Can REX sustain its Q3 2025 earnings growth?

**REX's ability to sustain its Q3 2025 earnings growth appears promising**, considering the following points: 1. **Consistent Performance**: REX has a history of beating earnings and revenue estimates. For instance, in Q4 2024, the company surpassed earnings and revenue estimates, with earnings per share (EPS) of $1.16, beating the consensus estimate of $0.71. This consistency suggests a strong operational performance that could translate into sustained growth. 2. **Strategic Investments**: REX has been actively investing in its business to drive growth. The company's investment in the expansion of its production facility, One Earth Energy, is set to increase capacity from 150 million gallons to 175 million by mid-2025, and potentially to 200 million gallons annually. These investments are likely to pay off in the form of increased revenue and market share. 3. **New Revenue Streams**: The completion of REX's first carbon capture and storage (CCS) facility is a significant development. This facility has a designed capacity to capture 560,000 tons of CO2 annually, which positions REX to benefit from higher product quality and new markets, such as sustainable aviation fuel. The ability to offer carbon emission storage to third-party companies also creates a new revenue stream. 4. **Financial Prudence**: REX has demonstrated financial prudence, with a fully cash-funded investment budget of $165-$175 million, which is a fraction of its cash on hand. This indicates a strong financial position that allows the company to invest in growth opportunities without compromising its financial health. 5. **Industry Position**: REX's stronghold in the U.S. Midwest as a leading ethanol manufacturer, combined with its strategic investments and new revenue streams, positions it well for sustained growth. The company's ability to adapt to market changes and capitalize on emerging opportunities, such as sustainable fuels, bodes well for its future earnings potential. In conclusion, while there are no specific data points available for REX's Q3 2025 earnings, the company's track record of exceeding expectations, strategic investments, and the creation of new revenue streams suggest that it is well-positioned to sustain and potentially build upon its earnings growth in Q3 2025 and beyond.