Darling Ingredients Q2 sales slightly miss estimates
Darling Ingredients Q2 sales slightly miss estimates
Overview
Animal-based ingredients producer's Q2 sales rose but slightly missed analyst expectations
Q2 net income surged to $387.3 mln from $12.7 mln a year ago
Company repurchased $73 mln in stock and reduced net debt by $223 mln in Q2
Outlook
Company estimates Q3 2026 core ingredients Adjusted EBITDA at $325-340 mln
Darling Ingredients expects to end 2026 with net debt at or below $3 bln
Company says business fundamentals remain strong and expects continued earnings growth in 2026-2027
Result Drivers
OPERATIONAL EXECUTION - Co said strong operational execution and margin management supported Q2 performance
DGD CONTRIBUTIONS - Cash distributions and earnings from Diamond Green Diesel joint venture boosted results
Company press release: ID:nBw8lJw3va
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales | Slight Miss* | $1.70 bln | $1.71 bln (11 Analysts) |
Q2 EPS |
| $2.41 |
|
Q2 Net Income |
| $387.30 mln |
|
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the food processing peer group is "buy"
Wall Street's median 12-month price target for Darling Ingredients Inc is $78.00, about 33.1% above its July 29 closing price of $58.62
The stock recently traded at 12 times the next 12-month earnings vs. a P/E of 19 three months ago
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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)