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Alto Ingredients (ALTO) investor relations material
Alto Ingredients Q3 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved significant improvement in profitability in Q3 2025, with net income of $14.2M versus a net loss of $2.4M in Q3 2024, driven by higher renewable fuel exports, strong liquid CO2 demand, and cost reductions.
Gross profit rose to $23.5M from $6.0M year-over-year, and adjusted EBITDA increased to $21.4M, reflecting strategic realignment and operational efficiencies.
Focused on premium markets, sustainability certifications, and operational efficiency to drive growth, including rationalizing unprofitable activities and expanding CO2 utilization.
Leadership team with deep industry experience continues to execute on strategic initiatives.
Product mix was adjusted to capitalize on market conditions, with increased ethanol production and CO2 sales.
Financial highlights
Q3 2025 net sales were $241.0M, down from $251.8M in Q3 2024, mainly due to lower volumes sold.
Gross profit increased by $17.5M to $23.5M, and net income improved to $14.2M from a loss of $2.4M year-over-year.
Adjusted EBITDA for Q3 2025 was $21.4M, up from $12.2M; year-to-date adjusted EBITDA increased by $17.5M.
Cash and cash equivalents stood at $32.5M as of September 30, 2025, with $22.8M generated from operations in Q3.
Working capital increased to $108.5M, and borrowing availability was $85M at quarter-end.
Outlook and guidance
Management expects continued benefits from cost reductions, improved plant reliability, and higher-margin product mix.
Section 45Z tax credits are anticipated to contribute up to $18M over two years, with monetization planned for 2026–2029.
Focus remains on near-term, high-return initiatives, further carbon intensity reductions, and expanding CO2 utilization.
Anticipate continued growth in renewable fuel and export opportunities, especially with California's AB 30 and E15 policy expansion.
SG&A cost savings expected to persist due to permanent efficiency measures.
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