Calumet sees strong adjusted EBITDA in 2025 despite net loss

Calumet (NASDAQ:CLMT) released a preliminary fiscal 2025 update on Tuesday, signaling a major turning point in its effort to repair a stretched balance sheet.

Despite projecting a net loss between $69 million and $12 million, the Indianapolis-based specialty products maker highlighted a significant reduction in restricted debt and a "transformed" outlook for its high-growth renewable energy subsidiary.

Management expects full-year adjusted EBITDA with Tax Attributes to land between $285 million and $305 million.

The core of the year’s success was a concentrated deleveraging program that slashed restricted debt by more than $220 million.

This was largely funded by the $110 million divestiture of the Royal Purple Industrial business to Lubrication Engineers, alongside roughly $70 million in structural cost improvements and crude supply chain efficiencies.

At Montana Renewables (MRL), the company’s flagship sustainable aviation fuel (SAF) platform, the financial profile shifted dramatically following a landmark $1.44 billion U.S. Department of Energy (DOE) loan.

The financing eliminated approximately $80 million in annual cash debt service, while the monetization of over $90 million in producer tax credits further bolstered liquidity.

Calumet enters 2026 with total liquidity of approximately $447 million, positioning it to complete the "MaxSAF" expansion intended to make MRL one of the world's largest independent SAF producers.