets obtained in exchange for lease obligations: Operating leases $ 10,491 $ 55,784 $ 17,510 Finance leases 8,531 14,698 8,253 As of December 31, 2021, the future minimum lease payments and the aggregate maturities of operating and finance lease liabilities are as follows: Years Ending December 31, Operating Finance Total 2022 $ 13,382 $ 8,445 $ 21,827 2023 16,116 4,683 20,799 2024 15,545 1,854 17,399 2025 15,727 1,405 17,132 2026 15,373 1,012 16,385 Thereafter 135,422 2,018 137,440 Total lease payments 211,565 19,417 230,982 Less: imputed interest (81,126) (985) (82,111) Total present value of lease liabilities $ 130,439 $ 18,432 $ 148,871 As of December 31, 2021, the weighted-average remaining lease terms and discount rates for our operating and finance leases were weighted using the undiscounted future minimum lease payments and are as follows: Weighted average remaining lease term (years): Operating leases 15 Finance leases 4 Weighted average discount rate: Operating leases 6% Finance leases 3% |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instrument Detail [Abstract] | |
Derivative Instruments | Derivative Instruments We use derivative instruments to partially offset our business exposure to foreign currency exchange risk from expected future cash flows and interest rate risk resulting from certain borrowings. Although the preponderance of our off-take contracts are U.S. Dollar-denominated, we are exposed to fluctuations in foreign currency exchange rates related to a minority of our off-take contracts that require future deliveries of wood pellets to be settled in British Pound Sterling (“GBP”) and Euro (“EUR”). We seek to mitigate the credit risk associated with derivative instruments by limiting our counterparties to major financial institutions. Although we monitor the potential risk of loss due to credit risk, we do not expect material losses as a result of defaults by counterparties. We use derivative instruments to manage cash flow and do not enter into derivative instruments for speculative or trading purposes. We have entered and may continue to enter into foreign currency forward contracts, purchased option contracts or other instruments to partially manage this risk. Prior to 2018, we designated certain derivative instruments as cash flow hedges. In 2018, we discontinued hedge accounting for all designated foreign currency cash flow hedges. In connection with the discontinuation of cash flow hedge accounting, we recorded the on-going changes in the fair value of foreign currency derivatives as product sales or cost of goods sold depending on the nature of the item being hedged. In 2020, we entered into pay-fixed, receive-variable interest rate swaps to hedge interest rate risk associated with our variable rate borrowings under our senior secured revolving credit facility that are not designated and accounted for as cash flow hedges. The interest rate swaps expired in 2021. Derivative instruments are classified as Level 2 assets or liabilities based on inputs such as spot and forward benchmark interest rates (such as LIBOR) and foreign exchange rates. The fair value of derivative instruments as of December 31, 2021 and 2020 was as follows: Asset (Liability) 2020 Balance Sheet Classification 2021 (Recast) Not designated as hedging instruments: Interest rate swaps Accrued and other current liabilities $ — $ (119) Foreign currency exchange contracts: Prepaid expenses and other current assets $ 321 $ 308 Other long-term assets 309 924 Accrued and other current liabilities (1,456) (2,224) Other long-term liabilities (1,001) (3,508) Total derivatives not designated as hedging instruments $ (1,827) $ (4,619) Net unrealized and net realized gains and (losses) recorded to earnings were as follows: 2020 2019 Classification Derivative Instrument 2021 (Recast) (Recast) Product sales Foreign currency derivatives Unrealized $ 2,673 $ (4,327) $ (4,588) Product sales Foreign currency derivatives Realized (2,689) 275 1,664 Interest expense Interest rate swap (1) Unrealized 119 (167) — (1) Our interest rate swap outstanding during the year ended December 31, 2019 was designated as a hedging instrument. The effects of instruments designated as cash flow hedges and the related changes in accumulated other comprehensive income and the gains and losses recognized in earnings for the year ended December 31, 2019 were as follows: Amount of Gain (Loss) in Other Comprehensive Income on Derivative (Effective Portion) Location of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Effective Portion) Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Income (Effective Portion) (Recast) (Recast) Interest rate swap $ (146) Interest expense $ 288 We enter into master netting arrangements designed to permit net settlement of derivative transactions among the respective counterparties. If we had settled all transactions with our respective counterparties at December 31, 2021, we would have received a net settlement termination payment of $1.6 million, which differs by $0.2 million from the recorded fair value of the derivatives. We present our derivative assets and liabilities at their gross fair values. The notional amounts of outstanding derivative instruments associated with outstanding or unsettled derivative instruments were as of follows as of December 31: 2020 2021 (Recast) Foreign exchange forward contracts in GBP £ 57,500 £ 143,565 Foreign exchange purchased option contracts in GBP £ 7,275 £ 51,601 Foreign exchange forward contracts in EUR € 11,000 € 12,968 Interest rate swaps $ — $ 70,000 |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The amounts reported in the consolidated balance sheets as cash and cash equivalents, restricted cash, accounts receivable, other accounts receivable, prepaid expenses and other current assets, accounts payable, and accrued and other current liabilities approximate fair value because of the short-term nature of these instruments. Derivative instruments and long-term debt including the current portion are classified as Level 2 instruments. Derivatives are classified as Level 2 as they are fair valued using inputs that are observable in active markets such as benchmark interest rates and foreign exchange rates (see Note 10, Derivative Instruments ). The fair value of our 2026 Notes (see Note 14, Long-Term Debt and Finance Lease Obligations ) was determined based on observable market prices in an active market and was categorized as Level 2 in the fair value hierarchy. The fair value of the Seller Note is classified as Level 2 and is estimated on discounted cash flow analyses based on observable inputs in active markets for debt with similar terms and remaining maturities. The carrying amount of other long-term debt, which is primarily comprised of the senior secured revolving credit facility that resets based on a market rate, approximates fair value. The carrying amount and estimated fair value of long-term debt were as follows as of December 31: 2021 2020 Carrying Amount Fair Value Carrying Amount Fair Value (Recast) (Recast) 2026 Notes $ 747,399 $ 777,188 $ 746,875 $ 796,875 Seller Note 36,442 38,284 37,571 40,405 Other long-term debt 469,273 469,273 142,359 142,359 Total long-term debt $ 1,253,114 $ 1,284,745 $ 926,805 $ 979,639 |
Goodwill and Other Intangibles
Goodwill and Other Intangibles | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangibles | Goodwill and Other Intangibles Goodwill Goodwill was $103.9 million and $99.7 million at December 31, 2021 and 2020, respectively. Goodwill includes $4.3 million recorded from an acquisition in 2021, $14.0 million recorded associated with the Georgia Biomass Acquisition in 2020, see Note 4, Acquisition, $80.7 million associated with the acquisition of Cottondale in 2015, and $4.9 million from acquisitions in 2010. We did not record any impairment losses during the years ended December 31, 2021, 2020, or 2019. Intangibles Intangible assets (liabilities) consisted of the following as of December 31: 2021 2020 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Favorable customer contracts $ 700 $ (225) $ 475 $ 6,200 $ (5,566) $ 634 Assembled workforce 1,856 (1,726) 130 1,856 (1,249) 607 Unfavorable customer contract (600) 193 (407) (600) 57 (543) Unfavorable shipping contract (6,300) 1,648 (4,652) (6,300) 485 (5,815) Total intangible liabilities, net $ (4,344) $ (110) $ (4,454) $ 1,156 $ (6,273) $ (5,117) As a result of the Georgia Biomass Acquisition, we recorded intangible assets and liabilities related to favorable off-take contracts that expired in 2020 or expire in December 2024, an unfavorable customer contract that expires in December 2024, and an unfavorable shipping contract that expires in December 2025. During the years ended December 31, 2021, 2020, and 2019 $(0.7) million, $5.5 million, and $0.7 million respectively, of net amortization was included in depreciation and amortization on the consolidated statements of operations. The estimated aggregate net reduction of amortization expense for the next five years is as follows: Year Ended December 31, 2022 $ 1,010 2023 1,140 2024 1,140 2025 1,164 2026 — Total $ 4,454 |
Payables and Accruals
Payables and Accruals | 12 Months Ended |
Dec. 31, 2021 | |
Payables and Accruals [Abstract] | |
Accounts Payable, Accrued Liabilities, and Other Liabilities Disclosure, Current | Accrued and Other Current LiabilitiesAccrued and other current liabilities consisted of the following as of December 31: 2020 2021 (Recast) Accrued expenses - compensation and benefits $ 22,758 $ 25,568 Accrued expenses - wood pellet purchases and distribution costs 34,819 50,648 Accrued expenses - operating costs and expenses 55,463 28,805 Accrued capital expenditures 21,791 22,802 Other accrued expenses and other current liabilities 28,475 19,992 Accrued and other current liabilities $ 163,306 $ 147,815 |
Long-Term Debt and Finance Leas
Long-Term Debt and Finance Lease Obligations | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Long–Term Debt and Capital Lease Obligations | Long-Term Debt and Finance Lease Obligations Long-term debt and finance lease obligations at carrying value consisted of the following at December 31: 2020 2021 (Recast) 2026 Notes, net of unamortized discount, premium and debt issuance of $2.6 million and $3.1 million as of December 31, 2021 and 2020, respectively $ 747,399 $ 746,875 Senior secured revolving credit facility 466,000 120,000 Seller Note, net of unamortized discount of $1.1 million and $2.4 million as of December 31, 2021 and 2020, respectively 36,442 37,571 Related-party note payable — 20,000 Other loans 3,273 2,359 Finance leases 18,432 21,244 Total long-term debt and finance lease obligations 1,271,546 948,049 Less current portion of long-term debt, finance lease obligations, and related-party note payable (39,105) (34,551) Long-term debt and finance lease obligations, excluding current installments $ 1,232,441 $ 913,498 2026 Notes In December 2019, we issued $600.0 million in principal amount of 6.5% senior unsecured notes due January 15, 2026 (the “2026 Notes”). We received gross proceeds of approximately $601.8 million from the 2026 Notes and net proceeds of approximately $595.8 million after deducting commissions and expenses. We used the net proceeds from the 2026 Notes to (1) redeem our existing $355.0 million principal amount of 8.5% senior unsecured notes due 2021 (the “2021 Notes”), including payment of the related redemption premium, (2) repay borrowings under our senior secured revolving credit facility, including payment of the related accrued interest, and (3) for general purposes. In July 2020, we issued an additional $150.0 million aggregate principal amount of the 2026 Notes at an offering price of 103.75% of the principal amount (the “Additional Notes”). We received net proceeds of approximately $153.6 million from the Additional Notes offering after deducting discounts and commissions. We used the net proceeds from the Additional Notes offering to fund a portion of the cash consideration for the third-party member of the Development JV’s indirect interest in Enviva Pellets Greenwood Holdings II, LLC (“Greenwood”), and the Georgia Biomass Acquisition, to repay borrowings under our senior secured revolving credit facility and for general purposes. Interest payments are due semi-annually in arrears on January 15 and July 15 of each year, commencing July 15, 2020. During 2020, we recorded $2.7 million of premium offset by debt issuance costs associated with the Additional Notes. We may redeem all or a portion of the 2026 Notes at any time at the applicable redemption price, plus accrued and unpaid interest, if any, (subject to the right of holders of record on the relevant record date to receive interest due on an interest payment date that is on or prior to the redemption date) and, in some cases, plus a make-whole premium. As of December 31, 2021 and 2020, we were in compliance with the covenants and restrictions associated with, and no events of default existed under, the indenture dated as of December 9, 2019 governing the 2026 Notes. The 2026 Notes are guaranteed jointly and severally on a senior unsecured basis by most of our existing subsidiaries and may be guaranteed by certain future restricted subsidiaries. 2021 Notes In December 2019, we redeemed all $355.0 million of aggregate principal amount of 2021 Notes and recognized a $9.0 million loss on the early retirement of debt obligation consisting of a $7.5 million debt redemption premium and $1.5 million for the write-off of unamortized debt issuance costs, original issue discount and premium. The amounts were amortized over the term of the 2021 Notes and were expensed in December 2019 when we repaid $355.0 million of aggregate principal amount of the 2021 Notes. The 2021 Notes early redemption was funded from the issuance of the 2026 Notes. Senior Secured Revolving Credit Facility In December 2021, we amended our senior secured revolving credit facility to increase the revolving credit commitments from $525.0 million to $570.0 million and to permit the issuance of commercial letters of credit. In April 2021, we amended our senior secured revolving credit facility to increase the revolving credit commitments from $350.0 million to $525.0 million, to extend the maturity from October 2023 to April 2026, to increase the letter of credit commitment from $50.0 million to $80.0 million, and to reduce the cost of borrowing by 25 basis points. Borrowings under the revolving credit commitments thereunder bear interest, at our option, at either a Eurodollar rate or at a base rate, in each case, plus an applicable margin. The applicable margin will fluctuate between 1.50% per annum and 2.75% per annum, in the case of Eurodollar rate borrowings, or between 0.50% per annum and 1.75% per annum, in the case of base rate loans, in each case, based on our Total Leverage Ratio (as defined in our credit agreement) at such time, with 25 basis point increases or decreases for each 0.50 increase or decrease in our Total Leverage Ratio from 2.75:1:00 to 4.75:1:00. We are required to pay a commitment fee on the daily unused amount under the revolving credit commitments at a rate between 0.25% and 0.50% per annum. During the years ended December 31, 2021, 2020 and 2019, commitment fees were $0.8 million, $0.9 million and $0.8 million, respectively. At December 31, 2021 and 2020, we had $466.0 million and $120.0 million, respectively, in outstanding borrowings under our senior secured revolving credit facility. At December 31, 2021 and 2020, we had $4.2 million and $0.3 million, respectively, of letters of credit outstanding under our senior secured revolving credit facility. The credit agreement contains certain covenants, restrictions and events of default. We are required to maintain (1) a maximum Total Leverage Ratio at or below 5.00 to 1.00 (or 5.25 to 1.00 during a Material Transaction Period) and (2) a minimum Interest Coverage Ratio (as defined in our credit agreement) of not less than 2.25 to 1.00. As of December 31, 2021 and 2020, we were in compliance with all covenants and restrictions associated with, and no events of default existed under, our senior secured revolving credit facility. Our obligations under the senior secured revolving credit facility are guaranteed by certain of our subsidiaries and secured by liens on substantially all of our assets; however, the senior secured revolving credit facility is not guaranteed by the Hamlet JV or Enviva Pellets Epes, LLC, or secured by liens on their assets. Seller Note We are a party to, and a guarantor of, a promissory note (the “Seller Note”) with a remaining principal balance of $37.5 million. The Seller Note matures in February 2023 and has an interest rate of 2.5% per annum. Principal and related interest payments are due annually through February 2022 and quarterly thereafter. Senior Secured Green Term Loan Facility In February 2021, our former sponsor entered into a senior secured green term loan facility (the “Green Term Loan”) providing for $325.0 million principal amount, maturing in February 2026. Interest was priced LIBOR plus 5.50% with a LIBOR floor of 1.00%. Interest was payable in arrears at the end of each interest period and on the maturity date. Subject to our former sponsor’s election, interest periods of one, two, three, or six months. Our former sponsor received gross proceeds of $325.0 million and net proceeds of approximately $317.2 million after deducting original issue discount, commissions, and expenses. Our former sponsor used the net proceeds (1) to purchase the Development JV third-party member’s interest in the Development JV, (2) to repay the Riverstone Loan (see Note 15, Related-Party Transactions ), (3) to fund capital expenditure and liquidity reserve cash accounts, and (4) for general purposes. During 2021, our former sponsor repaid $338.7 million of principal amount plus accrued interest. The Green Term Loan was repaid in full during 2021 and no further borrowings are available under the facility. Debt Issuance Costs and Premium Unamortized debt issuance costs and premium included in long-term debt at December 31, 2021 and 2020 were $3.7 million and $5.5 million, respectively. Unamortized debt issuance costs associated with the senior secured revolving credit facility included in long-term assets was $2.8 million and $1.5 million at December 31, 2021 and 2020, respectively. Amortization expense included in interest expense for the years ended December 31, 2021, 2020, and 2019 was $3.9 million, $2.6 million, and $2.6 million, respectively. Debt Maturities Our long-term debt matures through 2026 and our finance lease obligations have maturity dates of between 2021 and 2031. The aggregate maturities of long-term debt and finance lease obligations as of December 31, 2021 are as follows: Year Ending December 31: 2022 $ 39,105 2023 13,461 2024 1,973 2025 1,581 2026 and thereafter 1,219,085 Long-term debt and finance lease obligations 1,275,205 Unamortized premium and debt issuance costs (3,659) Total long-term debt and finance lease obligations $ 1,271,546 |
Related-Party Transactions
Related-Party Transactions | 12 Months Ended |
Dec. 31, 2021 | |
Related Party Transactions [Abstract] | |
