FutureFuel第二季收入反彈 生物燃料轉盈 上半年仍錄虧損

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Exclusive of the blender's tax credit (which expired 12/31/2024) of $0, $0, and $6,683, respectively, and net of allowances for expected credit losses of $44, $28, and $29, respectively, as of the dates noted.
See Note 2 for additional information.
On regulated fixed price futures commitments as shown in Note 6.
Upfront customer payment received for plant expansion

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q

 

(Mark One)

 ☑ 
 QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 

 For the quarterly period ended June 30, 2026

OR

 ☐
 TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 

 For the transition period from __________ to ___________

 Commission file number: 0-52577

 

 
 
 

(Exact Name of Registrant as Specified in Its Charter)

 

 Delaware  
  
 20-3340900
 

 (State or Other Jurisdiction of 
  
 (IRS Employer Identification No.)
 

 Incorporation or Organization) 
  
  
 

   

2800 Gap Road, Batesville, Arkansas   72501

(Address of Principal Executive Offices) (Zip Code)

   

 (870) 698-5608  

 (Registrant’s Telephone Number, Including Area Code) 

                                             

Securities registered pursuant to Section 12(b) of the Act:

 

 Title of each class
 Trading Symbol(s)
 Name of each exchange on which registered
 

 Common Stock
 FF
 NYSE
 

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☑  No ☐

 

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☑  No ☐

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer”, “smaller reporting company”, and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check one): 

 

 Large accelerated filer   ☐  
  
 Accelerated filer 
 ☑
  
 

 Non-accelerated filer     ☐
  
 Smaller reporting company
 ☑ 
  
 

  
  
 Emerging growth company
 ☐
  
 

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☑

 

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of August 10, 2026: 43,863,318

 

 
 
 
  
 

 

 

 
 
 
 
  
 

 

 

  

 

 
  
 

 PART I FINANCIAL INFORMATION

    

 Item 1. Financial Statements.

  

 FutureFuel Corp.

 Consolidated Balance Sheets

 (Dollars in thousands, except per share amounts)

  

 
    (Unaudited)
    As Adjusted (Note 1)
  

   June 30, 2026
    December 31, 2025
  

 Assets
         

 Cash and cash equivalents
  $34,366  $51,316 

 Accounts receivable, net of allowances for expected credit losses of $36 and $28, respectively
   20,104   9,405 

 Inventory, net
   40,692   29,334 

 Income tax receivable
   77   88 

 Prepaid expenses
   2,101   4,077 

 Other current assets
   18,930   14,383 

 Total current assets
   116,270   108,603 

 Property, plant and equipment, net
   93,462   86,797 

 Other assets
   5,309   4,922 

 Total noncurrent assets
   98,771   91,719 

 Total Assets
  $215,041  $200,322 

 Liabilities and Stockholders’ Equity
         

 Accounts payable
  $23,351  $10,633 

 Accounts payable – related parties
   41   40 

 Deferred revenue – current
   661   1,519 

 Dividends payable
   574   2,761 

 Accrued expenses and other current liabilities
   3,994   2,783 

 Total current liabilities
   28,621   17,736 

 Deferred revenue – noncurrent
   11,978   11,644 

 Dividends payable - noncurrent
   206   196 

 Noncurrent deferred income taxes
   1,118   1,055 

 Other noncurrent liabilities
   20,036   7,048 

 Total noncurrent liabilities
   33,338   19,943 

 Total liabilities
   61,959   37,679 

 Commitments and contingencies
           

 Preferred stock, $0.0001 par value, 5,000,000 shares authorized, none issued and outstanding
   -   - 

 Common stock, $0.0001 par value, 75,000,000 shares authorized, 43,863,318 and 43,863,507 issued and outstanding as of June 30, 2026 and December 31, 2025, respectively
   4   4 

 Additional paid in capital
   203,438   203,771 

 Retained earnings (accumulated deficit)
   (50,360)  (41,132)

 Total stockholders’ equity
   153,082   162,643 

 Total Liabilities and Stockholders’ Equity
  $215,041  $200,322 

 

  

 The accompanying notes are an integral part of these consolidated financial statements.

  

 
 
 
 
 1
 

 

 

 
 
 
 
  
 

 

 

 

 
  
 

  

  FutureFuel Corp.

