Alto Ingredients Inc (ALTO) 2020 Q4 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to Alto Ingredients Fourth Quarter and Year-end Financial Results Conference Call.

女士們先生們，感謝您的支持，歡迎參加 Alto Ingredients 第四季度和年終財務業績電話會議。

(Operator Instructions) Please be advised that today's call is being recorded.

（操作員說明）請注意，今天的通話正在錄音中。

(Operator Instructions)

（操作員說明）

I would now like to hand the call over to Moriah Shilton.

我現在想把電話交給 Moriah Shilton。

Please go ahead.

請繼續。

Thank you, Michelle.

謝謝你，米歇爾。

And thank you all for joining us today for the Alto Ingredients Fourth Quarter and Full Year 2020 Results Conference Call.

感謝大家今天加入我們參加 Alto Ingredients 第四季度和 2020 年全年業績電話會議。

On the call today are Mike Kandris, CEO; and Bryon McGregor, CFO.

今天的電話會議是首席執行官 Mike Kandris；和首席財務官布賴恩·麥格雷戈。

Mike will begin with a review of business highlights, Bryon will provide a summary of the financial and operating results and then Mike will return to discuss Alto Ingredients' outlook and open the call for questions.

Mike 將首先回顧業務亮點，Bryon 將提供財務和運營結果摘要，然後 Mike 將返回討論 Alto Ingredients 的前景並開始提問。

Alto Ingredients issued a press release yesterday providing details of the company's quarterly and full year results.

Alto Ingredients 昨天發布了一份新聞稿，提供了公司季度和全年業績的詳細信息。

The company also prepared a presentation for today's call that is available on the company's website at alto ingredients.com.

該公司還為今天的電話會議準備了一份演示文稿，該演示文稿可在公司網站 alto Ingredient.com 上找到。

A telephone replay of today's call will be available through March 18.

今天電話會議的電話重播將持續到 3 月 18 日。

The details of which are included in yesterday's earnings press release.

其中的細節包含在昨天的收益新聞稿中。

A webcast replay will also be available at Alto Ingredients' website.

Alto Ingredients 的網站也將提供網絡直播重播。

Please note that the information in this call speaks only as of today, March 11.

請注意，本次電話會議中的信息僅適用於今天，3 月 11 日。

You are advised that time-sensitive information may no longer be accurate at the time of any replay.

請注意，在任何重播時，時間敏感信息可能不再準確。

Please refer to the company's safe harbor statement on Slide 2 of the presentation available online, which states that some of the comments in this presentation constitute forward-looking statements and considerations that involve a number of risks and uncertainties.

請參閱公司在網上提供的演示文稿幻燈片 2 上的安全港聲明，其中指出本演示文稿中的一些評論構成涉及許多風險和不確定性的前瞻性陳述和考慮因素。

The actual future results of Alto Ingredients could differ materially from those statements.

Alto Ingredients 的實際未來結果可能與這些陳述存在重大差異。

Factors that could cause or contribute to such differences include, but are not limited to, events, risks and other factors previously and from time to time disclosed in Alto Ingredients filings with the SEC.

可能導致或促成此類差異的因素包括但不限於先前和不時在向 SEC 提交的 Alto Ingredients 文件中披露的事件、風險和其他因素。

Except as required by applicable law, the company assumes no obligation to update any forward-looking statements.

除適用法律要求外，公司不承擔更新任何前瞻性陳述的義務。

In management's prepared remarks, non-GAAP measures will be referenced.

在管理層準備好的評論中，將引用非公認會計原則措施。

Management uses these non-GAAP measures to monitor the financial performance of operations, and believes these measures will assist investors in assessing the company's performance for the periods being reported.

管理層使用這些非公認會計原則措施來監控運營的財務業績，並相信這些措施將幫助投資者評估公司在報告期間的業績。

The company defines adjusted EBITDA as unaudited net income or loss attributed to Alto Ingredients before interest expense, provision or benefit for income taxes, asset impairments, loss on extinguishment of debt, purchase accounting adjustments, fair value adjustments and depreciation and amortization expense.

該公司將調整後的 EBITDA 定義為在利息費用、所得稅撥備或收益、資產減值、債務清償損失、採購會計調整、公允價值調整以及折舊和攤銷費用之前歸屬於 Alto Ingredients 的未經審計的淨收入或損失。

To support the company's review of non-GAAP information later in this call, a reconciling table was included in yesterday's press release.

為了支持公司稍後在本次電話會議中對非公認會計原則信息的審查，昨天的新聞稿中包含了一個核對錶。

It is now my pleasure to introduce Mike Kandris CEO.

現在我很高興介紹 Mike Kandris 首席執行官。

Mike?

麥克風？

Thank you, Moriah, and thank you, everyone, for joining us today.

謝謝你，Moriah，謝謝大家今天加入我們。

I'm excited to be with you this morning to discuss the ongoing transformation of Alto Ingredients.

我很高興今天早上能和你一起討論 Alto Ingredients 的持續轉型。

I'll begin with a recap of the major milestones of the past 12 months, and then turn to a discussion of the business today and our business and growth drivers in 2021 and beyond.

我將首先回顧過去 12 個月的主要里程碑，然後討論今天的業務以及我們在 2021 年及以後的業務和增長動力。

We entered 2020 with an annual ethanol alcohol production capacity of 605 million gallons, 14% of which or approximately 85 million gallons with specialty alcohol produced at our Pekin, Illinois campus.

進入 2020 年，我們的乙醇酒精年產能為 6.05 億加侖，其中 14% 或約 8500 萬加侖是在我們伊利諾伊州北京校區生產的特種酒精。

Our long-standing specialty alcohol business is profitable, but results have been obscured in the past few years and more recently by operating losses in our renewable fuel business.

我們長期經營的特種酒精業務是盈利的，但在過去幾年中，由於我們的可再生燃料業務的經營虧損，結果一直模糊不清。

We reduced our ethyl alcohol annual production capacity by 55% through a combination of idling, unprofitable fuel ethanol plants and selling certain undervalued production assets to stem these unsustainable losses.

我們通過閒置、無利可圖的燃料乙醇工廠和出售某些被低估的生產資產來阻止這些不可持續的損失，將我們的乙醇年產能降低了 55%。

The majority of the proceeds from our asset sales were used to repay debt and improve the company's balance sheet.

我們資產出售的大部分收益用於償還債務和改善公司的資產負債表。

Today, we have total production capacity of 450 million gallons in our operating facilities with an annual production capacity of 290 million gallons.

今天，我們的運營設施總產能為 4.5 億加侖，年產能為 2.9 億加侖。

All operating facilities are at EBITDA breakeven or better.

所有運營設施均處於 EBITDA 盈虧平衡點或更好。

Focusing on our core strengths.

專注於我們的核心優勢。

We maximized production of specialty alcohol at our Pekin campus, where spot demand was expanding rapidly in response to the COVID-19 pandemic.

我們在北京校區最大限度地生產特種酒精，為應對 COVID-19 大流行，現場需求迅速擴大。

And increased our annual specialty alcohol production capacity in 2020 to 110 million gallons.

