Core Insights - Montauk Renewables, Inc. reported a significant decline in financial performance for the third quarter of 2025, with total revenues of $45.3 million, down 31.3% from $65.9 million in the same quarter of 2024 [3][5] - The decrease in revenues is attributed to a reduction in the number of Renewable Identification Numbers (RINs) self-marketed from 2025 RNG production, alongside a notable drop in average realized RIN prices [2][3] - The company produced approximately 1.4 million Metric Million British Thermal Units (MMBtu) of RNG, reflecting a slight increase of 3.8% compared to the third quarter of 2024 [4][5] Financial Performance - Total revenues for Q3 2025 were $45.3 million, a decrease of $20.6 million (31.3%) compared to Q3 2024 [3] - Average realized RIN price in Q3 2025 was $2.29, down approximately 31.4% from $3.34 in Q3 2024 [3][5] - Operating income fell to $4.4 million, a decrease of 80.4% from $22.7 million in Q3 2024 [3] - Net income for Q3 2025 was $5.2 million, down 69.5% from $17.0 million in Q3 2024 [3] Operational Highlights - RNG production in Q3 2025 was approximately 1.4 million MMBtu, an increase of 53 thousand MMBtu compared to the same period in 2024 [4] - The Rumpke facility contributed to increased production due to higher feedstock gas availability [4] - The company sold 12.4 million RINs in Q3 2025, a decrease of 3.3 million RINs (21.2%) year-over-year [5] Cost and Expenses - Operating and maintenance expenses for RNG facilities increased to $13.9 million, up 10.6% from $12.6 million in Q3 2024 [3] - General and administrative expenses decreased to $6.5 million, down 35.1% from $10.0 million in Q3 2024, primarily due to accelerated vesting of restricted share awards [3] Future Outlook - The company expects RNG revenues to range between $150 million and $170 million for the full year, with production volumes anticipated between 5.8 million and 6.0 million MMBtu [11] - Renewable Electricity Generation (REG) revenues are projected to be between $17 million and $18 million, with production volumes expected between 175 thousand and 180 thousand MWh [11]

Core Viewpoint - Montauk Renewables, Inc. reported flat total revenues for 2024 compared to 2023, with significant challenges in RIN sales impacting profitability despite an increase in RNG production volumes [1][3][4]. Financial Performance - Total revenues for 2024 were $175.7 million, unchanged from $174.9 million in 2023 [3][4]. - Net income decreased by 34.9% to $9.7 million in 2024 from $14.9 million in 2023 [4][19]. - Average realized RIN price increased by 21.0% to $3.28 in 2024 from $2.71 in 2023 [3][4]. - Operating income fell by 31.3% to $16.1 million in 2024 compared to $23.6 million in 2023 [3][19]. - Non-GAAP Adjusted EBITDA decreased by 8.3% to $42.6 million in 2024 from $46.5 million in 2023 [4][25]. Operational Highlights - RNG production increased by 1.6% to approximately 5.6 million MMBtu in 2024 compared to 5.5 million MMBtu in 2023 [4][5]. - RINs sold decreased by 18.5% to 36.6 million in 2024, down from 45.1 million in 2023 [4][5]. - The company had 6.8 million unsold RINs at the end of 2024, an increase of 6.7 million from the previous year [4][5]. Development Projects - Montauk Ag Renewables development in North Carolina received approval for its New Renewable Energy Facility [2]. - The company has long-term agreements with farms to access waste from at least 200,000 hog spaces to support processing needs [2]. - A project to convert the existing Tulsa Renewable Electric Generation facility to an RNG facility is anticipated to require a capital investment of $25.0 million to $35.0 million, with a targeted commissioning date in 2027 [2]. Future Outlook - RNG revenues for 2025 are expected to range between $150 million and $170 million, with production volumes anticipated between 5.8 million and 6.0 million MMBtu [10]. - Renewable Electricity revenues are projected to be between $17.0 million and $18.0 million, with production volumes expected between 178,000 and 186,000 MWh [10].