 Consolidated Statements of Operations and Net Income (Loss)

 (Dollars in thousands, except per share amounts)

 (Unaudited)

  

 
 
 
 
  
  
 Three Months Ended
 
  
  
 Six Months Ended
 
  
 

 
  
  
 June 30,
 
  
  
 June 30,
 
  
 

 
  
  
  
  
  
  
 As Adjusted (Note 1)
  
  
  
  
  
  
 As Adjusted (Note 1)
  
 

 
  
  
 2026
 
  
  
 2025
 
  
  
 2026
 
  
  
 2025
 
  
 

 
 Revenue
 
  
 $
 78,726
  
  
 $
 35,673
  
  
 $
 110,627
  
  
 $
 53,211
  
 

 
 Revenue – related parties
 
  
  
 -
  
  
  
 -
  
  
  
 51
  
  
  
 
  
 

 
 Cost of goods sold
 
  
  
 62,620
  
  
  
 47,387
  
  
  
 109,632
  
  
  
 79,572
  
 

 
 Cost of goods sold – related parties
 
  
  
 3
  
  
  
 1
  
  
  
 3
  
  
  
 3
  
 

 
 Distribution
 
  
  
 1,080
  
  
  
 641
  
  
  
 1,878
  
  
  
 1,131
  
 

 
 Distribution – related parties
 
  
  
 -
  
  
  
 37
  
  
  
 -
  
  
  
 86
  
 

 
 Gross profit (loss)
 
  
  
 15,023
  
  
  
 (12,393
 )
  
  
 (835
 )
  
  
 (27,581
 )
 

 
 Selling, general, and administrative expenses
 
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
 

 
 Compensation expense
 
  
  
 1,391
  
  
  
 1,191
  
  
  
 2,660
  
  
  
 3,131
  
 

 
 Other expense, net
 
  
  
 1,562
  
  
  
 868
  
  
  
 4,307
  
  
  
 1,651
  
 

 
 Related party expense
 
  
  
 127
  
  
  
 169
  
  
  
 258
  
  
  
 330
  
 

 
 Research and development expenses
 
  
  
 692
  
  
  
 933
  
  
  
 1,532
  
  
  
 2,324
  
 

 
 Total operating expenses
 
  
  
 3,772
  
  
  
 3,161
  
  
  
 8,757
  
  
  
 7,436
  
 

 
 Income (loss) from operations
 
  
  
 11,251
  
  
  
 (15,554
 )
  
  
 (9,592
 )
  
  
 (35,017
 )
 

 
 Interest income
 
  
  
 209
  
  
  
 1,068
  
  
  
 507
  
  
  
 2,305
  
 

 
 Interest expense
 
  
  
 (30
 )
  
  
 (26
 )
  
  
 (59
 )
  
  
 (62
 )
 

 
 Other income
 
  
  
 9
  
  
  
 505
  
  
  
 9
  
  
  
 505
  
 

 
 Other income, net
 
  
  
 188
  
  
  
 1,547
  
  
  
 457
  
  
  
 2,748
  
 

 
 Income (loss) before taxes
 
  
  
 11,439
  
  
  
 (14,007
 )
  
  
 (9,135
 )
  
  
 (32,269
 )
 

 
 Income tax provision
 
  
  
 69
  
  
  
 183
  
  
  
 77
  
  
  
 15
  
 

 
 Net income (loss)
 
  
 $
 11,370
  
  
 $
 (14,190
 )
  
 $
 (9,212
 )
  
 $
 (32,284
 )
 

 
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
 

 
 Earnings (loss) per common share
 
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
 

 
 Basic
 
  
 $
 0.25
  
  
 $
 (0.32
 )
  
 $
 (0.21
 )
  
 $
 (0.74
 )
 

 
 Diluted
 
  
 $
 0.25
  
  
 $
 (0.32
 )
  
 $
 (0.21
 )
  
 $
 (0.74
 )
 

 
 Weighted average shares outstanding
 
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
 

 
 Basic
 
  
  
 44,029,003
  
  
  
 43,803,243
  
  
  
 44,027,914
  
  
  
 43,803,243
  
 

 
 Diluted
 
  
  
 44,039,829
  
  
  
 43,803,243
  
  
  
 44,027,914
  
  
  
 43,803,243
  
 

 
 
 

  

 The accompanying notes are an integral part of these consolidated financial statements.

  

 
 
 
 
 2
 

 

 

 
 
 
 
  
 

 

 

 

 
  
 

  

 FutureFuel Corp.

 Consolidated Statements of Stockholders’ Equity

 (Dollars in thousands)

 (Unaudited)

  

 
    For the Six Months Ended June 30, 2026
  

              Retained     

          Additional  Earnings  Total 

   Common Stock
    paid in
    (Accumulated
    Stockholders’
  

   Shares
    Amount
    Capital
    Deficit)
    Equity
  

 Balance - December 31, 2025
   43,863,507  $4  $203,771  $(41,132) $162,643 

 Cash dividends declared, $0.01 per share
   -   -   (439)  -   (439)

 Stock based compensation
   -   -   313   (8)  305 

 Net loss
   -   -   -   (20,582)  (20,582)

 Balance - March 31, 2026
   43,863,507  $4  $203,645  $(61,722) $141,927 

 Cash dividends declared, $0.01 per share
   -  $-   (439)  -   (439)