並在 2020 年將我們的特種酒精年產能提高到 1.1 億加侖。

We also completed the refurbishment of a grain-neutral spirit system, or GNS, at our Pekin campus by year-end, further increasing our annual specialty alcohol capacity to 140 million gallons entering 2021, which makes us the largest producer of specialty alcohol in the nation.

我們還在北京園區完成了穀物中性酒精系統 (GNS) 的翻新，到 2021 年，我們的特種酒精年產能進一步提高到 1.4 億加侖，這使我們成為美國最大的特種酒精生產商國家。

In summary, over 48% of our production capacity at our operating facilities and over 56% of our Pekin production capacity is now capable of producing alcohol that meets or exceeds USP quality specifications.

總而言之，我們運營設施中超過 48% 的產能和北京超過 56% 的產能現在能夠生產符合或超過 USP 質量規格的酒精。

We sold assets and generated substantial cash flow from operations over the past 3 calendar quarters.

在過去的三個日曆季度，我們出售了資產並從運營中產生了大量現金流。

We also completed an equity raise in October, generating $70 million in net proceeds.

我們還在 10 月份完成了股權融資，產生了 7000 萬美元的淨收益。

These additional steps accelerated our ability to repay $146 million in total debt over the past 12 months, materially reducing interest expense, strengthening our balance sheet and positioning us for the growth opportunities we see ahead.

這些額外步驟加快了我們在過去 12 個月中償還 1.46 億美元總債務的能力，大大降低了利息支出，加強了我們的資產負債表，並為我們看到的未來增長機會做好了準備。

We are now net term debt-free and on target to be term debt-free in 2021.

我們現在沒有淨期限債務，並有望在 2021 年實現無期限債務。

Bryon will discuss additional details in his prepared remarks.

布賴恩將在他準備好的講話中討論更多細節。

Finally, to cap off the year, we announced a corporate rebranding.

最後，為了結束這一年，我們宣布了企業品牌重塑。

Our new corporate name, Alto Ingredients and new ticker symbol, ALTO, embody our goal to deliver the highest levels of integrity, purity and quality to create greater value for our customers, partners and shareholders.

我們的新公司名稱 Alto Ingredients 和新股票代碼 ALTO 體現了我們的目標，即提供最高水平的完整性、純度和質量，為我們的客戶、合作夥伴和股東創造更大的價值。

In summary, we are pursuing a consistently profitable path forward, which in 2020 produced adjusted EBITDA exceeding $67 million.

總之，我們正在追求一條持續盈利的前進道路，2020 年調整後的 EBITDA 超過 6700 萬美元。

This achievement was within the guidance we gave in October of last year.

這一成就在我們去年 10 月給出的指導範圍內。

Turning to our business today.

今天轉向我們的業務。

We are now a leading producer of specialty alcohol and essential ingredients.

我們現在是特種酒精和基本成分的領先生產商。

Our specialty alcohol products are used in common everyday consumer goods, including mouthwash, cosmetics, sanitizers, disinfectants and cleaning products.

我們的特種酒精產品用於常見的日常消費品，包括漱口水、化妝品、消毒劑、消毒劑和清潔產品。

The majority of these products are sold under fixed-price contracts that are 1-year duration or longer.

這些產品中的大部分是根據一年或更長期限的固定價格合同出售的。

This not only provides us with better visibility but allows us to hedge our primary input costs and improve control over our bottom line results.

這不僅為我們提供了更好的可見性，而且使我們能夠對沖我們的主要投入成本並改善對我們底線結果的控制。

Hand sanitizers were in the forefront of the news last year and bolstered our positive 2020 results, particularly in Q2 and Q3.

洗手液是去年新聞的頭條新聞，支持了我們積極的 2020 年業績，尤其是在第二季度和第三季度。

In Q4 and continuing today, the surge in sanitizer demand has tempered by the resurgence in COVID restrictions and an abundant supply of product.

在第四季度和今天，消毒劑需求的激增已經因 COVID 限制的複蘇和產品供應充足而有所緩和。

In anticipation, we concentrated our efforts to deepen and strengthen our sales in nonsanitizer product lines and to work with dominant name brand consumer product leaders such as Procter & Gamble, Mizkan and MGP, to name a few.

在預期中，我們集中努力深化和加強我們在非消毒劑產品線的銷售，並與寶潔、Mizkan 和 MGP 等知名品牌消費品領導者合作。

As a result, our production mix today is well diversified with approximately 90% of our contracted volume being sold to major producers of food and beverage and home and beauty products, and only 10% of our contracted volume going to sanitizer products.

因此，我們今天的生產組合非常多樣化，我們約 90% 的合同量銷售給食品和飲料以及家居和美容產品的主要生產商，而我們的合同量中只有 10% 用於消毒劑產品。

Although we've seen sanitizer demand return to pre-COVID levels, we do expect additional tailwinds and demand to increase as restaurants, arenas, theaters, offices and stadiums reopen.

儘管我們已經看到消毒劑需求恢復到 COVID 之前的水平，但我們確實預計隨著餐館、競技場、劇院、辦公室和體育場的重新開放，會有更多的順風和需求增加。

As social activity increase, existing low-quality sanitizer inventories will be consumed and replaced by higher-quality products that utilize USP-grade alcohol.

隨著社會活動的增加，現有的低質量消毒劑庫存將被使用 USP 級酒精的高質量產品消耗和取代。

In short, we are well positioned to support customer needs for USP, API and beverage-grade alcohol for 2021 and beyond.

簡而言之，我們有能力在 2021 年及以後滿足客戶對 USP、API 和飲料級酒精的需求。

And to provide quality products for consumer goods and sanitizer demand as needed.

並根據需要為消費品和消毒劑需求提供優質產品。

For essential ingredient markets, our Pekin campus has, for decades, produced a wide selection of products such as corn meal, corn germ and yeast for use in human and pet food production.

對於基本原料市場，幾十年來，我們的北京校區生產了多種產品，例如用於人類和寵物食品生產的玉米粉、玉米胚芽和酵母。

Most of these higher-value and higher-margin ingredients are produced at our wet mill producing co-product returns in excess of 54% and lifting our average return across all operating facilities to roughly 44%.

大多數這些高價值和高利潤的原料是在我們的濕法工廠生產的，產生超過 54% 的副產品回報率，並將我們所有運營設施的平均回報率提高到大約 44%。

Some of our highest quality products are also sold under fixed price 1-year contracts or longer to customers such as Nestlé and Perdue.

我們的一些最優質的產品還以固定價格 1 年或更長時間的合同出售給雀巢和珀杜等客戶。

Regarding our renewable fuel products, we will continue to produce fuel ethanol to not only support our specialty alcohol production, but also to capitalize on ethanol's beneficial low-carbon characteristics integral to the ultimate decarbonization of our environment, and we are optimistic about industry discussions around carbon reduction.

關於我們的可再生燃料產品，我們將繼續生產燃料乙醇，不僅支持我們的特種酒精生產，而且利用乙醇對環境最終脫碳不可或缺的有益低碳特性，我們對圍繞行業的討論持樂觀態度碳減排。

All this being said, ethanol margins remain depressed, even more so for our western operations.

