REX American Resources (NYSE:REX) reported stronger-than-expected fiscal Q1 2025 earnings, but shares dropped over 4% intra-day today on revenue miss.

The ethanol producer posted adjusted EPS of $0.51, well above the $0.26 consensus estimate. Revenue came in at $158.3 million, below expectations of $161.27 million and down 1.8% year-over-year.

Improved ethanol pricing helped drive profitability, offsetting weaker volumes and lower distillers grains pricing. Gross profit was $14.3 million, nearly unchanged from $14.5 million a year ago.

REX also highlighted continued investment in its expansion efforts. The company has spent $122.7 million to date on carbon capture and ethanol production upgrades at its One Earth facility, part of a broader $220–$230 million investment plan.