Darling Ingredients Inc. Reports Second Quarter 2026 Results

Darling Ingredients Inc. Reports Second Quarter 2026 Results IRVING, Texas--( BUSINESS WIRE)-- Darling Ingredients Inc. (NYSE: DAR) today reported net income of $387.3 million or $2.41 per GAAP diluted share for the second quarter of 2026, compared to net income of $12.7 million, or $0.08 per GAAP diluted share, for the second quarter of 2025. The company also reported total net sales of $1.7 billion for the second quarter of 2026, compared with total net sales of $1.5 billion for the same period a year ago.

“Momentum continues to build across our business, which is reflected in our strong second quarter performance,” said Randall C. Stuewe, Chairman and Chief Executive Officer. “We stayed focused on the things we can control, including strong operational execution and margin management, which enabled us to generate strong cash flow, pay down debt, repurchase shares and further strengthen our financial position.”

For the six months ended July 4, 2026, Darling Ingredients reported net income of $521.6 million, or $3.24 per GAAP diluted share, compared to a net loss of $13.5 million, or ($0.09) per GAAP diluted share for the same period a year ago. Net sales for the first six months of 2026 were $3.3 billion, compared to $2.9 billion for the same period in 2025.

For the three months ended June 30, 2026, Diamond Green Diesel (DGD) sold 348.8 million gallons of renewable fuels at an average of $2.23 per gallon EBITDA. For the first six months of 2026, DGD sold 621.2 million gallons of renewable fuels at an average of $1.74 per gallon EBITDA. The company received approximately $211 million in dividends and approximately $69 million from Production Tax Credit sales from DGD.

Combined Adjusted EBITDA for the second quarter of 2026 was $741.7 million, compared to $249.5 million for the same period in 2025. For the first six months ending July 4, 2026, combined adjusted EBITDA was $1.15 billion, compared to $445.3 million for the same period in 2025.

As of July 4, 2026, Darling Ingredients had $160.7 million in cash and cash equivalents, and $1.3 billion available under its committed revolving credit agreement. Total debt outstanding as of July 4, 2026, was $3.9 billion. The preliminary leverage ratio as measured by the company’s bank covenant was 2.3X as of July 4, 2026. Capital expenditures were approximately $224.0 million year-to-date 2026. The company estimates capital expenditures to be approximately $450.0 million for fiscal year 2026.

During the quarter, the company closed on the acquisition of three rendering facilities from the Patense Group in Brazil for approximately $122 million. On July 22, 2026, the company closed on the sale of a majority of its non-core grease trap environmental services business for approximately $90.0 million to Waste Resource Management.

“Importantly, we believe the opportunities we outlined at Investor Day remain ahead of us, and our second-quarter performance demonstrates meaningful progress toward capturing that value. We feel very good about the balance of 2026 and the outlook for 2027. The fundamentals of our business remain strong, and we are well positioned to deliver continued earnings growth, cash generation and value for our shareholders,” Stuewe said.

The company expects to continue to deleverage and anticipates ending fiscal year 2026 with net debt at or below $3 billion and bank leverage ratio below 2X.

As previously announced, Darling Ingredients will provide financial guidance exclusively for its core ingredients business (all segments excluding DGD). For third quarter 2026, the company estimates core ingredients business Adjusted EBITDA to be approximately $325-340 million.

Darling Ingredients Inc. and Subsidiaries

Consolidated Statements of Operations

For the Three and Six Months Ended July 4, 2026 and June 28, 2025

(in thousands, except per share data, unaudited)

Three Months Ended

Six Months Ended

$ Change

July 4,

June 28,

Favorable

July 4,

June 28,

Favorable

2026

2025

(Unfavorable)

2026

2025

(Unfavorable)

Net sales to third parties

1,310,614

1,189,988

120,626

2,612,753

2,352,630

260,123

Net sales to related party - Diamond Green Diesel

413,464

291,530

121,934

662,146

509,482

152,664

Total net sales

1,724,078

1,481,518

242,560

3,274,899

2,862,112

412,787

Costs and expenses:

Cost of sales and operating expenses (excludes depreciation and amortization, shown separately below)

1,220,705

1,135,601

(85,104

)

2,366,605

2,204,844

(161,761

)

(Gain)/loss on sale of assets

(116

)

952

1,068

1,014

927

Selling, general and administrative expenses

150,950

138,069

(12,881

)

300,017

259,625

(40,392

)

Restructuring and asset impairment charges

3,933

—

(3,933

)

4,297

—

(4,297

)

