REX American Resources Corporation (NYSE:REX) Q3 2020 Earnings Conference Call - Final Transcript
Dec 03, 2020 • 11:00 am ET
Good day and welcome to the REX American Resources Fiscal 2020 Third Quarter Conference Call. [Operator Instructions]. Afterwards we will conduct a question-and-answer session. [Operator Instructions]. I would like to turn the conference over to Doug Bruggeman, Chief Financial Officer. Please go ahead.
Douglas L. Bruggeman
Good morning and thank you for joining REX American Resources' fiscal 2020 third quarter conference call. We'll get to our presentation and comments momentarily as well as your question-and-answer session. But first, I'll review the safe harbor disclosure. In addition to historical facts or statements of current conditions, today's conference call contains forward-looking statements that involve risks and uncertainties within the meanings of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements reflect the Company's current expectations and beliefs, but are not guarantees of future performance.
As such, actual results may vary materially from expectations. The risks and uncertainties associated with the forward-looking statements are described in today's news announcement and in the Company's filings with the Securities and Exchange Commission, including the Company's reports on Form 10-K and 10-Q.
REX American Resources assumes no obligation to publicly update or revise any forward-looking statements. I have joining me on the call today, Stuart Rose, Executive Chairman of the Board; and Zafar Rizvi, Chief Executive Officer. I'll first review our financial performance and then turn the call over to Stuart for his comments.
Sales for the quarter increased 43% primarily due to increased production levels. Ethanol sales for the quarter were based upon 74.6 million gallons this year versus 47.6 million gallons last year. We ran our consolidated plants at full capacity in the current year third quarter while last year we had reduced the run rate at the NuGen plant based upon tight corn supply in that region. Ethanol price per gallon did decline from $1.39 in the prior year to $1.31 in the current year.
We reported a large increase in gross profit to $18.9 million in the third quarter for the ethanol and by-products segment versus a gross profit of $28,000 in the prior year. Our crush spread between ethanol and corn was approximately $0.19 in the current year versus approximately a negative $0.04 in the prior year, primarily reflecting year over year lower corn pricing of 21%. Our refined coal segment had a gross loss of $1.3 million for the third quarter of fiscal 2020 versus $1.6 million in the prior year based upon lower volumes.
These losses are offset by tax benefits of $1 million and $2.2 million for the third quarters of fiscal 2020 and 2019 respectively recorded from the Section 45 credits and the tax benefit from operating losses. SG&A was similar for the third quarter at $4.3 million versus $4.1 million in the prior year.
We recorded income of $1.2 million from our unconsolidated equity investment in this year's third quarter versus a small loss of $15,000 in the prior year. Interest and other income declined year-over-year from $1 million to $537,000, primarily due to lower interest rates on