 Stock based compensation
   (189)  -   232   (8)  224 

 Net income
   -   -   -   11,370   11,370 

 Balance - June 30, 2026
   43,863,318  $4  $203,438  $(50,360) $153,082 

 

  

  

 
    For the Six Months Ended June 30, 2025 (As Adjusted (Note 1))
  

              Retained     

          Additional  Earnings  Total 

   Common Stock
    paid in
    (Accumulated
    Stockholders’
  

   Shares
    Amount
    Capital
    Deficit)
    Equity
  

 Balance - December 31, 2024
   43,803,243  $4  $205,434  $383  $205,821 

 Change in accounting principle
   -   -   -   6,252   6,252 

 Balance - December 31, 2024, as adjusted
   43,803,243   4   205,434   6,635   212,073 

 Stock based compensation
   -   -   227   (1)  226 

 Net loss
   -   -   -   (18,094)  (18,094)

 Balance - March 31, 2025
   43,803,243  $4  $205,661  $(11,460) $194,205 

 Stock based compensation
   -   -   237   -   237 

 Net loss
   -   -   -   (14,190)  (14,190)

 Balance - June 30, 2025
   43,803,243  $4  $205,898  $(25,650) $180,252 

 

  

 The accompanying notes are an integral part of these consolidated financial statements.

  

 
 
 
 
 3
 

 

 

 
 
 
 
  
 

 

 

 

 
  
 

  

 FutureFuel Corp.

 Consolidated Statements of Cash Flows

 (Dollars in thousands)

 (Unaudited) 

  

 
 
 
 
  
  
 Six Months Ended June 30,
 
  
 

 
  
  
  
  
  
  
 As Adjusted (Note 1)
  
 

 
  
  
 2026
 
  
  
 2025
 
  
 

 
 Cash flows from operating activities
 
  
  
  
  
  
  
  
  
 

 
 Net loss
 
  
 $
 (9,212
 )
  
 $
 (32,284
 )
 

 
 Adjustments to reconcile net loss to net cash used in operating activities:
 
  
  
  
  
  
  
  
  
 

 
 Depreciation
 
  
  
 5,331
  
  
  
 4,739
  
 

 
 Amortization of deferred financing costs
 
  
  
 38
  
  
  
 44
  
 

 
 Provision for deferred income taxes
 
  
  
 63
  
  
  
 2
  
 

 
 Change in fair value of derivative instruments
 
  
  
 (735
 )
  
  
 (281
 )
 

 
 Stock based compensation
 
  
  
 529
  
  
  
 462
  
 

 
 Gain on disposal of property and equipment
 
  
  
 -
  
  
  
 (34
 )
 

 
 Change in allowance for credit losses
 
  
  
 9
  
  
  
 15
  
 

 
 Change in inventory reserve
 
  
  
 501
  
  
  
 524
  
 

 
 Noncash interest expense
 
  
  
 18
  
  
  
 18
  
 

 
 Changes in operating assets and liabilities:
 
  
  
  
  
  
  
  
  
 

 
 Accounts receivable
 
  
  
 (10,708
 )
  
  
 10,935
  
 

 
 Inventory
 
  
  
 (11,859
 )
  
  
 14,750
  
 

 
 Income tax receivable
 
  
  
 11
  
  
  
 3
  
 

 
 Prepaid expenses
 
  
  
 1,976
  
  
  
 1,882
  
 

 
 Prepaid expenses – related parties
 
  
  
 -
  
  
  
 (12
 )
 

 
 Other assets
 
  
  
 (4,639
 )
  
  
 (2,941
 )
 

 
 Accounts payable
 
  
  
 14,100
  
  
  
 (2,367
 )
 

 
 Accounts payable – related parties
 
  
  
 1
  
  
  
 (96
 )
 

 
 Dividends payable
 
  
  
 16
  
  
  
 -
  
 

 
 Accrued expenses and other current liabilities
 
  
  
 1,150
  
  
  
 3,579
  
 

 
 Deferred revenue
 
  
  
 (524
 )
  
  
 3,142
  
 

 
 Other noncurrent liabilities
 
  
  
 12,707
  
  
  
 (2,263
 )
 

 
 Net cash used in operating activities
 
  
  
 (1,227
 )
  
  
 (183
 )
 

 
 Cash flows from investing activities
 
  
  
  
  
  
  
  
  
 

 
 Collateralization of derivative instruments
 
  
  
 726
  
  
  
 859
  
 

 
 Proceeds from the sale of property and equipment
 
  
  
 -
  
  
  
 34
  
 

 
 Capital expenditures
 
  
  
 (13,378
 )
  
  
 (9,478
 )
 

 
 Net cash used in investing activities
 
  
  
 (12,652
 )
  
  
 (8,585
 )
 

 
 Cash flows from financing activities
 
  
  
  
  
  
  
  
  
 

 
 Payment of dividends
 
  
  
 (3,071
 )
  
  
 (5,256
 )
 

