Exhibit 99.1
|
External Investor Relations Contact:
Kirin Smith
PCG Advisory Group
(646) 863-6519
|
|
|
Investor Relations/
Media Contact:
Todd
Waltz
(408) 213-0940
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Aemetis, Inc. Reports Second Quarter 2021 Financial
Results
CUPERTINO, Calif. – August 12, 2021 - Aemetis, Inc.
(NASDAQ: AMTX), an advanced renewable
fuels and biochemicals company, today announced its financial
results for the three and six months ended June 30,
2021.
“Revenues from ethanol sales in the second quarter of 2021
increased 16% compared to the second quarter of 2020 as economic
recovery from COVID-19 continues to create increased demand for
liquid transportation fuels along with its associated stronger
pricing,” said Todd Waltz, Chief Financial Officer of
Aemetis. “North America revenues during the second
quarter of 2021 increased to $54.7 million compared to $45.2
million during the second quarter of 2020. Capital expenditures for
ultra-low carbon projects were $12.9 million for the first six
months of 2021 as our engineering and construction teams progress
with the initiatives outlined in our previously announced Five Year
Plan,” added Waltz.
“We are pleased with the milestones accomplished during the
second quarter of 2021, including progress in engineering and
permitting the next 32 miles of biogas pipeline and several dairy
digesters,” said Eric McAfee, Chairman and CEO of Aemetis.
“The Aemetis Biogas RNG project received approval for a
Low Carbon Fuel Standard pathway that established a -426 carbon
intensity for our dairy RNG biogas project, and we received
California Environmental Quality Act approval
for the 32-mile extension to our existing 4-mile biogas
pipeline, in addition to an encroachment permit to construct
approximately 20 miles of pipeline in Stanislaus County. We
also expanded the team managing the Aemetis Carbon Capture
subsidiary to inject CO2 emissions into sequestration wells which
are expected to be drilled at our two biofuels plant sites in
California above unique shale formations. We invite investors
to review the updated Aemetis Corporate Presentation on the Aemetis
home page prior to the earnings call.”
Today, Aemetis will host an earnings review call at 11:00 a.m.
Pacific time (PT).
Live Participant Dial In (Toll Free): +1-844-602-0380
Live Participant Dial In (International): +1-862-298-0970
Webcast URL: https://www.webcaster4.com/Webcast/Page/2211/42353
For details on the call, please visit http://www.aemetis.com/investors/conference-calls/
Financial Results for the Three Months Ended June 30,
2021
Revenues during the second quarter of 2021 were $54.9 million
compared to $47.8 million for the second quarter of 2020. Our North
America operations in the second quarter of 2021, as compared to
the second quarter of 2020, experienced steady sales volume with an
increase in the selling price of ethanol from $2.63 per gallon to
$2.78 per gallon, and an increase in the delivered corn price from
an average of $4.55 per bushel during the second quarter of 2020 to
$8.04 per bushel during the second quarter of 2021. Increased
COVID-19 infection rates and high stearin costs negatively impacted
sales in India.
Gross profit for the second quarter of 2021 was $3.6 million,
compared to $14.1 million during the second quarter of 2020. Our
North America segment accounted for substantially all of the
reported, consolidated gross profit in both periods.
Selling, general and administrative expenses were $5.8 million
during the second quarter of 2021, compared to $4.0 million during
the second quarter of 2020 as a result of period expenses incurred
as part of the development of our ultra-low carbon
initiatives.
Operating loss was $2.1 million for the second quarter of 2021,
compared to an operating income of $10.0 million for the second
quarter of 2020 resulting from a combination of lower demand for
the higher profitability industrial alcohol products and rising
corn prices.
Interest expense during the second quarter of 2021 was $5.2
million, excluding accretion and other expenses in connection with
Series A preferred units in our Aemetis Biogas LLC subsidiary,
compared to $6.2 million during the second quarter of 2020.
Additionally, our Aemetis Biogas LLC subsidiary recognized $3.8
million of accretion and other expenses in connection with
preference payments on its preferred stock during the second
quarter of 2021 compared to $1.4 million during the second quarter
of 2020.
Net loss was $10.6 million for the second quarter of 2021, compared
to a net income of $2.2 million for the second quarter of
2020.
Cash at the end of the second quarter of 2021 increased to $7.2
million, compared to $0.6 million at the end of 2020. Capital
expenditures increased property, plant and equipment by $12.9
million driven by investments in our ultra-low carbon initiatives
and company debt decreased by $48.7 million compared to December
31, 2020.