Related-Party Transactions | Related-Party Transactions Riverstone/Carlyle Renewable and Alternative Energy Fund II, L.P. and certain affiliated entities (the “Riverstone Funds”), were the sole members of our former general partner. On July 22, 2020, Holdings was recapitalized (the “Recapitalization”) and Riverstone Echo Continuation Holdings, L.P. (the “Continuation Fund”) and Riverstone Echo Rollover Holdings, L.P. (the “Rollover Fund”) became the sole members of the general partner of our former sponsor. Our former sponsor incurred an annual monitoring fee, which was paid quarterly to the Riverstone Funds, equal to 0.4% of the average value of the Riverstone Funds’ capital contributions to our former sponsor during each fiscal quarter. We incurred $1.1 million, $1.2 million and $1.1 million of monitoring fee expense during the years ended December 31, 2021, 2020 and 2019, respectively, which is included in selling, general, administrative, and development expenses. As of December 31, 2021 and 2020, we had an insignificant amount and $0.5 million payable related to related-party monitoring fee expense included in accrued and other current liabilities. The monitoring fee was terminated on the date of the Simplification Transaction. In November 2020, our former sponsor entered into a promissory note with the Continuation Fund and the Rollover Fund for principal amount of $20.0 million (the “Riverstone Loan”). The proceeds of the Riverstone Loan were used (1) to fund a capital call of $15.0 million to the Development JV, (2) to purchase a project site in the amount of $2.6 million to develop a wood pellet production plant in Epes, Alabama, and (3) for general purposes. In February 2021, our former sponsor repaid $20.1 million of principal amount plus accrued interest. On October 14, 2021, our former sponsor distributed 13.6 million common units of the Partnership to the Riverstone Funds. As part of the 16.0 million common units issued in exchange for the Simplification Transaction, 14.1 million were issued to the Riverstone Funds. The Riverstone Funds have agreed to reinvest in our common stock all dividends from 8.7 million of the 14.1 million common units issued in connection with the Simplification Transaction for the dividends paid for the period beginning with the third quarter of 2021 through the fourth quarter of 2024. On the date of the Simplification Transaction, the Riverstone Funds held 27.7 million common units. In connection with the Simplification Transaction, our existing management fee waivers and other former sponsor support agreements associated with our earlier common control acquisitions were consolidated, fixed, and novated to certain of the former owners of our former sponsor. As a result, under the consolidated support agreement, we will receive quarterly payments in an aggregate amount of $55.5 million with respect to periods through the fourth quarter of 2023. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes As a result of the Conversion, Enviva became subject to U.S. federal, foreign, and state, and local corporate income tax. In the Conversion, Enviva recognized a step-up in the tax basis of certain assets that will be recovered as the assets are sold or the basis is amortized. The calculation and allocation of the step-up in tax basis to the various assets of the Company was determined by management with the assistance of a third-party specialist. The basis information used was based on an estimate of the basis in Enviva Inc. as of December 31, 2021. Deferred income taxes reflect the net tax effects of temporary differences between the financial reporting and tax bases of assets and liabilities and are measured using the applicable enacted tax rates and laws that will be in effect when such differences are expected to reverse. The final amount of the step-up in tax basis may differ as basis information, including the partnerships’ tax basis in underlying assets and liabilities based on 2021 tax return information, becomes available and is finalized. Enviva assessed the realizability of the deferred tax assets (“DTAs”) and concluded that a full valuation allowance for the net DTAs is deemed appropriate as the DTAs were not more likely than not to be realized under relevant accounting standards. On the date of the Conversion, we recorded an estimated net deferred tax asset of $142.8 million relating to the Conversion with a full valuation allowance, resulting in a net zero deferred tax benefit for the deferred taxes relating to the Conversion. Enviva included income tax benefit of $17.0 million in the consolidated statement of operations for the year ended December 31, 2021 as it related to the activities of corporate subsidiaries and Conversion to corporation. For tax years ended December 31, 2020 and 2019, we recorded income tax expense of $0.2 million and income tax benefit of $2.0 million. Loss before income taxes consists of the following: 2020 2019 2021 (Recast) (Recast) U.S. $ (162,246) $ (106,155) $ (136,916) Foreign 421 81 54 Net loss not subject to federal income tax 145,040 102,603 129,288 Loss before income tax $ (16,785) $ (3,471) $ (7,574) Components of the income tax provision applicable to our federal, state and foreign taxes are as follows: 2020 2019 2021 (Recast) (Recast) Current income tax expense : Federal $ 4,593 $ — $ — State 5 — 1 Foreign 55 86 42 Total current income tax expense $ 4,653 $ 86 $ 43 Deferred income tax (benefit) expense: Federal $ (21,570) $ 82 $ (1,996) State (58) 1 (1) Total deferred income tax (benefit) expense $ (21,628) $ 83 $ (1,997) Total income tax (benefit) expense $ (16,975) $ 169 $ (1,954) The effective income tax rate from continuing operations varies from the U.S. Federal statutory rate principally due to the following: 2020 2019 2021 (Recast) (Recast) Income tax (benefit) expense at statutory federal income tax rate $ (34,072) $ (22,293) $ (28,752) Increase (decrease) in income taxes resulting from: Partnership earnings not subject to tax 30,547 21,564 27,162 Recognition/derecognition of deferred tax (155,980) — — Valuation allowance 142,822 — — Other (292) 898 (364) Total income tax (benefit) expense $ (16,975) $ 169 $ (1,954) Significant components of deferred tax assets and liabilities as of December 31, 2021 are as follows: 2020 2021 (Recast) Deferred tax assets: Federal net operating loss carryforward $ 1,033 $ 9,730 Accrued bonus and other accrued liabilities 2,874 — Operating lease liabilities 27,906 — Mark to market derivatives 391 — Equity based compensation 10,681 — Property, plant and equipment 122,988 — Interest expense limitation — 2,328 Intangibles 953 — Total deferred tax assets $ 166,826 $ 12,058 Deferred tax liabilities: Prepaids $ (548) $ — Operating lease right-of-use assets (23,286) — Investment in affiliates — (35,202) Other (206) (36) Total deferred tax liabilities (24,040) (35,238) Valuation allowance (142,822) (2,038) Net deferred tax liability net valuation allowance $ (36) $ (25,218) As of December 31, 2021, we have federal net operating loss carryforwards of approximately $4.8 million, out of which $3.6 million will expire in years 2034 to 2036. For calendar year 2021, the only periods subject to examination for U.S. federal and state income tax returns are 2018 through 2020. We believe our income tax filing positions, including our previous status as a pass-through entity, would be sustained on audit and do not anticipate any adjustments that would result in a material change to our consolidated balance sheet. Therefore, no reserves for uncertain tax positions or interest and penalties have been recorded during the years ended December 31, 2021, 2020, and 2019. Assessing whether deferred tax assets are realizable requires significant judgement. Enviva considers all available positive and negative evidence, including historical operating performance and expectations of future operating performance. The ultimate realization of deferred tax assets is often dependent upon future taxable income and therefore can be uncertain. To the extent that Enviva believes it is more likely than not that all or some portion of the asset will not be realized, valuation allowances are established against any deferred tax assets, which increases income tax expense in the period when such a determination is made. Enviva assessed the realizability of the DTAs and concluded that a full valuation allowance for the net DTAs is deemed appropriate as the DTAs were not more likely than not to be realized under relevant accounting standards. The Company conducts its foreign operations through foreign taxable entities and is therefore subject to foreign income taxes. The Company generally has minimal foreign current and deferred income tax expense. |
Equity
Equity | 12 Months Ended |
Dec. 31, 2021 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | Equity Conversion As a result of the Conversion, periods prior to December 31, 2021 reflect Enviva as a limited partnership, not a corporation. References to common units for periods prior to the Conversion refer to common units of Enviva Partners, LP, and references to common stock for periods following the Conversion refer to shares of common stock of Enviva Inc. On the date of the Conversion, each common unit representing a limited partner interest in the Partnership issued and outstanding immediately prior to the Conversion was exchanged for one share of common stock of the Company, par value $0.001 per share. Simplification Transaction On October 14, 2021, the Partnership closed on the Simplification Transaction where (a) the Company acquired (i) all of the limited partner interests in our former sponsor and (ii) all of the limited liability company interests in the former GP, and (b) the incentive distribution rights directly held by our former sponsor were cancelled and eliminated. In exchange, the Partnership issued 16.0 million common units, which were distributed to the owners of our former sponsor. The owners of our former sponsor agreed to reinvest in our common stock all dividends from 9.0 million of the 16.0 million common units issued in connection with the Simplification Transaction during the period beginning with dividends paid for the third quarter of 2021 through the fourth quarter of 2024. Under a consolidated support agreement, we are entitled to receive quarterly payments (the “Support Payments”) in an aggregate amount of up to $55.5 million with respect to periods from the fourth quarter of 2021 through the first quarter of 2024. See “ Noncontrolling Interests – Enviva Partners ” below about the capital of the Partnership. Recapitalization On the date of the Recapitalization and as of December 31, 2020, the capital of Holdings consisted of a general partner interest and limited partner interests. The general partner interest was a non-economic, management interest. The general partner was granted full and complete power and authority to manage and conduct the business and affairs of Holdings and to take all such actions as it deemed necessary or appropriate to accomplish the purpose of Holdings. The limited partner interests were divided into two series of units, Series A units and Series B units. The limited partner interests of Series A, B and D units issued and outstanding immediately prior to the Recapitalization were bought out by holders who received new Series A units, which were issued and outstanding as of the Recapitalization and December 31, 2020. The limited partner interests represented by the preceding Series C and E units were canceled as part of the Recapitalization. Series A Units As of the Recapitalization, Series A units were issued to certain continuing investors and to new investors who purchased the interests of preceding investors. Holdings did not receive any contributions or make any distributions as part of the Recapitalization. The general partner had the ability to call on a total of up to approximately $300.0 million incremental equity commitments to finance future growth projects in exchange for additional units. No amounts were called upon or drawn pursuant to the equity commitment. Distribution Rights All distributable property of Holdings legally available for distribution upon a liquidation event would be distributed as follows: (a) First: 100% to the Series A Limited Partners in proportion to their respective Unreturned Series A Capital Contributions until the Unreturned Series A Capital Contributions of each Series A Limited Partner have been reduced to $0. (b) Second: 100% to the Series A Limited Partners in proportion to their Unpaid Series A Preference Amounts until the Unpaid Series A Preference Amount of each Series A Limited Partner has been reduced to $0; and (c) Thereafter: (i) 85% to the Series A Limited Partners in proportion to their respective Series A Unit Sharing Percentages and (ii) 15% to the Series B Limited Partners in proportion to their respective Series B Unit Sharing Percentages. Previous Capitalization Prior to the Recapitalization, the partners’ capital attributable to Enviva Holdings, LP was divided into five classifications: (1) Series A units, (2) Series B units, (3) Series C units, (4) Series D units and (5) Series E units. Series A Units Holdings had previously issued 250.0 million Series A units to the previous Series A limited partners. On the date of the Recapitalization, the previously issued Series A units were bought out by holders who received new Series A units. Series B Units Holdings had previously issued 14.1 million Series B units to the previous Series B limited partners in exchange for certain assets. On the date of the Recapitalization, the previously issued Series B units were bought out by holders who received new Series A units. Series C Units Holdings had issued 6.0 million Series C units pursuant to restricted unit agreements (“Restricted Unit Agreements”). The Series C units were intended to constitute “profits interests” as defined by the Internal Revenue Service. On the date of the Recapitalization, the previously issued Series C units were cancelled and extinguished for no consideration. Series D Units Holdings had issued an aggregate of 113.2 million Series D units. On the date of the Recapitalization, the issued Series D units were bought out by holders who received new Series A units. Series E Units Holdings had issued 1.1 million Series E units pursuant to Restricted Unit Agreements. The Series E units were intended to constitute “profits interests” as defined by the Internal Revenue Service. On the date of the Recapitalization, the previously issued Series E units were cancelled and extinguished for no consideration. Noncontrolling Interests Noncontrolling interests of partners’ capital consist of: (1) third-party equity ownership in the Partnership (2) the Hamlet JV and (3) the Development JV. The Partnership Prior to the Simplification Transaction, Holdings owned common units of the Partnership representing an approximate 30% limited partner interest. Holdings was an indirect owner of the Partnership’s general partner, which held the intercompany incentive distribution rights (“IDRs”) of the Partnership until December 31, 2020 and was an indirect owner of MLP Holdco, LLC, which held the IDRs between January 1, 2021 and the Simplification Transaction. Between January 1, 2021 and the Simplification Transaction, the Partnership issued 4,925,000 of its common units at a price of $45.50 per common unit for total net proceeds of $214.5 million, after deducting $9.5 million of issuance costs. During the year ended December 31, 2020, the Partnership issued 6.2 million common units in a private placement at a price of $32.50 per common unit for gross proceeds of $200.0 million. The Partnership received proceeds of $190.5 million, net of $9.5 million of issuance costs. During the year ended December 31, 2019, the Partnership issued 3.5 million common units in a registered direct offering for net proceeds of approximately $97.0 million, net of $3.0 million of issuance costs. The partnership agreement of the Partnership contained provisions for the allocation of its net income and loss to its limited partners and its general partner. For purposes of maintaining partners’ capital accounts, items of income and loss were allocated among the limited partners in accordance with their respective percentage ownership interests. Normal allocations according to percentage interests were made after giving effect, if any, to priority income allocations in an amount equal to intercompany IDRs allocated 100% to the Partnership’s general partner through December 31, 2020 and MLP Holdco between January 1, 2020 and the Simplification Transaction. The Partnership had distributed a quarterly cash distribution to its unitholders pursuant to a cash distribution policy. The partnership agreement had set forth the calculation to be used to determine the amount of cash distributions that our unitholders and our former sponsor would receive. Aside from the distributions made by the Partnership set forth below, no distributions have been made to the pursuant to the Class A – E holders or Class A and B holders subsequent to the recapitalization. The following table details the cash distribution paid or declared by the Partnership (in millions, except per unit amounts): Quarter Ended Declaration Date Record Date Payment Date Distribution Per Unit June 30, 2020 August 5, 2020 August 14, 2020 August 28, 2020 $ 0.7650 September 30, 2020 October 30, 2020 November 13, 2020 November 27, 2020 $ 0.7750 December 31, 2020 January 29, 2021 February 15, 2021 February 26, 2021 $ 0.7800 March 31, 2021 April 28, 2021 May 14, 2021 May 28, 2021 $ 0.7850 June 30, 2021 July 27, 2021 August 13, 2021 August 27, 2021 $ 0.8150 September 30, 2021 November 3, 2021 November 15, 2021 November 26, 2021 $ 0.8400 December 31, 2021 February 2, 2022 February 14, 2022 February 25, 2022 $ 0.8600 Hamlet JV The capital of the Hamlet JV is divided into two classifications: (1) Class A Units and (2) Class B Units, issued at a price of $1.00 per unit for each class. Class A Units were issued to the third-party member in exchange for capital contributions at a price of $1.00 for each Class A Unit. The third-party member had a total capital commitment of $235.2 million and, as of December 31, 2021, the third-party member held 227.0 million Class A Units with a remaining capital commitment amount of $8.2 million. Class B Units were issued to Enviva in exchange for capital contributions at a price of $1.00 for each Class B Unit. Enviva had a total capital commitment of $232.2 million and, as of December 31, 2021, held 224.0 million Class B Units with a remaining commitment amount of $8.2 million. Pursuant to the limited liability company agreement of the Hamlet JV (the “Hamlet JV LLCA”), we are the managing member of the Hamlet JV and have the authority to manage the business and affairs of the Hamlet JV and take actions on its behalf, including adopting annual budgets, entering into agreements, effecting asset sales or biomass purchase agreements, making capital calls, incurring debt, and taking other actions, subject to consent of the third-party member in certain circumstances. The Hamlet JV LLCA also sets forth the capital commitments and limitations thereon from each of the members and provides for the allocation of sale proceeds and distributions among the holders of outstanding Class A Units and Class B Units. Distributions to the third-party member and to Enviva are made in our reasonable discretion as managing member and are governed by the waterfall provisions of the Hamlet JV LLCA, which provides that distributions, after repayment of revolving borrowings under the Hamlet JV Revolver, are to be made as follows: • First: To the members in proportion to their relative unreturned capital contributions, then to the members in proportion to their relative unpaid preference amount. • Thereafter: 25% to the third-party member and 75% to Enviva. Development JV Our former sponsor held a controlling interest, and a third-party member held a noncontrolling interest, in the Development JV. In February 2021, we purchased all of the third-party member’s limited liability company interests in Development JV. We paid a first installment of approximately $130.1 million in February 2021 and a final installment of $23.7 million was paid in July 2021. |
Equity-Based Awards
Equity-Based Awards | 12 Months Ended |
Dec. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Equity-Based Awards | Equity-Based Awards Long-Term Incentive Plan (“LTIP”) We maintain the LTIP, which provides for the grant, from time to time, at the discretion of our board of directors or a committee thereof, of options, share appreciation rights, restricted shares, restricted stock units (“RSUs”), DERs, and other awards. The LTIP limits the number of common units that may be delivered pursuant to awards under the plan to 3,450,000 common shares in accordance with the Plan, which became effective on December 31, 2021. If equity awards granted under the LTIP are forfeited, canceled, exercised, paid in cash, or otherwise terminate or expire without the actual delivery of the underlying common shares, the corresponding number of such common shares will remain available for delivery pursuant to other awards under the LTIP. The common shares issuable pursuant to the LTIP will consist, in whole or in part, of common shares acquired in the open market or from any affiliate or any other person, newly issued common shares, or any combination of the foregoing as determined by our board of directors or a committee thereof. During 2021, 2020, and 2019, our board of directors granted RSUs in tandem with corresponding DERs to our employees (the “Affiliate Grants”) and RSUs in tandem with corresponding DERs to independent members of our board of directors (the “Director Grants”). The RSUs and corresponding DERs are subject to certain vesting and forfeiture provisions. Award recipients do not have all of the rights of a common shareholder with respect to the RSUs until the RSUs have vested and been settled. Awards of the RSUs settled in common share are settled within 60 days after the applicable vesting date. If a RSU award recipient experiences a termination of service under certain circumstances set forth in the applicable award agreement, the unvested RSUs and corresponding DERs (in the case of performance-based Affiliate Grants) are forfeited. Forfeitures are recognized when the actual forfeiture occurs. Restricted Shares Certain employees had received Series B units of our former sponsor that were intended to constitute “profits interests” as defined by the Internal Revenue Service that, due to the Simplification Transaction, converted into common units of the Partnership. In August 2020, our former sponsor had issued equity-classified awards where it may issue up to 10,000 Series B units. Our former sponsor had issued 25% initially, or 2,500 Series B units, and expected to issue an additional 25% on each anniversary over the following three years. These Series B units were measured at the grant date fair value, which was estimated using a probability weighted discounted cash flow approach to be approximately $38.5 million where we recognized $23.8 million and $13.9 million as non-cash equity-based compensation and other expense during the years ended December 31, 2021 and 2020, respectively. Of the $23.8 million recognized during the year ended December 31, 2021, $16.6 million was due to the accelerated vesting of all otherwise unvested Series B units as a result of the Simplification Transaction. After the Simplification Transaction, an additional $3.2 million was recognized as non-cash equity-based compensation and other expense during the year ended December 31, 2021 related to common shares of Enviva Inc. subject to restriction into which the Series B units were converted. The common shares subject to restriction will have their restrictions released as follows: one-third on each of December 31, 2022, 