GPRE

Green Plains faced a challenging Q2, as the market reacted negatively to its results following a shortfall in revenue versus Wall Street expectations. Management attributed the quarter’s performance to a combination of operational improvements, successful spring maintenance, and expanded contributions from its carbon platform. CEO Chris Osowski emphasized, “Operational excellence isn’t a side project here. It’s the engine behind our earnings growth and long-term value creation,” highlighting how effective plant management and higher ethanol yields supported profitability. Is now the time to buy GPRE? Find out in our full research report (it’s free). Revenue: $446.2 million vs analyst estimates of $560 million (19.3% year-on-year decline, 20.3% miss) Adjusted EPS: $0.83 vs analyst estimates of $0.64 (30.6% beat) Adjusted EBITDA: $93.35 million vs analyst estimates of $91.3 million (20.9% margin, 2.2% beat) Operating Margin: 15.2%, up from -5.1% in the same quarter last year Market Capitalization: $1.06 billion While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Pooran Sharma (Stephens): asked for more detail on the spring maintenance, especially at the Madison facility, and whether similar large projects are expected ahead. CEO Chris Osowski explained that such maintenance is infrequent and part of ensuring asset reliability for high utilization and compliance. Andrew Strelzik (BMO): inquired about the sustainability of ethanol export demand and competition with Brazil. SVP Imre Havasi replied that international blending mandates and energy security will support ongoing growth, though Brazil’s production swings could impact market share. Matthew Blair (TPH): questioned the sustainability of higher corn oil yields and upcoming capital outlays for yield improvement. Osowski confirmed ongoing investments will target incremental yield gains, and CFO Ann Reis said share repurchases remain under review but no announcements have been made. Kristen Owen (Oppenheimer): asked about the base ethanol business outlook for the second half and monetization timing for 45Z credits. Havasi highlighted stable margins and volume trends, while Reis said credit monetization is progressing but not finalized. Richard DeDios (UBS): sought clarification on utilization trends by quarter. Osowski reiterated the goal of 95% annualized utilization, with some variability due to planned maintenance cycles. Looking ahead, our team will be tracking (1) progress on monetizing 45Z carbon credits, as agreements here could materially improve cash flow visibility; (2) the impact of targeted plant upgrades on operational reliability and yield improvement; and (3) trends in domestic and export ethanol demand, particularly as policy shifts and international mandates evolve. Execution on these priorities will be central to Green Plains’ ability to deliver sustained margin expansion. Green Plains currently trades at $15.12, down from $16.49 just before the earnings. In the wake of this quarter, is it a buy or sell? Find out in our full research report (it’s free for active Edge members). ONE MORE THING: Top 5 Growth Stocks. The biggest stock winners almost always had one thing in common before they ran. Revenue growing like crazy. Meta. CrowdStrike. Broadcom. Our AI flagged all three. They returned 315%, 314%, and 455%, respectively. Find out which 5 stocks it’s flagging this month — FREE. Get Our Top 5 Growth Stocks for Free HERE. Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-micro-cap company Kadant (+214% between June 2020 and June 2025). Find your next big winner with StockStory today.

Alto Ingredients, Inc. ALTO delivered a significantly improved second-quarter 2026 performance, marking its fourth consecutive quarter of positive gross profit, operating income, net income and adjusted EBITDA. The renewable fuels producer benefited from stronger ethanol crush margins, improved essential ingredient values, lower corn costs and higher sales volumes. However, despite the sharp improvement in profitability, ALTO’s shares have come under significant pressure following the earnings release.Since reporting results on Aug. 5, 2026, Alto Ingredients’ shares have declined 17%. Over the past month, the stock has fallen 19.1%, considerably underperforming the Consumer Products - Discretionary industry, which gained 6.2%, as well as the broader Consumer Discretionary sector, which advanced 0.5%. The S&P 500 also increased 2.1% during the same period. Alto Ingredients has also substantially underperformed several key peers, including Green Plains Inc. GPRE, Gevo, Inc. GEVO and MGP Ingredients, Inc. MGPI. MGP Ingredients and Gevo gained 2.4% and 3.1%, respectively, while Green Plains declined 7.4% during the same period. Image Source: Zacks Investment Research Nevertheless, ALTO’s quarterly results showed continued progress in its underlying business. Alto Ingredients’ second-quarter results reflected a substantial year-over-year improvement. Net sales of $245.7 million surpassed the Zacks Consensus Estimate of $243 million and increased 12.5% from $218.4 million in the prior-year quarter. This growth reflected higher alcohol selling prices, increased specialty alcohol volumes and stronger essential ingredient values. The company sold 88.5 million gallons of ethanol and specialty alcohols, up from 86.7 million gallons a year ago, while the average sales price increased 10% to $2.15 per gallon.Gross profit surged to $16.6 million from a gross loss of $1.9 million in the year-ago quarter. Earnings per share came in at 15 cents, compared with a loss of 15 cents in the prior-year period. Adjusted EBITDA also improved sharply to $23.7 million from negative $0.2 million. The improvement was driven primarily by stronger industry crush margins, which increased to 33 cents per gallon from 11 cents a year ago and contributed approximately $17 million of incremental gross profit. Favorable market conditions also supported ALTO’s performance in the quarter, including robust export demand, strong domestic blending activity and tighter ethanol inventories following industrywide spring maintenance outages. Favorable crop conditions and larger projected grain supplies helped lower corn costs. The company’s essential ingredient business also performed well, with sales increasing $6.1 million year over year. Stronger pricing and a 5% decline in corn costs lifted the consolidated essential ingredient return to 51.6% from 45.2% a year earlier.ALTO is also investing in projects aimed at increasing production and improving profitability. In the second quarter, the company completed a debottlenecking project at its Pekin Campus that is expected to increase annual production capacity by approximately 8%, or 5 million gallons. Management expects the facility to reach the new production levels and realize the full benefit of the additional capacity in the fourth quarter. Apart from this, the company is expanding its CO2-related opportunities, with a third CO2 storage tank at the Columbia facility expected to become operational in the fourth quarter. Alto Ingredients is further benefiting from the 45Z clean fuel production tax credit. Despite the improvement in its financial performance, ALTO continues to face headwinds in the export business. Geopolitical disruptions in the Middle East have increased freight costs and reduced vessel availability, while competition from Brazilian ethanol has weakened the economics of shipping U.S. renewable fuels to Europe. Management noted that these factors contributed to lower renewable fuel export volumes. Continued changes in global trade flows and freight economics could therefore weigh on export opportunities and create volatility in future results.ALTO also incurred higher operating expenses during the quarter, partially offsetting the improvement in gross profit. Repairs and maintenance expenses increased approximately $2 million year over year, primarily due to work related to the Pekin dry mill and ICP spring outages, as well as continued work at the Carbonic facility. Selling, general and administrative expenses also increased $1.8 million. Higher operating costs could weigh on profitability as the company continues its optimization and maintenance activities. Reflecting cautious sentiment around Alto Ingredients, the Zacks Consensus Estimate for EPS has seen downward revisions. Over the past seven days, the EPS estimate for 2026 and 2027 has declined 27.8% and 66.3% to 39 cents and 28 cents, respectively. Image Source: Zacks Investment Research Alto Ingredients is showing meaningful improvement in profitability, supported by stronger ethanol fundamentals, lower corn costs and strategic growth initiatives. However, the sharp post-earnings decline, weaker export conditions, higher operating expenses and downward revisions to earnings estimates point to limited near-term visibility. For now, current investors may consider reducing exposure or exiting positions, while potential investors may prefer to remain on the sidelines. Alto Ingredients currently carries a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Alto Ingredients, Inc. (ALTO) : Free Stock Analysis Report Gevo, Inc. (GEVO) : Free Stock Analysis Report Green Plains, Inc. (GPRE) : Free Stock Analysis Report MGP Ingredients, Inc. (MGPI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 9:00 a.m. ET President and Chief Executive Officer - Chris Osowski Chief Financial Officer - Ann Reis Senior Vice President of Trading and Commercial Operations - Imre Havasi Vice President of Investor Relations and Treasurer - Will Joekel Operator: Good morning, and welcome to the Green Plains Inc. Second Quarter 2026 Earnings Conference Call. Following the company's prepared remarks, instructions will be provided for Q&A. [Operator Instructions] I will now hand the call over to your host, Will Joekel, Vice President of Investor Relations and Treasurer. Please go ahead, Will. Will Joekel: Thank you, and good morning. I would like to welcome everyone to the Green Plains Inc. Second Quarter 2026 Earnings Conference Call. Joining me on today's call are Chris Osowski, President and Chief Executive Officer; Ann Reis, Chief Financial Officer; Imre Havasi, Senior Vice President of Trading and Commercial Operations, along with the rest of our senior leadership team. There is a slide presentation available on the Investor page