儘管如此，乙醇利潤仍然低迷，對於我們的西部業務來說更是如此。

After considering all reasonable alternatives and determining how and where to optimally deploy our resources and capital, we have decided it best to consider monetizing both of our idled California facilities.

在考慮了所有合理的替代方案並確定瞭如何以及在何處以最佳方式部署我們的資源和資本後，我們決定最好考慮將我們閒置的加州設施貨幣化。

Doing so will not only further strengthen our balance sheet but also improve profitability by eliminating fixed carrying costs on idled assets.

這樣做不僅會進一步加強我們的資產負債表，而且還會通過消除閒置資產的固定持有成本來提高盈利能力。

Pivoting to 2021 and beyond.

轉向 2021 年及以後。

Today, we have contracted approximately 65% of the 110 million gallons of specialty alcohol capacity that was available during last fall's contract cycle or 50% of our now expanded capacity of 140 million gallons.

今天，我們已經簽訂了去年秋季合同周期中可用的 1.1 億加侖特種酒精產能中的大約 65% 或我們現在擴大的 1.4 億加侖產能的 50%。

This represents a significant increase in both total gallons contracted and average price over our 2020 contracts negotiated in the fall of 2019.

與我們在 2019 年秋季談判的 2020 年合同相比，這意味著合同總加侖數和平均價格均顯著增加。

It also reflects reductions we've made to reflect the realities and current dynamics in sanitizer consumption.

它還反映了我們為反映消毒劑消費的現實和當前動態所做的減少。

To this end, we are working with our customers to facilitate the blending and extending of these contracted volumes into 2022 and 2023 should consumer demand prove less than our customers originally anticipated.

為此，如果消費者需求證明低於我們客戶最初的預期，我們正在與客戶合作，促進這些合同量的混合和延長到 2022 年和 2023 年。

As we look beyond 2021, I'd like to share a few of our longer-term opportunities that will drive further growth for Alto Ingredients.

展望 2021 年以後，我想分享一些我們的長期機會，這些機會將推動 Alto Ingredients 的進一步增長。

First, we have worked diligently and collaboratively with key customers to obtain 3 critical and difficult-to-achieve certifications for our specialty alcohol production: ISO 9001, ICH Q7 and EXCiPACT to support further penetration of domestic and international markets that require the highest quality products.

首先，我們與主要客戶密切合作，為我們的特種酒精生產獲得了 3 項關鍵且難以實現的認證：ISO 9001、ICH Q7 和 EXCiPACT，以支持進一步滲透需要最高質量產品的國內和國際市場.

As previously noted, most of these products are contracted under fixed terms each fall for the following year.

如前所述，這些產品中的大多數都在每年秋季以固定條款簽訂下一年的合同。

Our goal is to continue to increase our share within the health, home, beauty and food and beverage markets to sell or expand capacity at higher values.

我們的目標是繼續增加我們在健康、家居、美容和食品和飲料市場的份額，以更高的價值銷售或擴大產能。

Second, we are increasing our yeast facility's annual production capacity by approximately 15%.

其次，我們正在將酵母設施的年生產能力提高約 15%。

We remain on schedule and on budget to complete the expansion by Q3 of 2021.

我們將按計劃和預算在 2021 年第三季度完成擴建。

This project will require a relatively low capital investment of $5.5 million and is expected to produce a payback in less than 2 years or over $3 million annually in EBITDA.

該項目將需要 550 萬美元的相對較低的資本投資，預計將在不到 2 年的時間內產生回報，或每年 EBITDA 超過 300 萬美元。

Additionally, this expansion represents only the first phase of the option to expand production of even higher-value yeast derivatives with similar payback profiles.

此外，這種擴張僅代表了擴大生產具有相似投資回報的更高價值酵母衍生物的第一階段。

In addition to the yeast expansion project, we have currently earmarked an additional $14 million in various capital projects that are expected to expand revenue, increase efficiencies and/or plant reliability.

除了酵母擴建項目外，我們目前還為各種資本項目額外撥款 1400 萬美元，這些項目有望擴大收入、提高效率和/或提高工廠可靠性。

An example is the upgrade to our [Pekin] feed drivers.

一個例子是升級到我們的 [Pekin] 提要驅動程序。

This $3.5 million enhancement is expected to produce even higher-value feed, improve overall plant efficiency and reliability.

這項 350 萬美元的改進預計將生產更高價值的飼料，提高整體工廠的效率和可靠性。

And as a result, increase annual EBITDA by approximately $1.4 billion beginning this year in Q4.

因此，從今年第四季度開始，年度 EBITDA 將增加約 14 億美元。

Also, as recently mentioned in congressional subcommittee hearings on climate change, our Pekin campus sits on top of the Mount Simon Sandstone formation considered to be one of the most significant potential carbon storage resources in the United States.

此外，正如最近在國會小組委員會關於氣候變化的聽證會上提到的那樣，我們的北京校區位於被認為是美國最重要的潛在碳儲存資源之一的西蒙山砂岩地層之上。

As a member of the carbon capture coalition, we are actively engaged in discussions to develop a carbon capture and sequestration program at the Pekin site and look forward to sharing more information regarding this uniquely profitable opportunity as activities progress.

作為碳捕集聯盟的成員，我們正在積極參與討論，以在北京場地開發碳捕集和封存計劃，並期待隨著活動的進展分享有關這一獨特盈利機會的更多信息。

We believe Alto will be an active player in the carbon capture space.

我們相信奧拓將成為碳捕獲領域的積極參與者。

There remain additional projects under development with attractive return profiles.

還有其他項目正在開發中，具有誘人的回報。

We look forward to discussing them with you over the coming months once they are fully developed and approved.

一旦它們得到充分開發和批准，我們期待在未來幾個月內與您討論它們。

With that, I'd like to turn the call over to Bryon for a discussion of the financials.

有了這個，我想把電話轉給布賴恩討論財務問題。

Bryon?

布賴恩？

Thank you, Mike.

謝謝你，邁克。

I'll discuss a few financial highlights and metrics for the fourth quarter and full year 2020 and provide some thoughts on our expectations on certain metrics for 2021.

我將討論 2020 年第四季度和全年的一些財務亮點和指標，並就我們對 2021 年某些指標的預期提出一些想法。

For the fourth quarter of 2020, net sales were $169 million compared to $205 million in the third quarter.

2020 年第四季度的淨銷售額為 1.69 億美元，而第三季度為 2.05 億美元。

The decline resulting primarily from reduced demand for transportation fuels and rationalizing our third-party trading volumes to focus on profitable geographical segments.

下降主要是由於對運輸燃料的需求減少以及我們的第三方交易量合理化以專注於有利可圖的地理區域。

Our trading volume reduction was tempered by an increase in fuel grade ethanol production from our Pekin campus, mostly attributable to the restart of our dry mill that remained off-line due to logistical constraints caused by extended Illinois River lock repairs from June through October.

