Company: REX
Filing Date: 2025-12-04
Form Type: 10-Q
Source: 0000930413-25-003566
Chunk: 133

Company: REX AMERICAN RESOURCES Corp
Filing Date: 2025-12-04
Form: 10-Q
Item: Part I, Item 2
Chunk 133
---
 of approximately $0.5 million each

●Use of cash of $5.9 million from the increase in accounts receivable
as a result of the timing of products shipping and the receipt of customer payments at our consolidated ethanol plants

●Cash provided of approximately $4.0 million from the decrease of inventory
balances during the period

●Cash provided of approximately $3.5 million to reflect the amount
the recorded uncertain tax positions exceeded the remaining unused credits they are recorded against

●Cash provided of $3.0 million due to a increase in accounts payable,
primarily related to the timing of inventory receipts and vendor payments

In fiscal 2024, operating cash flow reflected
net income of $57.4 million and non-cash adjustments of $20.3 million. Additionally, Big River paid dividends of approximately
$3.0 million during the first nine months of fiscal year 2024. These inflows were partially offset by various changes to working
capital of approximately $41.6 million, most significantly caused by:

●Use of cash of approximately $21.6 million due to a decrease in accounts
payable, primarily related to the timing of inventory receipts and vendor payments

●Use of cash of approximately $12.6 million due to the increase in
the balance of other assets primarily related to prepayments on certain executed lease agreements, offset by changes in the carrying
value of forward purchase contracts and commodity futures positions recorded at fair value, decreases to spare parts inventory,
and decreases to prepaid insurance balances

●Use of cash of approximately $6.2 million from the decrease in other
liabilities as a result a reduction in the lease liability of $4.0 million from payments made during the year, a decrease in accrued
payroll of approximately $0.6 million primarily related to the payment of the 2023 incentive bonuses, offset partially by the accrual
of the 2024 incentive bonuses to be paid in 2025, and a decrease in accrued utilities of approximately $1.3 million

●Use of cash of approximately $2.1 million from the increase of inventory
balances during the period

37

Investing Activities

Net cash provided by investing activities
was $47.5 million in the first nine months of fiscal 2025 versus $37.6 million in the first nine months of fiscal 2024. In fiscal
2025, capital expenditures totaled $55.7 million, primarily at One Earth, which includes plant expansion and CI reduction projects