Verbio is back on track for success
 

• Seasonally strong GHG quota demand, coupled with strengthening momentum in the GHG quota market, drives Q3 results
• Positive free cash flow after nine months
• Outlook for FY 2025/26 firmed up
• The German Bundesrat (upper house) has given its approval to the bill: greenhouse gas quota significantly increased by 2040

 

Leipzig, May 13, 2026 – The momentum from the first half of 2025/26 continued to gather pace in the third quarter, leading to a strong result after the first nine months.

Verbio increased its production of biodiesel and bioethanol to 888,691 tonnes in the period from July 1, 2025 to March 31, 2026 (9M 2024/25: 879,118 tonnes), driven primarily by the ongoing ramp-up of the production plant in Nevada. Biomethane production also rose significantly, reaching 1,040 GWh in the first nine months of the financial year 2025/26 (9M 2024/25: 865 GWh). Verbio once again exceeded the previous year’s figures and set new production records for biomethane and bioethanol.

Group revenues increased to EUR 1,340.7 million in the first nine months of the financial year (9M 2024/25: EUR 1,146.5 million). In particular, a key factor in this was the rising demand for GHG quotas in an increasingly stabilised market environment, which was reflected in both rising trading volumes and higher selling prices.

Earnings before interest, taxes and depreciation and amortisation (EBITDA) for the first nine months of the financial year 2025/26 were EUR 105.7 million (9M 2024/25: EUR 22.4 million). The increase in EBITDA is primarily attributable to a EUR 64.8 million improvement in the absolute gross margin. This development was largely driven by the Bioethanol/Biomethane segment, which reflected the significant recovery in the GHG quota market.

The Group’s earnings before taxes and interest (EBIT) totalled EUR 58.3 million in the period (9M 2024/25: EUR -24.2 million). The net result totalled EUR 22.3 million (9M 2024/25: EUR -40.5 million). Based on the result for the period, basic earnings per share were EUR 0.35 (9M 2024/25: EUR -0.64).

Operating cash flow reached EUR 96.4 million after the first nine months of 2025/26 thanks to the improved operating momentum (9M 2025/26: EUR -11.5 million), while payments for property, plant and equipment totalled EUR 63.4 million (9M 2024/25: EUR 96.3 million). These primarily represented investments in plant and equipment for the production of bio-based speciality chemicals from rapeseed oil methyl ester (biodiesel) in Europe and the plant in South Bend (IN, USA). Free cash flow (operating cash flow less investments in property, plant and equipment) thus amounted to EUR 33.0 million (9M 2024/25: EUR -107.8 million).

As a result, net financial debt fell to EUR 126.8 million at March 31, 2026 (June 30, 2025: EUR 164.0 million). The equity ratio increased to 59.3 percent (June 30, 2025: 58.2 percent).

A buoyant GHG quota market, driven by strong seasonal demand, boosts Q3 results

Verbio generated revenues of EUR 447.1 million in the third quarter (Q2 2025/26: EUR 455.4 million; Q3 2024/25: EUR 394.9 million). EBITDA increased by EUR 52.0 million compared to the same quarter of the previous year and by EUR 30.1 million compared to the previous quarter, amounting to EUR 60.2 million (Q2 2025/26: EUR 30.1 million; Q3 2024/25: EUR 8.2 million). In particular, the ongoing market recovery, combined with the seasonally high demand for GHG quotas as well as increased biomethane sales volumes, was reflected in the very positive development of the quarterly results.

In the Biodiesel segment production in Europe reached a new record high in the third quarter of 2025/26, resulting in an increase in total production compared with the third quarter of 2024/25. Due to changes in the regulatory framework conditions in North America, volumes in Canada were kept at a low level in line with plan during the reporting period.

Revenue nevertheless declined in the third quarter to EUR 202.7 million, from EUR 223.8 million in Q2 2025/26 and EUR 210.3 million in Q3 2024/25, as sales volumes decreased due to a targeted reduction in third-party volumes. However, taking into account the change in inventories of work in progress and finished goods, as well as a small decrease in cost of materials, the gross margin was higher than in the previous year. As a result Verbio could increase EBITDA in the segment, reaching EUR 18.5 million compared with EUR 16.8 million in the third quarter of 2024/25. The gross margin and EBITDA fell in comparison to the previous quarter due to market conditions (Q2 2025/26 EBITDA: EUR 24.1 million).

In the Bioethanol/Biomethane segment, Verbio set a new production record for biomethane in the third quarter of 2025/26 following the ongoing ramp-up of the plant in Nevada. The decrease in bioethanol production volumes compared with the previous year and the previous quarter was primarily due to a temporary biological disruption to fermentation processes in Europe. Additionally, in North America, negative production margins at times − due to unfavourable market conditions in January 2026 − led to a decline in production volumes in comparison with the previous quarter. Revenue increased to EUR 236.3 million in Q3 2025/26, from EUR 228.0 million in Q2 2025/26 and EUR 181.5 million in Q3 2024/25. The significant drivers were the recovery of the GHG quota market and seasonally strong demand for GHG quotas.

The increase in EBITDA of EUR 28.4 million compared to the previous quarter and EUR 48.2 million compared to the same quarter of the previous year was primarily due to the contribution to earnings from the GHG quota business, resulting in a total EBITDA of EUR 34.2 million in the third quarter (EBITDA Q2 2025/26: EUR 5.8 million; Q3 2024/25: EUR -14.0 million). Lower grain purchase prices compared to the same quarter of the previous year resulted in a significant reduction in the cost of materials and had a positive effect on margins.