Acquisition and integration costs

13,218

3,383

(9,835

)

18,188

4,917

(13,271

)

Change in fair value of contingent consideration

—

12,583

—

18,024

Depreciation and amortization

130,180

121,062

(9,118

)

261,089

244,897

(16,192

)

Total costs and expenses

1,518,870

1,411,650

(107,220

)

2,950,283

2,733,321

(216,962

)

Equity in net income/(loss) of Diamond Green Diesel

350,030

6,000

344,030

457,393

(24,523

)

481,916

Operating income

555,238

75,868

479,370

782,009

104,268

677,741

Other expense:

Interest expense

(55,526

)

(51,873

)

(3,653

)

(109,643

)

(109,840

)

197

Loss on early retirement of debt

—

(2,978

)

2,978

—

(2,978

)

2,978

Foreign currency gain/(loss)

208

1,313

(1,105

)

3,351

(49

)

3,400

Other expense, net

(1,918

)

(6,526

)

4,608

(4,928

)

(3,193

)

(1,735

)

Total other expense

(57,236

)

(60,064

)

2,828

(111,220

)

(116,060

)

4,840

Equity in net income of other unconsolidated subsidiaries

1,905

2,526

(621

)

4,800

5,154

(354

)

Income/(loss) from operations before income taxes

499,907

18,330

481,577

675,589

(6,638

)

682,227

Income tax expense

110,638

4,065

(106,573

)

149,264

2,911

(146,353

)

Net income/(loss)

389,269

14,265

375,004

526,325

(9,549

)

535,874

Net income attributable to noncontrolling interests

(1,957

)

(1,604

)

(353

)

(4,700

)

(3,950

)

(750

)

Net income/(loss) attributable to Darling

387,312

12,661

374,651

521,625

(13,499

)

535,124

Basic income/(loss) per share:

2.44

0.08

2.36

3.29

(0.09

)

3.38

Diluted income/(loss) per share:

2.41

0.08

2.33

3.24

(0.09

)

3.33

Number of diluted common shares:

160,627

159,734

160,830

158,436

Segment Financial Tables (in thousands, unaudited)

Feed

Ingredients

Food

Ingredients

Fuel

Ingredients

Corporate

Total

Three Months Ended July 4, 2026

Total net sales

1,149,490

408,514

166,074

—

1,724,078

Cost of sales and operating expenses

829,513

260,196

130,996

—

1,220,705

Gross margin

319,977

148,318

35,078

—

503,373

Loss/(gain) on sale of assets

(243

)

412

(285

)

—

(116

)

Selling, general and administrative expenses

79,723

39,426

9,394

22,407

150,950

Restructuring and asset impairment charges

—

3,933

—

3,933

Acquisition and integration costs

—

13,218

Depreciation and amortization

89,812

29,635

9,229

1,504

130,180

Equity in net income of Diamond Green Diesel

—

350,030

—

350,030

Segment operating income/(loss)

150,685

74,912

366,770

(37,129

)

555,238

Equity in net income of other unconsolidated subsidiaries

1,905

—

1,905

Segment income/(loss)

152,590

74,912

366,770

(37,129

)

557,143

—

Segment Adjusted EBITDA (Non-GAAP)

240,497

108,480

25,969

(22,407

)

352,539

DGD Adjusted EBITDA (Darling's Share) (Non-GAAP)

—

389,203

—

389,203

Combined Adjusted EBITDA (Non-GAAP)

240,497

108,480

415,172

(22,407

)

741,742

Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA and (Non-GAAP) Combined Adjusted EBITDA:

Net income/(loss) attributable to Darling

152,590

74,912

366,770

(206,960

)

387,312

Net income attributable to noncontrolling interests

—

1,957

Income tax expense

—

110,638

Interest expense

—

55,526

Foreign currency gain

—

(208

)

(208

)

Other expense, net

—

1,918

Segment income/(loss)

152,590

74,912

366,770

(37,129

)

557,143

Restructuring and asset impairment charges

—

3,933

—

3,933

Acquisition and integration costs

—

13,218

Depreciation and amortization

89,812

29,635

9,229

1,504

130,180

Equity in net income of Diamond Green Diesel

—

(350,030

)

—

(350,030

)

Equity in net income of other unconsolidated subsidiaries

(1,905

)

—

(1,905

)

Segment Adjusted EBITDA (Non-GAAP)

240,497

108,480

25,969

(22,407

)

352,539

DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) *

—

389,203

—

389,203

Combined Adjusted EBITDA (Non-GAAP)

240,497

108,480

415,172

(22,407

)