Financial Results for the Six Months Ended June 30,
2021
Revenues were $97.7 million for the first half of 2021, compared to
$87.3 million for the first half of 2020, driven by an increase in
the selling price of ethanol from $2.08 per gallon to $2.34 per
gallon on increased volumes of 1.2 million gallons from 29.6
million gallons to 30.8 million gallons.
Gross profit for the first half of 2021 was $38 thousand, compared
to $13.6 million during the first half of 2020, primarily
attributable to delivered corn price increasing from $4.89 per
bushel during the first half of 2020 to $7.44 per bushel during the
first half of 2021.
Selling, general and administrative expenses were $11.1 million
during the first half of 2021, compared to $8.0 million during the
first half of 2020.
Operating loss was $11.1 million for the first half of 2021,
compared to an operating income of $5.5 million for the first half
of 2020.
Interest expense was $12.4 million during the first half of 2021,
excluding accretion and other expenses of Series A preferred units
in our Aemetis Biogas LLC subsidiary, compared to interest expense
of $13.1 million during the first half of 2020. Additionally, our
Aemetis Biogas LLOC subsidiary recognized $5.7 million of accretion
and other expenses in connection with preference payments on its
preferred stock during the first half of 2021 compared to $2.3
million during the first half of 2020.
Net
loss for the first half of 2021 was $28.7 million, compared to a
net loss of $9.9 million in 2020.
About Aemetis
Aemetis has a mission to transform renewable energy with below zero
carbon intensity transportation fuels. Aemetis has launched the
Carbon Zero production process to decarbonize the transportation
sector using today's infrastructure.
Aemetis Carbon Zero products include zero-carbon fuels that can
"drop-in" to be used in airplanes, truck, and ship fleets. Aemetis
low-carbon fuels have substantially reduced carbon intensity
compared to standard petroleum fossil-based fuels across their
lifecycle.
Headquartered in Cupertino, California, Aemetis is a renewable
natural gas, renewable fuel, and biochemicals company focused on
the acquisition, development, and commercialization of innovative
technologies that replace petroleum-based products and reduce
greenhouse gas emissions. Founded in 2006, Aemetis has completed
Phase 1 and is expanding a California biogas digester network and
pipeline system to convert dairy waste gas into Renewable Natural
Gas (RNG). Aemetis owns and operates a 65 million gallon per year
ethanol production facility in California's Central Valley near
Modesto that supplies about 80 dairies with animal feed. Aemetis
also owns and operates a 50 million gallon per year production
facility on the East Coast of India, producing high-quality
distilled biodiesel and refined glycerin for customers in India and
Europe. Aemetis is developing the Carbon Zero Sustainable Aviation
Fuel (SAF) and renewable diesel fuel biorefineries in California
from renewable oils and orchard and forest waste. Aemetis holds a
portfolio of patents and exclusive technology licenses to produce
renewable fuels and biochemicals. For additional information about
Aemetis, please visit www.aemetis.com.
NON-GAAP FINANCIAL INFORMATION
We have provided non-GAAP measures as a supplement to financial
results based on GAAP. A reconciliation of the non-GAAP measures to
the most directly comparable GAAP measures is included in the
accompanying supplemental data. Adjusted EBITDA is
defined as net income/(loss) plus (to the extent deducted in
calculating such net income) interest expense, gain on
extinguishment, income tax expense, intangible and other
amortization expense, accretion and other expenses of Series A
preferred units, depreciation expense, and share-based compensation
expense.
Adjusted EBITDA is not calculated in accordance with GAAP and
should not be considered as an alternative to net income/(loss),
operating income or any other performance measures derived in
accordance with GAAP or to cash flows from operating, investing or
financing activities as an indicator of cash flows or as a measure
of liquidity. Adjusted EBITDA is presented solely as a supplemental
disclosure because management believes that it is a useful
performance measure that is widely used within the industry in
which we operate. In addition, management uses Adjusted EBITDA for
reviewing financial results and for budgeting and planning
purposes. Adjusted EBITDA measures are not calculated in the same
manner by all companies and, accordingly, may not be an appropriate
measure for comparison between companies.