2023 and 2024. The unrecognized estimated non-cash equity-based compensation and other expense relating to outstanding common shares subject to restriction at December 31, 2021 was $47.3 million, which will be recognized over the remaining vesting period. Affiliate Grants A summary of the Affiliate Grants for the years ended December 31, 2021, 2020, and 2019 is as follows: Time-Based Restricted Stock Units Performance-Based Restricted Stock Units Total Affiliate Grant Restricted Stock Units Units Weighted-Average Grant Date Fair Value (per unit)(1) Units Weighted-Average Grant Date Fair Value (per unit)(1) Units Weighted-Average Grant Date Fair Value (per unit)(1) Nonvested December 31, 2018 723,940 $ 25.91 239,512 $ 27.65 963,452 $ 26.34 Granted 395,851 $ 30.41 219,943 $ 30.28 615,794 $ 30.36 Forfeitures (99,999) $ 28.56 (24,185) $ 29.82 (124,184) $ 28.80 Vested (145,506) $ 18.30 — $ — (145,506) $ 18.30 Nonvested December 31, 2019 874,286 $ 28.90 435,270 $ 28.84 1,309,556 $ 28.88 Granted 552,988 $ 37.98 387,060 $ 38.02 940,048 $ 38.00 Forfeitures (133,273) $ 33.15 (105,935) $ 30.89 (239,208) $ 32.15 Vested (232,116) $ 26.97 (67,881) $ 28.03 (299,997) $ 27.21 Nonvested December 31, 2020 1,061,885 $ 33.52 648,514 $ 34.07 1,710,399 $ 33.73 Granted 378,488 $ 51.96 165,549 $ 48.58 544,037 $ 50.93 Forfeitures (125,784) $ 39.49 (49,145) $ 38.77 (174,929) $ 39.29 Vested (312,528) $ 30.03 (156,801) $ 30.52 (469,329) $ 30.20 Nonvested December 31, 2021 1,002,061 $ 40.82 608,117 $ 38.56 1,610,178 $ 39.97 (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. Time-based Affiliate Grants vest on the third or fourth anniversary of the grant date and performance-based Affiliate Grants vest in three , respectively, based on the market price per share on the applicable date of grant. The grant date fair value of performance-based Affiliate Grants is reported based on the probable outcome of the performance conditions on the grant date. The fair value of the Affiliate Grants is expensed at the grant date. Compensation expense is based on the grant date fair value. Changes in non-cash equity-based compensation expense due to passage of time, forfeitures, probability of meeting required performance conditions, and final settlements are recorded as adjustments to non-cash equity-based compensation expense and equity. For performance-based Affiliate Grants, expense is accrued only to the extent that the performance goals are considered to be probable of occurring. We recognize non-cash equity-based compensation expense for the shares awarded in cost of goods sold and selling, general, administrative, and development expenses. We recognized $28.0 million, $25.1 million and $10.2 million of selling, general, administrative, and development expenses associated with the Affiliate Grants during the years ended December 31, 2021, 2020, and 2019, respectively. We paid $11.0 million to satisfy the withholding tax requirements associated with 312,528 time-based Affiliate Grants and 156,801 performance-based Affiliate Grants that vested under the LTIP during the year ended December 31, 2021. We paid $5.0 million satisfy the withholding tax requirements associated with 232,116 time-based Affiliate Grants that vested under the LTIP during the year ended December 31, 2020. No performance-based Affiliate Grants vested under the LTIP during the year ended December 31, 2019. The unrecognized estimated non-cash equity-based compensation expense relating to outstanding Affiliate Grants at December 31, 2021 was $41.3 million, which will be recognized over the remaining vesting period. Director Grants A summary of the Director Grant unit awards subject to vesting for the years ended December 31, 2021, 2020 and 2019, is as follows: Time-Based Phantom Units Units Weighted-Average Grant Date Fair Value (per unit)(1) Nonvested December 31, 2018 13,964 $ 28.65 Granted 13,264 $ 30.16 Vested (13,964) $ 28.65 Nonvested December 31, 2019 13,264 $ 30.16 Granted 14,987 $ 38.37 Vested (13,264) $ 30.16 Nonvested December 31, 2020 14,987 $ 38.37 Granted 14,234 $ 48.48 Vested (14,987) $ 38.37 Nonvested December 31, 2021 14,234 $ 48.48 (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. In January 2021 and April 2021, Director Grants valued at $0.6 million and $0.1 million, respectively, and which vest on the first anniversary of the grant date in January and April 2022, respectively, were granted. In January and August 2020, Director Grants valued at $0.5 million and $0.1 million were granted, which vested on the first anniversary of the grant dates, in January and August 2021, respectively. In January 2021, the Director Grants that were unvested at December 31, 2020 vested and common shares were issued in respect thereof. In January 2019, Director Grants valued at $0.4 million were granted, which vested on the first anniversary of the grant date in January 2020. For the years ended December 31, 2021, 2020, and 2019 we recorded $0.8 million, $0.5 million and $0.4 million of non-equity-based compensation expense with respect to the Director Grants. The unrecognized estimated non-cash equity-based compensation cost relating to outstanding Director Grants at December 31, 2021 is $0.1 million and will be recognized over the remaining vesting period. Dividend Equivalent Rights DERs associated with the Affiliate Grants and the Director Grants subject to time-based vesting entitle the recipients to receive payments in respect thereof in a per-share amount that is equal to any distributions made by us to the holders of common shares within 60 days following the record date for such distributions. The DERs associated with the Affiliate Grants subject to performance-based vesting will remain outstanding and unpaid from the grant date until the earlier of the settlement or forfeiture of the related performance-based phantom units. DER distributions paid related to time-based Affiliate Grants were $3.5 million, $3.9 million and $2.7 million, respectively, for the years ended December 31, 2021, 2020 and 2019. At December 31, 2021 and December 31, 2020, there were no DER distributions unpaid related to time-based Affiliate Grants. DER distributions unpaid related to the performance-based Affiliate Grants were as follows as of December 31: 2021 2020 Accrued liabilities $ 2,690 $ 1,697 Other long-term liabilities 4,501 2,942 Total unpaid DERs related to performance-based Affiliate Grants $ 7,191 $ 4,639 |
Net Loss per Unit
Net Loss per Unit | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Net Loss per Unit | Net Loss per Unit Net loss per unit was computed by dividing the net loss attributable to Enviva Inc. by the weighted-average number of outstanding units. As Holdings is the surviving entity for accounting purposes, the historical financial results prior to the Simplification Transaction are those of Holdings. Given that and the recapitalization, the number of outstanding units for 2019, 2020, and the portion of 2021 prior to the Simplification Transaction constitutes the 16.0 million units issued to the owners of the former sponsor. For the portion of 2021 that is after the Simplification Transaction, the number of outstanding units are based on the actual number of common units of the Company during that period. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Commitments We have entered into throughput agreements expiring between 2023 and 2028 to receive terminal and stevedoring services at certain of our terminals, some of which include options to extend for up to 5 years. The agreements specify a minimum cargo throughput requirement at a fixed price per ton or a fixed fee, subject to an adjustment based on the consumer price index or the producer price index, for a defined period of time, ranging from monthly to annually. At December 31, 2021, we had approximately $20.0 million related to firm commitments under such terminal and stevedoring services agreements. For the years ended December 31, 2021, 2020 and 2019, terminal and stevedoring services expenses were $12.3 million, $9.7 million and $11.3 million, respectively. We have entered into long-term arrangements to secure transportation from our plants to our export terminals. Under certain of these agreements, which expire between 2023 through 2026, we are committed to various annual minimum volumes under multi-year fixed-cost contracts with third-party logistics providers for trucking and rail transportation, subject to increases in the consumer price index and certain fuel price adjustments. For the years ended December 31, 2021, 2020 and 2019, ground transportation expenses were $43.8 million, $36.6 million and $34.7 million, respectively. We have entered into long-term supply arrangements, expiring between 2023 through 2026, to secure the supply of wood pellets from third-party vendors and related parties. The minimum annual purchase volumes are at a fixed price per MT adjusted for volume, pellet quality and certain shipping-related charges. The supply agreements for the purchase of 450,000 MT of wood pellets from British Columbia are fully offset by an agreement to sell 450,000 MT of wood pellets to the same counterparty from our terminal locations, where $69.4 million remains to be sold as of December 31, 2021. Under long-term supply arrangements, we purchased approximately $109.6 million, $25.1 million and $51.6 million of wood pellets for the years ended December 31, 2021, 2020 and 2019, respectively. Fixed and determinable portions of the minimum aggregate future payments under these firm terminal and stevedoring services, ground transportation and wood pellet supply agreements for the next five years are as follows: 2022 $ 136,103 2023 129,292 2024 100,347 2025 80,199 2026 60,328 Total $ 506,269 In order to mitigate volatility in our shipping costs, we have entered into fixed-price shipping contracts with reputable shippers matching the terms and volumes of certain of our off-take contracts for which we are responsible for arranging shipping. Contracts with shippers, expiring between 2022 through 2039, include provisions as to the minimum amount of MTPY to be shipped and may also stipulate the number of shipments. Pursuant to these contracts, the terms of which extend up to 17 years, charges are based on a fixed-price per MT and, in some cases, there are adjustment provisions for increases in the price of fuel or for other distribution-related costs. The charge per MT varies depending on the loading and discharge port. Shipping expenses included in cost of goods sold for the years ended December 31, 2021, 2020 and 2019 was $94.7 million, $75.0 million and $64.1 million, respectively. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Event Issuance of Common Stock In January 2022, we issued 4,950,000 shares of common shares at a price of $70.00 per share common share for total net proceeds of $334.0 million, after deducting $12.2 million of issuance costs. We intend to use the net proceeds of $334.0 million to fund a portion of our capital expenditures relating to ongoing development projects. We initially used the net proceeds to repay borrowings under our senior secured revolving credit facility. |
Organization, Consolidation and
Organization, Consolidation and Presentation of Financial Statements (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). Our consolidated financial statements include the accounts of Enviva and its wholly owned subsidiaries and controlled subsidiaries, including a variable interest entity in which we are the primary beneficiary. As managing member, we have the sole power to direct the activities that most impact the economics of the variable interest entity. All intercompany accounts and transactions have been eliminated. We operate and manage our business as one operating segment. |
Common Control Transactions | The Simplification Transaction was a business combination of entities under common control and net assets acquired were combined at their historical costs with a change in reporting entity. Accordingly, the consolidated financial statements have been retroactively recast to reflect the Simplification Transaction as if the Simplification Transaction had occurred on March 18, 2010, the date Holdings was originally organized. While the Partnership was the surviving entity for legal purposes, Holdings is the surviving entity for accounting purposes. As a result, the historical financial results prior to the Simplification are those of Holdings. Prior to the Simplification Transaction, Holdings controlled the Partnership so the financial statements of the Partnership were consolidated into the financial statements of Holdings and the common units of the Partnership held by the public are reflected as a noncontrolling interest. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Use of Estimates | The preparation of financial statements in conformity with GAAP requires management to make judgments, estimates and assumptions that affect the amounts reported in our consolidated financial statements and accompanying notes. Actual results could differ materially from those estimates. |
Noncontrolling interest | Noncontrolling interests are presented as a component of equity in the accompanying consolidated balance sheet. |
Business Combinations | A business combination is an acquisition of a business and is accounted for using the acquisition method. Identifiable assets acquired and liabilities assumed are recognized at fair value on the acquisition date. Goodwill is calculated as the excess of the fair value of the consideration transferred, which excludes acquisition-related costs that are expensed, over the fair value of the net assets recognized and represents the future economic benefits arising from other net assets acquired that could not be individually identified and separately recognized. Fair value measurements may require us to make significant estimates and assumptions. A measurement period, which could be up to one year from the date of acquisition, exists to identify and measure the assets acquired and the liabilities assumed. During the measurement period, provisional amounts may be recognized and those amounts may subsequently be prospectively adjusted to reflect any new information about facts and circumstances that existed at the acquisition date that, if known, would have affected the measurement of these amounts. At the end of the measurement period, any subsequent changes would not be recognized under the acquisition method but would instead follow other accounting principles, which would then generally impact earnings. |
Other Comprehensive Income (Loss) | Comprehensive income (loss) consists of two components, net income (loss) and other comprehensive income (loss). Other comprehensive income (loss) refers to revenue, expenses, and gains and losses that under GAAP are included in comprehensive income (loss) but excluded from net income (loss). Other comprehensive income (loss) consists of net unrealized gains and losses related to derivative instruments accounted for as cash flow hedges and foreign currency translation adjustments. |
Cash and Cash Equivalents | Cash and cash equivalents consist of short-term, highly liquid investments readily convertible into cash with an original maturity of three months or less. |
Restricted Cash | Restricted cash consists of cash collateral for an irrevocable standby letter of credit and an amount held in escrow. |
Accounts Receivable | Accounts receivable represent amounts billed that are recorded at the invoiced amount and billable under our contracts that are pending finalization of prerequisite billing documentation and do not bear interest. |
Inventories | Inventories consist of raw materials, work-in-progress, consumable tooling and finished goods. Fixed production overhead, including related depreciation expense, is allocated to inventory based on the normal production capacity of the facilities. To the extent we do not achieve normal production levels, we charge such under-absorption of fixed overhead to cost of goods sold in the period incurred. Consumable tooling consists of spare parts and tooling to be consumed in the production process. Spare parts are expected to be used within a year and are expensed as used. Tooling items are amortized to expense over an estimated service life generally less than one year. |
Intangibles | Intangibles primarily consist of favorable or unfavorable customer contracts and an unfavorable shipping contact that were acquired in the Georgia Biomass Acquisition. Intangibles with definite lives are amortized based on the pattern of economic benefit over their estimated useful lives, which are reviewed annually. The intangibles acquired in the Georgia Biomass Acquisition are being amortized on a straight-line basis, as metric tons (“MT”) of wood pellets to be sold or shipped under each contract are constant through the end of such contracts. |
Revenue Recognition | We primarily earn revenue by supplying wood pellets to customers under off-take contracts, the majority of the commitments under which are long-term in nature. Our off-take contracts are considered “take-or-pay” because they include a firm obligation of the customer to take a fixed quantity of product at a stated price and provisions that require that we be compensated in the case of a customer’s failure to accept all or a part of the contracted volumes or termination of a contract by a customer. Each of our long-term off-take contracts defines the annual volume of wood pellets that a customer is required to purchase, and we are required to sell, the fixed price per MT for product satisfying a base net calorific value and other technical specifications. These prices are generally fixed for the entire term, however, some may be subject to adjustments which may include annual inflation-based adjustments or price escalators, price adjustments for product specifications, as well as, in some instances, price adjustments due to changes in underlying indices. In addition to sales of our product under these long-term off-take contracts, we routinely sell wood pellets under shorter-term contracts, which range in volume and tenor and, in some cases, may include only one specific shipment. Because each of our off-take contracts is a bilaterally negotiated agreement, our revenue over the duration of such contracts does not generally follow observable current market pricing trends. Our performance obligations under these contracts are the delivery of wood pellets, which we aggregate into MT. We account for each MT as a single performance obligation. Our revenue from the sales of wood pellets we produce is recognized as product sales upon satisfaction of our performance obligation when control transfers to the customer at the time of loading wood pellets onto a ship. The amount of wood pellets loaded onto a ship is determined by management with the assistance of a third-party specialist. Depending on the specific off‑take contract, shipping terms are either Cost, Insurance and Freight (“CIF”), Cost and Freight (“CFR”) or Free on Board (“FOB”). Under a CIF contract, we procure and pay for shipping costs, which include insurance and all other charges, up to the port of destination for the customer. Under a CFR contract, we procure and pay for shipping costs, which include insurance (excluding marine cargo insurance) and all other charges, up to the port of destination for the customer. Shipping under CIF and CFR contracts after control has passed to the customer is considered a fulfillment activity rather than a performance obligation and associated expenses are included in the price to the customer. Under FOB contracts, the customer is directly responsible for shipping costs. In some cases, we may purchase shipments of product from third-party suppliers and resell them to other parties in back-to-back transactions (“purchase and sale transactions”). We recognize revenue on a gross basis in product sales when we determine that we act as a principal by having control of the wood pellets before they are transferred to the customer. Indicators of control have included being primarily responsible for fulfilling the promise to provide the wood pellets (such as by contracting to sell wood pellets before contracting to buy them), having inventory risk, or having discretion in establishing the sales price for the wood pellets. The decision as to whether to recognize revenue on a gross or net basis requires significant judgment. We recognize terminal services revenue ratably over the related contract term, which is included in other revenue. Terminal services are performance obligations that are satisfied over time, as customers simultaneously receive and consume the benefits of the terminal services we perform. The consideration is generally fixed for minimum quantities and any services above the minimum are generally billed based on a per-MT rate as variable consideration and recognized as services are performed. Any deficiency payments receivable and probable of being collected from a customer not meeting quarterly minimum throughput requirements are recognized during the related quarter in satisfaction of the related performance obligation. Variable consideration from off-take contracts arises from several pricing features outlined in our off-take contracts, pursuant to which such contract pricing may be adjusted in respect of particular shipments to reflect differences between certain contractual quality specifications of the wood pellets as measured both when the wood pellets are loaded onto ships and unloaded at the discharge port as well as certain other contractual adjustments. Variable consideration from terminal services contracts arises from price increases based on agreed inflation indices and from above-minimum throughput quantities or services. We allocate variable consideration under our off-take and terminal services contracts entirely to each performance obligation to which variable consideration relates. The estimate of variable consideration represents the amount that is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty is resolved. Under our off-take contracts, customers are obligated to pay the majority of the purchase price prior to the arrival of the ship at the customers’ discharge port. The remaining portion is paid after the wood pellets are unloaded at the discharge port. We generally recognize revenue prior to the issuance of an invoice to the customer. In instances where we have contracts to exchange wood pellets held for sale in the ordinary course of business for similar wood pellets to be sold in the same line of business to facilitate sales to customers other than the parties to the exchange, we account for these exchanges as nonmonetary transactions at the carrying amount of the wood pellets transferred, with no impact to revenue and with no net impact to cost of goods sold once an equal amount of wood pellets have been exchanged. For the sale of the wood pellets received to customers not parties to the exchange, we recognize product sales revenue as described above for off-take contracts. To the extent that these exchanges also include compensation to us for shipping wood pellets, we recognize it as product sales revenue as those wood pellets are loaded and we recognize the shipping costs in cost of goods sold. |
