Core Points - Alto Ingredients, Inc. will release its third quarter 2025 financial results on November 5, 2025, after market close [1] - A conference call will be held at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time, featuring prepared remarks and a Q&A session [1] - The webcast will be archived for one year on the company's website [2] Company Overview - Alto Ingredients, Inc. is a leading producer and distributor of specialty alcohols, renewable fuels, and essential ingredients [3] - The company serves a diverse range of markets including Health, Home & Beauty; Food & Beverage; Industry & Agriculture; Essential Ingredients; and Renewable Fuels [3] - More information about the company can be found on its website [3]

Group 1 - The article does not provide any specific information or insights regarding a company or industry [1]

Summary of Alto Ingredients Conference Call - October 21, 2025 Company Overview - **Company**: Alto Ingredients (NasdaqCM:ALTO) - **Industry**: Renewable fuels, ethanol production, and related products Key Points and Arguments Company Evolution and Strategy - Alto Ingredients began as a small ethanol brokering firm 25 years ago and evolved into a renewable fuel ethanol producer with multiple plants on the West Coast [5][6] - The company faced challenges due to increased corn costs, leading to the sale of two California facilities and idling the Burley, Idaho plant [6][8] - A shift towards high protein and corn oil expansion technology was initiated, but market conditions led to idling the facility [7][9] - The acquisition of a liquid CO2 processing facility has stabilized earnings and contributed positively to the portfolio [10][12] Diversification and Product Portfolio - Alto Ingredients diversified its operations by acquiring plants in the Midwest, allowing entry into various markets such as industrial, pharmaceutical, and beverage [11][12] - The PEAKIN campus includes facilities capable of producing renewable fuels, high-quality alcohols, and various protein products, enhancing product mix and market flexibility [12][13] - The company rebranded in 2021 to reflect its broader product offerings beyond ethanol [13] Financial Performance and Cost Management - The company has focused on improving profitability by reducing expenses, including an $8 million annual reduction through staffing adjustments [14] - Integration of Eagle Alcohol's distribution center with Kennergy marketing segment has eliminated redundancies and improved customer service [15] Growth Opportunities - CO2 utilization is a significant growth opportunity, with the Columbia facility capable of processing 170,000 tons of CO2 annually [16][17] - Regulatory changes, such as the 45Z tax credits, are expected to enhance profitability, with potential earnings of $4 million to $8 million from the Columbia facility starting in 2025 [22][23] - The shift to E15 blends could increase demand for ethanol by 50%, providing a substantial market opportunity [25][26] Regulatory Environment - Positive regulatory changes, including support for E15 and 45Z credits, are seen as tailwinds for the industry [21][25] - The company is assessing the impact of recent regulations on carbon capture projects, particularly in Illinois [20][30] Market Dynamics - The demand for CO2 is increasing, particularly in the beverage sector, with limited competition in the West Coast market [31] - The company is exploring opportunities to maximize the value of its CO2 production through investments in capture and compression equipment [18][19] Additional Important Information - The company has shifted production focus from renewable fuels to high-quality alcohols, which currently yield higher margins [29] - Alto Ingredients is dedicated to operational excellence and strategic diversification to capture market opportunities [29] This summary encapsulates the key insights from the conference call, highlighting the company's strategic direction, financial performance, growth opportunities, and the regulatory landscape affecting its operations.

Core Insights - Alto Neuroscience, Inc. is accelerating the development of ALTO-207 for treatment-resistant depression (TRD) following a successful FDA meeting [1] - The company announced a $50 million private placement to support the expanded development of ALTO-207 [1] Company Overview - Alto Neuroscience is a clinical-stage biopharmaceutical company focused on developing novel precision medicines for neuropsychiatric disorders [1] Financial Aspects - The recent $50 million private placement will facilitate the advancement of ALTO-207 [1]

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Alto Neuroscience, Inc. (NYSE:ANRO) on behalf of long-term stockholders due to a class action complaint alleging breaches of fiduciary duties by the board of directors [1][6]. Company Overview - Alto Neuroscience, Inc. is facing scrutiny following a class action complaint filed on July 21, 2025, concerning the period from February 2, 2024, to October 22, 2024 [1]. - The complaint alleges that the Offering Documents related to Alto's IPO were negligently prepared and that the effectiveness of ALTO-100 in treating Major Depressive Disorder (MDD) was overstated [6]. Financial Impact - On October 22, 2024, Alto announced that ALTO-100 did not meet its primary endpoint in a Phase 2b trial for MDD, leading to a significant stock price drop of $10.17 per share, or 69.99%, closing at $4.36 per share on October 23, 2024 [6].

