- Results Improved in All Segments -
- Q4 2025 Gross Profit of $15.2 Million Increased $16.6 Million, Q4 2025 Net Income of $21.5 Million, or $0.28 per Share, Improved $63.5 Million, and Q4 2025 Adjusted EBITDA of $27.9 Million Grew $35.6 Million Compared to Q4 2024 -
PEKIN, Ill., March 04, 2026 (GLOBE NEWSWIRE) -- Alto Ingredients, Inc. (NASDAQ: ALTO), a leading producer and distributor of specialty alcohols, renewable fuels and essential ingredients, reported its financial results for the quarter and year ended December 31, 2025.
President and Chief Executive Officer Bryon McGregor commented, "The fourth quarter capped a year of strong execution and marked a pivotal milestone in our strategic realignment. Over the course of 2025, we completed the heavy lifting of addressing losses at underperforming assets, removing structural costs and repositioning our portfolio toward higher-value and more consistent revenue streams, and we are moving forward with plans to improve our return on assets.
"For the fourth quarter, gross profit reached $15.2 million, an increase of $16.6 million; net income was $21.5 million, improving $63.5 million; and Adjusted EBITDA was $27.9 million, increasing $35.6 million, compared to the prior-year period. Higher crush margins, generating qualified 45Z credits and strong renewable fuel export sales were major contributors to improved performance for the quarter."
Mr. McGregor continued, "We entered 2026 in a position of greater strength, with a leaner cost structure, an improved ability to navigate market volatility and a clearer strategy to drive higher-margin diversification and enhance asset values. During the year, we intend to stay focused on driving profitability and executing on opportunities to grow earnings, including enhancing and expanding our production capabilities, increasing renewable fuel exports, leveraging the demand for liquid CO2, and monetizing additional 45Z tax credits. As in 2025, we will maintain strong cost discipline and prioritize the highest ROI projects. I am proud of the progress our team has made and excited about the path forward."
Financial Results for the Three Months Ended December 31, 2025 Compared to 2024
-- Net sales were $232.0 million, compared to $236.3 million.
-- Cost of goods sold was $216.8 million, compared to $237.7 million.
-- Gross profit was $15.2 million, compared to a gross loss of $1.4 million.
Gross profit included $1.9 million of realized derivative gains, compared
to losses of $3.5 million.
-- Selling, general and administrative expenses were $6.9 million, compared
to $7.4 million.
-- Interest expense was $2.4 million, compared to $2.5 million.
-- Net income attributable to common stockholders was $21.5 million, or
$0.28 per diluted share, compared to a net loss of $42.0 million, or
$0.57 per share.
-- Adjusted EBITDA was $27.9 million, compared to negative $7.7 million.
Financial Results for the Twelve Months Ended December 31, 2025 Compared to 2024
-- Net sales were $917.9 million, compared to $965.3 million.
-- Cost of goods sold was $883.0 million, compared to $955.5 million.
-- Gross profit was $34.9 million, compared to $9.7 million. Gross profit
included $10.7 million of realized derivative gains, compared to losses
of $2.5 million.
-- Selling, general and administrative expenses were $27.2 million, compared
to $29.7 million.
-- Interest expense was $10.8 million, compared to $7.6 million.
-- Net income attributable to common stockholders was $12.1 million, or
$0.16 per diluted share, compared to a net loss of $60.3 million, or
$0.82 per share.
-- Adjusted EBITDA was $44.7 million, compared to negative $8.5 million.
Cash and cash equivalents at December 31, 2025 were $23.4 million, compared to $35.5 million at December 31, 2024. The company's borrowing availability at December 31, 2025 was $102 million, including $37 million under the company's operating line of credit and $65 million under its term loan facility.
Fourth Quarter and Year-End 2025 Results Conference Call
Management will host a conference call at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time on Wednesday, March 4, 2026, and will deliver prepared remarks via webcast followed by a question-and-answer session.
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 Alto Ingredients, Inc.
Alto Ingredients, Inc. (NASDAQ: ALTO) is a leading producer and distributor of specialty alcohols, renewable fuels and essential ingredients. Leveraging the unique qualities of its facilities, the company serves customers in a wide range of consumer and commercial products in the Health, Home & Beauty; Food & Beverage; Industry & Agriculture; Essential Ingredients; and Renewable Fuels markets. For more information, please visit www.altoingredients.com.
