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Sep 27
Darling Q3 2025 Earnings Report
Darling Ingredients reported modest year-over-year revenue growth and maintained profitability in a challenging quarter for its Fuel segment.
Key Takeaways
For Q3 2025, Darling Ingredients reported net income of $19.4 million and EPS of $0.12, driven by continued strength in Feed and Food Ingredients, offset by losses in the Fuel segment. Total revenue reached $1.56 billion, with Combined Adjusted EBITDA of $244.9 million and capital expenditures totaling $90.1 million. DGD sold 250 million gallons of renewable fuel during the quarter, generating a negative $0.02 EBITDA per gallon to Darling.
Revenue grew 10% year-over-year to $1.56 billion, reflecting strong performance in Feed and Food Ingredients segments.
Net income increased to $19.4 million, or $0.12 per diluted share, from $16.9 million in Q3 2024.
Combined Adjusted EBITDA was $244.9 million, up slightly from $236.7 million a year earlier.
DGD reported 250 million gallons sold with negative $0.02 EBITDA per gallon impact to Darling due to tax credit fees.
Darling
Darling
Darling Revenue by Segment
Darling Revenue by Geographic Location
Revenue by Segment
Feed Ingredients Revenue
CapyFin.comFood Ingredients Revenue
CapyFin.comFuel Ingredients Revenue
CapyFin.comRevenue by Geographic Location
Global Revenue
CapyFin.com Forward Guidance
Darling Ingredients expects its core ingredients business to deliver Adjusted EBITDA between $875 million and $900 million for FY25, excluding the impact of DGD.
Positive Outlook
- Solid demand for Feed and Food Ingredients supporting profitability.
- Stable pricing environment in collagen and protein products.
- Strong liquidity position with over $1.17 billion in revolver availability.
- Improving operational efficiency across core segments.
- Continued focus on monetizing production tax credits.
Challenges Ahead
- Fuel segment under pressure due to policy uncertainty and weak margins.
- Negative EBITDA contribution from DGD during the quarter.
- Rising operating costs in SG&A and integration expenses.
- Volatility in renewable fuel markets impacting profitability.
- Foreign currency headwinds slightly reduced Adjusted EBITDA.