Core Viewpoint - Alto Ingredients, Inc. is actively engaging with investors by participating in the LD Micro Main Event XIX, indicating a focus on investor relations and market presence [1]. Company Overview - Alto Ingredients, Inc. (NASDAQ: ALTO) is a prominent producer and distributor of specialty alcohols, renewable fuels, and essential ingredients [2]. - The company serves a diverse range of markets, including Health, Home & Beauty; Food & Beverage; Industry & Agriculture; Essential Ingredients; and Renewable Fuels [2]. Event Participation - Management plans to present at the LD Micro Main Event XIX on October 21, 2025, at 1:00 pm PT, and will also conduct one-on-one meetings with investors [1]. - Presentation materials and a webcast will be available on the company's website [1].

Core Insights - Alto Ingredients, Inc. welcomes the signing of Assembly Bill 30, which authorizes the sale of E15 fuel in California, enabling the company to meet the rising demand for affordable, domestically produced ethanol blends while supporting clean energy goals [1][2][3] Company Positioning - With the approval of E15 fuel sales, ethanol consumption in California could increase by over 600 million gallons annually, positioning Alto Ingredients to leverage its production capacity of up to 350 million gallons of low carbon ethanol [2] - The CEO of Alto Ingredients commended the legislation for expanding consumer choice and promoting lower-carbon fuel options, indicating that it validates the role of American ethanol and encourages investment in infrastructure and job creation [3] Industry Impact - The legislation is expected to support California's evolving low carbon transportation fuels market, aligning with the state's ambitious climate objectives [1][2][3]

Group 1 - The company is responsible for the development of transcript-related projects and publishes thousands of quarterly earnings calls each quarter [1] - The coverage of transcript-related content is continuing to grow and expand [1] - The purpose of the profile is to share new developments related to transcripts with readers [1]

Core Insights - Alto Ingredients, Inc. is set to participate in the H.C. Wainwright 27th Annual Global Investment Conference on September 9, 2025, in New York City [1] - The company will conduct one-on-one meetings and present at 9:00 am ET, with presentation materials and webcast available on their website [2] Company Overview - Alto Ingredients, Inc. is a leading producer and distributor of specialty alcohols, renewable fuels, and essential ingredients, serving various markets including Health, Home & Beauty, Food & Beverage, Industry & Agriculture, Essential Ingredients, and Renewable Fuels [3]