741,742

*See reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA below the DGD Consolidated Statements of Operations

Feed

Ingredients

Food

Ingredients

Fuel

Ingredients

Corporate

Total

Three Months Ended June 28, 2025

Total net sales

936,532

386,142

158,844

—

1,481,518

Cost of sales and operating expenses

722,081

282,233

131,287

—

1,135,601

Gross margin

214,451

103,909

27,557

—

345,917

Loss (gain) on sale of assets

1,085

(24

)

(109

)

—

952

Selling, general and administrative expenses

77,464

33,987

9,027

17,591

138,069

Acquisition and integration costs

—

3,383

Change in fair value of contingent consideration

12,583

—

12,583

Depreciation and amortization

83,419

27,391

8,763

1,489

121,062

Equity in net income of Diamond Green Diesel

—

6,000

—

6,000

Segment operating income/(loss)

39,900

42,555

15,876

(22,463

)

75,868

Equity in net income of other unconsolidated subsidiaries

2,526

—

2,526

Segment income/(loss)

42,426

42,555

15,876

(22,463

)

78,394

Segment Adjusted EBITDA (Non-GAAP)

135,902

69,946

18,639

(17,591

)

206,896

DGD Adjusted EBITDA (Darling's Share) (Non-GAAP)

—

42,648

—

42,648

Combined Adjusted EBITDA (Non-GAAP)

135,902

69,946

61,287

(17,591

)

249,544

Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA and (Non-GAAP) Combined Adjusted EBITDA:

Net income/(loss) attributable to Darling

42,426

42,555

15,876

(88,196

)

12,661

Net income attributable to noncontrolling interests

—

1,604

Income tax expense

—

4,065

Interest expense

—

51,873

Loss on early retirement of debt

—

2,978

Foreign currency gain

—

(1,313

)

(1,313

)

Other expense, net

—

6,526

Segment income/(loss)

42,426

42,555

15,876

(22,463

)

78,394

Acquisition and integration costs

—

3,383

Change in fair value of contingent consideration

12,583

—

12,583

Depreciation and amortization

83,419

27,391

8,763

1,489

121,062

Equity in net income of Diamond Green Diesel

—

(6,000

)

—

(6,000

)

Equity in net income of other unconsolidated subsidiaries

(2,526

)

—

(2,526

)

Segment Adjusted EBITDA (Non-GAAP)

135,902

69,946

18,639

(17,591

)

206,896

DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) *

—

42,648

—

42,648

Combined Adjusted EBITDA (Non-GAAP)

135,902

69,946

61,287

(17,591

)

249,544

*See reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA below the DGD Consolidated Statements of Operations

Feed

Ingredients

Food

Ingredients

Fuel

Ingredients

Corporate

Total

Six Months Ended July 4, 2026

Total net sales

2,134,828

813,747

326,324

—

3,274,899

Cost of sales and operating expenses

1,565,867

548,172

252,566

—

2,366,605

Gross margin

568,961

265,575

73,758

—

908,294

Loss/(gain) on sale of assets

476

(481

)

—

Selling, general and administrative expenses

159,641

75,841

19,526

45,009

300,017

Restructuring and asset impairment charges

—

4,297

—

4,297

Acquisition and integration costs

—

18,188

Depreciation and amortization

180,733

59,216

18,161

2,979

261,089

Equity in net income of Diamond Green Diesel

—

457,393

—

457,393

Segment operating income/(loss)

228,495

125,745

493,945

(66,176

)

782,009

Equity in net income of other unconsolidated subsidiaries

4,800

—

4,800

Segment income/(loss)

233,295

125,745

493,945

(66,176

)

786,809

—

Segment Adjusted EBITDA (Non-GAAP)

409,228

189,258

54,713

(45,009

)

608,190

DGD Adjusted EBITDA (Darling's Share) (Non-GAAP)

—

540,373

—

540,373

Combined Adjusted EBITDA (Non-GAAP)

409,228

189,258

595,086

(45,009

)

1,148,563

Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA and (Non-GAAP) Combined Adjusted EBITDA:

Net income/(loss) attributable to Darling

233,295

125,745

493,945

(331,360

)

521,625

Net income attributable to noncontrolling interests

—

4,700

Income tax expense

—

149,264

Interest expense

—

109,643

Foreign currency gain

—

(3,351

)

(3,351

)

Other expense, net

—

4,928

Segment income/(loss)

233,295

125,745

493,945

(66,176

)

