Darling Ingredients Inc. · NYSE:DAR
Darling Ingredients — Q2 2026 Earnings Presentation
28 slides from Darling Ingredients's earnings presentation, Jul 30, 2026
Slide 1: Financial Results Q2 2026
FINANCIAL RESULTS Q2 2026 July 30, 2026
Slide 2: Forward-Looking Statements
This presentation includes “forward -looking” statements that are subject to risks and uncertainties that could cause actual resu lts to differ materially from those expressed or implied in the statements. Statements that are not statements of historical facts are forward -looking statements and are
Slide 3: Highlights
Combined Adjusted EBITDA $742m Core Ingredients EBITDA $353m 2Q 2026 DGD EBITDA $389m Highlights Cash distributions received from DGD $280m Decrease in net debt $223m DAR stock repurchased $73m
Slide 4: Q2 2026 Earnings
Q2 2026 Earnings In millions, Q2-2026* Q2-2025* % variance YTD 2026* YTD 2005* % variance Balance Sheet and Other Financial Data except per share In millions, except ratio As of As of Total Net Sales $1,724.1 $1,481.5 16.4% $3,274.9 $2,862.1 14.4% data 7/4/2026* 1/3/2026 Gross Margin $503.4 $345.9 4
Slide 5: Combined Adjusted EBITDA
Combined Adjusted EBITDA (in millions, unaudited) Combined Adjusted EBITDA Q2 2026 % of Total Combined Adjusted 790 EBITDA by Segment $741.7 690 590 $389.2 490 $406.8 $336.1 31.5% 390 $280.1 $289.5 $273.6 $57.9 $151.2 54.3% 290 $236.7 $249.5 $244.9 $59.2 $195.8 $115.1 $76.6 $42.6 $39.1 190 $6.0 $352
Slide 6: Feed Segment
Feed Segment • Fat prices rallied and held firm due to strong US$ (in thousands) Q2 2026* Q2 2025* YTD 2026* YTD 2025* Total Net sales $ 1,149,490 $ 936,532 $ 2,134,828 $ 1,832,815 demand from the biofuels sector Cost of sales and operating expenses 829,513 722,081 1,565,867 1,436,096 Gross margin 3
Slide 7: Feed Segment
Feed Segment Reconciliation of Net Income/(Loss) to (Non -GAAP) Segment Adjusted EBITDA US $ (in thousands) Q2 2026* Q2 2025* YTD 2026* YTD 2025* Segment income** $ 152,590 $ 42,426 $ 233,295 $ 66,065 Change in fair value of contingent consideration — 12,583 — 18,024 Depreciation and amortization 89
Slide 8: Food Segment
Food Segment • Sales improved year –over-year, with growing US$ (in thousands) Q2 2026* Q2 2025* YTD 2026* YTD 2025* Total Net sales $ 408,514 $ 386,142 $ 813,747 $ 735,382 global collagen demand in U.S., Europe and Cost of sales and operating expenses 260,196 282,233 548,172 529,014 Asia, as well a
Slide 9: Food Segment
Food Segment Reconciliation of Net Income/(Loss) to (Non -GAAP) Segment Adjusted EBITDA US $ (in thousands) Q2 2026* Q2 2025* YTD 2026* YTD 2025* Segment income** $ 74,912 $ 42,555 $ 125,745 $ 83,925 Restructuring and asset impairment charges $ 3,933 $ — $ 4,297 — Depreciation and amortization 29,63
Slide 10: Fuel Segment
Fuel Segment • DGD produced ~356 million gallons US$ (in thousands) Q2 2026* Q2 2025* YTD 2026* YTD 2025* Total Net sales $ 166,074 $ 158,844 $ 326,324 $ 293,915 Cost of sales and operating expenses 130,996 131,287 252,566 239,734 • Renewable diesel margins have increased Gross margin 35,078 27,557
Slide 11: Fuel Segment
Fuel Segment Reconciliation of Net Income/(Loss) to (Non -GAAP) Segment Adjusted EBITDA US $ (in thousands) Q2 2026* Q2 2025* YTD 2026* YTD 2025* Segment income/(loss)** $ 366,770 $ 15,876 $ 493,945 $ (5,045) Depreciation and amortization 9,229 8,763 18,161 17,352 Equity in net (income)/loss of Diam
Slide 12: Fuel Segment
Fuel Segment Quarterly Avg. Prices D4 RINs (1.7 Multiple) & Yellow Grease - IL $0.70 $4.00 Diamond Green Diesel (unaudited) $0.60 $3.50 US $ and gallons (in $3.00 Q2 2026 Q2 2025 YTD 2026 YTD 2025 $0.50 millions) $2.50 Pro forma Adjusted $0.40 $2.00 EBITDA (Darling’s $389.2 $42.6 $540.4 $48.7 $0.30
Slide 13: Appendix
"Appendix DARLING INGREDIENTS
Slide 14: Operating Metrics Centered on Cash and Returns
Operating metrics centered on cash & returns • INC I-RORV • (Implied Net Cash) (Implied Return on Replacement Value) ADJ. EBITDA Implied Net Cash (INC) - Allocated based on / Gross Asset Value or book value (PP&E + regional value per Debt Cost Intangibles + Goodwill) Replacement Value pound of innag
Slide 15: Multiple Levers to Enhance Feed Segment Profitability
