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- **Operational Record**: 2025 marked record production volumes and ethanol yields, with capacity increased by 10% to 730 million gallons annually.
- **Carbon EBITDA Target**: $188 million in 2026 from carbon capture projects, driven by 45Z tax credits and voluntary carbon sales.
- **Financial Turnaround**: Q4 2025 adjusted EBITDA of $49.1 million, up $67 million year-over-year, with 45Z credits contributing $27.7 million.
- **Strategic Focus**: 2026 priorities include energy efficiency projects (paying back in 2 years), grain storage expansion, and disciplined capital allocation.
- **Market Strength**: Ethanol exports set records in 2025; Q1 2026 margins partially hedged, with corn oil prices supporting profitability.


**【CEO Summary Section】**
- **Operational Excellence**: 2025 saw four plants reach historical production volumes, with ethanol yields improving across the fleet. New production capacity was increased by 10% to 730 million gallons annually, reflecting operational efficiency gains.
- **Carbon Capture Progress**: Fully operational CO2 compression equipment at three Nebraska plants, sequestering CO2 and generating cash flow. 2026 carbon-related EBITDA expected to reach $188 million, driven by 45Z tax credits and voluntary carbon credits.
- **Financial Highlights**: Q4 2025 adjusted EBITDA of $49.1 million, up $67 million year-over-year. 45Z credits contributed $27.7 million in the quarter.
- **Leadership Changes**: Ann Reis and Ryan Loneman joined as CFO and General Counsel, respectively, enhancing tax credit monetization efforts.

**【CFO Financial Commentary】**
- **Q4 2025 Results**: Net income of $11.9 million ($0.17 per share) vs. $54.9 million loss in Q4 2024. Adjusted EBITDA improved to $49.1 million from -$18.2 million. Revenue down 26.6% due to plant sales and idling.
- **Cost Management**: SG&A expenses reduced by $2.8 million year-over-year; 2026 run rate expected at $90 million annually. Interest expense projected at $30-35 million.
- **Liquidity**: $230.1 million in cash and equivalents, with $325 million available on revolving credit. Debt reduced to $504 million post-refinancing.
- **Tax Credits**: 45Z credits treated as deferred assets; early adoption of ASU 2025-10 may adjust financial statement presentation.

**【Commercial Update】**
- **Ethanol Margins**: Resilient Q4 margins due to strong export demand and domestic blending. Q1 2026 margins partially hedged, with ethanol exports setting records in 2025.
- **Corn Oil and Protein**: Steady corn oil prices supported gross margins, while protein pricing remained under pressure.
- **E15 Adoption**: Slow but growing adoption, with policy support for year-round E15 blending.

**【Strategic Priorities for 2026】**
- **Carbon Projects**: $188 million EBITDA target from Nebraska plants and other facilities. Efficiency projects reducing OpEx and energy costs.
- **Grain Storage Expansion**: Evaluating on-site storage to lower feedstock costs and reduce operational risks.
- **Capital Allocation**: Focus on high-return projects (e.g., energy efficiency, grain storage) before considering debt reduction or share buybacks.

**【Q&A Highlights】**
- **Carbon Credit Monetization**: Interest from counterparties for 2026 45Z credits; potential sale announcement soon. Pricing influenced by credit quality and market demand.
- **Cash Flow Dynamics**: Q4 cash flow impacted by deferred carbon credit receipts; Q1 expected to see full monetization. Working capital tailwind from receivables and inventory management.
- **Ethanol Market Outlook**: Q1 seasonal weakness offset by improved industry fundamentals. 2026 export demand and low corn costs support margins.
- **CI Score Reduction**: Nebraska plants already below 50 CI threshold; on-farm practices may further lower scores, enhancing 45Z eligibility.
- **Debt Management**: Carbon compression equipment liabilities now on balance sheet, with monthly debt repayments.