786,809

Restructuring and asset impairment charges

—

4,297

—

4,297

Acquisition and integration costs

—

18,188

Depreciation and amortization

180,733

59,216

18,161

2,979

261,089

Equity in net income of Diamond Green Diesel

—

(457,393

)

—

(457,393

)

Equity in net income of other unconsolidated subsidiaries

(4,800

)

—

(4,800

)

Segment Adjusted EBITDA (Non-GAAP)

409,228

189,258

54,713

(45,009

)

608,190

DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) *

—

540,373

—

540,373

Combined Adjusted EBITDA (Non-GAAP)

409,228

189,258

595,086

(45,009

)

1,148,563

*See reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA below the DGD Consolidated Statements of Operations

Feed

Ingredients

Food

Ingredients

Fuel

Ingredients

Corporate

Total

Six Months Ended June 28, 2025

Total net sales

1,832,815

735,382

293,915

—

2,862,112

Cost of sales and operating expenses

1,436,096

529,014

239,734

—

2,204,844

Gross margin

396,719

206,368

54,181

—

657,268

Loss/(gain) on sale of assets

1,200

(217

)

—

1,014

Selling, general and administrative expenses

149,035

65,459

17,568

27,563

259,625

Acquisition and integration costs

—

4,917

Change in fair value of contingent consideration

18,024

—

18,024

Depreciation and amortization

167,549

56,953

17,352

3,043

244,897

Equity in net loss of Diamond Green Diesel

—

(24,523

)

—

(24,523

)

Segment operating income/(loss)

60,911

83,925

(5,045

)

(35,523

)

104,268

Equity in net income of other unconsolidated subsidiaries

5,154

—

5,154

Segment income/(loss)

66,065

83,925

(5,045

)

(35,523

)

109,422

—

Segment Adjusted EBITDA (Non-GAAP)

246,484

140,878

36,830

(27,563

)

396,629

DGD Adjusted EBITDA (Darling's Share) (Non-GAAP)

—

48,683

—

48,683

Combined Adjusted EBITDA (Non-GAAP)

246,484

140,878

85,513

(27,563

)

445,312

Reconciliation of Net Income/(Loss) to (Non-GAAP) Segment Adjusted EBITDA and (Non-GAAP) Combined Adjusted EBITDA:

Net income/(loss) attributable to Darling

66,065

83,925

(5,045

)

(158,444

)

(13,499

)

Net income attributable to noncontrolling interests

—

3,950

Income tax expense

—

2,911

Interest expense

—

109,840

Loss on early retirement of debt

—

2,978

Foreign currency loss

—

Other expense, net

—

3,193

Segment income/(loss)

66,065

83,925

(5,045

)

(35,523

)

109,422

Acquisition and integration costs

—

4,917

Change in fair value of contingent consideration

18,024

—

18,024

Depreciation and amortization

167,549

56,953

17,352

3,043

244,897

Equity in net loss of Diamond Green Diesel

—

24,523

—

24,523

Equity in net income of other unconsolidated subsidiaries

(5,154

)

—

(5,154

)

Segment Adjusted EBITDA (Non-GAAP)

246,484

140,878

36,830

(27,563

)

396,629

DGD Adjusted EBITDA (Darling's Share) (Non-GAAP) *

—

48,683

—

48,683

Combined Adjusted EBITDA (Non-GAAP)

246,484

140,878

85,513

(27,563

)

445,312

*See reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA below the DGD Consolidated Statements of Operations

Darling Ingredients Inc. and Subsidiaries

Balance Sheet Disclosures

As of July 4, 2026 and January 3, 2026

(in thousands)

(unaudited)

July 4,

January 3,

2026

Cash and cash equivalents

160,742

88,671

Property, plant and equipment, net

2,828,494

2,796,139

Current portion of long-term debt

96,761

75,217

Long-term debt, net of current portion

3,850,963

3,862,243

Other Financial Data

As of July 4, 2026

(unaudited)

July 4,

2026

Net debt (1)

3,786,982

Revolver availability

1,308,043

Capital expenditures - YTD

223,626

Preliminary Leverage Ratio

2.30X

(1) Total debt less cash and cash equivalents.