我們的交易量減少因我們北京園區燃料級乙醇產量的增加而緩和，這主要是由於從 6 月到 10 月伊利諾伊河水閘延長維修造成的物流限制導致我們的干磨機重新啟動而保持離線。

As Mike noted earlier, we also saw a drop in customer demand for specialty alcohol for sanitizer as retail shelves remained overstocked with lower-quality sanitizer products.

正如邁克之前指出的那樣，我們還看到客戶對用於消毒劑的特種酒精的需求下降，因為零售貨架上仍然充斥著低質量的消毒劑產品。

Net sales were down by $189 million as compared to the same period in 2019, reflecting the idling or sale of most of our renewable fuel production.

與 2019 年同期相比，淨銷售額下降了 1.89 億美元，這反映了我們大部分可再生燃料生產的閒置或銷售。

Loss available to common shareholders was $20.5 million or $0.30 per diluted share compared to income of $14.9 million or $0.24 per share in the third quarter.

普通股股東可獲得的損失為 2050 萬美元或稀釋後每股 0.30 美元，而第三季度的收入為 1490 萬美元或每股 0.24 美元。

This loss is attributable to the impairment charges of $24.4 million associated with our western assets and their transition to assets held for sale on the balance sheet.

這一損失歸因於與我們的西方資產相關的 2440 萬美元的減值費用以及它們向資產負債表上持有待售資產的過渡。

Without these onetime impairments, we would have generated positive net income for both the fourth quarter and the full year.

如果沒有這些一次性減值，我們將在第四季度和全年產生正的淨收入。

Adjusted EBITDA was positive $16.4 million, bringing our second half of 2020 adjusted EBITDA to $55.3 million within our guidance.

調整後的 EBITDA 為正 1640 萬美元，使我們 2020 年下半年調整後的 EBITDA 在我們的指導範圍內達到 5530 萬美元。

For the full year of 2020, net sales were $897 million compared to $1.4 billion in 2019, reflecting the idling of most of our renewable fuel production.

2020 年全年的淨銷售額為 8.97 億美元，而 2019 年為 14 億美元，這反映了我們大部分可再生燃料生產的閒置。

Cost of goods sold was $844 million, which resulted in gross profit of $53 million for 2020 compared to a gross loss of $10 million in 2019.

銷售成本為 8.44 億美元，導致 2020 年的毛利潤為 5,300 萬美元，而 2019 年的毛虧損為 1,000 萬美元。

Cost of goods sold also included approximately $19 million in gross loss associated with our idled production.

銷貨成本還包括與我們閒置生產相關的大約 1900 萬美元的總損失。

We expect these costs to be lower going forward as we implement our strategic initiatives and repositioned or further monetize the idled facilities.

隨著我們實施戰略舉措並重新定位或進一步將閒置設施貨幣化，我們預計這些成本將在未來降低。

As Mike mentioned, we currently have earmarked approximately $20 million in capital projects this year, including the $5.5 million for yeast expansion.

正如邁克所提到的，我們目前已經為今年的資本項目預留了大約 2000 萬美元，其中包括 550 萬美元用於酵母擴張。

The remaining balance is intended to fund projects that will further increase our production of higher-value feed as well as improve the reliability, efficiency and safety of operations.

剩餘餘額將用於資助將進一步增加我們的高價值飼料產量以及提高運營可靠性、效率和安全性的項目。

SG&A expenses were $32 million, down compared to $35 million in 2019 due to a reduction in professional fees related to our efforts to resolve our debt issues.

SG&A 費用為 3200 萬美元，低於 2019 年的 3500 萬美元，原因是與我們努力解決債務問題相關的專業費用減少。

Having resolved these issues and further reduced overhead costs, we expect SG&A expenses for 2021 to total between $20 million and $25 million.

在解決了這些問題並進一步降低了管理費用後，我們預計 2021 年的 SG&A 費用總額將在 2000 萬美元至 2500 萬美元之間。

Loss available to common shareholders was $16.4 million or $0.28 per diluted share compared to a loss of $90 million or $1.90 per share in 2019.

普通股股東的虧損為 1640 萬美元或稀釋後每股 0.28 美元，而 2019 年虧損為 9000 萬美元或每股 1.90 美元。

Adjusted EBITDA was positive $67.4 million compared to negative $1.7 million in 2019.

調整後的 EBITDA 為正 6740 萬美元，而 2019 年為負 170 萬美元。

Turning to our balance sheet at December 31, 2020, our cash and cash equivalents were $47.7 million compared to $38.7 million at September 30, 2020.

轉向我們在 2020 年 12 月 31 日的資產負債表，我們的現金和現金等價物為 4770 萬美元，而 2020 年 9 月 30 日為 3870 萬美元。

The improvements in the balance sheet came predominantly from improved profitability, asset sales and proceeds from the public offering completed in October for the net proceeds of $70 million.

資產負債表的改善主要來自盈利能力的提高、資產出售和 10 月份完成的公開募股的收益，淨收益為 7000 萬美元。

Of these proceeds, we used approximately $60 million to accelerate our repayment of high cost debt.

在這些收益中，我們使用了大約 6000 萬美元來加速償還高成本債務。

In total, for the fourth quarter, we reduced our debt outstanding by $66 million, a combination of $43 million in our term debt and $23 million in our line of credit.

總的來說，在第四季度，我們將未償債務減少了 6600 萬美元，其中包括 4300 萬美元的定期債務和 2300 萬美元的信用額度。

As a result, we have reduced our debt by approximately $146 million during 2020.

因此，我們在 2020 年將債務減少了約 1.46 億美元。

Proceeds from our future asset sales will be used to further retire debt, bolster liquidity and fund needed capital projects.

我們未來資產出售的收益將用於進一步償還債務、增強流動性和為所需的資本項目提供資金。

Given the ongoing market demand dynamics and associated volatility in both the hand sanitizer and renewable fuel markets, we believe it's inappropriate to provide guidance at this time.

鑑於洗手液和可再生燃料市場的持續市場需求動態和相關波動，我們認為此時提供指導是不合適的。

What we can provide is additional framework related to our specialty alcoholic contracted product.

我們可以提供的是與我們的特種酒類合同產品相關的附加框架。

Setting aside the many other variables, including the sale of both our renewable fuel and uncontracted specialty alcohol, we would expect our specialty alcohol contracted sales to contribute at a minimum $60 million in gross profit for 2021.

撇開許多其他變量不談，包括我們的可再生燃料和非簽約特種酒精的銷售，我們預計我們的特種酒精合同銷售額將在 2021 年至少貢獻 6000 萬美元的毛利潤。

As noted, there are significant items that could materially impact these results.

如前所述，有一些重要的項目可能會對這些結果產生重大影響。

First, export sales of -- and growth in specialty and industrial alcohol demand.

首先，特種和工業酒精需求的出口銷售和增長。

Second, the ability of our customers to take all their contracted volume.

其次，我們的客戶能夠承擔所有合同量。

Third, market demands for products like hand sanitizer and disinfectants.

三是洗手液、消毒劑等產品的市場需求。

Getting back to the new normal of people out in the public spaces could have a materially positive impact as we would sell at spot market premiums to meet the greater demand, similar to what happened in Q2 and Q3 last year.

