Renewable Energy Group’s net profit sinks 94.3% in Q3

Nov 5, 2014 - US biodiesel producer Renewable Energy Group Inc (NASDAQ:REGI), or REG, on Tuesday reported a third-quarter attributable net profit of USD 4.5 million (EUR 3.6m), plunging 94.3% in annual terms.

This translates into diluted earnings per share (EPS) of USD 0.11, down from USD 2.31 in the year-ago period. REG explained in its statement that its results in the third quarter of 2013 were positively affected by tax benefits of USD 42.1 million.

The US firm saw its operating profit shrink to USD 6 million from USD 45.2 million, while adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) fell by 77.7% to USD 10.9 million.

In the meantime, revenues marked a 16.2% year-on-year drop in the three months to USD 384.3 million, dragged down by lower average biodiesel selling prices and decreased prices of Renewable Identification Numbers (RINs). REG boosted its biodiesel output in July-September by 12.3% to 63.8 million gallons (242 million litres) and improved sales by 14.4% to 88.8 million gallons.

(USD 1.0 = EUR 0.796)

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