Darling Ingredients (DAR) Q4 2025 earnings fall while revenue and EBITDA grow
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Darling Ingredients Inc. reported fourth-quarter 2025 net income of $56.9 million, or $0.35 per diluted share, down from $101.9 million, or $0.63, a year earlier, mainly after $58.0 million of restructuring and asset impairment charges tied to its Enviroflight and CTH natural casing businesses. Fourth-quarter total net sales rose to $1.7 billion from $1.4 billion, and Combined Adjusted EBITDA increased to $336.1 million from $289.5 million, reflecting stronger feed and food performance.
For fiscal 2025, net income fell to $62.8 million, or $0.39 per diluted share, from $278.9 million, or $1.73, while total net sales grew to $6.1 billion from $5.7 billion. Full-year Combined Adjusted EBITDA slipped to $1.03 billion from $1.08 billion as the Diamond Green Diesel joint venture generated lower results. The company boosted liquidity by monetizing $255 million of $285 million in Production Tax Credit sales and reduced its preliminary bank leverage ratio to 2.90x with $3.94 billion of total debt and $1.32 billion of revolver availability as of January 3, 2026.
Positive
- Total net sales grew to $1.7 billion in Q4 2025 from $1.42 billion and to $6.1 billion for fiscal 2025 from $5.7 billion, showing broad top-line growth across segments.
- Leverage and liquidity improved, with a preliminary bank leverage ratio of 2.90X versus 3.93X, $88.7 million in cash, $1.32 billion of revolver availability, and $255 million of Production Tax Credit sales monetized.
Negative
- Net income declined sharply, falling to $56.9 million in Q4 2025 from $101.9 million and to $62.8 million for fiscal 2025 from $278.9 million, despite higher sales.
- Diamond Green Diesel performance weakened, with Darling’s share of DGD Adjusted EBITDA dropping to $103.7 million in 2025 from $289.9 million and full-year Combined Adjusted EBITDA slipping to $1.03 billion from $1.08 billion.
Insights
Sales and EBITDA held up, but net income collapsed and DGD weakened.
Darling Ingredients delivered stronger top-line trends with total net sales rising to
However, profitability deteriorated sharply. Fiscal 2025 net income dropped to
Leverage metrics improved despite weaker earnings. Darling monetized
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of report (Date of earliest event reported) | ||||||||||||||
| (Exact Name of Registrant as Specified in Charter) | ||||||||||||||
| (State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||||
(Address of Principal Executive Offices) (Zip Code)
Registrant’s telephone number, including area code: (972 ) 717-0300
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | |||||||||
| (“NYSE”) | |||||||||||
| NYSE Texas | |||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
| Emerging growth company | |||||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
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Item 2.02. Results of Operations and Financial Condition.
On February 11, 2026, Darling Ingredients Inc. (the “Company”) issued a press release announcing financial results for the fourth quarter and fiscal year ended January 3, 2026. A copy of this press release is attached hereto as Exhibit 99.1.
The Company will hold a conference call and webcast on Thursday, February 12, 2026 to discuss these financial results. The Company will have a slide presentation available to augment management's formal presentation, which will be accessible via the investor relations section of the Company's website. A copy of this slide presentation is attached hereto as Exhibit 99.2.
The Company is making reference to non-GAAP financial measures in both the press release and the conference call. A reconciliation of these non-GAAP financial measures to the comparable GAAP financial measures is contained in the attached press release.
The information in this Item 2.02, including the exhibits attached hereto, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, except as shall be expressly set forth by specific reference in such filing.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
| 99.1 | Press Release dated February 11, 2026 (furnished pursuant to Item 2.02). | |||||||
| 99.2 | Slide Presentation dated February 11, 2026 (furnished pursuant to Item 2.02). | |||||||
| 104 | Cover Page Interactive Data File (embedded within Inline XBRL document) | |||||||
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| DARLING INGREDIENTS INC. | |||||||||||
| Date: February 11, 2026 | By: | /s/ Nick Kemphaus | |||||||||
| Nick Kemphaus | |||||||||||
| Executive Vice President, General Counsel | |||||||||||
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Exhibit 99.1
FOR IMMEDIATE RELEASE 
February 11, 2026
Darling Ingredients Inc. Reports Fourth Quarter and Fiscal Year 2025 Results
Fourth Quarter Highlights
•Net income of $56.9 million, or $0.35 per GAAP diluted share, compared to $101.9 million for fourth quarter 2024, or $0.63 per GAAP diluted share
•Total net sales were $1.7 billion, compared to $1.42 billion for fourth quarter 2024
•Combined Adjusted EBITDA was $336.1 million, compared to $289.5 million for fourth quarter 2024
Fiscal Year Highlights
•Net income of $62.8 million, or $0.39 per GAAP diluted share, compared to $278.9 million for fiscal year 2024, or $1.73 per GAAP diluted share
•Total net sales were $6.1 billion, compared to $5.7 billion for fiscal year 2024
•Combined Adjusted EBITDA was $1.03 billion, compared to $1.08 billion for fiscal year 2024
•The company monetized $255 of the $285 million of Production Tax Credit sales, enhancing cash generation
•Bank leverage ratio declined to 2.90X, demonstrating a commitment to deleveraging
IRVING, TEXAS - Darling Ingredients Inc. (NYSE: DAR) today reported net income of $56.9 million, or $0.35 per diluted share for the fourth quarter of 2025, compared to net income of $101.9 million, or $0.63 per diluted share, for the fourth quarter of 2024. The company strategically realigned its portfolio of businesses in the quarter, resulting in restructuring and asset impairment charges of $58.0 million primarily related to its Enviroflight and CTH natural casing businesses. The company also reported total net sales of $1.7 billion for the fourth quarter of 2025, compared with total net sales of $1.4 billion for the same period a year ago.
“Our commitment to operational excellence drove a strong fourth quarter, delivering solid EBITDA growth and sequential gross margin improvement, despite lower fat prices. While Diamond Green Diesel (DGD) had a challenging year, our best-in-class operations led the industry and produced industry-leading results,” said Randall C. Stuewe, Chairman and Chief Executive Officer. “We have taken the steps to sharpen our portfolio and focus on our core strengths, and are well positioned to build on this momentum in 2026.”
For the fiscal year ended Jan. 3, 2026, Darling Ingredients reported total net sales of $6.1 billion, compared to total net sales of $5.7 billion for the same period in 2024. Net income for fiscal year 2025 was $62.8 million, or $0.39 per diluted share, as compared to net income of $278.9 million, or $1.73 per diluted share, for fiscal year 2024.
For the three months ended Dec. 31, 2025, Diamond Green Diesel (DGD) sold 285.3 million gallons of renewable diesel at an average of $0.41 per gallon EBITDA. For the twelve months ended, Dec. 31, 2025, DGD sold 1.003 billion gallons at an average of $0.21 per gallon EBITDA.
Combined Adjusted EBITDA for the fourth quarter of 2025 was $336.1 million, compared to $289.5 million for the same period in 2024. For fiscal year 2025, Combined Adjusted EBITDA totaled $1.03 billion, as compared to $1.08 billion for the same period in 2024.
The company enhanced its liquidity by monetizing $255 million of the $285 million in Production Tax Credit (PTC) sales during fiscal year 2025, improving cash generation for continued deleveraging in 2026.
As of Jan. 3, 2026, Darling Ingredients had $88.7 million in cash and cash equivalents, and $1.32 billion available under its committed revolving credit agreement. Total debt outstanding as of Jan. 3, 2026, was $3.94 billion. The preliminary leverage ratio as measured by the company’s bank covenant was 2.90X as of Jan. 3, 2026. Capital expenditures were $156.4 million for the fourth quarter 2025 and $380.5 million for the year.
“The additional week in our fiscal year, combined with a favorable lag in fat pricing, supported higher volumes and sales in the fourth quarter,” said Stuewe. “While current market pricing will modestly impact our core ingredients performance in the first
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quarter, we anticipate the EPA’s upcoming Renewable Volume Obligation will provide a constructive backdrop for fat prices once finalized.”
As previously announced, Darling Ingredients will provide financial guidance exclusively for its core ingredients business (all segments excluding DGD). For first quarter 2026, the company estimates core ingredients business adjusted EBITDA to be approximately $240-$250 million.
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Darling Ingredients Inc. and Subsidiaries
Consolidated Operating Results
For the Three and Twelve Months Ended January 3, 2026 and December 28, 2024
(in thousands, except per share data)
| Three Months Ended | Twelve Months Ended | ||||||||||||||||||||||||||||||||||
| (unaudited) | (unaudited) | $ Change | (unaudited) | $ Change | |||||||||||||||||||||||||||||||
| January 3, | December 28, | Favorable | January 3, | December 28, | Favorable | ||||||||||||||||||||||||||||||
| 2026 | 2024 | (Unfavorable) | 2026 | 2024 | (Unfavorable) | ||||||||||||||||||||||||||||||
| Net sales to third parties | $ | 1,363,671 | $ | 1,194,900 | $ | 168,771 | $ | 4,938,147 | $ | 4,746,292 | $ | 191,855 | |||||||||||||||||||||||
| Net sales to related party - Diamond Green Diesel | 346,128 | 222,793 | 123,335 | 1,197,730 | 968,883 | 228,847 | |||||||||||||||||||||||||||||
| Total net sales | 1,709,799 | 1,417,693 | 292,106 | 6,135,877 | 5,715,175 | 420,702 | |||||||||||||||||||||||||||||
| Costs and expenses: | |||||||||||||||||||||||||||||||||||
| Cost of sales and operating expenses (excludes depreciation and amortization, shown separately below) | 1,280,618 | 1,083,931 | (196,687) | 4,662,419 | 4,437,337 | (225,082) | |||||||||||||||||||||||||||||
| Gain on sale of assets | (979) | (4,056) | (3,077) | (340) | (4,157) | (3,817) | |||||||||||||||||||||||||||||
| Selling, general and administrative expenses | 151,939 | 107,514 | (44,425) | 551,158 | 492,105 | (59,053) | |||||||||||||||||||||||||||||
| Restructuring and asset impairment charges | 57,960 | 5,794 | (52,166) | 57,960 | 5,794 | (52,166) | |||||||||||||||||||||||||||||
| Acquisition and integration costs | 4,869 | 2,440 | (2,429) | 15,942 | 7,842 | (8,100) | |||||||||||||||||||||||||||||
| Change in fair value of contingent consideration | — | (4,491) | (4,491) | 18,024 | (46,706) | (64,730) | |||||||||||||||||||||||||||||
| Depreciation and amortization | 139,543 | 128,158 | (11,385) | 508,504 | 503,825 | (4,679) | |||||||||||||||||||||||||||||
| Total costs and expenses | 1,633,950 | 1,319,290 | (314,660) | 5,813,667 | 5,396,040 | (417,627) | |||||||||||||||||||||||||||||