恢復人們在公共場所外出的新常態可能會產生重大的積極影響，因為我們將以現貨市場溢價出售以滿足更大的需求，類似於去年第二季度和第三季度發生的情況。

Fourth, increased ethanol margins as demand rises for renewable fuel as businesses reopen and travel picks up.

第四，隨著企業重新開業和旅行增加，對可再生燃料的需求增加，乙醇利潤增加。

Crush margins year-to-date are negative $0.25 per gallon, materially impacting profit margins.

年初至今的壓榨利潤率為負 0.25 美元/加侖，對利潤率產生了重大影響。

Comparatively, Q1 2020 crush margins were approximately negative $0.11 per gallon.

相比之下，2020 年第一季度的壓榨利潤率約為每加侖負 0.11 美元。

And while our current operating facilities are operating at EBITDA breakeven or better, every $0.05 increase in crush margins roughly equates to a $5 million increase in EBITDA on an annual basis.

雖然我們目前的運營設施在 EBITDA 盈虧平衡或更好的情況下運營，但壓榨利潤率每增加 0.05 美元，大致相當於每年 EBITDA 增加 500 萬美元。

And fifth, realizing the timely close and the cost savings from the monetization of our California plants.

第五，通過我們加州工廠的貨幣化實現及時關閉和成本節約。

In summary, for 2021, in addition to this framework, we expect to further reduce annual SG&A expenses by at least $7 million to reduce interest expense by as much as $14 million year-over-year and to reinvest these savings in capital projects that will further improve future results.

總之，到 2021 年，除此框架外，我們預計每年的 SG&A 費用將進一步減少至少 700 萬美元，利息費用同比減少多達 1400 萬美元，並將這些節省的資金再投資於資本項目，這將進一步改善未來的業績。

With that, I'll now turn the call back to Mike.

有了這個，我現在將電話轉回邁克。

Thank you, Bryon.

謝謝你，布賴恩。

As you can see, we've now built a foundation based on consumer demand.

如您所見，我們現在已經建立了基於消費者需求的基礎。

We suspended and minimized the impact of unprofitable operations and reduced operating and overhead expenses.

我們暫停並最大限度地減少了無利可圖的運營的影響，並減少了運營和管理費用。

We also believe our transformation is far from complete.

我們還認為，我們的轉型遠未完成。

With a significantly improved balance sheet, we are actively developing and exploring new build-and-buy opportunities to grow and expand our business to further increase revenues and profitability while maintaining and controlling expenses.

隨著資產負債表的顯著改善，我們正在積極開發和探索新的構建和購買機會，以發展和擴展我們的業務，以進一步增加收入和盈利能力，同時維持和控制費用。

We look forward to sharing more information with you regarding our plans over the coming months and years.

我們期待與您分享有關我們未來幾個月和幾年計劃的更多信息。

I'd now like to open the call for Q&A.

我現在想打開問答電話。

Operator?

操作員？

(Operator Instructions) Our first question come from Eric Stine with Craig-Hallum.

（操作員說明）我們的第一個問題來自 Eric Stine 和 Craig-Hallum。

So just trying to do the math here on -- and I know that you're kind of separating out the volumes that are not contracted, and you're also separating out ethanol.

所以只是試著在這裡做數學——我知道你是在分離出沒有收縮的體積，你也在分離出乙醇。

But if I do the math, I mean it feels to me like that's basically kind of an EBITDA guide of flat year-over-year roughly.

但如果我算一算，我的意思是，我覺得這基本上是一種大致與去年同期持平的 EBITDA 指南。

But then obviously, there would be above and beyond that spot market sales, that sort of thing.

但很明顯，除了現貨市場銷售之外，還會有類似的東西。

I mean is that a fair way to characterize it?

我的意思是這是描述它的公平方式嗎？

I mean I suppose, I guess, you've got to take into account all of the other factors that occurred in 2020 that is not in the numbers that I just gave you.

我的意思是我想，我猜，你必須考慮到 2020 年發生的所有其他因素，這些因素不在我剛剛給你的數字中。

You've got the ethanol sales, you've got other items that are impacting those results as well.

你有乙醇銷售，還有其他影響這些結果的項目。

I would say that it's actually an improvement, but...

我會說這實際上是一種改進，但是...

Okay.

好的。

No, that's fair.

不，這很公平。

But just to be conservative, I mean, just to kind of set a baseline, just doing the math on your gross -- or your gross profit guide, what you talked about for SG&A.

但為了保守起見，我的意思是，只是為了設定一個基線，只是對你的總收入 - 或你的毛利潤指南，你所說的 SG&A 進行數學計算。

So that's a good starting point.

所以這是一個很好的起點。

Maybe just curious, then how do we think about the rest of it?

也許只是好奇，那麼我們如何看待剩下的事情呢？

So you've got $70 million under contract at better pricing, and maybe that's the reason why it's higher year-over-year.

因此，您以更優惠的價格獲得了 7000 萬美元的合同，也許這就是它同比增長的原因。

But then in terms of the additional -- well, that you brought on, it sounds like you missed the window.

但就額外的 - 好吧，你帶來的，聽起來你錯過了窗口。

So that's the reason why some of that additional $30 million, the G&A facility, is not under contract.

這就是為什麼額外的 3000 萬美元，即 G&A 設施中的一部分沒有簽訂合同的原因。

That -- I mean, so how should we think about the rest of that?

那——我的意思是，那麼我們應該如何考慮剩下的部分？

Because clearly, I mean, there's a lot more volume that will contribute above and beyond whatever we judge the guide to be for 2021, just on the base?

因為很明顯，我的意思是，除了我們對 2021 年指南的判斷之外，還有更多的貢獻，只是在基礎上？

Yes.

是的。

We -- I think one of the things we recognized, Eric, early on and Bryon commented on it, we saw the slowdown in sanitizer, which was kind of leading the charge in Q2 and Q3.

我們 - 我認為我們早期認識到的一件事，埃里克，布賴恩對此發表了評論，我們看到了消毒劑的放緩，這在第二季度和第三季度處於領先地位。

And really bolstered the results.

並真正支持了結果。

And immediately, we shifted our focus to doubling down on getting the certifications working with customers like Procter & Gamble to intensify our efforts around gaining certifications that would give us a leg up in terms of quality and the ability to penetrate new markets.

立即，我們將重點轉移到與寶潔等客戶合作獲得認證，以加強我們在獲得認證方面的努力，這將使我們在質量和進入新市場的能力方面取得優勢。

And so that is where our focus is.

這就是我們的重點所在。

You are absolutely right.

你是絕對正確的。

We had 110 million gallons going into the contract period.

我們有 1.1 億加侖進入合同期。

The GNS system came on at the end of the year.

GNS 系統於年底上線。

And so we have that available to us or another 70 million gallons that we will work diligently to place during the course of the year.

因此，我們有可用的資源或另外 7000 萬加侖的資源，我們將在一年中努力投放。

And definitely, if you think about 2022 and 2023, all those gallons will definitely be in the contract cycle and we need to be -- we will be positioned to place those gallons going forward in future years.

