Renewable Energy Group
, Inc. (NASDAQ:REGI) today announced its financial results for the second quarter ended June 30, 2013.
sold 69.2 million gallons of biodiesel in the second quarter 2013, an increase of 28% compared to the second quarter of 2012. Revenues of $387.1 million increased 42% year over year. The Company achieved adjusted EBITDA of $41.6 million during the second quarter 2013.
“This was our strongest quarter ever for production and gallons sold,” said Daniel J. Oh, President and Chief Executive Officer. “Market demand for biodiesel remained strong due, in part, to demand for biomass-based diesel RINs. REG’s substantial revenue growth this quarter can also be attributed to manufacturing and operational improvement at our biorefineries and gallons produced via a tolling agreement.”
On July 29, 2013, REG’s acquisition of a 30-million gallon per year nameplate capacity biodiesel plant from Soy Energy, LLC was approved by Soy Energy unit holders. REG intends to quickly start repairs and begin production using soybean oil and lower free fatty acid feedstock as soon as possible. Also, during second quarter, major multifeedstock upgrades were completed at the Albert Lea, Minn. biorefinery and repairs, upgrades and start-up occurred at our New Boston, Texas biorefinery. Additionally, construction began on an Illinois River barge load-out at the Seneca, Ill. location.
Oh added, “A key element of our strategy is to grow production capacity by acquiring economically-priced biodiesel plants, upgrading existing refinery technology to utilize lower cost raw materials, enhancing finished product margin opportunities and completing existing projects. Executing construction plans on-time and on-budget last quarter has further reinforced our strategy and our ability to execute it.”
The 69.2 million gallons of biodiesel sold in the quarter represents record volume for REG. As a reflection of implementing yield and throughput improvement programs across the company’s manufacturing sites, REG produced 56.5 million gallons of biodiesel during the quarter, which included 6.4 million toll manufactured gallons. This compares to 43.1 million gallons year-over-year.