TIDEWATER RENEWABLES LTD. ANNOUNCES THIRD QUARTER 2025 RESULTS

Executive Summary

• Tidewater Renewables reported a Q3 2025 net loss of C$1.0 M, a dramatic improvement from the C$367.1 M loss in Q3 2024.
• Adjusted EBITDA rose 21% YoY to C$16.5 M, driven largely by a C$7.9 M contribution from its joint‑venture investment in Rimrock Cattle Company Ltd.
• The company disclosed operational setbacks (extended turnaround and an unplanned outage) that reduced HDRD Complex utilization to ~2,011 bbl/d (67% of design capacity) for the quarter, with guidance lowered to 1,900–2,000 bbl/d for full‑year 2025.

Key Details

• Financial Highlights – Three months ended Sep 30, 2025 (C$ ‘000):
• Revenue: $62,004
• Net loss: $(974) → $(0.03) per share (basic & diluted)
• Adjusted EBITDA: $16,469
• Net cash provided by operating activities: $13,648

• Distributable cash flow: $(1,797)

• Financial Highlights – Nine months ended Sep 30, 2025 (C$ ‘000):

• Revenue: $193,284
• Net income: $17,307 → $0.48 per share (basic) / $0.47 (diluted)

• Adjusted EBITDA: $29,627

• Operational Update – HDRD Complex:

• Avg. utilization Q3 2025: 2,011 bbl/d (67% of design).
• Excluding turnaround, avg. utilization was ~2,920 bbl/d (97%).
• Turnaround extended due to fouling; completed mid‑October.

• Unplanned outage Oct 15–29 2025; temporary repair in place, full component rebuild scheduled for a seven‑day outage before year‑end.

• Commercial Momentum:

• Post‑restart (Oct 29) contracted offtake now covers 100% of forecasted Q4 2025 renewable diesel production (up from 70%).

• Expect >80% of 2026 forecasted production to be sold under contracts with U.S. import‑parity pricing.

• SAF Project (British Columbia):

• 6,500 bbl/d sustainable aviation fuel project front‑end engineering complete.
• Amended initiative agreement adds BC LCFS credits; first credit tranche expected Q4 2025, remainder H1 2026.

• Final investment decision targeted for 2026, contingent on offtake agreements and government support.

• Regulatory Outlook:

• Canadian Government announced a $370 M Biofuels Production Incentive (Jan 2026–Dec 2027) covering up to 300 M L per facility; HDRD Complex expected to qualify for the full incentive period.

• Capital Program:

• Maintenance capital spend for 2025 remains on target at $8‑10 M, primarily related to the turnaround.

• Conference Call:

• Earnings call scheduled for Thursday, Nov 13 2025 at 10:00 am MDT (12:00 pm EDT).

Notable Quotes

“The extended turnaround and unplanned outage have impacted our short‑term throughput, but we remain on track to meet our full‑year maintenance capital budget and are well positioned to benefit from upcoming Canadian biofuel incentives,” – Jeremy Baines, CEO.