Darling Ingredients Inc. reported net income of $16.9 million, or $0.11 per diluted share, for the third quarter of 2024, a substantial decrease from $125.0 million, or $0.77 per diluted share, in the third quarter of 2023. Total net sales for the quarter were $1.4 billion, down from $1.6 billion in the prior year period.
The decline in financial performance was primarily attributed to a sharp year-over-year decrease in fat prices and lower earnings from the Diamond Green Diesel (DGD) joint venture. Despite these headwinds, the company reduced its debt by approximately $192 million during the quarter, supported by core ingredients cash flows and DGD dividends.
DGD sold 316.6 million gallons of renewable diesel in Q3 2024 at an average of $0.25 per gallon EBITDA, and Darling Ingredients received $111.2 million in cash dividends from DGD. For the full fiscal year 2024, Darling Ingredients expects combined adjusted EBITDA to be between $1.15 billion and $1.175 billion, reflecting assumptions of steady raw material volumes, volatile global commodity markets, and uncertain regulatory programs.
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