Q2 2026 Gross Profit of
Q2 2026 Net Income of
Q2 2026 Adjusted EBITDA of
“Alto’s second quarter results mark the fourth consecutive quarter of positive gross profit, income from operations, net income and adjusted EBITDA. We have maintained consistent profitability over this period even before the contribution of earnings from 45Z tax credits. These results demonstrate the benefits of our diversification strategy, which gives us the flexibility to shift production toward the most attractive end markets and capture premium-value opportunities,” said President and Chief Executive Officer
“Having begun a strategic realignment three years ago, we now have a diversified product portfolio, a leaner cost structure and an operating model capable of generating positive adjusted EBITDA through commodity cycles while providing meaningful upside when market conditions are favorable,” added
Financial Results for the Three Months Ended
- Net sales were
$245.7 million , compared to$218.4 million . - Cost of goods sold was
$229.1 million , compared to$220.4 million . - Gross profit was
$16.6 million , compared to a gross loss of$1.9 million . - Selling, general and administrative expenses were
$8.0 million , compared to$6.2 million . - Interest expense was
$2.0 million , compared to$2.8 million . - Net income attributable to common stockholders was
$11.4 million , or$0.15 per diluted share, compared to a net loss of$11.3 million , or$0.15 per share. - Adjusted EBITDA was
$23.7 million , compared to negative$0.2 million , an increase of$23.9 million .
Cash and cash equivalents at
Second Quarter 2026 Results Conference Call
Management will host a conference call at
To receive a number and unique PIN by email, register here. To dial directly up to 20 minutes prior to the scheduled call time, please dial (833) 630-0017 domestically and (412) 317-1806 internationally. Alternatively, the webcast for the conference call can be accessed from Alto Ingredients’ website at www.altoingredients.com and will be available for one year.
Use of Non-GAAP Measures
Management believes that certain financial measures not in accordance with generally accepted accounting principles ("GAAP") are useful measures of operations. The company defines Adjusted EBITDA as unaudited consolidated net income (loss) before interest expense, interest income, provision (benefit) for income taxes, asset impairments, unrealized derivative gains and losses, acquisition-related expense, excess insurance proceeds and depreciation and amortization expense. A table is provided at the end of this release that provides a reconciliation of Adjusted EBITDA to its most directly comparable GAAP measure, net income (loss). Management provides this non-GAAP measure so that investors will have the same financial information that management uses, which may assist investors in properly assessing the company's performance on a period-over-period basis. Adjusted EBITDA is not a measure of financial performance under GAAP and should not be considered as an alternative to net income (loss) or any other measure of performance under GAAP, or to cash flows from operating, investing or financing activities as an indicator of cash flows or as a measure of liquidity. Adjusted EBITDA has limitations as an analytical tool, and you should not consider this measure in isolation or as a substitute for analysis of the company's results as reported under GAAP.
About
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