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 of driving profitability and executing on opportunities to grow earnings, including enhancing and expanding its production capabilities, increasing renewable fuel exports, leveraging the demand for liquid CO2, and monetizing additional 45Z tax credits, including the Section 45Z tax credits for which Alto Ingredients may be eligible to apply and receive; Alto Ingredients' intentions with respect to cost discipline and prioritizing highest return on investment projects; and Alto Ingredients' other plans, objectives, expectations and intentions. It is important to note that Alto Ingredients' plans, objectives, expectations and intentions are not predictions of actual performance. Actual results may differ materially from Alto Ingredients' current expectations depending upon a number of factors affecting Alto Ingredients' business and plans. These factors include, among others adverse economic and market conditions, including for renewable fuels, specialty alcohols and essential ingredients; export conditions and international demand for the company's products; fluctuations in the price of and demand for oil and gasoline; raw material costs, including production input costs, such as corn and natural gas; adverse impacts of inflation and supply chain constraints, including from tariffs; Alto Ingredients' ability to timely and fully realize the results of its productivity and cost saving initiatives; regulatory developments and Alto Ingredients' ability to successfully pursue and secure opportunities, and realize the expected results, under existing and new legislation, including the Section 45Z regulations, and to successfully apply for and receive anticipated credit amounts. These factors also include, among others, the inherent uncertainty associated with financial and other projections; the anticipated size of the markets and continued demand for Alto Ingredients' products; the impact of competitive products and pricing; the risks and uncertainties normally incident to the alcohol production, marketing and distribution industries; changes in generally accepted accounting principles; successful compliance with governmental regulations applicable to Alto Ingredients' facilities, products and/or businesses; changes in laws, regulations and governmental policies; the loss of key senior management or staff; and other events, factors and risks previously and from time to time disclosed in Alto Ingredients' filings with the Securities and Exchange Commission including, specifically, those factors set forth in the "Risk Factors" section contained in Alto Ingredients'
Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on November 7, 2025.
Company IR and Media Contact:
Michael Kramer, Alto Ingredients, Inc., 916-403-2755
Investorrelations@altoingredients.com
IR Agency Contact:
Harriet Fried, Alliance Advisors Investor Relations, 212-838-3777,
Investorrelations@altoingredients.com
ALTO INGREDIENTS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited, in thousands, except per share data)
Three Months Ended Years Ended
December 31, December 31,
-------------------- ----------------------
2025 2024 2025 2024
--------- --------- --------- -----------
Net sales $231,965 $236,347 $917,927 $965,258
Cost of goods sold 216,802 237,738 883,014 955,536
-------- -------- -------- --------
Gross profit (loss) 15,163 (1,391) 34,913 9,722
Selling, general and
administrative
expenses (6,873) (7,358) (27,208) (29,736)
Acquisition-related
recoveries
(expenses) -- (5,676) 460 (7,701)
Gain on sale of
assets -- -- -- 830
Asset impairments (803) (24,790) (803) (24,790)
-------- -------- -------- --------
Income (loss) from
operations 7,487 (39,215) 7,362 (51,675)
Interest expense,
net (2,425) (2,474) (10,765) (7,644)
Transferable tax
credits, net 7,500 -- 7,500 --
Excess insurance
proceeds 6,688 -- 6,688 --
Other income, net 1,935 150 1,932 508
-------- -------- -------- --------
Income (loss) before
(benefit) provision
for income taxes 21,185 (41,539) 12,717 (58,811)
(Benefit) provision
for income taxes (621) 173 (621) 173
-------- -------- -------- --------
Net income (loss) $ 21,806 $(41,712) $ 13,338 $(58,984)
======= ======= ======= =======
Preferred stock
dividends $ (319) $ (319) $ (1,265) $ (1,269)
Net income (loss)
attributable to
common
stockholders $ 21,487 $(42,031) $ 12,073 $(60,253)
======= ======= ======= =======
Net income (loss)
per share, basic $ 0.29 $ (0.57) $ 0.16 $ (0.82)
======= ======= ======= =======
Net income (loss)
per share, diluted $ 0.28 $ (0.57) $ 0.16 $ (0.82)
======= ======= ======= =======
Weighted-average
shares outstanding,
basic 74,778 73,835 74,507 73,482
======== ======== ======== ========
Weighted-average
shares outstanding,
diluted 76,536 73,835 75,663 73,482
======== ======== ======== ========
ALTO INGREDIENTS, INC.
CONSOLIDATED BALANCE SHEETS
(unaudited, in thousands, except par value)
ASSETS December 31, 2025 December 31, 2024
------------------------------ ------------------- ---------------------
Current Assets:
Cash and cash equivalents $ 23,415 $ 35,469
Restricted cash 2,258 742
Accounts receivable, net 55,069 58,217
Inventories 61,676 49,914
Derivative instruments 525 3,313
Transferable tax credits,
net 7,500 --
Other current assets 5,474 5,463
------------------- -------------------
Total current assets 155,917 153,118
------------------- -------------------
Property and equipment, net 198,501 214,742
------------------- -------------------
Other Assets:
Right of use operating lease
assets, net 16,931 20,553
Intangible assets, net 7,574 4,509
Other assets 9,863 8,516
------------------- -------------------
Total other assets 34,368 33,578
------------------- -------------------
Total Assets $ 388,786 $ 401,438
=== ============== === ==============
ALTO INGREDIENTS, INC.
