MACOM Technology Solutions Holdings Inc (MTSI) Q1 2025 Earnings Call Highlights: Record Revenue ...
Adjusted EPS: $0.79 per diluted share.
Free Cash Flow: Approximately $63 million for Q1.
Cash and Short-term Investments: Approximately $657 million at quarter end.
Revenue by End Market: Industrial and defense: $97.4 million; Data Center: $65.3 million; Telecom: $55.4 million.
Sequential Revenue Growth: Data Center up 16%, Telecom up 7%, Industrial and Defense up 5%.
Book-to-Bill Ratio: 1.1:1 for Q1.
Adjusted Gross Profit: $125.3 million or 57.5% of revenue.
Adjusted Operating Expense: $69.9 million.
Adjusted Operating Income: $55.4 million.
Adjusted Net Income: $59.5 million.
Accounts Receivable: $91.8 million, down from $105.7 million in Q4 2024.
Inventory: $198.4 million at quarter end.
Cash Flow from Operations: Approximately $66.7 million for Q1.
Capital Expenditures: $5.3 million for Q1.
Warning! GuruFocus has detected 3 Warning Sign with MTSI.
Release Date: February 06, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
MACOM Technology Solutions Holdings Inc (NASDAQ:MTSI) reported a record high revenue of $218 million for the first fiscal quarter of 2025, with an adjusted EPS of $0.79 per diluted share.
The company achieved a strong free cash flow of approximately $63 million in Q1, contributing to a cash and short-term investments balance of $657 million.
The data center market segment showed significant growth, with revenues up 16% sequentially, driven by strong demand for 800 gig optical products.
MACOM's book-to-bill ratio was 1.1:1, indicating strong order activity and a record-level backlog.
The company is strategically positioned to capture market share in its targeted end markets, with plans to introduce new product lines and technologies in 2025.
Gross margins for the first quarter were below targets at 57.5%, impacted by lower wafer volumes and underabsorbed costs in the Lowell fab.
The telecom market segment experienced some weakness, affecting overall utilization and contributing to lower gross margins.
Despite strong growth in the data center segment, there is a potential slowdown in 800 gig demand as customers transition to 1.6T, which could impact future growth rates.
The company faces challenges in maintaining high utilization rates in its Lowell fab, which is crucial for improving gross margins.
There is uncertainty regarding the impact of government funding and CHIPS Act initiatives on MACOM's long-term investment plans and financial performance.
Q: Can you update us on the progress with ACC in the data center market and the potential inflection point in mid-2025? Also, what are your thoughts on LPO and its opportunities compared to ACC? A: Stephen Daly, CEO: The data center market is performing well, with significant growth driven by our optical portfolio, particularly the 800 gig products. We anticipate a slowdown in 800 gig as customers transition to 1.6T. ACC remains a game changer, with interest from a broad customer base, despite some architecture changes. LPO, a solution without DSP, is also gaining interest, especially at higher data rates like 800 gig and 1.6T, and is expected to contribute in late 2025 and 2026.
Q: Could you provide more color on the DoD satellite programs and the revenue opportunity in the satellite communication space over the next few years? A: Stephen Daly, CEO: We see strong demand from both established and new satellite manufacturers, driven by global broadband services and DoD needs. Opportunities exist in high-frequency bands like E-band, V-band, and Ku-band, where MACOM can provide leading RF and microwave solutions. Our involvement spans analog mixed-signal devices, optical solutions, and linearized SSPAs, with significant growth potential in both commercial and defense sectors.
Q: How do you view the spending expectations in the data center market over the next few years, given industry changes? A: Stephen Daly, CEO: We remain bullish on data center expansion and capital spending. We support customers with high data rate products and plan to provide more optical solutions. Our strong 200 gig per lane PD and CW laser products will add revenue in 2025 and 2026. We also see opportunities in PCIe 6 and PCIe 7 connectivity, where we offer both electrical and optical solutions.
Q: Can you discuss the impact of the Lowell fab modernization and North Carolina fab expansion on your operations and gross margins? A: Stephen Daly, CEO: The Lowell fab modernization will improve infrastructure, replace antiquated equipment, and add a small six-inch GaN on silicon carbide line, enhancing yields and capacity. The North Carolina expansion will address capacity issues by installing a six-inch line and an MOCVD reactor for advanced epi. These long-term investments, supported by the CHIPS program, will strengthen MACOM's market position without immediate P&L impact.
Q: What are your expectations for the data center business in fiscal 2025, particularly regarding the transition from 800 gig to 1.6T and the role of LPO? A: Stephen Daly, CEO: We expect strong growth in the data center market, driven by the transition to 1.6T and continued contributions from LPO and ACC. While 800 gig has been a significant revenue driver, we anticipate a shift to 1.6T in the back half of the year. LPO solutions will also contribute, with interest primarily at higher data rates. Overall, we foresee a record year for MACOM in this segment.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
This article first appeared on GuruFocus.