Cost of Goods Sold | Cost of goods sold includes the cost to produce and deliver wood pellets to customers, reimbursable shipping-related costs associated with specific off-take contracts with CIF and CFR shipping terms and costs associated with purchase and sale transactions. Distribution costs associated with shipping wood pellets to customers are expensed as incurred. The calculation of cost of goods sold is based on estimates used in the valuation of the FIFO inventory and in determining the specific composition of inventory that is sold to each customer. |
Accrued and other current liabilities | Accrued and other current liabilities primarily includes liabilities related to construction in progress, amounts related to cost of goods sold such as utility costs at our production facilities, distribution costs associated with shipping wood pellets to customers, costs associated with the purchase of wood fiber and wood pellets not yet invoiced and compensation and benefits. |
Derivative Instruments | Derivative instruments are classified as either assets or liabilities on a gross basis and carried at fair value and included in prepaid expenses and other current assets, other long-term assets, accrued and other current liabilities and other long-term liabilities on the consolidated balance sheets. During the three years ended December 31, 2021 and since and March 2020, we have no longer applied hedge accounting treatment to any foreign currency and interest rate derivatives, respectively. Derivative instruments that did not or ceased to qualify, or are no longer designated, as accounting hedges are adjusted to fair value through earnings in the current period. To the extent hedge accounting had previously been applied, it was applied to qualifying cash flow hedges with unrealized changes in their fair value recognized as accumulated other comprehensive income in equity to the extent they could be considered effective in accordance with the accounting standards on derivatives and hedging applicable during those periods. The effective portion of qualifying foreign currency hedges was reclassified into revenue in the same period or periods during which the hedged revenue affected earnings. The effective portion of qualifying interest rate swaps was reclassified into interest expense in the same period or periods during which the hedged interest expense affects earnings. |
Property, Plant and Equipment | Property, plant and equipment are recorded at cost, which includes the fair values of assets acquired. Equipment under finance leases is stated at the present value of minimum lease payments. Useful lives of assets are based on historical experience and other relevant information. The useful lives of assets are adjusted when changes in the expected physical life of the asset, its planned use, technological advances, or other factors show that a different life would be more appropriate. Changes in useful lives are recognized prospectively. Depreciation is calculated using the straight-line method based on the estimated useful lives of the related assets. Plant and equipment held under finance leases are amortized on a straight-line basis over the shorter of the lease term or estimated useful life of the asset. Construction in progress primarily represents expenditures for the development and expansion of facilities. Capitalized interest cost and all direct costs, which include equipment and engineering costs related to the development and expansion of facilities, are capitalized as construction in progress. Depreciation is not recognized for amounts in construction in progress. Normal repairs and maintenance costs are expensed as incurred. Amounts incurred that extend an asset’s useful life, increase its productivity or add production capacity are capitalized. Direct costs, such as outside labor, materials, internal payroll and benefit costs, incurred during the construction of a new plant are capitalized; indirect costs are not capitalized. The principal useful lives are as follows: Asset Estimated useful life Land improvements 15 to 25 years Buildings 5 to 40 years Machinery and equipment 2 to 30 years Vehicles 5 to 6 years Furniture and office equipment 2 to 10 years Leasehold improvements Shorter of estimated useful life or lease term, generally 10 years Costs and accumulated depreciation applicable to assets retired or sold are removed from the accounts and any resulting gain or loss is included in the consolidated statements of operations. |
Leases | We have operating and finance leases related to real estate, machinery, equipment and other assets where we are the lessee. Operating leases with an initial term of 12 months or less are not recorded on the balance sheet but are recognized as lease expense on a straight-line basis over the applicable lease terms. Operating and finance leases with an initial term longer than 12 months are recorded on the balance sheet and classified as either operating or finance. Right-of-use (“ROU”) assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Our leases do not contain any material residual value guarantees or restrictive covenants. In addition to fixed lease payments, we have contracts that incur variable lease expense related to usage (e.g. throughput fees, maintenance and repair and machine hours), which are expensed as incurred. Our leases have remaining terms of one five An incremental borrowing rate is applied to our leases for balance sheet measurement. As most of our leases do not provide an implicit rate, we generally use our incremental borrowing rate based on the estimated rate of interest for a collateralized borrowing over a similar term of the lease payments as of the commencement date. For contracts that contain lease and nonlease components, nonlease components are separated and accounted for under other relevant accounting standards. We made an accounting policy election to not separate nonlease components from lease components for heavy machinery and equipment and buildings. Operating leases are included in operating lease ROU assets, accrued and other current liabilities and long-term operating lease liabilities on our consolidated balance sheets. Finance leases are included in property, plant and equipment, the current portion of long-term debt and finance lease obligations and long-term debt and finance lease obligations on our consolidated balance sheets. Changes in ROU assets and operating lease liabilities are included net in change in operating lease liabilities on the consolidated statement of cash flows. |
Debt Issuance Costs and Original Issue Discounts and Premiums | Debt issuance costs and original issue discounts and premiums incurred with debt financing are capitalized and amortized over the life of the debt. Amortization expense is included in interest expense. If a debt instrument is retired before its scheduled maturity date, any related unamortized debt issuance costs and original issue discounts and premiums are written-off as gain or loss on debt extinguishment in the same period. Unamortized debt issuance costs and original issue discounts and premiums related to a recognized debt liability are recognized as a direct deduction from the carrying amount of the related long-term debt and are amortized using the effective interest method. Unamortized debt issuance costs related to our revolving credit commitments are recognized as an asset and are amortized using the straight-line method. |
Goodwill | Goodwill represents the purchase price paid for acquired businesses in excess of the identifiable acquired assets and assumed liabilities. Goodwill is not amortized but is tested for impairment annually and whenever an event occurs or circumstances change such that it is more likely than not that the fair value of the reporting unit is less than its carrying amounts. Impairment testing for goodwill is required to be done at the reporting unit level. A reporting unit is an operating segment or one level below an operating segment (also known as a component). A component of an operating segment is a reporting unit if the component constitutes a business for which discrete financial information is available and segment management regularly reviews the operating results of that component. Enviva Partners represents a single operating segment that has been deemed to be a single reporting unit. |
Unit-Based Compensation | Our employees, consultants and directors are eligible to receive equity awards and other forms of compensation under the Enviva Inc. Long-Term Incentive Plan (the “LTIP”). Restricted stock units issued in tandem with corresponding dividend equivalent rights (“DERs”) are granted to our employees and independent directors. These equity awards vest subject to the satisfaction of service requirements and/or the achievement of certain performance goals and the grant fair-value of these equity awards are recognized as non-cash equity-based compensation and other expense on a ratable basis over their vesting period. Once these conditions have been met, common stock in the Company will be delivered to the holder of these equity awards. Forfeitures are recognized as they occur. Modifications to these equity awards resulting in incremental fair value over the pre-modification fair value are recognized as non-cash equity-based compensation and other expense over the remaining vesting period. We also recognize non-cash equity-based compensation and other expense for restricted stock units awarded to independent directors. As of December 31, 2021 and 2020, we have the ability to settle certain of our outstanding restricted stock unit awards under the LTIP in either cash or common stock at our election. As we reasonably expect to be able to deliver common stock at the settlement date, we have classified all of our outstanding restricted stock unit awards as equity on our balance sheets. |
Commitments and Contingencies | Liabilities for loss contingencies arising from claims, assessments, litigation, fines, penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. |
Fair Value Measurements | We apply authoritative accounting guidance for fair value measurements of financial and nonfinancial assets and liabilities. We use valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. We determine fair value based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels: • Level 1 Inputs: Unadjusted, quoted prices in active markets for identical assets or liabilities accessible to the reporting entity at the measurement date. • Level 2 Inputs: Other than quoted prices included in Level 1, inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the asset or liability. • Level 3 Inputs: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date. |
Income Taxes | Following the Conversion, we became subject to U.S. federal, foreign, state, and local corporate income tax. In addition, certain of Enviva’s subsidiaries are subject to federal, state, and local income, franchise, or capital taxes at the entity level and the related tax provision is reflected in the Consolidated Financial Statements. Prior to the Conversion, substantially all of Enviva’s operating subsidiaries were organized as limited partnerships and entities that were disregarded entities for U.S. federal and applicable state income tax purposes. As a result, for taxable periods ending on or prior to the conversion, Enviva’s unitholders are liable for income taxes on their share of Enviva’s taxable income. As a result of the Conversion, Enviva recognized a step-up in the tax basis of certain assets that will be recovered as the assets are sold or the basis is amortized. The calculation and allocation of the step-up in tax basis to the various assets of the company was determined by management with the assistance of a third-party specialist. The basis information used was based on an estimate of the basis in Enviva Inc. as of December 31, 2021. The final amount of the step-up in tax basis may differ as basis information, including the Partnership’s tax basis in underlying assets and liabilities based on 2021 tax return information, becomes available and is finalized. Income taxes are accounted for using the asset and liability method of accounting. Under this method, deferred income taxes reflect the net tax effects of temporary differences between the financial reporting and tax bases of assets and liabilities and are measured using the applicable enacted tax rates and laws that will be in effect when such differences are expected to reverse. Deferred tax assets are reduced by a valuation allowance when, based on the weight of available evidence, it is more likely than not that some portion or all of the deferred tax assets will not be realized. When evaluating the realizability of the deferred tax assets, all evidence, both positive and negative, is considered. Items considered when evaluating the need for a valuation allowance include historical book losses, future reversals of existing temporary differences, tax planning strategies and expectations of future earnings. For a particular tax‑paying component of an entity and within a particular tax jurisdiction, deferred tax assets and liabilities are offset and presented as a single amount, as applicable, in the accompanying statements of financial condition. |
Recently Adopted Accounting Standards | On January 1, 2021, we adopted ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, which removes certain exceptions for recognizing deferred taxes for investments, performing intraperiod allocation, and calculating income taxes in interim periods. The ASU also adds guidance to reduce complexity in certain areas, including recognizing deferred taxes for tax goodwill, and allocating taxes to members of a consolidated group. The adoption did not have a material impact on the financial statements. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Useful Lives | The principal useful lives are as follows: Asset Estimated useful life Land improvements 15 to 25 years Buildings 5 to 40 years Machinery and equipment 2 to 30 years Vehicles 5 to 6 years Furniture and office equipment 2 to 10 years Leasehold improvements Shorter of estimated useful life or lease term, generally 10 years |
Transactions Between Entities_2
Transactions Between Entities Under Common Control (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Transactions Between Entities Under Common Control | |
Schedule of changes from change in reporting entity - Balance Sheet [Table Text Block] | The following table presents changes as a result of the Simplification Transaction for the common control entities acquired to previously reported amounts in the audited consolidated balance sheet as of December 31, 2020 included in Enviva’s annual report on Form 10-K for the year ended December 31, 2020: As of December 31, 2020 As Reported Common Control Entities Acquired Total (Recast) Assets Current assets: Cash and cash equivalents $ 10,004 $ 56,110 $ 66,114 Restricted cash — 1,561 1,561 Accounts receivable 124,212 — 124,212 Other accounts receivable — 15,112 15,112 Related-party receivables, net 2,414 (2,414) — Inventories 42,364 2,860 45,224 Prepaid expenses and other current assets 16,457 (9,637) 6,820 Total current assets 195,451 63,592 259,043 Property, plant and equipment, net 1,071,819 170,602 1,242,421 Operating lease right-of-use assets 51,434 60,493 111,927 Goodwill 99,660 — 99,660 Other long-term assets 11,248 1,695 12,943 Total assets $ 1,429,612 $ 296,382 $ 1,725,994 Liabilities and Equity Current liabilities: Accounts payable $ 15,208 $ 7,190 $ 22,398 Accrued liabilities and other current liabilities 108,976 38,839 147,815 Current portion of interest payable 24,642 14 24,656 Current portion of long-term debt and finance lease obligations 13,328 1,223 14,551 Related-party note payable — 20,000 20,000 Deferred revenue — 4,855 4,855 Total current liabilities 162,154 72,121 234,275 Long-term debt and finance lease obligations 912,721 777 913,498 Long-term operating lease liabilities 50,074 61,917 111,991 Deferred tax liabilities, net 13,217 12,001 25,218 Other long-term liabilities 15,419 15,933 31,352 Total liabilities 1,153,585 162,749 1,316,334 Commitments and contingencies Total equity 276,027 133,633 409,660 Total liabilities and equity $ 1,429,612 $ 296,382 $ 1,725,994 |
Schedule of changes from change in reporting entity - Income Statement [Table Text Block] | The following tables present the changes as a result of the Simplification Transaction to previously reported amounts in the audited consolidated statements of operations for the years ended December 31, 2020 and 2019 included in Enviva’s annual report on Form 10-K for the year ended December 31, 2020: Year Ended December 31. 2020 As Reported Common Control Entities Acquired Total (Recast) Net revenue $ 875,079 $ (117) $ 874,962 Income (loss) from operations 61,778 (122,208) (60,430) Net income (loss) 17,080 (123,404) (106,324) Less net loss attributable to noncontrolling interests — 20,034 20,034 Net income (loss) attributable to Enviva Inc. 17,080 (103,370) (86,290) Year Ended December 31, 2019 As Reported Common Control Entities Acquired Total (Recast) Net revenue $ 684,393 $ (825) $ 683,568 Income (loss) from operations 44,679 (130,921) (86,242) Net loss (2,943) (132,041) (134,984) Less net loss attributable to noncontrolling interests — 53,480 53,480 Net loss attributable to Enviva Inc. (2,943) (78,561) (81,504) |
Schedule of changes from change in reporting entity - Statement of Cash Flows [Table Text Block] | The following tables present the changes as a result of the Simplification Transaction to previously reported amounts in the audited consolidated statements of cash flows for the years ended December 31, 2020 and 2019 included in Enviva’s annual report on Form 10-K for the year ended December 31, 2020: Year Ended December 31. 2020 As Reported Common Control Entities Acquired Total (Recast) Net cash provided by (used in) operating activities $ 119,335 $ (104,936) $ 14,399 Net cash (used in) provided by investing activities (396,805) 12,836 (383,969) Net cash provided by financing activities 278,421 128,100 406,521 Net increase in cash, cash equivalents and restricted cash $ 951 $ 36,000 $ 36,951 Year Ended December 31, 2019 As Reported Common Control Entities Acquired Total (Recast) Net cash provided by (used in) operating activities $ 53,860 $ (109,213) $ (55,353) Net cash (used in) provided by investing activities (177,483) 32,283 (145,200) Net cash provided by financing activities 130,216 74,258 204,474 Net increase (decrease) in cash, cash equivalents and restricted cash $ 6,593 $ (2,672) $ 3,921 |
Business Combinations (Tables)
Business Combinations (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Business Combinations [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | The following table summarizes the purchase price and the fair values of the amounts recorded for identifiable assets acquired and liabilities assumed at the acquisition date of July 31, 2020. Purchase price: Cash paid by the Partnership at closing $ 168,338 Reimbursement to the Partnership of certain acquisition-related costs, net 161 Settlement of payable from the Partnership to Georgia Biomass (3,684) Payment in relation to the Georgia Biomass Acquisition 164,815 Receivable from purchase price adjustment (850) $ 163,965 Identified net assets acquired: Cash $ 1,516 Accounts receivable 124 Inventories 5,774 Prepaid expenses and other current assets 792 Intangible assets 5,700 Property, plant and equipment 170,603 Operating lease right-of-use assets 14,716 Accounts payable (390) Accrued and other current liabilities (9,472) Current portion of long-term finance lease obligations (926) Long-term finance lease obligations (3,733) Long-term operating lease liabilities (13,356) Deferred tax liability, net (13,148) Intangible liabilities (7,400) Other long-term liabilities (880) Identifiable net assets acquired 149,920 Goodwill 14,045 Total purchase price $ 163,965 |