| Equity in net income/(loss) of Diamond Green Diesel | 21,597 | 24,036 | (2,439) | (48,770) | 149,082 | (197,852) | |||||||||||||||||||||||||||||
| Operating income | 97,446 | 122,439 | (24,993) | 273,440 | 468,217 | (194,777) | |||||||||||||||||||||||||||||
| Other expense: | |||||||||||||||||||||||||||||||||||
| Interest expense | (55,514) | (54,911) | (603) | (222,279) | (253,858) | 31,579 | |||||||||||||||||||||||||||||
| Loss on early retirement of debt | — | — | — | (2,978) | — | (2,978) | |||||||||||||||||||||||||||||
| Foreign currency loss | (1,402) | (1,669) | 267 | (384) | (1,154) | 770 | |||||||||||||||||||||||||||||
| Other income, net | 2,999 | 9,486 | (6,487) | 468 | 22,309 | (21,841) | |||||||||||||||||||||||||||||
| Total other expense | (53,917) | (47,094) | (6,823) | (225,173) | (232,703) | 7,530 | |||||||||||||||||||||||||||||
| Equity in net income of other unconsolidated subsidiaries | 4,328 | 2,885 | 1,443 | 12,759 | 11,994 | 765 | |||||||||||||||||||||||||||||
| Income from operations before income taxes | 47,857 | 78,230 | (30,373) | 61,026 | 247,508 | (186,482) | |||||||||||||||||||||||||||||
| Income tax benefit | (11,022) | (25,547) | (14,525) | (9,359) | (38,337) | (28,978) | |||||||||||||||||||||||||||||
| Net income | 58,879 | 103,777 | (44,898) | 70,385 | 285,845 | (215,460) | |||||||||||||||||||||||||||||
| Net income attributable to noncontrolling interests | (1,939) | (1,869) | (70) | (7,581) | (6,965) | (616) | |||||||||||||||||||||||||||||
| Net income attributable to Darling | $ | 56,940 | $ | 101,908 | $ | (44,968) | $ | 62,804 | $ | 278,880 | $ | (216,076) | |||||||||||||||||||||||
| Basic income per share: | $ | 0.36 | $ | 0.64 | $ | (0.28) | $ | 0.40 | $ | 1.75 | $ | (1.35) | |||||||||||||||||||||||
| Diluted income per share: | $ | 0.35 | $ | 0.63 | $ | (0.28) | $ | 0.39 | $ | 1.73 | $ | (1.34) | |||||||||||||||||||||||
| Number of diluted common shares: | 160,414 | 161,071 | 160,157 | 161,418 | |||||||||||||||||||||||||||||||
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Segment Financial Tables (in thousands)
| Feed Ingredients | Food Ingredients | Fuel Ingredients | Corporate | Total | |||||||||||||
Three Months Ended January 3, 2026 (unaudited) | |||||||||||||||||
| Total net sales | $ | 1,128,158 | $ | 429,074 | $ | 152,567 | $ | — | $ | 1,709,799 | |||||||
| Cost of sales and operating expenses | 850,841 | 312,213 | 117,564 | — | 1,280,618 | ||||||||||||
| Gross margin | 277,317 | 116,861 | 35,003 | — | 429,181 | ||||||||||||
| Gain on sale of assets | (196) | (651) | (132) | — | (979) | ||||||||||||
| Selling, general and administrative expenses | 84,139 | 35,100 | 7,970 | 24,730 | 151,939 | ||||||||||||
| Restructuring and asset impairment charges | 32,120 | 25,840 | — | — | 57,960 | ||||||||||||
| Acquisition and integration costs | — | — | — | 4,869 | 4,869 | ||||||||||||
| Depreciation and amortization | 97,363 | 30,506 | 9,874 | 1,800 | 139,543 | ||||||||||||
| Equity in net income of Diamond Green Diesel | — | — | 21,597 | — | 21,597 | ||||||||||||
| Segment operating income/(loss) | $ | 63,891 | $ | 26,066 | $ | 38,888 | $ | (31,399) | $ | 97,446 | |||||||
| Equity in net income of other unconsolidated subsidiaries | 4,328 | — | — | — | 4,328 | ||||||||||||
| Segment income/(loss) | 68,219 | 26,066 | 38,888 | (31,399) | 101,774 | ||||||||||||
| Segment Adjusted EBITDA (Non-GAAP) | $ | 193,374 | $ | 82,412 | $ | 27,165 | $ | (24,730) | $ | 278,221 | |||||||
| DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) | — | — | 57,917 | — | 57,917 | ||||||||||||
| Combined Adjusted EBITDA (Non-GAAP) | $ | 193,374 | $ | 82,412 | $ | 85,082 | $ | (24,730) | $ | 336,138 | |||||||
| Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA and (Non-GAAP) Combined Adjusted EBITDA: | |||||||||||||||||
| Net income/(loss) attributable to Darling | $ | 68,219 | $ | 26,066 | $ | 38,888 | $ | (76,233) | $ | 56,940 | |||||||
| Net income attributable to noncontrolling interests | — | — | — | 1,939 | 1,939 | ||||||||||||
| Income tax benefit | — | — | — | (11,022) | (11,022) | ||||||||||||
| Interest expense | — | — | — | 55,514 | 55,514 | ||||||||||||
| Foreign currency loss | — | — | — | 1,402 | 1,402 | ||||||||||||
| Other income, net | — | — | — | (2,999) | (2,999) | ||||||||||||
| Segment income/(loss) | $ | 68,219 | $ | 26,066 | $ | 38,888 | $ | (31,399) | $ | 101,774 | |||||||
| Restructuring and asset impairment charges | 32,120 | 25,840 | — | — | 57,960 | ||||||||||||
| Acquisition and integration costs | — | — | — | 4,869 | 4,869 | ||||||||||||
| Depreciation and amortization | 97,363 | 30,506 | 9,874 | 1,800 | 139,543 | ||||||||||||
| Equity in net income of Diamond Green Diesel | — | — | (21,597) | — | (21,597) | ||||||||||||
| Equity in net income of other unconsolidated subsidiaries | (4,328) | — | — | — | (4,328) | ||||||||||||
| Segment Adjusted EBITDA (Non-GAAP) | $ | 193,374 | $ | 82,412 | $ | 27,165 | $ | (24,730) | $ | 278,221 | |||||||
| DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) * | — | — | 57,917 | — | 57,917 | ||||||||||||
| Combined Adjusted EBITDA (Non-GAAP) | $ | 193,374 | $ | 82,412 | $ | 85,082 | $ | (24,730) | $ | 336,138 | |||||||
| *See reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA below the DGD Consolidated Statements of Income | |||||||||||||||||
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| Feed Ingredients | Food Ingredients | Fuel Ingredients | Corporate | Total | |||||||||||||
Three Months Ended December 28, 2024 (unaudited) | |||||||||||||||||
| Total net sales | $ | 924,157 | $ | 361,686 | $ | 131,850 | $ | — | $ | 1,417,693 | |||||||
| Cost of sales and operating expenses | 714,843 | 268,582 | 100,506 | — | 1,083,931 | ||||||||||||
| Gross margin | 209,314 | 93,104 | 31,344 | — | 333,762 | ||||||||||||
| Gain on sale of assets | (1,210) | (1,550) | (1,296) | — | (4,056) | ||||||||||||
| Selling, general and administrative expenses | 60,497 | 30,665 | 7,459 | 8,893 | 107,514 | ||||||||||||
| Restructuring and asset impairment charges | 3,671 | 2,123 | — | — | 5,794 | ||||||||||||
| Acquisition and integration costs | — | — | — | 2,440 | 2,440 | ||||||||||||
| Change in fair value of contingent consideration | (4,491) | — | — | — | (4,491) | ||||||||||||
| Depreciation and amortization | 90,648 | 26,119 | 9,189 | 2,202 | 128,158 | ||||||||||||
| Equity in net income of Diamond Green Diesel | — | — | 24,036 | — | 24,036 | ||||||||||||
| Segment operating income/(loss) | $ | 60,199 | $ | 35,747 | $ | 40,028 | $ | (13,535) | $ | 122,439 | |||||||
| Equity in net income of other unconsolidated subsidiaries | 2,885 | — | — | — | 2,885 | ||||||||||||
| Segment income/(loss) | $ | 63,084 | $ | 35,747 | $ | 40,028 | $ | (13,535) | $ | 125,324 | |||||||
| Segment Adjusted EBITDA (Non-GAAP) | $ | 150,027 | $ | 63,989 | $ | 25,181 | $ | (8,893) | $ | 230,304 | |||||||
| DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) | — | — | 59,159 | — | 59,159 | ||||||||||||
| Combined Adjusted EBITDA (Non-GAAP) | $ | 150,027 | $ | 63,989 | $ | 84,340 | $ | (8,893) | $ | 289,463 | |||||||
| Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA and (Non-GAAP) Combined Adjusted EBITDA: | |||||||||||||||||
| Net income/(loss) attributable to Darling | $ | 63,084 | $ | 35,747 | $ | 40,028 | $ | (36,951) | $ | 101,908 | |||||||
| Net income attributable to noncontrolling interests | — | — | — | 1,869 | 1,869 | ||||||||||||
| Income tax benefit | — | — | — | (25,547) | (25,547) | ||||||||||||
| Interest expense | — | — | — | 54,911 | 54,911 | ||||||||||||
| Foreign currency loss | — | — | — | 1,669 | 1,669 | ||||||||||||
| Other income, net | — | — | — | (9,486) | (9,486) | ||||||||||||
| Segment income/(loss) | $ | 63,084 | $ | 35,747 | $ | 40,028 | $ | (13,535) | $ | 125,324 | |||||||
| Restructuring and asset impairment charges | 3,671 | 2,123 | — | — | 5,794 | ||||||||||||
| Acquisition and integration costs | — | — | — | 2,440 | 2,440 | ||||||||||||
| Change in fair value of contingent consideration | (4,491) | — | — | — | (4,491) | ||||||||||||
| Depreciation and amortization | 90,648 | 26,119 | 9,189 | 2,202 | 128,158 | ||||||||||||
| Equity in net income of Diamond Green Diesel | — | — | (24,036) | — | (24,036) | ||||||||||||
| Equity in net income of other unconsolidated subsidiaries | (2,885) | — | — | — | (2,885) | ||||||||||||
| Segment Adjusted EBITDA (Non-GAAP) | $ | 150,027 | $ | 63,989 | $ | 25,181 | $ | (8,893) | $ | 230,304 | |||||||
| DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) * | — | — | 59,159 | — | 59,159 | ||||||||||||
| Combined Adjusted EBITDA (Non-GAAP) | $ | 150,027 | $ | 63,989 | $ | 84,340 | $ | (8,893) | $ | 289,463 | |||||||
| *See reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA below the DGD Consolidated Statements of Income | |||||||||||||||||
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| Feed Ingredients | Food Ingredients | Fuel Ingredients | Corporate | Total | |||||||||||||
Twelve Months Ended January 3, 2026 (unaudited) | |||||||||||||||||
| Total net sales | $ | 3,990,088 | $ | 1,545,030 | $ | 600,759 | $ | — | $ | 6,135,877 | |||||||
| Cost of sales and operating expenses | 3,066,243 | 1,116,978 | 479,198 | — | 4,662,419 | ||||||||||||
| Gross margin | 923,845 | 428,052 | 121,561 | — | 1,473,458 | ||||||||||||
| Loss/(Gain) on sale of assets | 879 | (685) | (534) | — | (340) | ||||||||||||
| Selling, general and administrative expenses | 309,112 | 133,809 | 33,615 | 74,622 | 551,158 | ||||||||||||
| Restructuring and asset impairment charges | 32,120 | 25,840 | — | — | 57,960 | ||||||||||||
| Acquisition and integration costs | — | — | — | 15,942 | 15,942 | ||||||||||||
| Change in fair value of contingent consideration | 18,024 | — | — | — | 18,024 | ||||||||||||
| Depreciation and amortization | 348,502 | 117,298 | 36,355 | 6,349 | 508,504 | ||||||||||||
| Equity in net loss of Diamond Green Diesel | — | — | (48,770) | — | (48,770) | ||||||||||||
| Segment operating income/(loss) | $ | 215,208 | $ | 151,790 | $ | 3,355 | $ | (96,913) | $ | 273,440 | |||||||
| Equity in net income of other unconsolidated subsidiaries | 12,759 | — | — | — | 12,759 | ||||||||||||
| Segment income/(loss) | $ | 227,967 | $ | 151,790 | $ | 3,355 | $ | (96,913) | $ | 286,199 | |||||||
| Segment Adjusted EBITDA (Non-GAAP) | $ | 613,854 | $ | 294,928 | $ | 88,480 | $ | (74,622) | $ | 922,640 | |||||||
| DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) | — | — | 103,716 | — | 103,716 | ||||||||||||
| Combined Adjusted EBITDA (Non-GAAP) | $ | 613,854 | $ | 294,928 | $ | 192,196 | $ | (74,622) | $ | 1,026,356 | |||||||
| Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA and (Non-GAAP) Combined Adjusted EBITDA: | |||||||||||||||||
| Net income/(loss) attributable to Darling | $ | 227,967 | $ | 151,790 | $ | 3,355 | $ | (320,308) | $ | 62,804 | |||||||
| Net income attributable to noncontrolling interests | — | — | — | 7,581 | 7,581 | ||||||||||||
| Income tax benefit | — | — | — | (9,359) | (9,359) | ||||||||||||
| Loss on early retirement of debt | — | — | — | 2,978 | 2,978 | ||||||||||||
| Interest expense | — | — | — | 222,279 | 222,279 | ||||||||||||
| Foreign currency loss | — | — | — | 384 | 384 | ||||||||||||
| Other income, net | — | — | — | (468) | (468) | ||||||||||||
| Segment income/(loss) | $ | 227,967 | $ | 151,790 | $ | 3,355 | $ | (96,913) | $ | 286,199 | |||||||