under the Events and Presentations link on our website. During this call, we will be making forward-looking statements, which are predictions, projections and other statements about future events. These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results can materially differ because of risk factors discussed in today's press release, comments made during this call and in the Risk Factors section of our Form 10-K, 10-Q and other reports and filings with the Securities and Exchange Commission. We do not undertake any duty to update any forward-looking statements. I'll now hand the call over to Chris. Chris Osowski: Thanks, Will, and good morning, everyone. The second quarter marked another period of strong execution for Green Plains. The team delivered adjusted EBITDA of $93.3 million despite downtime for spring maintenance, up from $71.5 million in the first quarter and a significant improvement from $16.4 million in the second quarter of last year. Successfully executing our maintenance program while achieving our strongest quarterly performance in years, highlights the strength of our operations and our team. Green Plains today is a fundamentally different company than it was a year ago. We are focused on operational excellence across our platform. We have a growing carbon business that is delivering significant value, and we are benefiting from favorable demand fundamentals across ethanol, corn oil and protein markets. Together, those advantages are creating a business with a higher floor, stronger free cash flow and significantly more flexibility than we've had before. Before I discuss our outlook, I want to start with safety. Safety is the foundation for everything we do. A safe plant is a reliable plant and a reliable plant is what allows us to consistently deliver for our customers, our shareholders and our employees. During the quarter, our employees worked safely, and we continued to improve the risk profile of the fleet. Recently, our Superior, Iowa facility achieved highly protected status from FM, becoming our second facility to earn that recognition after Central City, Nebraska in Q1. Superior also recently surpassed 3 years without a recordable accident, which is a fantastic achievement. In June, we held our annual Safety Week across the organization with senior leadership team, spending time in our plants alongside our teams at Fluid Quip Technologies and Fluid Quip Mechanical. That kind of visible hands-on engagement reinforces that safety is owned by all of us every day. Operationally, the quarter played out largely as planned. We produced nearly 161 million gallons of ethanol and ground over 54 million bushels of corn, while completing our normal spring maintenance. Capacity utilization averaged nearly 90%, reflecting those planned outages plus the molecular sieve beads change-out at Madison, Illinois. It's a normal course maintenance item, but one that typically occurs once in every 8 to 10 years. We remain on track for roughly 95% capacity utilization for the full year. These results give us confidence in our sustainability of our operating rates as we move through the back half of the year. That consistency matters because it's the foundation for everything we do, lowering CI scores, improving capture rates, raising yields, taking out costs and finding opportunities through our benchmarking efforts. Operational excellence isn't a side project here. It's the engine behind our earnings growth and long-term value creation, and nowhere is that more evident than in our carbon platform. Capture performance is at or near our expected long-term rates and the earnings keep building. Our carbon platform contributed nearly $59 million of EBITDA in Q2, up from $55.2 million in the first quarter, bringing first half carbon EBITDA to approximately $114 million. We are earning 45Z credits as we produce qualifying low-carbon ethanol and the value we generate begins with operational execution. As we continue to execute, we increase the value of the credits we earn. We have not monetized any portion of our 2026 credits to date. Staying patient is allowing us to negotiate a deal that generates stable, predictable cash flows. And while we haven't announced a partner for these credits, we're pleased with the progress we've made and believe our approach is positioning us well. Our focus remains straightforward: maximize value while ensuring we maintain the necessary compliance and documentation to fully monetize the credits. Ann will provide more detail on the accounting and cash flow considerations in her remarks. But before I hand it over to her, I want to spend a moment on the broader demand outlook for ethanol. We're seeing several demand drivers line up at once. Domestic demand remains healthy, exports are performing well and policy backdrop for the higher blends remains encouraging. Permanent year-round E15 remains an important opportunity, but it's only one part of a larger demand story. On the policy front, The Senate Agricultural Committee is set to formally schedule the Farm Bill markup later today. We also see growing interest in ethanol's role in maritime fuel applications, continued discussion around sustainable aviation fuel, expanding international blending mandates and a broader recognition of ethanol's role in energy security. Geopolitical uncertainty, evolving trade dynamics and changing global fuel requirements continue to create opportunities for low-carbon liquid fuels. Weather, crop size and global grain flows will continue to influence feedstock markets, but the demand picture is solid. Importantly, these potential demand catalysts are not embedded in our current outlook, but they reinforce our positive long-term view of ethanol demand and the strategic position Green Plains has built. With that, I'll turn it over to Ann to review the financials. Ann Reis: Thanks, Chris. The second quarter reflected strong execution across the business and continued growth from our carbon platform. For the quarter, we reported net income attributable to Green Plains of $67.1 million or $0.83 per diluted share, compared with $0.42 per diluted share in the first quarter. Adjusted EBITDA was $93.3 million, up from $71.5 million in the first quarter, reflecting improved operating performance and a growing contribution from 45Z. Gross margin for the quarter was $113 million compared with $41.6 million in the second quarter of 2025. During the second quarter, the carbon business generated $59 million of net EBITDA, which is the net contribution after discounts, incremental electrical expense at the plant and the transportation and sequestration of the CO2. As Chris noted, the improvement reflects the value of credits earned through our operations, supported by strong capture performance, lower carbon intensity and continued improvement across the platform. Cash generation was a highlight. We generated nearly $87 million of operating cash flow and ended June with over $243 million of cash and cash equivalents. Our total debt for the quarter was approximately $484 million. We received the final cash payment related to our 2025 45Z credits during the second quarter, totaling $41 million. That relates to prior year credits and is separate from the 45Z EBITDA we recognized this quarter. As we continue to generate cash, our priorities remain straightforward. We will continue to invest in safe and reliable operations, maintain a strong balance sheet and allocate capital to the opportunities that create the greatest long-term value for shareholders. We're focused on generating increasingly predictable free cash flow and deploying that capital in a disciplined manner. Chris will discuss our capital allocation framework in more detail later on the call. Turning to expenses. SG&A totaled around $21 million for the quarter, a reduction of 21% when compared to Q2 of 2025, and we remain on track to finish the year at approximately $90 million of SG&A expense. Interest expense was $8 million during the second quarter, and depreciation and amortization was $23 million. We continue to expect full year interest expense of approximately $35 million. Capital expenditures were around $11 million during the quarter. Given the opportunities we're seeing to enhance reliability and operational performance across the fleet, we expect sustaining CapEx near the top of our range, about $25 million for the year. With that, I'll turn it over to Imre for the commercial update. Imre Havasi: Thank you, Ann. The commercial environment was strong in the second quarter with historically high crush margins and firm co-product prices. Q3 margins are only a touch below Q2 and the setup into the second half of the year is solid. Margins were supported by several factors working together. Energy prices moved higher during the quarter with geopolitical volatility in the Middle East contributing to strength across the broader energy complex. Favorable corn values helped reduce feedstock costs, while ethanol demand remains solid, both domestically and in export markets. Co-product values also contributed with corn oil benefiting from renewable diesel demand and protein markets remaining stable. Industry production remained elevated but demand kept up across both domestic blending and exports. The long-term outlook remains positive, particularly on the export front, driven by higher ethanol mandates overseas and expanding low carbon fuel programs. U.S. ethanol will need to remain competitive with Brazil as production expands. However, global demand continues to grow and policy developments, both internationally and domestically remain supportive of long-term ethanol consumption. Corn prices fluctuated during the quarter, and that volatility has continued into Q3. Planting season was off to a good start and yield expectations were initially high enough to offset lower planted acres. Most recently, hot and dry weather has raised uncertainty around yield potential, bringing weather back into focus as the key variable. Current expectations continue to point to a favorable overall outlook. Corn oil prices increased during most of Q2, driven by high demand from the renewable diesel industry. Protein and distillers grains also remained stable contributors. High protein demand remains strong, while DDGs values are trending lower in Q3 due to normal seasonal factors. On natural gas, prices have