Mission Statement, Vision, & Core Values (2024) of Darling Ingredients Inc. (DAR).

An Overview of Darling Ingredients Inc. (DAR)

General Summary of Darling Ingredients Inc.

Darling Ingredients Inc. (NYSE: DAR), founded in 1882, has established itself as a leader in the sustainability sector by converting animal by-products and food waste into valuable ingredients and renewable energy. The company operates over 260 facilities across more than 15 countries, processing approximately 15% of the world’s animal agricultural by-products. Darling Ingredients is a significant player in the collagen market, producing about 30% of the world’s collagen, including gelatin and hydrolyzed collagen. In 2024, the company reported total net sales of approximately $4.3 billion for the first nine months, which reflects a decrease from $5.2 billion during the same period in 2023.

Company's Financial Performance in the Latest Financial Reports

In the third quarter of 2024, Darling Ingredients reported total net sales of $1.4 billion, a decline from $1.6 billion in Q3 2023. The net income for Q3 2024 was $16.9 million, or $0.11 per diluted share, compared to $125.0 million, or $0.77 per diluted share, in the same quarter of 2023. This decrease was attributed to lower fat prices and reduced earnings from its joint venture, Diamond Green Diesel (DGD). For the nine months ended September 28, 2024, the net income was $177.0 million, or $1.10 per diluted share, down from $563.2 million, or $3.47 per diluted share, in the prior year. The combined adjusted EBITDA for Q3 2024 was $236.7 million, compared to $334.3 million in Q3 2023, resulting in year-to-date adjusted EBITDA of $790.4 million, compared to $1.26 billion for the same period in 2023.

Introduction to Darling Ingredients Inc. as an Industry Leader

Darling Ingredients Inc. has positioned itself as a prominent leader in the renewable energy and sustainable ingredient sectors. The company is a major supplier of renewable diesel through its joint venture, Diamond Green Diesel, which sold 316.6 million gallons of renewable diesel in Q3 2024, averaging $0.25 per gallon EBITDA. The company’s strategic focus on sustainability and innovation in converting waste into valuable products has garnered it a significant market share and reputation for excellence in its industry. With a robust operational framework and a commitment to sustainability, Darling Ingredients continues to thrive and expand its influence in the global market.

Mission Statement of Darling Ingredients Inc. (DAR)

Mission Statement of Darling Ingredients Inc. (DAR)

Darling Ingredients Inc. focuses on transforming materials from the animal agriculture and food industries into valuable ingredients that nourish people, feed animals and crops, and fuel the world with renewable energy. This mission is significant for guiding the company's long-term goals, emphasizing sustainability, innovation, and the efficient use of resources.

Core Component 1: Sustainability

Sustainability is at the heart of Darling Ingredients' mission. The company processes approximately 15% of the world’s animal agricultural by-products, contributing to a circular economy. In 2024, Darling Ingredients reported net sales of $4.3 billion for the first nine months, with a focus on sustainable practices across its operations.

Core Component 2: Innovation

Innovation drives Darling Ingredients to develop new products and services. The company is investing in its sustainable aviation fuel plant, which is currently in the commissioning phase. This initiative is expected to enhance growth and improve profit margins, reflecting the company's commitment to innovation in renewable energy.

Core Component 3: Quality and Performance

Delivering high-quality products is essential for Darling Ingredients. In Q3 2024, the company reported a combined adjusted EBITDA of $236.7 million, demonstrating its operational efficiency and commitment to quality service. The company anticipates an improved performance in 2025, projecting earnings between $1.15 billion and $1.175 billion in combined adjusted EBITDA for the full fiscal year.

Darling Ingredients Inc. continues to align its mission with measurable outcomes, ensuring that sustainability, innovation, and quality remain central to its operations and corporate strategy.

Vision Statement of Darling Ingredients Inc. (DAR)

Vision Statement Overview

Darling Ingredients Inc. envisions a world where sustainable practices are integrated into every aspect of food production and energy generation. They aim to transform organic by-products into valuable resources that nourish people, feed animals, and fuel the world with renewable energy.