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(Unaudited, expressed in Thousands of United States dollars, except per share amounts) ($000 except as noted) Second Quarter First Six Months Oil and natural gas revenue, net $ 10,788 $ 13,915 $ 27,160 $ 28,141 Other income 325 1 326 60 11,113 13,916 27,486 28,201 Production and operating expenses 1,738 2,109 3,965 4,355 Depletion and depreciation expense 3,516 3,700 7,579 7,594 General and administrative expenses 1,409 1,528 2,734 2,793 Stock based compensation 488 411 725 539 7,151 7,748 15,003 15,281 Finance income 540 445 512 - Finance expense (713 ) (1,101 ) (1,460 ) (2,872 ) Income tax expense (936 ) (1,451 ) (2,917 ) (2,642 ) Net income 2,853 4,061 8,618 7,406 Basic net income per share $ 0.08 $ 0.11 $ 0.24 $ 0.21 Diluted net income per share $ 0.08 $ 0.11 $ 0.24 $ 0.20 Expand KOLIBRI GLOBAL ENERGY SECOND QUARTER 2025 (Unaudited, expressed in Thousands of United States dollars, except as noted) Second Quarter First Six Months 2025 2024 2025 2024 Oil gross revenue $ 11,978 $ 16,701 $ 30,028 $ 33,249 Gas gross revenue 809 147 2,127 592 NGL gross revenue 1,001 830 2,655 2,081 Oil and Gas gross revenue 13,790 17,678 34,810 35,922 Adjusted EBITDA (1) 7,681 10,036 20,501 20,410 Capital expenditures 16,898 6,427 26,851 11,747 Statistics: Second Quarter First Six Months 2025 2024 2025 2024 Average oil production (Bopd) 2,115 2,309 2,477 2,366 Average natural gas production (mcf/d) 2,880 1,916 3,339 2,143 Average NGL production (Boepd) 625 500 612 493 Average production (Boepd) 3,220 3,128 3,646 3,216 Average oil price ($/bbl) $ 62.45 $ 79.48 $ 66.96 $ 77.20 Average natural gas price ($/mcf) $ 3.09 $ 0.84 $ 3.52 $ 1.52 Average NGL price ($/bbl) $ 17.59 $ 15.97 $ 23.95 $ 23.18 Average price ($/boe) $ 47.6 $ 62.10 $ 52.75 $ 61.37 Less: Royalties ($/boe) 10.25 13.22 11.59 13.29 Less: Operating expenses $/boe) 7.15 8.48 7.11 8.42 Netback from operations (2) ($/boe) $ 29.66 $ 40.40 $ 34.05 $ 39.66 Price adjustment from commodity contracts ($/boe) 0.13 (0.84 ) 0.06 (0.99 ) Netback including commodity contracts (2) ($/boe) $ 29.79 $ 39.56 $ 34.11 $ 38.67 Expand (1) Adjusted EBITDA is considered a non-GAAP measure. Refer to the section entitled 'Non-GAAP Measures' of this earnings release. (2) Netback from operations and netback including commodity contracts are considered non-GAAP ratios. Refer to the section entitled 'Non-GAAP Measures' of this earnings release. Expand The information outlined above is extracted from and should be read in conjunction with the Company's unaudited financial statements for the three and six months ended June 30, 2025 and the related management's discussion and analysis thereof, copies of which are available under the Company's profile at NON-GAAP MEASURES Netback from operations, netback including commodity contracts and adjusted EBITDA (collectively, the " Company's Non-GAAP Measures") are not measures or ratios recognized under Canadian generally accepted accounting principles (" GAAP") and do not have any standardized meanings prescribed by IFRS. Management of the Company believes that such measures and ratios are relevant for evaluating returns on each of the Company's projects as well as the performance of the enterprise as a whole. The Company's Non-GAAP Measures may differ from similar computations as reported by other similar organizations and, accordingly, may not be comparable to similar non-GAAP measures and ratios as reported by such organizations. The Company's Non-GAAP Measures should not be construed as alternatives to net income, cash flows related to operating activities, working capital or other financial measures and ratios determined in accordance with IFRS, as an indicator of the Company's performance. An explanation of the composition of the Company's Non-GAAP Measures, how the Company's Non-GAAP Measures provide useful information to an investor and the purposes for which the Company's management uses the Non-GAAP Measures is set out in the management's discussion and analysis under the heading 'Non-GAAP Measures' which is available under the Company's profile at and is incorporated by reference into this earnings release. The following is the reconciliation of the non-GAAP ratio netback from operations to net income, which the Company considers to be the most directly comparable financial measure that is disclosed in the Company's financial statements: The following is the reconciliation of the non-GAAP measure adjusted EBITDA to the comparable financial measures disclosed in the Company's financial statements: (US $000) Three months ended June 30, Six months ended June 30, 2025 2024 2025 2024 Net income 2,853 4,061 8,618 7,406 Income tax expense 936 1,451 2,917 2,642 Depletion and depreciation 3,516 3,700 7,579 7,594 Accretion 73 44 124 89 Interest expense 640 813 1,336 1,728 Unrealized (gain) loss on commodity contracts (490 ) (445 ) (455 ) 470 Share based compensation 488 411 725 539 Interest income (8 ) - (16 ) - Other income (325 ) (1 ) (326 ) (60 ) Foreign currency loss (gain) (2 ) 2 (1 ) 2 Adjusted EBITDA 7,681 10,036 20,501 20,410 Expand PRODUCT TYPE DISCLOSURE This news release includes references to sales volumes of "oil", "natural gas", and 'barrels of oil equivalent' or 'BOEs'. 