Calumet, Inc. Delivers Exceptional Q3 2026 Results: Accelerating Deleveraging and Growth Strategy
The third quarter of 2026 has been a standout period for Calumet, Inc., with the company generating a significant $347 million of Adjusted EBITDA with Tax Attributes.
In his opening remarks on the Q3 earnings call, Todd Borgmann, CEO of Calumet, emphasized that this was an exceptional quarter for the company, driven by stellar results from both the Specialty Products and Solutions segment, which produced $248 million of Adjusted EBITDA, and Montana Renewables, which achieved a record $80 million in its first full quarter of operation since the Set 2 RVO was set earlier this year.
The company's integrated specialty system, built on advantaged crude, domestic crude, and world-class customers, has been a key driver of success, as has continued demonstration of Calumet's industry-leading commercial excellence platform. The growing culture of operational reliability is also increasingly evident in the company's results, providing a real opportunity to further extend its performance.
From a financial perspective, Calumet has been aggressively pursuing its deleveraging and growth strategy, with significant progress made on retiring debt. In the past four months alone, the company has retired roughly $265 million of debt, saving approximately $26 million of annual cash interest. As Todd Borgmann noted, this trend is expected to continue going forward.
The company's consolidated net leverage stood at approximately three times at quarter end, down from over nine times at the beginning of last year. Net recourse leverage at the restricted group was also significantly reduced, to around 2.3 times after paying down nearly $550 million of recourse notes and revolver borrowings over the same time period.
Looking ahead, Calumet is poised to take advantage of a supply-constrained market in both fuels and specialties, with more than 10% of global paraffinic base oil capacity currently damaged or offline. This physical plant damage will take serious time to repair, recommission, and requalify, providing a sustained opportunity for the company to capitalize on.
Overall, Calumet's Q3 2026 results demonstrate a strong execution of its strategy, with significant progress made on deleveraging, growth, and operational reliability. As the market continues to evolve, it will be exciting to see how the company builds on this momentum in future quarters."
