v3.26.1
Business Segments
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Business Segments
(10) Business Segments
CVR Partners has one operating and reportable segment: Nitrogen Fertilizer. The Partnership derives revenue by producing and marketing nitrogen fertilizer products within the United States, which are used by farmers to improve the yield and quality of their crops. The segment determination is based on the management approach, reflecting the internal reporting used by the Chief Operating Decision Maker (“CODM”), the Partnership’s Chief Executive Officer, to evaluate performance and make strategic decisions.
The CODM evaluates the performance of the Nitrogen Fertilizer Segment and decides how to allocate resources based on net income, which is reported in the condensed consolidated statements of operations. The CODM uses net income to assess the income generated by the Nitrogen Fertilizer Segment and to decide whether to recommend that the Board reinvest profits into the Partnership or pay distributions. Net income is also used to analyze performance against the budget and the Partnership’s competitors.
While segment assets are not reported to, or used by, the CODM to allocate resources or to assess performance of the segment, total assets are disclosed in the condensed consolidated balance sheets.
The following table presents the operating results and capital expenditures information for the Nitrogen Fertilizer Segment:
Three Months Ended
March 31,
(in thousands)20262025
Net sales$180,048 $142,866 
Less:
Feedstocks17,932 16,529 
Distribution costs12,672 13,228 
Other costs of materials (1)
(1,178)(1,856)
Cost of materials and other29,426 27,901 
Less:
Direct operating expenses (exclusive of depreciation and amortization and turnaround expenses)62,233 54,108 
Turnaround expenses971 378 
Depreciation and amortization19,963 18,041 
Selling, general and administrative expenses9,031 7,889 
Interest expense8,803 8,946 
Interest income(955)(1,220)
Other segment items (2)
663 (265)
Net income$49,913 $27,088 
Capital expenditures$13,751 $5,932 
(1)Other costs of materials includes change in inventory adjustments and lease expense.
(2)Other segment items includes (gain) loss on asset disposal and other (income) expense.