'Oil' refers to light crude oil and medium crude oil combined, and "natural gas" refers to shale gas, in each case as defined by NI 51-101. Production from our wells, primarily disclosed in this news release in BOEs, consists of mainly oil and associated wet gas. The wet gas is delivered via gathering system and then pipelines to processing plants where it is treated and sold as natural gas and NGLs. CAUTIONARY STATEMENTS In this news release and the Company's other public disclosure: (a) The Company's natural gas production is reported in thousands of cubic feet (" Mcfs"). The Company also uses references to barrels (" Bbls") and barrels of oil equivalent (" Boes") to reflect natural gas liquids and oil production and sales. Boes may be misleading, particularly if used in isolation. A Boe conversion ratio of 6 Mcf:1 Bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. Given that the value ratio based on the current price of crude oil as compared to natural gas is significantly different from the energy equivalency of 6:1, utilizing a conversion on a 6:1 basis may be misleading as an indication of value. (b) Discounted and undiscounted net present value of future net revenues attributable to reserves do not represent fair market value. (c) Possible reserves are those additional reserves that are less certain to be recovered than probable reserves. There is a 10% probability that the quantities actually recovered will equal or exceed the sum of proved plus probable plus possible reserves. (d) The Company discloses peak and 30-day initial production rates and other short-term production rates. Readers are cautioned that such production rates are preliminary in nature and are not necessarily indicative of long-term performance or of ultimate recovery. Expand Caution Regarding Forward-Looking Information This release contains forward-looking information including information regarding the proposed timing and expected results of exploratory and development work including production from the Company's Tishomingo field, Oklahoma acreage, projected increases in production and cash flow, adjusted EBITDA and net debt, the Company's reserves based loan facility, including scheduled repayments, expected hedging levels and the Company's strategy and objectives. The use of any of the words 'target', 'plans', "anticipate", "continue", "estimate", "expect", "may", "will", "project", "should", "believe" and similar expressions are intended to identify forward-looking statements. Such forward-looking information is based on management's expectations and assumptions, including that the Company's geologic and reservoir models and analysis will be validated, that indications of early results are reasonably accurate predictors of the prospectiveness of the shale intervals, that previous exploration results are indicative of future results and success, that expected production from future wells can be achieved as modeled, that declines will match the modeling, that future well production rates will be improved over existing wells, that rates of return as modeled can be achieved, that recoveries are consistent with management's expectations, that additional wells are actually drilled and completed, that design and performance improvements will reduce development time and expense and improve productivity, that discoveries will prove to be economic, that anticipated results and estimated costs will be consistent with management's expectations, that all required permits and approvals and the necessary labor and equipment will be obtained, provided or available, as applicable, on terms that are acceptable to the Company, when required, that no unforeseen delays, unexpected geological or other effects, equipment failures, permitting delays or labor or contract disputes are encountered, that the development plans of the Company and its co-venturers will not change, that the demand for oil and gas will be sustained or increase, that the Company will continue to be able to access sufficient capital through financings, credit facilities, farm-ins or other participation arrangements to maintain its projects, that the Company will continue in compliance with the covenants under its reserves-based loan facility and that the borrowing base will not be reduced, that funds will be available from the Company's reserves based loan facility when required to fund planned operations, that the Company will not be adversely affected by changing government policies and regulations, social instability or other political, economic or diplomatic developments in the countries in which it operates and that global economic conditions will not deteriorate in a manner that has an adverse impact on the Company's business and its ability to advance its business strategy. Forward-looking information involves significant known and unknown risks and uncertainties, which could cause actual results to differ materially from those anticipated. These risks include, but are not limited to: the risk that any of the assumptions on which such forward-looking information is based vary or prove to be invalid, including that the Company's geologic and reservoir models or analysis are not validated, that anticipated results and estimated costs will not be