NEW YORK (TheStreet) -- Darling Ingredients (DAR - Get Report) stock is falling 3.52% to $13.99 in early morning trading on Friday after the company posted disappointing financial results for the fiscal 2016 first quarter.
After yesterday's closing bell, the Irving, TX-based developer and producer of sustainable natural ingredients from edible and inedible bio-nutrients ingredients, reported earnings of 1 cent per share for the quarter ended April 2, significantly below estimates of 11 cents per share.
Quarterly revenue of $779.64 million fell short of projections for $809.79 million. Revenue dropped 10.9% year over year because of lower protein prices and unfavorable foreign exchange rates.
Feed ingredients revenue fell to $476.2 million for the latest quarter from $547.5 million for the same quarter last year, while food ingredients revenue dropped to $247.9 million from $270.2 million during the same period.
"In the feed segment, we saw our global rendering businesses once again adjust to falling protein prices during the quarter, but volume increases and strengthening fat prices partially offset the headwinds," CEO Randall Stuewe said in a statement.
Separately, Darling Ingredients has a "hold" rating and a letter grade of C at TheStreet Ratings because of the company's impressive record of earnings per share growth, attractive valuation levels and good cash flow from operations, which offset generally higher debt management risk and poor profit margins.
You can view the full analysis from the report here: DAR
TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.