Specialty alcohols producer Alto Ingredients Q3 sales beat expectations

Reuters11-06
Specialty alcohols producer <a href="https://laohu8.com/S/ALTO">Alto Ingredients</a> Q3 sales beat expectations

Overview

  • Alto Ingredients Q3 net sales fell but beat analyst expectations

  • Adjusted EBITDA for Q3 beats estimates, reflecting cost reduction efforts

Outlook

  • Alto Ingredients plans to expand CO2 utilization to meet growing demand

  • Company has increased ethanol production due to higher export demand

  • Alto Ingredients expects to generate Section 45Z tax credits on renewable fuel sales

Result Drivers

  • RENEWABLE FUEL EXPORTS - Increased export sales of renewable fuels contributed to improved Q3 results

  • LIQUID CO2 DEMAND - Greater demand for liquid CO2 supported Q3 performance

  • COST REDUCTION - Cost reduction efforts, including rationalizing unprofitable business activities, strengthened financial position

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Sales

Beat

$241 mln

$235.70 mln (2 Analysts)

Q3 EPS

$0.19

Q3 Net Income

$14 mln

Q3 Adjusted EBITDA

Beat

$21 mln

$5.12 mln (2 Analysts)

Q3 Gross Profit

$23 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the renewable fuels peer group is "buy"

  • Wall Street's median 12-month price target for Alto Ingredients Inc is $2.50, about 54.8% above its November 4 closing price of $1.13

Press Release: ID:nGNX5RtH9m

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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