 
 Deferred financing costs
 
  
  
 -
  
  
  
 (365
 )
 

 
 Net cash used in financing activities
 
  
  
 (3,071
 )
  
  
 (5,621
 )
 

 
 Net change in cash and cash equivalents
 
  
  
 (16,950
 )
  
  
 (14,389
 )
 

 
 Cash and cash equivalents at beginning of period
 
  
  
 51,316
  
  
  
 109,541
  
 

 
 Cash and cash equivalents at end of period
 
  
 $
 34,366
  
  
 $
 95,152
  
 

 
  
  
  
  
  
  
  
  
  
 

 
 Cash paid for income taxes
 
  
 $
 3
  
  
 $
 10
  
 

 
 Noncash investing and financing activities
 
  
  
  
  
  
  
  
  
 

 
 ROU assets obtained in exchange for new operating lease liabilities
 
  
 $
 324
  
  
 $
 -
  
 

 
 Change in noncash capital expenditures
 
  
 $
 (1,382
 )
  
 $
 1,333
  
 

 
 
 

  

 The accompanying notes are an integral part of these consolidated financial statements.

  

 
 
 
 
 4
 

 

 

 
 
 
 
  
 

 

 

 

  

 Notes to Consolidated Financial Statements of FutureFuel Corp.

 (Dollars in thousands, except per share and per gallon amounts)

 (Unaudited)

  

 
  
 

 
 1)
 SIGNIFICANT ACCOUNTING POLICIES 
 

  

 
Basis of Presentation

  

 The accompanying unaudited consolidated financial statements have been prepared by FutureFuel Corp. (“FutureFuel” or “the Company”) in accordance and consistent with the accounting policies stated in the Company's 2025 Annual Report on Form 10-K, inclusive of the audited consolidated financial statements, and should be read in conjunction with these consolidated financial statements. Certain reclassifications were made to prior year amounts to conform to the 2026 presentation.

  

 In the opinion of FutureFuel, all normal recurring adjustments necessary for a fair presentation have been included in the unaudited consolidated financial statements. The unaudited consolidated financial statements have been prepared in compliance with the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with instructions to Form 10-Q adopted by the Securities and Exchange Commission (“SEC”). Accordingly, the unaudited consolidated financial statements do not include all the information and footnotes required by GAAP for complete financial statements and do include amounts that are based upon management estimates and judgments. Future actual results could differ from such current estimates. The unaudited consolidated financial statements include assets, liabilities, revenues, and expenses of FutureFuel and its direct and indirect wholly owned subsidiaries; namely, FutureFuel Chemical Company; FutureFuel Warehouse Company, L.L.C.; and Legacy Regional Transport, L.L.C. Intercompany transactions and balances have been eliminated in consolidation.

  

 Some of the Company's manufacturing equipment requires periodic, planned shutdowns of significant parts of our facility in order to perform necessary inspections, cleanings, and maintenance activities, referred to as turnarounds. The cost of turnarounds incurred for routine repairs and maintenance or unplanned outages at our facility are expensed as incurred. 

  

 A component of Other expense, net, in the consolidated statement of operations and net income (loss) for the three and six months ended June 30, 2026, includes $260 and $1,617, respectively, of incremental, non-recurring costs associated with the Winter Storm Fern freeze event, which caused a 30-day shutdown for the majority of our manufacturing plant, and $281 and $281, respectively, of incremental, non-recurring costs associated with a fire in our tank farm area that was promptly and safely contained. These expenditures primarily consisted of idle labor and emergency repairs and are abnormal to the Company's standard operations. 

  

 
 
 
 
 5
 

 

 

 
 
 
 
 
 
 Notes to Consolidated Financial Statements of FutureFuel Corp.
 

 

 
 
 (Dollars in thousands, except per share and per gallon amounts)
 

 

 
 
 (Unaudited)
 

 

 

 

 

 
  
 Effective  January 1, 2026, the Company elected to change its method of accounting for certain inventory from last in, first out ("LIFO") to weighted average cost. The Company believes the change to weighted average cost is preferable because it provides a better matching of costs and revenues, conforms the Company's inventory to a single method of accounting and improves comparability with the Company's peers. Comparative financial statements for prior years have been adjusted to apply the new method retrospectively. The tables below illustrate the impacts for the prior three- and six-month periods ended June 30, 2025, had the Company reported under the weighted average cost basis of accounting:

  

 
   June 30, 2025 

   As Originally
        

 Condensed Balance Sheet
   Reported under LIFO
    As Adjusted
    Effect of Change
  

 Inventory, net
  $9,620  $11,742  $2,122 

 Total current assets
   128,751   130,873   2,122 

 Total Assets
   218,212   220,334   2,122 

 Noncurrent deferred income taxes
   801   895   94 

 Total noncurrent liabilities
   9,049   9,143   94 

 Total liabilities
   39,988   40,082   94 

 Retained earnings (accumulated deficit)
   (27,678)  (25,650)  2,028 

 Total stockholders' equity
   178,224   180,252   2,028 

 Total Liabilities and Stockholders' Equity
   218,212   220,334   2,122 

 
  