Multiple Levers to Enhance Feed Segment Profitability • Rendering & UCO processing ~95% of Feed Implied Return on Replacement Value (I -RORV) Segment ADJ. EBITDA • @ current I -RORV, still room to increase margins from current levels as many regions are at capacity • PPI industrial construction up 6
Slide 16: Food Segment Evolution Drives Higher Earnings
Food Segment 100% Volume Mix 3% ADJ. EBITDA Mix 15% Evolution Drives 20% 30% 35% 80% 33% Higher Earnings 48% Quality 60% 50% 40% 80% 70% 64% 65% 52% 20% 35% Collagen/gelatin represents 80% of Food Segment ADJ. EDBITDA 0% 2020 2025 2030 2020 2025 2030 Gelatin Collagen Targeted Ingredients %’s reflect
Slide 17: Consistent Cash Generation Across Market Cycles
Millions USDs Down -Cycle Mid -Cycle Up -Cycle ADJ. EBITDA Darling Non -DGD $900 $1050 $1200 DGD DAR 50% $200 $550 $900 TOTAL DARLING ADJ. EBITDA $1,100 $1,600 $2,100 CAPEX & EXPENSES Consistent Cash CAPEX Interest + Taxes + Other ($400) ($300) ($400) ($325) ($400) ($350) Generation Across TOAL CAPE
Slide 18: 2026–2027 RVO Is Driving Increased Demand
2026 – 2027 RVO is driving increased demand 2025 2026 2027 Bln Gallons billion RINs 2025 2026F 2027F Beginning Net RIN Bank Pre SREs 0.85 -1.02 -4.07 Ethanol 14.66 14.80 14.80 2022 + Prior 0.95 0.95 0.95 Biodiesel Dom 1.11 1.50 1.68 2023 0.91 0.91 0.91 RD Dom 2.85 3.50 3.98 2024 0.93 0.93 0.93 SAF D
Slide 19: California LCFS and RIN Value History
California LCFS and RIN Value History Monthly Average LCFS Carbon Credit Price (USD/MT) Biofuel RIN Values ($/RIN) Source: Argus $150 $3.00 $2.50 $100 $2.00 $1.50 $50 $1.00 $0.50 $0 $0.00 2022 2023 2024 2025 2026 D4 - Biomass-based diesel D6 - Ethanol
Slide 20: Feed Segment Historical
Feed Segment Historical (unaudited) US$ (in millions) Q1-2025 Q2-2025 Q3-2025 Q4-2025 Total 2025 Q1-2026 Q2-2026 Total Net Sales $ 896.3 $ 936.5 $ 1,029.1 $ 1,128.2 $ 3,990.1 $ 985.3 $ 1,149.5 Gross Margin 182.3 214.5 249.8 277.3 923.8 249.0 320.0 Gross Margin % 20.3% 22.9% 24.3% 24.6% 23.2% 25.3% 2
Slide 21: Feed Segment Sales
Feed Segment Sales (unaudited) US $ (in millions) Fats Proteins Other Total Rendering Used Cooking Oils Bakery Other Total Net sales three months ended June 28, 2025 $ 390.0 $ 327.0 $ 70.8 $ 787.8 $ 85.3 $ 51.5 $ 11.9 $ 936.5 Increase/(decrease) in sales volumes -24.3 11.5 0 (12.8) 21.2 (4.4) 0 4.0
Slide 22: Food Segment Historical
Food Segment Historical (unaudited) US$ (in millions) Q1-2025 Q2-2025 Q3-2025 Q4-2025 Total 2025 Q1-2026 Q2-2026 Total Net Sales $ 349.2 $ 386.1 $ 380.6 $ 429.1 $ 1,545.0 $ 405.2 $ 408.5 Gross Margin 102.5 103.9 104.8 116.9 428.1 117.3 148.3 Gross Margin % 29.3% 26.9% 27.5% 27.2% 27.7% 28.9% 36.3% L
Slide 23: Fuel Segment Historical
Fuel Segment Historical (unaudited) US$ (in millions) Q1-2025 Q2-2025 Q3-2025 Q4-2025 Total 2025 Q1-2026 Q2-2026 Total Net Sales $ 135.1 $ 158.8 $ 154.2 $ 152.6 $ 600.8 $ 160.3 $ 166.1 Gross Margin 26.6 27.6 32.3 35.0 121.6 38.7 35.1 Gross Margin % 19.7% 17.3% 20.9% 22.9% 20.2% 24.1% 21.1% Gain on s
Slide 24: Historical Pricing
Historical Pricing 2026 Finished Product Pricing 2026 Average Jacobsen Prices (USD) Feed Segment Ingredients January February March Q1 Avg. April May June Q2 Avg. July August Sept. Q3 Avg. Oct. Nov. Dec. Q4 Avg. Year Avg. Yellow Grease - Illinois / cwt $34.00 $35.58 $40.30 $36.63 $48.00 $50.50 $53.7
Slide 25: Reconciliation of Net Income to Adjusted EBITDA
Reconciliation of Net Income/(Loss) to (Non -GAAP) Adjusted EBITDA to (Non -GAAP) Pro Forma Adjusted EBITDA to Foreign Currency and to (Non -GAAP) Combined Adjusted EBITDA For the Three and Six Months Ended July 4, 2026 and June 28, 2025 (in thousands, unaudited) Three Months Ended Six Months Ended
Slide 26: Non-U.S. GAAP Measures
Non -U.S. GAAP Measures Segment Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income/(loss), as a measure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an al
Slide 27: Non-U.S. GAAP Measures
Non -U.S. GAAP Measures Combined Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, as a meas ure of operating results, or as an alternative to cash flow as a measure of liquidity. It is presented here not as an alterna
Slide 28: Financial Results Q2 2026
FINANCIAL RESULTS Q2 2026 July 30, 2026