Aemetis (NASDAQ:AMTX) Announces Quarterly Earnings Results

Aemetis (NASDAQ:AMTX) announced its quarterly earnings results on Thursday. The specialty chemicals company reported ($0.13) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.29) by $0.16, FiscalAI reports. The firm had revenue of $62.70 million for the quarter, compared to the consensus estimate of $67.69 million.

Here are the key takeaways from Aemetis’ conference call:

• Q2 revenue increased 20% year over year to $62.7 million, while adjusted EBITDA improved to $9.7 million from negative $5.8 million and net loss narrowed to $9.4 million. Results benefited from higher ethanol and RNG volumes, improved ethanol pricing, lower corn costs, and $8.6 million of Section 45Z credits.
• Aemetis expects its mechanical vapor recompression project, targeted for completion by year-end 2026, to generate approximately $32 million in annual cash flow through lower natural-gas costs and higher 45Z and LCFS credit values. Upgraded corn-oil separation units are also expected to roughly double corn-oil production from first-quarter levels.
• The company has seven approved California LCFS pathways for dairy RNG at an average carbon-intensity score of negative 380, with six additional pathways pending. Management said these approvals, along with potential federal 45Z emissions-rate revisions, could materially increase revenue from existing RNG production.
• Aemetis began shipping under a new India biodiesel tender after receiving allocations of more than 18 million liters from three government-owned oil companies, representing approximately $17 million of expected revenue. Higher Indian diesel prices are also creating opportunities to expand sales to private commercial customers.
• Liquidity remains constrained, with only $1 million of cash at quarter-end and substantial current debt. Management plans to use expected 45Z proceeds and other cash inflows to pay down debt and refinance remaining balances, but the timing and value of federal credit revisions remain uncertain.

Aemetis Price Performance

AMTX stock traded up $0.08 during trading hours on Thursday, reaching $1.63. 1,262,677 shares of the stock were exchanged, compared to its average volume of 1,089,291. The firm’s 50-day moving average is $1.81 and its 200-day moving average is $2.06. The company has a market cap of $114.70 million, a price-to-earnings ratio of -1.37 and a beta of 1.48. Aemetis has a 12 month low of $1.30 and a 12 month high of $3.80.

Analyst Ratings Changes

Several brokerages recently commented on AMTX. Wall Street Zen downgraded Aemetis from a “hold” rating to a “sell” rating in a research note on Saturday, June 6th. Weiss Ratings reissued a “sell (e+)” rating on shares of Aemetis in a research note on Friday, July 17th. Finally, Ascendiant Capital Markets increased their price target on Aemetis from $21.00 to $22.00 and gave the stock a “buy” rating in a report on Friday, May 22nd. One investment analyst has rated the stock with a Buy rating and one has given a Sell rating to the company. According to data from MarketBeat, Aemetis currently has an average rating of “Hold” and a consensus price target of $11.88.

Institutional Trading of Aemetis

A number of institutional investors have recently modified their holdings of AMTX. Marshall Wace LLP grew its stake in shares of Aemetis by 289.3% during the 4th quarter. Marshall Wace LLP now owns 559,754 shares of the specialty chemicals company’s stock worth $778,000 after acquiring an additional 415,978 shares in the last quarter. Vanguard Group Inc. raised its holdings in shares of Aemetis by 15.3% in the third quarter. Vanguard Group Inc. now owns 2,479,163 shares of the specialty chemicals company’s stock valued at $5,578,000 after purchasing an additional 329,760 shares during the last quarter. Jane Street Group LLC bought a new stake in shares of Aemetis in the second quarter worth $634,000. CIBC Bancorp USA Inc. bought a new stake in shares of Aemetis in the third quarter worth $563,000. Finally, 683 Capital Management LLC acquired a new position in Aemetis during the fourth quarter worth $327,000. 27.02% of the stock is currently owned by institutional investors.

Aemetis Company Profile

Aemetis, Inc, headquartered in Cupertino, California, is a renewable fuels and renewable natural gas producer dedicated to decarbonizing the transportation sector. The company operates two primary business segments: Aemetis Advanced Fuels, which manufactures ethanol, biodiesel and sustainable aviation fuel using patented carbon capture and separation technology; and Aemetis RNG, which develops dairy-based renewable natural gas projects in California for pipeline injection and transportation use.

Since its incorporation in 2006, Aemetis has expanded its production footprint through organic growth and strategic acquisitions.