  

 
    Three months ended June 30, 2025 

   As Originally         

 Condensed Statement of Operations and Net Loss
   Reported under LIFO
    As Adjusted
    Effect of Change
  

 Revenue
  $35,673  $35,673  $- 

 Cost of goods sold
   43,761   47,387   3,626 

 Gross loss
   (8,767)  (12,393)  (3,626)

 Loss from operations
   (11,928)  (15,554)  (3,626)

 Loss before taxes
   (10,381)  (14,007)  (3,626)

 Income tax provision
   35   183   148 

 Net loss
   (10,416)  (14,190)  (3,774)

             

 Loss per common share
             

 Basic
  $(0.24) $(0.32) $(0.09)

 Diluted
  $(0.24) $(0.32) $(0.09)

 
  

  

 
 
 
 
 6
 

 

 

 
 
 
 
 
 
 Notes to Consolidated Financial Statements of FutureFuel Corp.
 

 

 
 
 (Dollars in thousands, except per share and per gallon amounts)
 

 

 
 
 (Unaudited)
 

 

 

 

 

 
  
  

  

 
    Six months ended June 30, 2025
  

   As Originally
          

 Condensed Statement of Operations and Net Loss
   Reported under LIFO
    As Adjusted
    Effect of Change
  

 Revenue
  $53,211  $53,211  $- 

 Cost of goods sold
   75,321   79,572   4,251 

 Gross loss
   (23,330)  (27,581)  (4,251)

 Loss from operations
   (30,766)  (35,017)  (4,251)

 Loss before taxes
   (28,018)  (32,269)  (4,251)

 Income tax provision
   41   15   (26)

 Net loss
   (28,059)  (32,284)  (4,225)

             

 Loss per common share 
             

 Basic
  $(0.64) $(0.74) $(0.10)

 Diluted
  $(0.64) $(0.74) $(0.10)

 
  

  

 
   Six months ended June 30, 2025
  

 As Originally     

 Condensed Statements of Cash Flows
 Reported under LIFO As Adjusted Effect of Change 

 Net loss
 $(28,059)$(32,284)$(4,225)

 Provision (benefit) for deferred income taxes
  28  2  (26)

 Inventory
  10,499  14,750  4,251 

 Net Cash flows from Operating Activities
  (183) (183) - 

 
  

  

 
    December 31, 2025
  

   As Originally
          

 Condensed Balance Sheet
   Reported under LIFO
    As Adjusted
    Effect of Change
  

 Inventory, net
  $21,254  $29,334  $8,080 

 Total current assets
   100,523   108,603   8,080 

 Total Assets
   192,242   200,322   8,080 

 Noncurrent deferred income taxes
   910   1,055   145 

 Total noncurrent liabilities
   19,798   19,943   145 

 Total liabilities
   37,534   37,679   145 

 Retained earnings (accumulated deficit)
   (49,067)  (41,132)  7,935 

 Total stockholder's equity
   154,708   162,643   7,935 

 Total Liabilities and Stockholder's Equity
   192,242   200,322   8,080 

 
  

  

 
 
 
 
 7
 

 

 

 
 
 
 
 
 
 Notes to Consolidated Financial Statements of FutureFuel Corp.
 

 

 
 
 (Dollars in thousands, except per share and per gallon amounts)
 

 

 
 
 (Unaudited)
 

 

 

 

 

 
  
  

 The following tables summarize the effect of the change on the Company's financial condition as of, and results of operations for the three and six months ended, June 30, 2026.

  

 
    June 30, 2026
  

 Condensed Balance Sheet
   As Computed under Weighted Average Cost
    As Computed under LIFO
    Effect of Change
  

 Inventory, net
  $40,692  $38,730  $(1,962)

 Total current assets
   116,270   114,308   (1,962)

 Total Assets
   215,041   213,079   (1,962)

 Income tax payable
   -   -   - 

 Total current liabilities
   28,621   28,621   - 

 Noncurrent deferred income taxes
   1,118   498   (620)

 Total noncurrent liabilities
   33,338   32,718   (620)

 Total liabilities
   61,959   61,339   (620)

 Retained earnings (accumulated deficit)
   (50,360)  (51,702)  (1,342)

 Total stockholders' equity
   153,082   151,740   (1,342)

 Total Liabilities and Stockholders' Equity
   215,041   213,079   (1,962)

 
  

  

 
    Three months ended June 30, 2026
  

             

 Condensed Statement of Operations and Net Income (Loss)
   As Computed under Weighted Average Cost
    As Computed under LIFO
    Effect of Change
  

 Revenue
  $78,726  $78,726  $- 

 Cost of goods sold
   62,623   64,897   2,274 

 Gross profit
   15,023   12,749   (2,274)

 Income from operations
   11,251   8,977   (2,274)

 Income before taxes
   11,439   9,165   (2,274)

 Income tax provision (benefit)
   69   (631)  (700)

 Net income
   11,370   9,796   (1,574)

             

 Earnings per common share
             

 Basic
  $0.25  $0.21  $(0.04)

 Diluted
  $0.25  $0.21  $(0.04)

 
  

  

 
 
 
 
 8
 

 

 

 
 
 
 
 
 
 Notes to Consolidated Financial Statements of FutureFuel Corp.
 

