The world is growing. As global population increases, so do the demands for sustainable food, feed and fuel solutions. That’s where we come in. We create sustainable, high-quality ingredients from bio-nutrients recovered from the food chain, creating new resources rather than depleting them. By adding value to repurposed nutrients and providing critical environmental services, we help make sure the basic needs of our future – and that of our children – can be sustained. Giving nature a second life is our second nature. Learn more at

World-class ingredients. Worldwide reach.

After completing the integration of our North American, Canadian, and European acquisitions during 2015, we have created a “one of kind” global platform for creating sustainable food, feed, and fuel ingredients for a growing population. Following a doubling in size of the company after making these strategic international acquisitions in 2014, our goal in 2015 was to capitalize on our unique position as the worldwide leader in our space and to improve the overall capital structure of Darling Ingredients while pursuing prudent organic growth.

With an operating history of over 130 years, Darling has a proven record of successfully navigating global commodity cycles. Our business continues to experience the impacts of a prolonged deflationary period within the entire agriculture sector. Regardless of market conditions, we are confident in our ability to steadily manage and adjust the business as needed to best position Darling for continued growth and profitability. With an operating environment during 2015 best characterized as challenging, we successfully executed operational and financial improvements—enabling us to reduce costs, strengthen our balance sheet and continue to grow the company.

2015 in Review

As part of our initiative to steer all controllable expenses during 2015, we focused on right-sizing the business, lowering global operating costs, improving margins and identifying areas where we can make new value added products. Aggressively executing towards operational and financial improvements enables us to generate solid results in what can sometimes be an unpredictable environment. Importantly, while building on a solid foundation, we are positioned to take advantage of these improvements and grow profitability once the cycle turns.


2015 was an outstanding year in the Food segment. Rousselot, the global leader in gelatin manufacturing, rebounded from 2014, led by our 4 plant system in China. Additionally, major expansions were completed to our gelatin facilities in Dubuque, Iowa and Wenzhou, China during 2015 improving not only our operations but providing us new capacity to better serve our customers. Our European fat melting business (Sonac) dealt with record raw material volume and volatile margins most of the year but stabilized in the back half of the year and also turned in a record performance. Our casing business (CTH) struggled with border and trade barriers due to a slowing economy in China, but by fourth quarter was back on track, and we remain optimistic for 2016 for much needed improvements.


In the Feed segment, raw material input volumes were at record levels around the globe as animal numbers and weights grew in beef, pork, and poultry. Globally, this added volume coupled with robust supplies of grains and oilseeds began to create a worldwide surplus of fats and proteins. Ultimately the excess supply began to weigh heavily on finished product prices especially in the USA and spread management became our daily focus. While a significant portion of our business model is insulated from commodity exposure, there are still dollar for dollar exposures within our USA fallen stock business, a large portion of our USA restaurant services business, and to a lesser degree our bakery residuals business.

Our Restaurant Services business watched its collection volumes improve but simply couldn’t overcome the pricing pressure brought on by lower crude oil prices and resulting effects on the bio-fuel business and lower feed grain prices. All said, given our leading position in the USA, we were able to adjust our model and reduce procurement costs along with re-instituting collection fees in some large metropolitan areas. Used cooking collection still remains a very profitable and high return business along with playing a key supply chain roll for our Diamond Green Diesel joint venture. Globally, our blood business experienced strong growth, and although it is highly seasonal we expect it to show consistent performance going forward. With stabilizing corn prices, Bakery Feeds began showing solid earnings in the second half of 2015, while our specialty proteins and fertilizer businesses continued their strong performances.


Following the reinstatement of the biofuel blenders tax credit in December 2015, the Fuel segment will become a predictable and consistent return for 2016.Our Canadian biodiesel operations were profitable for the year after accounting for the positive impact of the biofuel tax credit. Rendac, our European disposal rendering business, continued its solid performance and volumes were strong for the year with a new plant that came on line in Germany. Ecoson, our European green energy and bio-phosphate business suffered a fire casualty in late December 2015. The fire was rapidly contained, however, the plant will be off line for most of 2016, and our operating losses will be covered by both property and business interruption insurance.

Diamond Green Diesel

Although the U.S. biofuel market remained challenging in 2015, it has become more transparent following updated Renewable Volume Obligations (RVO), reinstated biodiesel tax credits, and implementation of California’s Low Carbon Fuel Standard (LCFS). Diamond Green Diesel, our unconsolidated subsidiary and joint venture with Valero Energy Corporation, produced over 158 million gallons of renewable diesel and, as a result of reinstated tax credits, delivered EBITDA of $177 million at the entity level. For 2016, with the evolving LCFS in California and several Canadian provinces, we expect robust demand and improved pricing and margins throughout the year.

Looking Forward

We made progress in 2015, but recognize that there is still work to be done as we manage toward our ultimate goal of becoming the global leader in providing sustainable and natural food, feed, and fuel ingredients to a growing population. We will continue to find ways to optimize the business through challenging cycles while focusing on the prudent use of our cash for both growth and de-leveraging the balance sheet.

Operationally, major plant improvements and new construction should help drive future growth and profitability. In 2015, we completed new plants and expansions at:

  • Bryan, Texas - bakery feeds plant
  • Paducah, Kentucky and Ravenna, Nebraska - wet pet food plants
  • Dubuque, Iowa - gelatin plant expansion
  • Wenzhou, China - gelatin plant expansion
  • Winesburg, OH and Pocahontas, AK - rendering plants (scheduled to come online in Q3 2016)

For 2016, we see the world from a more optimistic vantage point. While supplies of grains, oilseeds, and animals will continue to be ample, our model is poised to capitalize and grow earnings. Our balance sheet is strong, our team is strong, and our facilities are world class. As always, we deeply appreciate the continued support and efforts of our customers, suppliers, employees, and shareholders. We are grateful for continued guidance and support from our Board of Directors in our long term strategy. WE ARE DARLING INGREDIENTS.


Randall C. Stuewe
Chairman and Chief Executive Officer


[ In Thousands ]

  2011 2012 2013 2014 2015
Net Sales $1,797,249 $1,772,552 $1,802,268 $3,956,443 $3,397,446
Operating Income $313,984 $231,741 $169,566 $164,508 $142,644
Net Income $169,418 $130,770 $108,967 $64,215 $78,531
Diluted Net Earnings Per Share $1.47 $1.11 $0.91 $0.39 $0.48

Total Stockholders' Equity

[ In Thousands ]











Operating Cash Flow (Ebitda)

[ In Thousands ]























Randall C. Stuewe
Chairman and Director
since 2003

D. Eugene Ewing
Director since 2011

Dirk Kloosterboer
Director since 2014

Mary R. Korby
Director since 2014

Charles Macaluso
Director since 2002

John D. March
Director since 2008

Justinus J.G.M. Sanders
Director since 2015

Michael Urbut
Director since 2005


Randall C. Stuewe
Chief Executive Officer

Dirk Kloosterboer
Chief Operating Officer

John O. Muse
Executive Vice President
Chief Financial Officer

Rick A. Elrod
Executive Vice President

Jan van der Velden
Executive Vice President
Ecoson Rendac Sonac (ERS)

John Bullock
Executive Vice President
Chief Strategy Officer

John F. Sterling
Executive Vice President
General Counsel and Secretary