Safe Harbor Statement
This news release contains forward-looking statements, including
statements regarding our assumptions, projections, expectations,
targets, intentions or beliefs about future events or other
statements that are not historical facts. Forward-looking
statements in this news release include, without limitation,
statements relating to our five-year growth plan, expansion of our
biogas digestor network, development of our carbon sequestration
projects and development of our cellulosic ethanol business in
North America. Words or phrases such as
“anticipates,” “may,” “will,”
“should,” “believes,”
“estimates,” “expects,”
“intends,” “plans,” “predicts,”
“projects,” “showing signs,”
“targets,” “view,” “will likely
result,” “will continue” or similar expressions
are intended to identify forward-looking statements. These
forward-looking statements are based on current assumptions and
predictions and are subject to numerous risks and uncertainties.
Actual results or events could differ materially from those set
forth or implied by such forward-looking statements and related
assumptions due to certain factors, including, without limitation,
competition in the ethanol, biodiesel and other industries in which
we operate, commodity market risks including those that may result
from current weather conditions, financial market risks, customer
adoption, counter-party risks, risks associated with changes to
federal policy or regulation, demand for high grade alcohol and
related products, including hand sanitizers, and other risks detailed in our reports filed with
the Securities and Exchange Commission, including our Annual Report
on Form 10-K for the year ended December 31, 2020, our Quarterly
Report on Form 10-Q for the quarters ended March 31, 2021 and June
30, 2021 and in our subsequent filings with the SEC. We are not
obligated, and do not intend, to update any of these
forward-looking statements at any time unless an update is required
by applicable securities laws.
(Tables follow)
AEMETIS, INC.
CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS
(unaudited, in thousands except per share data)
|
|
Three
months ended
|
Six
months ended
|
||
|
|
June
30,
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June
30,
|
||
|
|
2021
|
2020
|
2021
|
2020
|
|
Revenues
|
$54,884
|
$47,824
|
$97,691
|
$87,304
|
|
Cost of goods
sold
|
51,238
|
33,765
|
97,653
|
73,678
|
|
Gross
profit
|
3,646
|
14,059
|
38
|
13,626
|
|
|
|
|
|
|
|
Research and
development expense
|
21
|
21
|
44
|
138
|
|
Selling, general
and admin. expense
|
5,753
|
4,049
|
11,135
|
7,985
|
|
Operating income
(loss)
|
(2,128)
|
9,989
|
(11,141)
|
5,503
|
|
|
|
|
|
|
|
Interest
expense
|
|
|
|
|
|
Interest rate
expense
|
4,529
|
5,574
|
10,494
|
11,160
|
|
Debt related fees
and Amortization expense
|
690
|
614
|
1,905
|
1,904
|
|
Accretion and other
expenses of Series A preferred units
|
3,800
|
1,362
|
5,743
|
2,322
|
|
Gain on debt
extinguishment
|
(1,134)
|
-
|
(1,134)
|
-
|
|
Other
expense
|
544
|
303
|
513
|
240
|
|
Income (loss)
before income taxes
|
(10,557)
|
2,136
|
(28,662)
|
(10,123)
|
|
|
|
|
|
|
|
Income tax expense
(benefit)
|
-
|
(56)
|
7
|
(263)
|
|
|
|
|
|
|
|
Net income
(loss)
|
$(10,557)
|
$2,192
|
$(28,669)
|
$(9,860)
|
|
|
|
|
|
|
|
Net income (loss)
per common share
|
|
|
|
|
|
Basic
|
$(0.34)
|
$0.11
|
$(1.00)
|
$(0.48)
|
|
Diluted
|
$(0.34)
|
$0.10
|
$(1.00)
|
$(0.48)
|
|
|
|
|
|
|
|
Weighted average
shares outstanding
|
|
|
|
|
|
Basic
|
30,924
|
20,683
|
28,781
|
20,668
|
|
Diluted
|
30,924
|
21,152
|
28,781
|
20,668
|
AEMETIS, INC.
