The Andersons, Inc.

Good morning, ladies and gentlemen, and welcome to the Andersen's 2022 Third Quarter Earnings Conference Call. My name is Joe, and I will be your coordinator for today. At this time, all participants are in a listen-only mode. Later, we will facilitate a question-and-answer session. To ask a question, you may press star, then 1 on your telephone keypad. To withdraw your question, please press star, then 2. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero on your telephone keypad. As a reminder, this conference is being recorded for replay purposes. I will now hand the presentation to your host for today, Mr. Mike Holter, Vice President, Corporate Controller and Investor Relations. Please proceed.

Thanks, Joe. Good morning, everyone, and thank you for joining us for the Anderson's Third Quarter Earnings Call. we have provided a slide presentation that will enhance today's discussion. If you are viewing this presentation on our webcast, the slides and commentary will be in sync. This webcast is being recorded, and the recording and the supporting slides will be made available on the investors' page of our website at andersonsinc.com shortly. Please direct your attention to the disclosure statement on slide two, as well as the disclaimers in the press release related to forward-looking statements. Certain information discussed today constitutes forward-looking statements that reflect the company's current views with respect to future events, financial performance, and industry conditions. These forward-looking statements are subject to various risks and uncertainties. Actual results could differ materially as a result of many factors which are described in the company's reports on file with the SEC. We encourage you to review these factors. This presentation and today's prepared remarks contain non-GAAP financial measures. Reconciliation of non-GAAP measures to the most directly comparable GAAP financial measure are included within the appendix of this presentation. On the call with me today are Pat Bowe, President and Chief Executive Officer, and Brian Valentine, Executive Vice President and Chief Financial Officer. After our prepared remarks, we will be happy to take your questions. I will now turn the call over to Pat.

Thank you, Mike, and good morning, everyone. Thank you for joining our call today to review our third quarter results. We're excited to discuss our third quarter, which was our best ever adjusted third quarter from continuing operations. Both trade and renewables posted very solid improvements over last year, and while plant nutrient results declined in their seasonally low quarter, our overall company performance was strong. with trailing 12 months adjusted EBITDA from continuing operations totaling nearly $440 million. With this Q3 result, we anticipate a very strong and potentially record-setting year. Trade group results were a record third quarter on an adjusted basis and reflect improvement in many areas. Our Louisiana assets performed well during the corn harvest, capturing strong elevation margins. Weed ownership in our grain terminal assets is earning space income. In merchandising, our new profit centers have contributed more than $5 million this quarter to our pre-tax earnings. We continue to have very strong results in our western grain belt and animal feed ingredient merchandising, as well as in our food and specialty ingredients businesses. In particular, our UK subsidiary again delivered strong results with our organic feed business. Renewables had another solid quarter. Our eastern ethanol plants delivered positive results on weaker corn bases in spite of declining ethanol prices and inflation in natural gas and other production costs. Our Kansas plant experienced high corn basis due to the ongoing drought in the region. We continue to benefit from strong values of coproducts, particularly distillers corn oil used as a renewable diesel feedstock. All the plants have now completed their planned fall maintenance shutdowns. Plant nutrient followed a very strong first half with mixed results. Our agricultural product lines performed well for the typically slow third quarter on good margins and well-positioned inventory. Within our manufactured lawn products, we were challenged with lower demand, inflation and production costs, and also took an inventory right down in the quarter. Brian will now cover some key financial data. After that, I'll be back to discuss our outlook for the remainder of 2022 and into 2023. Brian?