| Restructuring and asset impairment charges | 32,120 | 25,840 | — | — | 57,960 | ||||||||||||
| Acquisition and integration costs | — | — | — | 15,942 | 15,942 | ||||||||||||
| Change in fair value of contingent consideration | 18,024 | — | — | — | 18,024 | ||||||||||||
| Depreciation and amortization | 348,502 | 117,298 | 36,355 | 6,349 | 508,504 | ||||||||||||
| Equity in net loss of Diamond Green Diesel | — | — | 48,770 | — | 48,770 | ||||||||||||
| Equity in net income of other unconsolidated subsidiaries | (12,759) | — | — | — | (12,759) | ||||||||||||
| Segment Adjusted EBITDA (Non-GAAP) | $ | 613,854 | $ | 294,928 | $ | 88,480 | $ | (74,622) | $ | 922,640 | |||||||
| DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) * | — | — | 103,716 | — | 103,716 | ||||||||||||
| Combined Adjusted EBITDA (Non-GAAP) | $ | 613,854 | $ | 294,928 | $ | 192,196 | $ | (74,622) | $ | 1,026,356 | |||||||
| *See reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA below the DGD Consolidated Statements of Income | |||||||||||||||||
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| Feed Ingredients | Food Ingredients | Fuel Ingredients | Corporate | Total | |||||||||||||
| Twelve Months Ended December 28, 2024 | |||||||||||||||||
| Total net sales | $ | 3,675,609 | $ | 1,489,101 | $ | 550,465 | $ | — | $ | 5,715,175 | |||||||
| Cost of sales and operating expenses | 2,886,125 | 1,115,348 | 435,864 | — | 4,437,337 | ||||||||||||
| Gross margin | 789,484 | 373,753 | 114,601 | — | 1,277,838 | ||||||||||||
| Gain on sale of assets | (669) | (1,758) | (1,730) | — | (4,157) | ||||||||||||
| Selling, general and administrative expenses | 279,095 | 119,604 | 32,370 | 61,036 | 492,105 | ||||||||||||
| Restructuring and asset impairment charges | 3,671 | 2,123 | — | — | 5,794 | ||||||||||||
| Acquisition and integration costs | — | — | — | 7,842 | 7,842 | ||||||||||||
| Change in fair value of contingent consideration | (46,706) | — | — | — | (46,706) | ||||||||||||
| Depreciation and amortization | 350,141 | 109,102 | 35,876 | 8,706 | 503,825 | ||||||||||||
| Equity in net income of Diamond Green Diesel | — | — | 149,082 | — | 149,082 | ||||||||||||
| Segment operating income/(loss) | $ | 203,952 | $ | 144,682 | $ | 197,167 | $ | (77,584) | $ | 468,217 | |||||||
| Equity in net income of other unconsolidated subsidiaries | 11,994 | — | — | — | 11,994 | ||||||||||||
| Segment income/(loss) | $ | 215,946 | $ | 144,682 | $ | 197,167 | $ | (77,584) | $ | 480,211 | |||||||
| Segment Adjusted EBITDA (Non-GAAP) | $ | 511,058 | $ | 255,907 | $ | 83,961 | $ | (61,036) | $ | 789,890 | |||||||
| DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) | — | — | 289,945 | — | 289,945 | ||||||||||||
| Combined Adjusted EBITDA (Non-GAAP) | $ | 511,058 | $ | 255,907 | $ | 373,906 | $ | (61,036) | $ | 1,079,835 | |||||||
| Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA and (Non-GAAP) Combined Adjusted EBITDA: | |||||||||||||||||
| Net income/(loss) attributable to Darling | $ | 215,946 | $ | 144,682 | $ | 197,167 | $ | (278,915) | $ | 278,880 | |||||||
| Net income attributable to noncontrolling interests | — | — | — | 6,965 | 6,965 | ||||||||||||
| Income tax benefit | — | — | — | (38,337) | (38,337) | ||||||||||||
| Interest expense | — | — | — | 253,858 | 253,858 | ||||||||||||
| Foreign currency loss | — | — | — | 1,154 | 1,154 | ||||||||||||
| Other income, net | — | — | — | (22,309) | (22,309) | ||||||||||||
| Segment income/(loss) | $ | 215,946 | $ | 144,682 | $ | 197,167 | $ | (77,584) | $ | 480,211 | |||||||
| Restructuring and asset impairment charges | 3,671 | 2,123 | — | — | 5,794 | ||||||||||||
| Acquisition and integration costs | — | — | — | 7,842 | 7,842 | ||||||||||||
| Change in fair value of contingent consideration | (46,706) | — | — | — | (46,706) | ||||||||||||
| Depreciation and amortization | 350,141 | 109,102 | 35,876 | 8,706 | 503,825 | ||||||||||||
| Equity in net income of Diamond Green Diesel | — | — | (149,082) | — | (149,082) | ||||||||||||
| Equity in net income of other unconsolidated subsidiaries | (11,994) | — | — | — | (11,994) | ||||||||||||
| Segment Adjusted EBITDA (Non-GAAP) | $ | 511,058 | $ | 255,907 | $ | 83,961 | $ | (61,036) | $ | 789,890 | |||||||
| DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) * | — | — | 289,945 | — | 289,945 | ||||||||||||
| Combined Adjusted EBITDA (Non-GAAP) | $ | 511,058 | $ | 255,907 | $ | 373,906 | $ | (61,036) | $ | 1,079,835 | |||||||
| *See reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA below the DGD Consolidated Statements of Income | |||||||||||||||||
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Darling Ingredients Inc. and Subsidiaries
Balance Sheet Disclosures
As of January 3, 2026 and December 28, 2024
(in thousands)
| (unaudited) | |||||||||||
| January 3, | December 28, | ||||||||||
| 2026 | 2024 | ||||||||||
| Cash and cash equivalents | $ | 88,671 | $ | 75,973 | |||||||
| Property, plant and equipment, net | 2,796,139 | 2,713,669 | |||||||||
| Current portion of long-term debt | 75,217 | 133,020 | |||||||||
| Long-term debt, net of current portion | 3,862,243 | 3,908,978 | |||||||||
| Other Financial Data | |||||||||||
| As of January 3, 2026 | |||||||||||
| (unaudited) | |||||||||||
| January 3, | |||||||||||
| 2026 | |||||||||||
| Revolver availability | $ | 1,324,496 | |||||||||
| Capital expenditures - YTD | $ | 380,477 | |||||||||
| Preliminary Leverage Ratio | 2.90X | ||||||||||
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Diamond Green Diesel Joint Venture
Consolidated Statements of Income
For the Three and Twelve Months Ended December 31, 2025 and December 31, 2024
(in thousands)
| Three Months Ended | Twelve Months Ended | ||||||||||||||||||||||||||||||||||
| (unaudited) | (unaudited) | $ Change | (unaudited) | $ Change | |||||||||||||||||||||||||||||||
| December 31, | December 31, | Favorable | December 31, | December 31, | Favorable | ||||||||||||||||||||||||||||||
| 2025 | 2024 | (Unfavorable) | 2025 | 2024 | (Unfavorable) | ||||||||||||||||||||||||||||||
| Revenues: | |||||||||||||||||||||||||||||||||||
| Operating revenues | $ | 1,395,358 | $ | 1,245,722 | $ | 149,636 | $ | 4,596,830 | $ | 5,065,592 | $ | (468,762) | |||||||||||||||||||||||
| Expenses: | |||||||||||||||||||||||||||||||||||
| Total costs and expenses excluding lower of cost or market inventory valuation adjustment and depreciation, amortization and accretion expense | 1,243,285 | 1,009,285 | (234,000) | 4,500,398 | 4,309,768 | (190,630) | |||||||||||||||||||||||||||||
| Lower of cost or market (LCM) inventory valuation adjustment | 24,353 | 118,120 | 93,767 | (140,085) | 175,934 | 316,019 | |||||||||||||||||||||||||||||
| Depreciation, amortization and accretion expense | 62,488 | 69,489 | 7,001 | 266,887 | 264,992 | (1,895) | |||||||||||||||||||||||||||||
| Total costs and expenses | 1,330,126 | 1,196,894 | (133,232) | 4,627,200 | 4,750,694 | 123,494 | |||||||||||||||||||||||||||||
| Operating income/(loss) | 65,232 | 48,828 | 16,404 | (30,370) | 314,898 | (345,268) | |||||||||||||||||||||||||||||
| Other income | 1,817 | 7,778 | (5,961) | 9,321 | 22,114 | (12,793) | |||||||||||||||||||||||||||||
| Interest and debt expense, net | (12,268) | (8,301) | (3,967) | (46,340) | (38,673) | (7,667) | |||||||||||||||||||||||||||||
| Income/(loss) before income tax expense | 54,781 | 48,305 | 6,476 | (67,389) | 298,339 | (365,728) | |||||||||||||||||||||||||||||
| Income tax expense/(benefit) | (299) | 233 | 532 | 1,066 | 175 | (891) | |||||||||||||||||||||||||||||
| Net income/(loss) | $ | 55,080 | $ | 48,072 | $ | 7,008 | $ | (68,455) | $ | 298,164 | $ | (366,619) | |||||||||||||||||||||||
| Reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA: | |||||||||||||||||||||||||||||||||||
| Net income/(loss) | $ | 55,080 | $ | 48,072 | $ | (68,455) | $ | 298,164 | |||||||||||||||||||||||||||
| Income tax expense/(benefit) | (299) | 233 | 1,066 | 175 | |||||||||||||||||||||||||||||||
| Interest and debt expense, net | 12,268 | 8,301 | 46,340 | 38,673 | |||||||||||||||||||||||||||||||
| Other income | (1,817) | (7,778) | (9,321) | (22,114) | |||||||||||||||||||||||||||||||
| Operating income/(loss) | 65,232 | 48,828 | (30,370) | 314,898 | |||||||||||||||||||||||||||||||
| Depreciation, amortization and accretion expense | 62,488 | 69,489 | 266,887 | 264,992 | |||||||||||||||||||||||||||||||
| DGD Adjusted EBITDA (Non-GAAP) | 127,720 | 118,317 | 236,517 | 579,890 | |||||||||||||||||||||||||||||||
| Less: Discount and Broker Fees | (11,887) | — | (29,086) | — | |||||||||||||||||||||||||||||||
| DGD Adjusted EBITDA (Non-GAAP) after Discount and Broker Fees | 115,833 | 118,317 | 207,431 | 579,890 | |||||||||||||||||||||||||||||||
| Darling's Share 50% | 50 | % | 50 | % | 50 | % | 50 | % | |||||||||||||||||||||||||||
| DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) | $ | 57,917 | $ | 59,159 | $ | 103,716 | $ | 289,945 | |||||||||||||||||||||||||||
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Diamond Green Diesel Joint Venture
Condensed Consolidated Balance Sheets
December 31, 2025 and December 31, 2024
(in thousands)
| December 31, | December 31, | ||||||||||
| 2025 | 2024 | ||||||||||
| (unaudited) | |||||||||||
| Assets: | |||||||||||
| Cash | $ | 195,765 | $ | 353,446 | |||||||
| Total other current assets | 1,199,194 | 1,137,821 | |||||||||
| Property, plant and equipment, net | 3,702,254 | 3,868,943 | |||||||||
| Other assets | 139,765 | 100,307 | |||||||||
| Total assets | $ | 5,236,978 | $ | 5,460,517 | |||||||
| Liabilities and members' equity: | |||||||||||
| Revolver | $ | — | $ | — | |||||||
| Total other current portion of long term debt | 29,487 | 29,809 | |||||||||
| Total other current liabilities | 332,256 | 319,688 | |||||||||
| Total long term debt | 677,671 | 707,158 | |||||||||
| Total other long term liabilities | 17,748 | 17,195 | |||||||||
| Total members' equity | 4,179,816 | 4,386,667 | |||||||||
| Total liabilities and members' equity | $ | 5,236,978 | $ | 5,460,517 | |||||||
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Reconciliation of Net Income to (Non-GAAP) Adjusted EBITDA and (Non-GAAP) Pro forma
Adjusted EBITDA to Foreign Currency
For the Three and Twelve Months Ended January 3, 2026 and December 28, 2024
(in thousands)
| Three Months Ended | Twelve Months Ended | |||||||||||||||||||||||||
| Adjusted EBITDA | January 3 | December 28, | January 3 | December 28, | ||||||||||||||||||||||
| (U.S. dollars in thousands) | 2026 | 2024 | 2026 | 2024 | ||||||||||||||||||||||
| (unaudited) | (unaudited) | (unaudited) | ||||||||||||||||||||||||
| Net income attributable to Darling | 56,940 | 101,908 | 62,804 | 278,880 | ||||||||||||||||||||||
| Depreciation and amortization | 139,543 | 128,158 | 508,504 | 503,825 | ||||||||||||||||||||||
| Interest expense | 55,514 | 54,911 | 222,279 | 253,858 | ||||||||||||||||||||||
| Income tax benefit | (11,022) | (25,547) | (9,359) | (38,337) | ||||||||||||||||||||||
| Restructuring and asset impairment charges | 57,960 | 5,794 | 57,960 | 5,794 | ||||||||||||||||||||||
| Acquisition and integration costs | 4,869 | 2,440 | 15,942 | 7,842 | ||||||||||||||||||||||
| Change in fair value of contingent consideration | — | (4,491) | 18,024 | (46,706) | ||||||||||||||||||||||
| Foreign currency loss | 1,402 | 1,669 | 384 | 1,154 | ||||||||||||||||||||||