當然，如果你考慮到 2022 年和 2023 年，所有這些加侖肯定會在合同周期中，我們需要——我們將在未來幾年將這些加侖放在未來的位置。

This year will be a big effort using our certifications and customer relations to be able to see what the proper direction is, but also to place some of those gallons during the course of 2021 at higher values.

今年將是一項巨大的努力，利用我們的認證和客戶關係能夠看到正確的方向是什麼，而且在 2021 年期間將其中一些加侖置於更高的價值。

Got it.

知道了。

And -- but maybe not some of the spot sales that you saw, and I know it was focused on hand sanitizer more in Q2 and Q3.

而且 - 但也許不是你看到的一些現貨銷售，我知道它在第二季度和第三季度更多地關注洗手液。

I mean, you're still planning to make spot sales of that remaining $70 million that's not under contract.

我的意思是，您仍計劃將剩餘的 7000 萬美元進行現貨銷售，但未簽訂合同。

It's just that there is variability into what markets those might go into, that sort of thing, in terms of deciding to not include that as part of your outlook.

只是在決定不將其作為您前景的一部分時，這些可能進入的市場存在可變性。

Is that fair?

這公平嗎？

That's fair.

這還算公平。

And I think a couple of markets -- in addition to the consumer goods that we're working hard at to penetrate, we're seeing opportunities internationally.

我認為有幾個市場——除了我們正在努力滲透的消費品之外，我們還在國際上看到了機會。

We have some long-standing relationships.

我們有一些長期的關係。

And we've seen that as we have an ability to move some of that specialty alcohol internationally.

我們已經看到了這一點，因為我們有能力在國際上運輸一些特種酒。

When the market spiked in 2020, basically there was very little that moved into the international market.

當市場在 2020 年飆升時，基本上很少有進入國際市場的。

Now we see that as an opportunity to place some of that incremental capacity.

現在我們認為這是一個放置一些增量容量的機會。

Eric, if I maybe add to that -- Eric, the only thing I'd add to that is, again, to just bring on the point is, is that we intend to produce that specialty alcohol and we would expect that it would sell at a premium.

埃里克，如果我可以補充一點——埃里克，我唯一要補充的是，再次強調一下，我們打算生產這種特種酒，我們希望它會銷售溢價。

But we're not -- we have not framed that out for you with regards to the -- what exactly -- it's not the same as fixed-price contracts.

但我們不是——我們沒有為你制定出關於——究竟是什麼——它與固定價格合同不同的框架。

No, absolutely.

不，絕對。

No, makes total sense.

不，完全有道理。

And certainly, I mean it helps, obviously, to have those 2 -- or the 3 certifications as you think about making those sales in various markets and you would command a premium.

當然，我的意思是，當您考慮在各個市場進行銷售時，擁有這 2 個或 3 個認證顯然會有所幫助，並且您會獲得溢價。

So, okay.

所以，好吧。

Then maybe just last one from me.

然後也許只是我的最後一個。

So I guess not a surprise that you made the decision to sell some of the western plants.

所以我想你決定出售一些西方植物並不奇怪。

Just the thought process.

只是思考過程。

It sounds like you're just going to sell the California plants and I know you're producing CO2 out of one of the others.

聽起來您只是要出售加利福尼亞工廠，而我知道您正在從其他工廠中生產二氧化碳。

What's the thinking on keeping the 2, the 1 in Oregon and the 1 in Idaho?

保留 2，俄勒岡州的 1 和愛達荷州的 1 的想法是什麼？

What we will continue to do is monitor where we are with both of those locations.

我們將繼續做的是監控我們在這兩個地點的位置。

We -- again, we've said publicly, we know for the long term, we have to do some repurposing if we are going to run those plants to make sure that we can maintain profitable operations on a consistent basis.

我們再次公開表示，我們知道從長遠來看，如果我們要運營這些工廠，我們必須重新調整用途，以確保我們能夠持續保持盈利運營。

The Magic Valley location is very unique in that it has kind of a unique market.

魔術谷的位置非常獨特，因為它有一個獨特的市場。

The markets we serve out of that location typically have commanded reasonable pricing.

我們在該地區以外服務的市場通常具有合理的定價。

And we're looking at things like high-protein at all our dry mills, basically, to take advantage of what we enjoy at our wet mill, which we've been doing for an awful long time.

基本上，我們在所有乾磨機中都在研究高蛋白之類的東西，以利用我們在濕磨機中享受的東西，我們已經做了很長時間了。

We're looking currently at expanding that into our dry mills where it makes sense.

我們目前正在考慮將其擴展到我們的干磨機，這是有意義的。

So it's a work in progress on Oregon and Idaho.

所以這是在俄勒岡州和愛達荷州進行的一項工作。

We're going to work hard to see if there is a positive path forward.

我們將努力工作，看看是否有積極的前進道路。

With California, we looked hard at those and basically came to the conclusion that we needed to monetize those facilities.

在加利福尼亞，我們仔細研究了這些，基本上得出的結論是，我們需要將這些設施貨幣化。

And then I'm sorry, just maybe one last one.

然後我很抱歉，也許只是最後一個。

Can you just remind us of the carrying costs, most recent carrying costs of, I guess, maybe just stick with the 2 in California, since those are top of mind.

你能提醒我們運輸成本嗎，最近的運輸成本，我猜，也許只是在加利福尼亞堅持使用 2，因為這些是最重要的。

Yes.

是的。

On an EBITDA basis, they cost us anywhere between $200,000 and $300,000 a month each.

在 EBITDA 的基礎上，它們每個月要花費我們 200,000 到 300,000 美元。

Our next question comes from Amit Dayal with H.C. Wainwright.

我們的下一個問題來自 H.C. 的 Amit Dayal。溫賴特。

Just on the margin front, could you give us just color on specialty alcohol margins?

就在邊際前沿，你能給我們提供特種酒精邊際的顏色嗎？

Excluding ethanol, it looks like ethanol is still sort of pressuring or depressing margins for you guys.

不包括乙醇，看起來乙醇對你們來說仍然是一種壓力或壓低利潤。

Would be nice to just get a sense of what the specialty alcoholic margins on a stand-alone basis are.

如果能單獨了解一下特色酒類的利潤是多少，那就太好了。

So I guess what I'd say is we're not prepared to provide for various reasons, proprietary and competitive reasons, we're not prepared to provide that detail.

所以我想我想說的是，出於各種原因、專有和競爭原因，我們不准備提供，我們不准備提供這些細節。

But what you can see from the information that we've given you is that that on the gallons that are contracted, that they will be contributing at a minimum $60 million in gross margin or gross profit.

但是從我們提供給您的信息中您可以看到，按照合同規定的加侖數，他們將至少貢獻 6000 萬美元的毛利率或毛利潤。

So you can probably do the math, at least then look on an aggregated basis what the contract volumes are for.

因此，您可能可以進行數學計算，至少然後在匯總的基礎上查看合同量的用途。

And then I guess, what I'll also emphasize as I was thinking about the question -- the prior question that we got was that we actually have volumes that are contracted for more than the 70, but we have paired that for this discussion to have 70 million gallons because we just -- you don't know what's going to happen with the sanitizer.

