OPAL · OPAL Fuels Inc.

OPAL Fuels reported first quarter 2026 results that reflected a challenging operating environment, with revenue declining 14% year-over-year to $73.4 million. The decrease was driven by a lower RIN price environment and the absence of incremental RNG production sales that benefited the prior-year period following biogas regulatory reforms. Net loss was $5.6 million compared to net income of $1.3 million in Q1 2025, and diluted EPS was $(0.09) versus $(0.01). Adjusted EBITDA fell to $16.7 million from $20.1 million. Despite these headwinds, RNG production increased 9% to 1.2 million MMBtu, attributed to operational improvements across the platform. Management highlighted that production trends have improved and environmental credit prices are firming. The company completed several financing transactions in the quarter, including a $180 million preferred stock facility (with $120 million initially drawn) and a $23 million sale of IRA Investment Tax Credits for its Atlantic facility. In April, it entered into a $100 million Master Agreement to monetize 45Z Production Tax Credits. The company maintains its full-year 2026 guidance, citing supportive regulatory backdrop from IRA, 45Z, and EPA's Set Rule 2. Management commentary noted growing momentum in fleet conversions to CNG and RNG in heavy-duty trucking, driven by diesel pricing, regulatory clarity, and successful engine tests. The Fuel Station Services segment saw a 4% decline in total volume delivered to 39.0 million GGEs, with RNG dispensed down 8% to 17.9 million GGEs. Capital expenditures increased to $24.4 million from $11.6 million in the prior year, reflecting investment in RNG projects and fueling stations. Liquidity stood at $232.5 million as of March 31, 2026.