| Other income, net | (2,999) | (9,486) | (468) | (22,309) | ||||||||||||||||||||||
| Loss on early retirement of debt | — | — | 2,978 | — | ||||||||||||||||||||||
| Equity in net (income)/loss of Diamond Green Diesel | (21,597) | (24,036) | 48,770 | (149,082) | ||||||||||||||||||||||
| Equity in net income of other unconsolidated subsidiaries | (4,328) | (2,885) | (12,759) | (11,994) | ||||||||||||||||||||||
| Net income attributable to noncontrolling interests | 1,939 | 1,869 | 7,581 | 6,965 | ||||||||||||||||||||||
| Adjusted EBITDA (Non-GAAP) | $ | 278,221 | $ | 230,304 | $ | 922,640 | $ | 789,890 | ||||||||||||||||||
| Foreign currency exchange impact | (11,594) | (1) | — | (20,420) | (2) | — | ||||||||||||||||||||
| Pro forma Adjusted EBITDA to Foreign Currency (Non-GAAP) | $ | 266,627 | $ | 230,304 | $ | 902,220 | $ | 789,890 | ||||||||||||||||||
| DGD Adjusted EBITDA (Darling's share) (Non-GAAP)* | $ | 57,917 | $ | 59,159 | $ | 103,716 | $ | 289,945 | ||||||||||||||||||
| Combined Adjusted EBITDA (Non-GAAP) | $ | 336,138 | $ | 289,463 | $ | 1,026,356 | $ | 1,079,835 | ||||||||||||||||||
*See reconciliation of DGD Net Income to (Non-GAAP) DGD Adjusted EBITDA below the DGD Consolidated Statements of Income | ||||||||||||||||||||||||||
| (1) The average rates for the three months ended January 3, 2026 were €1.00:$1.16, R$1.00:$0.19 and C$1.00:$0.72 as compared to the average rates for the three months ended December 28, 2024 of €1.00:$1.07, R$1.00:$0.17 and C$1.00:$0.72, respectively. | ||||||||||||||||||||||||||
| (2) The average rates for the twelve months ended January 3, 2026 of €1.00:$1.13, R$1.00:$0.18 and C$1.00:$0.72 as compared to the average rates for the twelve months ended December 28, 2024 of €1.00:USD$1.08, R$1.00:$0.19 and C$1.00:$0.73, respectively. | ||||||||||||||||||||||||||
About Darling Ingredients
A pioneer in circularity, Darling Ingredients Inc. (NYSE: DAR) takes material from the animal agriculture and food industries, and transforms them into valuable ingredients that nourish people, feed animals and crops, and fuel the world with renewable energy. The company operates over 260 facilities in more than 15 countries and processes about 15% of the world’s animal agricultural by-products, produces about 30% of the world’s collagen (both gelatin and hydrolyzed collagen), and is one of the largest producers of renewable energy. To learn more, visit darlingii.com. Follow us on LinkedIn.
Darling Ingredients will host a conference call on Feb. 12, 2026, at 9 a.m. Eastern Time (8 a.m. Central Time) to discuss fourth quarter and fiscal year 2025 financial results and provide an update on company operations.
To access the call as a listener, please register for the audio-only webcast.
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To join the call as a participant to ask a question, please register in advance to receive a confirmation email with the dial-in number and PIN for immediate access on Feb. 12 or call 646-844-6383 (United States) or 833-470-1428 (international) using access code 476355.
A replay of the call will be available online via the webcast registration link two hours after the call ends. A transcript will be posted at darlingii.com/investors within 24 hours.
Use of Non-GAAP Financial Measures:
Segment Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income/(loss), as a measure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an alternative to net income (loss), but rather as a measure of the segment’s operating performance. Segment Adjusted EBITDA consists of net income/(loss) plus depreciation and amortization, restructuring and asset impairment charges, acquisition and integration costs, change in fair value of contingent consideration, foreign currency loss/(gain), net income/(loss) attributable to noncontrolling interests, interest expense, income tax provision, other income/(expense), equity in net (income)/loss of unconsolidated subsidiaries and equity in net (income)/loss of Diamond Green Diesel. Management believes that Segment Adjusted EBITDA is useful in evaluating the segment’s operating performance because the calculation of Segment Adjusted EBITDA generally eliminates non-cash and certain other items for reasons unrelated to overall operating performance and also believes this information is useful to investors.
Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an alternative to net income, but rather as a measure of the Company's operating performance. Since EBITDA (generally, net income plus interest expense, taxes, depreciation and amortization) is not calculated identically by all companies, the presentation in this report may not be comparable to EBITDA or Adjusted EBITDA presentations disclosed by other companies. Adjusted EBITDA is calculated above and represents for any relevant period, net income/(loss) plus depreciation and amortization, restructuring and asset impairment charges, acquisition and integration costs, change in fair value of contingent consideration, foreign currency loss/(gain), net income/(loss) attributable to non-controlling interests, interest expense, income tax provision, other income/(expense) and equity in net (income)/loss of unconsolidated subsidiaries. Management believes that Adjusted EBITDA is useful in evaluating the Company's operating performance compared to that of other companies in its industry because the calculation of Adjusted EBITDA generally eliminates the effects of financing, income taxes, non-cash and certain other items that may vary for different companies for reasons unrelated to overall operating performance and also believes this information is useful to investors.
The Company’s management uses Adjusted EBITDA as a measure to evaluate performance and for other discretionary purposes. In addition to the foregoing, management also uses or will use Adjusted EBITDA to measure compliance with certain financial covenants under the Company’s Senior Secured Credit Facilities, 6% Notes, 5.25% Notes and 4.5% Notes that were outstanding at January 3, 2026. However, the amounts shown above for Adjusted EBITDA differ from the amounts calculated under similarly titled definitions in the Company’s Senior Secured Credit Facilities, 6% Notes, 5.25% Notes and 4.5% Notes, as those definitions permit further adjustments to reflect certain other nonrecurring costs, non-cash charges and cash dividends from the DGD Joint Venture. Additionally, the Company evaluates the impact of foreign exchange on operating cash flow, which is defined as segment operating income (loss) plus depreciation and amortization.
Pro forma Adjusted EBITDA to Foreign Currency is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an alternative to net income, but rather as a measure of the Company's operating performance. Management believes Pro forma Adjusted EBITDA to Foreign Currency is useful in evaluating the Company’s operating performance on a constant currency basis and also believes this information is useful to investors.
Combined Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an alternative to net income, but rather as a measure of the Company’s operating performance. Combined Adjusted EBITDA consists of Adjusted EBITDA plus DGD Adjusted EBITDA (Darling’s Share). When Combined Adjusted EBITDA is presented by segment, Combined Adjusted EBITDA consists of Segment Adjusted EBITDA plus DGD Adjusted EBITDA (Darling’s Share). Management believes that Combined Adjusted EBITDA is useful in evaluating the Company's operating performance compared to that of other companies in its industry because the calculation of Combined Adjusted EBITDA generally eliminates the effects of financing, income taxes, non-cash and certain other items that may vary for different companies for reasons unrelated to overall operating performance and also believes this information is useful to investors.
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Information reconciling forward-looking Combined Adjusted EBITDA to net income is unavailable to the Company without unreasonable effort. The Company is not able to provide reconciliations of Combined Adjusted EBITDA to net income because certain items required for such reconciliations are outside of the Company’s control and/or cannot be reasonably predicted, such as the impact of volatile commodity prices on the Company’s operations, impact of foreign currency exchange fluctuations, depreciation and amortization and the provision for income taxes. Preparation of such reconciliations for Darling Ingredients Inc. and the Company’s joint venture, Diamond Green Diesel, would require a forward-looking balance sheet, statement of operations and statement of cash flows, prepared in accordance with GAAP for each entity, and such forward-looking financial statements are unavailable to the Company without unreasonable effort. The Company provides guidance for its Combined Adjusted EBITDA outlook that it believes will be achieved; however, it cannot accurately predict all the components of the Combined Adjusted EBITDA calculation.
DGD Adjusted EBITDA is not reflected in the Adjusted EBITDA or the Pro forma Adjusted EBITDA to Foreign Currency. DGD Adjusted EBITDA is not a recognized accounting measure under GAAP; it should not be considered as an alternative to net income/(loss) or equity in net income/(loss) of Diamond Green Diesel, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity and is not intended to be a presentation in accordance with GAAP. The Company calculates DGD Adjusted EBITDA by taking DGD’s net income/(loss) plus income tax expense/(benefit), interest and debt expense, net, and DGD’s depreciation, amortization and accretion expense less other income. Management believes that DGD Adjusted EBITDA is useful in evaluating the Company’s operating performance because the calculation of DGD Adjusted EBITDA generally eliminates non-cash and certain other items at DGD unrelated to overall operating performance and also believes this information is useful to investors. The Company calculates Darling’s Share of DGD Adjusted EBITDA by taking DGD Adjusted EBITDA and then multiplying by 50% to get Darling’s Share of DGD’s Adjusted EBITDA.
Adjusted EBITDA per gallon is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income or equity in income of Diamond Green Diesel, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity and is not intended to be a presentation in accordance with GAAP. Adjusted EBITDA per gallon is presented here not as an alternative to net income or equity in income of Diamond Green Diesel, but rather as a measure of Diamond Green Diesel's operating performance. Since Adjusted EBITDA per gallon (generally, net income plus interest expense, taxes, depreciation and amortization divided by total gallons sold) is not calculated identically by all companies, this presentation may not be comparable to Adjusted EBITDA per gallon presentations disclosed by other companies. Management believes that Adjusted EBITDA per gallon is useful in evaluating Diamond Green Diesel's operating performance compared to that of other companies in its industry because the calculation of Adjusted EBITDA per gallon generally eliminates the effects of financing, income taxes and non-cash and certain other items presented on a per gallon basis that may vary for different companies for reasons unrelated to overall operating performance.
