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Sep 30, 2020
Aemetis Q3 2020 Earnings Report
Reported financial results with revenue decreasing due to lower ethanol prices and biodiesel bidding delays in India, but biogas project achieved milestones.
Key Takeaways
Aemetis, Inc. reported a decrease in revenue to $40.9 million compared to $57.4 million in the third quarter of 2019. The company experienced a net loss of $12.2 million, or $0.59 per share. The Aemetis Biogas team completed the first phase of its dairy digester cluster project.
Ethanol and high-grade alcohol gallons sold increased 11% compared to the second quarter of 2020.
Biodiesel metric tons sold increased 216% compared to the second quarter of 2020.
Revenues were $40.9 million during the third quarter.
Net Loss was $12.2 million ($0.59 per share).
Aemetis
Aemetis
Aemetis Revenue by Segment
Revenue by Segment
India Biodiesel Revenue
CapyFin.com Forward Guidance
Aemetis expects revenue growth in India during 2021 due to participation in a $900 million India government oil marketing company request to purchase biodiesel.
Positive Outlook
- Expected revenue growth in India during 2021.
- Aemetis Biogas project is expected to be fully completed within about 18 months.
- Aemetis will be able to inject dairy renewable natural gas into the common carrier pipeline in 2021.
- Aemetis will utilize an onsite renewable compressed natural gas fueling station in 2021.
- Sales of new sanitizer products are planned to be supported by production of United States Pharmacopeia medical grade alcohol beginning in the first half of 2021.
Challenges Ahead
- Softened demand for high grade alcohol for sanitizer production during the third quarter of 2020.
- Lower ethanol prices impacted revenue.
- Delays in the India government oil marketing companies biodiesel bidding process impacted revenue.
- Operating loss increased to $3.8 million for the third quarter of 2020.
- Cash at the end of the third quarter of 2020 was $79 thousand, compared to $656 thousand at the end of 2019.