remained manageable, and our realized cost was down from the first quarter, providing an additional tailwind to margins. We continue to manage that exposure actively as part of our overall hedging program. Finally, from a risk management perspective, hedging costs were generally consistent with the first quarter. We recorded mark-to-market losses at quarter end as corn prices moved lower late in June. However, prices have since recovered. We continue to manage commodity exposure through a disciplined and consistent hedging approach. What encourages us the most is the forward setup. Demand fundamentals remain supportive. Feedstock economics continue to be favorable and co-product values remain healthy. While the markets will continue to move, we believe the overall commercial environment remains constructive as we move through the balance of the year. Our philosophy remains the same. We are protecting the margin while maintaining the flexibility to participate in improving market conditions. With that, I'll turn the call back to Chris. Chris Osowski: Thanks, Imre. As you've heard this morning, we're seeing strength across the business. Operational performance remains solid. The carbon platform continues to perform well, and the market backdrop for our products remains constructive. The question for Green Plains today is no longer whether we can generate earnings and free cash flow. The question is how we allocate that free cash flow to create long-term shareholder value. We believe a clear capital allocation framework is important. So let me walk through how we're thinking about it. First, we'll continue to invest in a safe and reliable operation of our assets. Planned reliability is how we capture margin and sustaining capital will always be our highest priority. Based on what we're seeing across the fleet, we expect sustaining capital to be approximately $25 million annually. Second, we will continue to strengthen the balance sheet. We have developed a debt reduction strategy designed to use carbon supported cash flow to increase financial flexibility and reduce the leverage ratio as we move beyond 2029. Third, we'll reinvest in the business. Through our operational excellence and benchmarking efforts, we continue to identify opportunities to improve yields, lower energy consumption, reduce carbon intensity and raise the earnings power of our existing assets. These are typically targeted investments with attractive returns and measurable operating benefits. They are the type of opportunities that compound value over time. And fourth, we will pursue larger growth opportunities when they meet our return thresholds. Even with our debt reduction initiative, we will have substantial cash flow over the coming years, and we will remain disciplined in evaluating both organic and inorganic opportunities. We will only deploy capital into projects that generate returns meaningfully above our cost of capital. These priorities aren't either/or. The cash flow we're generating allows us to invest in the fleet, strengthen the balance sheet and pursue attractive growth opportunities at the same time. More importantly, it turns operational excellence into a measurable capital plan. Through our benchmarking work, we're able to identify performance gaps, quantify expected returns and prioritize the opportunities that create the most value. Over time, these incremental improvements compound, helping us build a higher and more durable earnings floor across the business. That benchmarking effort is already helping us shape our investment priorities. At Wood River, we continue to advance our grain storage expansion project, improving procurement flexibility, reducing basis exposure and supporting lower carbon grain sourcing. We are currently evaluating additional storage projects across the platform and expect to make investments in additional infrastructure over the next 12 months. At York, we're continuing engineering work on a low energy distillation project, which is designed to reduce energy consumption, lower operating costs and further reduce carbon intensity. We're also advancing corn oil projects across the network to enhance yields. These are exactly the type of targeted investments that improve operating performance, strengthen returns and compound value over time. Looking ahead, we're encouraged by what we're seeing across the business. Demand remains healthy across ethanol markets, corn oil fundamentals are favorable and protein values remain stable. The carbon platform continues to generate increasing value and our improving operational performance gives us confidence in the business heading into the second half of the year. Beyond 2026, we continue to see additional opportunities through LCFS and other low CI ethanol markets as well as continued momentum in export demand, maritime fuels, sustainable aviation fuel, voluntary carbon credit programs and progress toward permanent year-round E15. None of those opportunities are necessary for our current outlook, but each represents potential upside to an already improving foundation. The free cash flow we are generating gives us the ability to fund high-return growth opportunities while continuing to strengthen the balance sheet, with the goal of building a more durable and higher quality earnings stream over time. In summary, Green Plains is operating from a position of strength. Our assets are performing at a high level. Our carbon platform is delivering and market fundamentals remain supportive. We have a strong set of opportunities in front of us, and we'll continue to approach capital allocation with the same discipline we're applying across the rest of the business. Operator, we're now ready to take questions. Operator: [Operator Instructions] Your first question comes from the line of Pooran Sharma with Stephens. Pooran Sharma: I wanted to just kind of better understand utilization here and maybe how your spring maintenance season went. I think you alluded to it in your prepared commentary about the maintenance item. I think it was at Madison that occurs every 8 to 10 years. Just wondering if you could provide a little bit of color, a little bit more granularity on that. And then as my follow-up, I wanted to kind of understand if there's any other facilities in your network that you foresee having this type of maintenance in the coming years? Chris Osowski: Pooran, thanks for the question. It's worth noting that coming out of winter operations, it's important that the ethanol plants take spring outages in order to maintain their equipment. And specifically, when it comes to growing 45Z tax credits and running low CI scores, we have to maintain process equipment through cleaning operations. So that's a normal course of business. Specifically, in Madison, we replaced the molecular sieve beads, which is a very technical operation as we're dealing with ethanol vapor, and we have process safety management procedures that need to be followed in order to execute that work, which takes some time. So a little bit more downtime than we normally expect or want, but it's a necessary action that occurs at the end of life of the sieve beads, which is normally 8 to 10 years. But in general, the industry uses this term called deferred maintenance to describe times where people skip necessary activities and let the health of their plants deteriorate. And that's not the kind of company that we're going to be. I tell the team, we're going to be a company that doesn't skip leg day. So we're going to take care of our assets, and we fully expect that utilization to be higher in Q3, back up to that 95% type target number. Operator: Your next question comes from the line of Andrew Strelzik with BMO. Andrew Strelzik: I was hoping maybe you could dig in a little more into your ethanol export outlook, which has obviously been a great story on the demand side for the industry. But as we think about 2027-2028, do fundamentals in your view, support continued kind of chunky step-ups in demand from an export perspective? You did bring up the need to remain competitive with Brazil? Or are we kind of at a level where those increases start to moderate or plateau? How are you guys thinking about the outlook beyond '26? Imre Havasi: Yes. This is Imre. I'll take that question. Exports have been strong. The forecast for this year, so it was 2.4 billion gallons, last year, 2.5 billion is possible this year and next year. Usual suspects, Canada, Europe and U.K., some South American countries and the Far East. I think as Chris mentioned, and I alluded to it also in my prepared remarks, policy is one driver. So a lot of these countries are mandating blending at between 5%, 10%, 20% level. So that will not go away. I think there is -- the backdrop is also energy security as more -- there's more evidence, right, around the world that there are some of these flash points that you can't just rely on. So I think biofuels will play a big role in that diversification. The second maybe longer-term opportunity is maritime fuel and SAF. That's slower, that's developing. There is a serious news behind that. But -- but that's there, it's not going away. It's going to grow. The speed is somewhat questionable. And then I think, of course, we have to be competitive with Brazil. Brazil will be -- Brazil is adding corn ethanol capacity, but they also have that sugar variable where the sugar ethanol production can swing year-on-year. So Brazil, U.S. are the 2 exported countries to the rest of the world. We -- both countries have very solid domestic demand, so let's not forget that. So export complements those demand factors. And -- but just to summarize it, in general, we continue to see growth opportunities at least at a 1% to 2% maybe 5%, rate going forward annually. And then we have all those other opportunities. So where we see some volatility maybe or there are some destinations where, of course, Brazil can be more competitive than ourselves. And you will -- if you just look at the monthly export data, there will be some dips, but in general, the overall outlook is friendly and that of growth or growing demand. Operator: Your next question comes from the line of Matthew Blair with TPH. Matthew Blair: Congrats on the solid results. I was hoping to ask a 2-parter here. So first, your corn oil yield seemed quite good in the quarter. I think it was about 