consistent with management's expectations, the risks associated with the oil and gas industry (e.g. operational risks in development, exploration and production; delays or changes in plans with respect to exploration and development projects or capital expenditures; the uncertainty of reserve and resource estimates and projections relating to production, costs and expenses, and health, safety and environmental risks including flooding and extended interruptions due to inclement or hazardous weather), the risk of commodity price and foreign exchange rate fluctuations, risks and uncertainties associated with securing the necessary regulatory approvals and financing to proceed with continued development of the Tishomingo Field, the risk that the Company or its subsidiaries is not able for any reason to obtain and provide the information necessary to secure required approvals or that required regulatory approvals are otherwise not available when required, that unexpected geological results are encountered, that completion techniques require further optimization, that production rates do not match the Company's assumptions, that very low or no production rates are achieved, that the Company will cease to be in compliance with the covenants under its reserves-based loan facility and be required to repay outstanding amounts or that the borrowing base will be reduced pursuant to a borrowing base re-determination and the Company will be required to repay the resulting shortfall, that the Company is unable to access required capital, that funding is not available from the Company's reserves based loan facility at the times or in the amounts required for planned operations, that occurrences such as those that are assumed will not occur, do in fact occur, and those conditions that are assumed will continue or improve, do not continue or improve and the other risks identified in the Company's most recent Annual Information Form under the 'Risk Factors' section, the Company's most recent management's discussion and analysis and the Company's other public disclosure, available under the Company's profile on SEDAR at Although the Company has attempted to take into account important factors that could cause actual costs or results to differ materially, there may be other factors that cause actual results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. The forward-looking information included in this release is expressly qualified in its entirety by this cautionary statement. Accordingly, readers should not place undue reliance on forward-looking information. The Company undertakes no obligation to update these forward-looking statements, other than as required by applicable law. Kolibri Global Energy Inc. is a North American energy company focused on finding and exploiting energy projects in oil and gas. Through various subsidiaries, the Company owns and operates energy properties in the United States. The Company continues to utilize its technical and operational expertise to identify and acquire additional projects in oil, gas and clean and sustainable energy. The Company's shares are traded on the Toronto Stock Exchange under the stock symbol KEI and on the NASDAQ under the stock symbol KGEI.
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'We executed several key initiatives this quarter to sustain reliable, safe operations, improve efficiencies and enhance our operating performance by rigorous management of our most critical metrics,' said Michelle Mapes, Interim Principal Executive Officer. 'By exiting non-core assets and activities and focusing on our platform, we've streamlined the business and sharpened execution. Our team delivered strong results with 99% utilization across the operating platform, demonstrating the success of the structural improvements made available by our operational excellence initiatives. With the cost reductions implemented during the first half of the year, we are on pace to exceed the $50 million in annualized savings target. This new expense base positions us to exit the year — and enter 2026 — as a leaner, more agile company. Our improved cost efficiency enables stronger earnings leverage from higher ethanol margins, firming corn oil prices, growing export demand, and a constructive corn crop outlook. With construction of our carbon capture project nearing completion, we're well positioned to drive more dollars to the bottom line in the second half and beyond." 'Recent favorable federal government policy decisions have reinforced our strategy to produce low-CI feedstocks and fuels,' added Mapes. 'Demand for our low-CI corn oil, a preferred feedstock into renewable diesel, remains strong. Construction of the carbon compression infrastructure at our Nebraska facilities is progressing on schedule and we remain on track to begin carbon sequestration early in the fourth quarter. The extension of the 45Z Clean Fuel Production Credit through 2029, the removal of the indirect land use change penalty, and the ring fencing of North American feedstocks provides critical policy support and long-term validation of our carbon reduction strategy, upgrading the consistent earnings power of our platform.' 