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Montauk Renewables Announces Full Year 2022 Results
PITTSBURGH, March 16, 2023 (GLOBE NEWSWIRE) -- Montauk Renewables, Inc. (“Montauk” or “the Company”) (NASDAQ: MNTK), a renewable energy company specializing
About this update from Montauk Renewables, Inc.
[{"type":"text","content":"PITTSBURGH, March 16, 2023 (GLOBE NEWSWIRE) -- Montauk Renewables, Inc. (“Montauk” or “the Company”) (NASDAQ: MNTK), a renewable energy company specializing in the management, recovery and conversion of biogas into renewable natural gas (“RNG”), today announced financial results for the year ended December 31, 2022. Full Year Highlights: Revenues of $205.6 million, increased 38.8% year-over-yearNet Income of $35.2 million, increased 877.3% year-over-yearNon-GAAP Adjusted EBITDA of $70.5 million, increased 152.4% year-over-yearRNG production of 5.5 million MMBtu, decreased 2.9% year-over-year Montauk’s full year revenue reflects an increase in pricing of both gas commodity and the average realized price of D3 Renewable Identification Numbers (“RINs”) sold. The increase in price offset a decrease in RNG volumes produced and the prior period expiration of counter party sharing agreement revenues. Under the terms of our Pico Feedstock Amendment, during 2022 we made payments of $2.5 million for the receipt of two of three tranches in increased feedstock deliveries. While we expect the digestion capacity expansion to be operational during the third quarter of 2023, improved efficiencies in the existing digestion and water management allowed us to process the increased feedstock volumes. We started incurring capital expenditures for a second RNG facility at our Apex location which we expect to be operational in 2024. During 2022, we consolidated our Montauk Ag Renewables location to the Turkey, North Carolina property we purchased in 2021. The consolidation decision was made, in part, to this site being approved to participate in a RNG pilot program in North Carolina. Finally, our capital program to upgrade our Raeger facility is ongoing with an expected completion date in the third quarter of 2023. Full Year Financial Results Total revenues in 2022 were $205.6 million, an increase of $57.4 million (38.8%) compared to $148.1 million in 2021. Increased realized RIN pricing during 2022 of $3.25 compared to $1.91 in 2021 was the primary driver for the increase in total revenues. Additionally, an increase in natural gas index prices of 72.9% in 2022 of $6.64 compared to $3.84 in 2021 also contributed to the increase. Offsetting these increases were $13.2 million of lower revenues recognized under counterparty sharing arrangements in 2022 c...