PART I - FINANCIAL INFORMATION [Financial Statements](index=3&type=section&id=ITEM%201.%20FINANCIAL%20STATEMENTS.) The unaudited statements show decreased net sales, a shift to a gross loss, and a significantly wider net loss year-over-year Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total Current Assets** | $149,725 | $153,118 | | **Total Assets** | $393,065 | $401,438 | | **Total Current Liabilities** | $42,513 | $57,804 | | **Long-term debt, net** | $118,323 | $92,904 | | **Total Liabilities** | $185,220 | $176,375 | | **Total Stockholders' Equity** | $207,845 | $225,063 | Consolidated Statements of Operations Highlights (in thousands, except per share data) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | **Net sales** | $218,436 | $236,468 | $444,976 | $477,097 | | **Gross profit (loss)** | $(1,937) | $7,553 | $(3,744) | $5,153 | | **Loss from operations** | $(8,108) | $(1,408) | $(17,105) | $(11,740) | | **Net loss** | $(10,997) | $(3,106) | $(22,676) | $(14,831) | | **Net loss per share** | $(0.15) | $(0.05) | $(0.31) | $(0.21) | Consolidated Statements of Cash Flows Highlights (Six Months Ended June 30, in thousands) | Cash Flow Activity | 2025 | 2024 | | :--- | :--- | :--- | | **Net cash used in operating activities** | $(19,079) | $(12,299) | | **Net cash used in investing activities** | $(10,534) | $(12,097) | | **Net cash provided by financing activities** | $23,893 | $7,327 | | **Net change in cash** | $(5,720) | $(17,069) | [Notes to Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Notes detail the $7.6 million Kodiak Carbonic acquisition, segment performance shifts, increased debt, and commodity hedging activities - On January 1, 2025, the company acquired Kodiak Carbonic, LLC, a beverage-grade liquid CO2 processor, for **$7.6 million in cash** to achieve further vertical integration[27](index=27&type=chunk)[38](index=38&type=chunk) - Long-term debt increased to **$118.3 million** as of June 30, 2025, from $92.9 million at December 31, 2024, primarily due to increased borrowings on the Kinergy line of credit[55](index=55&type=chunk) - The company recognized net gains of **$4.4 million** and **$11.6 million** from non-designated commodity hedging contracts for the six months ended June 30, 2025 and 2024, respectively[51](index=51&type=chunk)[179](index=179&type=chunk) Gross Profit (Loss) by Segment (in thousands) | Segment | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | **Pekin Campus production** | $(5,845) | $10,144 | $(8,920) | $14,410 | | **Marketing and distribution** | $4,002 | $3,172 | $7,916 | $6,702 | | **Western production** | $1,858 | $(3,761) | $601 | $(12,347) | [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=21&type=section&id=ITEM%202.%20MANAGEMENT'S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS.) Adjusted EBITDA improved by nearly $6.0 million YoY in Q2 2025 due to cost savings and operational enhancements [Financial Review, Current Initiatives and Outlook](index=24&type=section&id=Financial%20Review%2C%20Current%20Initiatives%20and%20Outlook) Adjusted EBITDA improved by nearly $6.0 million YoY despite a net loss, with a focus on high-return projects and Section 45Z tax credits - **Adjusted EBITDA improved by nearly $6.0 million** in Q2 2025 compared to Q2 2024, driven by rightsizing corporate overhead and other efficiency initiatives[94](index=94&type=chunk) - The Western assets segment became profitable, with **gross profit improving by $5.6 million** year-over-year, due to the CO2 facility acquisition and the decision to cold-idle the Magic Valley facility[96](index=96&type=chunk) - The company expects to benefit from the Section 45Z tax credits, estimating up to **$4.0 million in 2025** and **$8.0 million in 2026** for its Colombia plant, with plans to increase credits across all eligible facilities[103](index=103&type=chunk) - A new Illinois law (Senate Bill 1723) **prohibits CO2 sequestration through the Mahomet aquifer**, impacting the company's current carbon capture and storage (CCS) project plans[101](index=101&type=chunk) [Results of Operations](index=26&type=section&id=Results%20of%20Operations) Q2 2025 saw a 7.6% YoY decrease in net sales and a wider net loss, driven by lower prices and operational issues - The decline in Q2 gross profit was primarily due to a net unfavorable change of **$5.6 million in derivatives**, **$5.5 million from lower market crush margins**, and a **$2.7 million adverse impact** from a loading dock outage[129](index=129&type=chunk)[130](index=130&type=chunk)[132](index=132&type=chunk) - The Pekin Campus segment's gross profit **declined by $16.0 million YoY** in Q2, while the Western Production segment's gross profit **improved by $5.3 million**[133](index=133&type=chunk)[136](index=136&type=chunk) Q2 2025 vs Q2 2024 Performance (in thousands) | Metric | Q2 2025 | Q2 2024 | Variance ($) | Variance (%) | | :--- | :--- | :--- | :--- | :--- | | **Net sales** | $218,436 | $236,468 | $(18,032) | (7.6)% | | **Gross profit (loss)** | $(1,937) | $7,553 | $(9,490) | NM | | **SG&A expenses** | $6,171 | $8,961 | $(2,790) | (31.1)% | [Liquidity and Capital Resources](index=36&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains sufficient liquidity for the next twelve months with $30.5 million in cash and available credit - The company believes it has **sufficient liquidity** to meet its needs for at least the next twelve months, with $4.8 million available under its line of credit and $65.0 million potentially available for capital projects[155](index=155&type=chunk) - For the six months ended June 30, 2025, cash used in operations was **$19.1 million**, cash used in investing was **$10.5 million**, and cash provided by financing was **$23.9 million**[161](index=161&type=chunk) Liquidity Position (in thousands) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Cash, cash equivalents and restricted cash** | $30,491 | $36,211 | | **Working capital** | $107,212 | $95,314 | | **Long-term debt, noncurrent portion** | $118,323 | $92,904 | [Quantitative and Qualitative Disclosures About Market Risk](index=40&type=section&id=ITEM%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK.) The company faces significant commodity price risk, with a 10% adverse change potentially impacting pre-tax income by over $12 million - The company's business is sensitive to price changes in ethanol and corn, and it uses derivative instruments to manage this risk[174](index=174&type=chunk)[178](index=178&type=chunk) Market Risk Sensitivity Analysis (Pre-Tax Income Impact) | Commodity | Hypothetical Adverse Change | Approximate Impact (in millions) | | :--- | :--- | :--- | | **Ethanol** | 10% | $(13.5) | | **Corn** | 10% | $(12.9) | [Controls and Procedures](index=41&type=section&id=ITEM%204.