'We took meaningful steps during the quarter to improve our financial position, including reducing working capital investments with our Eco-Energy marketing arrangement, monetizing non-core assets, lowering expenses, and finalizing financing agreements to align with our strategic goals,' added Phil Boggs, Chief Financial Officer. 'Extending the maturity of our near-term debt enhances flexibility as we work toward the execution of our decarbonization initiatives. We remain focused on operating safely, driving efficiency, managing costs, and strengthening our balance sheet to position the company for sustained financial performance.' Highlights and Recent Developments Completed the sale of our 50% investment in GP Turnkey Tharaldson LLC as of June 30, 2025, for $25 million On August 10, 2025, the company executed an amendment to extend the maturity of its $127.5 million Mezzanine note facility to September 15, 2026 Results of Operations Green Plains' ethanol production segment sold 193.6 million gallons of ethanol during the second quarter of 2025, compared with 208.5 million gallons for the same period in 2024. The consolidated ethanol crush margin was $26.3 million for the second quarter of 2025 inclusive of the sale of accumulated RINs of $22.6 million, compared with ethanol crush margin of $22.7 million for the same period in 2024. The consolidated ethanol crush margin is the ethanol production segment's operating income, which includes renewable corn oil and Ultra-High Protein, before depreciation and amortization, and impairment of assets held for sale, plus marketing and agribusiness fees, nonrecurring decommissioning costs, and nonethanol operating activities. Consolidated revenues decreased $66.0 million for the three months ended June 30, 2025, compared with the same period in 2024, primarily driven by our agribusiness and energy services segment as a result of the company ceasing a third-party ethanol marketing agreement with Tharaldson Ethanol Plant I LLC. Net loss attributable to Green Plains increased $47.9 million primarily due to a loss on sale of assets and equity method investment of $31.0 million and an impairment of assets held for sale of $10.7 million. Adjusted EBITDA increased $11.4 million for the three months ended June 30, 2025 compared with the same period last year due to a change in operating strategy and the sale of accumulated RINs partially offset by weaker margins in our ethanol production segment. Interest expense increased $6.4 million for the three months ended June 30, 2025 compared with the same period in 2024 primarily due to amortization of loan fees related to the issuance and modification of warrants in conjunction with access to a short-term line of credit and an amendment on our Junior Notes as well as decreased capitalized interest. Income tax expense was $2.3 million for the three months ended June 30, 2025 compared with income tax benefit of $0.3 million for the same period in 2024, primarily due to an increase in the valuation allowance recorded against certain deferred tax assets related to gains (losses) on derivatives. Segment Information The company reports the financial and operating performance for the following two operating segments: (1) ethanol production, which includes the production, storage and transportation of ethanol, distillers grains, Ultra-High Protein and renewable corn oil and (2) agribusiness and energy services, which includes grain handling and storage, commodity marketing and merchant trading for company-produced and third-party ethanol, distillers grains, Ultra-High Protein, renewable corn oil, natural gas and other commodities. Expand GREEN PLAINS INC. CONSOLIDATED CRUSH MARGIN (unaudited, in thousands) 2025 2024 Ethanol production operating loss (1) $ (12,218 ) $ (2,213 ) Depreciation and amortization 22,918 20,544 Impairment of assets held for sale 10,724 — Adjusted ethanol production operating income 21,424 18,331 Intercompany fees and nonethanol operating activities, net (2) 4,862 4,327 Consolidated ethanol crush margin $ 26,286 $ 22,658 (1) Ethanol production includes margins from a one-time sale of accumulated RINs of $22.6 million and an inventory lower of cost or net realizable value adjustment of $2.3 million for the three months ended June 30, 2025. (2) Includes ($1.0) million and $1.9 million for the three months ended June 30, 2025 and 2024, respectively, for certain nonrecurring decommissioning costs and nonethanol operating activities. Expand Liquidity and Capital Resources As of June 30, 2025, Green Plains had $152.7 million in total cash and cash equivalents, and restricted cash, and $258.5 million available under our committed revolving credit agreement, subject to restrictions or other lending conditions based specifically on the availability of sufficient eligible collateral to support additional borrowings, in addition to $30.0 million available under our line of credit with Ancora, which expired on July 30, 2025. Total corporate liquidity consisting of unrestricted cash, distributable cash from subsidiaries and Ancora credit facility availability was $93.3 million as of June 30, 2025. Total debt outstanding at June 30, 2025 was $508.2 million, including $80.1 million outstanding debt under working capital revolvers and other short-term borrowing arrangements. Conference Call