Significant Risks and Uncerta_2
Significant Risks and Uncertainties, Including Business and Credit Concentrations (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Risks and Uncertainties [Abstract] | |
Schedule of revenue from major customers | Product sales to third-party customers that accounted for 10% or a greater share of consolidated product sales for each of the years ended December 31 are as follows: 2020 2019 2021 (Recast) (Recast) Customer A 32 % 40 % 48 % Customer B 5 % 9 % 10 % Customer C 17 % 23 % 20 % Customer D 9 % 11 % 15 % Customer E 18 % 8 % — % |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Inventory Disclosure [Abstract] | |
Schedule of inventories | Inventories consisted of the following as of December 31: 2020 2021 (Recast) Raw materials and work-in-process $ 21,995 $ 15,360 Consumable tooling 22,952 21,855 Finished goods 12,770 8,009 Total inventories $ 57,717 $ 45,224 |
Property, Plant and Equipment_2
Property, Plant and Equipment, net (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property, plant and equipment | Property, plant, and equipment, net consisted of the following as of December 31: 2020 2021 (Recast) Land $ 26,414 $ 26,040 Land improvements 61,850 60,110 Buildings 321,577 316,706 Machinery and equipment 859,115 800,252 Vehicles 8,318 6,176 Furniture and office equipment 24,840 16,711 Leasehold improvements 22,101 7,462 Property, plant and equipment 1,324,215 1,233,457 Less accumulated depreciation (395,618) (307,775) Property, plant and equipment, net 928,597 925,682 Construction in progress 569,600 316,739 Total property, plant and equipment, net $ 1,498,197 $ 1,242,421 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Operating lease ROU assets and liabilities and finance leases | Operating lease ROU assets and liabilities and finance leases as of December 31: 2020 2021 (Recast) Operating leases: Operating lease right-of-use assets $ 108,846 $ 111,927 Current portion of operating lease liabilities $ 8,187 $ 5,799 Long-term operating lease liabilities 122,252 111,991 Total operating lease liabilities $ 130,439 $ 117,790 Finance leases: Property plant and equipment, net $ 25,052 $ 25,378 Current portion of long-term finance lease obligations $ 8,074 $ 10,051 Long-term finance lease obligations 10,358 11,552 Total finance lease liabilities $ 18,432 $ 21,603 |
Operating and finance lease costs | Operating and finance lease costs were as follows for the years ended December 31: 2020 2019 Lease Cost Classification 2021 (Recast) (Recast) Operating lease cost: Fixed lease cost Cost of goods sold $ 7,011 $ 6,557 $ 9,913 Selling, general, administrative, and development expenses 7,820 4,916 — Variable lease cost Cost of goods sold 18 28 67 Selling, general, administrative, and development expenses — 268 — Short-term lease cost Cost of goods sold 8,104 9,216 9,121 Selling, general, administrative, and development expenses 528 187 — Total operating lease costs $ 23,481 $ 21,172 $ 19,101 Finance lease cost: Amortization of leased assets Depreciation and amortization $ 10,574 $ 8,165 $ 5,220 Variable lease cost Cost of goods sold 58 254 16 Selling, general, administrative, and development expenses — 231 — Interest on lease liabilities Interest expense 528 651 472 Total finance lease costs $ 11,160 $ 9,301 $ 5,708 Total lease costs $ 34,641 $ 30,473 $ 24,809 Weighted average remaining lease term (years): Operating leases 15 Finance leases 4 Weighted average discount rate: Operating leases 6% Finance leases 3% |
Operating and finance lease cash flow information | Operating and finance lease cash flow information was as follows for the years ended December 31: 2020 2019 2021 (Recast) (Recast) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 7,509 $ 10,912 $ 9,917 Operating cash flows from finance leases 524 651 472 Financing cash flows from finance leases 10,688 8,334 4,305 Assets obtained in exchange for lease obligations: Operating leases $ 10,491 $ 55,784 $ 17,510 Finance leases 8,531 14,698 8,253 |
Aggregate maturities of operating lease liabilities | the future minimum lease payments and the aggregate maturities of operating and finance lease liabilities are as follows: Years Ending December 31, Operating Finance Total 2022 $ 13,382 $ 8,445 $ 21,827 2023 16,116 4,683 20,799 2024 15,545 1,854 17,399 2025 15,727 1,405 17,132 2026 15,373 1,012 16,385 Thereafter 135,422 2,018 137,440 Total lease payments 211,565 19,417 230,982 Less: imputed interest (81,126) (985) (82,111) Total present value of lease liabilities $ 130,439 $ 18,432 $ 148,871 |
Aggregate maturities of finance lease liabilities | the future minimum lease payments and the aggregate maturities of operating and finance lease liabilities are as follows: Years Ending December 31, Operating Finance Total 2022 $ 13,382 $ 8,445 $ 21,827 2023 16,116 4,683 20,799 2024 15,545 1,854 17,399 2025 15,727 1,405 17,132 2026 15,373 1,012 16,385 Thereafter 135,422 2,018 137,440 Total lease payments 211,565 19,417 230,982 Less: imputed interest (81,126) (985) (82,111) Total present value of lease liabilities $ 130,439 $ 18,432 $ 148,871 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instrument Detail [Abstract] | |
Schedule of fair values of the derivative financial instruments included in the consolidated balance sheets | The fair value of derivative instruments as of December 31, 2021 and 2020 was as follows: Asset (Liability) 2020 Balance Sheet Classification 2021 (Recast) Not designated as hedging instruments: Interest rate swaps Accrued and other current liabilities $ — $ (119) Foreign currency exchange contracts: Prepaid expenses and other current assets $ 321 $ 308 Other long-term assets 309 924 Accrued and other current liabilities (1,456) (2,224) Other long-term liabilities (1,001) (3,508) Total derivatives not designated as hedging instruments $ (1,827) $ (4,619) |
Schedule of instruments designated as cash flow hedges and the related changes in other accumulated comprehensive income and the gains and losses in income | The effects of instruments designated as cash flow hedges and the related changes in accumulated other comprehensive income and the gains and losses recognized in earnings for the year ended December 31, 2019 were as follows: Amount of Gain (Loss) in Other Comprehensive Income on Derivative (Effective Portion) Location of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Effective Portion) Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Income into Income (Effective Portion) (Recast) (Recast) Interest rate swap $ (146) Interest expense $ 288 |
Schedule of notional amounts of outstanding derivative instruments designated as cash flow hedges associated with outstanding or unsettled derivative instruments | The notional amounts of outstanding derivative instruments associated with outstanding or unsettled derivative instruments were as of follows as of December 31: 2020 2021 (Recast) Foreign exchange forward contracts in GBP £ 57,500 £ 143,565 Foreign exchange purchased option contracts in GBP £ 7,275 £ 51,601 Foreign exchange forward contracts in EUR € 11,000 € 12,968 Interest rate swaps $ — $ 70,000 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of carrying amount and estimated fair value of long-term debt and capital lease obligations | The carrying amount and estimated fair value of long-term debt were as follows as of December 31: 2021 2020 Carrying Amount Fair Value Carrying Amount Fair Value (Recast) (Recast) 2026 Notes $ 747,399 $ 777,188 $ 746,875 $ 796,875 Seller Note 36,442 38,284 37,571 40,405 Other long-term debt 469,273 469,273 142,359 142,359 Total long-term debt $ 1,253,114 $ 1,284,745 $ 926,805 $ 979,639 |
Goodwill and Other Intangibles
Goodwill and Other Intangibles (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite-Lived Intangible Assets | Intangible assets (liabilities) consisted of the following as of December 31: 2021 2020 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Favorable customer contracts $ 700 $ (225) $ 475 $ 6,200 $ (5,566) $ 634 Assembled workforce 1,856 (1,726) 130 1,856 (1,249) 607 Unfavorable customer contract (600) 193 (407) (600) 57 (543) Unfavorable shipping contract (6,300) 1,648 (4,652) (6,300) 485 (5,815) Total intangible liabilities, net $ (4,344) $ (110) $ (4,454) $ 1,156 $ (6,273) $ (5,117) |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The estimated aggregate net reduction of amortization expense for the next five years is as follows: Year Ended December 31, 2022 $ 1,010 2023 1,140 2024 1,140 2025 1,164 2026 — Total $ 4,454 |
Payables and Accruals (Tables)
Payables and Accruals (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Payables and Accruals [Abstract] | |
Schedule of Accounts Payable and Accrued Liabilities | Accrued and other current liabilities consisted of the following as of December 31: 2020 2021 (Recast) Accrued expenses - compensation and benefits $ 22,758 $ 25,568 Accrued expenses - wood pellet purchases and distribution costs 34,819 50,648 Accrued expenses - operating costs and expenses 55,463 28,805 Accrued capital expenditures 21,791 22,802 Other accrued expenses and other current liabilities 28,475 19,992 Accrued and other current liabilities $ 163,306 $ 147,815 |
Long-Term Debt and Finance Le_2
Long-Term Debt and Finance Lease Obligations (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of long-term debt and capital lease obligations | Long-term debt and finance lease obligations at carrying value consisted of the following at December 31: 2020 2021 (Recast) 2026 Notes, net of unamortized discount, premium and debt issuance of $2.6 million and $3.1 million as of December 31, 2021 and 2020, respectively $ 747,399 $ 746,875 Senior secured revolving credit facility 466,000 120,000 Seller Note, net of unamortized discount of $1.1 million and $2.4 million as of December 31, 2021 and 2020, respectively 36,442 37,571 Related-party note payable — 20,000 Other loans 3,273 2,359 Finance leases 18,432 21,244 Total long-term debt and finance lease obligations 1,271,546 948,049 Less current portion of long-term debt, finance lease obligations, and related-party note payable (39,105) (34,551) Long-term debt and finance lease obligations, excluding current installments $ 1,232,441 $ 913,498 |
Schedule of debt maturities | The aggregate maturities of long-term debt and finance lease obligations as of December 31, 2021 are as follows: Year Ending December 31: 2022 $ 39,105 2023 13,461 2024 1,973 2025 1,581 2026 and thereafter 1,219,085 Long-term debt and finance lease obligations 1,275,205 Unamortized premium and debt issuance costs (3,659) Total long-term debt and finance lease obligations $ 1,271,546 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule Of Loss Before Income Tax Domestic And Foreign [Table Text Block] | Loss before income taxes consists of the following: 2020 2019 2021 (Recast) (Recast) U.S. $ (162,246) $ (106,155) $ (136,916) Foreign 421 81 54 Net loss not subject to federal income tax 145,040 102,603 129,288 Loss before income tax $ (16,785) $ (3,471) $ (7,574) |
Schedule of Components of Income Tax Expense (Benefit) | Components of the income tax provision applicable to our federal, state and foreign taxes are as follows: 2020 2019 2021 (Recast) (Recast) Current income tax expense : Federal $ 4,593 $ — $ — State 5 — 1 Foreign 55 86 42 Total current income tax expense $ 4,653 $ 86 $ 43 Deferred income tax (benefit) expense: Federal $ (21,570) $ 82 $ (1,996) State (58) 1 (1) Total deferred income tax (benefit) expense $ (21,628) $ 83 $ (1,997) Total income tax (benefit) expense $ (16,975) $ 169 $ (1,954) |
Schedule of Effective Income Tax Rate Reconciliation | The effective income tax rate from continuing operations varies from the U.S. Federal statutory rate principally due to the following: 2020 2019 2021 (Recast) (Recast) Income tax (benefit) expense at statutory federal income tax rate $ (34,072) $ (22,293) $ (28,752) Increase (decrease) in income taxes resulting from: Partnership earnings not subject to tax 30,547 21,564 27,162 Recognition/derecognition of deferred tax (155,980) — — Valuation allowance 142,822 — — Other (292) 898 (364) Total income tax (benefit) expense $ (16,975) $ 169 $ (1,954) |
Schedule of Deferred Tax Assets and Liabilities | Significant components of deferred tax assets and liabilities as of December 31, 2021 are as follows: 2020 2021 (Recast) Deferred tax assets: Federal net operating loss carryforward $ 1,033 $ 9,730 Accrued bonus and other accrued liabilities 2,874 — Operating lease liabilities 27,906 — Mark to market derivatives 391 — Equity based compensation 10,681 — Property, plant and equipment 122,988 — Interest expense limitation — 2,328 Intangibles 953 — Total deferred tax assets $ 166,826 $ 12,058 Deferred tax liabilities: Prepaids $ (548) $ — Operating lease right-of-use assets (23,286) — Investment in affiliates — (35,202) Other (206) (36) Total deferred tax liabilities (24,040) (35,238) Valuation allowance (142,822) (2,038) Net deferred tax liability net valuation allowance $ (36) $ (25,218) |
Partners' Capital (Tables)
Partners' Capital (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Partners' Capital Notes [Abstract] | |
Schedule of cash distribution paid or declared | Quarter Ended Declaration Date Record Date Payment Date Distribution Per Unit June 30, 2020 August 5, 2020 August 14, 2020 August 28, 2020 $ 0.7650 September 30, 2020 October 30, 2020 November 13, 2020 November 27, 2020 $ 0.7750 December 31, 2020 January 29, 2021 February 15, 2021 February 26, 2021 $ 0.7800 March 31, 2021 April 28, 2021 May 14, 2021 May 28, 2021 $ 0.7850 June 30, 2021 July 27, 2021 August 13, 2021 August 27, 2021 $ 0.8150 September 30, 2021 November 3, 2021 November 15, 2021 November 26, 2021 $ 0.8400 December 31, 2021 February 2, 2022 February 14, 2022 February 25, 2022 $ 0.8600 |
Equity-Based Awards (Tables)
Equity-Based Awards (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Distribution Equivalent Rights | |
Equity-Based Awards | |
Schedule of phantom unit awards | DER distributions unpaid related to the performance-based Affiliate Grants were as follows as of December 31: 2021 2020 Accrued liabilities $ 2,690 $ 1,697 Other long-term liabilities 4,501 2,942 Total unpaid DERs related to performance-based Affiliate Grants $ 7,191 $ 4,639 |
Affiliate Grants | |
Equity-Based Awards | |
Schedule of phantom unit awards | A summary of the Affiliate Grants for the years ended December 31, 2021, 2020, and 2019 is as follows: Time-Based Restricted Stock Units Performance-Based Restricted Stock Units Total Affiliate Grant Restricted Stock Units Units Weighted-Average Grant Date Fair Value (per unit)(1) Units Weighted-Average Grant Date Fair Value (per unit)(1) Units Weighted-Average Grant Date Fair Value (per unit)(1) Nonvested December 31, 2018 723,940 $ 25.91 239,512 $ 27.65 963,452 $ 26.34 Granted 395,851 $ 30.41 219,943 $ 30.28 615,794 $ 30.36 Forfeitures (99,999) $ 28.56 (24,185) $ 29.82 (124,184) $ 28.80 Vested (145,506) $ 18.30 — $ — (145,506) $ 18.30 Nonvested December 31, 2019 874,286 $ 28.90 435,270 $ 28.84 1,309,556 $ 28.88 Granted 552,988 $ 37.98 387,060 $ 38.02 940,048 $ 38.00 Forfeitures (133,273) $ 33.15 (105,935) $ 30.89 (239,208) $ 32.15 Vested (232,116) $ 26.97 (67,881) $ 28.03 (299,997) $ 27.21 Nonvested December 31, 2020 1,061,885 $ 33.52 648,514 $ 34.07 1,710,399 $ 33.73 Granted 378,488 $ 51.96 165,549 $ 48.58 544,037 $ 50.93 Forfeitures (125,784) $ 39.49 (49,145) $ 38.77 (174,929) $ 39.29 Vested (312,528) $ 30.03 (156,801) $ 30.52 (469,329) $ 30.20 Nonvested December 31, 2021 1,002,061 $ 40.82 608,117 $ 38.56 1,610,178 $ 39.97 |
Director Grants | |
Equity-Based Awards | |
Schedule of phantom unit awards | A summary of the Director Grant unit awards subject to vesting for the years ended December 31, 2021, 2020 and 2019, is as follows: Time-Based Phantom Units Units Weighted-Average Grant Date Fair Value (per unit)(1) Nonvested December 31, 2018 13,964 $ 28.65 Granted 13,264 $ 30.16 Vested (13,964) $ 28.65 Nonvested December 31, 2019 13,264 $ 30.16 Granted 14,987 $ 38.37 Vested (13,264) $ 30.16 Nonvested December 31, 2020 14,987 $ 38.37 Granted 14,234 $ 48.48 Vested (14,987) $ 38.37 Nonvested December 31, 2021 14,234 $ 48.48 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future minimum firm terminal services payments | Fixed and determinable portions of the minimum aggregate future payments under these firm terminal and stevedoring services, ground transportation and wood pellet supply agreements for the next five years are as follows: 2022 $ 136,103 2023 129,292 2024 100,347 2025 80,199 2026 60,328 Total $ 506,269 |
Description of Business and B_2
Description of Business and Basis of Presentation - (Details) | Jul. 31, 2020USD ($) | Dec. 31, 2021plant$ / shares | Oct. 14, 2021shares |
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Number of industrial-scale production wood pellet production plants in operation | plant | 10 | ||
Georgia Biomass Holding LLC | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Purchase Price | $ | $ 175 | ||
Conversion to Corporation | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Common Stock, Par or Stated Value Per Share | $ / shares | $ 0.001 | ||
Simplification Transaction | Enviva Partners, LP [Member] | |||
Subsidiary of Limited Liability Company or Limited Partnership [Line Items] | |||
Common Unit, Issued | shares | 16 |
Significant Accounting Polici_4
Significant Accounting Policies - Accounts Receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Accounting Policies [Abstract] | ||
Allowance for doubtful accounts | $ 0 | $ 0 |
Significant Accounting Polici_5
Significant Accounting Policies - Summary of Useful Lives (Details) | 12 Months Ended |
Dec. 31, 2021 | |
Land improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 15 years |
Land improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 25 years |
Buildings | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 5 years |
Buildings | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 40 years |
Machinery and equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 2 years |
Machinery and equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 30 years |
Vehicles | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 5 years |
Vehicles | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 6 years |
Furniture and office equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 2 years |
Furniture and office equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 10 years |
Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life | 10 years |
Significant Accounting Polici_6
Significant Accounting Policies - Goodwill (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Accounting Policies [Abstract] | ||
Goodwill, Impairment Loss | $ 0 | $ 0 |
Significant Accounting Polici_7
Significant Accounting Policies - Leases (Details) | 12 Months Ended |
Dec. 31, 2021 | |
Option to extend the lease terms | 5 years |
Minimum | |
Remaining lease terms | 1 year |
Maximum | |
Remaining lease terms | 40 years |
Transactions Between Entities_3
Transactions Between Entities Under Common Control - Recast of Historical Financial Statements (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Dec. 31, 2021 | Oct. 13, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Assets: | |||||
Cash and cash equivalents | $ 16,801 | $ 16,801 | $ 66,114 | ||
Restricted Cash | 1,717 | 1,717 | 1,561 | ||
Accounts receivable | 97,439 | 97,439 | 124,212 | ||
Other accounts receivable | 17,826 | 17,826 | 15,112 | ||
Inventories | 57,717 | 57,717 | 45,224 | ||
Prepaid expenses and other current assets | 7,230 | 7,230 | 6,820 | ||
Total current assets | 198,730 | 198,730 | 259,043 | ||
Property, plant and equipment, net | 1,498,197 | 1,498,197 | 1,242,421 | ||
Operating lease right-of-use assets | 108,846 | 108,846 | 111,927 | ||
Goodwill | 103,928 | 103,928 | 99,660 | ||
Other long-term assets | 14,446 | 14,446 | 12,943 | ||
Total assets | 1,924,147 | 1,924,147 | 1,725,994 | ||
Liabilities: | |||||
Accounts payable | 29,535 | 29,535 | 22,398 | ||
Accrued and other current liabilities | 163,306 | 163,306 | 147,815 | ||
Current portion of long-term debt and finance lease obligations | 39,105 | 39,105 | 14,551 | ||
Total current liabilities | 257,006 | 257,006 | 234,275 | ||
Long-term debt and finance lease obligations | 1,232,441 | 1,232,441 | 913,498 | ||
Long-term operating lease liabilities | 122,252 | 122,252 | 111,991 | ||
Deferred tax liabilities, net | 36 | 36 | 25,218 | ||
Other long-term liabilities | 41,748 | 41,748 | 31,352 | ||
Total liabilities | 1,653,483 | 1,653,483 | 1,316,334 | ||
Income Statement [Abstract] | |||||
Net revenue | 1,041,678 | 874,962 | $ 683,568 | ||
Operating Income (Loss) | (97,252) | (60,430) | (86,242) | ||
Net (loss) income | $ (19,758) | $ (125,513) | (145,271) | (106,324) | (134,984) |
Net Loss Attributable to Noncontrolling Interest | (23,202) | (20,034) | (53,480) | ||
Net loss attributable to Enviva Inc. | (122,069) | (86,290) | (81,504) | ||
Statement of Cash Flows [Abstract] | |||||
Net Cash Provided by (Used in) Operating Activities | 33,390 | 14,399 | (55,353) | ||
Net Cash Provided by (Used in) Investing Activities | (332,322) | (383,969) | (145,200) | ||
Net Cash Provided by (Used in) Financing Activities | 249,775 | 406,521 | 204,474 | ||
Net increase (decrease) in cash, cash equivalents and restricted cash | $ (49,157) | 36,951 | 3,921 | ||
Common Control Entities Acquired | |||||
Income Statement [Abstract] | |||||
Net Loss Attributable to Noncontrolling Interest | 20,034 | ||||
