MAUMEE, Ohio, Feb. 11, 2014 /PRNewswire/ -- The
Andersons, Inc. (Nasdaq: ANDE) today announced net income
attributable to the company of $89.9
million, or $3.18 per diluted
share, on $5.6 billion in
revenues. It should be noted that all prior period per share
data in this release has been adjusted to reflect the company's
February 2014 three-for-two stock
split. Last year earnings were $79.5
million, or $2.82 per diluted
share on revenues of $5.3 billion.
The company earned $30.7 million in
the fourth quarter of 2013, or $1.08
per diluted share, on revenues of $1.6
billion. In the same three month period of 2012, the
company reported net income of $15.0
million, or $0.53 per diluted
share, on revenues of $1.7
billion.
(Logo: http://photos.prnewswire.com/prnh/20081104/CLTU081LOGO
)
The Ethanol Group had record operating income of $50.6 million in 2013, compared to a loss of
$3.7 million in the prior year. The
significant increase in operating income was primarily due to
higher ethanol margins, which were impacted by solid ethanol export
demand, and lower corn costs. The ethanol plants also
benefitted from improved production rates and increased co-product
sales of corn oil, E-85 and distillers dried grains. Total 2013
revenues were $832 million, up from
$743 million in 2012. The revenue
increase was due to both a full year of production at the
Denison Iowa plant and an increase
in the average price of ethanol. The group's fourth quarter results
were a record not only for the fourth quarter, but for any quarter.
The operating income was $26.6
million on revenues of $197
million. During the same three month period of 2012, a loss
of $0.8 million was incurred on
revenues of $215 million.
The Grain Group's 2013 operating income was $46.8 million, compared to $63.6 million in the prior year. The group
had considerably lower space income in 2013, as a result of the
drought, but increased gross profit on sales, primarily due to
growth. Lansing Trade Group contributed significantly to the Grain
Group's result. Total revenues for the Grain Group were
$3.6 billion and $3.3 billion in 2013 and 2012, respectively.
Revenues increased due to greater sales volume, as average grain
prices actually declined. For the fourth quarter, the group's
operating income was $22.1 million on
revenues of $1.1 billion. In the same
three month period of 2012, the group had operating income of
$18.1 million on revenues of
$1.2 billion. Both space income and
gross profit on sales in the fourth quarter were higher than the
prior year.
The Rail Group achieved operating income of $42.8 million both this year and last year. Gross
profit from the leasing business was significantly higher than the
prior year due to higher lease and utilization rates. The full year
utilization rate increased 1.5 percent in 2013 to 86.1 percent, and
utilization ended the year at 88.3 percent. The group recognized
$19.4 million in pre-tax gains on
sales of railcars and related leases and non-recourse transactions.
In 2012, the company recognized gains of $23.7 million on similar transactions. Revenues
of $165 million for 2013 were higher
than the $156 million reported in the
prior year. The Rail Group had operating income of $6.2 million in the fourth quarter on revenues of
$32 million. In 2012, operating
income for the same three month period was $8.6 million on revenues of $29 million. The prior year fourth quarter
results included a $2.8 million lease
settlement.
The Plant Nutrient Group finished the year with operating income
of $27.3 million on revenues of
$709 million. In 2012, the group's
operating income was $39.3 million
and revenues were $797 million.
Margins and volume in 2013 were lower than the prior year due to
flat to declining markets, but were still solid. For the fourth
quarter, the group's operating income was $6.2 million on $171
million of revenues as many nutrient prices reset and they
experienced a good fall season. Last year the group had operating
income of $4.7 million during the
same three month period on revenues of $178
million.
The Turf & Specialty Group's full year operating income was
a record $4.7 million on revenues of
$141 million. In 2012, the group had
operating income of $2.2 million, and
total revenues were $131 million. The
group incurred an operating loss of $1.4
million in the fourth quarter on revenues of $23 million. Last year, the same period had an
operating loss of $1.2 million on
revenues of $21 million. During the
quarter, the group acquired the assets of the Cycle Group, Inc., a
production facility in North
Carolina that expanded the group's presence in the granular
business.