 

 
 
 (Dollars in thousands, except per share and per gallon amounts)
 

 

 
 
 (Unaudited)
 

 

 

 

 

 
  
  

 
    Six months ended June 30, 2026
  

             

 Condensed Statement of Operations and Net Loss
   As Computed under Weighted Average Cost
    As Computed under LIFO
    Effect of Change
  

 Revenue
  $110,678  $110,678  $- 

 Cost of goods sold
   109,635   111,597   1,962 

 Gross loss
   (835)  (2,797)  (1,962)

 Loss from operations
   (9,592)  (11,554)  (1,962)

 Loss before taxes
   (9,135)  (11,097)  (1,962)

 Income tax provision (benefit)
   77   (543)  (620)

 Net loss
   (9,212)  (10,554)  (1,342)

             

 Loss per common share
             

 Basic
  $(0.21) $(0.24) $(0.03)

 Diluted
  $(0.21) $(0.24) $(0.03)

 
  

  

 
    Six months ended June 30, 2026
  

 Condensed Statements of Cash Flows
   As Computed under Weighted Average Cost
    As Computed under LIFO
    Effect of Change
  

 Net loss
  $(9,212) $(10,554) $(1,342)

 Provision (benefit) for deferred income taxes
   63   (557)  (620)

 Inventory
   (11,859)  (9,897)  1,962 

 Net Cash flows from Operating Activities
   (1,227)  (1,227)  - 

 
  

 
 
 
 
 9
 

 

 

 
 
 
 
 
 
 Notes to Consolidated Financial Statements of FutureFuel Corp.
 

 

 
 
 (Dollars in thousands, except per share and per gallon amounts)
 

 

 
 
 (Unaudited)
 

 

 

 

 

 
  
  

 
Recently Adopted Accounting Standards

  

 In July 2025, the FASB issued Accounting Standards Update (“ASU”) 2025-05 “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets.” ASU 2025-05 permits the use of certain estimates and assumptions in developing forecasts used for determining expected credit losses on accounts receivable. This guidance was effective for us  January 1, 2026 and did not materially impact our consolidated financial statements.

   

 Accounting Standards Issued, Not Yet Adopted

  

 In  November 2024, the FASB issued ASU 2024-03 “Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses.” ASU 2024-03 requires disaggregated disclosure of income statement expenses for public business entities. The ASU does not change the expense captions an entity presents on the face of the income statement; rather, it requires disaggregation of certain expense captions into specified categories in disclosures within the footnotes to the financial statements. This guidance will be effective for us on January 1, 2027. The Company is currently evaluating the impact of the changes required by the new standard on the Company's financial statements and disclosures.

  

 In September 2025, the FASB issued ASU 2025-06 “Intangibles – Goodwill and Other - Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software.” ASU 2025-06 eliminates the consideration of project development stages in determining whether a cost is eligible for capitalization. Instead, cost capitalization will be based on a “probable to complete” threshold. This guidance will be effective for us on January 1, 2028. We are evaluating the impact, if any, that the adoption of ASU 2025-06 may have on the Company's financial statements and disclosures.

  

 In December 2025, the FASB issued ASU 2025-10 “Government Grants (Topic 832): Accounting for Government Grants Received by Business Entities.” ASU 2025-10 finalizes proposed ASU No. 2024-ED700 of the same name and establishes authoritative guidance for business entities on the recognition, measurement, and presentation of government grants. A government grant is defined, in part, as a transfer of a monetary asset from a government to a business entity. A government grant should not be recognized until it is probable that the business will comply with the conditions attached to the grant and that the grant will be received. The amendments in this ASU are effective for annual reporting periods beginning after December 15, 2029, and for interim reporting periods within those annual reporting periods. Early adoption is permitted as of the beginning of an annual reporting period. The Company is evaluating this accounting standard and currently does not expect the adoption to have a material impact on its financial statements and disclosures. 

