Green Plains Inc. Reports Revenue Increase but Wider Net Loss in Q1 2025

Green Plains Inc. reported a slight increase in revenues for the first quarter of 2025, totaling $601.5 million, compared to $597.2 million in the same period of 2024. The company's net loss attributable to shareholders widened to $72.9 million, or $1.14 per share, from a loss of $51.4 million, or $0.81 per share, in the prior year. This increase in net loss was primarily driven by lower margins in both the ethanol production and agribusiness segments, alongside restructuring costs of $16.6 million related to a corporate reorganization initiative.

The company's ethanol production segment experienced a revenue decline of $7.9 million, attributed to lower sales volumes of ethanol, distillers grains, and renewable corn oil, despite higher average selling prices for ethanol. Conversely, the agribusiness and energy services segment saw a revenue increase of $10.8 million, largely due to higher natural gas prices and trading volumes. Overall, the total costs and expenses rose to $663.8 million from $642.1 million year-over-year, reflecting increased selling, general, and administrative expenses.

In terms of operational metrics, Green Plains maintained an average utilization rate of approximately 87.7% of capacity, producing 195.2 million gallons of ethanol during the quarter. The company also reported a significant increase in its employee headcount, reflecting ongoing strategic initiatives and restructuring efforts. The total assets of Green Plains decreased to $1.67 billion as of March 31, 2025, down from $1.78 billion at the end of 2024, primarily due to reductions in cash and cash equivalents and inventories.

Strategically, Green Plains completed a merger with Green Plains Partners in January 2024, which has been accounted for as an equity transaction. The company is also focusing on carbon capture and sequestration projects at its Nebraska facilities, with completion expected in late 2025. Additionally, Green Plains has idled its Clean Sugar Technology facility in Shenandoah, Iowa, to optimize its product mix and maximize returns. The company is exploring new market opportunities, including a joint venture with United Airlines to develop sustainable aviation fuel.

Looking ahead, Green Plains anticipates continued challenges due to fluctuating commodity prices and market conditions. The company is actively pursuing cost reduction initiatives and strategic partnerships to enhance operational efficiency and shareholder value. The management remains optimistic about the long-term potential of its low-carbon products and technologies, which are expected to align with evolving regulatory frameworks and market demands for sustainable energy solutions.