Information On August 11, 2025, Green Plains Inc. will host a conference call at 9 a.m. Eastern time (8 a.m. Central time) to discuss second quarter 2025 operating results. Domestic and international participants can access the conference call by dialing 888.210.4215 and 646.960.0269, respectively, and referencing conference ID 5027523. Participants are advised to call at least 10 minutes prior to the start time. Alternatively, the conference call and presentation will be accessible on Green Plains' website Non-GAAP Financial Measures Management uses EBITDA, adjusted EBITDA, segment EBITDA and consolidated ethanol crush margins to measure the company's financial performance and to internally manage its businesses. EBITDA is defined as earnings before interest expense, income taxes, depreciation and amortization excluding the change in right-of-use assets and debt issuance costs. Adjusted EBITDA includes adjustments related to restructuring costs, loss on sale of assets, impairment of assets held for sale and equity method investment and our proportional share of EBITDA adjustments of our equity method investees. Management believes these measures provide useful information to investors for comparison with peer and other companies. These measures should not be considered alternatives to net income or segment operating income, which are determined in accordance with U.S. Generally Accepted Accounting Principles ('GAAP'). These non-GAAP calculations may vary from company to company. Accordingly, the company's computation of adjusted EBITDA, segment EBITDA and consolidated ethanol crush margins may not be comparable with similarly titled measures of another company. About Green Plains Inc. Green Plains Inc. (NASDAQ:GPRE) is a leading biorefining company focused on the development and utilization of fermentation, agricultural and biological technologies in the processing of annually renewable crops into sustainable value-added ingredients. This includes the production of cleaner low carbon biofuels and renewable feedstocks for advanced biofuels. Green Plains is an innovative producer of Sequence™ and novel ingredients for animal and aquaculture diets to help satisfy a growing global appetite for sustainable protein. For more information, visit Forward-Looking Statements All statements in this press release (and oral statements made regarding the subjects of this communication), including those that express a belief, expectation or intention, may be considered forward-looking statements (as defined in Section 21E of the Securities Exchange Act, as amended, and Section 27A of the Securities Act of 1933, as amended) that involve risks and uncertainties that could cause actual results to differ materially from projected results. Without limiting the generality of the foregoing, forward-looking statements contained in this communication include statements relying on a number of assumptions concerning future events and are subject to a number of uncertainties and factors, many of which are outside the control of the company, which could cause actual results to differ materially from such statements. Accordingly, investors should not place undue reliance on forward-looking statements as a prediction of actual results. The forward-looking statements may include, but are not limited to the expected future growth, dividends and distributions; and plans and objectives of management for future operations. Forward-looking statements may be identified by words such as 'believe,' 'intend,' 'expect,' 'may,' 'should,' 'will,' 'anticipate,' 'could,' 'estimate,' 'plan,' 'predict,' 'project' and variations of these words or similar expressions (or the negative versions of such words or expressions). While the company believes that the assumptions concerning future events are reasonable, it cautions that there are inherent difficulties in predicting certain important factors that could impact the future performance or results of its business. Among the factors that could cause results to differ materially from those indicated by such forward-looking statements are: the failure to realize the anticipated results from the new products being developed; the failure to realize the anticipated costs savings or other benefits of the merger; local, regional and national economic conditions and the impact they may have on the company and its customers; disruption caused by health epidemics, such as the COVID-19 outbreak; conditions in the ethanol and biofuels industry, including a sustained decrease in the level of supply or demand for ethanol and biofuels or a sustained decrease in the price of ethanol or biofuels; competition in the ethanol industry and other industries in which we operate; commodity market risks, including those that may result from weather conditions; the financial condition of the company's customers; any non-performance by customers of their contractual obligations; changes in safety, health, environmental and other governmental policy and regulation, including changes to tax laws such as the One Big Beautiful Bill Act; risks related to acquisition and disposition activities and achieving anticipated results; risks associated with merchant trading; risks related to our equity method investees; the