Statements and information contained in this communication that refer to or include Alto Ingredients’ estimated or anticipated future results or other non-historical expressions of fact are forward-looking statements that reflect Alto Ingredients’ current perspective of existing trends and information as of the date of the communication. Forward-looking statements generally will be accompanied by words such as “anticipate,” “believe,” “plan,” “could,” “should,” “estimate,” “expect,” “forecast,” “outlook,” “guidance,” “intend,” “may,” “might,” “will,” “possible,” “potential,” “predict,” “project,” or other similar words, phrases or expressions. Such forward-looking statements include, but are not limited to, statements concerning Alto Ingredients’ expectations around expanding production capacity; profitability and executing on opportunities to grow earnings, including through improved utilization and reliability, optimization and capital projects, and monetizing additional Section 45Z tax credits; the use and benefits of its ATM program, including returns that
Company IR and Media Contact:
Investorrelations@altoingredients.com
IR Agency Contact:
Investorrelations@altoingredients.com
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited, in thousands, except per share data) | ||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||
| Net sales | $ | 245,698 | $ | 218,436 | $ | 470,378 | $ | 444,976 | ||||
| Cost of goods sold | 229,062 | 220,373 | 444,523 | 448,720 | ||||||||
| Gross profit (loss) | 16,636 | (1,937 | ) | 25,855 | (3,744 | ) | ||||||
| Selling, general and administrative expenses | 8,017 | 6,171 | 14,716 | 13,361 | ||||||||
| Income (loss) from operations | 8,619 | (8,108 | ) | 11,139 | (17,105 | ) | ||||||
| Interest expense, net | (1,960 | ) | (2,811 | ) | (4,158 | ) | (5,540 | ) | ||||
| Transferable tax credits, net | 5,112 | — | 9,012 | — | ||||||||
| Other expense, net | (70 | ) | (78 | ) | (21 | ) | (31 | ) | ||||
| Income (loss) before provision for income taxes | 11,701 | (10,997 | ) | 15,972 | (22,676 | ) | ||||||
| Provision for income taxes | — | — | — | — | ||||||||
| Net income (loss) | $ | 11,701 | $ | (10,997 | ) | $ | 15,972 | $ | (22,676 | ) | ||
| Preferred stock dividends | $ | (315 | ) | $ | (315 | ) | $ | (627 | ) | $ | (627 | ) |
| Net income (loss) attributable to common stockholders | $ | 11,386 | $ | (11,312 | ) | $ | 15,345 | $ | (23,303 | ) | ||
| Net income (loss) per share, basic | $ | 0.15 | $ | (0.15 | ) | $ | 0.20 | $ | (0.31 | ) | ||
| Net income (loss) per share, diluted | $ | 0.15 | $ | (0.15 | ) | $ | 0.20 | $ | (0.31 | ) | ||
| Weighted-average shares outstanding, basic | 75,588 | 74,611 | 75,191 | 74,232 | ||||||||
| Weighted-average shares outstanding, diluted | 77,071 | 74,611 | 76,609 | 74,232 | ||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited, in thousands, except par value) | |||||||
ASSETS | 2026 | 2025 | |||||
| Current Assets: | |||||||
| Cash and cash equivalents | $ | 23,962 | $ | 23,415 | |||
| Restricted cash | — | 2,258 | |||||
| Accounts receivable, net | 67,889 | 55,069 | |||||
| Inventories | 51,609 | 61,676 | |||||
| Transferable tax credits, net | 8,265 | 7,500 | |||||
| Derivative instruments | 4,173 | 525 | |||||
| Other current assets | 4,926 | 5,474 | |||||
| Total current assets | 160,824 | 155,917 | |||||
| Property and equipment, net | 197,479 | 198,501 | |||||
| Other Assets: | |||||||
| Right of use operating lease assets, net | 21,492 | 16,931 | |||||
| Intangible assets, net | 7,264 | 7,574 | |||||
| Other assets | 10,011 | 9,863 | |||||
| Total other assets | 38,767 | 34,368 | |||||
| Total Assets | $ | 397,070 | $ | 388,786 | |||
CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED) (unaudited, in thousands, except par value) | ||||||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | 2026 | 2025 | ||||||||
| Current Liabilities: | ||||||||||
| Accounts payable | $ | 24,219 | $ | 14,509 | ||||||
| Accrued liabilities | 16,424 | 16,691 | ||||||||