Cautionary Statements Regarding Forward-Looking Information:
This media release includes “forward-looking” statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the statements. Statements that are not statements of historical facts are forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Words such as “estimate,” “guidance,” “outlook,” “project,” “planned,” “contemplate,” “potential,” “possible,” “proposed,” “intend,” “believe,” “anticipate,” “expect,” “may,” “will,” “would,” “should,” “could,” and similar expressions are intended to identify forward-looking statements. All statements other than statements of historical facts included in this release are forward-looking statements. Forward-looking statements are based on the Company's current expectations and assumptions regarding its business, the economy and other future conditions. The Company cautions readers that any such forward-looking statements it makes are not guarantees of future performance and that actual results may differ materially from anticipated results or expectations expressed in its forward-looking statements as a result of a variety of factors, including many that are beyond the Company's control.
Important factors that could cause actual results to differ materially from the Company’s expectations include: existing and unknown future limitations on the ability of the Company's direct and indirect subsidiaries to make their cash flow available to the Company for payments on the Company's indebtedness or other purposes; reduced demands or prices for biofuels, biogases or renewable electricity; global demands for grain and oilseed commodities, which have exhibited volatility, and can impact the cost of feed for cattle, hogs and poultry, thus affecting available rendering feedstock and selling prices for the Company’s products; reductions in raw material volumes available to the Company due to weak margins in the meat production industry as a result of higher feed costs, reduced consumer demand, reduced volume due to government regulations affecting animal production or other factors, reduced volume from food service establishments, or otherwise; reduced demand for animal feed; reduced finished product prices, including a decline in fat, used cooking oil, protein or collagen (including, without limitation, collagen peptides and gelatin) finished product prices; changes to government policies around the world relating to renewable fuels and greenhouse gas (“GHG”) emissions that adversely affect prices, margins or markets (including for the DGD Joint Venture), including programs like renewable fuel standards, low carbon fuel standards, renewable fuel mandates and tax credits
Page 13
for biofuels, or loss or diminishment of tax credits due to failure to satisfy any eligibility requirements, including, without limitation, in relation to the blenders tax credit or the Clean Fuels Production Credit (“CFPC”); climate related adverse results, including with respect to the Company’s climate goals, targets or commitments; possible product recall resulting from developments relating to the discovery of unauthorized adulterations to food or food additives or products which do not meet specifications, contract requirements or regulatory standards; the occurrence of 2009 H1N1 flu (initially known as “Swine Flu”), highly pathogenic strains of avian influenza (collectively known as “Bird Flu”), severe acute respiratory syndrome (“SARS”), bovine spongiform encephalopathy (or “BSE”), porcine epidemic diarrhea (“PED”) or other diseases associated with animal origin in the U.S. or elsewhere, such as the outbreak of African Swine Fever in China and elsewhere; the occurrence of pandemics, epidemics or disease outbreaks, such as the COVID-19 outbreak; unanticipated costs and/or reductions in raw material volumes related to the Company’s compliance with the existing or unforeseen new U.S. or foreign (including, without limitation, China) regulations (including new or modified animal feed, Bird Flu, SARS, PED, BSE or ASF or similar or unanticipated regulations) affecting the industries in which the Company operates or its value added products; risks associated with the DGD Joint Venture, including possible unanticipated operating disruptions and/or a decline in margins on the products produced by the DGD Joint Venture; risks and uncertainties relating to international sales and operations, including imposition of tariffs, quotas, trade barriers and other trade protections by the U.S. or foreign countries; tax changes, such as global minimum tax measures, or issues related to administration, guidance and/or regulations associated with biofuel policies, including CFPC, and risks associated with the qualification and sale of such credits; difficulties or a significant disruption (including, without limitation, due to cyber-attack) in the Company’s information systems, networks or the confidentiality, availability or integrity of our data or failure to implement new systems and software successfully; risks relating to possible third-party claims of intellectual property infringement; increased contributions to the Company’s pension and benefit plans, including multiemployer and employer-sponsored defined benefit pension plans as required by legislation, regulation or other applicable U.S. or foreign law or resulting from a U.S. mass withdrawal event; bad debt write-offs; loss of or failure to obtain necessary permits and registrations; the potential for future terrorist attacks, responses to terrorist attacks and other acts of war or hostility, including the ongoing conflicts in the Middle East, Africa, North Korea and Ukraine; uncertainty regarding any administration changes in the U.S. or elsewhere around the world, including, without limitation, impacts to trade, tariffs and/or policies impacting the Company (such as biofuel policies and mandates); and/or unfavorable export or import markets. These factors, coupled with volatile prices for natural gas and diesel fuel, inflation rates, climate conditions, currency exchange fluctuations, general performance of the U.S. and global economies, disturbances in world financial, credit, commodities and stock markets, and any decline in consumer confidence and discretionary spending, including the inability of consumers and companies to obtain credit due to lack of liquidity in the financial markets, among others, could cause actual results to vary materially from the forward-looking statements included in this report or negatively impact the Company’s results of operations. Among other things, future profitability may be affected by the Company’s ability to grow its business, which faces competition from companies that may have substantially greater resources than the Company. The Company’s announced share repurchase program may be suspended or discontinued at any time and purchases of shares under the program are subject to market conditions and other factors, which are likely to change from time to time. For more detailed discussion of these factors and other risks and uncertainties regarding the Company, its business and the industries in which it operates, see the Company’s filings with the SEC, including the Risk Factors discussion in Item 1A of Part I of the Company's Annual Report on Form 10-K for the fiscal year ended December 28, 2024. The Company cautions readers that all forward-looking statements speak only as of the date made, and the Company undertakes no obligation to update any forward-looking statements, whether as a result of changes in circumstances, new events or otherwise.
# # #
Darling Ingredients Contacts
Investors: Suann Guthrie
Senior VP, Investor Relations and Global Affairs
(469) 214-8202; suann.guthrie@darlingii.com
Media: Jillian Fleming
Director, Global Communications
(972) 541-7115; jillian.fleming@darlingii.com
Page 14
Financial Results Q4 FY 2025 February 11, 2026 Exhibit 99.2
This presentation includes “forward-looking” statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the statements. Statements that are not statements of historical facts are forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Words such as “estimate,” “guidance,” “outlook,” “project,” “planned,” “contemplate,” “potential,” “possible,” “proposed,” “intend,” “believe,” “anticipate,” “expect,” “may,” “will,” “would,” “should,” “could,” and similar expressions are intended to identify forward-looking statements. All statements other than statements of historical facts included in this presentation are forward-looking statements. Forward-looking statements are based on the Company's current expectations and assumptions regarding its business, the economy and other future conditions. The Company cautions readers that any such forward-looking statements it makes are not guarantees of future performance and that actual results may differ materially from anticipated results or expectations expressed in its forward-looking statements as a result of a variety of factors, including many that are beyond the Company's control. Important factors that could cause actual results to differ materially from the Company’s expectations include: existing and unknown future limitations on the ability of the Company's direct and indirect subsidiaries to make their cash flow available to the Company for payments on the Company's indebtedness or other purposes; reduced demands or prices for biofuels, biogases or renewable electricity; global demands for grain and oilseed commodities, which have exhibited volatility, and can impact the cost of feed for cattle, hogs and poultry, thus affecting available rendering feedstock and selling prices for the Company’s products; reductions in raw material volumes available to the Company due to weak margins in the meat production industry as a result of higher feed costs, reduced consumer demand, reduced volume due to government regulations affecting animal production or other factors, reduced volume from food service establishments, or otherwise; reduced demand for animal feed; reduced finished product prices, including a decline in fat, used cooking oil, protein or collagen (including, without limitation, collagen peptides and gelatin) finished product prices; changes to government policies around the world relating to renewable fuels and greenhouse gas (“GHG”) emissions that adversely affect prices, margins or markets (including for the DGD Joint Venture), including programs like renewable fuel standards, low carbon fuel standards, renewable fuel mandates and tax credits for biofuels, or loss or diminishment of tax credits due to failure to satisfy any eligibility requirements, including, without limitation, in relation to the blenders tax credit or the Clean Fuels Production Credit (“CFPC”); climate related adverse results, including with respect to the Company’s climate goals, targets or commitments; possible product recall resulting from developments relating to the discovery of unauthorized adulterations to food or food additives or products which do not meet specifications, contract requirements or regulatory standards; the occurrence of 2009 H1N1 flu (initially known as “Swine Flu”), highly pathogenic strains of avian influenza (collectively known as “Bird Flu”), severe acute respiratory syndrome (“SARS”), bovine spongiform encephalopathy (or “BSE”), porcine epidemic diarrhea (“PED”) or other diseases associated with animal origin in the U.S. or elsewhere, such as the outbreak of African Swine Fever in China and elsewhere; the occurrence of pandemics, epidemics or disease outbreaks, such as the COVID-19 outbreak; unanticipated costs and/or reductions in raw material volumes related to the Company’s compliance with the existing or unforeseen new U.S. or foreign (including, without limitation, China) regulations (including new or modified animal feed, Bird Flu, SARS, PED, BSE or ASF or similar or unanticipated regulations) affecting the industries in which the Company operates or its value added products; risks associated with the DGD Joint Venture, including possible unanticipated operating disruptions and/or a decline in margins on the products produced by the DGD Joint Venture; risks and uncertainties relating to international sales and operations, including imposition of tariffs, quotas, trade barriers and other trade protections by the U.S. or foreign countries; tax changes, such as global minimum tax measures, or issues related to administration, guidance and/or regulations associated with biofuel policies, including CFPC, and risks associated with the qualification and sale of such credits; difficulties or a significant disruption (including, without limitation, due to cyber-attack) in the Company’s information systems, networks or the confidentiality, availability or integrity of our data or failure to implement new systems and software successfully; risks relating to possible third-party claims of intellectual property infringement; increased contributions to the Company’s pension and benefit plans, including multiemployer and employer-sponsored defined benefit pension plans as required by legislation, regulation or other applicable U.S. or foreign law or resulting from a U.S. mass withdrawal event; bad debt write-offs; loss of or failure to obtain necessary permits and registrations; the potential for future terrorist attacks, responses to terrorist attacks and other acts of war or hostility, including the ongoing conflicts in the Middle East, Africa, North Korea and Ukraine; uncertainty regarding any administration changes in the U.S. or elsewhere around the world, including, without limitation, impacts to trade, tariffs and/or policies impacting the Company (such as biofuel policies and mandates); and/or unfavorable export or import markets. These factors, coupled with volatile prices for natural gas and diesel fuel, inflation rates, climate conditions, currency exchange fluctuations, general performance of the U.S. and global economies, disturbances in world financial, credit, commodities and stock markets, and any decline in consumer confidence and discretionary spending, including the inability of consumers and companies to obtain credit due to lack of liquidity in the financial markets, among others, could cause actual results to vary materially from the forward-looking statements included in this report or negatively impact the Company’s results of operations. Among other things, future profitability may be affected by the Company’s ability to grow its business, which faces competition from companies that may have substantially greater resources than the Company. The Company’s announced share repurchase program may be suspended or discontinued at any time and purchases of shares under the program are subject to market conditions and other factors, which are likely to change from time to time. For more detailed discussion of these factors and other risks and uncertainties regarding the Company, its business and the industries in which it operates, see the Company’s filings with the SEC, including the Risk Factors discussion in Item 1A of Part I of the Company's Annual Report on Form 10-K for the fiscal year ended December 28, 2024. The Company cautions readers that all forward-looking statements speak only as of the date made, and the Company undertakes no obligation to update any forward-looking statements, whether as a result of changes in circumstances, new events or otherwise.
