By the numbers
Q3 revenue: $104.99M
Net loss: $24.24M
RNG sold: 2.42 million mmBtu
Up from Q2, for a collective total of 6 million mmBtu sold through September
Electricity sold: 259,960 MWh
584,346 MWh sold through September, boosted by INGENCO acquisition
- Output volumes: Archaea’s output of renewable natural gas grew from the second quarter, driven in part by the recent ramp-up of its Assai landfill gas facility in Pennsylvania and Soares dairy facility in California. Its July acquisition of INGENCO, which came with 14 landfill gas-to-electricity sites, also boosted production.
- Financial performance: Archaea’s year-over-year revenue was up substantially, from just shy of $12 million in the third quarter of 2021. The company said its net loss was driven by higher general and administrative expenses, higher gas and electric utility costs and higher royalty payments related to those elevated energy values.
- Capital allocation: Archaea reported spending $366.3 million in the quarter, including $267.5 million (net of cash acquired) on the INGENCO purchase and other landfill gas assets. The company also spent $98 million on development, including the purchase of parts and related investments for upcoming projects.
- Looking ahead: Archaea’s planned sale to BP, valued at $4.1 billion, is on track to close by the end of the year pending regulatory approval. Archaea executives did not host a quarterly earnings call in light of the transaction. The company’s shareholders are set to vote on the transaction Dec. 13.