The Retail Group had an operating loss of $7.5 million in 2013, which included $4.7 million in one-time costs. In the
prior year, the group's operating loss was $4.0 million, which included $1.1 million in one-time expenses. Excluding
one-time items, the group's operating results were consistent with
the prior year. The Retail Group's fourth quarter operating income
was a loss of $3.9 million, which
included a $3.9 million asset
impairment for two stores.
"I am proud of our 2013 results and the team we have here at The
Andersons," CEO Mike Anderson
stated. "The Ethanol Group had exceptional results; they worked to
simultaneously optimize margins, yields, production rates and
co-product sales. Quite simply, the Ethanol Group hit the ball out
of the park. The Rail Group nearly matched its record income from
last year, even with a $4.3 million
decrease in gains on railcar sales. Despite the unfavorable impacts
of the 2012 drought, the Grain Group had good results, in part due
to the strong earnings of Lansing Trade Group. The Plant
Nutrient Group also had good results, as they managed through the
nutrient price reset well. Lastly our Turf & Specialty Group
had a record year as they continued to focus on their proprietary
product strategy," Mr. Anderson added. "In the last year we have
demonstrated our continuing commitment to growth. We acquired
Thompsons Limited through a 50/50 joint venture with Lansing Trade
Group, which expanded our territory into Canada. We also expanded our railcar repair
business through both the acquisition of Mile Rail and the opening of the Maumee paint facility. Lastly, as mentioned
earlier, we acquired the assets of the Cycle Group at the end of
2013."
The company will host a webcast on Wednesday, February 12, 2014 at 11:00 A.M. ET, to discuss its performance. This
can be accessed under the heading "Investor" on its website at
www.andersonsinc.com.
The Andersons, Inc. is a diversified company rooted in
agriculture. Founded in Maumee,
Ohio, in 1947, the company conducts business across
North America in the grain,
ethanol, and plant nutrient sectors, railcar leasing, turf and cob
products, and consumer retailing.
This release contains forward-looking statements. These
statements involve risks and uncertainties that could cause actual
results to differ materially. Without limitation, these risks
include economic, weather and regulatory conditions, competition,
and the risk factors set forth from time to time in the Company's
filings with the Securities and Exchange Commission. Although the
Company believes that the assumptions upon which the financial
information and its forward-looking statements are based are
reasonable, it can give no assurance that these assumptions will
prove to be correct.
The Andersons, Inc. is located on the
Internet at www.andersonsinc.com.
FINANCIAL TABLES FOLLOW . . .
The Andersons,
Inc.
|
|
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|
|
Consolidated
Statements of Income
|
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
Three months ended
December 31,
|
Twelve months
ended December 31,
|
(in thousands, except
per share data)
|
2013
|
2012
|
2013
|
2012
|
|
|
|
|
|
Sales and
merchandising revenues
|
$
1,584,266
|
$
1,680,641
|
$
5,604,574
|
$
5,272,010
|
Cost of sales and
merchandising revenues
|
1,474,689
|
1,589,472
|
5,239,349
|
4,914,005
|
Gross
profit
|
109,577
|
91,169
|
365,225
|
358,005
|
Operating,
administrative and general expenses
|
85,768
|
69,590
|
278,433
|
246,929
|
Interest
expense
|
4,253
|
5,963
|
20,860
|
22,155
|
Other
income:
|
|
|
|
|
Equity in earnings of
affiliates
|
28,714
|
1,081
|
68,705
|
16,487
|
Other income,
net
|
3,253
|
5,316
|
14,876
|
14,725
|
Income before income
taxes
|
51,523
|
22,013
|
149,513
|
120,133
|
Income tax
provision
|
16,904
|
7,838
|
53,811
|
44,568
|
Net income
|
34,619
|
14,175
|
95,702
|
75,565
|
Net income (loss)
attributable to the noncontrolling interests
|
3,958
|
(815)
|
5,763
|
(3,915)
|
Net income
attributable to The Andersons, Inc.
|
$
30,661
|
$
14,990
|
$
89,939
|
$
79,480
|
|
|
|
|
|
Per common
share:
|
|
|
|
|
Basic earnings
attributable to The Andersons, Inc. common
shareholders
|
$
1.09
|
$
0.54
|
$
3.20
|
$
2.85
|
Diluted earnings
attributable to The Andersons, Inc. common
shareholders
|
$
1.08
|
$
0.53
|
$
3.18
|
$
2.82
|
Dividends
paid
|
$
0.11
|
$
0.10
|
$
0.43
|
$
0.40
|
The Andersons,
Inc.