Q4 2025 Earnings 3 * Unaudited (1) Includes Darling’s share of DGD EBITDA (2) Per Bank Covenant As of As of 1/3/2026* 12/28/2024 Cash and cash equivalents $ 89 $ 76 Revolver availability $ 1,324 $ 1,160 Total debt $ 3,937 $ 4,042 Net debt $ 3,849 $ 3,966 Preliminary leverage ratio (2) 2.90X 3.93X Balance Sheet In millions, except ratio data • The company strategically realigned its portfolio of businesses in Q4 2025, resulting in restructuring and asset impairment charges of $58 million. • Year-over-year SG&A changes primarily relate to incentive compensation. In millions, except per share Q4-2025* Q4-2024* % variance FY 2025* FY 2024 % variance Total Net Sales $1,709.8 $1,417.7 20.6% $6,135.9 $5,715.2 7.4% Gross Margin $429.2 $333.8 28.6% $1,473.5 $1,277.8 15.3% Gross Margin % 25.1% 23.5% 6.8% 24.0% 22.4% 7.1% Net Income $56.9 $101.9 (44.2%) $62.8 $278.9 (77.5%) EPS Diluted $0.35 $0.63 (44.4%) $0.39 $1.73 (77.5%) Combined Adjusted EBITDA In millions Feed $193.4 $150.0 28.9% $613.9 $511.1 20.1% Food $82.4 $64.0 28.8% $294.9 $255.9 15.2% Fuel (1) $85.1 $84.3 0.9% $192.2 $373.9 (48.6%) Corporate ($24.7) ($8.9) 177.5% ($74.6) ($61.0) 22.3% Total combined adjusted EBITDA $336.1 $289.5 16.1% $1,026.4 $1,079.8 (4.9%) % varianceQ4-2025* Q4-2024* % variance FY 2025* FY 2024
Combined Adjusted EBITDA (in millions, unaudited) 4 $165.0 $197.0 $197.6 $230.3 $189.7 $205.9 $247.8 $278.2 $115.1 $76.6 $39.1 $59.2 $6.0 $42.6 $(2.9) $57.9 -10 40 90 140 190 240 290 340 1Q24 2Q24 3Q24 4Q24 1Q25 2Q25 3Q25 4Q25 Combined Adjusted EBITDA Global Ingredients DGD $249.5 53.6% 22.8% 23.6% Q4 2025 % of Total Combined Adjusted EBITDA by Segment Feed Food Fuel $280.1 $273.6 $236.7 $289.5 $195.8 $244.9 $336.1
Feed Segment 5 *Unaudited • 53-week fiscal year drove higher sales, volumes and EBITDA. • Exceptional operational execution drove meaningful margin expansion • Q4 benefited from forward fat sales; Q1 will be modestly lower but anticipate improving fat prices with RVO clarity. • Restructuring and impairment charges primarily related to strategic realignment of Enviroflight and wet pet operations to enhance long-term profitability. • Export protein trade flows continue to adjust to tariff conditions. • Q4 deferred sales to DGD were minimal. US $ (in thousands) Q4 2025* Q4 2024* FY 2025* FY 2024 Total Net sales $ 1,128,158 $ 924,157 $ 3,990,088 $ 3,675,609 Cost of sales and operating expenses 850,841 714,843 3,066,243 2,886,125 Gross margin 277,317 209,314 923,845 789,484 Loss/(gain) on sale of assets (196) (1,210) 879 (669) Selling, general and administrative expenses 84,139 60,497 309,112 279,095 Restructuring and asset impairment charges 32,120 3,671 32,120 3,671 Change in fair value of contingent consideration — (4,491) 18,024 (46,706) Depreciation and amortization 97,363 90,648 348,502 350,141 Segment operating income $ 63,891 $ 60,199 $ 215,208 $ 203,952 Equity in net income of other unconsolidated subsidiaries 4,328 2,885 12,759 11,994 Segment income $ 68,219 $ 63,084 $ 227,967 $ 215,946 Segment adjusted EBITDA $ 193,374 $ 150,027 $ 613,854 $ 511,058 DGD adjusted EBITDA (Darling's Share) (Non-GAAP) — — — Combined segment adjusted EBITDA (Non-GAAP) $ 193,374 $ 150,027 $ 613,854 $ 511,058 Raw material processed (mmts) 3.4 3.1 12.7 12.5
Feed Segment Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA 6 *Unaudited ** When presented by Segment, no adjustments are necessary to reconcile Segment Income to Net Income/(Loss) for the Feed Segment. US $ (in thousands) Q4 2025* Q4 2024* FY 2025* FY 2024 Segment income** 68,219$ 63,084$ 227,967$ 215,946$ Restructuring and asset impairment charges 32,120$ 3,671$ $ 32,120 $ 3,671 Change in fair value of contingent consideration — (4,491) 18,024 (46,706) Depreciation and amortization 97,363 90,648 348,502 350,141 Equity in net income of other unconsolidated subsidiaries (4,328) (2,885) (12,759) (11,994) Segment Adjusted EBITDA (Non-GAAP) $ 193,374 $ 150,027 $ 613,854 $ 511,058
Food Segment 7 *Unaudited • Collagen and gelatin demand continues to strengthen. • Quarter-over-quarter and year-over-year volume increases primarily driven by extra week in the 53-week fiscal year. • Restructuring and impairment charges primarily related to realignment of CTH natural casings business. • Planned joint venture with PB Leiner continues to advance with regulatory reviews and workstreams progressing • Positive demand trends support an encouraging outlook for 2026. US $ (in thousands) Q4 2025* Q4 2024* FY 2025* FY 2024 Total Net sales $ 429,074 $ 361,686 $1,545,030 $ 1,489,101 Cost of sales and operating expenses 312,213 268,582 1,116,978 1,115,348 Gross margin 116,861 93,104 428,052 373,753 Gain on sale of assets (651) (1,550) (685) (1,758) Selling, general and administrative expenses 35,100 30,665 133,809 119,604 Restructuring and asset impairment charges 25,840 2,123 25,840 2,123 Depreciation and amortization 30,506 26,119 117,298 109,102 Segment operating income $ 26,066 $ 35,747 $ 151,790 $ 144,682 Segment income $ 26,066 $ 35,747 $ 151,790 $ 144,682 Segment adjusted EBITDA $ 82,412 $ 63,989 $ 294,928 $ 255,907 Combined segment adjusted EBITDA (Non-GAAP) $ 82,412 $ 63,989 $ 294,928 $ 255,907 Raw material processed (mmts) 0.35 0.32 1.31 1.20
Food Segment Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA 8 *Unaudited ** When presented by Segment, no adjustments are necessary to reconcile Segment Income to Net Income/(Loss) for the Food Segment. US $ (in thousands) Q4 2025* Q4 2024* FY 2025* FY 2024 Segment income** 26,066$ 35,747$ 151,790$ 144,682$ Restructuring and assset impairment charges 25,840$ 2,123$ 25,840$ 2,123$ Depreciation and amortization 30,506 26,119 117,298 109,102 Segment Adjusted EBITDA (Non-GAAP) $ 82,412 $ 63,989 $ 294,928 $ 255,907
Fuel Segment 9 • Non-DGD fuel business continues to deliver stable, dependable performance. • DGD 1 back online in Q4. • $285 million in PTC sales as of YE • Q4 DGD results include an unfavorable LCM inventory valuation adjustment of ~$24 million. • FY 2025 DGD results included a favorable LCM inventory valuation adjustment of ~$140 million. • $367.7 million in distributions for FY 2025 • Contributions to DGD: – $87.5 million Q4 2025, $328.2 million YTD 2025 • Q1 2026 Est ~260 million gallons • Market for PTC sales is maturing; expect to continue to monetize at similar levels *Unaudited US $ (in thousands) Q4 2025* Q4 2024* FY 2025* FY 2024 Total Net sales $ 152,567 $ 131,850 $ 600,759 $ 550,465 Cost of sales and operating expenses 117,564 100,506 479,198 435,864 Gross margin 35,003 31,344 121,561 114,601 Gain on sale of assets (132) (1,296) (534) (1,730) Selling, general and administrative expenses 7,970 7,459 33,615 32,370 Depreciation and amortization 9,874 9,189 36,355 35,876 Equity in net income/(loss) of Diamond Green Diesel 21,597 24,036 (48,770) 149,082 Segment operating income $ 38,888 $ 40,028 $ 3,355 $ 197,167 Segment income $ 38,888 $ 40,028 $ 3,355 $ 197,167 Segment adjusted EBITDA $ 27,165 $ 25,181 $ 88,480 $ 83,961 DGD adjusted EBITDA (Darling's Share) (Non-GAAP) 57,917 59,159 103,716 289,945 Combined segment adjusted EBITDA (Non-GAAP) $ 85,082 $ 84,340 $ 192,196 $ 373,906 Raw material processed (mmts) 0.39 0.39 1.45 1.50
Fuel Segment 10 *Unaudited ** When presented by Segment, no adjustments are necessary to reconcile Segment Income/(Loss) to Net Income/(Loss) for the Fuel Segment. Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA Reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA US $ (in thousands) Q4 2025* Q4 2024* FY 2025* FY 2024 Segment income** 38,888$ 40,028$ 3,355$ 197,167$ Depreciation and amortization 9,874 9,189 36,355 35,876 Equity in net (income)/loss of Diamond Green Diesel (21,597) (24,036) 48,770 (149,082) Segment Adjusted EBITDA (Non-GAAP) $ 27,165 $ 25,181 $ 88,480 $ 83,961 US $ (in thousands) Q4 2025* Q4 2024* FY 2025* FY 2024 Net income/(loss) 55,080$ $ 48,072 $ (68,455) $ 298,164 Income tax expense/(benefit) (299) 233 1,066 175 Interest and debt expense, net 12,268 8,301 46,340 38,673 Other income (1,817) (7,778) (9,321) (22,114) Operating income/(loss) 65,232 48,828 (30,370) 314,898 Depreciation, amortization and accretion expense 62,488 69,489 266,887 264,992 DGD Adjusted EBITDA (Non-GAAP) 127,720 118,317 236,517 579,890 Less: Discount and Broker Fees (11,887) — (29,086) — DGD Adjusted EBITDA (Non-GAAP) after Discount and Broker Fees 115,833$ $ 118,317 $ 207,431 $ 579,890 Darling's Share 50% 50 % 50 % 50 % 50 % DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) $ 57,917 $ 59,159 $ 103,716 $ 289,945 Fuel Segment Combined Adjusted EBITDA (Non-GAAP) Segment Adjusted EBITDA (Non-GAAP) $ 27,165 $ 25,181 $ 88,480 $ 83,961 DGD Adjusted EBITDA (Darling's Share ) (Non-GAAP) 57,917 59,159 103,716 289,945 Combined Adjusted EBITDA (Non-GAAP) $ 85,082 $ 84,340 $ 192,196 $ 373,906
$0.00 $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $3.50 $0.00 $0.10 $0.20 $0.30 $0.40 $0.50 $0.60 $0.70 Quarterly Avg. Prices D4 RINs (1.7 Multiple) & Yellow Grease - IL D4 RINs (x 1.7) (Right Axis) Yellow Grease - Illinois (Left Axis) $/lb Fuel Segment 11 Diamond Green Diesel (unaudited) YTD 2024FY 2025Q4 2024Q4 2025US $ and gallons (in millions) $289.9$103.7$59.2$57.9Pro forma Adjusted EBITDA (Darling’s share) 1,252.61,016.6290.9302.9Total gallons produced 1,252.31,003.0292.8285.3Total gallons sold/shipped $0.40$0.21$0.81$0.41EBITDA per gallon sold/shipped* *after broker and discount fees
Appendix
