The Andersons, Inc. Reports Record Q1 2026 Results: Detailed Investor Overview

MAUMEE, OHIO, May 5, 2026 – The Andersons, Inc. (Nasdaq: ANDE) has announced its financial results for the first quarter ended March 31, 2026. The company delivered record performance across key segments, with several developments likely to be of significant interest to shareholders and potential investors.

Key Financial Highlights

• Record Net Income: Net income attributable to The Andersons was \$33 million, or \$0.97 per diluted share. Adjusted net income was \$38 million, or \$1.12 per diluted share, up from \$0.01 per share in Q1 2025.
• Adjusted EBITDA: Achieved \$91 million, a substantial year-over-year increase.
• Segment Performance: Renewables delivered \$40 million in pretax income, a record, while Agribusiness delivered \$7 million pretax (\$18 million adjusted).
• Cash Flow: Improved cash flows, with cash from operations before working capital changes at \$68 million (up from \$57 million in 2025).
• Debt Position: Maintained modest debt levels, with long-term debt to EBITDA below 2.5x.

Operational and Strategic Highlights

• Renewables Segment:
  • Outstanding results driven by record production, strong merchandising, and biofuels policy benefits.
  • Ethanol margins remained robust, supported by increased demand and higher gasoline prices.
  • Renewable feedstock business benefited from improved values and volumes post Required Volume Obligations (RVO) finalization.
  • Plants set another quarterly production record and qualified for a higher tier of 45Z tax credits, contributing \$26 million in credits for the quarter.
  • Adjusted EBITDA for Renewables was \$54 million (up from \$37 million in Q1 2025).
• Agribusiness Segment:
  • Significant improvement, with pretax income of \$7 million (vs. a \$10 million loss in Q1 2025) and adjusted EBITDA of \$49 million (up from \$31 million).
  • Resilience shown in diversified earnings amid market volatility.
  • Premium ingredients business more than doubled year-over-year, focusing on key CPG customers.
  • Fertilizer business improved, strategically positioned for spring planting.
  • Anticipated corn plantings are above the five-year average, presenting expanded margin opportunities.
• Capital Deployment and Growth:
  • Continued evaluation of capital deployment for growth and expansion, including potential acquisitions.
  • Several capital investments underway for 2026, such as:
    • Addition of soybean meal export capacity at Port Houston.
    • Replacement/modernization of grain storage at Toledo port assets.
    • Multiple corn and wheat cleaning projects.
    • Early-stage debottlenecking project at Clymers, Indiana ethanol plant, aiming to increase annual production capacity to ~170 million gallons.
  • Focus remains on achieving the \$7.00 run-rate EPS target by the end of 2028 (as announced at Investor Day 2025).
• Income Taxes: Q1 effective tax rate was 14%, lowered by non-taxable 45Z income. Full-year adjusted rate expected to be 14%-18%.
• Liquidity: Cash used in operating activities was \$394 million (up from \$350 million in 2025), mainly due to working capital changes. Cash spent on capital projects totaled \$52 million for the quarter.

Price-Sensitive and Shareholder-Relevant Information

• Record Results: The Andersons achieved record first quarter net income, adjusted net income, and segment performances—potentially positive for share value.
• Significant Tax Credits: The qualification for a higher tier of 45Z tax credits and the impact of RVO changes materially boosted Renewables results.
• Capital Investments: Ongoing capital expenditures and strategic expansion projects signal confidence in future growth and may affect future earnings.
• Debt and Liquidity: Strong balance sheet and modest debt levels support ongoing investment and stability.
• EPS Target: Confirmation of the \$7.00 run-rate EPS target by 2028 is a key metric for investors tracking long-term performance.
• Market Volatility Opportunity: Agribusiness is poised to benefit from continued market volatility, especially in merchandising and fertilizer segments.

Detailed Segment Financials

Additional Metrics

• Sales and merchandising revenues: \$2.63 billion (Q1 2026)
• Gross profit: \$160.6 million (Q1 2026 vs. \$152.9 million in Q1 2025)
• Operating expenses: \$144.7 million (Q1 2026)
• Net cash used in operating activities: \$393.7 million (Q1 2026)
• Cash and cash equivalents at period end: \$72.4 million (Q1 2026)

Conference Call Information

The Andersons will host a webcast on Wednesday, May 6, 2026, at 8:30 a.m. ET to discuss Q1 performance and provide guidance for the remainder of 2026. Investors may access the call via webinar link or by dialing 888-317-6003 (elite entry number: 7394049).

Company Outlook and Forward-Looking Statements

• The company remains positive on business fundamentals, with ongoing capital investments and expansion initiatives expected to drive future growth.
• Management continues to evaluate additional projects in ethanol, premium ingredients, and other areas for further profitable expansion.
• Anticipated market volatility may provide further merchandising opportunities, especially for Agribusiness.
• There are risks associated with economic, weather, regulatory, competition, and geopolitical factors, as noted in SEC filings.

Conclusion

The Andersons, Inc.’s record first quarter results, enhanced by strong segment performance, robust cash flows, significant tax credits, and ongoing capital investment, represent material developments likely to impact share price and investor sentiment. The reaffirmation of the \$7.00 run-rate EPS target by 2028 and strategic expansion efforts signal management’s confidence in sustained growth.

Disclaimer

This article is for informational purposes only and does not constitute investment advice. Investors should review The Andersons, Inc.’s official filings and consult with financial advisors before making any investment decisions. Past performance is not indicative of future results, and all forward-looking statements are subject to risks and uncertainties as disclosed by the company.

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