  

 In May 2026, the FASB issued ASU 2026-02 “Environmental Credits and Environmental Credit Obligations (Topic 818).” This update establishes comprehensive recognition, measurement, presentation, and disclosure guidance for participants in voluntary and compliance-based environmental credit programs, including Renewable Identification Numbers (“RINs”). Under the standard, internally generated environmental credits are measured initially at transaction or registration costs incurred, if any. The standard also expands disclosure requirements regarding an entity's involvement in environmental credit programs, including volumes generated, held, and transferred, as well as accounting policies for related compliance obligations. ASU 2026-02 is effective for the Company for fiscal years beginning after December 15, 2027, including interim periods within those fiscal years, with early adoption permitted. The standard permits adoption on a modified retrospective or prospective basis. While the Company historically does not allocate production costs to internally generated RINs, it is currently evaluating the impact of the new disclosure, measurement, and presentation requirements on its consolidated financial statements and footnote disclosures.

  

 
 
 
 
 10
 

 

 

 
 
 
 
 
 
 Notes to Consolidated Financial Statements of FutureFuel Corp.
 

 

 
 
 (Dollars in thousands, except per share and per gallon amounts)
 

 

 
 
 (Unaudited)
 

 

 

 

 

 
  
  

 
 
  
 

 
 
 
 
 2)
 
 GOVERNMENT TAX CREDITS AND ASSET GRANTS
 
 

 
 
  

 Due to the lack of specific U.S. GAAP guidance for the following tax credits, the Company elected to follow International Accounting Standards (“IAS”) 20 principles (“Accounting for Government Grants”). Accordingly, the following credits were recognized as a reduction in the cost of goods sold, net of estimated selling expenses. In addition, the Company utilizes the deferral method for grants related to long-lived assets, whereby the grant is recognized as deferred income and amortized to Other expense, net, systematically over the asset's productive life.

  

 SMALL AGRI-BIODIESEL PRODUCER TAX CREDIT

  

 The Small Agri-Biodiesel Producer Tax Credit (“SPTC”) expired  December 31, 2024.

  

 On July 4, 2025, the Budget Reconciliation Act of 2025 officially reinstated and extended the Small Producer's Tax Credit through December 31, 2026. This transferable, nonrefundable credit offers eligible producers—those with a capacity of 60 million gallons or less—$0.20 per gallon on the first 15 million gallons of fuel they produce. The benefit of this credit is recognized as a reduction in cost of goods sold following IAS 20.

  

 The Company recognized $1,490 and $1,845 in the three and six months ended June 30, 2026, respectively.

  

 CLEAN FUEL PRODUCTION TAX CREDIT

  

 The Clean Fuel Production Credit (“CFPC” or “45Z credit”), established by the Inflation Reduction Act of 2022 and extended through 2029 by the Budget Reconciliation Act of 2025, is a key incentive for low-emission transportation fuels. The Company’s biodiesel was approved for the CFPC in December 2024.

  

 This transferable, nonrefundable income tax credit uses a sliding scale based on the fuel's greenhouse gas emissions. The Company qualifies for an increased credit above the base of $0.20 per gallon for non-aviation fuel because it satisfies the prevailing wage and apprenticeship requirements.

  

 The Company recognized CFPC of $3,724 and $2,483 for the three months ended, and $4,888 and $2,483 for the six months ended, June 30, 2025 and 2026, respectively.

  

 TRANSFERABLE TAX CREDITS (SPTC and CFPC)

  

 The Company finalized an agreement in June 2026 to sell all 2025 SPTC and CFPC for $2,725 net of fees. These credits were previously estimated at  December 31, 2025 at $2,654.

  

 ASSET GRANT

  

 In conjunction with a facility expansion project in March 2011, the Company secured federal and state grants. The resulting asset, which has a 33-year life, will have its value recognized as Other expense, net over the same period.

  

  

 
 
 
 
 11
 

 

 

 
 
 
 
 
 
 Notes to Consolidated Financial Statements of FutureFuel Corp.
 

 

 
 
 (Dollars in thousands, except per share and per gallon amounts)
 

 

 
 
 (Unaudited)
 

 

 

 

 

 
  
 
 
  
 

 
 3)
 REVENUE RECOGNITION
 

  

 The majority of revenue is from short-term contracts with revenue recognized when a single performance obligation to transfer product under the terms of a contract with a customer is satisfied.

  

 Certain of the Company's custom chemical contracts within the chemical segment contain a material right as defined by ASC Topic 606 “Revenue from Contracts with Customers” (“ASC 606”), from the provision of a customer option to purchase future goods or services at a discounted price as a result of upfront payments provided by customers. Each contract also has a performance obligation to transfer products with 30-day payment terms. The Company recognizes revenue when the customer takes control of the inventory, either upon shipment or when the material is made available for pick up. If the customer is deemed to take control of the inventory prior to pick up, the Company recognizes the revenue as a bill-and-hold transaction in accordance with ASC 606. The Company applies the renewal option approach in allocating the transaction price to these material rights and transfer of product. As a basis for allocating the transaction price to the material right and transfer of product, the Company estimates the expected life of the contract, the expected contractual volumes to be sold over that life, and the most likely expected sales price. Each estimate is updated quarterly on a prospective basis.