results of any reviews, investigations or other proceedings by government authorities; and the performance of the company. The foregoing list of factors is not exhaustive. The forward-looking statements in this press release speak only as of the date they are made and the company assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events or otherwise, except as required by securities and other applicable laws. We have based these forward-looking statements on our current expectations and assumptions about future events. While the company's management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond the company's control. These risks, contingencies and uncertainties relate to, among other matters, the risks and uncertainties set forth in the 'Risk Factors' section of the company's Annual Report on Form 10-K for the year ended December 31, 2024, filed with the Securities and Exchange Commission (the 'SEC'), and any subsequent reports filed by the company with the SEC. These filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. GREEN PLAINS INC. CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited, in thousands except per share amounts) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Costs and expenses Cost of goods sold (excluding depreciation and amortization expenses reflected below) 511,259 581,002 1,109,735 1,169,849 Selling, general and administrative expenses 27,605 33,950 70,517 65,719 Loss on sale of assets 4,044 — 4,044 — Depreciation and amortization expenses 27,560 21,584 49,947 43,071 Impairment of assets held for sale 10,724 — 10,724 — Total costs and expenses 581,192 636,536 1,244,967 1,278,639 Operating loss (28,363 ) (17,711 ) (90,623 ) (62,600 ) Other income (expense) Interest income 634 1,490 1,637 4,000 Interest expense (13,899 ) (7,494 ) (22,812 ) (15,280 ) Other, net (39 ) 345 (1,554 ) 794 Total other income (expense) (13,304 ) (5,659 ) (22,729 ) (10,486 ) Loss before income taxes and loss from equity method investees (41,667 ) (23,370 ) (113,352 ) (73,086 ) Income tax benefit (expense) (2,294 ) 273 (2,400 ) (56 ) Loss from equity method investees, net of income taxes (28,266 ) (941 ) (29,116 ) (2,018 ) Net loss (72,227 ) (24,038 ) (144,868 ) (75,160 ) Net income attributable to noncontrolling interests 11 312 276 602 Net loss attributable to Green Plains $ (72,238 ) $ (24,350 ) $ (145,144 ) $ (75,762 ) Earnings per share Net loss attributable to Green Plains - basic and diluted $ (1.09 ) $ (0.38 ) $ (2.22 ) $ (1.19 ) Weighted average shares outstanding Basic and diluted 66,491 63,933 65,287 63,637 Expand GREEN PLAINS INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (unaudited, in thousands) Six Months Ended June 30, 2025 2024 Cash flows from operating activities Net loss $ (144,868 ) $ (75,160 ) Noncash operating adjustments Depreciation and amortization 49,947 43,071 Loss on sale of assets 4,044 — Impairment of assets held for sale 10,724 — Inventory lower of cost or net realizable value adjustment 2,255 — Stock-based compensation 11,123 6,591 Loss from equity method investees, net of income taxes 29,116 2,018 Other 8,830 2,627 Net change in working capital 32,583 (44,864 ) Net cash provided by (used in) operating activities 3,754 (65,717 ) Cash flows from investing activities Purchases of property and equipment, net (27,853 ) (39,484 ) Proceeds from the sale of assets 421 — Investment in equity method investees, net (4,909 ) (16,023 ) Net cash used in investing activities (32,341 ) (55,507 ) Cash flows from financing activities Net payments - long term debt (962 ) (7,849 ) Net proceeds (payments) - short-term borrowings (60,962 ) 18,199 Net proceeds from product financing arrangement 37,146 — Payments on extinguishment of non-controlling interest — (29,196 ) Payments of transaction costs — (5,951 ) Other (3,310 ) (7,647 ) Net cash used in financing activities (28,088 ) (32,444 ) Net change in cash and cash equivalents, and restricted cash (56,675 ) (153,668 ) Cash and cash equivalents, and restricted cash, beginning of period 209,395 378,762 Reconciliation of total cash and cash equivalents, and restricted cash Cash and cash equivalents $ 108,624 $ 195,554 Restricted cash 44,096 29,540 Total cash and cash equivalents, and restricted cash $ 152,720 $ 225,094 Expand GREEN PLAINS INC. RECONCILIATIONS TO NON-GAAP FINANCIAL MEASURES (unaudited, in thousands) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 Net loss $ (72,227 ) $ (24,038 ) $ (144,868 ) $ (75,160 ) Interest expense 13,899 7,494 22,812 15,280 Income tax expense (benefit), net of equity method income tax benefit 1,885 (273 ) 1,720 56 Depreciation and amortization (1) 27,560 21,584 49,947 43,071 EBITDA (28,883 ) 4,767 (70,389 ) (16,753 ) Restructuring costs 2,520 — 19,106 — Loss on sale of assets 4,044 — 4,044 — Impairment of assets held for sale 10,724 — 10,724 — Loss on sale of equity method investment 26,987 — 26,987 — Proportional share of EBITDA adjustments to equity method investees 1,050 271 1,828 316 Adjusted EBITDA $ 16,442 $ 5,038 $ (7,700 ) $ (16,437 ) (1) Excludes amortization of operating lease right-of-use assets and amortization of debt issuance costs. Expand
Associated Press
33 minutes ago
- Associated Press
Zeo Energy Corp. Completes Acquisition of Heliogen, Inc.