Simplification Transaction | As Reported | |||||
Assets: | |||||
Cash and cash equivalents | 10,004 | ||||
Restricted Cash | 0 | ||||
Accounts receivable | 124,212 | ||||
Other accounts receivable | 0 | ||||
Due From Related Party Current Net | 2,414 | ||||
Inventories | 42,364 | ||||
Prepaid expenses and other current assets | 16,457 | ||||
Total current assets | 195,451 | ||||
Property, plant and equipment, net | 1,071,819 | ||||
Operating lease right-of-use assets | 51,434 | ||||
Goodwill | 99,660 | ||||
Other long-term assets | 11,248 | ||||
Total assets | 1,429,612 | ||||
Liabilities: | |||||
Accounts payable | 15,208 | ||||
Accrued and other current liabilities | 108,976 | ||||
Current portion of interest payable | 24,642 | ||||
Current portion of long-term debt and finance lease obligations | 13,328 | ||||
Due to Related Parties | 0 | ||||
Deferred Revenue | 0 | ||||
Total current liabilities | 162,154 | ||||
Long-term debt and finance lease obligations | 912,721 | ||||
Long-term operating lease liabilities | 50,074 | ||||
Deferred tax liabilities, net | 13,217 | ||||
Other long-term liabilities | 15,419 | ||||
Total liabilities | 1,153,585 | ||||
Partners' Capital | 276,027 | ||||
Liabilities and Partners Capital | 1,429,612 | ||||
Income Statement [Abstract] | |||||
Net revenue | 875,079 | 684,393 | |||
Operating Income (Loss) | 61,778 | 44,679 | |||
Net (loss) income | 17,080 | (2,943) | |||
Net Loss Attributable to Noncontrolling Interest | 0 | 0 | |||
Net loss attributable to Enviva Inc. | 17,080 | (2,943) | |||
Statement of Cash Flows [Abstract] | |||||
Net Cash Provided by (Used in) Operating Activities | 119,335 | 53,860 | |||
Net Cash Provided by (Used in) Investing Activities | (396,805) | (177,483) | |||
Net Cash Provided by (Used in) Financing Activities | 278,421 | 130,216 | |||
Net increase (decrease) in cash, cash equivalents and restricted cash | 951 | 6,593 | |||
Simplification Transaction | Common Control Entities Acquired | |||||
Assets: | |||||
Cash and cash equivalents | 56,110 | ||||
Restricted Cash | 1,561 | ||||
Accounts receivable | 0 | ||||
Other accounts receivable | 15,112 | ||||
Due From Related Party Current Net | (2,414) | ||||
Inventories | 2,860 | ||||
Prepaid expenses and other current assets | (9,637) | ||||
Total current assets | 63,592 | ||||
Property, plant and equipment, net | 170,602 | ||||
Operating lease right-of-use assets | 60,493 | ||||
Goodwill | 0 | ||||
Other long-term assets | 1,695 | ||||
Total assets | 296,382 | ||||
Liabilities: | |||||
Accounts payable | 7,190 | ||||
Accrued and other current liabilities | 38,839 | ||||
Current portion of interest payable | 14 | ||||
Current portion of long-term debt and finance lease obligations | 1,223 | ||||
Due to Related Parties | 20,000 | ||||
Deferred Revenue | 4,855 | ||||
Total current liabilities | 72,121 | ||||
Long-term debt and finance lease obligations | 777 | ||||
Long-term operating lease liabilities | 61,917 | ||||
Deferred tax liabilities, net | 12,001 | ||||
Other long-term liabilities | 15,933 | ||||
Total liabilities | 162,749 | ||||
Partners' Capital | 133,633 | ||||
Liabilities and Partners Capital | 296,382 | ||||
Income Statement [Abstract] | |||||
Net revenue | (117) | (825) | |||
Operating Income (Loss) | (122,208) | (130,921) | |||
Net (loss) income | (123,404) | (132,041) | |||
Net Loss Attributable to Noncontrolling Interest | 20,034 | 53,480 | |||
Net loss attributable to Enviva Inc. | (103,370) | (78,561) | |||
Statement of Cash Flows [Abstract] | |||||
Net Cash Provided by (Used in) Operating Activities | (104,936) | (109,213) | |||
Net Cash Provided by (Used in) Investing Activities | 12,836 | 32,283 | |||
Net Cash Provided by (Used in) Financing Activities | 128,100 | 74,258 | |||
Net increase (decrease) in cash, cash equivalents and restricted cash | 36,000 | (2,672) | |||
Simplification Transaction | Total (Recast) | |||||
Assets: | |||||
Cash and cash equivalents | 66,114 | ||||
Restricted Cash | 1,561 | ||||
Accounts receivable | 124,212 | ||||
Other accounts receivable | 15,112 | ||||
Due From Related Party Current Net | 0 | ||||
Inventories | 45,224 | ||||
Prepaid expenses and other current assets | 6,820 | ||||
Total current assets | 259,043 | ||||
Property, plant and equipment, net | 1,242,421 | ||||
Operating lease right-of-use assets | 111,927 | ||||
Goodwill | 99,660 | ||||
Other long-term assets | 12,943 | ||||
Total assets | 1,725,994 | ||||
Liabilities: | |||||
Accounts payable | 22,398 | ||||
Accrued and other current liabilities | 147,815 | ||||
Current portion of interest payable | 24,656 | ||||
Current portion of long-term debt and finance lease obligations | 14,551 | ||||
Due to Related Parties | 20,000 | ||||
Deferred Revenue | 4,855 | ||||
Total current liabilities | 234,275 | ||||
Long-term debt and finance lease obligations | 913,498 | ||||
Long-term operating lease liabilities | 111,991 | ||||
Deferred tax liabilities, net | 25,218 | ||||
Other long-term liabilities | 31,352 | ||||
Total liabilities | 1,316,334 | ||||
Partners' Capital | 409,660 | ||||
Liabilities and Partners Capital | 1,725,994 | ||||
Income Statement [Abstract] | |||||
Net revenue | 874,962 | 683,568 | |||
Operating Income (Loss) | (60,430) | (86,242) | |||
Net (loss) income | (106,324) | (134,984) | |||
Net Loss Attributable to Noncontrolling Interest | 53,480 | ||||
Net loss attributable to Enviva Inc. | (86,290) | (81,504) | |||
Statement of Cash Flows [Abstract] | |||||
Net Cash Provided by (Used in) Operating Activities | 14,399 | (55,353) | |||
Net Cash Provided by (Used in) Investing Activities | (383,969) | (145,200) | |||
Net Cash Provided by (Used in) Financing Activities | 406,521 | 204,474 | |||
Net increase (decrease) in cash, cash equivalents and restricted cash | $ 36,951 | $ 3,921 |
Business Combinations - Narrati
Business Combinations - Narrative (Details) - USD ($) | Jul. 31, 2020 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Business Acquisition [Line Items] | |||||
Revenue | $ 1,041,678,000 | $ 874,962,000 | $ 683,568,000 | ||
Net income (loss) | (122,069,000) | (86,290,000) | $ (81,504,000) | ||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract] | |||||
Goodwill | $ (103,928,000) | (103,928,000) | $ (99,660,000) | ||
Georgia Biomass | |||||
Business Acquisition [Line Items] | |||||
Total consideration | $ 163,965,000 | ||||
Cash payment | 168,338,000 | ||||
Business Acquisition, Acquisition Costs | 3,900,000 | $ 3,900,000 | |||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract] | |||||
Reimbursement to the Partnership of certain acquisition-related costs, net | 161,000 | ||||
Settlement of payable from the Partnership to Georgia Biomass | (3,684,000) | ||||
Receivable from purchase price adjustment | (850,000) | ||||
Purchase Price | 163,965,000 | ||||
Cash | 1,516,000 | ||||
Accounts receivable | 124,000 | ||||
Inventories | 5,774,000 | ||||
Prepaid expenses and other current assets | 792,000 | ||||
Intangible assets | 5,700,000 | ||||
Property, plant and equipment | 170,603,000 | ||||
Operating lease right-of-use assets | 14,716,000 | ||||
Accounts payable | (390,000) | ||||
Accrued and other current liabilities | (9,472,000) | ||||
Deferred tax liability, net | (13,148,000) | ||||
Intangible liabilities | (7,400,000) | ||||
Other long-term liabilities | (880,000) | ||||
Identifiable net assets acquired | 149,920,000 | ||||
Goodwill | (14,045,000) | ||||
Goodwill, Period Increase (Decrease) | 1.6 | ||||
Intangible liabilities period increases (decrease) | $ 2.5 | ||||
Georgia Biomass | Finance lease - Current | |||||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract] | |||||
Lease Obligation | (926,000) | ||||
Georgia Biomass | Finance lease - Long-term | |||||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract] | |||||
Lease Obligation | (3,733,000) | ||||
Georgia Biomass | Operating lease | |||||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract] | |||||
Lease Obligation | (13,356,000) | ||||
Purchase Price Reconciliation | |||||
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract] | |||||
Payment in relation to the Georgia Biomass Acquisition | $ 164,815,000 |
Revenue - Performance Obligatio
Revenue - Performance Obligation (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Remaining performance obligations | $ 18,200,000,000 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-12-31 | |||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Revenue recognized related to performance obligation satisfied in previous periods | $ (100,000) | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-12-31 | |||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Revenue recognized related to performance obligation satisfied in previous periods | $ 100,000 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-12-31 | |||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Revenue recognized related to performance obligation satisfied in previous periods | $ 300,000 | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-01-01 | |||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Remaining performance obligation, percentage | 7.00% | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2023-01-01 | |||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |||
Remaining performance obligation, percentage | 7.00% | ||
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 2 years |
Revenue - Contract Balances (De
Revenue - Contract Balances (Details) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 |
Disaggregation of Revenue [Line Items] | ||
Accounts receivable related to product sales | $ 91.3 | $ 108.5 |
Deferred revenue related to off-take contracts | 0 | 4.9 |
Not yet billable pending finalization of prerequisite billing documentation | ||
Disaggregation of Revenue [Line Items] | ||
Accounts receivable related to product sales | $ 61.3 | $ 95 |
Significant Risks and Uncerta_3
Significant Risks and Uncertainties, Including Business and Credit Concentrations (Details) - Product sales - Percentage of sales | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Concentration Risk | |||
Concentration Risk Threshold Percentage | 10.00% | ||
Customer A | |||
Concentration Risk | |||
Concentration risk (as a percent) | 32.00% | ||
Customer A | Recast | |||
Concentration Risk | |||
Concentration risk (as a percent) | 40.00% | 48.00% | |
Customer B | |||
Concentration Risk | |||
Concentration risk (as a percent) | 5.00% | ||
Customer B | Recast | |||
Concentration Risk | |||
Concentration risk (as a percent) | 9.00% | 10.00% | |
Customer C | |||
Concentration Risk | |||
Concentration risk (as a percent) | 17.00% | ||
Customer C | Recast | |||
Concentration Risk | |||
Concentration risk (as a percent) | 23.00% | 20.00% | |
Customer D | |||
Concentration Risk | |||
Concentration risk (as a percent) | 9.00% | ||
Customer D | Recast | |||
Concentration Risk | |||
Concentration risk (as a percent) | 11.00% | 15.00% | |
Customer E | |||
Concentration Risk | |||
Concentration risk (as a percent) | 18.00% | ||
Customer E | Recast | |||
Concentration Risk | |||
Concentration risk (as a percent) | 8.00% | 0.00% |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Raw materials and work-in-process | $ 21,995 | |
Consumable tooling | 22,952 | |
Finished goods | 12,770 | |
Total inventories | $ 57,717 | $ 45,224 |
Recast | ||
Raw materials and work-in-process | 15,360 | |
Consumable tooling | 21,855 | |
Finished goods | 8,009 | |
Total inventories | $ 45,224 |
Property, Plant and Equipment_3
Property, Plant and Equipment, net (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 1,324,215 | ||
Less accumulated depreciation | (395,618) | ||
Property, plant and equipment, net | 928,597 | ||
Construction in progress | 569,600 | ||
Total property, plant and equipment, net | 1,498,197 | $ 1,242,421 | |
Total depreciation expense | 92,630 | ||
Interest capitalized related to construction in progress | 20,166 | ||
Loss on disposal of assets | 10,153 | 8,715 | $ 3,558 |
Land | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 26,414 | ||
Land improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 61,850 | ||
Buildings | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 321,577 | ||
Machinery and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 859,115 | ||
Vehicles | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 8,318 | ||
Furniture and office equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 24,840 | ||
Leasehold improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 22,101 | ||
Recast | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 1,233,457 | ||
Less accumulated depreciation | (307,775) | ||
Property, plant and equipment, net | 925,682 | ||
Construction in progress | 316,739 | ||
Total property, plant and equipment, net | 1,242,421 | ||
Total depreciation expense | 80,372 | 64,853 | |
Interest capitalized related to construction in progress | 9,423 | 2,104 | |
Loss on disposal of assets | 8,700 | $ 3,600 | |
Recast | Land | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 26,040 | ||
Recast | Land improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 60,110 | ||
Recast | Buildings | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 316,706 | ||
Recast | Machinery and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 800,252 | ||
Recast | Vehicles | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 6,176 | ||
Recast | Furniture and office equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 16,711 | ||
Recast | Leasehold improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 7,462 |
Lessee - Leases Narrative (Deta
Lessee - Leases Narrative (Details) | 12 Months Ended |
Dec. 31, 2021USD ($)renewal_option | |
Lessee, Lease, Description [Line Items] | |
Option to extend the lease terms | 5 years |
Total lease payments | $ 211,565,000 |
Jackson County Port Authority | |
Lessee, Lease, Description [Line Items] | |
Lease term | 40 years |
Jackson County Port Authority | Machinery and equipment | |
Lessee, Lease, Description [Line Items] | |
Remaining lease terms | 20 years |
Operating lease, number of renewal options | renewal_option | 4 |
Duration of each renewal option | 5 years |
Construction in Progress, Gross | $ 18 |
Total lease payments | $ 24 |
Jackson County Port Authority | Real Estate | |
Lessee, Lease, Description [Line Items] | |
Remaining lease terms | 20 years |
Operating lease, number of renewal options | renewal_option | 4 |
Duration of each renewal option | 5 years |
Total lease payments | $ 27.6 |
Leases Operating lease ROU Asse
Leases Operating lease ROU Assets and Liabilities and Finance Lease (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Operating lease right-of-use assets | $ 108,846 | $ 111,927 |
Long-term operating lease liabilities | 122,252 | 111,991 |
Operating Lease, Liability | 130,439 | |
Finance Lease, Liability | $ 18,432 | |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Property, plant and equipment, net | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Current portion of long-term debt and finance lease obligations | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Long-term debt and finance lease obligations | |
Long-term Debt and Lease Obligation, Current | ||
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Current portion of long-term debt and finance lease obligations | |
Recast | ||
Operating lease right-of-use assets | 111,927 | |
Long-term operating lease liabilities | 111,991 | |
Operating Lease, Liability | 117,790 | |
Finance Lease, Liability | $ 21,603 | |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Property, plant and equipment, net | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Current portion of long-term debt and finance lease obligations | |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Long-term debt and finance lease obligations | |
Recast | Long-term Debt and Lease Obligation, Current | ||
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Current portion of long-term debt and finance lease obligations |
Leases Operating and Finance Le
Leases Operating and Finance Lease Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Operating lease cost: | |||
Total operating lease costs | $ 23,481 | ||
Finance lease cost: | |||
Total finance lease costs | 11,160 | ||
Total lease costs | 34,641 | ||
Recast | |||
Operating lease cost: | |||
Total operating lease costs | $ 21,172 | $ 19,101 | |
Finance lease cost: | |||
Total finance lease costs | 9,301 | 5,708 | |
Total lease costs | 30,473 | 24,809 | |
Cost of goods sold | |||
Operating lease cost: | |||
Fixed lease cost | 7,011 | ||
Variable lease cost | 18 | ||
Short-term lease costs | 8,104 | ||
Finance lease cost: | |||
Variable lease cost | 58 | ||
Cost of goods sold | Recast | |||
Operating lease cost: | |||
Fixed lease cost | 6,557 | 9,913 | |
Variable lease cost | 28 | 67 | |
Short-term lease costs | 9,216 | 9,121 | |
Finance lease cost: | |||
Variable lease cost | 254 | 16 | |
Depreciation and amortization | |||
Finance lease cost: | |||
Amortization of leased assets | 10,574 | ||
Depreciation and amortization | Recast | |||
Finance lease cost: | |||
Amortization of leased assets | 8,165 | 5,220 | |
Interest Expense | |||
Finance lease cost: | |||
Interest on lease liabilities | 528 | ||
Interest Expense | Recast | |||
Finance lease cost: | |||
Interest on lease liabilities | 651 | 472 | |
Selling, general, administrative and development expenses | |||
Operating lease cost: | |||
Fixed lease cost | 7,820 | ||
Variable lease cost | 0 | ||
Short-term lease costs | 528 | ||
Finance lease cost: | |||
Variable lease cost | $ 0 | ||
Selling, general, administrative and development expenses | Recast | |||
Operating lease cost: | |||
Fixed lease cost | 4,916 | 0 | |
Variable lease cost | 268 | 0 | |
Short-term lease costs | 187 | 0 | |
Finance lease cost: | |||
Variable lease cost | $ 231 | $ 0 |
Leases Operating and Finance _2
Leases Operating and Finance lease Cash Flow Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Operating cash flows from operating leases | $ 7,509 | ||
Operating cash flows from finance leases | 524 | ||
Financing cash flows from finance leases | 10,688 | ||
Assets obtained in exchange for lease obligations: | |||
Operating leases | 10,491 | ||
Finance leases | $ 8,531 | ||
Recast | |||
Operating cash flows from operating leases | $ 10,912 | $ 9,917 | |
Operating cash flows from finance leases | 651 | 472 | |
Financing cash flows from finance leases | 8,334 | 4,305 | |
Assets obtained in exchange for lease obligations: | |||
Operating leases | 55,784 | 17,510 | |
Finance leases | $ 14,698 | $ 8,253 |
Leases Future Minimum Payments
Leases Future Minimum Payments and Aggregate maturities of Operating and Finance Lease Liabilities (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Operating Leases | |
2022 | $ 13,382 |
2023 | 16,116 |
2024 | 15,545 |
2025 | 15,727 |
2026 | 15,373 |
Thereafter | 135,422 |
Total lease payments | 211,565 |
Less: imputed interest | (81,126) |
Total present value of lease liabilities | 130,439 |
Finance Leases | |
2022 | 8,445 |
2023 | 4,683 |
2024 | 1,854 |
2025 | 1,405 |
2026 | 1,012 |
Thereafter | 2,018 |
Total lease payments | 19,417 |
Less: imputed interest | (985) |
Total present value of lease liabilities | 18,432 |
2022 | 21,827 |
2023 | 20,799 |
2024 | 17,399 |
2025 | 17,132 |
2026 | 16,385 |
Thereafter | 137,440 |
Total lease payments | 230,982 |
Less: imputed interest | (82,111) |
Total present value of lease liabilities | $ 148,871 |
Leases Weighted-average remaini
Leases Weighted-average remaining operating and finance lease terms and discount rate (Details) | Dec. 31, 2021 |
Weighted average remaining lease term (years): | |
Operating leases | 15 years |
Finance leases | 4 years |
Weighted average discount rate: | |
Operating leases | 6.00% |
Finance leases | 3.00% |
Derivative Instruments Realized
Derivative Instruments Realized and Unrealized Gains and Losses and Net Settlement (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Unrealized net (loss) gain on derivative instruments | $ (5,792,000) | $ (249,000) | $ (1,770,000) |
Net derivative settlement termination payment received amount | 1,600,000 | ||
Increase (Decrease) From Recorded Fair Value Of Net Derivative Settlement Termination Payment Amoun | 200,000 | ||
Product sales | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Unrealized net (loss) gain on derivative instruments | (2,673,000) | ||
Realized gains on derivatives | (2,689,000) | ||
Product sales | Recast | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Unrealized net (loss) gain on derivative instruments | 4,327,000 | 4,588,000 | |
Realized gains on derivatives | 275,000 | $ 1,664,000 | |
Other income (expense) | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Unrealized net (loss) gain on derivative instruments | $ (119,000) | ||
Other income (expense) | Recast | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Unrealized net (loss) gain on derivative instruments | $ 167,000 |
Derivative Instruments - Fair V
Derivative Instruments - Fair Values (Details) - Not designated as hedging instruments: - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Derivatives designated as cash flow hedging instruments: | ||
Derivative Assets (Liabilities), at Fair Value, Net | $ (1,827) | |
Recast | ||
Derivatives designated as cash flow hedging instruments: | ||
Derivative Assets (Liabilities), at Fair Value, Net | $ (4,619) | |
Prepaid expenses and other current assets | Foreign Exchange Contract | ||
Derivatives designated as cash flow hedging instruments: | ||
Asset Derivatives | 321 | |