Condensed Consolidated Balance Sheets
(Unaudited)(In thousands)
|
|
|
|
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|
December 31,
2013
|
|
December 31,
2012
|
Assets
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$
309,085
|
|
$
138,218
|
Restricted
cash
|
408
|
|
398
|
Accounts receivable,
net
|
173,930
|
|
208,877
|
Inventories
|
614,923
|
|
776,677
|
Commodity derivative
assets – current
|
71,319
|
|
103,105
|
Deferred income
taxes
|
4,931
|
|
15,862
|
Other current
assets
|
47,188
|
|
54,016
|
Total current
assets
|
1,221,784
|
|
1,297,153
|
Other
assets:
|
|
|
|
Commodity derivative
assets – noncurrent
|
246
|
|
1,906
|
Other assets,
net
|
118,010
|
|
105,129
|
Pension
assets
|
14,328
|
|
-
|
Equity method
investments
|
291,109
|
|
190,908
|
|
423,693
|
|
297,943
|
Railcar assets leased
to others, net
|
240,621
|
|
228,330
|
Property, plant and
equipment, net
|
387,458
|
|
358,878
|
Total
assets
|
$
2,273,556
|
|
$
2,182,304
|
|
|
|
|
Liabilities and
equity
|
|
|
|
Current
liabilities:
|
|
|
|
Borrowings under
short-term line of credit
|
$
-
|
|
$
24,219
|
Accounts payable for
grain
|
592,183
|
|
582,653
|
Other accounts
payable
|
154,599
|
|
165,201
|
Customer prepayments
and deferred revenue
|
59,304
|
|
105,410
|
Commodity derivative
liabilities – current
|
63,954
|
|
33,277
|
Accrued expenses and
other current liabilities
|
70,295
|
|
66,902
|
Current maturities of
long-term debt
|
51,998
|
|
15,145
|
Total current
liabilities
|
992,333
|
|
992,807
|
|
|
|
|
Other long-term
liabilities
|
15,386
|
|
18,406
|
Commodity derivative
liabilities – noncurrent
|
6,644
|
|
1,134
|
Employee benefit plan
obligations
|
39,477
|
|
53,131
|
Long-term debt, less
current maturities
|
375,213
|
|
427,243
|
Deferred income
taxes
|
120,082
|
|
78,138
|
Total
liabilities
|
1,549,135
|
|
1,570,859
|
Total
equity
|
724,421
|
|
611,445
|
Total liabilities and
equity
|
$
2,273,556
|
|
$
2,182,304
|
|
Grain
|
Ethanol
|
Plant
Nutrient
|
Rail
|
Turf
&
Specialty
|
Retail
|
Other
|
Total
|
Three months ended
December 31, 2013
|
|
|
|
|
|
|
|
|
Revenues from
external customers
|
$
1,124,265
|
$
197,032
|
$
170,732
|
$
32,306
|
$
22,557
|
$
37,374
|
$—
|
$
1,584,266
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
44,570
|
13,323
|
21,979
|
12,328
|
6,542
|
10,835
|
—
|
109,577
|
|
|
|
|
|
|
|
|
|
Equity in earnings of
affiliates
|
8,182
|
20,532
|
—
|
—
|
—
|
—
|
—
|
28,714
|
|
|
|
|
|
|
|
|
|
Other income
(expense), net
|
682
|
(66)
|
634
|
987
|
105
|
185
|
726
|
3,253
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes
|
22,127
|
30,577
|
6,240
|
6,171
|
(1,369)
|
(3,861)
|
(8,362)
|
51,523
|
|
|
|
|
|
|
|
|
|
Income (loss)
attributable to the noncontrolling interests
|
(3)
|
3,961
|
—
|
—
|
—
|
—
|
—
|
3,958
|
|
|
|
|
|
|
|
|
|
Operating income
(loss) (a)
|
$
22,130
|
$
26,616
|
$
6,240
|
$
6,171
|
$
(1,369)
|
$
(3,861)
|
$
(8,362)
|
$
47,565
|
|
|
|
|
|
|
|
|
|
Three months ended
December 31, 2012
|
|
|
|
|
|
|
|
|
