Tidewater Renewables (TSE:LCFS) Releases Earnings Results

Tidewater Renewables (TSE:LCFS) posted its quarterly earnings data on Thursday. The company reported C$0.13 earnings per share for the quarter, FiscalAI reports. The company had revenue of C$160.60 million during the quarter. Tidewater Renewables had a return on equity of 5.00% and a net margin of 2.91%.

Here are the key takeaways from Tidewater Renewables’ conference call:

• Record renewable results: Tidewater Renewables’ HDRD complex achieved record throughput of 3,315 barrels per day, or 111% utilization, supported by debottlenecking, strong renewable diesel pricing, and a CAD 0.16-per-liter Biofuel Production Incentive.
• Adjusted EBITDA and guidance increased: Consolidated second-quarter adjusted EBITDA reached a record CAD 88.9 million, while full-year 2026 guidance rose to CAD 230–250 million, driven by higher utilization, strong refining crack spreads, and improved renewable fuel and credit pricing.
• Deleveraging accelerated: Consolidated net debt fell by CAD 44.4 million in the quarter, bringing consolidated debt-to-adjusted EBITDA down to 1.7x, within the company’s 1.2–2.5x target range.
• Cash flow support and hedging improved visibility: Tidewater expects CAD 13.8 million of HDRD incentive contributions in the third quarter, while additional 2027 crack-spread hedges covering approximately 40% of exposure were secured at prices management characterized as attractive.
• SAF remains dependent on regulatory approval and substantial capital: The proposed sustainable aviation fuel project is targeting a fourth-quarter final investment decision, but still requires regulatory amendments and is estimated to cost approximately CAD 1.2 billion, with an expected 2030 start-up.
• Midstream utilization was uneven: Ram River Gas Plant throughput declined 8% sequentially and fractionation utilization fell to 76% because of NGTL curtailments, while the gas plant remains temporarily curtailed pending a recovery in regional production.

Tidewater Renewables Price Performance

Shares of LCFS stock traded up C$1.09 during mid-day trading on Thursday, reaching C$18.45. The company’s stock had a trading volume of 44,083 shares, compared to its average volume of 20,464. Tidewater Renewables has a 1-year low of C$2.60 and a 1-year high of C$18.58. The company has a market cap of C$673.87 million, a P/E ratio of 83.86 and a beta of -0.43. The company has a debt-to-equity ratio of 120.55, a quick ratio of 0.10 and a current ratio of 1.13. The firm’s 50-day moving average is C$13.81 and its two-hundred day moving average is C$9.84.

Wall Street Analysts Forecast Growth

LCFS has been the subject of a number of research reports. National Bank Financial increased their price target on shares of Tidewater Renewables from C$8.00 to C$13.25 and gave the company a “sector perform” rating in a report on Friday, May 8th. ATB Cormark Capital Markets upped their price objective on shares of Tidewater Renewables from C$8.00 to C$12.00 and gave the company a “speculative buy” rating in a research report on Friday, May 8th. Finally, Royal Bank Of Canada increased their target price on shares of Tidewater Renewables from C$7.50 to C$12.50 and gave the company a “sector perform” rating in a research note on Friday, May 8th. One research analyst has rated the stock with a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of C$12.58.

About Tidewater Renewables

Tidewater Renewables is a multi-faceted, energy transition company. The Corporation is focused on the production of low carbon fuels, including renewable diesel and sustainable aviation fuel. The Corporation was created in response to the growing demand for renewable fuels in North America and to capitalize on its potential to efficiently turn a wide variety of renewable feedstocks (such as canola oil, soybean oil, used cooking oil, distillers corn oil, tallow, and other biomasses) into low carbon fuels.