Aemetis(US:AMTX)2024-08-02 22:42Revenue Performance - For the three months ended June 30, 2024, total revenues increased by 47.5% to $66.6 million compared to $45.1 million in the same period of 2023[149]. - The California Ethanol segment generated $40.1 million in revenue, a 254.1% increase from $11.3 million in the prior year, driven by the full operation of the Keyes Plant[149]. - The California Dairy Renewable Natural Gas segment saw revenues rise by 661.0% to $1.6 million, with 88.0 thousand MMBtu of RNG sold at an average price of $2.19 per MMBtu[149][150]. - India Biodiesel revenues decreased by 26.0% to $24.8 million, primarily due to limited customer access and feedstock pricing issues[149]. - Total revenues for the six months ended June 30, 2024, were $139,195 million, a 194.5% increase from $47,263 million in the same period of 2023[162]. - California Ethanol segment revenues surged by 545.6% to $76,221 million, attributed to operating the Keyes Plant for six full months in 2024[162]. - The company sold 28.9 million gallons of ethanol at an average price of $1.89 per gallon for the six months ended June 30, 2024, compared to 2.9 million gallons at $3.08 per gallon in 2023[162]. Cost and Profitability - Cost of goods sold for the California Ethanol segment increased by 222.6% to $44.1 million, reflecting higher operational costs post-maintenance[152]. - The gross loss for the California Ethanol segment was $3.9 million for Q2 2024, compared to a loss of $2.3 million in Q2 2023, attributed to low ethanol prices[154]. - The California Dairy Renewable Natural Gas segment reduced its gross loss to $136, a significant improvement from a loss of $1.1 million in the prior year[155]. - The India Biodiesel segment's gross profit decreased by 57.9% to $2.3 million, impacted by a 21% drop in sales volume and a 9% decrease in biodiesel prices[155]. - Cost of goods sold (COGS) increased to $141,613 million, a 203.9% rise from $46,602 million in the previous year[165]. - California Ethanol COGS rose by 506.7% to $85,800 million, reflecting increased operational costs after the Keyes Plant's maintenance[165]. - Gross profit for the California Dairy Renewable Natural Gas segment improved to $2,074 million, compared to a gross loss of $1,837 million in the previous year[169]. Expenses and Financial Position - Selling, general and administrative (SG&A) expenses increased by $2,054 million, a 21.1% change, reaching $11,800 million for the three months ended June 30, 2024[159]. - Interest expense rose to $9,904 million, an increase of $1,605 million or 19.3% compared to the previous year, driven by new debt and rising interest rates[160]. - Cash and cash equivalents decreased to $234 thousand as of June 30, 2024, down from $2,667 thousand at the end of 2023[176]. - Current ratio declined to 0.20 at June 30, 2024, compared to 0.43 at December 31, 2023, indicating reduced liquidity[174]. - Net cash used in operating activities for the six months ended June 30, 2024, was $15.5 million, with a net loss of $53.4 million[187]. - Cash provided by financing activities was $18.7 million, including $15.9 million from sales of common stock[188]. - Working capital changes included an $8.4 million decrease in inventories and a $2.4 million decrease in cash[185]. Future Plans and Developments - Aemetis plans to initiate construction on additional digesters in Q3 2024, expanding its biogas production capacity[140]. - The company is developing a sustainable aviation fuel and renewable diesel production plant with a capacity of 90 million gallons per year, located in Riverbank, California[143]. - The company plans to continue operating existing dairy RNG digesters and build new ones, expecting to generate revenue from D3 RIN sales and LCFS credits in 2024[180]. - The Kakinada Plant has had positive gross income for the last two years and plans to enter cost-plus contracts with OMCs as primary customers[181]. - The company is seeking multiple sources of additional project funding to accelerate the addition of new digesters[180]. Compliance and Governance - The company is implementing a remediation plan to address material weaknesses in internal controls over financial reporting[192]. - Aemetis Biogas LLC entered a Sixth Waiver and Amendment to Series A Purchase Agreement on July 31, 2024[196]. - The amendment is effective as of April 30, 2024, involving Aemetis Advanced Fuels Keyes, Inc., Aemetis Facility Keyes, Inc., and Third Eye Capital Corporation[197]. - The report includes certifications pursuant to Rule 13a-14(a) and 15d-14(a) under the Securities Exchange Act of 1934, as amended[197]. - The company is in compliance with Section 302 of the Sarbanes-Oxley Act of 2002, ensuring the accuracy of financial reporting[197]. - The report was signed by Eric A. McAfee, Chair of the Board and CEO, and Todd A. Waltz, Executive Vice President and CFO, on August 2, 2024[203].