| Current portion – long-term debt | — | 16,600 | ||||||||
| Current portion – operating leases | 4,916 | 4,958 | ||||||||
| Derivative instruments | 277 | 1,067 | ||||||||
| Other current liabilities | 4,561 | 5,246 | ||||||||
| Total current liabilities | 50,397 | 59,071 | ||||||||
| Long-term debt, net | 60,469 | 63,027 | ||||||||
| Operating leases, net of current portion | 17,553 | 13,012 | ||||||||
| Other liabilities | 8,774 | 8,435 | ||||||||
| Total Liabilities | 137,193 | 143,545 | ||||||||
| Stockholders’ Equity: | ||||||||||
| Preferred stock, Series A: no shares issued and outstanding as of Series B: 927 shares issued and outstanding as of | 1 | 1 | ||||||||
| Common stock, | 78 | 77 | ||||||||
| Non-voting common stock, | — | — | ||||||||
| Additional paid-in capital | 1,051,085 | 1,051,795 | ||||||||
| Accumulated other comprehensive income | 5,461 | 5,461 | ||||||||
| Accumulated deficit | (796,748 | ) | (812,093 | ) | ||||||
| Total Stockholders’ Equity | 259,877 | 245,241 | ||||||||
| Total Liabilities and Stockholders’ Equity | $ | 397,070 | $ | 388,786 | ||||||
| Reconciliation of Adjusted EBITDA to Net Income (Loss) | ||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||
| (in thousands) (unaudited) | 2026 | 2025 | 2026 | 2025 | ||||||||
| Net income (loss) | $ | 11,701 | $ | (10,997 | ) | $ | 15,972 | $ | (22,676 | ) | ||
| Adjustments: | ||||||||||||
| Interest expense | 1,960 | 2,811 | 4,158 | 5,540 | ||||||||
| Interest income | (87 | ) | (67 | ) | (165 | ) | (150 | ) | ||||
| Unrealized derivative losses (gains) | 3,634 | 2,117 | (4,439 | ) | 483 | |||||||
| Acquisition-related income | — | (460 | ) | — | (460 | ) | ||||||
| Depreciation and amortization expense | 6,452 | 6,365 | 12,819 | 12,631 | ||||||||
| Total adjustments | 11,959 | 10,766 | 12,373 | 18,044 | ||||||||
| Adjusted EBITDA | $ | 23,660 | $ | (231 | ) | $ | 28,345 | $ | (4,632 | ) | ||
| Segment Financials(in thousands) (unaudited) | ||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||
| Alcohol sales | $ | 114,370 | $ | 94,155 | $ | 222,321 | $ | 201,390 | ||||||
| Essential ingredient sales | 45,071 | 39,565 | 89,064 | 84,183 | ||||||||||
| Intersegment sales | 229 | 183 | 492 | 481 | ||||||||||
| Total Pekin Campus sales | 159,670 | 133,903 | 311,877 | 286,054 | ||||||||||
Marketing and distribution: | ||||||||||||||
| Alcohol sales, gross | $ | 54,612 | $ | 58,106 | $ | 101,889 | $ | 107,101 | ||||||
| Alcohol sales, net | 60 | 80 | 109 | 142 | ||||||||||
| Intersegment sales | 2,512 | 2,334 | 4,962 | 4,840 | ||||||||||
| Total marketing and distribution sales | 57,184 | 60,520 | 106,960 | 112,083 | ||||||||||
| Western production: | ||||||||||||||
| Alcohol sales | $ | 20,798 | $ | 16,604 | $ | 37,479 | $ | 32,798 | ||||||
| Essential ingredient sales | 8,843 | 8,250 | 16,123 | 16,058 | ||||||||||
| Intersegment sales | 449 | 505 | 848 | 769 | ||||||||||
| Total Western production sales | 30,090 | 25,359 | 54,450 | 49,625 | ||||||||||
| Corporate and other | 1,944 | 1,676 | 3,393 | 3,304 | ||||||||||
| Intersegment eliminations | (3,190 | ) | (3,022 | ) | (6,302 | ) | (6,090 | ) | ||||||
| Net sales as reported | $ | 245,698 | $ | 218,436 | $ | 470,378 | $ | 444,976 | ||||||
Cost of goods sold: | ||||||||||||||
| Pekin Campus production | $ | 148,148 | $ | 139,748 | $ | 292,918 | $ | 294,974 | ||||||
| Marketing and distribution | 53,404 | 56,518 | 99,442 | 104,167 | ||||||||||
| Western production | 27,955 | 23,501 | 52,707 | 49,024 | ||||||||||
| Corporate and other | 1,010 | 1,705 | 2,046 | 3,386 | ||||||||||
| Intersegment eliminations | (1,455 | ) | (1,099 | ) | (2,590 | ) | (2,831 | ) | ||||||
| Cost of goods sold as reported | $ | 229,062 | $ | 220,373 | $ | 444,523 | $ | 448,720 | ||||||
