Andersons Posts Q4 Adjusted EPS $2.04 as Renewables Income Jumps to $54M
Andersons generated fourth-quarter adjusted net income of $70M or $2.04 per share, up from $47M and $1.36, driven by renewables pretax income rising by $37M to $54M after assuming full ownership of four ethanol plants. Q4 adjusted EBITDA climbed 17% to $137M and year-end debt/EBITDA ratio held at 1.8x.
1. Fourth-Quarter Financial Results
Andersons reported fourth-quarter net income of $67 million, or $1.97 per diluted share, and adjusted net income of $70 million, or $2.04 per share, up from $47 million and $1.36 respectively. Q4 adjusted EBITDA rose 17% to $137 million, operating cash flow before working capital changes totaled $110 million, and year-end debt/EBITDA stood at 1.8x.
2. Segment Performance
Agribusiness pretax income declined to $46 million from $56 million a year earlier, with adjusted EBITDA of $80 million versus $88 million, as lower merchandising margins offset volume gains. Renewables pretax income surged to $54 million from $17 million following full ownership of four ethanol plants, delivering $69 million of EBITDA, up from $41 million, with ethanol crush margins up $0.15 per gallon and $15 million of 45Z tax incentives.
3. Strategic Projects
In Q3 2025 the company assumed full ownership of its partner’s ethanol plants and plans a 30 million gallon expansion at its Climer, Indiana facility by 2027. A renewable feedstock storage and blending site in Kansas will begin operations in Q1, and upgrades at the Port of Houston and a second phase of Carlsbad mineral processing are slated for mid-2026 completion.
4. Early 2026 Outlook
Management expects stronger agribusiness results in 2026 from global grain market stability and basis appreciation in its Western footprint, alongside continued high ethanol demand. Leadership highlights potential support from year-round E-15 legislation and finalized Renewable Volume Obligations to sustain biofuels growth and export opportunities.