US renewable fuels producer Gevo reported record financial results for the third quarter of 2026, with growth driven by its expanding carbon business, low-carbon ethanol production and renewable natural gas (RNG) operations.
The company generated revenue of $83 million (€71.4 million) in the three months to 30 September, nearly doubling from $43 million (€37 million) in the same period last year. Net income reached $23 million (€19.8 million), compared with a loss of $8 million (€6.9 million) a year earlier, while adjusted EBITDA rose to $44 million (€37.8 million) from $7 million (€6 million).
A key contributor to the performance was Gevo’s growing participation in carbon markets. The quarter included approximately $29.4 million (€25.3 million) in revenue from sales of Canadian Clean Fuel Regulation (CFR) credits, reflecting the value of low-carbon fuel production and associated emissions reductions.
Chief executive Paul Bloom said the results demonstrated the strength of a business model built around carbon capture, storage and renewable fuel production.
“We said we would build a carbon business that stands on its own in 2026. These results show it’s working,” Bloom said. “By selling into both compliance and voluntary carbon markets, we’ve built a durable business from the carbon we capture and store today.”
Gevo expects its carbon business alone to generate more than $50 million (€43 million) in revenue this year, with earnings further supported by carbon capture and sequestration (CCS) activities and sales into regulatory and voluntary carbon credit markets.
The company is also benefiting from favourable US renewable fuel policy. Gevo recently contracted sales worth $70 million (€60.2 million) of Section 45Z Clean Fuel Production tax credits, covering substantially all anticipated credits from its ethanol and RNG operations in 2026. Recent updates to the 45ZCF GREET model are also expected to increase the value of its RNG portfolio by more than $10 million (€8.6 million) annually through recognition of avoided methane emissions from dairy manure.
Operationally, Gevo produced 19 million gallons of low-carbon ethanol during the quarter, up from 17 million gallons a year earlier. Its North Dakota debottlenecking project remains on track for completion by year-end and is expected to increase low-carbon ethanol capacity to around 75 million gallons per year.
Looking ahead, the company continues to pursue expansion plans that would double low-carbon ethanol production and carbon capture volumes from 2028, while advancing Project Northstar, its sustainable aviation fuel (SAF) initiative aimed at converting a portion of ethanol output into aviation fuel.
Gevo posts record quarterly results as carbon and low-carbon fuel businesses drive growth