Diamond Green Diesel Joint Venture

Consolidated Statements of Operations

For the Three and Six Months Ended June 30, 2026 and June 30, 2025

(in thousands, unaudited)

Three Months Ended

Six Months Ended

June 30,

2026

2025

2026

2025

Revenues:

Operating revenues

2,681,999

1,097,831

4,096,045

1,997,740

Expenses:

Total costs and expenses less lower of cost or market inventory valuation adjustment and depreciation, amortization and accretion expense

1,896,706

1,119,445

3,097,797

2,096,551

Lower of cost or market (LCM) inventory valuation adjustment

—

(111,245

)

(96,720

)

(202,249

)

Depreciation, amortization and accretion expense

71,020

61,529

148,948

129,001

Total costs and expenses

1,967,726

1,069,729

3,150,025

2,023,303

Operating income/(loss)

714,273

28,102

946,020

(25,563

)

Other income

3,697

2,181

5,211

5,883

Interest and debt expense, net

(10,739

)

(12,844

)

(21,895

)

(22,150

)

Income/(loss) before income tax expense

707,231

17,439

929,336

(41,830

)

Income tax expense

284

1,105

328

1,144

Net income/(loss)

706,947

16,334

929,008

(42,974

)

Reconciliation of DGD Net Income/(Loss) to (Non-GAAP) DGD Adjusted EBITDA:

Net income/(loss)

706,947

16,334

929,008

(42,974

)

Income tax expense

284

1,105

328

1,144

Interest and debt expense, net

10,739

12,844

21,895

22,150

Other income

(3,697

)

(2,181

)

(5,211

)

(5,883

)

Operating income/(loss)

714,273

28,102

946,020

(25,563

)

Depreciation, amortization and accretion expense

71,020

61,529

148,948

129,001

DGD Adjusted EBITDA (Non-GAAP)

785,293

89,631

1,094,968

103,438

Less: Discount and Broker Fees

(6,887

)

(4,335

)

(14,222

)

(6,073

)

DGD Adjusted EBITDA (Non-GAAP) after Discount and Broker Fees

778,406

85,296

1,080,746

97,365

Darling's Share 50%

DGD Adjusted EBITDA (Darling's Share) (Non-GAAP)

389,203

42,648

540,373

48,683

Diamond Green Diesel Joint Venture

Consolidated Balance Sheets

June 30, 2026 and December 31, 2025

(in thousands)

June 30,

December 31,

2026

2025

(unaudited)

Assets:

Cash

387,284

195,765

Total other current assets

2,175,210

1,199,194

Property, plant and equipment, net

3,601,119

3,702,254

Other assets

122,119

139,765

Total assets

6,285,732

5,236,978

Liabilities and members' equity:

Revolver

—

Total other current portion of long term debt

28,443

29,487

Total other current liabilities

630,098

332,256

Total long term debt

663,293

677,671

Total other long term liabilities

17,796

17,748

Total members' equity

4,946,102

4,179,816

Total liabilities and members' equity

6,285,732

5,236,978

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

Adjusted EBITDA

July 4,

June 28,

July 4,

June 28,

(U.S. dollars in thousands)

2026

2025

2026

2025

Net income/(loss) attributable to Darling

387,312

12,661

521,625

(13,499

)

Depreciation and amortization

130,180

121,062

261,089

244,897

Interest expense

55,526

51,873

109,643

109,840

Income tax expense

110,638

4,065

149,264

2,911

Restructuring and asset impairment charges

3,933

—

4,297

—

Acquisition and integration costs

13,218

3,383

18,188

4,917

Change in fair value of contingent consideration

—

12,583

—

18,024

Foreign currency loss/(gain)

(208

)

(1,313

)

(3,351

)

Other expense, net

1,918

6,526

4,928

3,193

Loss on early retirement of debt

—

2,978

—

2,978

Equity in net (income)/loss of Diamond Green Diesel

(350,030

)

(6,000

)

(457,393

)

24,523

Equity in net income of other unconsolidated subsidiaries

(1,905

)

(2,526

)

(4,800

)

(5,154

)

Net income attributable to noncontrolling interests

1,957

1,604

4,700

3,950

Adjusted EBITDA (Non-GAAP)

352,539

206,896

608,190

396,629

Foreign currency exchange impact

(4,029

)

—

(18,478

)

—

Pro forma Adjusted EBITDA to Foreign Currency (Non-GAAP)

348,510

206,896

589,712

396,629

DGD Joint Venture Adjusted EBITDA (Darling's share) (Non-GAAP)

389,203

42,648

540,373

48,683

Combined Adjusted EBITDA (Non-GAAP)

741,742

249,544

1,148,563

445,312

(1) The average rates for the three months ended July 4, 2026 were €1.00:$1.16 R$1.00:$0.20 and C$1.00:$0.72 as compared to the average rates for the three months ended June 28, 2025 of €1.00:$1.13, R$1.00:$0.18 and C$1.00:$0.72, respectively.

