Aemetis, Inc. (NASDAQ: AMTX) reported financial results for the first quarter of 2026, highlighting a 27% revenue increase to $54.6 million compared to $42.9 million in the same period last year. The company achieved a gross profit of $2.8 million, a significant improvement from a gross loss of $5.1 million in Q1 2025, driven by operational scale and the recognition of Section 45Z Production Tax Credits.
Dairy renewable natural gas (RNG) sales volumes surged 55% to 110,000 MMBtu, up from 71,000 MMBtu in the prior year. The company now has seven fully approved Low Carbon Fuel Standard (LCFS) provisional pathways with an average carbon intensity score of negative 380, compared to the negative 150 default pathway used in Q1 2025. Six additional biogas pathways are nearing approval, which is expected to further boost LCFS revenues in later quarters.
Revenue from the India Biodiesel segment rebounded to $10.5 million with the resumption of OMC tender shipments under new contracts. The California Ethanol segment saw slightly lower ethanol gallons sold at 13.7 million, but average selling prices remained steady. Tax credits under Section 45Z contributed $4.0 million in revenue during the quarter, with $1.4 million from Dairy RNG and $2.6 million from California Ethanol.
Operating loss improved approximately 60% to $6.3 million from $15.6 million in Q1 2025, while net loss narrowed to $21.7 million from $24.5 million. Adjusted EBITDA was negative $1.3 million, compared to negative $10.7 million in the prior year.
Key operational milestones included the first delivery of four dairy biogas pretreatment skids under a $27 million fabrication contract and major equipment for a $40 million Mechanical Vapor Recompression system at the Keyes ethanol plant. The MVR project, using on-site solar and local geothermal grid electricity, is expected to displace approximately 80% of fossil natural gas usage at Keyes.
The company is pursuing a multi-track financing plan, including advanced preparation for long-term financing of the Keyes plant, ongoing support for dairy digester buildout, and progress toward an initial public offering of its India subsidiary, Universal Biofuels Private Limited. Cash at the end of the quarter stood at $4.8 million, with capital investments of $6.5 million in carbon intensity reduction projects.
CEO Eric McAfee emphasized the focus on improving cash flow from California Ethanol and the continued growth of dairy RNG production. The company expects 45Z tax credit accrual and monetization to normalize on a quarterly cadence, pending publication of the updated 45ZCF-GREET model by the Department of Energy.