7% above normal, which is quite a step up. Was that temporary because of the good corn oil prices or something more sustainable? And could you talk a little bit more about the corn oil investments that you're making? How many plants are you looking to upgrade? And what kind of timing? And then the second question is just on capital allocation. I don't believe we heard any mention of share repurchases. Do you expect any share repurchases in either the back half of 2026 or in 2027? Chris Osowski: All right. Thanks for the question, Matthew. And I'll take the first half and then pass it over to Ann for the second part. With respect to corn oil yields, the operational excellence program we've got in place is driving process improvements throughout our network. And I think it's worth noting that we've probably made the most significant improvement in what has historically been some of our poor-performing oil yield locations through some specific small CapEx improvement projects, along with utilizing best-in-class technology, not only equipment, but also process chemistry to help improve oil yields. And going forward, this would probably be on the small scale in terms of total capital outlay, but we do see opportunities in all of our plants to drive yield improvement through additional technologies that I would expect to get rolled out over the next year. But so I would expect those type of oil yields to continue to improve on the go forward incrementally and look forward to showing the results. Ann Reis: Yes, this is Ann. From your capital allocation question, as we've kind of stated in the prepared remarks, everything -- we're looking at everything to determine what's the best return for the investors. So whether that be sustainable projects within our facilities or debt reduction or share repurchases, all of those things we are looking at, and we'll definitely consider as we're deciding where to allocate the cash that we have coming in. So the short answer is yes. That's something that we're looking at, but nothing has been announced as of yet. Operator: Your next question comes from the line of Kristen Owen with Oppenheimer. Kristen Owen: So 2 ones here. One very short term, one a little bit longer. So I wanted to ask about your second half assumptions on the base ethanol business. You're obviously coming out of turnaround. So that should improve your utilization. The industry is operating at record production levels. You've got some volatility in gas prices and co-products. So I'm just hoping you can help us understand how you're thinking about the cadence of the base ethanol business in the back half of the year? And then my second question relates to the monetization of the 2026 credits. Any sort of update that you can provide for us how terms -- how you're seeing term sheets now that you've got a little bit more availability of those credits in the market? Imre Havasi: Yes, Kristen, thanks for the question. This is Imre. I'll start with the first one just to set up for the second half of the year. Of course, I'll start with just the basic -- the fundamentals are solid, right? We're seeing high corn oil prices. The corn crop has stabilized after recent rains. We are expecting the current margin structure to carry into Q3 and potentially first part of Q4. Then, of course, we're going to be facing some seasonality, seasonal factors, lower driving demand. So I think that is normal every year that will play out. But I think our starting point, exiting Q2 into Q3 is a very solid setup. There is some volatility. Of course, you can look at just bean oil prices that has a strong correlation to corn oil prices. 700-, 800-point swings just depending on the war in the Middle East and the prospects of a lasting peace that influences that as well as other market factors like UCO entering from China and putting a lid on some of these values. But in general, we're operating at a much higher -- with a much higher margin structure and that will carry into the next several months. Ann Reis: And Kristen, this is Ann. Thanks for the question on the monetization. This is obviously something that's a priority for the company, and we've been working diligently on this to make sure that we have a really good partner that we feel comfortable with, and they feel comfortable with the tax credits on their end. I know we've talked a lot in the past around -- there's a lot of compliance requirements, a lot of work and a lot of verifications and audits and everything that go into providing a complete package that gets the buyer comfortable with the tax credits. And we're very pleased with how everything has gone, but it all takes time. And it all -- we want to make sure that we're in a good position to have sustainable, predictable cash flows for the long term. And so that's what we've been aiming for. So while we're not ready to announce anything yet, things are going very well, and we're very pleased. Operator: Your next question comes from the line of Richard DeDios with UBS. Richard DeDios: I know during the last earnings call, it was mentioned that there will be some maintenance in the third quarter. Can you walk us through utilization on a quarterly basis? It's safe to assume like fourth quarter will be higher versus the third quarter. But if you can give us some guidelines on how we should model it would be helpful. Chris Osowski: Sure. And thanks for the question, Richard. In general, our target for the organization is a 95% capacity utilization number on an annualized basis. So that means that number is going to be a little bit lower in the peak downtime time frames, that being primarily right in the spring coming out of winter operations and then right in front of the fall. So on the go forward, I would expect to be 90% plus with strong confidence. Operator: There are no further questions at this time. I will now turn the call back over to Chris Osowski for closing remarks. Chris Osowski: Thank you again for participating in this morning's call and your continued interest in Green Plains. We believe the last several quarters have demonstrated the strength and durability of this platform. We're executing well. Our carbon strategy is delivering value, and we're generating the cash flow necessary to strengthen the balance sheet, invest in the business and pursue future growth opportunities. Our focus remains simple: operate safely; execute consistently; and allocate capital thoughtfully. We appreciate your support and look forward to updating you on our progress next quarter. Thank you. Operator: This concludes today's call. Thank you for attending. You may now disconnect. 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This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Green Plains (GPRE) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Alto Ingredients, Inc.’s ALTO 45Z tax credits are becoming a larger earnings contributor as it works to expand eligible production and lower carbon intensity. In the second quarter of 2026, Alto Ingredients generated $5.1 million in 45Z tax credit earnings, comprising $4 million of credits earned during the quarter and $1.1 million of final adjustments related to the sale of its 2025 credits. Year to date, it has accrued $7.9 million in net 2026 45Z credits that are expected to be monetized in the future.For 2026, Alto Ingredients remains on track to qualify 90 million gallons or more of combined production for 45Z credits, supporting a minimum expectation of $15 million in income after monetization costs. Based on credits recognized through the first half, the company is currently tracking toward a $15-$16 million range.The opportunity could expand through higher eligible volumes. Alto Ingredients completed a debottlenecking project at its Pekin dry mill that increased annual production capacity by about 8%, or 5 million gallons. The additional gallons are eligible for 45Z credits, with the full benefit of the added capacity expected in the fourth quarter.Another opportunity is to lower the carbon intensity of corn sourced from farmer partners. Alto Ingredients is exploring how much corn and production volume could qualify under low-carbon-intensity corn. However, the company is not yet able to recognize this benefit for 2026. Practices such as cover crops implemented after the 2026 harvest could begin providing benefits in 2027. Green Plains Inc. GPRE generated significant value from 45Z credits in the second quarter of 2026. Green Plains reported $58.7 million in 45Z production tax credits, net of discounts and other costs, contributing to adjusted EBITDA of $93.3 million. For the first half, Green Plains recognized $113.9 million in 45Z credits on a net basis, highlighting the potential impact of the tax credit on ethanol economics.Gevo, Inc. GEVO is targeting more than $70 million in 45Z tax credit monetization in 2026, compared with $52 million last year. In its second-quarter 2026 earnings call, GEVO noted that the increase is supported by continued low-carbon ethanol and RNG production and improvements in carbon intensity. Gevo had already closed $20 million in 45Z credit sales after the second quarter, with the remaining approximately $50 million targeted for monetization by year-end. Shares of Alto Ingredients have fallen 8.4% over the three months against the industry’s growth of 18%. Image Source: Zacks Investment Research From a valuation standpoint, ALTO trades at a forward price-to-sales ratio of 0.33, lower than the industry’s average of 3.41. Image Source: Zacks Investment Research The Zacks Consensus Estimate for Alto Ingredients’ 2026 and 2027 earnings per share has declined 27.8% and 66.3% to 39 cents and 28 cents, respectively, in the past seven days. Image Source: Zacks Investment Research Alto Ingredients currently carries a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Alto Ingredients, Inc. (ALTO) : Free Stock Analysis Report Gevo, Inc. (GEVO) : Free Stock Analysis Report Green Plains, Inc. (GPRE) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Interested in Green Plains, Inc.? Here are five stocks we like better. Strong Q2 performance: Green Plains reported adjusted EBITDA of $93.3 million, net income of $67.1 million, and gross margin of $113 million, supported by favorable ethanol and co-product markets. Carbon platform expanded: Carbon operations generated nearly $59 million of EBITDA, while the company continued pursuing a predictable monetization arrangement for its 2026 45Z tax credits. Positive outlook and financial priorities: Management expects supportive margins into Q3, with ethanol exports and emerging low-carbon fuel markets offering upside. Green Plains plans to use carbon-supported cash flow to reduce debt while funding targeted efficiency and capacity projects. 