Note 22 - Segment Information

12 Months Ended

Dec. 31, 2019

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

22 ) Segment information

The Company has

two

reportable segments organized along similar product lines – chemicals and biofuels. The accounting policies of the segments are the same as those described in the summary of significant accounting policies in Note

2.

Chemicals

The Company’s chemicals segment manufactures diversified chemical products that are sold to

third

party customers. This segment comprises

two

product groups: “custom manufacturing” (manufacturing chemicals for specific customers) and “performance chemicals” (multi-customer specialty chemicals).

Biofuels

The Company’s biofuels segment manufactures and markets biodiesel. Biodiesel revenues are generated through the sale of biodiesel to customers through the Company’s distribution network at the Batesville plant, through distribution facilities available at leased oil storage facilities, and through a network of remotely located tanks. Results of the biofuels business segment also reflect the sale of biodiesel blends with petrodiesel, petrodiesel with

no

biodiesel added, RINs, biodiesel production byproducts, and the purchase and sale of other petroleum products on common carrier pipelines.

Summar

y

o

f

busines

s

b

y

segment

	Twelve months ended
	2019		2018		2017
Revenue
Custom chemicals	$	90,962	$	97,746	$	87,905
Performance chemicals		13,865		19,382		17,481
Chemicals revenue		104,827		117,128		105,386
Biofuels revenue		100,399		173,890		169,640
Total Revenue	$	205,226	$	291,018	$	275,026
Segment gross profit (loss)
Chemicals	$	29,923	$	33,986	$	28,016
Biofuels		44,216		39,412		(7,755	)
Total gross profit	$	74,139	$	73,398	$	20,261

Depreciation is allocated to segment cost of goods sold based on plant usage. The total assets and capital expenditures of the Company have

not

been allocated to individual segments as large portions of these assets are shared to varying degrees by each segment, causing such an allocation to be of little value.