• Significant RIN oversupply in 2025 due to 2023 – 2025 SREs + Est. Carryforward deficits, despite lower total BBD production in 2025 o ~3.1B gal domestic RD+SAF o ~1.1B gal domestic BD • 50% reallocation of SREs in 2026 & 2027 absorbs 100% of RIN surplus by end 2026, likely leads to incremental increase in feedstock and farm product prices in 2026 and significant increase in 2027 • 100% reallocation of SREs in 2026 & 2027 would require significantly more BBD production in 2026, likely significant increase to feedstock and farm product prices in both 2026 & 2027 • Imports of RD/SAF & BD represented as relatively low: margins would likely need to improve for that to change 2025 – 2027 RVO / RIN S&D 13 BBD margins would NEED to improve to reach either scenario’s levels of production: >1 billion additional annual gallons needed to satisfy 2026 & 2027 RVOs, depending on whether SRE reallocations are 50% or 100% Scenarios based on EPA data & proposals 2025 data based on EPA statistics 2026 & 2027 assumes run-rate from Q4 2025 actuals & 5.25 billion gallon non-cellulosic RVO 2025 2026 2027 billion RINs Beginning RIN Bank 0.30 2.14 -0.78 SREs 2022 + Prior 0.95 0.95 0.95 2023 0.89 0.89 0.89 2024 0.94 0.94 0.94 2025 1.19 1.19 1.19 2026 0.70 0.70 2027 0.70 =Adj. Beginning RIN Bank 4.27 6.81 4.59 Mandates + Exports (Demand) Conventional -15.89 -15.00 -15.00 Non Cellulosic Advanced -6.50 -8.24 -8.24 Exports -1.55 -1.55 -1.55 Other Retirements -0.25 -0.25 -0.25 Annual Mandated RINS -24.19 -25.04 -25.04 SRE Reallocation 0.00 -0.68 -0.35 % Reallocation 0% 50% 50% RIN Generation (Supply) Ethanol 14.66 14.80 14.80 Biodiesel Dom 1.66 1.60 1.60 RD Dom 4.85 4.91 4.91 SAF Dom 0.38 0.67 0.67 Biodiesel Imp 0.05 0.10 0.10 RD+SAF Imp 0.25 0.46 0.46 Other Advanced 0.21 0.26 0.26 =Total Generation 22.06 22.80 22.80 Ending RIN Bank: 2.14 -0.10 -3.020944 w/50% Reallocation (0.78) (3.37) w/100% Reallocation (1.46) (4.21)
$0.00 $0.50 $1.00 $1.50 $2.00 $2.50 2021 2022 2023 2024 2025 Biofuel RIN Values ($/RIN) Source: Argus D4 - Biomass-based diesel D6 - Ethanol $0 $50 $100 $150 $200 Monthly Average LCFS Carbon Credit Price (USD/MT) California LCFS and RIN Value History 14
Feed Segment – Historical (unaudited) 15 US$ (in millions) Q1-2024 Q2-2024 Q3-2024 Q4-2024 Total 2024 Q1-2025 Q2-2025 Q3-2025 Q4-2025 Total 2025 Total Net Sales $ 889.8 $ 934.1 $ 927.5 $ 924.2 $ 3,675.6 $ 896.3 $ 936.5 $ 1,029.1 $ 1,128.2 $ 3,990.1 Gross Margin 184.1 196.3 199.8 209.3 789.5 182.3 214.5 249.8 277.3 923.8 Gross Margin % 20.7% 21.0% 21.5% 22.6% 21.5% 20.3% 22.9% 24.3% 24.6% 23.2% Loss (Gain) on sale of assets 0.1 0.2 0.2 (1.2) (0.7) 0.1 1.1 (0.1) (0.2) 0.9 SG&A 77.1 74 67.4 60.5 279.1 71.6 77.5 75.9 84.1 309.1 SG&A Margin % 8.7% 7.9% 7.3% 6.5% 7.6% 8.0% 8.3% 7.4% 7.5% 7.7% Operating Income 44.5 68.7 30.5 60.2 204.0 21.0 39.9 90.4 63.9 215.2 Segment Adjusted EBITDA $ 106.8 $ 122.1 $ 132.2 $ 150.0 $ 511.1 $ 110.6 $ 135.9 $ 174.0 $ 193.4 $ 613.9 Raw Material Processed (mmts) 3.1 3.1 3.1 3.1 12.5 3.1 3.1 3.2 3.4 12.7
Feed Segment Sales (unaudited) 16 US $ (in millions) Fats Proteins Other Total Rendering Used Cooking Oils Bakery Other Total Net sales three months ended December 28, 331.0$ 364.9$ 67.7$ 763.6$ 97.7$ 49.4$ 13.4$ 924.1$ Increase/(decrease) in sales volumes 41.0 47.2 88.2 7.1 (4.3) 91.0 Increase/(decrease) in finished goods prices 56.2 (27.1) 29.1 50.7 1.2 81.0 Increase/(decrease) in currency exchange rates 7.9 7.4 6.2 21.5 (0.1) 21.4 Other change 11.9 11.9 (1.3) 10.6 Total change 105.1 27.5 18.1 150.7 57.7 (3.1) (1.3) 204.0 Net sales three months ended January 3, 202 436.1$ 392.4$ 85.8$ 914.3$ 155.4$ 46.3$ 12.1$ 1,128.1$ Fats Proteins Other Total Rendering Used Cooking Oils Bakery Other Total Net sales year ended December 28, 2024 1,303.8$ 1,484.6$ 293.6$ 3,082.0$ 351.3$ 190.5$ 51.8$ 3,675.6$ Increase/(decrease) in sales volumes 40.0 44.9 - 84.9 6.8 (9.5) - 82.2 Increase/(decrease) in finished goods prices 239.5 (135.5) - 104.0 88.1 14.4 - 206.5 Increase/(decrease) in currency exchange rates 12.8 15.4 8.6 36.8 (0.7) - - 36.1 Other change - - (6.5) (6.5) - - (3.8) (10.3) Total change 292.3 (75.2) 2.1 219.2 94.2 4.9 (3.8) 314.5 Net sales year ended January 3, 2026 1,596.1$ 1,409.4$ 295.7$ 3,301.2$ 445.5$ 195.4$ 48.0$ 3,990.1$
Food Segment – Historical (unaudited) 17 US$ (in millions) Q1-2024 Q2-2024 Q3-2024 Q4-2024 Total 2024 Q1-2025 Q2-2025 Q3-2025 Q4-2025 Total 2025 Total Net Sales $ 391.3 $ 378.8 $ 357.3 $ 361.7 $ 1,489.1 $ 349.2 $ 386.1 $ 380.6 $ 429.1 $ 1,545.0 Gross Margin 93.1 102.1 85.4 93.1 373.8 102.5 103.9 104.8 116.9 428.1 Gross Margin % 23.8% 26.9% 23.9% 25.7% 25.1% 29.3% 26.9% 27.5% 27.2% 27.7% Loss (gain) on sale of assets (0.3) 0.0 0.0 (1.6) (1.8) 0.1 0.0 0.0 (0.7) (0.7) SG&A 31.7 28.8 28.4 30.7 119.6 29.6 34 33.3 35.1 133.8 SG&A Margin % 8.1% 7.6% 7.9% 8.5% 8.0% 8.5% 8.8% 8.7% 8.2% 8.7% Operating Income 32.8 45.8 30.3 35.7 144.7 41.4 42.6 41.8 26.1 151.8 Segment Adjusted EBITDA 61.7 73.2 57.0 64.0 255.9 70.9 69.9 71.6 82.4 294.9 Raw Material Processed (mmts) 0.30 0.30 0.31 0.32 1.23 0.33 0.32 0.31 0.35 1.32
Fuel Segment – Historical (unaudited) 18 (1) Includes Fuel Segment base EBITDA and Darling's share of DGD EBITDA. (2) Excludes feed stock (raw material) processed at the DGD joint venture. US$ (in millions) Q1-2024 Q2-2024 Q3-2024 Q4-2024 Total 2024 Q1-2025 Q2-2025 Q3-2025 Q4-2025 Total 2025 Total Net Sales $ 139.2 $ 142.3 $ 137.1 $ 131.9 $ 550.5 $ 135.1 $ 158.8 $ 154.2 $ 152.6 $ 600.8 Gross Margin 26.4 28.5 28.3 31.3 114.6 26.6 27.6 32.3 35.0 121.6 Gross Margin % 19.0% 20.0% 20.7% 23.8% 20.8% 19.7% 17.3% 20.9% 22.9% 20.2% Loss (gain) on sale of assets (0.4) 0.0 0.0 (1.3) (1.7) (0.1) (0.1) (0.2) (0.1) (0.5) SG&A 8.7 8.4 7.8 7.5 32.4 8.5 9.0 8.1 8.0 33.6 Depreciation and amortization 8.7 8.7 9.3 9.2 35.9 8.6 8.8 9.1 9.9 36.4 Equity in net income/(loss) of DGD 78.4 44.2 2.4 24 149.1 (30.5) 6.0 (45.8) 21.6 (48.8) Operating Income/(Loss) 87.8 55.6 13.7 40 197.2 (20.9) 15.9 (30.5) 38.9 3.4 Segment adjusted EBITDA 18.1 20.1 20.6 25.2 84.0 18.2 18.6 24.5 27.2 88.5 DGD adjusted EBITDA (Darling's Share) 115.1 76.6 39.1 59.2 289.9 6.0 42.6 (2.9) 57.9 103.7 Combined adjusted EBITDA (1) $ 133.1 $ 96.8 $ 59.7 $ 84.3 $ 373.9 $ 24.2 $ 61.3 $ 21.6 $ 85.1 $ 192.2 Raw Material Processed (mmts) (2) 0.36 0.36 0.39 0.39 1.5 0.37 0.34 0.35 0.39 1.5
19 Historical Pricing 2025 Finished Product Pricing Feed Segment Ingredients January February March Q1 Avg. April May June Q2 Avg. July August Sept. Yellow Grease - Illinois / cwt $33.50 $34.39 $34.50 $34.13 $34.60 $36.98 $38.28 $36.63 $39.82 $40.50 $39.43 Used Cooking Oil (UCO) - Illinois / cwt $40.36 $42.50 $42.50 $41.79 $43.17 $45.50 $47.25 $45.31 $51.41 $52.50 $49.50 Bleachable Fancy Tallow - Chicago Renderer / cwt $47.95 $54.11 $51.90 $51.32 $53.31 $58.14 $60.05 $57.16 $63.14 $65.00 $60.81 Meat and Bone Meal - Ruminant - IL/ ton $280.71 $272.11 $270.00 $274.27 $270.00 $270.00 $276.00 $272.01 $285.45 $298.57 $310.00 Poultry By-Product Meal - Feed Grade - Mid South/ton $327.50 $327.50 $327.50 $327.50 $299.17 $260.00 $267.00 $275.40 $280.00 $297.14 $333.33 Poultry By-Product Meal - Pet Food - Mid South/ton $552.26 $546.71 $577.38 $558.78 $520.24 $422.62 $450.00 $464.30 $450.00 $489.29 $516.07 2025 Vegetable Oils Pricing Competing Ingredient for Feed Segment fats & biofuel feedstock January February March Q1 Avg. April May June Q2 Avg. July August Sept. Soybean Oil (crude/de-gummed) - Central Illinois / cwt $42.93 $44.67 $41.51 $43.04 $46.98 $49.11 $51.05 $49.04 $56.92 $54.80 $50.54 Soybean Oil (RBD) - Central Illinois / cwt $46.11 $47.90 $44.81 $46.27 $50.72 $52.91 $55.94 $53.19 $60.32 $56.97 $53.54 Distiller's Corn Oil - IL/WI cwt $44.08 $49.88 $47.95 $47.30 $52.57 $55.86 $58.48 $55.64 $64.25 $63.72 $58.29 2025 Cash Corn Pricing Competing Ingredient for Bakery Feeds and Fats January February March Q1 Avg. April May June Q2 Avg. July August Sept. Corn - Track Central IL #2 Yellow / bushel $4.45 $4.60 $4.30 $4.45 $4.51 $4.33 $4.17 $4.33 $3.91 $3.70 $3.87 2025 European Benchmark Pricing Palm Oi l - Competing ingredient for edible fa ts in Food Segment Soy mea l - Competing ingredient for protein meals in Feed Segment January February March Q1 Avg. April May June Q2 Avg. July August Sept. Palm oil - CIF Rotterdam / metric ton $1,331 $1,522 $1,585 $1,479 $1,373 $1,283 $1,261 $1,306 $1,280 $1,334 $1,332 Soy meal - CIF Rotterdam / metric ton $369 $373 $376 $373 $374 $361 $351 $362 $334 $345 $353 QTR. over QTR. (Sequential) Year over Year (Q4) Comparison Q3-2025 Q4-2025 % Q4-2024 Q4-2025 % Average Jacobsen Prices (USD) Avg. Avg. Change Avg. Avg. Change Yellow Grease - Illinois / cwt $39.91 $34.05 -14.7% $34.89 $34.05 -2.4% Used Cooking Oil (UCO) - Illinois / cwt $51.14 $44.44 -13.1% $37.39 $44.44 18.9% Bleachable Fancy Tallow - Chicago Renderer / cwt $63.00 $51.76 -17.8% $44.32 $51.76 16.8% Meat and Bone Meal - Ruminant - Illinois / ton $298.01 $309.39 3.8% $332.02 $309.39 -6.8% Poultry By-Product Meal - Feed Grade - Mid South / ton $303.49 $325.13 7.1% $336.80 $325.13 -3.5% Poultry By-Product Meal - Pet Food - Mid South / ton $485.11 $490.01 1.0% $589.13 $490.01 -16.8% Soybean Oil (crude/de-gummed) - Central Illinois / cwt $54.08 $48.40 -10.5% $43.32 $48.40 11.7% Soybean Oil (RBD) - Central Illinois / cwt $56.96 $52.66 -7.5% $46.69 $52.66 12.8% Distiller's Corn Oil - IL/WI per cwt $62.09 $53.97 -13.1% $43.78 $53.97 23.3% Average Wall Street Journal Prices (USD) Corn - Track Central IL #2 Yellow / bushel $3.82 $4.04 5.8% $3.94 $4.04 2.5% Average Thomson Reuters Prices (USD) Palm oil - CIF Rotterdam / metric ton $1,315 $1,293 -1.7% $1,350 $1,293 -4.2% Soy meal - CIF Rotterdam / metric ton $344 $381 10.8% $392 $381 -2.8% 2025 Average Jacobsen Prices (USD) 2025 Average Jacobsen Prices (USD) 2025 Average Wall Street Journal Prices (USD) 2025 Average Thomson Reuters Prices (USD)
20 See reconciliation of DGD Net Income (Loss) to (Non-GAAP) DGD Adjusted EBITDA within the Fuel Segment schedules. (1) The average rates for the three months ended January 3, 2026 were €1.00:$1.16, R$1.00:$0.19 and C$1.00:$0.72 as compared to the average rates for the three months ended December 28, 2024 of €1.00:$1.07, R$1.00:$0.17 and C$1.00:$0.72, respectively. (2) The average rates for the twelve months ended January 3, 2026 of €1.00:$1.13, R$1.00:$0.18 and C$1.00:$0.72 as compared to the average rates for the twelve months ended December 28, 2024 of €1.00:USD$1.08, R$1.00:$0.19 and C$1.00:$0.73, respectively. Reconciliation of Net Income to (Non-GAAP) Adjusted EBITDA to (Non-GAAP) Pro Forma Adjusted EBITDA to Foreign Currency and to (Non-GAAP) Combined Adjusted EBITDA For the Three and Twelve Months Ended January 3, 2026 and December 28, 2024 (in thousands, unaudited) Adjusted EBITDA January 3, December 28, January 3, December 28, (U.S. dollars in thousands) 2026 2024 2026 2024 (unaudited) (unaudited) (unaudited) Net income attributable to Darling $ 56,940 $ 101,908 $ 62,804 $ 278,880 Depreciation and amortization 139,543 128,158 508,504 503,825 Interest expense 55,514 54,911 222,279 253,858 Income tax benefit (11,022) (25,547) (9,359) (38,337) Restructuring and asset impairment charges 57,960 5,794 57,960 5,794 Acquisition and integration costs 4,869 2,440 15,942 7,842 Change in fair value of contingent consideration — (4,491) 18,024 (46,706) Foreign currency loss 1,402 1,669 384 1,154 Other income, net (2,999) (9,486) (468) (22,309) Loss on early retirement of debt — — 2,978 — Equity in net (income)/loss of Diamond Green Diesel (21,597) (24,036) 48,770 (149,082) Equity in net income of other unconsolidated subsidiaries (4,328) (2,885) (12,759) (11,994) Net income attributable to noncontrolling interests 1,939 1,869 7,581 6,965 Adjusted EBITDA (Non-GAAP) $ 278,221 $ 230,304 $ 922,640 $ 789,890 Foreign currency exchange impact (11,594) (1) — (20,420) (2) — Pro forma Adjusted EBITDA to Foreign Currency (Non-GAAP) $ 266,627 $ 230,304 $ 902,220 $ 789,890 DGD Adjusted EBITDA (Darling's share) (Non-GAAP)* $ 57,917 $ 59,159 $ 103,716 $ 289,945 Combined Adjusted EBITDA (Non-GAAP) $ 336,138 $ 289,463 $ 1,026,356 $ 1,079,835 Three Months Ended Twelve Months Ended