6 best ethanol stocks to buy now Green Plains (NASDAQ:GPRE) reported second-quarter adjusted EBITDA of $93.3 million, up from $71.5 million in the first quarter and $16.4 million in the prior-year period, as its carbon platform expanded and operating conditions for ethanol and co-products remained favorable. The company posted net income attributable to Green Plains of $67.1 million, or $0.83 per diluted share, compared with $0.42 per diluted share in the first quarter. Gross margin reached $113 million, compared with $41.6 million in the second quarter of 2025. → 3 Drone Stocks That Should Soar After the Summer Slump Chris Osowski said the quarter reflected strong execution despite planned spring maintenance downtime. The company produced nearly 161 million gallons of ethanol, processed more than 54 million bushels of corn and operated at nearly 90% capacity utilization during the quarter. Utilization was affected by scheduled maintenance outages and a molecular sieve bed replacement at the Madison, Illinois, plant. Osowski said the replacement is typically required every eight to 10 years. Green Plains continues to target roughly 95% capacity utilization for the full year and expects utilization to return above 90% in the periods ahead. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth The company’s carbon platform contributed nearly $59 million of EBITDA in the second quarter, compared with $55.2 million in the first quarter. First-half carbon EBITDA totaled approximately $114 million. Osowski said capture performance was at or near expected long-term levels, while lower carbon-intensity scores and operational improvements supported the value of 45Z tax credits. The company is earning credits as it produces qualifying low-carbon ethanol but has not monetized any portion of its 2026 credits. → Jersey Mike's Serves Fresh Gains After IPO Stumble Chief Financial Officer Ann Reis said the $59 million represented net carbon EBITDA after discounts, incremental plant electricity expense, and CO2 transportation and sequestration costs. Green Plains also received a final $41 million cash payment related to its 2025 45Z credits during the quarter, separate from the 45Z EBITDA recognized in the second quarter. Reis said the company is continuing to work toward a credit monetization arrangement that can provide sustainable and predictable cash flows. While no partner has been announced, she said the company is pleased with the progress of its compliance, verification and documentation efforts. Green Plains generated nearly $87 million of operating cash flow during the quarter and ended June with more than $243 million in cash and cash equivalents. Total debt stood at approximately $484 million. SG&A expense was about $21 million, down 21% from the second quarter of 2025. The company continues to expect approximately $90 million of SG&A expense for the full year, about $35 million of interest expense and sustaining capital expenditures near the top of its range at roughly $25 million. Management said capital allocation priorities include maintaining safe and reliable operations, strengthening the balance sheet, funding targeted operating improvements and pursuing larger growth opportunities that exceed the company’s cost-of-capital thresholds. Osowski said Green Plains has developed a debt-reduction strategy intended to use carbon-supported cash flow to increase financial flexibility and reduce leverage beyond 2029. He added that the company is also evaluating investments in grain storage, low-energy distillation and corn oil yield improvements. At Wood River, Green Plains is advancing a grain storage expansion intended to improve procurement flexibility, reduce basis exposure and support lower-carbon grain sourcing. At York, the company is continuing engineering work on a low-energy distillation project designed to reduce energy consumption, operating costs and carbon intensity. Across its network, Green Plains is pursuing smaller corn oil projects intended to increase yields. Asked about possible share repurchases, Reis said the company is evaluating buybacks alongside debt reduction and sustaining projects but has not announced any repurchase plans. Senior Vice President and Head of Trading and Commercial Operations Imre Havasi said the commercial environment remained strong in the second quarter, supported by historically high crush margins, favorable corn values, solid ethanol demand and firm co-product pricing. Havasi said third-quarter margins were only slightly below second-quarter levels and that the broader setup for the second half remained constructive. Corn oil prices benefited from demand from the renewable diesel industry, while protein markets remained stable. Natural gas costs declined from the first quarter, providing an additional margin benefit. The company expects the current margin structure to extend into the third quarter and potentially the early portion of the fourth quarter, although Havasi cited normal seasonal reductions in driving demand and volatility in commodity markets. On exports, Havasi said U.S. ethanol exports were 2.4 billion gallons last year and that 2.5 billion gallons could be possible this year and next year. He cited overseas blending mandates, energy-security considerations and developing opportunities in maritime fuels and sustainable aviation fuel as longer-term demand drivers. Green Plains said potential demand catalysts, including permanent year-round E15, low-carbon fuel markets, maritime fuel applications and sustainable aviation fuel, are not required for its current outlook but could provide additional upside over time. Green Plains Inc is a leading producer of fuel-grade ethanol and related co-products in the United States. Headquartered in Omaha, Nebraska, the company operates an integrated network of biorefineries that convert corn and other grains into renewable fuels. Through its production facilities, Green Plains supplies ethanol to domestic fuel markets and export channels, supporting efforts to reduce greenhouse gas emissions and promote cleaner-burning transportation options. Beyond ethanol, Green Plains manufactures a range of co-products that add value throughout the agricultural supply chain. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Green Plains Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management attributes the significant EBITDA improvement to a fundamental shift toward operational excellence, focusing on reliability as the engine for earnings growth. The carbon platform is now a core earnings driver, contributing $59 million in Q2 EBITDA through 45Z credits earned via low-carbon ethanol production. Operational performance was impacted by planned spring maintenance and a rare molecular sieve change-out at the Madison facility, which occurs only every 8 to 10 years. Management emphasizes that a 'safe plant is a reliable plant,' linking safety achievements directly to the ability to capture market margins and lower carbon intensity scores. The company is intentionally delaying the monetization of 2026 carbon credits to negotiate terms that ensure stable, predictable, and long-term cash flows. Strategic positioning is benefiting from a 'higher floor' in the business model, driven by favorable demand across ethanol, corn oil, and protein markets. Full-year capacity utilization is projected at approximately 95%, assuming a return to higher operating rates in the second half of the year following maintenance cycles. The capital allocation framework prioritizes $25 million in annual sustaining capital to maintain asset reliability, followed by debt reduction and high-return reinvestments. Management is evaluating additional grain storage and low-energy distillation projects to improve procurement flexibility and further reduce carbon intensity over the next 12 months. The forward commercial setup assumes supportive demand fundamentals, though management notes that potential catalysts like sustainable aviation fuel (SAF) and maritime applications are not yet embedded in current guidance. A debt reduction strategy is being developed to utilize carbon-supported cash flow to lower leverage ratios specifically as the company moves beyond 2029. The company recorded mark-to-market losses at quarter-end due to lower corn prices in late June, though management noted prices have since recovered. Weather remains a key variable for the second half of the year, with recent hot and dry conditions creating uncertainty around corn yield potential. SG&A expenses were reduced by 21% year-over-year, reflecting a structural focus on cost discipline as the company scales its carbon business. The transition to 45Z tax credits requires rigorous documentation and audit compliance, which management cites as a reason for the deliberate pace of credit monetization. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management explained the Madison downtime was a necessary, non-recurring maintenance item for molecular sieve beads that ensures long-term process safety. The CEO rejected the concept of 'deferred maintenance,' stating the company will not skip necessary activities even if it impacts short-term utilization. Management expects 1% to 5% annual growth in exports, driven by international blending mandates and energy security concerns. While U.S. ethanol must remain competitive with Brazil, management believes global demand growth and new applications like maritime fuel provide a supportive backdrop. Recent yield improvements were driven by process chemistry and small-scale CapEx at historically underperforming locations. Management plans to roll out additional yield-enhancing technologies across the entire fleet over the next year. Management confirmed that share repurchases are being considered within the broader capital allocation framework alongside debt reduction and organic growth. No specific buyback program has been announced yet as the company evaluates the best returns for incoming cash flow.