(2) The average rates for the six months ended July 4, 2026 were €1.00:$1.17, R$1.00:$0.19 and C$1.00:$0.73 as compared to the average rates for the six months ended June 28, 2025 of €1.00:$1.09, R$1.00:$0.17 and C$1.00:$0.71, respectively.

About Darling Ingredients

A pioneer in circularity, Darling Ingredients Inc. (NYSE: DAR) takes material from the animal agriculture and food industries, and transforms them into valuable ingredients that nourish people, feed animals and crops, and fuel the world with renewable energy. The company operates over 260 facilities in more than 15 countries and processes about 15% of the world’s animal agricultural by-products, produces about 30% of the world’s collagen (both gelatin and hydrolyzed collagen), and is one of the largest producers of renewable energy. To learn more, visit darlingii.com. Follow us on LinkedIn.

Darling Ingredients will host a conference call on July 30, 2026, at 9 a.m. Eastern Time (8 a.m. Central Time) to discuss second quarter financial results and provide an update on company operations.

To access the call as a listener, please register for the audio-only webcast.

To join the call as a participant to ask a question, please register in advance to receive a confirmation email with the dial-in number and PIN for immediate access on July 30 or call 833-461-5787 (United States) or 626-884-3620 (international) using access code 745365725.

A replay of the call will be available online via the webcast registration link two hours after the call ends. A transcript will be posted at darlingii.com/investors within 24 hours.

Use of Non-GAAP Financial 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 alternative to net income (loss), but rather as a measure of the segment’s operating performance. Segment Adjusted EBITDA consists of net income/(loss) plus depreciation and amortization, restructuring and asset impairment charges, acquisition and integration costs, change in fair value of contingent consideration, foreign currency loss/(gain), net income/(loss) attributable to noncontrolling interests, interest expense, income tax provision, other income/(expense), equity in net (income)/loss of unconsolidated subsidiaries and equity in net (income)/loss of Diamond Green Diesel. Management believes that Segment Adjusted EBITDA is useful in evaluating the segment’s operating performance because the calculation of Segment Adjusted EBITDA generally eliminates non-cash and certain other items for reasons unrelated to overall operating performance and also believes this information is useful to investors.

Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, 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 alternative to net income, but rather as a measure of the Company's operating performance. Since EBITDA (generally, net income plus interest expense, taxes, depreciation and amortization) is not calculated identically by all companies, the presentation in this report may not be comparable to EBITDA or Adjusted EBITDA presentations disclosed by other companies. Adjusted EBITDA is calculated above and represents for any relevant period, net income/(loss) plus depreciation and amortization, restructuring and asset impairment charges, acquisition and integration costs, change in fair value of contingent consideration, foreign currency loss/(gain), net income/(loss) attributable to non-controlling interests, interest expense, income tax expense, loss on early retirement of debt, other income/(expense) and equity in net (income)/loss of unconsolidated subsidiaries. Management believes that Adjusted EBITDA is useful in evaluating the Company's operating performance compared to that of other companies in its industry because the calculation of Adjusted EBITDA generally eliminates the effects of financing, income taxes, non-cash and certain other items that may vary for different companies for reasons unrelated to overall operating performance and also believes this information is useful to investors.

The Company’s management uses Adjusted EBITDA as a measure to evaluate performance and for other discretionary purposes. In addition to the foregoing, management also uses or will use Adjusted EBITDA to measure compliance with certain financial covenants under the Company’s Senior Secured Credit Facilities, 6% Notes, 5.25% Notes and 4.5% Notes that were outstanding at July 4, 2026. However, the amounts shown above for Adjusted EBITDA differ from the amounts calculated under similarly titled definitions in the Company’s Senior Secured Credit Facilities, 6% Notes, 5.25% Notes and 4.5% Notes, as those definitions permit further adjustments to reflect certain other nonrecurring costs, non-cash charges and cash dividends from the DGD Joint Venture.

Information reconciling forward-looking Adjusted EBITDA to net income is unavailable to the Company without unreasonable effort. The Company is not able to provide reconciliations of forward-looking Adjusted EBITDA to net income because certain items required for such reconciliations are outside of the Company’s control and/or cannot be reasonably predicted, such as the impact of volatile commodity prices on the Company’s operations, impact of foreign currency exchange fluctuations, depreciation and amortization and the provision for income taxes. Preparation of such reconciliations for Darling Ingredients Inc. would require a forward-looking balance sheet, statement of operations and statement of cash flows, prepared in accordance with GAAP for each entity, and such forward-looking financial statements are unavailable to the Company without unreasonable effort. The Company provides guidance for its Adjusted EBITDA outlook that it believes will be achieved; however, it cannot accurately predict all the components of the Adjusted EBITDA calculation.

