DAR Earnings Prediction
The chart below shows how DAR performed 10 days before and after its earnings report, based on data from the past quarters. Typically, DAR sees a -2.97% change in stock price 10 days leading up to the earnings, and a -1.73% change 10 days following the report. On the earnings day itself, the stock moves by +2.15%. This data can give you a slight idea of what to expect for the next quarter's release.
DAR Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
1.42B
-12.17%
--
Gross Margin
14.50%
-21.58%
--
Operating Margin
6.92%
-32.68%
--
Net Margin
7.32%
35.30%
--
EPS
0.63
21.15%
--
No Data Available
DAR Earnings Analysis
Darling Ingredients Inc Corporation (DAR.N) Earnings Conference Call
Positive
Earnings Per Share Beat: Darling Ingredients reported a Q4 2024 EPS of $0.63, exceeding expectations of $0.38, reflecting strong financial performance.
Debt Reduction and Financial Health: The company paid down $353 million in debt during fiscal year 2024, reducing the financial leverage ratio to 3.68 times, indicating improved financial health.
Strong Investment Returns: Darling Ingredients received $179.8 million in dividends from Diamond Green Diesel for the full fiscal year 2024, showcasing strong returns from investments.
Feed Segment Margin Improvement: Gross margin in the Feed segment improved from 21.5% in Q3 2024 to 22.6% in Q4 2024, demonstrating effective margin management despite lower fat prices.
Positive EBITDA Growth Outlook: The company anticipates a combined adjusted EBITDA of $1.25 billion to $1.3 billion for 2025, indicating positive growth expectations for the upcoming year.
Negative
Operating Income Decline: Operating income decreased $36.4 million to $122.4 million for the fourth quarter of 2024 compared to $158.8 million for the fourth quarter of 2023 primarily due to a lower gross margin from significantly lower fat prices.
Net Income Decline: For fiscal year 2024, net income was $278.9 million or $1.73 per diluted share as compared to net income of $647.7 million or $3.99 per diluted share for fiscal 2023, indicating a significant decline in profitability.
Net Sales Decline: Net sales for fiscal year 2024 were $5.7 billion compared to net sales of $6.8 billion for the same period of 2023, reflecting a decrease of $1.1 billion year-over-year.
Operating Income Decline: Operating income decreased $181.5 million to $468.2 million for fiscal 2024, compared to $949.7 million for fiscal year 2023, primarily due to a lower gross margin in global ingredients.
Debt Reduction Analysis: The company’s total debt outstanding as of December 28, 2024, was $4 billion compared to $4.4 billion at year-end 2023, indicating a high level of debt despite a reduction.
DAR FAQs
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DAR Earning Call Sentiment
Darling Ingredients Inc. (NYSE:DAR) Q4 2024 Earnings Call Transcript
DAR.N
2.27%Positive
The earnings call highlights strong financial performance, with increased gross margins and significant debt reduction. The company is benefiting from regulatory advantages (45Z) and is expanding its SAF capacity, which are positive indicators. Management's cautious guidance may temper optimism slightly, but overall, the strategic focus on growth and operational excellence, along with increased dividends, suggests a positive outlook. The Q&A section supports this sentiment, with analysts showing interest in growth opportunities and regulatory advantages, despite some lack of clarity in specific areas.
