Alto Extends Profit Streak to a Fourth Quarter

The Tip Desk · August 5, 2026 · 3 min read

Second-quarter net income attributable to common stockholders was $11.4 million, or $0.15 a share, after a $1.9 million gross loss a year earlier.

Alto Ingredients, Inc. (ALTO), a producer and distributor of renewable fuels, essential ingredients and specialty alcohols, reported net income attributable to common stockholders of $11.4 million, or $0.15 a share, for the quarter ended June 30, 2026, compared with a net loss of $11.3 million, or $0.15 a share, a year earlier.

Gross profit was $16.6 million, versus a $1.9 million gross loss in the year-ago quarter. Adjusted EBITDA was $23.7 million, up $23.9 million from negative $0.2 million. President and Chief Executive Officer Bryon McGregor said the quarter marked the fourth consecutive period of positive gross profit, income from operations, net income and adjusted EBITDA, and that the company had remained profitable before earnings from 45Z tax credits.

Net sales were $245.7 million, compared with $218.4 million a year earlier. Cost of goods sold was $229.1 million. Selling, general and administrative expenses were $8.0 million. Interest expense was $2.0 million. Transferable tax credits, net, were $5.1 million in the quarter.

The Pekin Campus production segment carried the year-over-year sales gain. Pekin Campus net sales were $159.7 million, up from $133.9 million a year earlier, and segment gross profit was $11.5 million, versus a $5.8 million loss. Western production net sales were $30.1 million, with gross profit of $2.1 million. Marketing and distribution net sales were $57.2 million, with gross profit of $3.8 million.

Renewable fuel gallons sold and the average sales price moved in opposite directions. Total renewable fuel gallons sold were 65.0 million, down from 66.8 million a year earlier, as third-party renewable fuel gallons sold fell to 24.0 million from 29.7 million. Specialty alcohol gallons sold were 23.5 million. Average sales price per gallon was $2.15. Total alcohol production gallons were 60.8 million. Average corn cost per bushel was $4.73. PLATTS ethanol price per gallon was $1.92, and board corn crush per gallon was $0.33. Consolidated essential ingredients return was 51.6%.

Cash and cash equivalents were $24.0 million at June 30, 2026. Borrowing availability was $106 million, including $41 million under the operating line of credit and $65 million under the term loan facility.

Chief Financial Officer Rob Olander said the company established a $50 million at-the-market equity program. He said that, alongside available borrowing capacity and operating cash flow, the program provides additional financial flexibility and a low-cost tool to access equity capital, and that any use would be disciplined and evaluated against other sources of capital.

McGregor said the company has initiatives in process and ahead of it to expand capacity, optimize CO2 production, improve efficiencies and increase earnings from 45Z tax credits. He said the second-quarter and latest 12-month results, combined with the ability to execute on high-return opportunities, reinforce confidence in Alto’s ability to generate sustainable earnings.