Welcome to Biodiesel Buisness Weekly

Good morning. After a quiet start to the year, biodiesel producers are seeing some serious momentum building — Green Plains just posted solid Q1 results, major agricultural groups are pushing hard on Capitol Hill for year-round E15 access, and ADM's raising their profit outlook. Looks like 2026 might be shaping up nicely for the industry.

Today's newsletter:

📊 Green Plains Q1: margins, volumes detailed
🏛️ Farm groups demand House E15 action
📈 ADM raises 2026 profit forecast outlook
⭐ Kansas greenlit E15 tax credit boost

Green Plains Q1 2026 results: margins, volumes, and outlook snapshot

Green Plains Inc. (Q4 CDN investor site)

Green Plains Inc. reported challenging first-quarter results, posting a net loss as weak ethanol crush margins pressured its core production operations and weighed on overall financial performance. The company's ethanol plants ran below maximum capacity during the quarter, reflecting difficult margin conditions in both the ethanol and coproducts markets. Meanwhile, the Agribusiness and Energy Services segment also underperformed due to challenging merchandising conditions and basis spreads, resulting in lower operating income across the company's traditional revenue drivers.

However, the company's strategic pivot toward higher-margin products is beginning to show promise. Green Plains' high-protein ingredient segment delivered positive contributions and increased production volumes as the company continues rolling out its technology across its biorefinery platform. CEO Todd Becker emphasized that the company's execution priorities center on this transformation, stating the focus remains on deploying technology and improving operations to create more stable earnings. The company is simultaneously pursuing operational efficiency and cost-control initiatives while advancing low-carbon fuel capabilities to capture emerging market opportunities.

30+ Farm, Biofuel Groups Urge House Action on Year-Round E15

Iowa Renewable Fuels Association (IRFA) · April 28, 2026

A coalition of more than 30 farm and renewable fuels organizations is escalating efforts to secure year-round access to E15 ethanol fuel as the House farm bill moves forward. The groups, led by the Iowa Renewable Fuels Association, have sent a letter to House Speaker Mike Johnson and House Agriculture Committee Chair G.T. Thompson urging them to include year-round E15 provisions in pending legislation. Currently, federal regulations limit higher-ethanol fuel sales seasonally in many markets, creating operational constraints for producers and retailers.

The push highlights significant industry demand for regulatory certainty and market stability. Ethanol producers and fuel retailers currently face a stop-start sales cycle tied to seasonal restrictions, complicating supply planning and contracting strategies. A year-round E15 policy would remove these annual limitations and provide the predictability the industry needs for efficient operations and long-term investment decisions.

ADM raises 2026 profit outlook after Q1 hit by timing impacts

ADM (News Release) · May 01, 2026

Archer-Daniels-Midland raised its full-year 2026 profit guidance significantly, boosting adjusted earnings per share expectations to $4.15 to $4.70 from a prior range of $3.60 to $4.25. The increase comes despite first-quarter results that were pressured by approximately $275 million in negative mark-to-market and timing impacts. Management attributed the improved outlook to sustained progress on company priorities and what it characterized as a more supportive operating environment following recent policy clarity for U.S. biofuels.

The company expects earnings improvement to come primarily from its crushing and ethanol businesses, signaling strengthening fundamentals in core biofuels-related operations. This guidance upgrade reflects ADM's confidence that clearer regulatory and policy frameworks for renewable fuels are creating a more constructive business climate. For biodiesel producers and their supply chain partners, ADM's optimistic outlook suggests potential downstream demand strength and improved market conditions as major processors expand their biofuels commitments.

Kansas signs E15 tax credit; biofuels group says it boosts adoption

Renew Kansas · April 27, 2026

Governor Laura Kelly has signed legislation creating a new tax credit for E15, a fuel blend containing 15% ethanol, marking a significant policy victory for Kansas biofuels advocates. The Renew Kansas Biofuels Association hailed the move as essential for expanding higher-ethanol fuel availability and use across the state. The tax credit is designed to benefit multiple stakeholders along the supply chain, including fuel retailers, Kansas drivers, and the state's agricultural and biofuels production sector.

The incentive creates direct financial benefits for fuel retailers, influencing their infrastructure investment decisions and pricing strategies for E15 at the pump. By lowering consumer costs or offsetting equipment expenses for station owners, the credit aims to accelerate retailer participation in the higher-ethanol fuel market. Success will ultimately depend on implementation by state agencies and the participation levels of fuel retailers willing to stock and promote E15 to consumers.
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