Pro forma Adjusted EBITDA to Foreign Currency is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, 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 alternative to net income, but rather as a measure of the Company's operating performance. Management believes Pro forma Adjusted EBITDA to Foreign Currency is useful in evaluating the Company’s operating performance on a constant currency basis and also believes this information is useful to investors.

DGD Adjusted EBITDA is not reflected in the Adjusted EBITDA or the Pro forma Adjusted EBITDA to Foreign Currency. DGD Adjusted EBITDA is not a recognized accounting measure under GAAP; it should not be considered as an alternative to net income/(loss) or equity in net income/(loss) of Diamond Green Diesel, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity and is not intended to be a presentation in accordance with GAAP. The Company calculates DGD Adjusted EBITDA by taking DGD’s net income/(loss) plus income tax expense/(benefit), interest and debt expense, net, and DGD’s depreciation, amortization and accretion expense less other income. Management believes that DGD Adjusted EBITDA is useful in evaluating the Company’s operating performance because the calculation of DGD Adjusted EBITDA generally eliminates non-cash and certain other items at DGD unrelated to overall operating performance and also believes this information is useful to investors. The Company calculates Darling’s Share of DGD Adjusted EBITDA by taking DGD Adjusted EBITDA, net of discount and broker fees, and then multiplying by 50% to get Darling’s Share of DGD’s Adjusted EBITDA.

Combined Adjusted EBITDA is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income, 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 alternative to net income, but rather as a measure of the Company’s operating performance. Combined Adjusted EBITDA consists of Adjusted EBITDA plus DGD Adjusted EBITDA (Darling’s Share). When Combined Adjusted EBITDA is presented by segment, Combined Adjusted EBITDA consists of Segment Adjusted EBITDA plus DGD Adjusted EBITDA (Darling’s Share). Management believes that Combined Adjusted EBITDA is useful in evaluating the Company's operating performance compared to that of other companies in its industry because the calculation of Combined Adjusted EBITDA generally eliminates the effects of financing, income taxes, non-cash and certain other items that may vary for different companies for reasons unrelated to overall operating performance and also believes this information is useful to investors.

Adjusted EBITDA per gallon is not a recognized accounting measurement under GAAP; it should not be considered as an alternative to net income or equity in income of Diamond Green Diesel, as a measure of operating results, or as an alternative to cash flow as a measure of liquidity and is not intended to be a presentation in accordance with GAAP. Adjusted EBITDA per gallon is presented here not as an alternative to net income or equity in income of Diamond Green Diesel, but rather as a measure of Diamond Green Diesel's operating performance. Since Adjusted EBITDA per gallon (generally, net income plus interest expense, taxes, depreciation and amortization divided by total gallons sold) is not calculated identically by all companies, this presentation may not be comparable to Adjusted EBITDA per gallon presentations disclosed by other companies. Management believes that Adjusted EBITDA per gallon is useful in evaluating Diamond Green Diesel's operating performance compared to that of other companies in its industry because the calculation of Adjusted EBITDA per gallon generally eliminates the effects of financing, income taxes and non-cash and certain other items presented on a per gallon basis that may vary for different companies for reasons unrelated to overall operating performance.

Cautionary Statements Regarding Forward-Looking Information:

This media release includes “forward-looking” statements that are subject to risks and uncertainties that could cause actual results 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 made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Words such as “estimate,” “guidance,” “outlook,” “project,” “planned,” “contemplate,” “potential,” “possible,” “proposed,” “intend,” “believe,” “anticipate,” “expect,” “may,” “will,” “would,” “should,” “could,” and similar expressions are intended to identify forward-looking statements. All statements other than statements of historical facts included in this release are forward-looking statements. Forward-looking statements are based on the Company's current expectations and assumptions regarding its business, the economy and other future conditions. The Company cautions readers that any such forward-looking statements it makes are not guarantees of future performance and that actual results may differ materially from anticipated results or expectations expressed in its forward-looking statements as a result of a variety of factors, including many that are beyond the Company's control.

