LanzaTech Global 2025 Q3 Earnings Strong Turnaround with 105% Net Income Surge

LanzaTech Global (LNZA) reported a significant earnings turnaround in Q3 2025, transitioning from a $57.4M net loss to $2.86M net income, driven by cost reductions and non-cash gains. The results exceeded expectations, though the company provided no specific 2026 guidance, emphasizing execution of its transformation strategy.

Revenue

Total revenue declined 6.7% year-over-year to $9.28M, with biorefining and engineering services leading contributions. Biorefining revenue stood at $5.09M, while engineering and other services accounted for $4.04M. Licensing and joint development agreements added $1.05M and $62K, respectively, with joint development and contract research combined at $1.22M. CarbonSmart products rounded out the segments with $2.97M.

Earnings/Net Income

The company’s net income surged 105% to $2.86M, reversing a $57.43M loss in Q3 2024. EPS improved dramatically to $1.14 from -$29.04, reflecting a 103.9% positive swing. This turnaround, however, followed four consecutive years of quarterly losses, underscoring ongoing financial challenges.

Price Action

LNZA’s stock fell 0.23% in the latest trading day, 27.89% over the past week, and 53.23% month-to-date, reflecting weak post-earnings performance.

Post-Earnings Price Action Review

A strategy of buying LNZA shares on the date of its earnings announcement and holding for 30 days underperformed the market by -44.4% over the past three years, indicating a lack of investor confidence. This poor performance highlights the need for revised investment approaches, as historical strategies have failed to capitalize on the company’s operational improvements.

CEO Commentary

Dr. Jennifer Holmgren emphasized LanzaTech’s disciplined transformation, including $16.5M in operating expense cuts and a $38.1M non-cash gain on financial instruments. She highlighted the ethanol-to-jet plant’s commercialization and the EU grant as pivotal for scaling SAF production, though capital constraints remain a key risk.

Guidance

LanzaTech plans to fully operate its ethanol-to-jet plant by Q4 2025 and finalize a €40M EU grant for a Norway-based CCUS project by spring 2026. Management reiterated SAF as the core growth driver but acknowledged liquidity risks and dependence on external funding.

Additional News

LanzaTech’s joint venture, LanzaJet, began full operations at its ethanol-to-jet plant in Georgia, marking a first in commercial SAF production. The company also secured a €40M EU Innovation Fund grant for a Norway-based carbon capture project. Cost optimization initiatives reduced Q3 operating expenses by 48.3%, reflecting strategic focus on profitability.