  

 The Company leases warehouse space to a third-party tenant under a short-term lease agreement with a term of twelve months. Lease revenue recognized under this agreement was $170 for both the three months and $340 for both the six months ended June 30, 2026 and 2025, respectively.

  

 Contract Assets and Liabilities:

  

 Contract assets consist of unbilled amounts typically resulting from revenue recognized through bill-and-hold arrangements. The contract assets at  June 30, 2026 and  December 31, 2025 consist of unbilled revenue from one customer and unbilled capital reimbursement from three customers and are recorded as accounts receivable in the consolidated balance sheets. Contract liabilities consist of advance payment arrangements related to material rights recorded as deferred revenue in the consolidated balance sheets. Increases to contract liabilities from cash received or due for a performance obligation of chemical segment plant expansions were $188 and $125 for the three months and $188 and $125 for the six months ended June 30, 2026 and 2025, respectively. Contract liabilities are reduced as the Company transfers product to the customer under the renewal option approach. Revenue recognized in the chemical segment from the contract liability reductions was $366 and $80 for the three months and $711 and $110 for the six months ended June 30, 2026 and 2025, respectively. During the six months ended June 30, 2026 and 2025, the Company recognized revenue of $523 and $106, respectively, that was included in the deferred revenue balances as of December 31, 2025 and 2024, respectively. These contract asset and liability balances are reported on the consolidated balance sheets on a contract-by-contract basis at the end of each reporting period.

  

 The following table provides the balance of receivables, contract assets, and contract liabilities from contracts with customers.

  

 
 Contract Assets and Liability Balances
   June 30, 2026
    June 30, 2025
    December 31, 2025
    December 31, 2024
  

 Trade receivables, included in accounts receivable*
  $16,696  $10,724  $8,660  $14,991 

 Contract assets, included in accounts receivable
   608   222   745   222 

 Contract liabilities, included in deferred revenue - short-term
   661   929   1,519   697 

 Contract liabilities, included in deferred revenue - long-term
   11,978   3,076   11,644   3,293 

 
  

 *Exclusive of the blender's tax credit (which expired 12/31/2024) of $0, $0, $0, and $6,683, respectively, the CFPC and SPTC of $2,800, $0, $0, and $0, respectively, and net of allowances for expected credit losses of $36, $44, $28, and $29, respectively, as of the dates noted.

  

  

 
 
 
 
 12
 

 

 

 
 
 
 
 
 
 Notes to Consolidated Financial Statements of FutureFuel Corp.
 

 

 
 
 (Dollars in thousands, except per share and per gallon amounts)
 

 

 
 
 (Unaudited)
 

 

 

 

 

 
  
  

 Transaction price allocated to the remaining performance obligations:

  

 At June 30, 2026, approximately $26,272 of revenue is expected to be recognized from the remaining performance obligations. The Company expects to recognize this revenue ratably over the expected sales over the expected term of its long-term contracts ranging from two to ten years. Approximately 11% of this revenue is expected to be recognized over the next 12 months, and 53% is expected to be recognized in years two and three, and 36% in years four through ten. These amounts are subject to change based upon changes in the estimated contract life and estimated quantities to be sold over the contract life.

  

 The Company applies the practical expedient in ASC 606-10-50-14 and excludes the value of unsatisfied performance obligations for contracts with an original expected length of one year or less.

  

 Disaggregation of revenue:

  

 The following tables provide revenue from customers disaggregated by the type of arrangement and by the timing of the recognized revenue.

  

 Contractual and non-contractual:

  

 
    Three Months Ended June 30,
    Six Months Ended June 30,
  

   2026
    2025
    2026
    2025
  

 Contract revenue from customers with > one-year arrangements
  $14,122  $3,129  $24,511  $5,098 

 Contract revenue from customers with < one-year arrangements
   64,604   32,488   86,167   48,002 

 Revenue from non-contractual arrangements
   -   56   -   111 

 Total revenue
  $78,726  $35,673  $110,678  $53,211 

 
  

 Timing of revenue:

  

 
    Three Months Ended June 30,
    Six Months Ended June 30,
  

   2026
    2025
    2026
    2025
  

 Bill-and-hold revenue
  $13,027  $9,845  $23,405  $14,435 

 Non-bill-and-hold revenue
   65,699   25,828   87,273   38,776 

 Total revenue
  $78,726  $35,673  $110,678  $53,211 

 
  

 As of June 30, 2026 and  December 31, 2025, $4,357 and $5,106, respectively, of bill-and-hold revenue had not shipped. 

  

  

 
 
 
 
 13
 

 

 

 
 
 
 
 
 
 Notes to Consolidated Financial Statements of FutureFuel Corp.
 

 

 
 
 (Dollars in thousands, except per share and per gallon amounts)
 

 

 
 
 (Unaudited)