Results for the Second Quarter of 2026: Net income attributable to Green Plains of $67.1 million, or EPS of $0.83 per diluted share Adjusted EBITDA of $93.3 million, inclusive of $34.6 million from the base business and $58.7 million in 45Z production tax credit value net of discounts and other costs Cash flow from operating activities of $86.3 million for the second quarter of 2026 The Superior, Iowa facility joined the Central City, Nebraska facility in achieving the Highly Protected Status from GPRE’s property insurance carrier, FM Lowered selling, general and administrative expenses by $5.9 million or 21% to $21.7 million for the second quarter of 2026 compared to the second quarter of 2025 88% utilization from the eight operating ethanol plants in the quarter OMAHA, Neb., August 06, 2026--(BUSINESS WIRE)--Green Plains Inc. (NASDAQ:GPRE) ("Green Plains" or the "company") today announced financial results for the second quarter of 2026. Net income attributable to the company was $67.1 million, or $0.83 per diluted share compared to net loss attributable to the company of $72.2 million or $(1.09) per diluted share, for the same period in 2025. Revenues were $446.2 million for the second quarter of 2026 compared with $552.8 million for the same period last year. Core operating profitability strengthened with adjusted EBITDA of $93.3 million compared to $16.4 million for the same period in the prior year. "The second quarter demonstrated the earnings capability of the Green Plains platform," said Chris Osowski, President and Chief Executive Officer. "Even with lower utilization due to maintenance, we generated more than $67 million of net income. The combination of operational excellence, achieving multiple safety milestones, improved ethanol economics, strong commercial execution and our low-carbon platform is translating into meaningful financial results. " "Our financial profile continues to improve as we execute on our operating and capital allocation priorities," said Ann Reis, Chief Financial Officer. "Stronger earnings from our plants and continued discipline on SG&A are generating meaningful cash flow, which we intend to direct toward reducing debt and building a more resilient balance sheet that is positioned for growth." Results of Operations Green Plains’ ethanol production segment sold 160.7 million gallons of ethanol during the second quarter of 2026, compared with 193.6 million gallons for the same period in 2025. The consolidated ethanol crush margin was $95.1 million for the second quarter of 2026, compared with $26.3 million for the same period in 2025. The consolidated ethanol crush margin is the ethanol production segment’s operating income before depreciation and amortization, including intercompany marketing and agribusiness fees and excluding net nonethanol operating activities. Consolidated revenues decreased $106.6 million for the three months ended June 30, 2026, compared with the same period in 2025, primarily due to lower revenues within our ethanol production segment as a result of lower volumes sold primarily driven by the disposition of our Obion, Tennessee plant. Net income attributable to Green Plains increased $139.4 million and adjusted EBITDA increased $76.9 million for the three months ended June 30, 2026 compared with the same period in 2025 primarily due to recognition of $58.7 million of 45Z production tax credits net of discounts and other costs, higher margins in our ethanol production and agribusiness and energy services segments and lower selling, general and administrative expenses as a result of restructuring costs of $2.5 million incurred during the three months ended June 30, 2025. Interest expense decreased $5.8 million for the three months ended June 30, 2026 compared with the same period in 2025 primarily due to prior year loan fees related to the issuance and modification of warrants in conjunction with access to a short-term line of credit and an amendment on our Junior Notes, offset by higher debt balances associated with carbon sequestration equipment. Income tax benefit was $5.5 million for the three months ended June 30, 2026, compared with income tax expense of $2.3 million for the same period in 2025 primarily due to the changes in the valuation allowance on deferred tax assets, offset by an increase in pre-tax book income from the generation of non-taxable 45Z production tax credits. During the first quarter of 2026, the company elected to early adopt ASU 2025-10, Accounting for Government Grants Received by Business Entities. Concurrently, the company elected to change its accounting policy related to the recognition of Section 45Z clean fuel production tax credits. The change in accounting policy results in the recognition of Section 45Z clean fuel production tax credits by analogy under the income model of ASU 2025-10, which results in a reduction of cost of goods sold in the statements of operations and recognition as production tax credits on the consolidated balance sheets. The company previously recorded the credits under ASC 740, Accounting for Income Taxes, which resulted in recognition within income tax benefit in the statements of operations and deferred income taxes, net in the consolidated balance sheets. The company determined that the income model under ASU 2025-10 is preferable because it better reflects the financial benefit of Section 45Z clean fuel production tax credits netted against the costs to produce the low-carbon fuels that the tax legislation was meant to incentivize. The company determined that retrospective adjustment to prior period financials is required. No Section 45Z clean fuel production tax credits were recognized during the first or second quarters of 2025, so no adjustments were made in the statements of operations; however, the company has reclassified balances previously reported as deferred income taxes, net, and other long-term liabilities to production tax credits on the consolidated balance sheets as of December 31, 2025. Segment Information The company reports the financial and operating performance for the following two operating segments: (1) ethanol production, which includes the production, storage, and transportation of ethanol, distillers grains, Ultra-High Protein, and renewable corn oil, in addition to CCS operations at our three Nebraska plants and (2) agribusiness and energy services, which includes grain handling and storage, commodity marketing and merchant trading for company-produced and third-party ethanol, distillers grains, renewable corn oil, natural gas and other commodities. Liquidity and Capital Resources As of June 30, 2026, Green Plains had $243.1 million in total cash and cash equivalents, and restricted cash, and $290.0 million available under a committed revolving credit facility, which is subject to restrictions and other lending conditions. On April 17, 2026, the Revolver Facility was amended by the Second Amendment to the Loan and Security Agreement and the termination date was extended from March 25, 2027 to September 25, 2027 and the borrowing limit was reduced from $350 million to $300 million. Total debt outstanding at June 30, 2026 was $483.7 million, including $27.0 million outstanding debt under working capital revolvers and other short-term borrowing arrangements. Conference Call Information On August 6, 2026, Green Plains Inc. will host a conference call at 9 a.m. Eastern time (8 a.m. Central time) to discuss second quarter 2026 operating results. Domestic and international participants can access the conference call by dialing 833.461.5787 and 585.542.9983, respectively, and referencing conference ID 249495185. Participants are advised to call at least 10 minutes prior to the start time. Alternatively, the conference call and presentation will be accessible on Green Plains website https://investor.gpreinc.com/events-and-presentations. Non-GAAP Financial Measures Management uses EBITDA, adjusted EBITDA, segment EBITDA and consolidated ethanol crush margins to measure the company’s financial performance and to internally manage its businesses. EBITDA is defined as earnings before interest expense, income taxes, depreciation and amortization excluding the change in right-of-use assets and debt issuance costs. Adjusted EBITDA includes adjustments related to restructuring costs, loss on sale of assets, impairment of assets held for sale, loss on sale of equity method investment and our proportional share of EBITDA adjustments of our equity method investees. Management believes these measures provide useful information to investors for comparison with peer and other companies. These measures should not be considered alternatives to net income or segment operating income, which are determined in accordance with U.S. Generally Accepted Accounting Principles ("GAAP"). These non-GAAP calculations may vary from company to company. Accordingly, the company’s computation of adjusted EBITDA, segment EBITDA and consolidated ethanol crush margins may not be comparable with similarly titled measures of another company. About Green Plains Inc. Green Plains Inc. (NASDAQ:GPRE) is a leading biorefining company focused on disciplined execution and leadership in low‑carbon biofuels and high‑value ingredients. The company operates a performance‑driven platform focused on maximizing yield, lowering carbon intensity, and delivering long‑term value through responsible capital deployment. For more information, visit www.gpreinc.com. Forward-Looking Statements All statements in this press release (and oral statements made regarding the subjects of this communication), including those that express a belief, expectation or intention, may be considered forward-looking statements (as defined in Section 21E of the Securities Exchange Act, as amended, and Section 27A of the Securities Act of 1933, as amended) that involve risks and uncertainties that could