然後我想，當我在思考這個問題時，我還要強調一點——我們得到的先前問題是，我們實際上有超過 70 的合同量，但我們已經將其配對為這次討論有 7000 萬加侖，因為我們只是 - 你不知道消毒劑會發生什麼。

That product that's going into the sanitizer market.

進入消毒劑市場的產品。

Understood.

明白了。

And with respect to the specialty alcohol business, is there any seasonality in that, Bryon?

關於特種酒業務，Bryon，這有什麼季節性嗎？

Or is it pretty just steady volumes every quarter?

還是每個季度的交易量都很穩定？

There's a little bit of seasonality, but I don't think anything you need to make adjustments for in your model.

有一點季節性，但我認為您不需要在模型中進行任何調整。

Okay.

好的。

Understood.

明白了。

Interest payments for 2021, could you give us a sense -- I know you said they're going to be around $14 million lower.

2021 年的利息支付，你能給我們一個感覺嗎——我知道你說它們將減少 1400 萬美元左右。

And in that context, by 2022, will there be -- will you eliminate another significant portion of debt potentially, given -- if some of these asset sales go through?

在這種情況下，到 2022 年，如果其中一些資產出售通過，您是否會潛在地消除另一大部分債務？

So just trying to get a sense of what the interest burden on the company for 2021 is within that.

因此，只是想了解公司 2021 年的利息負擔在其中。

So I guess, worst-case scenarios, we have the senior notes maturing in December of this year.

所以我猜，在最壞的情況下，我們的優先票據將於今年 12 月到期。

We certainly intend to try and pay those off earlier than expected.

我們當然打算比預期更早地還清這些。

The -- we're actually obligated to use the proceeds from asset sales, particularly western asset sales for the reduction of that debt or elimination of that debt.

- 我們實際上有義務使用資產出售的收益，特別是西方資產出售的收益來減少債務或消除債務。

So yes, we would expect that to come down significantly.

所以是的，我們預計這一數字會顯著下降。

But even if you carried it through maturity, it's a significant -- we're talking about -- we've made a payment in January on the senior notes of $5 million.

但即使你把它帶到了到期日，這也是一筆重要的——我們正在談論——我們已經在 1 月份支付了 500 萬美元的優先票據。

So we're basically at a $20.5 million balance on the senior notes.

所以我們基本上在優先票據上的餘額為 2050 萬美元。

And we would continue to expect to make at a minimum reduction amortizing payments on that debt through maturity.

我們將繼續期望至少減少該債務到期的攤銷付款。

So it's fairly -- well, particularly -- comparatively to what it was last year, it's pretty nominal.

因此，與去年相比，它相當 - 嗯，特別是 - 相當名義上的。

Understood.

明白了。

And just one last one.

只有最後一個。

On the carbon storage side, Mike, what are the next steps here?

在碳儲存方面，邁克，下一步是什麼？

What should we be looking for in terms of developments that need to come through for you guys to take the next steps in moving towards maybe commercializing this opportunity?

我們應該尋找哪些需要通過的發展，以便你們採取下一步措施，將這個機會商業化？

Yes.

是的。

We will provide more information as we get it.

我們將在獲得信息後提供更多信息。

We're very optimistic and excited about that opportunity.

我們對這個機會非常樂觀和興奮。

Again, we're uniquely positioned from a geology standpoint and we also produce, at that campus, a substantial amount of CO2 that would work well with the project.

同樣，從地質學的角度來看，我們處於獨特的位置，而且我們還在該園區生產大量可與該項目配合使用的二氧化碳。

We have a couple of parties that we are discussing opportunities with them.

我們有幾個聚會，我們正在與他們討論機會。

When we know more, we'll certainly share that with you.

當我們知道更多時，我們一定會與您分享。

But we are optimistic about -- it's a long-term project, make no mistake about it, but it's a real mover if you can pull it together.

但我們對此持樂觀態度——這是一個長期項目，毫無疑問，但如果你能把它拉在一起，它就是一個真正的推動者。

And again, we're uniquely positioned to take advantage of that.

同樣，我們具有獨特的優勢來利用這一點。

Our next question comes from Hamed Khorsand with BWS Financial.

我們的下一個問題來自 BWS Financial 的 Hamed Khorsand。

First, wanted to see if you encountered any competitive pressures during the contracting period?

首先，想看看你們在簽約期間有沒有遇到過競爭壓力？

And if that was resulting in any kind of a pricing pressure or anything like that?

如果這會導致任何形式的定價壓力或類似的事情？

I'd say no more than -- I mean, it is a competitive business, right?

我只想說——我的意思是，這是一項競爭激烈的業務，對吧？

We -- and again, we expected as we had these discussions back in May, June, July as we had discussions -- discussed our quarterly results and then phone calls and the like.

我們 - 再一次，我們預期在 5 月、6 月、7 月進行這些討論時，我們進行了討論 - 討論了我們的季度業績，然後是電話等。

We expected that, for lack of a better term, the benefits of the increased demand and the pricing that was occurring around the sanitizer product would help lift prices on the other products.

我們預計，由於缺乏更好的術語，需求增加和圍繞消毒劑產品定價的好處將有助於提高其他產品的價格。

And we saw that.

我們看到了。

But I would also say that the -- you weren't seeing the same kinds of premiums by the time you've hit the contract period, that you otherwise were seeing in May and June, which is normal, right?

但我還要說，在您達到合同期時，您並沒有看到與您在 5 月和 6 月看到的相同類型的保費，這很正常，對吧？

You would expect that these peak markets don't last long.

你會認為這些高峰市場不會持續很長時間。

And -- but I think that we're optimistic.

而且 - 但我認為我們很樂觀。

And it's why we, again, made decisions early on in that contracting process, whether it was in May, in June, to make sure that we connected with customers that we thought had long-term long-standing incumbency that would allow us to continue to strengthen and deepen those relationships.

這就是為什麼我們再次在該合同流程的早期做出決定，無論是在 5 月還是 6 月，以確保我們與我們認為長期在職的客戶建立聯繫，這將使我們能夠繼續加強和深化這些關係。

And not just sell one product, but multiple products.

不僅銷售一種產品，而且銷售多種產品。

Yes.

是的。

I would add just that, definitely, the customer base that we're dealing with when it comes to the higher grades of alcohol.

我肯定會補充一點，當涉及到更高等級的酒精時，我們正在處理的客戶群。

It's all about quality.

這一切都與質量有關。

It's all about process.

這都是關於過程的。

It's all about consistency.

這一切都與一致性有關。

Those type of things.

那種東西。

And spending the time, energy and financial resources to get the certifications was imperative for us to be able to work with those customers.

花費時間、精力和財務資源來獲得認證對於我們能夠與這些客戶合作是必不可少的。

You do not see the volatility and change once you have locked in with a customer and they are satisfied that you're a key member of their supply chain and you do things the right way.

一旦您與客戶鎖定並且他們對您是他們供應鏈的關鍵成員並且您以正確的方式做事感到滿意，您就不會看到波動和變化。

And our goal is to continue to build on that, because the more you can do that, it does create an opportunity to have a long-term relationship with really key people.