CONSOLIDATED CONDENSED BALANCE SHEETS
(in thousands)
|
|
June
30,
2021
(Unaudited)
|
December
31,
2020
|
|
Assets
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$7,175
|
$592
|
|
Accounts
receivable
|
1,743
|
1,821
|
|
Inventories
|
4,570
|
3,969
|
|
Prepaid and other
current assets
|
5,470
|
2,301
|
|
Total current
assets
|
18,958
|
8,683
|
|
|
|
|
|
Property,
plant and equipment, net
|
119,158
|
109,880
|
|
Right-of-use and
other assets
|
5,171
|
6,576
|
|
Total
assets
|
$143,287
|
$125,139
|
|
|
|
|
|
Liabilities
and stockholders' deficit
|
|
|
|
Current
liabilities:
|
|
|
|
Accounts
payable
|
$16,048
|
$20,739
|
|
Current portion of
long term debt
|
9,910
|
44,974
|
|
Short term
borrowings
|
14,107
|
14,541
|
|
Mandatorily
redeemable Series B stock
|
3,302
|
3,252
|
|
Accrued property
taxes
|
6,371
|
5,674
|
|
Accrued contingent
litigation fees
|
6,200
|
6,200
|
|
Other
liabilities
|
6,966
|
6,855
|
|
Total current
liabilities
|
62,904
|
102,235
|
|
|
|
|
|
Total long term
liabilities
|
204,407
|
207,648
|
|
|
|
|
|
Stockholders'
deficit:
|
|
|
|
Series
B convertible preferred stock
|
1
|
1
|
|
Common
stock
|
32
|
23
|
|
Additional
paid-in capital
|
183,015
|
93,426
|
|
Accumulated
deficit
|
(302,749)
|
(274,080)
|
|
Accumulated
other comprehensive loss
|
(4,323)
|
(4,114)
|
|
Total
stockholders’ deficit
|
(124,024)
|
(184,744)
|
|
Total
liabilities and stockholders' deficit
|
$143,287
|
$125,139
|
RECONCILIATION OF ADJUSTED EBITDA TO NET LOSS
(unaudited, in thousands)
|
|
Three
Months Ended
June
30,
|
Six
Months Ended
June
30,
|
||
|
|
2021
|
2020
|
2021
|
2020
|
|
Net income
(loss)
|
$(10,557)
|
$2,192
|
$(28,669)
|
$(9,860)
|
|
Adjustments:
|
|
|
|
|
|
Interest
expense
|
5,219
|
6,188
|
12,399
|
13,064
|
|
Depreciation
expense
|
1,378
|
1,172
|
2,764
|
2,262
|
|
Accretion and other
expenses of Series A preferred units
|
3,800
|
1,362
|
5,743
|
2,322
|
|
Share-based
compensation
|
281
|
325
|
1,116
|
635
|
|
Intangibles and
other amortization expense
|
12
|
12
|
24
|
24
|
|
Gain on debt
extinguishment
|
(1,134)
|
-
|
(1,134)
|
-
|
|
Income tax expense
(benefit)
|
-
|
(56)
|
7
|
(263)
|
|
Total
adjustments
|
9,556
|
9,003
|
20,919
|
18,044
|
|
Adjusted
EBITDA
|
$(1,001)
|
$11,195
|
$(7,750)
|
$8,184
|
PRODUCTION AND PRICE PERFORMANCE
(unaudited)
|
|
Three
months ended
June
30,
|
Six
months ended
June
30,
|
||
|
|
2021
|
2020
|
2021
|
2020
|
|
Ethanol
and high grade alcohol
|
|
|
|
|
|
Gallons sold (in
millions)
|
15.2
|
13.8
|
30.8
|
29.6
|
|
Average sales
price/gallon
|
$2.78
|
$2.63
|
$2.34
|
$2.08
|
|
Percentage of
nameplate capacity
|
110%
|
100%
|
112%
|
108%
|
|
WDG
|
|
|
|
|
|
Tons sold (in
thousands)
|
101.4
|
90.9
|
205.3
|
198.0
|
|
Average sales
price/ton
|
$105
|
$82
|
$106
|
$80
|
|
Delivered
cost of corn
|
|
|
|
|
|
Bushels ground (in
millions)
|
5.2
|
4.9
|
10.7
|
10.6
|
|
Average delivered
cost / bushel
|
$8.04
|
$4.55
|
$7.44
|
$4.89
|
|
Biodiesel
|
|
|
|
|
|
Metric tons sold
(in thousands)
|
0.1
|
2.6
|
0.5
|
6.3
|
|
Average sales
price/metric ton
|
$1,017
|
$835
|
$1,024
|
$786
|
|
Percentage of
nameplate capacity
|
0%
|
7%
|
1%
|
8%
|
|
Refined
glycerin
|
|
|
|
|
|
Metric tons sold
(in thousands)
|
0.0
|
0.4
|
0.1
|
0.6
|
|
Average sales
price/metric ton
|
$967
|
$901
|
$956
|
$772
|