Important factors that could cause actual results to differ materially from the Company’s expectations include: existing and unknown future limitations on the ability of the Company's direct and indirect subsidiaries to make their cash flow available to the Company for payments on the Company's indebtedness or other purposes; reduced demands or prices for biofuels, biogases or renewable electricity; global demands for grain and oilseed commodities, which have exhibited volatility, and can impact the cost of feed for cattle, hogs and poultry, thus affecting available rendering feedstock and selling prices for the Company’s products; reductions in raw material volumes available to the Company due to weak margins in the meat production industry as a result of higher feed costs, reduced consumer demand, reduced volume due to government regulations affecting animal production or other factors, reduced volume from food service establishments, or otherwise; reduced demand for animal feed; reduced finished product prices, including a decline in fat, used cooking oil, protein or collagen (including, without limitation, collagen peptides and gelatin) finished product prices; changes to government policies around the world relating to renewable fuels and greenhouse gas (“GHG”) emissions that adversely affect prices, margins or markets (including for the DGD Joint Venture), including programs like renewable fuel standards, low carbon fuel standards, renewable fuel mandates and tax credits for biofuels, or loss or diminishment of tax credits due to failure to satisfy any eligibility requirements, including, without limitation, in relation to the blenders tax credit or the Clean Fuels Production Credit (“CFPC”); climate related adverse results, including with respect to the Company’s climate goals, targets or commitments; possible product recall resulting from developments relating to the discovery of unauthorized adulterations to food or food additives or products which do not meet specifications, contract requirements or regulatory standards; the occurrence of 2009 H1N1 flu (initially known as “Swine Flu”), highly pathogenic strains of avian influenza (collectively known as “Bird Flu”), severe acute respiratory syndrome (“SARS”), bovine spongiform encephalopathy (or “BSE”), porcine epidemic diarrhea (“PED”) or other diseases associated with animal origin in the U.S. or elsewhere, such as the outbreak of African Swine Fever in China and elsewhere; the occurrence of pandemics, epidemics or disease outbreaks; unanticipated costs and/or reductions in raw material volumes related to the Company’s compliance with the existing or unforeseen new U.S. or foreign (including, without limitation, China) regulations (including new or modified animal feed, Bird Flu, SARS, PED, BSE or ASF or similar or unanticipated regulations) affecting the industries in which the Company operates or its value added products; risks associated with the DGD Joint Venture, including possible unanticipated operating disruptions and/or a decline in margins on the products produced by the DGD Joint Venture; risks and uncertainties relating to international sales and operations, including imposition of tariffs, quotas, trade barriers and other trade protections by the U.S. or foreign countries; tax changes, such as global minimum tax measures, or issues related to administration, guidance and/or regulations associated with biofuel policies, including CFPC, and risks associated with the qualification and sale of such credits; difficulties or a significant disruption (including, without limitation, due to cyber-attack) in the Company’s information systems, networks or the confidentiality, availability or integrity of our data or failure to implement new systems and software successfully; risks relating to possible third-party claims of intellectual property infringement; increased contributions to the Company’s pension and benefit plans, including multiemployer and employer-sponsored defined benefit pension plans as required by legislation, regulation or other applicable U.S. or foreign law or resulting from a U.S. mass withdrawal event; bad debt write-offs; loss of or failure to obtain necessary permits and registrations; the potential for future terrorist attacks, responses to terrorist attacks and other acts of war or hostility, including the ongoing conflicts in the Middle East, Africa, North Korea and Ukraine; uncertainty regarding any administration changes in the U.S. or elsewhere around the world, including, without limitation, impacts to trade, tariffs and/or policies impacting the Company (such as biofuel policies and mandates); and/or unfavorable export or import markets. These factors, coupled with volatile prices for natural gas and diesel fuel, inflation rates, climate conditions, currency exchange fluctuations, general performance of the U.S. and global economies, disturbances in world financial, credit, commodities and stock markets, and any decline in consumer confidence and discretionary spending, including the inability of consumers and companies to obtain credit due to lack of liquidity in the financial markets, among others, could cause actual results to vary materially from the forward-looking statements included in this media release or negatively impact the Company’s results of operations. Among other things, future profitability may be affected by the Company’s ability to grow its business, which faces competition from companies that may have substantially greater resources than the Company. The Company’s announced share repurchase program may be suspended or discontinued at any time and purchases of shares under the program are subject to market conditions and other factors, which are likely to change from time to time. For more detailed discussion of these factors and other risks and uncertainties regarding the Company, its business and the industries in which it operates, see the Company’s filings with the SEC, including the Risk Factors discussion in Item 1A of Part I of the Company's Annual Report on Form 10-K for the fiscal year ended January 3, 2026. The Company cautions readers that all forward-looking statements speak only as of the date made, and the Company undertakes no obligation to update any forward-looking statements, whether as a result of changes in circumstances, new events or otherwise.