Darling Ingredients Inc. Reports Third Quarter 2019 Financial Results

Vertically Integrated Supply Chain Supports Strong Performance Across Operational Segments

IRVING,Texas,Nov. 7,2019 --Darling Ingredients Inc. (NYSE: DAR),a global developer and producer of sustainable natural ingredients from edible and inedible bio-nutrients,creating a wide range of ingredients and customized specialty solutions for customers in the pharmaceutical,food,pet food,feed,industrial,fuel,bioenergy,and fertilizer industries,today announced financial results for 3Q ended September 28,2019.

3Q 2019 Overview

Revenue of $842.0M

Net income of $25.7M,or $0.15 per GAAP diluted share

Combined adjusted EBITDA of $147.8M (Darling's adjusted EBITDA plus Darling's share of Diamond Green Diesel (DGD) adjusted EBITDA.)

Repurchased 636,634 shares during Q3 and subsequently 407,076 shares in Q4

DGD delivered $1.35 EBITDA per gallon with Darling's share of JV earnings reflected in consolidated operating income under Fuel Segment

Global slaughter remains at record levels,providing ample raw material supplies

Global fat pricing improved but remained stagnant as North America biodiesel industry awaiting Blenders Tax Credit (BTC)

Global protein pricing weaker due to excess supplies and Chinese demand destruction due to African Swine Fever (ASF)

Rousselot delivered improved results with stronger sales in the Health and Nutrition category

DGD II plant construction on time and budget; DGD III in engineering and cost estimating for Port Arthur,TX

Debt paydown of $33.6M

Third quarter of 2019,the Company reported net sales of $842.0M,as compared with net sales of $812.6M for Q3 2018. The $29.4M increase in net sales resulted from higher finished product fat prices,strong contribution from higher sales values for Food Segment collagen ingredients and higher sales volume that more than offset lower protein pricing.

Net income attributable to Darling for the three months ended September 28,2019 was $25.7M,or $0.15 per diluted share,compared to a net loss of ($6.0)M,or $(0.04) per diluted share,for the Q3 of 2018. The increase was primarily due to DGD earning $32M in Q3 2019 as compared to a $(2.6)M loss due to extended downtime in the Q3 2018 for completion of the expansion,as well as a $7.2M write-down of our China blood plasma inventory in the Q3 2018 due to the African Swine Fever (ASF) outbreak.

Under Darling's current share repurchase authorization,the Company repurchased 636,634 shares of common stock during the third quarter and subsequently an additional 407,076 shares in the fourth quarter,totaling $7.5M.

Comments on the 3Q 2019

"We reported solid third quarter results,underscored by the strength of our vertically integrated supply chain and excellent execution amid continued trade uncertainty and escalating disease disruption due to African Swine Fever," said Randall C. Stuewe,Chairman and Chief Executive Officer of Darling Ingredients Inc. "Overall,our operating segments delivered exceptional results with improved earnings in our Feed Segment as we navigated volatile global markets. Led by our Rousselot Functional Ingredients and Health & Nutrition platform,our Food Segment is solidly positioned to capture growing global demand for collagen ingredients. In the Fuel Segment,higher sales volumes supported solid performance across operations despite the lack of the Blenders Tax Credit."

Segment update – Three months ended year over year

Feed Ingredients – EBITDA $72.3M (up 22.1%); Revenue $497.0M (up 2.9%); Margin $117.2M (up 18.4%); Raw material processed up 0.9%

Food Ingredients – EBITDA $39.3M (up 20%); Revenue $276.5M (up 4.2%); Margin $61.8M (up 13.5%); Raw material processed down 9.2%

Fuel Ingredients – Combined EBITDA* $48.7M (up 238%); Revenue $68.6M (up 6.2%); Margin $10.1M (down 9.4%); Raw material processed up 6.2%

* Includes Darling's share of DGD EBITDA – referenced per the earnings call slides posted on https://ir.darlingii.com/

For More Information,contact:

Melissa A. Gaither,VP IR and Global Communications

5601 N. MacArthur Blvd.,Irving,Texas 75038

Email: mgaither@darlingii.com

Phone: 972-281-4478