Sucro revenue falls 43.7% in Q2 2026

CANADA – Sucro Limited reported a 43.7% year-on-year decline in second-quarter 2026 revenue to US$130.6 million, compared with US$231.9 million in the corresponding period of 2025, as lower-margin wholesale transaction volumes weighed on sales. 

Despite the revenue decline, profitability improved, with adjusted gross profit rising to US$12.8 million and the adjusted gross profit margin increasing to 9.8% from 5.8% a year earlier. Adjusted gross profit per metric tonne delivered also increased to US$64.43 from US$46.49. 

“Our second quarter results reflect the accelerating ramp-up of our newly commissioned refineries, with a new quarterly record for refinery volumes and free cash flow reaching a new quarterly high of US$7.7 million,” said Jonathan Taylor, founder and chief executive officer of Sucro. 

“While overall deliveries and Adjusted EBITDA declined with decreased volume of lower-margin wholesale transactions, the higher refinery volumes contributed to improved earnings,” Taylor added. 

Sucro’s refineries delivered a record 99,798 metric tonnes during the quarter, nearly double the 59,074 metric tonnes recorded in the second quarter of 2025. The increase reflected the ramp-up of its newly commissioned Hamilton, Ontario, and University Park, Illinois, cane sugar refineries, as well as the inclusion of its Memphis operations from January 1, 2026. 

The company’s joint venture refinery projects in Belize and Guyana remain under development. Initial operations are targeted for the second half of 2026 in Belize and the first half of 2027 in Guyana. 

Sucro said the investments have already contributed to higher sales volumes and margins in its Caribbean operations through more favourable contract terms. 

“Looking ahead, we are very optimistic about the balance of 2026,” Taylor said. “With expected commissioning improvement from our new University Park, IL refinery, added volumes from the new Hamilton refinery, significant new commercial agreements on supply from Mexico, along with exciting new Engineering Services projects, we believe Sucro is well positioned to deliver improved profitability and continued growth in the second half of the year, and into 2027.” 

Following the U.S. Supreme Court’s decision to overturn tariffs previously imposed under the International Emergency Economic Powers Act, Sucro received approval for a US$4.9 million refund.  

The company had received US$1 million as of the release date and continues to pursue refunds for approximately US$6.2 million in IEEPA tariff payments. 

The company also highlighted free cash flow of US$7.7 million for the quarter, describing it as a new quarterly high as refinery operations expanded and supporting the company’s financial performance. 

Sucro said it continues to monitor global trade developments, including tariff and cross-border policy changes involving the United States, Canada and Mexico, and their impact on the sugar markets in which it operates. 

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