Prepaid expenses and other current assets | Foreign Exchange Contract | Recast | ||
Derivatives designated as cash flow hedging instruments: | ||
Asset Derivatives | 308 | |
Other long-term assets | Foreign Exchange Contract | ||
Derivatives designated as cash flow hedging instruments: | ||
Asset Derivatives | 309 | |
Other long-term assets | Foreign Exchange Contract | Recast | ||
Derivatives designated as cash flow hedging instruments: | ||
Asset Derivatives | 924 | |
Accrued and Other Current Liabilities | Interest rate swap | ||
Derivatives designated as cash flow hedging instruments: | ||
Liability Derivatives | 0 | |
Accrued and Other Current Liabilities | Interest rate swap | Recast | ||
Derivatives designated as cash flow hedging instruments: | ||
Liability Derivatives | (119) | |
Accrued and Other Current Liabilities | Foreign Exchange Contract | ||
Derivatives designated as cash flow hedging instruments: | ||
Liability Derivatives | (1,456) | |
Accrued and Other Current Liabilities | Foreign Exchange Contract | Recast | ||
Derivatives designated as cash flow hedging instruments: | ||
Liability Derivatives | (2,224) | |
Other long-term liabilities | Foreign Exchange Contract | ||
Derivatives designated as cash flow hedging instruments: | ||
Liability Derivatives | $ (1,001) | |
Other long-term liabilities | Foreign Exchange Contract | Recast | ||
Derivatives designated as cash flow hedging instruments: | ||
Liability Derivatives | $ (3,508) |
Derivative Instruments - Change
Derivative Instruments - Changes In Accumulated Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Net unrealized losses on cash flow hedges | $ 0 | $ 0 | $ (146) |
Reclassification of net gains on cash flow hedges realized into net loss | $ 0 | (22) | $ (288) |
Interest rate swap | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Net unrealized losses on cash flow hedges | (146) | ||
Recast | Interest rate swap | Interest Expense | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Reclassification of net gains on cash flow hedges realized into net loss | $ 288 |
Derivative Instruments - Notion
Derivative Instruments - Notional Amounts (Details) € in Thousands, £ in Thousands, $ in Thousands | Dec. 31, 2021GBP (£) | Dec. 31, 2021EUR (€) | Dec. 31, 2021USD ($) | Dec. 31, 2020GBP (£) | Dec. 31, 2020EUR (€) | Dec. 31, 2020USD ($) |
Foreign currency exchange forward contracts | ||||||
Notional amounts of outstanding derivatives instruments designated as cash flow hedges | ||||||
Derivative, Notional Amount | £ 57,500 | € 11,000 | ||||
Foreign currency exchange forward contracts | Recast | ||||||
Notional amounts of outstanding derivatives instruments designated as cash flow hedges | ||||||
Derivative, Notional Amount | £ 143,565 | € 12,968 | ||||
Foreign currency purchased option contracts | ||||||
Notional amounts of outstanding derivatives instruments designated as cash flow hedges | ||||||
Derivative, Notional Amount | £ | £ 7,275 | |||||
Foreign currency purchased option contracts | Recast | ||||||
Notional amounts of outstanding derivatives instruments designated as cash flow hedges | ||||||
Derivative, Notional Amount | £ | £ 51,601 | |||||
Interest rate swap | ||||||
Notional amounts of outstanding derivatives instruments designated as cash flow hedges | ||||||
Derivative, Notional Amount | $ | $ 0 | |||||
Interest rate swap | Recast | ||||||
Notional amounts of outstanding derivatives instruments designated as cash flow hedges | ||||||
Derivative, Notional Amount | $ | $ 70,000 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Carrying value | ||
Long term debt | $ 747,399 | |
Promissory Note | 36,442 | |
Other long-term debt and finance lease obligations | 469,273 | |
Total long-term debt and finance lease obligations | 1,253,114 | |
Carrying value | Recast | ||
Long term debt | $ 746,875 | |
Promissory Note | 37,571 | |
Other long-term debt and finance lease obligations | 142,359 | |
Total long-term debt and finance lease obligations | 926,805 | |
Total long-term debt and finance lease obligations | 1,271,546 | |
Recast | ||
Total long-term debt and finance lease obligations | 948,049 | |
Recurring | Level 2 | Estimate of Fair Value Measurement [Member] | ||
Long term debt | 777,188 | |
Promissory Note | 38,284 | |
Other long-term debt and finance lease obligations | 469,273 | |
Total long-term debt and finance lease obligations | $ 1,284,745 | |
Recurring | Level 2 | Estimate of Fair Value Measurement [Member] | Recast | ||
Long term debt | 796,875 | |
Promissory Note | 40,405 | |
Other long-term debt and finance lease obligations | 142,359 | |
Total long-term debt and finance lease obligations | $ 979,639 |
Goodwill and Other Ingangibles
Goodwill and Other Ingangibles - Narrative (Details) - USD ($) | Jul. 31, 2020 | Jan. 01, 2010 | Dec. 31, 2021 | Dec. 31, 2015 | Dec. 31, 2020 |
Goodwill | |||||
Goodwill | $ 103,928,000 | $ 99,660,000 | |||
Georgia Biomass | |||||
Goodwill | |||||
Goodwill | $ 14,045,000 | ||||
Acquired Goodwill | $ 14,000,000 | ||||
Enviva Pellets Cottondale, LLC | |||||
Goodwill | |||||
Acquired Goodwill | $ 80.7 | ||||
Other Acquisitions | |||||
Goodwill | |||||
Acquired Goodwill | $ 4.9 | $ 4.3 |
Intangibles - (Details)
Intangibles - (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Finite-Lived Intangible Assets [Line Items] | |||
Total Finite Lived Intangible Assets (Liabilities), Gross | $ 4,344 | ||
Total Finite Lived Intangible Assets (Liabilities), Accumulated Amortization | (110) | ||
Cost, Depreciation and Amortization | (700) | $ (5,500) | $ (700) |
2022 | 1,010 | ||
2023 | 1,140 | ||
2024 | 1,140 | ||
2025 | 1,164 | ||
2026 | 0 | ||
Total | 4,454 | ||
Recast | |||
Finite-Lived Intangible Assets [Line Items] | |||
Total Finite Lived Intangible Assets (Liabilities), Gross | (1,156) | ||
Total Finite Lived Intangible Assets (Liabilities), Accumulated Amortization | (6,273) | ||
Total | 5,117 | ||
Favorable customer contracts | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 700 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | (225) | ||
Finite-Lived Intangible Assets, Net | 475 | ||
Favorable customer contracts | Recast | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 6,200 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | (5,566) | ||
Finite-Lived Intangible Assets, Net | 634 | ||
Assembled workforce | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 1,856 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | (1,726) | ||
Finite-Lived Intangible Assets, Net | 130 | ||
Assembled workforce | Recast | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 1,856 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | (1,249) | ||
Finite-Lived Intangible Assets, Net | 607 | ||
Unfavorable customer contract | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Liabilities, Gross | (600) | ||
Finite Lived Intangible Liabilities, Accumulated Amortization | 193 | ||
Finite-Lived Intangible Liabilities, Net | (407) | ||
Unfavorable customer contract | Recast | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Liabilities, Gross | (600) | ||
Finite Lived Intangible Liabilities, Accumulated Amortization | 57 | ||
Finite-Lived Intangible Liabilities, Net | (543) | ||
Unfavorable shipping contract | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Liabilities, Gross | (6,300) | ||
Finite Lived Intangible Liabilities, Accumulated Amortization | 1,648 | ||
Finite-Lived Intangible Liabilities, Net | $ (4,652) | ||
Unfavorable shipping contract | Recast | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Liabilities, Gross | (6,300) | ||
Finite Lived Intangible Liabilities, Accumulated Amortization | 485 | ||
Finite-Lived Intangible Liabilities, Net | $ (5,815) |
Payables and Accruals (Details)
Payables and Accruals (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Accrued Employee Benefits | $ 22,758 | |
Accrued and other current liabilities | 163,306 | $ 147,815 |
Recast | ||
Accrued Employee Benefits | 25,568 | |
Accrued and other current liabilities | 147,815 | |
Wood pellet purchases and distribution costs | ||
Other Accrued Liabilities, Current | 34,819 | |
Wood pellet purchases and distribution costs | Recast | ||
Other Accrued Liabilities, Current | 50,648 | |
Operating costs and expenses | ||
Other Accrued Liabilities, Current | 55,463 | |
Operating costs and expenses | Recast | ||
Other Accrued Liabilities, Current | 28,805 | |
Accrued capital expenditures | ||
Other Accrued Liabilities, Current | 21,791 | |
Accrued capital expenditures | Recast | ||
Other Accrued Liabilities, Current | 22,802 | |
Other accrued liabilities and expenses | ||
Other Accrued Liabilities, Current | $ 28,475 | |
Other accrued liabilities and expenses | Recast | ||
Other Accrued Liabilities, Current | $ 19,992 |
Long-Term Debt and Finance Le_3
Long-Term Debt and Finance Lease Obligations - Finance Lease Obligation Table (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Notes Payable, Related Parties | $ 0 | |
Unamortized discount, premium and debt issuance | 3,659 | |
Total present value of lease liabilities | 18,432 | |
Total long-term debt and finance lease obligations | 1,271,546 | |
Long-term debt, finance lease obligation and related party note payable, current portion | (39,105) | |
Long-term debt and finance lease obligations | 1,232,441 | $ 913,498 |
Recast | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Notes Payable, Related Parties | 20,000 | |
Total present value of lease liabilities | 21,603 | |
Total long-term debt and finance lease obligations | 948,049 | |
Long-term debt, finance lease obligation and related party note payable, current portion | (34,551) | |
Long-term debt and finance lease obligations | 913,498 | |
Seller Note | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Long term debt | 36,442 | |
Seller Note | Recast | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Long term debt | 37,571 | |
Other loans | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Long term debt | 3,273 | |
Other loans | Recast | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Long term debt | 2,359 | |
Finance leases | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Total present value of lease liabilities | 18,432 | |
Finance leases | Recast | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Total present value of lease liabilities | 21,244 | |
2026 notes | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Long term debt | 747,399 | |
Unamortized discount, premium and debt issuance | 2,600 | 3,100 |
2026 notes | Recast | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Long term debt | 746,875 | |
Revolving credit commitments | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Outstanding Borrowings-senior secured revolving credit facility | 466,000 | |
Revolving credit commitments | Recast | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Outstanding Borrowings-senior secured revolving credit facility | 120,000 | |
Seller Note | ||
Long-term Debt and Lease Obligation, Including Current Maturities [Abstract] | ||
Unamortized Discount | $ 1,100 | $ 2,400 |
Long-Term Debt and Finance Le_4
Long-Term Debt and Finance Lease Obligations - Senior Notes (Details) - USD ($) | Jul. 15, 2020 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||||
Gross proceeds from debt issuance | $ 321,750,000 | $ 155,625,000 | $ 601,777,000 | |
Gain (Loss) on Extinguishment of Debt | 9,377,000 | 0 | 9,042,000 | |
Debt redemption premium | $ 0 | 0 | $ 7,544,000 | |
Senior Notes | 2026 notes | ||||
Debt Instrument [Line Items] | ||||
Aggregate principal | $ 150 | $ 600 | ||
Interest rate (as a percent) | 650.00% | |||
Debt issuance costs, original issue discount and premium | $ 2,700,000 | |||
Gross proceeds from debt issuance | 601.8 | |||
Net proceeds debt issuance | $ 153.6 | 595.8 | ||
Debt Instrument, Redemption Price, Percentage | 103.75% | |||
Senior Notes | 2021 notes | ||||
Debt Instrument [Line Items] | ||||
Aggregate principal | $ 355 | |||
Interest rate (as a percent) | 850.00% | |||
Gain (Loss) on Extinguishment of Debt | $ 9 | |||
Debt redemption premium | 7.5 | |||
Debt issuance costs write off | 1.5 | |||
Repayments of Debt | $ 355 |
Long-Term Debt and Finance Le_5
Long-Term Debt and Finance Lease Obligations - Senior Secured Credit Facilities (Details) | Apr. 16, 2021USD ($) | Oct. 18, 2018USD ($) | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 17, 2021USD ($) |
Line of Credit Facility [Line Items] | ||||||
Letters of credit outstanding | $ 4,200,000 | $ 300,000 | ||||
Revolving credit commitments | Minimum | ||||||
Line of Credit Facility [Line Items] | ||||||
Interest coverage ratio | 2.25 | |||||
Revolving credit commitments | Maximum | ||||||
Line of Credit Facility [Line Items] | ||||||
Total Leverage Ratio | 5 | |||||
Leverage ratio during material transaction period | 5.25 | |||||
Senior secured revolving credit facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Basis point change | 25 | |||||
Line of Credit Facility, Commitment Fee Amount | $ 800,000 | 900,000 | $ 800,000 | |||
Outstanding Borrowings-senior secured revolving credit facility | $ 466,000,000 | $ 120,000,000 | ||||
Increase or decrease in total leverage ratio | 0.5 | |||||
Senior secured revolving credit facility | Fourth Amenedment to the Senior Secured Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Senior secured revolving credit facility | $ 350 | |||||
Maximum amount of letter of credit commitment | $ 50 | |||||
Senior secured revolving credit facility | Sixth Amendment to the Senior Secured Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Senior secured revolving credit facility | 525 | $ 525 | ||||
Maximum amount of letter of credit commitment | $ 80 | |||||
Senior secured revolving credit facility | Eighth Amendment to the Senior Secured Revolving Credit Facility | ||||||
Line of Credit Facility [Line Items] | ||||||
Senior secured revolving credit facility | $ 570 | |||||
Senior secured revolving credit facility | Minimum | ||||||
Line of Credit Facility [Line Items] | ||||||
Total Leverage Ratio | 2.75 | |||||
Commitment fee percentage | 25.00% | |||||
Senior secured revolving credit facility | Minimum | Eurodollar rate | ||||||
Line of Credit Facility [Line Items] | ||||||
Margin rate | 150.00% | |||||
Senior secured revolving credit facility | Minimum | Base rate | ||||||
Line of Credit Facility [Line Items] | ||||||
Margin rate | 50.00% | |||||
Senior secured revolving credit facility | Maximum | ||||||
Line of Credit Facility [Line Items] | ||||||
Total Leverage Ratio | 4.75 | |||||
Commitment fee percentage | 50.00% | |||||
Senior secured revolving credit facility | Maximum | Eurodollar rate | ||||||
Line of Credit Facility [Line Items] | ||||||
Margin rate | 275.00% | |||||
Senior secured revolving credit facility | Maximum | Base rate | ||||||
Line of Credit Facility [Line Items] | ||||||
Margin rate | 175.00% |
Long-Term Debt and Finance Le_6
Long-Term Debt and Finance Lease Obligations - Seller Note (Details) - Seller Note | Dec. 31, 2021USD ($) |
Line of Credit Facility [Line Items] | |
Promissory note remaining principal balance | $ 37.5 |
Interest rate (as a percent) | 250.00% |
Long-Term Debt and Finance Le_7
Long-Term Debt and Finance Lease Obligations - Debt Issuance Costs and Original Issue Discounts and Premium (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Debt Instrument [Line Items] | |||
Unamortized discount, premium and debt issuance | $ 3,659 | ||
Unamortized debt issuance costs | 3,659 | ||
Amortization expense included in interest expense | 764 | $ 2,506 | $ 2,138 |
Interest Expense | |||
Debt Instrument [Line Items] | |||
Amortization expense included in interest expense | 3,900 | 2,600 | $ 2,600 |
Long-term debt | |||
Debt Instrument [Line Items] | |||
Unamortized discount, premium and debt issuance | 3,700 | 5,500 | |
Unamortized debt issuance costs | 3,700 | 5,500 | |
Revolving credit facility | Long-term assets | |||
Debt Instrument [Line Items] | |||
Unamortized discount, premium and debt issuance | 2,800 | 1,500 | |
Unamortized debt issuance costs | $ 2,800 | $ 1,500 |
Long-Term Debt and Finance Le_8
Long-Term Debt and Finance Lease Obligations - Schedule of Debt Maturities (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Debt Disclosure [Abstract] | |
2022 | $ 39,105 |
2023 | 13,461 |
2024 | 1,973 |
2025 | 1,581 |
2026 and thereafter | 1,219,085 |
Long-term debt and finance lease obligations | 1,275,205 |
Unamortized discount, premium and debt issuance | (3,659) |
Total long-term debt and finance lease obligations | 1,271,546 |
Debt Instrument [Line Items] | |
Depreciation expense | $ 92,630 |
Long-Term Debt and Finance Le_9
Long-Term Debt and Finance Lease Obligations - Senior Secured Green Term Loan Facility (Details) - USD ($) | Oct. 14, 2021 | Feb. 11, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | |||||
Proceeds from debt issuance | $ 321,750,000 | $ 155,625,000 | $ 601,777,000 | ||
Green Term Loan Facility | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Face Amount | $ 325 | ||||
Proceeds from debt issuance | 325 | ||||
Net proceeds debt issuance | $ 317.2 | ||||
Repayments of Debt | $ 338.7 | ||||
Green Term Loan Facility | London Interbank Offered Rate (LIBOR) | Maximum | |||||
Debt Instrument [Line Items] | |||||
Interest rate (as a percent) | 550.00% | ||||
Green Term Loan Facility | London Interbank Offered Rate (LIBOR) | Minimum | |||||
Debt Instrument [Line Items] | |||||
Interest rate (as a percent) | 100.00% |
Related-Party Transactions - Co
Related-Party Transactions - Common Control Transactions (Details) - USD ($) | Oct. 14, 2021 | Feb. 11, 2021 | Nov. 03, 2020 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Related Party Transaction [Line Items] | ||||||||
Related-party note payable | $ 0 | $ 0 | $ 20,000,000 | |||||
Support payments | 15,446,000 | 15,446,000 | $ 0 | $ 0 | ||||
Enviva Partners, LP [Member] | ||||||||
Related Party Transaction [Line Items] | ||||||||
Distribution Made to Limited Partner, Unit Distribution | [1] | 49,700,000 | ||||||
Simplification Transaction | ||||||||
Related Party Transaction [Line Items] | ||||||||
Stock Issued During Period, Shares, Dividend Reinvestment Plan | 9 | |||||||
Support payments | $ 55.5 | |||||||
Simplification Transaction | Enviva Partners, LP [Member] | ||||||||
Related Party Transaction [Line Items] | ||||||||
Common Unit, Issued | 16 | |||||||
Riverstone loan | ||||||||
Related Party Transaction [Line Items] | ||||||||
Payments for Capital Improvements | $ 2,600,000 | |||||||
Riverstone loan | Simplification Transaction | ||||||||
Related Party Transaction [Line Items] | ||||||||
Common Unit, Issued | 14.1 | |||||||
Our Former Sponsor | Simplification Transaction | ||||||||
Related Party Transaction [Line Items] | ||||||||
Distribution Made to Limited Partner, Unit Distribution | 13.6 | |||||||
Our Former Sponsor | Riverstone loan | ||||||||
Related Party Transaction [Line Items] | ||||||||
Related-party note payable | 20,000,000 | |||||||
Repayments of Debt | $ 20,100,000 | |||||||
Development JV | Riverstone loan | ||||||||
Related Party Transaction [Line Items] | ||||||||
Repayments of Debt | $ 15,000,000 | |||||||
Riverstone Funds | Simplification Transaction | ||||||||
Related Party Transaction [Line Items] | ||||||||
Stock Issued During Period, Shares, Dividend Reinvestment Plan | 8.7 | |||||||
Common units held by affiliate | $ 27.7 | |||||||
Accrued and Other Current Liabilities | Our Former Sponsor | ||||||||
Related Party Transaction [Line Items] | ||||||||
Due to Related Parties | $ 45,161 | 45,161 | $ 500,000 | |||||
Selling, General, Administrative and Development Expenses | Our Former Sponsor | ||||||||
Related Party Transaction [Line Items] | ||||||||
Monitoring fee | $ 1,100,000 | $ 1,200,000 | $ 1,100,000 | |||||
[1] | See Note 17, Equity |
Income Taxes Narrative (Details
Income Taxes Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Provision for income tax | $ 0 | $ 0 | $ 0 |
Income Tax Expense (Benefit) | (16,975,000) | 169,000 | (1,932,000) |
Operating Loss Carryforwards | 4,800,000 | ||
Reserves for uncertain tax position | 0 | 0 | 0 |
Deferred Tax Assets, Operating Loss Carryforwards, Subject to Expiration | 3.6 | ||
Loss before Income Taxes [Abstract] | |||
U.S. | (162,246,000) | ||
Foreign | 421,000 | ||
Net loss not subject to federal income tax | 145,040,000 | ||
Loss before income tax | (16,785,000) | ||
Current and Deferred Federal, State and Local, Tax Expense (Benefit) [Abstract] | |||
Current Federal Tax Expense (Benefit) | 4,593,000 | ||
Current State and Local Tax Expense (Benefit) | 5,000 | ||
Current Foreign Tax Expense (Benefit) | 55,000 | ||
Current Income Tax Expense (Benefit) | 4,653,000 | 43,000 | |
Deferred Federal Income Tax Expense (Benefit) | (21,570,000) | ||
Deferred State and Local Income Tax Expense (Benefit) | (58,000) | ||
Deferred Income Tax Expense (Benefit) | (21,628,000) | ||
Income Tax Expense (Benefit) | (16,975,000) | 169,000 | (1,932,000) |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Income tax (benefit) expense at statutory federal income tax rate | (34,072,000) | ||
Partnership earnings not subject to tax | 30,547,000 | ||
Recognition/derecognition of deferred tax | (155,980,000) | ||
Valuation allowance | 142,822,000 | ||
Other | (292,000) | ||
Income Tax Expense (Benefit) | (16,975,000) | 169,000 | (1,932,000) |
Components of Deferred Tax Assets and Liabilities [Abstract] | |||
Deferred Tax Assets, Operating Loss Carryforwards | 1,033,000 | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits | 2,874,000 | ||
Deferred Tax Assets, operating lease liabilities | 27,906,000 | ||