Green Plains Inc. (GPRE) Q4 2025 Earnings Call Transcript

- **Debt Restructuring Success**: Reduced total debt by $220 million, eliminating near-term maturities.
- **Operational Excellence**: Plants at 101% capacity utilization, driving $52.6 million adjusted EBITDA.
- **Carbon Capture Impact**: Nebraska facilities generating $15-$25 million Q4 tax credits, with $150 million+ annual impact expected.
- **Cost Efficiency**: SG&A reduction initiatives targeting $50 million+ annual savings.
- **Liquidity Strength**: $211.6 million cash and $325 million working capital availability.
- **Strategic Focus**: Prioritizing plant efficiency, carbon intensity reduction, and disciplined capital allocation.

**【CEO Opening Remarks】**
- Highlighted operational excellence and debt restructuring, entering Q4 with no near-term debt concerns.
- Achieved record performance with plants at 101% capacity utilization, driven by operational improvements in yields and downtime reduction.
- Completed carbon capture commissioning at all 3 Nebraska facilities, with CO2 delivery to pipeline and credit generation underway.

**【CFO Financial Summary】**
- Q3 2025 net income: $11.9 million ($0.17 per share), adjusted EBITDA: $52.6 million.
- Revenue: $508.5 million (down 22.8% YoY) due to asset exits and reduced marketing volumes.
- SG&A: $29.3 million (up $2.6 million YoY), targeting $90 million+ annualized run rate.
- Interest expense: $47.8 million (including $35.7 million one-time debt extinguishment costs).
- Liquidity: $211.6 million in cash, $325 million in working capital revolver availability.

**【CEO Strategic Update】**
- Carbon capture program to generate $15-$25 million in Q4 2025 tax credits, with 2026 expectations for expanded program benefits.
- Nebraska plants expected to deliver $150 million annual P&L impact, non-pipeline plants targeting $38 million contribution.
- SG&A reduction initiatives on track to save $50 million+ annually.
- CapEx policy overhaul prioritizing returns, with focus on plant efficiency, carbon intensity reduction, and capacity expansion.

**【Q&A Highlights】**
- **Challenges & Cash Use**: Focus on operational execution, carbon credit monetization, and debt reduction. Future cash allocation may include plant efficiency upgrades (e.g., low-energy distillation), debt repayment, and shareholder returns.
- **45Z Credits Beyond Nebraska**: Non-pipeline plants achieving sub-50 CI scores, with potential for $38 million annual P&L impact without additional CapEx.
- **Carbon Capture Progress**: All Nebraska facilities operational, with CO2 injection into Wyoming sequestration wells expected to commence shortly.
- **Ethanol Market Outlook**: Q4 margins remain attractive, with 75% crush hedging in place. 2026 export growth and E15 adoption expected to drive demand.
- **CST Technology**: CS technology functional but deprioritized due to high CapEx requirements; reevaluation planned for mid-2026.


Green Plains Inc. (GPRE) Q3 2025 Earnings Call Transcript

- **Carbon Strategy Payoff**: 2026 EBITDA from decarbonization >$150M, with all nine plants qualifying for 45Z credits. Policy changes add $30M+ to carbon opportunity.
- **Cost Efficiency**: $50M+ cost savings achieved, with SG&A targeting low $40M. Operational excellence drives OpEx reductions and capacity utilization (99%).
- **Liquidity Boost**: Non-core asset sales (e.g., Tharaldson JV) and RIN monetization add $45.9M in Q2 non-cash charges, bolstering liquidity to $152.7M.
- **Export Growth**: Q3 crush 65% locked in at mid-teens margins, supported by strong corn oil prices and ethanol exports. 2025 CapEx excludes $82M carbon capture liability.
- **CEO Search Progress**: Final stages of CEO recruitment expected to conclude soon, aligning with Board strategy for long-term value creation.


