Darling Ingredients reported third quarter 2026 revenue of $1.79 billion, meeting analyst estimates, while GAAP EPS of $1.67 fell short of the $1.86 expectation. Despite the bottom-line miss, the company demonstrated a sharp recovery in profitability year-over-year, supported by stabilized biofuel margins and strong performance in its core ingredients business.
Key Highlights
- Net income reached $267.0 million, a significant increase from the $19.4 million reported in the third quarter of 2025.
- Combined Adjusted EBITDA surged to $514.3 million compared to $244.9 million in the prior-year period.
- Management reaffirmed its full-year 2026 Combined Adjusted EBITDA guidance range of $2.2 billion to $2.3 billion.
- The company utilized strong cash distributions from DGD to reduce net debt by approximately $420 million during the quarter, ending with a 1.7X leverage ratio.
- Shareholder returns continued with the repurchase of $75.9 million in common stock during the third quarter.