In the Other segment, Verbio generated revenues of EUR 12.3 million in the third quarter of 2025/26 (Q2 2025/26: EUR 7.2 million; Q3 2024/25: EUR 8.8 million) from transport and logistics services. Together with the expenses and income from the Trading division, the reported segment EBITDA was EUR 7.6 million (Q2 2025/26: EUR 0.2 million; Q3 2024/25: EUR 5.4 million). Profit from commodity forward contracts in the segment amounted to EUR 11.3 million; the majority of this has been realised. 

Verbio firms up new forecast for the financial year 2025/26

At the time of publication of the annual report for the financial year 2024/25 on September 25, 2025, EBITDA for the financial year 2025/26 was forecast to be in the high double-digit million range and thus significantly higher than in the previous year. An upward correction of this forecast was communicated in an ad hoc announcement on March 25, 2026. Based on the business performance to date as well as current sales and raw material price levels, EBITDA is now expected to be between EUR 100 million and EUR 140 million. The forecast has been formulated with a wide range, as the geopolitical environment remains dynamic. 

Given the ongoing high selling prices, supported by a favourable regulatory environment and geopolitical factors, Verbio is revising its EBITDA forecast for the full year 2025/26 to the upper end of the forecast range of between EUR 100 million and EUR 140 million.

The expectations for net financial debt at the end of the financial year were revised downwards in the ad hoc announcement on March 25, 2026, and projected to be in the region of EUR 140 million. Following the firming-up of its EBITDA expectations, the Management Board now expects net financial debt to be below EUR 140 million at the end of the financial year.

GHG quota significantly increased by 2040 – German upper house gives approval to legislation to implement RED III

Following the German Parliament’s resolution, the new regulations on greenhouse gas reduction quotas were also adopted by the Bundesrat (the upper house) on May 8, 2026. The GHG quota will thus rise from the current 12 percent to 17.5 percent in 2027, and will be gradually increased to 65 percent by 2040. At the same time, the double counting of advanced biofuels will be abolished, the cap on cultivated biomass will be raised to 5.8 percent by 2032, and mandatory on-site checks to prevent fraud will be introduced from 2027. In addition to further worldwide market drivers, the legislation strengthens the biofuel sector and expands market opportunities for conventional and advanced biofuels. “With the new GHG quota scheme, we will become an integral part of a forward-looking energy strategy. In future, we will no longer receive only a climate protection premium for our products, but also a resilience premium,” said Verbio CEO Claus Sauter, explaining the significance of the decision for industry and consumers. He added, “Biofuels are not just climate action in practice. They also play an important role in supporting the agriculture sector and ensuring a secure energy supply. Our raw materials do not have to pass through the Strait of Hormuz. They are grown directly in the field next door in Sachsen-Anhalt, Saxony or Brandenburg."

 

Verbio key figures

(EUR millions) 9M 24/25 9M 25/26 yoy Q2 25/26 Q3 25/26 qoq Production             Biodiesel (tonnes) 459,104 457,696 -0.3% 144,292 146,520 1.5% Bioethanol (tonnes) 420,015 430,995 2.6% 153,131 124,149 -18.9% Biomethane (MWh) 865,334 1,040,118 20.2% 337,725 365,932 8.4% Revenue 1,146.5 1,340.7 16.9% 455.4 447.1 -1.8% Segment Biodiesel 649.8 670.6 3.2% 223.8 202.7 -9.4% Segment Bioethanol 486.0 655.5 34.9% 228.0 236.3 3.7% Segment Other 27.1 27.8 2.5% 7.2 12.3 70.5% EBITDA 22.4 105.7 371.1% 30.1 60.2 99.9% Segment Biodiesel 68.8 65.2 -5.2% 24.1 18.5 -23.2% Segment Bioethanol -50.9 30.5 n.a. 5.8 34.2 485.3% Segment Other 4.5 10.0 122.0% 0.2 7.6 3,279.6%   (EUR millions) 30.06.2025 30.09.2025 +/- Net debt 164.0 126.8 -22.7% Equity ratio 58.2% 59.3% 1.1pp

 

Detailed information on business developments in the first nine months of the financial year 2025/26 is provided in the quarterly statement for the period ended March 31, 2026, which can be viewed from 8.30 a.m. CEST on Verbio’s website at www.verbio.de/en/financialreports.

 

About Verbio

At Verbio we make more from biomass. In our biorefineries we convert raw materials and residues from regional agriculture into climate-friendly fuels, green energy and renewable products for chemicals and agriculture. In addition, we create high-value components from sustainably-generated biomass for the animal feed and foodstuff industries. We employ approximately 1,400 people at our locations in Europe, Asia and North America. Our motto “Pioneering green solutions” sums up what drives our international team: with innovative technologies and green solutions, we are shaping the social and industrial transformation toward climate neutrality and ecological production. We contribute to preserving natural resources and to leaving the Earth in a habitable state for the generations that will follow us. In doing so we combine global growth with economic success, social responsibility and security of supply. Verbio shares (ISIN DE000A0JL9W6/WKN A0JL9W) have been listed in the prime standard segment of the Frankfurt Stock Exchange since October 2006. Our headquarters are in Zörbig, Germany.

 

Important notice

This publication contains forward-looking statements that are based on current assumptions and estimates made by the management of Verbio SE. Although the Company’s management is of the opinion that these assumptions and estimates are realistic, actual future developments and actual future results may differ significantly from these assumptions and estimates due to a variety of factors. These factors can include, among other things, changes in the financial and asset situation, the development or performance of the company, the legal and regulatory framework in Germany and the EU, and changes in the industry. Verbio neither intends nor assumes any separate obligation to update, revise or adapt forward-looking statements to take account of future events or developments.

 

Contact:
Verbio SE
Ritterstraße 23 (Oelßner's Hof)
04109 Leipzig

Alina Köhler (IR)
Ulrike Kurze (PR)
+49(0)341/308530-299
E-Mail: ir@verbio.de/pr@verbio.de