Deferred Tax Assets, Derivative Instruments | 391,000 | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Equity Based Compensation | 10,681,000 | ||
Deferred Tax Assets, Property, Plant and Equipment | 122,988,000 | ||
Deferred Tax Asset, Interest Carryforward | 0 | ||
Deferred Tax Assets, Goodwill and Intangible Assets | 953,000 | ||
Deferred Tax Liabilities, Prepaid Expenses | (548,000) | ||
Deferred Tax Liabilities, Deferred Expense, Reserves and Accruals | (23,286,000) | ||
Deferred Tax Liabilities, Other | (206,000) | ||
Total deferred tax liabilities | (24,040,000) | ||
Deferred Tax Assets, Valuation Allowance | (142,822,000) | ||
Net deferred tax liability net valuation allowance | (36,000) | (25,218,000) | |
Recast | |||
Income Tax Expense (Benefit) | 169,000 | (1,954,000) | |
Loss before Income Taxes [Abstract] | |||
U.S. | (106,155,000) | (136,916,000) | |
Foreign | 81,000 | 54,000 | |
Net loss not subject to federal income tax | 102,603,000 | 129,288,000 | |
Loss before income tax | (3,471,000) | (7,574,000) | |
Current and Deferred Federal, State and Local, Tax Expense (Benefit) [Abstract] | |||
Current Federal Tax Expense (Benefit) | 0 | 0 | |
Current State and Local Tax Expense (Benefit) | 0 | 1,000 | |
Current Foreign Tax Expense (Benefit) | 86,000 | 42,000 | |
Current Income Tax Expense (Benefit) | 86,000 | ||
Deferred Federal Income Tax Expense (Benefit) | 82,000 | (1,996,000) | |
Deferred State and Local Income Tax Expense (Benefit) | 1,000 | (1,000) | |
Deferred Income Tax Expense (Benefit) | 83,000 | (1,997,000) | |
Income Tax Expense (Benefit) | 169,000 | (1,954,000) | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||
Income tax (benefit) expense at statutory federal income tax rate | (22,293,000) | (28,752,000) | |
Partnership earnings not subject to tax | 21,564,000 | 27,162,000 | |
Recognition/derecognition of deferred tax | 0 | 0 | |
Valuation allowance | 0 | 0 | |
Other | 898,000 | (364,000) | |
Income Tax Expense (Benefit) | 169,000 | $ (1,954,000) | |
Components of Deferred Tax Assets and Liabilities [Abstract] | |||
Deferred Tax Assets, Operating Loss Carryforwards | 9,730,000 | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits | 0 | ||
Deferred Tax Assets, operating lease liabilities | 0 | ||
Deferred Tax Assets, Derivative Instruments | 0 | ||
Deferred Tax Assets, Tax Deferred Expense, Compensation and Benefits, Equity Based Compensation | 0 | ||
Deferred Tax Assets, Property, Plant and Equipment | 0 | ||
Deferred Tax Asset, Interest Carryforward | 2,328,000 | ||
Deferred Tax Assets, Goodwill and Intangible Assets | 0 | ||
Total deferred tax assets | 12,058,000 | ||
Deferred Tax Liabilities, Prepaid Expenses | 0 | ||
Deferred Tax Liabilities, Deferred Expense, Reserves and Accruals | 0 | ||
Investment in affiliates | (35,202,000) | ||
Deferred Tax Liabilities, Other | (36,000) | ||
Total deferred tax liabilities | (35,238,000) | ||
Deferred Tax Assets, Valuation Allowance | (2,038,000) | ||
Net deferred tax liability net of valuation allowance | $ 25,218,000 | ||
Conversion to Corporation | |||
Deferred Tax Assets, Net | 142,800,000 | ||
Deferred Income Taxes and Tax Credits | 0 | ||
Enviva Pellets Waycross Holdings, LLC | |||
Components of Deferred Tax Assets and Liabilities [Abstract] | |||
Total deferred tax assets | 166,826,000 | ||
Investment in affiliates | 0 | ||
Net deferred tax liability net of valuation allowance | $ 36,000 |
Partners' Capital - Common Unit
Partners' Capital - Common Units Issuance and Hamlet JV (Details) - USD ($) | Apr. 02, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Partners' Capital and Distribution | ||||
Issuance of common units value | $ 0 | $ 0 | $ 49,700,000 | |
Hamlet JV | ||||
Partners' Capital and Distribution | ||||
Issue units in registered direct offering (in $) | $ 1 | |||
Distribution to holders of outstanding Class B Units | 7500.00% | |||
John Hancock | Hamlet JV | ||||
Partners' Capital and Distribution | ||||
Waterfall Distribution, Class A Units, Remainder Percent | 2500.00% | |||
Class A Units | Hamlet JV | ||||
Partners' Capital and Distribution | ||||
Total capital commitment | $ 235,200,000 | |||
Limited partner units outstanding | 227 | |||
Remaining capital commitment | $ 8,200,000 | |||
Issue units in registered direct offering (in $) | 1 | |||
Class B Units | Hamlet JV | ||||
Partners' Capital and Distribution | ||||
Total capital commitment | $ 232,200,000 | |||
Limited partner units outstanding | 224 | |||
Remaining capital commitment | $ 8,200,000 | |||
Issue units in registered direct offering (in $) | $ 1 |
Partners' Capital - Cash Distri
Partners' Capital - Cash Distributions to Unitholders (Details) - $ / shares | Feb. 02, 2022 | Nov. 03, 2021 | Jul. 27, 2021 | Apr. 28, 2021 | Jan. 29, 2021 | Oct. 30, 2020 | Aug. 05, 2020 |
Distribution per unit | |||||||
Cash distribution declared (in dollars per unit) | $ 0.8400 | $ 0.8150 | $ 0.7850 | $ 0.7800 | $ 0.7750 | $ 0.7650 | |
Subsequent Event - LTIP units | |||||||
Distribution per unit | |||||||
Cash distribution declared (in dollars per unit) | $ 0.8600 |
Equity - Development JV (Detail
Equity - Development JV (Details) - USD ($) | Jul. 01, 2021 | Feb. 15, 2021 |
Development JV | ||
Payments for acquisition of noncontrolling interest in Development JV | $ 23.7 | $ 130.1 |
Equity - Narrative (Details)
Equity - Narrative (Details) - USD ($) | Oct. 14, 2021 | Jun. 08, 2021 | Aug. 15, 2020 | Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 30, 2020 |
Class of Stock [Line Items] | ||||||||
Series B, Units Issued | 2,500 | |||||||
Support payments | $ 15,446,000 | $ 15,446,000 | $ 0 | $ 0 | ||||
Simplification Transaction | ||||||||
Class of Stock [Line Items] | ||||||||
Support payments | $ 55.5 | |||||||
Stock Issued During Period, Shares, Dividend Reinvestment Plan | 9 | |||||||
Simplification Transaction | Riverstone Funds | ||||||||
Class of Stock [Line Items] | ||||||||
Stock Issued During Period, Shares, Dividend Reinvestment Plan | 8.7 | |||||||
the Partnership | ||||||||
Class of Stock [Line Items] | ||||||||
Shares Issued, Price Per Share | $ 45.50 | $ 45.50 | $ 32.5 | |||||
Issuance of common units, net (in units) | 6.2 | 3.5 | ||||||
Net proceeds | $ 214,500,000 | $ 190.5 | $ 97 | |||||
Issuance costs | $ 9,500,000 | 9.5 | $ 3 | |||||
Proceeds from Issuance or Sale of Equity | 200 | |||||||
the Partnership | Private Placement | ||||||||
Class of Stock [Line Items] | ||||||||
Issuance of common units, net (in units) | 4,925,000 | |||||||
the Partnership | Simplification Transaction | ||||||||
Class of Stock [Line Items] | ||||||||
Common Unit, Issued | 16 | |||||||
Maximum | ||||||||
Class of Stock [Line Items] | ||||||||
Series B, Units Issued | 10,000 | |||||||
Conversion to Corporation | ||||||||
Class of Stock [Line Items] | ||||||||
Common Stock, Par or Stated Value Per Share | $ 0.001 | $ 0.001 | ||||||
Simplification Transaction | the Partnership | ||||||||
Class of Stock [Line Items] | ||||||||
Common Unit, Issued | 16 | |||||||
Series A | ||||||||
Class of Stock [Line Items] | ||||||||
Distribution rights percentage | 8500.00% | |||||||
Series A | Our Former Sponsor | ||||||||
Class of Stock [Line Items] | ||||||||
Common Unit, Issued | 250 | |||||||
Series A | Maximum | ||||||||
Class of Stock [Line Items] | ||||||||
Distribution rights percentage | 10000.00% | |||||||
Series A | Minimum | ||||||||
Class of Stock [Line Items] | ||||||||
Distribution rights value | $ 0 | |||||||
Series A | Recapitalization | General Partner Interest | ||||||||
Class of Stock [Line Items] | ||||||||
Equity commitments | 0 | |||||||
Series A | Recapitalization | Maximum | General Partner Interest | ||||||||
Class of Stock [Line Items] | ||||||||
Equity commitments | $ 300 | |||||||
Series B | ||||||||
Class of Stock [Line Items] | ||||||||
Grant date fair value | $ 38.5 | |||||||
Distribution rights percentage | 1500.00% | |||||||
Series B | Our Former Sponsor | ||||||||
Class of Stock [Line Items] | ||||||||
Common Unit, Issued | 14.1 | |||||||
Series B | Maximum | ||||||||
Class of Stock [Line Items] | ||||||||
Distribution rights percentage | 10000.00% | |||||||
Series B | Minimum | ||||||||
Class of Stock [Line Items] | ||||||||
Distribution rights value | $ 0 | |||||||
Series C | Our Former Sponsor | ||||||||
Class of Stock [Line Items] | ||||||||
Common Unit, Issued | 6 | |||||||
Series D | Our Former Sponsor | ||||||||
Class of Stock [Line Items] | ||||||||
Common Unit, Issued | 113.2 | |||||||
Series E | Our Former Sponsor | ||||||||
Class of Stock [Line Items] | ||||||||
Common Unit, Issued | 1.1 |
Equity-Based Awards Equity-Base
Equity-Based Awards Equity-Based Awards Narrative (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Equity-Based Awards | ||||||||
Payment for withholding tax | $ 10,979,000 | $ 4,996,000 | $ 1,910,000 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Terms of Award | Time-based Affiliate Grants vest on the third or fourth anniversary of the grant date | |||||||
Performance-Based Phantom Units | Minimum | ||||||||
Equity-Based Awards | ||||||||
Vesting period | 3 years | |||||||
Performance-Based Phantom Units | Maximum | ||||||||
Equity-Based Awards | ||||||||
Vesting period | 4 years | |||||||
LTIP | ||||||||
Equity-Based Awards | ||||||||
Number of common units to be awarded under the plan | 3,450,000 | |||||||
Vesting period | 60 days | |||||||
Affiliate Grants | ||||||||
Equity-Based Awards | ||||||||
Grant date fair value | $ 27,700,000 | $ 35,700,000 | ||||||
Vested (in units) | 469,329 | 299,997 | 145,506 | |||||
Granted (in units) | 544,037 | 940,048 | 615,794 | |||||
Unrecognized estimated compensation cost | $ 41,300,000 | |||||||
Affiliate Grants | Enviva Management Company | ||||||||
Equity-Based Awards | ||||||||
Payment for withholding tax | 11,000,000 | $ 5,000,000 | ||||||
Affiliate Grants | General and administrative expenses | ||||||||
Equity-Based Awards | ||||||||
General and administrative expenses | $ 28,000,000 | $ 25,100,000 | $ 10,200,000 | |||||
Affiliate Grants | Time-Based Phantom Units | ||||||||
Equity-Based Awards | ||||||||
Vested (in units) | 312,528 | 232,116 | 145,506 | |||||
Granted (in units) | 378,488 | 552,988 | 395,851 | |||||
Affiliate Grants | Performance-Based Phantom Units | ||||||||
Equity-Based Awards | ||||||||
Vested (in units) | 156,801 | 67,881 | 0 | |||||
Granted (in units) | 165,549 | 387,060 | 219,943 | |||||
Director Grants | ||||||||
Equity-Based Awards | ||||||||
Grant date fair value | $ 100,000 | $ 600,000 | $ 100,000 | $ 500,000 | $ 400,000 | |||
Compensation expense | $ 800,000 | $ 500,000 | $ 400,000 | |||||
Vested (in units) | 14,987 | 13,264 | 13,964 | |||||
Granted (in units) | 14,234 | 14,987 | 13,264 | |||||
Unrecognized estimated compensation cost | $ 100,000 |
Equity-Based Awards Equity-Ba_2
Equity-Based Awards Equity-Based Awards Schedule of Phantom Unit Awards (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Affiliate Grants | |||
Equity-Based Awards-Schedule of Phantom Unit Awards [Roll Forward] | |||
Nonvested at the beginning of the period (in units) | 1,710,399 | 1,309,556 | 963,452 |
Granted (in units) | 544,037 | 940,048 | 615,794 |
Forfeitures (in units) | (174,929) | (239,208) | (124,184) |
Vested (in units) | (469,329) | (299,997) | (145,506) |
Nonvested at the end of the period (in units) | 1,610,178 | 1,710,399 | 1,309,556 |
Equity-Based Awards-Weighted Average Grant Date Fair Value [Roll Forward] | |||
Nonvested at the beginning of the period (in dollars per unit) | $ 33.73 | $ 28.88 | $ 26.34 |
Granted (in dollars per unit) | 50.93 | 38 | 30.36 |
Forfeitures (in dollar per unit) | 39.29 | 32.15 | 28.80 |
Vested (in dollars per unit) | 30.20 | 27.21 | 18.30 |
Nonvested at the end of the period (in dollars per unit) | $ 39.97 | $ 33.73 | $ 28.88 |
Affiliate Grants | Time-Based Phantom Units | |||
Equity-Based Awards-Schedule of Phantom Unit Awards [Roll Forward] | |||
Nonvested at the beginning of the period (in units) | 1,061,885 | 874,286 | 723,940 |
Granted (in units) | 378,488 | 552,988 | 395,851 |
Forfeitures (in units) | (125,784) | (133,273) | (99,999) |
Vested (in units) | (312,528) | (232,116) | (145,506) |
Nonvested at the end of the period (in units) | 1,002,061 | 1,061,885 | 874,286 |
Equity-Based Awards-Weighted Average Grant Date Fair Value [Roll Forward] | |||
Nonvested at the beginning of the period (in dollars per unit) | $ 33.52 | $ 28.90 | $ 25.91 |
Granted (in dollars per unit) | 51.96 | 37.98 | 30.41 |
Forfeitures (in dollar per unit) | 39.49 | 33.15 | 28.56 |
Vested (in dollars per unit) | 30.03 | 26.97 | 18.30 |
Nonvested at the end of the period (in dollars per unit) | $ 40.82 | $ 33.52 | $ 28.90 |
Affiliate Grants | Performance-Based Phantom Units | |||
Equity-Based Awards-Schedule of Phantom Unit Awards [Roll Forward] | |||
Nonvested at the beginning of the period (in units) | 648,514 | 435,270 | 239,512 |
Granted (in units) | 165,549 | 387,060 | 219,943 |
Forfeitures (in units) | (49,145) | (105,935) | (24,185) |
Vested (in units) | (156,801) | (67,881) | 0 |
Nonvested at the end of the period (in units) | 608,117 | 648,514 | 435,270 |
Equity-Based Awards-Weighted Average Grant Date Fair Value [Roll Forward] | |||
Nonvested at the beginning of the period (in dollars per unit) | $ 34.07 | $ 28.84 | $ 27.65 |
Granted (in dollars per unit) | 48.58 | 38.02 | 30.28 |
Forfeitures (in dollar per unit) | 38.77 | 30.89 | 29.82 |
Vested (in dollars per unit) | 30.52 | 28.03 | 0 |
Nonvested at the end of the period (in dollars per unit) | $ 38.56 | $ 34.07 | $ 28.84 |
Director Grants | |||
Equity-Based Awards-Schedule of Phantom Unit Awards [Roll Forward] | |||
Nonvested at the beginning of the period (in units) | 14,987 | 13,264 | 13,964 |
Granted (in units) | 14,234 | 14,987 | 13,264 |
Vested (in units) | (14,987) | (13,264) | (13,964) |
Nonvested at the end of the period (in units) | 14,234 | 14,987 | 13,264 |
Equity-Based Awards-Weighted Average Grant Date Fair Value [Roll Forward] | |||
Nonvested at the beginning of the period (in dollars per unit) | $ 38.37 | $ 30.16 | $ 28.65 |
Granted (in dollars per unit) | 48.48 | 38.37 | 30.16 |
Vested (in dollars per unit) | 38.37 | 30.16 | 28.65 |
Nonvested at the end of the period (in dollars per unit) | $ 48.48 | $ 38.37 | $ 30.16 |
Equity-Based Awards Distributio
Equity-Based Awards Distribution Equivalent Rights (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
LTIP | |||
Class of Stock [Line Items] | |||
Vesting period | 60 days | ||
Performance-Based Phantom Units | |||
Class of Stock [Line Items] | |||
Unpaid DER | $ 7,191,000 | $ 4,639,000 | |
Time-Based Phantom Units | |||
Class of Stock [Line Items] | |||
Unpaid DER | 0 | ||
Time-Based Phantom Units | Affiliate Grants | |||
Class of Stock [Line Items] | |||
Distributions Paid Related To Distribution Equivalent Rights | $ 3,500,000 | 3,900,000 | $ 2,700,000 |
Distribution Equivalent Rights | |||
Class of Stock [Line Items] | |||
Vesting period | 60 days | ||
Accrued liabilities | Performance-Based Phantom Units | |||
Class of Stock [Line Items] | |||
Unpaid DER | $ 2,690,000 | 1,697,000 | |
Other long-term liabilities | Performance-Based Phantom Units | |||
Class of Stock [Line Items] | |||
Unpaid DER | $ 4,501,000 | $ 2,942,000 |
Equity-Based Awards-Restricted
Equity-Based Awards-Restricted Shares (Details) - USD ($) | Aug. 15, 2020 | Dec. 31, 2021 | Dec. 31, 2020 |
Class of Stock [Line Items] | |||
Series B, Units Issued | 2,500 | ||
Conversion to Corporation | |||
Class of Stock [Line Items] | |||
Restricted Stock or Unit Expense | $ 3.2 | ||
Maximum | |||
Class of Stock [Line Items] | |||
Series B, Units Issued | 10,000 | ||
Series B | |||
Class of Stock [Line Items] | |||
Grant date fair value | $ 38.5 | ||
Restricted Stock or Unit Expense | 23.8 | $ 13.9 | |
Unrecognized estimated compensation cost | 47.3 | ||
Series B | Simplification Transaction | |||
Class of Stock [Line Items] | |||
Restricted Stock or Unit Expense | $ 16.6 |
Net Loss per Unit - Narrative (
Net Loss per Unit - Narrative (Details) | Oct. 14, 2021shares |
Simplification Transaction | Our Former Sponsor | |
Common Unit, Issued | 16 |
Commitments and Contingencies C
Commitments and Contingencies Commitments and Contingencies (Details) MT in Thousands | 12 Months Ended | ||
Dec. 31, 2021USD ($)MT | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Commitments and Contingencies | |||
Firm commitments | $ 506,269,000 | ||
Cost of goods sold | 1,138,930,000 | $ 935,392,000 | $ 769,810,000 |
Shipping expenses | Cost of goods sold | |||
Commitments and Contingencies | |||
Cost of goods sold | 94,700,000 | 75,000,000 | 64,100,000 |
Terminal and stevedoring services agreements | |||
Commitments and Contingencies | |||
Firm commitments | 20,000,000 | ||
Services expenses | 12,300,000 | 9,700,000 | 11,300,000 |
Transportation Agreement | |||
Commitments and Contingencies | |||
Transportation expense | $ 43,800,000 | 36,600,000 | 34,700,000 |
Long-term supply agreement | |||
Commitments and Contingencies | |||
Purchase commitment for wood pellets | MT | 450 | ||
Sale commitment for wood pellets | MT | 450 | ||
Wood pellet purchases | $ 109,600,000 | $ 25,100,000 | $ 51,600,000 |
Remaining amount of wood pellets to be sold | $ 69.4 | ||
Long-term shipping agreement | Maximum | |||
Commitments and Contingencies | |||
Lease term | 17 years |
Commitments and Contingencies_2
Commitments and Contingencies Commitments and Contingencies - Schedule of Future Minimum Firm Commitments (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2022 | $ 136,103 |
2023 | 129,292 |
2024 | 100,347 |
2025 | 80,199 |
2026 | 60,328 |
Total | $ 506,269 |
Subsequent Events (Details)
Subsequent Events (Details) - Issuance of common shares | Jan. 19, 2022USD ($)$ / sharesshares |
Subsequent Event [Line Items] | |
Common Stock, Shares, Issued | shares | 4,950,000 |
Common Stock, Par or Stated Value Per Share | $ / shares | $ 70 |
Proceeds from Issuance of Common Stock | $ 334 |
Debt Issuance Costs | $ 12.2 |
Uncategorized Items - eva-20211
Label | Element | Value |
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | $ 0 |
Partners Capital/Equity non cash equity-based compensation and other expense | eva_PartnersCapitalEquityNonCashEquityBasedCompensationAndOtherExpense | 12,813,000 |
Stock Issued During Period, Value, Issued for Services | us-gaap_StockIssuedDuringPeriodValueIssuedForServices | 7,560,000 |
Stock Issued During Period, Value, Conversion of Units | us-gaap_StockIssuedDuringPeriodValueConversionOfUnits | 3,531,000 |
Distributions Made to Limited Partner Cash Distributions and Equivalent Rights | eva_DistributionsMadeToLimitedPartnerCashDistributionsAndEquivalentRights | 52,145,000 |
Common Stock [Member] | Common Units Public [Member] | ||
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | 350,924,000 |
Partners Capital/Equity non cash equity-based compensation and other expense | eva_PartnersCapitalEquityNonCashEquityBasedCompensationAndOtherExpense | $ 12,813,000 |
Stock Issued During Period, Shares, Other | us-gaap_StockIssuedDuringPeriodSharesOther | 16,000,000 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | $ (19,785,000) |
Proceeds from (Payments for) Other Financing Activities | us-gaap_ProceedsFromPaymentsForOtherFinancingActivities | 15,446,000 |
Stock Issued During Period, Value, Issued for Services | us-gaap_StockIssuedDuringPeriodValueIssuedForServices | $ 7,560,000 |
Partners Capital/Equity non cash equity-based compensation and other expense (in shares/untis) | eva_PartnersCapitalEquityNonCashEquityBasedCompensationAndOtherExpenseInSharesuntis | $ 6,000 |
Other Comprehensive Income (Loss), Net of Tax | us-gaap_OtherComprehensiveIncomeLossNetOfTax | $ 14,000 |
Distributions Made to Limited Partner Cash Distributions and Equivalent Rights | eva_DistributionsMadeToLimitedPartnerCashDistributionsAndEquivalentRights | $ 52,145,000 |
Stock Issued During Period, Shares, Issued for Services | us-gaap_StockIssuedDuringPeriodSharesIssuedForServices | 115,000 |
Parent [Member] | ||
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | $ 553,589,000 |
Partners Capital/Equity non cash equity-based compensation and other expense | eva_PartnersCapitalEquityNonCashEquityBasedCompensationAndOtherExpense | 12,813,000 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | (19,785,000) |
Proceeds from (Payments for) Other Financing Activities | us-gaap_ProceedsFromPaymentsForOtherFinancingActivities | 15,446,000 |
Stock Issued During Period, Value, Issued for Services | us-gaap_StockIssuedDuringPeriodValueIssuedForServices | 7,560,000 |
Stock Issued During Period, Value, Conversion of Units | us-gaap_StockIssuedDuringPeriodValueConversionOfUnits | 3,531,000 |
Other Comprehensive Income (Loss), Net of Tax | us-gaap_OtherComprehensiveIncomeLossNetOfTax | 14,000 |
Distributions Made to Limited Partner Cash Distributions and Equivalent Rights | eva_DistributionsMadeToLimitedPartnerCashDistributionsAndEquivalentRights | 52,145,000 |
Noncontrolling Interest [Member] | ||
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | 553,589,000 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | us-gaap_ProfitLoss | 27,000 |
Series A [Member] | Preferred Stock [Member] | ||
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | $ 240,363,000 |
Stock Issued During Period, Shares, Other | us-gaap_StockIssuedDuringPeriodSharesOther | 784,980,000 |
Series B [Member] | Preferred Stock [Member] | ||
Stock Issued During Period, Value, Other | us-gaap_StockIssuedDuringPeriodValueOther | $ 37,698,000 |
Stock Issued During Period, Shares, Other | us-gaap_StockIssuedDuringPeriodSharesOther | 9,400 |