CONSOLIDATED BALANCE SHEETS (CONTINUED)
(unaudited, in thousands, except par value)
LIABILITIES AND
STOCKHOLDERS' EQUITY December 31, 2025 December 31, 2024
------------------------------ ------------------- ---------------------
Current Liabilities:
Accounts payable $ 14,509 $ 20,369
Accrued liabilities 16,691 24,214
Current portion -- long-term
debt 16,600 --
Current portion -- operating
leases 4,958 4,851
Derivative instruments 1,067 1,177
Other current liabilities 5,246 7,193
------------------ ------------------
Total current liabilities 59,071 57,804
Long-term debt, net 63,027 92,904
Operating leases, net of
current portion 13,012 16,913
Other liabilities 8,435 8,754
------------------ ------------------
Total Liabilities 143,545 176,375
------------------ ------------------
Stockholders' Equity:
Preferred stock, $0.001 par
value; 10,000 shares
authorized; Series A: no
shares issued and
outstanding as of December
31, 2025 and 2024 Series B:
927 shares issued and
outstanding as of December
31, 2025 and 2024 1 1
Common stock, $0.001 par
value; 300,000 shares
authorized; 77,307 and
76,565 shares issued and
outstanding as of December
31, 2025 and 2024,
respectively 77 77
Non-voting common stock,
$0.001 par value; 3,553
shares authorized; 1 share
issued and outstanding as of
December 31, 2025 and 2024 -- --
Additional paid-in capital 1,051,795 1,044,176
Accumulated other
comprehensive income 5,461 4,975
Accumulated deficit (812,093) (824,166)
------------------ ------------------
Total Stockholders' Equity 245,241 225,063
------------------ ------------------
Total Liabilities and
Stockholders' Equity $ 388,786 $ 401,438
==== ============ ==== ============
Reconciliation of Adjusted EBITDA to Net Income (Loss)
-----------------------------------------------------------------
Three Months Ended Years Ended
December 31, December 31,
------------------- ---------------------
(in thousands)
(unaudited) 2025 2024 2025 2024
--------------------- -------- --------- -------- -----------
Net income (loss) $21,806 $(41,712) $13,338 $(58,984)
Adjustments:
Interest expense,
net 2,425 2,474 10,765 7,644
Interest income (175) (112) (381) (689)
Unrealized
derivative (gains)
losses 4,036 (5,495) 2,679 (13,574)
Excess insurance
proceeds (6,688) -- (6,688) --
Acquisition-related
expenses
(recoveries) -- 5,676 (460) 7,701
(Benefit) provision
for income taxes (621) 173 (621) 173
Asset impairments 803 24,790 803 24,790
Depreciation and
amortization
expense 6,328 6,548 25,216 24,408
------- -------- ------- --------
Total adjustments 6,108 34,054 31,313 50,453
------- -------- ------- --------
Adjusted EBITDA $27,914 $ (7,658) $44,651 $ (8,531)
====== ======= ====== =======
Segment Financials (unaudited, in thousands)
-----------------------------------------------------------------
Three Months Ended Years Ended
December 31, December 31,
-------------------- ----------------------
2025 2024 2025 2024
--------- --------- --------- -----------
Net Sales
-------------------
Pekin Campus,
recorded as gross:
Alcohol sales $105,134 $100,216 $415,801 $415,710
Essential
ingredient
sales 45,108 42,011 174,598 169,308
Intersegment
sales 324 316 1,088 1,243
-------- -------- -------- --------
Total Pekin
Campus
sales 150,566 142,543 591,487 586,261
Marketing and
distribution:
Alcohol sales,
gross $ 55,398 $ 37,290 $221,306 $216,524
Intersegment
sales 2,489 2,831 9,827 10,833
-------- -------- -------- --------
Total
marketing
and
distribution
sales 57,887 40,121 231,133 227,357
Western production,
recorded as gross:
Alcohol sales $ 17,083 $ 41,306 $ 67,301 $115,389
Essential
ingredient
sales 7,476 12,769 31,552 36,953
Intersegment
sales 416 -- 1,697 (122)
-------- -------- -------- --------
Total Western
production
