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Derivative Financial Instruments (Tables)

3 Months Ended

Apr. 30, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Assets at Fair Value [Table Text Block]

The following table provides information about the fair values of the Company’s derivative financial instruments (that are not accounted for under the “normal purchases and normal sales” scope exemption of ASC 815) and the line items on the Consolidated Balance Sheets in which the fair values are reflected (in thousands):

	Asset Derivatives Fair Value				Liability Derivatives Fair Value
	April 30, 2024		January 31, 2024		April 30, 2024		January 31, 2024

Forward purchase contracts (1)	$	1,438	$	579	$	227	$	802

Cash collateral balance (3)	$	549	$	2,152	$	-	$	-
Commodity futures (2)		25		(297)		-		-
Net position with broker	$	574	$	1,855	$	-	$	-

Total	$	2,012	$	2,434	$	227	$	802

(1)

Forward purchase contracts assets are included in “Prepaid expenses and other” on the accompanying Consolidated Balance Sheets. These contracts are for purchases of approximately 14.6 million and 9.3 million bushels of corn at April 30, 2024 and January 31, 2024, respectively.

Forward purchase contracts liabilities are included in “Accrued expenses and other current liabilities” on the accompanying Consolidated Balance Sheets. These contracts are for purchases of approximately 2.5 million and 8.2 million bushels of corn at April 30, 2024 and January 31, 2024, respectively.

(2)

Commodity futures assets and liabilities are included in “Prepaid expenses and other” on the accompanying Consolidated Balance Sheets. These contracts included short/sell positions and long/buy positions for approximately 3.0 million and 0.7 million bushels of corn, respectively, at April 30, 2024. These contracts also included short/sell positions for approximately 420,000 gallons of ethanol at April 30, 2024. These contracts included short/sell positions and long/buy positions for approximately 255,000 and 6.9 million bushels of corn, respectively, at January 31, 2024. These contracts also included short/sell positions for approximately 210,000 gallons of ethanol at January 31, 2024.

(3)

As of April 30, 2024 and January 31, 2024, all of the derivative financial instruments held by the Company were subject to enforceable master netting arrangements. The Company’s accounting policy is to offset position amounts owed or owing with the same counterparty. Depending on the amount of unrealized gains and losses on derivative contracts held by the Company, the counterparty may require collateral to secure the Company’s derivative contract positions. As of April 30, 2024 and January 31, 2024, the Company was required to maintain collateral with the counterparty in the amount of approximately $0.5 million and $2.2 million, respectively, recorded within “Prepaid expenses and other” on the accompanying Consolidated Balance Sheets.