REX American Resources Corporation
REX American Resources is a U.S.-based holding company focused on ethanol production and related by-products through majority-owned and equity-invested plants in the Midwest. Its business centers on ownership, oversight, and capital allocation across ethanol facilities that produce fuel ethanol, distillers grains, and distillers corn oil.
Fiscal year 2026 · change from previous year
Development 2021–2026
Business
Share of revenueDenatured fuel ethanol produced from corn and sold to fuel and blending markets.
Animal feed co-products including dried and modified distillers grains.
Corn oil recovered during ethanol production and sold as a by-product.
Minor revenue items including derivative gains and miscellaneous sales.
Products
Reported · share of revenue- Ethanol77.6 %
- Dried Distillers Grains13.6 %
- Distillers Corn Oil8.1 %
- Modified Distillers Grains0.8 %
Source: 10-K FY2026, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.
Customers
REX sells ethanol and co-products to fuel distributors, blenders, and industrial buyers, while distillers grains are sold primarily into animal feed markets. Its customer base is tied to commodity channels rather than end-consumer brands, so demand depends on fuel blending economics, livestock feed demand, and logistics access.
Buy ethanol for blending into gasoline and for Renewable Fuel Standard compliance needs.
Buy dried and modified distillers grains as protein-rich feed inputs.
Buy distillers corn oil and other co-products for further processing or resale.
Local farmer groups and partners involved in the ownership and governance of plants.
Strategy
REX’s strategy is to own and oversee ethanol assets with strong operating partners, while using its balance sheet to support plant investments and capital projects. Current priorities include carbon sequestration and plant expansion efforts at One Earth, which are intended to improve the asset base and support long-term competitiveness.
Higher-capacity and lower-carbon assets can improve long-term competitiveness in fuel markets.
Ethanol is a commodity business that requires working capital and capital spending through cycles.
The company’s returns depend on governance, capital allocation, and performance of majority-owned entities.
Geography
REX is headquartered in Dayton, Ohio and operates through ethanol plants in Illinois, South Dakota, Iowa, and Wisconsin. Its business is concentrated in the U.S. Midwest, where corn supply, rail access, and proximity to ethanol and feed markets are central to plant economics.
Risks
REX is exposed to commodity-price volatility, since ethanol margins depend heavily on corn, ethanol, and co-product pricing. The business also faces operational and logistics risks from rail transport, weather, plant outages, regulatory changes, and customer credit exposure, while its capital-intensive model requires ongoing access to funding for plant projects.
- Regulatory and RIN compliance riskImpact: HighLikelihood: High
Ethanol sales are tied to Renewable Fuel Standard compliance and RIN generation.
Exposure: Fuel ethanol sales
- Commodity price volatilityImpact: HighLikelihood: Medium
Ethanol profitability depends on the spread between ethanol prices and corn/feedstock costs.
Exposure: Ethanol and by-products segment
- Transportation and rail disruptionImpact: HighLikelihood: Medium
The company ships much of its product by rail and also receives corn by rail.
Exposure: Inbound corn and outbound ethanol/DDGS logistics
- Capital funding riskImpact: MediumLikelihood: Medium
Plant upgrades and sequestration projects require substantial capital outlays.
Exposure: Carbon sequestration and expansion projects
- Foreign competition and trade policyImpact: MediumLikelihood: Medium
Imported ethanol and tariffs can affect domestic pricing and export demand.
Exposure: U.S. ethanol market
- Customer credit riskImpact: Medium
Receivables from ethanol and co-product customers may not be collected on time.
Exposure: Trade receivables
Accounting
Judgemental itemsSales are recorded when control transfers, generally at shipment or rail loading, which can shift revenue between quarters.
Impact: Quarterly comparability and reported sales timing
REX consolidates majority-owned plants and allocates income to other owners, affecting net income attributable to shareholders.
Impact: Reported earnings and ownership economics
Plant values depend on forecasted cash flows and market conditions, making impairment judgments important.
Impact: Potential write-downs of plant and equipment
The former refined coal facility is discontinued but related federal tax credits remain under IRS audit.
Impact: Contingent liabilities and tax uncertainty
Commodity hedges and derivative gains/losses can affect reported revenue and operating results.
Impact: Volatility in quarterly earnings
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Last updated: 24/09/2026