**【Management Opening Remarks】**
- Phil Boggs provided forward-looking statement disclaimer and introduced the executive team. The Board emphasized alignment with the company's strategy and progress in the CEO search.
- Jim Anderson highlighted strategic adjustments, including exiting non-core assets, SG&A reductions, and cultural shifts toward data-driven decision-making. The Board praised the executive team's execution speed and effort.

**【CEO Commentary (Michelle Mapes)】**
- Focused on core operations, liquidity from non-core asset sales, and profitability improvement. Carbon strategy progress: CCS infrastructure on track for Q4 2025 startup, with discussions for 45Z credit monetization in 2025-2026.
- Policy updates: Extension of 45Z tax credit through 2029, CI improvements via indirect land use change penalty removal, and USMCA feedstock restrictions. 2026 EBITDA contribution from decarbonization expected to exceed $150M annually.
- Cost reduction achievements: $50M target met, with SG&A run rate targeting low $40M for FY25. Non-core asset sales (e.g., Tharaldson JV, Proventus) bolstered liquidity and reduced distractions.

**【CFO Financial Commentary (Phil Boggs)】**
- Q2 2025 net loss: $72.2M ($1.09/share) vs. $24.4M ($0.38/share) in Q2 2024. Adjusted EBITDA: $16.4M (vs. $5M prior year). Revenue: $552.8M (-10.7% YoY) due to ethanol marketing exit and Fairmont idling.
- Liquidity: $152.7M cash, $258.5M working capital revolver availability. Interest expense up $6.4M YoY due to debt accounting and prior project capitalization absence.
- Capital expenditures: $11M (Q2) with $82M carbon capture equipment liability (up from $17.9M). 2025 CapEx excluding carbon: ~$10M.

**【Operations Update (Chris Osowski)】**
- 99% capacity utilization, highest ethanol yields, and lowest OpEx since Q1 2023. $10M annualized OpEx savings via maintenance optimization and recipe adjustments.
- Obion RTO project exceeded expectations, producing 3.5 lbs protein/bushel and 120M gallons annually. Continuous improvement initiatives driving efficiency and cost reductions.

**【Commercial & Market Update (Imre Havasi)】**
- Improved crush margins (mid-teens) supported by corn oil strength and ethanol exports. 65% Q3 crush locked in at favorable levels. Corn oil prices underpin margin resilience despite protein market softness.
- Export growth driven by supportive policy and international demand (e.g., Chilean salmon feed). Strategic customer diversification reducing reliance on soy competitors.

**【Q&A Highlights】**
- **EBITDA Outlook**: Q4 2025 carbon monetization expected to add $20-25M, with 2026 EBITDA >$150M from Nebraska plants alone. Policy changes and operational efficiency driving upside.
- **Asset Sales Proceeds**: Tharaldson JV sale ($23.5M collected post-Q2) and RIN sales ($22.6M) boosted liquidity. Working capital improvements ($50M+) from Eco-Energy partnership.
- **Carbon Credit Discussions**: Preliminary monetization discussions indicate potential to capture full credit value. 2026 all-plant 45Z qualification adds $50M+ upside.
- **Export Market Strength**: Tariff-driven demand and trade policy alignment sustain exports. Q3 crush margins locked at levels similar to prior year's full-quarter performance.


Green Plains Inc. (GPRE) Q2 2025 Earnings Call Transcript

- **Cost Efficiency**: $45M annualized savings achieved, with $93M SG&A run rate by year-end.
- **Operational Excellence**: 100% plant utilization, $0.03+ OpEx per gallon reduction.
- **Growth Drivers**: Protein sales to 80,000+ tons in 2025, pet food targeting 100,000 tons by 2026.
- **Liquidity & Carbon**: $89.2M liquidity, carbon capture infrastructure on track for Q4 2025 startup.
- **Hedging & Margins**: 50%+ Q2 crush margins hedged, improving basis through ECO partnership.