Commitment to Sustainability

Darling Ingredients' vision emphasizes a strong commitment to sustainability. The company operates with the principle of circularity, processing approximately 15% of the world's animal agricultural by-products. This not only helps in waste reduction but also supports the production of renewable energy and high-quality ingredients.

Innovation in Renewable Energy

As part of its vision, Darling Ingredients is focusing on enhancing its renewable energy capabilities. They are currently commissioning a sustainable aviation fuel plant, which is expected to significantly contribute to their renewable energy portfolio. In 2024, the company projects a combined adjusted EBITDA of $1.15 billion to $1.175 billion.

Expansion of Global Operations

Darling Ingredients operates over 260 facilities across more than 15 countries. This global presence allows them to efficiently utilize resources and meet the growing demand for sustainable ingredients and renewable energy worldwide.

Financial Performance and Future Outlook

In the third quarter of 2024, Darling Ingredients reported total net sales of $1.4 billion, down from $1.6 billion in the same period of 2023. The company’s net income for the quarter was $16.9 million, or $0.11 per diluted share. Despite facing market challenges, the company is optimistic about future growth driven by innovations and regulatory support for renewable fuels.

Conclusion of Vision Statement

Darling Ingredients Inc.'s vision for 2024 is driven by sustainability, innovation, and a commitment to creating value from organic by-products. Their strategic initiatives and global operations are poised to position the company as a leader in the renewable energy and sustainable ingredients markets.

Core Values of Darling Ingredients Inc. (DAR)

Integrity

Integrity is a fundamental core value at Darling Ingredients Inc. It emphasizes ethical behavior, transparency, and accountability in all business dealings.

In 2024, Darling Ingredients has demonstrated its commitment to integrity through various initiatives. The company has implemented rigorous compliance training programs for employees, ensuring that all staff understand and adhere to ethical practices. Furthermore, Darling Ingredients has maintained open channels of communication for reporting unethical behavior, which is crucial for fostering a culture of integrity.

Sustainability

Sustainability is a core value that reflects Darling Ingredients' dedication to environmental responsibility and resource conservation. The company actively pursues sustainable practices across its operations.

In 2024, Darling Ingredients reported that it processes approximately 15% of the world’s animal agricultural by-products, contributing to a circular economy. The company’s joint venture, Diamond Green Diesel, sold 959.5 million gallons of renewable diesel year-to-date, emphasizing its commitment to renewable energy sources.

Innovation

Innovation is vital to Darling Ingredients' growth and competitiveness. The company continuously seeks to improve its processes and product offerings.

In 2024, Darling announced the commissioning of its sustainable aviation fuel plant, a significant step towards expanding its renewable energy portfolio. This innovation not only enhances the company's sustainability efforts but also positions it as a leader in the renewable energy sector.

Collaboration

Collaboration is a core value that encourages teamwork and partnerships within Darling Ingredients and with external stakeholders.

The company has engaged in strategic partnerships to enhance its supply chain efficiency and product development. For instance, Darling Ingredients collaborates with various agricultural and food industry players to optimize the use of by-products, thereby reinforcing its commitment to sustainability and innovation.

Excellence

Excellence drives Darling Ingredients to achieve high standards in quality and operational performance.

In the third quarter of 2024, Darling reported total net sales of $1.4 billion and a combined adjusted EBITDA of $236.7 million. This performance reflects the company’s focus on operational excellence and its ability to navigate challenging market conditions effectively.

Commitment to Community

Darling Ingredients is committed to positively impacting the communities in which it operates.

In 2024, the company has initiated various community engagement programs aimed at supporting local economies and promoting education in sustainable practices. This commitment is evident through its partnerships with educational institutions to provide resources and training on sustainable agriculture and renewable energy.

Article updated on 8 Nov 2024

Resources:

• Darling Ingredients Inc. (DAR) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Darling Ingredients Inc. (DAR)' financial performance, including balance sheets, income statements, and cash flow statements.
• SEC Filings – View Darling Ingredients Inc. (DAR)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.