Non-U.S. GAAP Measures Segment Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income/(loss), as a measure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an alternative to net income (loss), but rather as a measure of the segment’s operating performance. Segment Adjusted EBITDA consists of net income/(loss) plus depreciation and amortization, restructuring and asset impairment charges, acquisition and integration costs, change in fair value of contingent consideration, foreign currency loss/(gain), net income/(loss) attributable to noncontrolling interests, interest expense, income tax provision, other income/(expense), equity in net (income)/loss of unconsolidated subsidiaries and equity in net (income)/loss of Diamond Green Diesel. Management believes that Segment Adjusted EBITDA is useful in evaluating the segment’s operating performance because the calculation of Segment Adjusted EBITDA generally eliminates non-cash and certain other items for reasons unrelated to overall operating performance and also believes this information is useful to investors. Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an alternative to net income, but rather as a measure of the Company's operating performance. Since EBITDA (generally, net income plus interest expense, taxes, depreciation and amortization) is not calculated identically by all companies, the presentation in this report may not be comparable to EBITDA or Adjusted EBITDA presentations disclosed by other companies. Adjusted EBITDA is calculated above and represents for any relevant period, net income/(loss) plus depreciation and amortization, restructuring and asset impairment charges, acquisition and integration costs, change in fair value of contingent consideration, foreign currency loss/(gain), net income/(loss) attributable to non-controlling interests, interest expense, income tax provision, other income/(expense) and equity in net (income)/loss of unconsolidated subsidiaries. Management believes that Adjusted EBITDA is useful in evaluating the Company's operating performance compared to that of other companies in its industry because the calculation of Adjusted EBITDA generally eliminates the effects of financing, income taxes, non-cash and certain other items that may vary for different companies for reasons unrelated to overall operating performance and also believes this information is useful to investors. The Company’s management uses Adjusted EBITDA as a measure to evaluate performance and for other discretionary purposes. In addition to the foregoing, management also uses or will use Adjusted EBITDA to measure compliance with certain financial covenants under the Company’s Senior Secured Credit Facilities, 6% Notes, 5.25% Notes and 4.5% Notes that were outstanding at January 3, 2026. However, the amounts shown above for Adjusted EBITDA differ from the amounts calculated under similarly titled definitions in the Company’s Senior Secured Credit Facilities, 6% Notes, 5.25% Notes and 4.5% Notes, as those definitions permit further adjustments to reflect certain other nonrecurring costs, non-cash charges and cash dividends from the DGD Joint Venture. Additionally, the Company evaluates the impact of foreign exchange on operating cash flow, which is defined as segment operating income (loss) plus depreciation and amortization. Pro forma Adjusted EBITDA to Foreign Currency is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an alternative to net income, but rather as a measure of the Company's operating performance. Management believes Pro forma Adjusted EBITDA to Foreign Currency is useful in evaluating the Company’s operating performance on a constant currency basis and also believes this information is useful to investors.
Non-U.S. GAAP Measures Combined Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an alternative to net income, but rather as a measure of the Company’s operating performance. Combined Adjusted EBITDA consists of Adjusted EBITDA plus DGD Adjusted EBITDA (Darling’s Share). When Combined Adjusted EBITDA is presented by segment, Combined Adjusted EBITDA consists of Segment Adjusted EBITDA plus DGD Adjusted EBITDA (Darling’s Share). Management believes that Combined Adjusted EBITDA is useful in evaluating the Company's operating performance compared to that of other companies in its industry because the calculation of Combined Adjusted EBITDA generally eliminates the effects of financing, income taxes, non-cash and certain other items that may vary for different companies for reasons unrelated to overall operating performance and also believes this information is useful to investors. DGD Adjusted EBITDA is not reflected in the Adjusted EBITDA or the Pro forma Adjusted EBITDA to Foreign Currency. DGD Adjusted EBITDA is not a recognized accounting measure under GAAP; it should not be considered as an alternative to net income/(loss) or equity in net income/(loss) of Diamond Green Diesel, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity and is not intended to be a presentation in accordance with GAAP. The Company calculates DGD Adjusted EBITDA by taking DGD’s net income/(loss) plus income tax expense/(benefit), interest and debt expense, net, and DGD’s depreciation, amortization and accretion expense less other income. Management believes that DGD Adjusted EBITDA is useful in evaluating the Company’s operating performance because the calculation of DGD Adjusted EBITDA generally eliminates non-cash and certain other items at DGD unrelated to overall operating performance and also believes this information is useful to investors. The Company calculates Darling’s Share of DGD Adjusted EBITDA by taking DGD Adjusted EBITDA, net of discount and broker fees, and then multiplying by 50% to get Darling’s Share of DGD’s Adjusted EBITDA. Adjusted EBITDA per gallon is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income or equity in income of Diamond Green Diesel, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity and is not intended to be a presentation in accordance with GAAP. Adjusted EBITDA per gallon is presented here not as an alternative to net income or equity in income of Diamond Green Diesel, but rather as a measure of Diamond Green Diesel's operating performance. Since Adjusted EBITDA per gallon (generally, net income plus interest expense, taxes, depreciation and amortization divided by total gallons sold) is not calculated identically by all companies, this presentation may not be comparable to Adjusted EBITDA per gallon presentations disclosed by other companies. Management believes that Adjusted EBITDA per gallon is useful in evaluating Diamond Green Diesel's operating performance compared to that of other companies in its industry because the calculation of Adjusted EBITDA per gallon generally eliminates the effects of financing, income taxes and non-cash and certain other items presented on a per gallon basis that may vary for different companies for reasons unrelated to overall operating performance.
Financial Results Q4 FY 2025 February 11, 2026
FAQ
How did Darling Ingredients (DAR) perform financially in Q4 2025?
Darling Ingredients generated Q4 2025 net income of $56.9 million, or $0.35 per diluted share, down from $101.9 million a year earlier. Total net sales increased to $1.7 billion from $1.4 billion, and Combined Adjusted EBITDA rose to $336.1 million from $289.5 million.
What were Darling Ingredients’ full-year 2025 results?
For fiscal 2025, Darling Ingredients reported net income of $62.8 million, or $0.39 per diluted share, versus $278.9 million, or $1.73, in 2024. Total net sales grew to $6.1 billion from $5.7 billion, while Combined Adjusted EBITDA slipped to $1.03 billion from $1.08 billion.
How did the Diamond Green Diesel joint venture affect Darling Ingredients in 2025?
Darling’s share of Diamond Green Diesel Adjusted EBITDA fell to $103.7 million in 2025 from $289.9 million in 2024. DGD sold 1.003 billion gallons in 2025 at an average $0.21 Adjusted EBITDA per gallon, down from stronger profitability the year before.
What restructuring charges did Darling Ingredients record in Q4 2025?
In Q4 2025, Darling Ingredients recognized $58.0 million of restructuring and asset impairment charges. These were primarily related to Enviroflight and the CTH natural casing businesses as the company realigned its portfolio to emphasize core operations and long-term profitability.
How strong is Darling Ingredients’ balance sheet and liquidity at year-end 2025?
As of January 3, 2026, Darling held $88.7 million in cash and had $1.32 billion available under its revolving credit agreement. Total debt was $3.94 billion, and the company reported a preliminary bank leverage ratio of 2.90X, reflecting meaningful deleveraging.
What guidance did Darling Ingredients provide for early 2026?
Darling Ingredients indicated it will guide only for its core ingredients business, excluding Diamond Green Diesel. For first quarter 2026, the company estimates core ingredients adjusted EBITDA at approximately $240–$250 million, giving investors a benchmark for near-term operating performance.
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