**【Management Overview】**
- Achieved $45 million in annualized cost savings, with $5 million target remaining, reducing SG&A from $118M in 2024 to $93M by year-end.
- Operational excellence initiatives reduced OpEx per gallon by $0.03+ since Q4 2024, with 100% plant utilization in Q1.
- Strategic partnership with ECO-Energy unlocks $15M in annualized savings through logistics and marketing synergies.

**【Operations Update】**
- RTO project in O'Brien nearing completion, targeting 120M gallons/year ethanol capacity and 3.5+ lbs protein/bushel.
- CST initiative paused at Shenandoah to optimize ethanol production, yielding $10M annualized cost savings.
- Protein business expansion: 20,000 tons in 2024 to 80,000+ tons in 2025 for South American aquaculture, with pet food sales targeting 100,000 tons by 2026.

**【Market & Financial Highlights】**
- Q1 revenue $601.5M (0.7% YoY growth), with adjusted EBITDA loss of $24.2M due to restructuring charges.
- Liquidity improved to $89.2M post-quarter, with $30M new credit line and $125M mezzanine note refinancing in progress.
- Carbon capture infrastructure on track for Q4 2025 startup, with 45Z and Q credit monetization underway.

**【Q&A Key Takeaways】**
- Hedging strategy locks in 50%+ of Q2 crush margins, with focus on basis improvement through ECO partnership.
- Protein margins expected to improve as high-value aqua and pet food sales scale.
- Liquidity management prioritizes working capital efficiency and non-core asset sales, targeting positive EBITDA for remainder of 2025.

Green Plains Inc. (GPRE) Q1 2025 Earnings Call Transcript

- **$50M Cost Savings Announced**: $30M already implemented through workforce reduction and innovation platform shutdown, targeting $0.02-$0.03/gallon SG&A by Q3.
- **Carbon Capture Project On Track**: Nebraska plants to start capturing CO2 Q3 2025, expected $130M annual EBITDA contribution.
- **Corn Oil Premium Potential**: 300M lbs/year capacity with $0.10/lb price move translating to $30M EBITDA impact.
- **Protein Market Challenges**: EBITDA positive but margins pressured; record aquaculture sales highlight long-term growth opportunity.
- **Clean Sugar Progress**: Awaiting final certification, testing alternative technologies to resolve wastewater issues.

**【CEO Strategic Review】**
- Announced $50 million annualized cost savings, with $30 million implemented this week through workforce reduction, innovation platform winding down, and SG&A expense cuts.
- Idled Fairmont ethanol plant due to market conditions, impacting 120 million gallons of capacity, with potential restart contingent on market recovery.
- Projected $130 million annualized EBITDA contribution from Nebraska carbon capture project starting Q3 2025, using $70/ton carbon credit value.

**【CFO Financial Highlights】**
- Q4 2024 net loss: $54.9 million (-18% YoY revenue), EBITDA: -$18.9 million (vs. +$44.7 million YoY).
- SG&A expenses down $7.2 million YoY to $25.6 million, driven by lower personnel costs and incentive accruals.
- Liquidity: $209.4 million cash + $200.7 million revolver availability.

**【Carbon Capture & Corn Oil】**
- Nebraska plants to begin carbon capture Q3 2025, targeting 32-point CI reduction for ethanol.
- Corn oil expected to trade at $0.04-$0.10/lb premium to soybean oil due to 45Z tax credit eligibility and CORSIA certification.
- 300 million lbs/year corn oil production capacity, with $30 million EBITDA impact per $0.10/lb price increase.

**【Protein & Innovation】**
- Protein business EBITDA positive for 2024, but margins pressured by soybean meal oversupply.
- Sold record aquaculture volumes to largest global player, with repeat business for 50% protein product.
- 60% Sequence protein gaining traction in South America, pricing as premium replacement for corn gluten meal.
- Clean Sugar plant awaiting final food safety certification, running at 1/3 capacity due to wastewater challenges.


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