Gross profit (loss): | ||||||||||||||
| Pekin Campus production | $ | 11,522 | $ | (5,845 | ) | $ | 18,959 | $ | (8,920 | ) | ||||
| Marketing and distribution | 3,780 | 4,002 | 7,518 | 7,916 | ||||||||||
| Western production | 2,135 | 1,858 | 1,743 | 601 | ||||||||||
| Corporate and other | 934 | (29 | ) | 1,347 | (82 | ) | ||||||||
| Intersegment eliminations | (1,735 | ) | (1,923 | ) | (3,712 | ) | (3,259 | ) | ||||||
| Gross profit (loss) as reported | $ | 16,636 | $ | (1,937 | ) | $ | 25,855 | $ | (3,744 | ) | ||||
| Sales and Operating Metrics (unaudited) | ||||||||
| Three Months Ended | Six Months Ended | |||||||
| 2026 | 2025 | 2026 | 2025 | |||||
| Alcohol Sales (gallons in millions) | ||||||||
| Pekin Campus renewable fuel gallons sold | 31.6 | 28.8 | 62.8 | 61.4 | ||||
| Western production renewable fuel gallons sold | 9.4 | 8.3 | 17.6 | 16.6 | ||||
| Third-party renewable fuel gallons sold | 24.0 | 29.7 | 47.5 | 54.1 | ||||
| Total renewable fuel gallons sold | 65.0 | 66.8 | 127.9 | 132.1 | ||||
| Specialty alcohol gallons sold | 23.5 | 19.9 | 46.5 | 44.2 | ||||
| Total gallons sold | 88.5 | 86.7 | 174.4 | 176.3 | ||||
| Sales Price per Gallon | ||||||||
| Pekin Campus production | $ | 2.09 | $ | 1.95 | $ | 2.05 | $ | 1.92 |
| Western production | $ | 2.20 | $ | 2.00 | $ | 2.13 | $ | 1.98 |
| Marketing and distribution | $ | 2.27 | $ | 1.96 | $ | 2.14 | $ | 1.98 |
| Average sales price per gallon | $ | 2.15 | $ | 1.95 | $ | 2.08 | $ | 1.94 |
| Alcohol Production (gallons in millions) | ||||||||
| Pekin Campus production | 51.8 | 50.9 | 103.0 | 105.2 | ||||
| Western production | 9.0 | 8.3 | 16.9 | 16.6 | ||||
| Total production gallons | 60.8 | 59.2 | 119.9 | 121.8 | ||||
| Corn Cost per Bushel | ||||||||
| Pekin Campus production | $ | 4.58 | $ | 4.86 | $ | 4.51 | $ | 4.75 |
| Western production | $ | 5.59 | $ | 5.71 | $ | 5.57 | $ | 5.83 |
| Average cost per bushel | $ | 4.73 | $ | 4.98 | $ | 4.65 | $ | 4.89 |
| Average | |||||||||||||
| PLATTS Ethanol price per gallon | $ | 1.92 | $ | 1.72 | $ | 1.82 | $ | 1.72 | |||||
| CME Corn cost per bushel | $ | 4.44 | $ | 4.51 | $ | 4.41 | $ | 4.62 | |||||
| Board corn crush per gallons (1) | $ | 0.33 | $ | 0.11 | $ | 0.25 | $ | 0.07 | |||||
| Essential Ingredients Sold (thousand tons) | |||||||||||||
| Pekin Campus production: | |||||||||||||
| Distillers grains | 68.2 | 70.2 | 148.6 | 160.9 | |||||||||
| CO2 | 45.2 | 45.1 | 88.5 | 90.4 | |||||||||
| Corn wet feed | 26.3 | 28.7 | 56.2 | 63.2 | |||||||||
| Corn dry feed | 24.7 | 21.4 | 45.7 | 45.2 | |||||||||
| Corn oil and germ | 19.1 | 18.9 | 37.2 | 38.5 | |||||||||
| Syrup and other | 11.9 | 11.7 | 21.1 | 19.9 | |||||||||
| Corn meal | 8.2 | 8.3 | 17.7 | 17.7 | |||||||||
| Yeast | 5.9 | 5.7 | 12.0 | 12.1 | |||||||||
| Total Pekin Campus essential ingredients sold | 209.5 | 210.0 | 427.0 | 447.9 | |||||||||
| Western production: | |||||||||||||
| Distillers grains | 67.0 | 61.8 | 127.1 | 119.9 | |||||||||
| CO2 | 14.5 | 14.4 | 27.3 | 27.0 | |||||||||
| Corn oil | 0.9 | 1.0 | 1.7 | 2.4 | |||||||||
| Syrup and other | 0.6 | 1.2 | 1.4 | 2.0 | |||||||||
| Total Western production essential ingredients sold | 83.0 | 78.4 | 157.5 | 151.3 | |||||||||
| Total Essential Ingredients Sold | 292.5 | 288.4 | 584.5 | 599.2 | |||||||||
| Essential ingredients return % (2) | |||||||||||||
| Pekin Campus return | 51.7 | % | 44.2 | % | 52.8 | % | 46.1 | % | |||||
| Western production return | 51.4 | % | 50.8 | % | 50.7 | % | 49.9 | % | |||||
| Consolidated total return | 51.6 | % | 45.2 | % | 52.5 | % | 46.7 | % | |||||
________________
(1) Assumes corn conversion of 2.80 gallons of alcohol per bushel of corn.
(2) Essential ingredients revenues as a percentage of total corn costs consumed.
