Q2 2026 Gross Profit of $16.6 Million Increased $18.6 Million
Q2 2026 Net Income of $11.4 Million, or $0.15 per Share, Improved $22.7 Million
Q2 2026 Adjusted EBITDA of $23.7 Million Improved $23.9 Million
PEKIN, Ill., Aug. 05, 2026 (GLOBE NEWSWIRE) -- Alto Ingredients, Inc. (NASDAQ: ALTO), a leading producer and distributor of renewable fuels, essential ingredients and specialty alcohols, reported its financial results for the quarter ended June 30, 2026.
“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 Bryon McGregor.
“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 Mr. McGregor. “In addition, we have numerous initiatives in process and ahead of us to expand capacity, optimize CO2 production, improve efficiencies and increase our earnings from 45Z tax credits.”
Mr. McGregor concluded, “Our second quarter and latest 12-month financial results, combined with our ability to execute on high-return opportunities, reinforce our confidence in Alto’s ability to generate sustainable earnings and create long-term shareholder value.”
Rob Olander, Chief Financial Officer, added that, “Today, we established a $50 million at-the-market equity program. Alongside our available borrowing capacity and operating cash flow, the ATM program provides additional financial flexibility and a prudent, low-cost tool to effectively access equity capital. We see a number of attractive, high-return organic opportunities across our platform. Having the ATM program in place allows us to remain prepared to pursue those opportunities when expected returns, market conditions and shareholder interests align. Any use of the program would be disciplined, measured and evaluated against other sources of available capital.”
Financial Results for the Three Months Ended June 30, 2026 Compared to 2025
- 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 June 30, 2026 were $24.0 million, compared to $23.4 million at December 31, 2025. The company’s borrowing availability at June 30, 2026 was $106 million, including $41 million under the company’s operating line of credit and $65 million under its term loan facility.
Second Quarter 2026 Results Conference Call
Management will host a conference call at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time on Wednesday, August 5, 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 renewable fuels, essential ingredients and specialty alcohols. 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 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 Alto Ingredients may generate from using funds, if any, from the program to make capital investments; 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; prevailing market prices and trading volumes of Alto Ingredients’ stock; Alto Ingredients’ ability, if desirable, to execute on its ATM program; Alto Ingredients’ ability to timely and within budget execute on its optimization and capital projects; 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 May 8, 2026.
Company IR and Media Contact:
Michael Kramer, Alto Ingredients, Inc., 916-403-2755
[email protected]
IR Agency Contact:
Jody Burfening, Alliance Advisors Investor Relations, 212-838-3777,
[email protected]
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited, in thousands, except per share data) Three Months Ended
June 30,Six Months Ended
June 30, 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 $(0.31)Weighted-average shares outstanding, basic 75,588 74,611 75,191 74,232 Weighted-average shares outstanding, diluted 77,071 74,611 76,609 74,232
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited, in thousands, except par value)
ASSETS June 30,
2026 December 31,
2025
Current Assets: Cash and cash equivalents$ 23,962 $ 23,415Restricted cash — 2,258Accounts receivable, net 67,889 55,069Inventories 51,609 61,676Transferable tax credits, net 8,265 7,500Derivative instruments 4,173 525Other current assets 4,926 5,474Total current assets 160,824 155,917Property and equipment, net 197,479 198,501Other Assets: Right of use operating lease assets, net 21,492 16,931Intangible assets, net 7,264 7,574Other assets 10,011 9,863Total other assets 38,767 34,368Total Assets$ 397,070 $ 388,786
CONDENSED CONSOLIDATED BALANCE SHEETS (CONTINUED)
(unaudited, in thousands, except par value)
LIABILITIES AND STOCKHOLDERS’ EQUITY
June 30,
2026
December 31,
2025Current 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, $0.001 par value; 10,000 shares authorized;
Series A: no shares issued and outstanding as of
June 30, 2026 and December 31, 2025
Series B: 927 shares issued and outstanding as of
June 30, 2026 and December 31, 2025
1 1 Common stock, $0.001 par value; 300,000 shares authorized; 77,576 and 77,307 shares issued and outstanding as of June 30, 2026 and December 31, 2025, respectively
78 77 Non-voting common stock, $0.001 par value; 3,553 shares authorized; 1 share issued and outstanding as of June 30, 2026 and December 31, 2025
— — 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
June 30,Six Months Ended
June 30,(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)
June 30,
Six Months Ended
June 30, 2026 2025 2026 2025Net Sales 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)
June 30,Six Months Ended
June 30, 2026 2025 2026 2025Alcohol Sales (gallons in millions) Pekin Campus renewable fuel gallons sold 31.6 28.8 62.8 61.4Western production renewable fuel gallons sold 9.4 8.3 17.6 16.6Third-party renewable fuel gallons sold 24.0 29.7 47.5 54.1Total renewable fuel gallons sold 65.0 66.8 127.9 132.1Specialty alcohol gallons sold 23.5 19.9 46.5 44.2Total gallons sold 88.5 86.7 174.4 176.3 Sales Price per Gallon Pekin Campus production$2.09$1.95$2.05$1.92Western production$2.20$2.00$2.13$1.98Marketing and distribution$2.27$1.96$2.14$1.98Average sales price per gallon$2.15$1.95$2.08$1.94 Alcohol Production (gallons in millions) Pekin Campus production 51.8 50.9 103.0 105.2Western production 9.0 8.3 16.9 16.6Total production gallons 60.8 59.2 119.9 121.8 Corn Cost per Bushel Pekin Campus production$4.58$4.86$4.51$4.75Western production$5.59$5.71$5.57$5.83Average cost per bushel$4.73$4.98$4.65$4.89
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(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.