cause actual results to differ materially from projected results. Without limiting the generality of the foregoing, forward-looking statements contained in this communication include statements relying on a number of assumptions concerning future events and are subject to a number of uncertainties and factors, many of which are outside the control of the company, which could cause actual results to differ materially from such statements. Accordingly, investors should not place undue reliance on forward-looking statements as a prediction of actual results. The forward-looking statements may include, but are not limited to the expected future growth, dividends and distributions; and plans and objectives of management for future operations. Forward-looking statements may be identified by words such as "believe," "intend," "expect," "may," "should," "will," "anticipate," "could," "estimate," "plan," "predict," "project" and variations of these words or similar expressions (or the negative versions of such words or expressions). While the company believes that the assumptions concerning future events are reasonable, it cautions that there are inherent difficulties in predicting certain important factors that could impact the future performance or results of its business. Among the factors that could cause results to differ materially from those indicated by such forward-looking statements are: the failure to realize the anticipated results from the new products being developed or new technologies being deployed; the failure to realize the anticipated selling, general and administrative expense savings from restructuring; local, regional and national economic conditions and the impact they may have on the company and its customers; disruption caused by health epidemics; conditions in the ethanol and biofuels industry, including a sustained decrease in the level of supply or demand for ethanol and biofuels or a sustained decrease in the price of ethanol or biofuels, distillers grains, Ultra-High Protein, and renewable corn oil; competition in the ethanol industry and other industries in which we operate; commodity market risks, including those that may result from weather conditions, changes in government policies, and global political or economic issues; the financial condition of the company’s customers and counterparties; any non-performance by customers and counterparties of their contractual obligations; changes in safety, health, environmental and other governmental policy and regulation, including changes to tax laws such as the One Big Beautiful Bill Act, tariffs, renewable fuel programs, tax credit programs, and low carbon programs; risks related to acquisition and disposition activities and achieving anticipated results; risks associated with merchant trading; the results of any reviews, investigations or other proceedings by government authorities; the performance of the company; and other factors detailed in reports filed with the Securities and Exchange Commission (the "SEC"). The foregoing list of factors is not exhaustive. The forward-looking statements in this press release speak only as of the date they are made and the company assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by securities and other applicable laws. We have based these forward-looking statements on our current expectations and assumptions about future events. While the company’s management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond the company’s control. These risks, contingencies and uncertainties relate to, among other matters, the risks and uncertainties set forth in the "Risk Factors" section of the company’s Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC, and any subsequent reports filed by the company with the SEC. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. View source version on businesswire.com: https://www.businesswire.com/news/home/20260806098699/en/ Contacts Green Plains Inc. Contacts Investors: Will Joekel, CFA | Vice President, Investor Relations and Treasurer | 402.952.4946 | [email protected] Media: 402.884.8700 | [email protected]

Green Plains Renewable Energy (GPRE) came out with quarterly earnings of $0.83 per share, beating the Zacks Consensus Estimate of $0.65 per share. This compares to a loss of $0.41 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +27.69%. A quarter ago, it was expected that this ethanol production, marketing and commodities company would post a loss of $0.01 per share when it actually produced earnings of $0.42, delivering a surprise of +4300%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Green Plains, which belongs to the Zacks Chemical - Specialty industry, posted revenues of $446.22 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 15.63%. This compares to year-ago revenues of $552.83 million. The company has not been able to beat consensus revenue estimates over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Green Plains shares have added about 68.3% since the beginning of the year versus the S&P 500's gain of 12.8%. While Green Plains has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Green Plains was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.55 on $544.9 million in revenues for the coming quarter and $1.83 on $2.02 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Chemical - Specialty is currently in the top 42% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Flexible Solutions International Inc. (FSI), another stock in the same industry, has yet to report results for the quarter ended June 2026. This company is expected to post quarterly earnings of $0.01 per share in its upcoming report, which represents a year-over-year change of -93.3%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Flexible Solutions International Inc.'s revenues are expected to be $11.72 million, up 3.1% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Green Plains, Inc. (GPRE) : Free Stock Analysis Report Flexible Solutions International Inc. (FSI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Download the Complete Report Here Key Takeaways: 1Q FY26 delivered a record first quarter, with EPS materially ahead of expectations driven by 45Z credits and lower corn costs. REX reported 1Q FY26 net sales and revenue of $156.5 million, down modestly from $158.3 million in 1Q FY25, primarily reflecting lower ethanol pricing. However, earnings power improved sharply, with gross profit increasing to $29.1 million from $14.3 million y/y, primarily driven by the benefit of 45Z tax credits and lower corn pricing. Income before taxes rose to $26.1 million from $13.6 million. Net income came in at $18.5 million, or $0.56 per share, compared with $8.7 million, or $0.26 per share, in the prior-year quarter. EPS was also well above consensus of $0.14, representing a $0.42 beat, and marked the strongest first quarter (on an EPS basis) in REX’s public-company history. The quarter also extended REX’s profitability streak to 23 consecutive quarters, reinforcing the company’s ability to generate earnings through commodity cycles while layering in policy-linked earnings streams. Operating KPIs showed stable ethanol volumes, lower ethanol pricing, stronger distillers grain pricing, and continued support from corn oil. Consolidated ethanol sales volumes were 71.1 million gallons in 1Q FY26 versus 70.9 million gallons in 1Q FY25, indicating essentially flat y/y volume despite the ongoing One Earth expansion still not fully contributing. Ethanol ASP declined to $1.66/gallon from $1.76/gallon y/y, which pressured reported sales, but the earnings impact was more than offset by lower corn pricing and the new 45Z production tax credit income. Dry distillers grain volumes were approximately 155,000 tons, with ASP increasing to $155.86/ton from $145.65/ton y/y, while modified distillers grain volumes totaled 13,427 tons at an ASP of $76.94/ton. Corn oil volumes were approximately 23.9 million pounds, with ASP increasing to $0.54/lb from $0.46/lb y/y. The mix of stable ethanol volumes, stronger DDG and corn oil pricing, lower corn costs, and 45Z income drove a much stronger gross profit outcome even though headline revenue was down 1.2% y/y. 45Z has shifted from a potential catalyst to a visible operating earnings contributo REX recorded $7.5 million of 45Z production tax credit income in 1Q FY26, maintaining the credit at approximately $0.10/gallon across its consolidated plants while monitoring final regulatory developments. Following early adoption of ASU 2025-10, REX now records Section 45Z credits as “production tax credit income” within gross profit rather than as a tax-line item. Equity in income of unconsolidated affiliates increased to $3.6 million from $1.0 million y/y, with approximately $1.8 million of the increase attributable to 45Z tax credit income. This indicates that 45Z is contributing across both consolidated and unconsolidated plant economics, expanding the earnings base beyond the $7.5 million recognized directly in consolidated gross profit. The accounting change increased FY25 reported gross profit by $31.7 million but did not change FY25 net income attributable to REX shareholders, which remained $83.0 million. 