Revenues from
external customers
|
$
1,197,376
|
$
214,867
|
$
177,732
|
$
28,818
|
$
20,545
|
$
41,303
|
$—
|
1,680,641
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
36,973
|
6,129
|
19,980
|
9,709
|
6,241
|
12,137
|
—
|
91,169
|
|
|
|
|
|
|
|
|
|
Equity in earnings
(loss) of affiliates
|
6,374
|
(5,293)
|
—
|
—
|
—
|
—
|
—
|
1,081
|
|
|
|
|
|
|
|
|
|
Other income,
net
|
706
|
16
|
266
|
3,841
|
113
|
158
|
216
|
5,316
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes
|
18,078
|
(1,615)
|
4,714
|
8,553
|
(1,168)
|
(861)
|
(5,688)
|
22,013
|
|
|
|
|
|
|
|
|
|
Loss attributable to
the noncontrolling interest
|
—
|
(815)
|
—
|
—
|
—
|
—
|
—
|
(815)
|
|
|
|
|
|
|
|
|
|
Operating income
(loss) (a)
|
$
18,078
|
$
(800)
|
$
4,714
|
$
8,553
|
$
(1,168)
|
$
(861)
|
$
(5,688)
|
22,828
|
|
|
|
|
|
|
|
|
|
Twelve months
ended December 31, 2013
|
|
|
|
|
|
|
|
|
Revenues from
external customers
|
$
3,617,943
|
$
831,965
|
$
708,654
|
$
164,794
|
$
140,512
|
$
140,706
|
$—
|
$
5,604,574
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
118,517
|
32,512
|
86,682
|
58,864
|
29,289
|
39,361
|
—
|
365,225
|
|
|
|
|
|
|
|
|
|
Equity in earnings of
affiliates
|
33,122
|
35,583
|
—
|
—
|
—
|
—
|
—
|
68,705
|
|
|
|
|
|
|
|
|
|
Other income,
net
|
2,120
|
399
|
1,093
|
7,666
|
690
|
501
|
2,407
|
14,876
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes
|
46,794
|
56,374
|
27,275
|
42,785
|
4,744
|
(7,534)
|
(20,925)
|
149,513
|
|
|
|
|
|
|
|
|
|
Income (loss)
attributable to the noncontrolling interests
|
(11)
|
5,774
|
—
|
—
|
—
|
—
|
—
|
5,763
|
|
|
|
|
|
|
|
|
|
Operating income
(loss) (a)
|
46,805
|
50,600
|
27,275
|
42,785
|
4,744
|
(7,534)
|
(20,925)
|
143,750
|
|
|
|
|
|
|
|
|
|
Twelve months
ended December 31, 2012
|
|
|
|
|
|
|
|
|
Revenues from
external customers
|
$
3,293,632
|
$
742,929
|
$
797,033
|
$
156,426
|
$
131,026
|
$
150,964
|
$—
|
$
5,272,010
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
117,180
|
14,673
|
98,252
|
56,729
|
27,026
|
44,145
|
—
|
358,005
|
|
|
|
|
|
|
|
|
|
Equity in earnings
(loss) of affiliates
|
29,080
|
(12,598)
|
5
|
—
|
—
|
—
|
—
|
16,487
|
|
|
|
|
|
|
|
|
|
Other income,
net
|
2,548
|
53
|
1,917
|
7,136
|
784
|
554
|
1,733
|
14,725
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes
|
63,597
|
(7,635)
|
39,254
|
42,841
|
2,216
|
(3,951)
|
(16,189)
|
120,133
|
|
|
|
|
|
|
|
|
|
Loss attributable to
the noncontrolling interest
|
—
|
(3,915)
|
—
|
—
|
—
|
—
|
—
|
(3,915)
|
|
|
|
|
|
|
|
|
|
Operating income
(loss) (a)
|
$
63,597
|
$
(3,720)
|
$
39,254
|
$
42,841
|
$
2,216
|
$
(3,951)
|
$
(16,189)
|
$
124,048
|
|
|
|
|
|
|
|
|
|
(a) Operating income
(loss) for each Group is defined as net sales and merchandising
revenues plus identifiable other income less all identifiable
operating expenses, including interest expense for carrying working
capital and long-term assets and is reported net of the
noncontrolling interest share of (income) loss.
|
SOURCE The Andersons, Inc.