%20CONTROLS%20AND%20PROCEDURES.) Management concluded that disclosure controls and procedures were effective, with no material changes to internal controls - The CEO and CFO concluded that the company's **disclosure controls and procedures were effective** as of June 30, 2025[181](index=181&type=chunk) - **No changes in internal control over financial reporting** occurred during the quarter that materially affected, or are reasonably likely to materially affect, internal controls[182](index=182&type=chunk) PART II - OTHER INFORMATION [Legal Proceedings](index=42&type=section&id=ITEM%201.%20LEGAL%20PROCEEDINGS.) Ordinary course legal proceedings are not expected to have a material adverse effect on the company's financials - The company is subject to ordinary course legal proceedings but **does not expect them to have a material adverse impact** on its financial condition or operations[186](index=186&type=chunk) [Risk Factors](index=42&type=section&id=ITEM%201A.%20RISK%20FACTORS.) The company faces significant business, financial, and regulatory risks, including commodity volatility and CCS project hurdles [Risks Related to our Business](index=42&type=section&id=Risks%20Related%20to%20our%20Business) Profitability is highly dependent on volatile commodity spreads, and the business is exposed to operational disruption risks - The company's results are **highly dependent on its ability to manage volatile commodity prices** for inputs like corn and natural gas against the prices of its alcohol and essential ingredient products[189](index=189&type=chunk) - Disruptions in production or distribution, such as the damage to the Pekin Campus loadout dock in April 2025, can **negatively impact logistics and increase costs**[199](index=199&type=chunk) - The company may suffer losses from hedging activities, which are used to mitigate price volatility but also **expose the company to counterparty and market risks**[196](index=196&type=chunk)[197](index=197&type=chunk) [Risks Related to our Finances](index=47&type=section&id=Risks%20Related%20to%20our%20Finances) A history of net losses, substantial indebtedness, and significant execution risks for capital projects threaten financial stability - The company has a history of significant losses, including a **consolidated net loss of $23.3 million** for the first six months of 2025[211](index=211&type=chunk) - The Carbon Capture and Storage (CCS) project is subject to significant risks, including regulatory hurdles and new Illinois legislation (Senate Bill 1723) that **prohibits sequestration through the Mahomet aquifer**, impacting current plans[212](index=212&type=chunk)[213](index=213&type=chunk) - The ability to qualify for and receive anticipated **Section 45Z tax credits is uncertain** and depends on producing low carbon fuel at specific volumes and carbon intensities[218](index=218&type=chunk) [Risks Related to Legal and Regulatory Matters](index=49&type=section&id=Risks%20Related%20to%20Legal%20and%20Regulatory%20Matters) Dependence on renewable fuel mandates and new state laws impacting the CCS project pose significant regulatory risks - The domestic market for fuel-grade ethanol is **significantly impacted by federal mandates**, and any changes to these regulations could materially harm results[233](index=233&type=chunk) - The company's CCS project may be adversely affected by the SAFE CCS Act and Illinois Senate Bill 1723, which impose new safety requirements, a **moratorium on pipeline construction**, and prohibit sequestration in a key aquifer[227](index=227&type=chunk)[228](index=228&type=chunk) - The recent Supreme Court decision overturning the Chevron doctrine may result in **less favorable agency interpretations of laws and regulations**, potentially affecting the Renewable Fuel Standard and tax credits[240](index=240&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=55&type=section&id=ITEM%202.%20UNREGISTERED%20SALES%20OF%20EQUITY%20SECURITIES%20AND%20USE%20OF%20PROCEEDS.) The company reported no unregistered sales, withheld shares for tax obligations, and does not plan to pay dividends - **No unregistered sales of equity securities** occurred during the period[257](index=257&type=chunk) - The company **does not intend to pay cash dividends** on its common stock in the foreseeable future[263](index=263&type=chunk) Repurchases of Equity Securities (Q2 2025) | Month | Number of Shares Withheld | Deemed Purchase Price Per Share | Aggregate Purchase Price | | :--- | :--- | :--- | :--- | | **April** | 340,886 | $1.12 | $381,792 | | **May** | — | $— | $— | | **June** | — | $— | $— | [Defaults Upon Senior Securities](index=56&type=section&id=ITEM%203.%20DEFAULTS%20UPON%20SENIOR%20SECURITIES.) The company reports no defaults upon senior securities during the period - There were **no defaults upon senior securities**[265](index=265&type=chunk) [Mine Safety Disclosures](index=56&type=section&id=ITEM%204.%20MINE%20SAFETY%20DISCLOSURES.) The company has no mine safety disclosures to report for the period - There are **no mine safety disclosures**[266](index=266&type=chunk) [Other Information](index=56&type=section&id=ITEM%205.%20OTHER%20INFORMATION.) No directors or officers reported the adoption or termination of Rule 10b5-1 trading arrangements during the quarter - **No directors or officers reported** the adoption or termination of a Rule 10b5-1 trading arrangement during the quarter[267](index=267&type=chunk) [Exhibits](index=57&type=section&id=ITEM%206.%20EXHIBITS.) The filing includes required CEO/CFO certifications and Inline XBRL data files as exhibits - The report includes required certifications from the CEO and CFO (Exhibits 31.1, 31.2, 32.1) and XBRL data files[268](index=268&type=chunk)