Renewable Energy Group (REGI)

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$REGI Renewable Energy reports Q2 loss

Renewable Energy (REGI -18.4%) witnessed challenging margin environment in Q2 as a result of uncertainty around both the BTC and small refinery exemptions.

The company swung into losses with net loss $57.6M, compared to net income of $28.3M and adjusted EBITDA loss of $42.3M, compared to Adjusted EBITDA of $44.3M last year.

Revenues were down 3.2% Y/Y to $560.6M impacted by 18.1% lower average selling price for biodiesel, partially offset by 14.8% increase in gallons sold to 197,377

Lower biodiesel prices resulted from customers' preference to take on smaller share of the benefit of a potential BTC reinstatement, and lower ULSD prices.

Overall average selling price per gallon was down 13.2% to $2.70.
Produced 126.8M gallons of biomass-based diesel, 2% increase.