NEW PORT RICHEY, Fla., Aug. 11, 2025 (GLOBE NEWSWIRE) -- Zeo Energy Corp. (Nasdaq: ZEO) ('Zeo,' 'Zeo Energy,' or the 'Company'), a leading Florida-based provider of residential solar and energy efficiency solutions, today announced that it has completed its previously announced acquisition of Heliogen, Inc. ('Heliogen'), a provider of on-demand clean energy technology solutions (the 'Heliogen transaction'). Moving forward, Zeo plans to leverage Heliogen's solutions, brand, intellectual property, capital, and technical talent to establish a division focused on long-duration energy generation and storage for commercial and industrial-scale facilities, including artificial intelligence (AI) and cloud computing data centers. The transaction is expected to create a robust clean energy platform spanning residential, commercial, and utility-scale markets, supported by internal financing capabilities and domain expertise. 'Heliogen offers innovative, cost-effective energy storage options that are especially valuable for high-demand users like data centers,' said Tim Bridgewater, CEO of Zeo Energy. 'This combination complements our existing residential operations while also further expanding our reach into massive end markets. From individual homes to large industrial energy systems, Zeo now offers a comprehensive and diversified platform for scaled, next-generation energy storage.' Transaction Information The consideration paid by Zeo Energy in the Heliogen transaction consisted entirely of shares of Class A common stock of Zeo Energy (and in the event of any fractional shares, cash in lieu of any fractional shares). In addition to the foregoing expected benefits of the Heliogen transaction, Zeo Energy received upon its closing, approximately $13.6 million in net cash of Heliogen through the transaction. Additional Information about the Heliogen transaction is filed by Zeo Energy in its reports and statements filed with the U.S. Securities and Exchange Commission ('SEC'), including in its Current Reports on Form 8-K with the SEC and its other periodic reports. These are available for Zeo Energy at With the completion of the transaction, shares of Heliogen's common stock, which traded on the OTCQX under the symbol 'HLGN,' ceased trading thereon, upon Heliogen becoming a subsidiary of Zeo Energy as of August 8, 2025. Advisors Piper Sandler & Co. acted as financial advisor and Ellenoff Grossman & Schole LLP acted as legal counsel to Zeo Energy. Pickering Energy Partners acted as financial advisor and Cooley LLP acted as legal counsel to Heliogen. About Zeo Energy Corp. Zeo Energy is a Florida-based regional provider of residential solar, distributed energy, and energy efficiency solutions. Zeo Energy focuses on high-growth markets with limited competitive saturation. With its differentiated sales approach and vertically integrated offerings, Zeo Energy, through its Sunergy business, serves customers who desire to reduce high energy bills and contribute to a more sustainable future. For more information on Zeo Energy, please visit About Heliogen, Inc. Heliogen is a renewable energy technology company that provides solutions for delivering cost-effective, low-carbon energy production around the clock. By combining commercially proven solar technologies with thermal systems and storage expertise, Heliogen supports customers in achieving a practical transition to cleaner energy. For more information about Heliogen, please visit Forward-Looking Statements This news release contains certain forward-looking statements within the meaning of section 27A of the Securities Act of 1933, as amended (the 'Securities Act'), and Section 21E of the Exchange Act of 1934, as amended, that are based on beliefs and assumptions and on information currently available to the Company. Such statements may include, but are not limited to, statements that refer to projections, forecasts, or other characterizations of future events or circumstances, including any underlying assumptions. The words 'anticipate,' 'intend,' 'plan,' 'goal,' 'seek,' 'believe,' 'project,' 'estimate,' 'expect,' 'strategy,' 'future,' 'likely,' 'may,' 'should,' 'will,' and similar references to future periods may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements may include, for example, statements about the future financial performance of the Company; the ability to effectively consolidate the assets of Heliogen and produce the expected results; changes in the Company's strategy, future operations, financial position, estimated revenues and losses, projected costs, prospects, the ability to raise additional funds, and plans and objectives of management. These forward-looking statements are based on information available as of the date of this news release, and current expectations, forecasts, and assumptions, and involve a number of judgments, risks, and uncertainties. Accordingly, forward-looking statements should not be relied upon as representing the Company's views as of any subsequent date, and the Company does not undertake any obligation to update such forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events, or otherwise, except as may be required under applicable securities laws. You should not place undue reliance on these forward-looking statements. As a result of a number of known and unknown risks and uncertainties, the Company's actual results or performance may be materially different from those expressed or implied by these forward-looking statements. Some factors that could cause actual results to differ include: (i) the outcome of any legal proceedings that may be instituted against the Company or others; (ii) the Company's success in retaining or recruiting, or changes required in, its officers, key employees, or directors; (iii) the Company's ability to maintain the listing of its common stock and warrants on Nasdaq; (iv) limited liquidity and trading of the Company's securities; (v) geopolitical risk and changes in applicable laws or regulations, including tariffs or trade restrictions; (vi) the possibility that the Company may be adversely affected by other economic, business, and/or competitive factors; (vii) operational risk; (viii) litigation and regulatory enforcement risks, including any relating to the Heliogen transaction and/or the diversion of management time and attention and the additional costs and demands on the Company's resources; (ix) expected benefits of the Heliogen transaction to Zeo Energy or generally, and any availability or use of cash relating to such transaction; (x) the Company's ability to effectively consolidate the assets of Heliogen and produce the expected results; and (xi) other risks and uncertainties, including those included under the heading 'Risk Factors' in the Company's Registration Statement on Form S-4 filed with the SEC on July 2, 2025, its Annual Report on Form 10-K filed with the SEC for the year ended December 31, 2024 and in its subsequent periodic reports and other filings with the Energy Corp. Contacts For Investors: Tom Colton and Greg Bradbury Gateway Group [email protected] For Media: Zach Kadletz Gateway Group [email protected]
