Renewable Energy Group Reports Third Quarter 2016 Financial Results

AMES, Iowa–(BUSINESS WIRE)–Renewable Energy Group, Inc. (“REG” or the “Company”) (NASDAQ:REGI) today announced its financial results for the third quarter ended September 30, 2016.

“REG Life Sciences delivered its first commercial product last week, our biomass-based diesel fleet is operating efficiently and profitably and REG Geismar is up and running well with no planned downtime for the remainder of the year. We believe we are positioned for a strong finish to the year.”

Revenues for the quarter were $624.6 million. The Company sold 163.1 million gallons of fuel. Compared to the third quarter of 2015, REG sold 36.0% more gallons of fuel resulting in an increase in revenue of 58.2%. Net income attributable to common stockholders was $22.9 million, compared to a net loss of $15.7 million in the third quarter of 2015.

Adjusted EBITDA for the quarter was $31.6 million. Results for the quarter include risk management gains of $5.9 million, which reflects the change in market value of various hedging instruments used to protect cash margins in the current and future periods. The risk management results were impacted by the increase in energy prices in the last week of September resulting from an announcement by OPEC of a purported reduction in output. Results for the quarter were also affected by reduced operating days at the Company’s Geismar facility, related to local area flooding in August and pulled forward scheduled maintenance from October to September.

Adjusted EBITDA in the third quarter of 2015 was $16.9 million. The prior year period Adjusted EBITDA includes $23.3 million of risk management gains, as well as an allocation of the benefit from the retroactive reinstatement of the 2015 Biodiesel Mixture Excise Tax Credit (BTC).

“We achieved solid growth in the third quarter with significant increases in gallons sold, gallons produced, revenue and adjusted EBITDA,” said REG President and CEO Daniel J. Oh. “REG Life Sciences delivered its first commercial product last week, our biomass-based diesel fleet is operating efficiently and profitably and REG Geismar is up and running well with no planned downtime for the remainder of the year. We believe we are positioned for a strong finish to the year.”

 

 

Renewable Energy Group Begins Upgrade and Expansion at Ames, IA Laboratory

Ames, IA – Renewable Energy Group, Inc.(NASDAQ: REGI) leaders celebrated the beginning Friday of an expansion and upgrade of the laboratory at the company’s Ames, Iowa headquarters to further enhance renewable chemical related biotechnology research, development and commercialization.

The lab expansion will include the installation of fermentation equipment and significant analytical capabilities.

Upon completion, full-time positions will be added to focus on commercialization and integration of products to be developed by REG in South San Francisco into production and delivery platforms.

“This expansion is simply one of many examples of REG’s commitment to innovation and economic development in Iowa and in particular Ames which is a cornerstone of Iowa’s Cultivation Corridor,” said REG President and CEO Daniel Oh.

“These upgrades will allow us to increase our midwestern focus on product development for renewable chemicals.”

Local and state business and community leaders joined REG employees for the groundbreaking ceremony and say the benefits from projects like this reach far and wide.

“Technology investments like expanding lab capabilities in the Ames community enhance Iowa State University’s ability to market the community and place our students in their chosen field,” said Dr. Steven Leath, Iowa State University President.

“Retention of top talent is vital in economic development and Iowa as a global leader in agbioscience, biorenewables, biotech and advanced manufacturing industries.”

“The Iowa Economic Development Authority (IEDA) is dedicated to cultivating innovation and economic growth in our state of Iowa,” said IEDA Director Debi Durham.

“REG’s commitment and investment in Ames shows Iowa is primed for a new era in biotechnology, focused on using agricultural feedstocks to make high value products.”

Oh said legislation expected to be signed soon Governor Terry Branstad and approved by the Iowa legislature this week, which will provide tax credits for the renewable chemical industry, should provide extra momentum for REG’s investment in the field.

“The state’s efforts to promote and grow renewable chemicals are a natural extension of the state’s support of agriculture and renewable fuels.

“This bill shows commitment and purpose and demonstrates that the investment is desired here in Iowa, and we are thankful for the support of our elected officials in getting it done. ”

For more information, please contact Anthony Hulen at 703-822-1972 or anthony.hulen@regi.com

#innovationIOWA REG completes acquisition of Imperium Renewables

Thursday, August 20, 2015 10:37 AM

Renewable Energy Group Inc. on Wednesday completed its previously announced acquisition of substantially all the assets of Imperium Renewables Inc. REG paid Imperium $15 million in cash and issued 1.675 million shares of REG common stock in exchange for substantially all of Imperium’s assets, including the 100 million-gallon nameplate biodiesel refinery and terminal at the Port of Grays Harbor, Wash. Ames-based REG assumed $5.2 million of Imperium’s debt from Umpqua Bank, which has agreed to provide the newly named REG Grays Harbor LLC with an additional loan capacity of up to $5 million to fund capital expenditures and improvements at the facility.

Read more: http://businessrecord.com/Content/Energy-Environment/Energy-Environment/Article/REG-completes-acquisition-of-Imperium-Renewables/183/930/69907#ixzz3jTvssFQQ