FF · FutureFuel Corp.

FutureFuel Corp. announced first quarter 2026 results showing significant revenue growth to $32.0 million, an 82.2% increase from $17.5 million in the prior year, fueled by 61.6% higher volumes and 20.6% blended price increases across Chemicals and Biofuels segments. Chemicals revenue rose 109.6% to $19.6 million, with custom chemicals up 65.0% to $5.5 million from energy customer demand and performance chemicals surging to $5.8 million from new programs. Biofuels revenue grew 50.7% to $12.3 million, supported by 18.8% higher gallons sold and $1.2 million in new 45Z credits. Despite this, the company posted a $20.6 million net loss, widening from $18.1 million last year, due to a $15.9 million gross loss. Key headwinds included an $11.6 million derivative fair value loss (with $9.1 million realized) and $3.2 million from Winter Storm Fern's 30-day Batesville outage, plus $1.0 million additional Q2 repairs expected. Adjusted EBITDA improved to negative $13.8 million from negative $16.1 million, with management noting $12.6 million better performance excluding disruptions. CEO Rolet highlighted strategic progress, including record customer pipeline, 54% Chemicals utilization (up from 33%), and a $25 million customer-funded capacity expansion at Batesville for 2026 (plus up to $17 million in 2027), expecting online in early 2028 with recurring revenue. Biofuels benefits from EPA's Set 2 RFS mandating 60% production growth and Treasury's 45Z proposals leveling competition. CFO Sparks guided positive full-year 2026 Adjusted EBITDA excluding non-cash derivatives, with >65% capex customer-funded and $27 million deposits expected. Liquidity stood at $22.4 million cash as of March 31, 2026, with no revolver draws; dividend cut to $0.01/share supports growth and $25 million buyback authorization remains full.