45Z is meaningful because it ties incremental earnings to production volumes and carbon intensity improvement, not just ethanol crush spreads. At the current ~$0.10/gallon booking rate, 45Z accounted for roughly 26% of 1Q gross profit of $29.1 million, implying that REX now has a recurring, policy-linked earnings layer tied to gallons produced and CI performance, rather than relying solely on ethanol crush spreads and co-product pricing. The company continues to monitor evolving federal discussions around Section 45Z, which still creates uncertainty around ultimate qualification and monetization levels, though current recognition supports 45Z as a meaningful earnings stream. Longer term, the carbon capture project should improve CI scores and enhance credit realization as One Earth capacity expands. As discussed in the 4Q earnings call, at full optimization, post carbon capture and with the One Earth expansion completed, credits of up to ~$1.00 per gallon could be achievable at certain facilities, implying a substantial step-up from current levels and reinforcing 45Z as a major long-term earnings driver. The One Earth expansion is a key volume and policy monetization catalyst, with the facility expected to become fully operational during FY26. REX’s ethanol facility expansion at Gibson City remains on schedule, with testing and commissioning expected to begin upon completion. The expansion increases REX’s production base at a time when export demand is strong and 45Z economics are now visible in reported results. While 1Q ethanol volumes were stable at 71.1 million gallons versus 70.9 million gallons y/y, incremental capacity from One Earth should support volume-led growth once fully operational. The strategic value of the expansion is enhanced by 45Z recognition, because each additional gallon potentially carries both core ethanol margin and production tax credit economics. This creates an operating leverage dynamic where higher production volumes can support revenue, gross profit, and policy-linked earnings simultaneously. Carbon capture remains the major medium-term value driver, with permitting the key milestone. REX continues to work with the EPA on its Class VI injection well permit application and remains engaged with the Illinois Commerce Commission on the associated carbon dioxide pipeline process. At the state level, the Illinois moratorium on carbon pipeline permitting is scheduled to expire on July 1, 2026, and REX plans to submit its application shortly after the moratorium expires. Total investment in the carbon capture and ethanol expansion projects reached approximately $176.3 million as of the end of 1Q FY26, up from approximately $166 million at FY25-end, and remains within the combined project budget range of $220 million to $230 million, subject to inflation and other market factors. Working capital and liquidity remain supportive, with the balance sheet absorbing capex while preserving strategic flexibility. REX ended 1Q FY26 with $364.3 million of cash, cash equivalents, and short-term investments and no bank debt, compared with $375.8 million at FY25-end, with the decline primarily reflecting ongoing capital investments in growth projects. Working capital movement was mixed, with accounts receivable increasing to $21.6 million from $14.7 million at FY25-end, while inventory declined to $26.5 million from $28.4 million and accounts payable declined to $31.1 million from $38.4 million. Net cash used in operating activities improved to $2.1 million from $3.5 million used in the prior-year quarter. Industry demand and forward outlook remain constructive, supported by stable domestic demand, strong exports, and continued execution on growth projects. Domestic ethanol demand remains stable, while export markets remain strong, with 2026 ethanol exports through March increasing 20% versus the same period last year, according to the Renewable Fuel Association. This export strength is important because 1Q ethanol ASP declined by $0.10/gallon y/y to $1.66, yet REX still delivered its strongest first-quarter EPS on a net income per share basis due to lower corn costs, 45Z contribution, and co-product pricing support. Operating conditions remained stable moving through 2Q FY26, and REX expressed confidence in delivering another profitable quarter. The medium-term setup remains tied to continued 45Z contribution at the current ~$0.10/gallon booking rate, One Earth volume growth, Class VI / pipeline progress, and eventual 45Q monetization. Reasonably valued given growth prospects and favorable industry and policy tailwinds. Our valuation incorporates multiple approaches, including historical trading ranges and peer comparisons. The analysis presented is for illustrative purposes only and does not constitute a price target or a buy/sell/hold recommendation. Despite strong 1Q FY26 earnings, REX remains reasonably valued relative to its improving earnings quality, policy-linked upside, and debt-free balance sheet. At the 5/29 close, REX traded at 16.6x LTM P/E, below its three-year peak of 27.9x, despite visible 45Z recognition, continued progress on the One Earth expansion and carbon capture initiatives, and favorable ethanol fundamentals. Key catalysts for further upside include continued 45Z contribution, the One Earth expansion becoming fully operational during FY26, progress on the Class VI permit and Illinois carbon pipeline process following the scheduled July 2026 moratorium expiration, and eventual 45Q monetization. Supportive industry fundamentals, including stable domestic demand, exports through March up 20% y/y, lower corn costs, and favorable ethanol economics, continue to support earnings visibility, while REX’s strong balance sheet, with no bank debt and substantial cash reserves, provides flexibility to fund growth initiatives while maintaining disciplined capital allocation. Time series valuation supports additional upside if earnings visibility continues to improve. REX currently trades at 16.6x LTM P/E, below its three-year peak of 27.9x, suggesting the stock remains below prior cycle highs despite a structurally improved earnings profile. Applying a 21x multiple (in line with industry average and conservative relative to REX’s historical multiple) to LTM EPS of $2.81 implies a value of approximately $59/share, indicating potential upside as 45Z contribution, One Earth volume growth, and carbon capture progress become more visible in the earnings base. Peer analysis also suggests room for further re-rating. REX trades below the peer average of 21.3x LTM P/E, despite its 23-quarter profitability streak, debt-free balance sheet, and increasing exposure to policy-driven earnings streams. This valuation gap suggests that the company’s improving earnings quality and structural growth drivers are not fully reflected, with further re-rating likely as execution across capacity expansion, carbon capture, and 45Z scaling continues. Read Exec Edge’s Initiation on REX Here Subscribe to our Weekly Newsletter to Receive All Research Contact: Executives-Edge.com [email protected]

Find your next quality investment with Simply Wall St's easy and powerful screener, trusted by over 7 million individual investors worldwide. Green Plains (GPRE) attracted renewed attention after first quarter results showed net income of US$32.94 million compared with a loss a year earlier, even though sales and key production volumes were lower. See our latest analysis for Green Plains. Despite a 1-day share price return that fell 5.72% to US$17.15, Green Plains still has a 30-day share price return of 12.61% and a year to date share price return of 66.83%. The 1-year total shareholder return of 268.82% contrasts with declines over the 3 and 5 year total shareholder return periods, highlighting strong recent momentum after a weaker longer term record. If the recent rebound in Green Plains has you reassessing your watchlist, this is a good moment to see what else is moving and check out 36 power grid technology and infrastructure stocks With earnings swinging to a profit even as sales and production eased, and with an intrinsic value estimate below the current US$17.15 share price, you have to ask: is there still upside here, or is the market already pricing in future growth? Green Plains' most followed narrative puts fair value at US$14.00, which sits below the recent US$17.15 share price and frames the current rally in a different light. Read the complete narrative. There is a full earnings blueprint sitting behind that US$14.00 fair value, tying together revenue growth, margin shifts and future cash generation assumptions. Curious which of those inputs does the heavy lifting, and how much earnings power has been baked into this narrative over the next few years. Result: Fair Value of $14.00 (OVERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, this depends on policy support for carbon credits and tax incentives staying in place, as well as on new leadership delivering the operational gains that analysts currently build into their models. Find out about the key risks to this Green Plains narrative. The narrative fair value of US$14.00 suggests Green Plains is overvalued at US$17.15, but the current P/S ratio of 0.6x paints a different picture. It sits below both the US Oil and Gas industry at 2.1x and a fair ratio of 0.9x, which implies the market might be assigning a discount rather than a premium. Is this gap a warning sign about earnings quality, or room for sentiment to catch up if the turnaround holds? Before you lean too hard on a single set of assumptions, it is worth pressure testing them against what the numbers are saying in the valuation breakdown, starting with See what the numbers say about this price — find out in our valuation breakdown. With sentiment clearly split, this is a good time to move fast, check the assumptions yourself, and weigh them against the 4 key rewards. Do not stop with one stock story. Use focused stock lists to spot fresh opportunities, test your thinking, and keep your portfolio ideas moving forward. Target value by scanning companies that combine quality and lower pricing signals through the 47 high quality undervalued stocks. Strengthen your income plans by reviewing companies with robust yields and payout histories using the 12 dividend fortresses. Prioritise resilience by focusing on companies with lower risk profiles and steadier fundamentals via the 70 resilient stocks with low risk scores. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include GPRE. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]