Darling Ingredients Reports Strong Q1 2026 Results with Significant Profit Turnaround and Doubled Adjusted EBITDA

summarizeSummary

Darling Ingredients reported a strong first quarter, swinging to a net income of $134.3 million from a prior-year loss and more than doubling its Adjusted EBITDA to $406.8 million, driven by robust sales and improved DGD performance.

check_boxKey Events

• Significant Profit Turnaround

  Net income for Q1 2026 was $134.3 million ($0.83 diluted EPS), a substantial improvement from a net loss of $(26.2) million ($(0.16) diluted EPS) in Q1 2025.

• Adjusted EBITDA More Than Doubled

  Combined Adjusted EBITDA surged to $406.8 million in Q1 2026, up from $195.8 million in Q1 2025, reflecting strong operational performance.

• Increased Total Net Sales

  Total net sales rose to $1.6 billion in Q1 2026, compared to $1.4 billion in the same period last year.

• Diamond Green Diesel (DGD) Performance Boost

  Darling's share of DGD Adjusted EBITDA dramatically increased to $151.17 million in Q1 2026 from $6.035 million in Q1 2025, with EBITDA per gallon sold/shipped at $1.11.

auto_awesomeAnalysis

Darling Ingredients delivered exceptionally strong first-quarter results, marking a significant turnaround from a net loss in the prior year to a substantial net income. The company's total net sales increased, and its Combined Adjusted EBITDA more than doubled, driven by robust performance across all segments, particularly the Fuel segment's Diamond Green Diesel (DGD) joint venture. The DGD segment's EBITDA per gallon sold/shipped saw a dramatic increase, indicating improved renewable fuel margins. This strong financial performance, coupled with positive Q2 guidance for its core ingredients business, suggests a clear inflection point in the company's earning power and reinforces its operational resilience.