sales 24,975 54,075 100,550 152,220
Corporate and other 1,766 2,755 7,369 11,374
Intersegment
eliminations (3,229) (3,147) (12,612) (11,954)
-------- -------- -------- --------
Net sales as
reported $231,965 $236,347 $917,927 $965,258
======= ======= ======= =======
Cost of goods sold
:
-------------------
Pekin Campus (1)
(2) $139,712 $139,899 $572,134 $563,033
Marketing and
distribution 53,190 36,348 214,095 213,023
Western production
(1) 24,931 59,449 96,897 172,209
Corporate and other 1,240 3,592 6,689 12,285
Intersegment
eliminations (2,271) (1,550) (6,801) (5,014)
-------- -------- -------- --------
Cost of goods sold
as reported $216,802 $237,738 $883,014 $955,536
======= ======= ======= =======
Gross profit
(loss):
-------------------
Pekin Campus $ 10,854 $ 2,644 $ 19,353 $ 23,228
Marketing and
distribution 4,697 3,773 17,038 14,334
Western production 44 (5,374) 3,653 (19,989)
Corporate and other 526 (837) 680 (911)
Intersegment
eliminations (958) (1,597) (5,811) (6,940)
-------- -------- -------- --------
Gross profit (loss)
as reported $ 15,163 $ (1,391) $ 34,913 $ 9,722
======= ======= ======= =======
________________
(1) -- includes depreciation and amortization expense
(2) -- includes unrealized gain (loss) on derivatives
Sales and Operating Metrics (unaudited)
----------------------------------------------------------------
Three Months
Ended December Years Ended
31, December 31,
--------------- ----------------------
2025 2024 2025 2024
-------- ----- --------- -----------
Alcohol Sales (gallons
in millions)
Pekin Campus renewable
fuel gallons sold 29.5 32.1 122.6 125.7
Western production
renewable fuel
gallons sold 7.9 22.3 32.6 60.5
Third party renewable
fuel gallons sold 25.7 19.0 106.9 108.3
-------- ----- --------- ---------
Total renewable fuel
gallons sold 63.1 73.4 262.1 294.5
Specialty alcohol
gallons sold 21.4 21.7 88.0 91.5
-------- ----- --------- ---------
Total gallons sold 84.5 95.1 350.1 386.0
Sales Price per Gallon
Pekin Campus $ 2.09 $1.89 $ 2.00 $ 1.95
Western production $ 2.16 $1.86 $ 2.06 $ 1.91
Marketing and
distribution $ 2.15 $1.96 $ 2.07 $ 2.00
Total $ 2.10 $1.88 $ 2.02 $ 1.95
Alcohol Production
(gallons in millions)
Pekin Campus 54.5 55.4 215.3 212.4
Western production 8.1 21.2 32.9 58.7
-------- ----- --------- ---------
Total 62.6 76.6 248.2 271.1
Corn Cost per Bushel
Pekin Campus $ 4.22 $4.17 $ 4.54 $ 4.45
Western production $ 5.47 $5.79 $ 5.62 $ 5.73
Total $ 4.38 $4.63 $ 4.68 $ 4.72
Average Market Metrics
PLATTS Ethanol price
per gallon $ 1.77 $1.60 $ 1.76 $ 1.69
CME Corn cost per
bushel $ 4.31 $4.26 $ 4.39 $ 4.24
Board corn crush per
gallons (1) $ 0.23 $0.08 $ 0.19 $ 0.18
Essential Ingredients
Sold (thousand tons)
Pekin Campus:
Distillers grains 85.4 85.3 337.6 336.4
CO2 46.2 52.7 192.2 188.6
Corn wet feed 21.2 41.4 107.3 121.8
Corn dry feed 34.6 22.0 106.9 87.2
Corn oil and germ 20.0 21.0 78.0 75.1
Syrup and other 6.7 10.0 36.4 38.6
Corn meal 9.3 9.3 36.8 35.4
Yeast 5.9 5.4 24.4 23.2
-------- ----- --------- ---------
Total Pekin Campus
essential ingredients
sold 229.3 247.1 919.6 906.3
Western production:
Distillers grains 56.1 144.3 235.3 394.5
CO2 13.5 14.6 56.5 57.7
Syrup and other 0.8 17.2 3.5 54.8
Corn oil 1.1 3.1 4.3 7.6
-------- ----- --------- ---------
Total Western
production essential
ingredients sold 71.5 179.2 299.6 514.6
Total Essential
Ingredients Sold 300.8 426.3 1,219.2 1,420.9
======== ===== ========= =========
Essential ingredients
return % (2)
Pekin Campus return 53.1% 49.5% 49.3% 49.7%
Western production
return 48.3% 30.3% 50.4% 32.0%
Consolidated total
return 52.4% 43.1% 49.5% 45.2%
________________
(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.
(END) Dow Jones Newswires
March 04, 2026 16:05 ET (21:05 GMT)