我們的目標是繼續在此基礎上再接再厲，因為你越能做到這一點，它確實創造了一個與真正關鍵的人建立長期關係的機會。

And when you're dealing with high-quality companies, it even becomes more important.

當你與高質量的公司打交道時，它甚至變得更加重要。

And what's the strategy behind getting your utilization rates up?

提高利用率背後的策略是什麼？

I mean, it was -- it still remained pretty low in Q4.

我的意思是，它在第四季度仍然很低。

When you say utilization rates you're talking about overall production?

當您說利用率時，您是在談論整體生產？

You mean utilization, the production capacity -- I mean, production versus capacity?

你的意思是利用率，生產能力——我的意思是，生產與產能？

Yes, the overall production capacity.

是的，整體生產能力。

Yes.

是的。

I think if you look at the way the Pekin on-campus, where we have 56% is specialty alcohol and we have our high-value feed products, which you don't want to ignore.

我想如果你看看北京校園的方式，我們有 56% 是特種酒精，我們有我們的高價值飼料產品，你不想忽視這些。

That's a big contributor and a great piece of business for our company.

這對我們公司來說是一個很大的貢獻者和一個偉大的業務。

That capacity is running quite well.

這種能力運行得很好。

We have a dry mill at the Pekin campus that we brought back online in Q4.

我們在北京校區有一個乾磨機，我們在第四季度重新上線。

That is one of the top-tier producing plants.

那是頂級的生產工廠之一。

It shares.

它分享。

It has the benefit of being part of a campus and it's operating at better than breakeven.

它的好處是成為校園的一部分，並且其運營狀況優於盈虧平衡點。

As far as the other capacity, we just -- we look at it from the standpoint of is it better to keep them idled or -- and bear the idle cost or to try to run them at margins that just don't make sense.

至於其他容量，我們只是 - 我們從讓它們閒置或 - 承擔閒置成本或嘗試以沒有意義的利潤率運行它們的角度來看它。

And that's -- so we carefully monitor that.

那就是 - 所以我們仔細監控它。

We look at it daily, weekly.

我們每天、每週都會查看它。

And that's why we decided to bring the dry mill in Pekin back on because we saw that we could generate positive margin there.

這就是為什麼我們決定重新啟用北京的干磨機，因為我們看到我們可以在那裡產生正利潤。

So it's a -- so look at it every day and we're running the capacity we know is at breakeven or better.

所以這是一個 - 所以每天看看它，我們正在運行我們知道的盈虧平衡或更好的容量。

All right.

好的。

And my other question was on the gross profit guidance, does that also include the corresponding ethanol sale that would coincided with the 70 million gallons?

我的另一個問題是關於毛利潤指導，這是否還包括與 7000 萬加侖同時發生的相應乙醇銷售？

No.

不。

The framework that we gave you was related only to the contracted specialty alcohol.

我們給你的框架只與簽約的特種酒有關。

Okay.

好的。

But if you're producing 70 million of specialty alcohol, I would have to assume that you're also producing 70 million gallons of ethanol -- fuel ethanol as well, right?

但如果你生產 7000 萬種特種酒精，我不得不假設你也在生產 7000 萬加侖乙醇——燃料乙醇也是如此，對吧？

Yes, more or less.

是的，或多或少。

I mean if you can optimize, you'd be somewhere around 60-40 specialty versus ethanol.

我的意思是，如果您可以優化，那麼與乙醇相比，您將在 60-40 左右的專業範圍內。

That's kind of your plan ratio.

這就是你的計劃比率。

But yes, so if you -- for simplistic purposes, that's correct.

但是，是的，所以如果你——出於簡單的目的，那是正確的。

And that framework that we gave you, that gross profit, is related only to the specialty -- the contracted specialty alcohol, not the ethanol.

我們給你的那個框架，那個毛利潤，只與專業有關——合同規定的專業酒精，而不是乙醇。

And my follow-up question is, I mean, as far as hand sanitizer is concerned, your customers have been very much publicly talking about hand sanitizer demand being up this year versus 2019 levels.

我的後續問題是，我的意思是，就洗手液而言，您的客戶一直在公開談論今年的洗手液需求與 2019 年的水平相比有所上升。

But then they're not really contracting with you.

但是他們並沒有真正與你簽約。

Why that kind of talk, but not really following through with any kind of contracting with you?

為什麼要進行那種談話，但並沒有真正與您簽訂任何合同？

Yes.

是的。

I don't know -- I'm not sure that I agree with the premise of the question in the context of they're not contracting with us.

我不知道——在他們沒有與我們簽約的情況下，我不確定我是否同意這個問題的前提。

Indeed, we had the, in fall of last year, 110 million gallons of which we contracted materially or the majority of that product.

事實上，去年秋天，我們有 1.1 億加侖的產量，其中大部分是我們簽訂的合同，或者大部分是該產品。

To assume that you're going to actually start-up a plant in first quarter or second quarter this year and think that you're already going to sell product is, I think, questionable given the current supplies and capacity in the marketplace.

假設您將在今年第一季度或第二季度實際啟動工廠並認為您已經準備銷售產品，我認為，考慮到當前市場的供應和容量，這是有問題的。

Yes.

是的。

We deal with folks that are household names in the sanitizer -- hand sanitizer world and we talk to them.

我們與洗手液領域家喻戶曉的人打交道——洗手液世界，我們與他們交談。

We follow -- we have contracted substantial amounts of their business.

我們緊隨其後——我們已經與他們的大量業務簽訂了合同。

But it's more or less, given the glut of product that's out there and a lot of the subpar product that came into the market in Q4, they're taking a wait and see look in terms of what -- how much they want to contract until they see that the inventory has been liberated.

但這或多或少，考慮到那裡的產品過剩以及第四季度進入市場的許多劣質產品，他們正在觀望什麼 - 他們想要合同多少直到他們看到庫存已經被釋放。

And we do expect again, as we said in our remarks, that once people get back out and drive, and schools and arenas and so forth, we could see the volume go up.

正如我們在評論中所說，我們確實再次期望，一旦人們回來開車，學校和競技場等等，我們可以看到音量上升。

But we're -- like in 2020, we're not rolling forward the exact same volumes of 2020.

但我們 - 就像在 2020 年一樣，我們不會向前推進與 2020 年完全相同的數量。

We're taking a very conservative approach.

我們採取了非常保守的方法。

At this time, I'd like to turn the call back over to Mike Kandris for closing remarks.

在這個時候，我想把電話轉回給 Mike Kandris 做結束語。

I want to thank everybody for joining us today, and we're excited about Alto ingredients.

我要感謝大家今天加入我們，我們對 Alto 成分感到興奮。

The foundation we've built and the opportunities for growth going forward.

我們建立的基礎和未來的增長機會。

And we look forward to speaking to you in the near future.

我們期待在不久的將來與您交談。

Thank you very much.

非常感謝。

Ladies and gentlemen, this does conclude the program.

女士們，先生們，節目到此結束。

You may now disconnect.

您現在可以斷開連接。

Everyone, have a great day.

大家，有一個美好的一天。