MPC - Marathon Petroleum Q2 earnings sink on lower refining margins but top estimates
2023-08-01 07:58:34 ET
Marathon Petroleum ( NYSE: MPC ) +0.6% pre-market Tuesday after reporting Q2 profit that fell 62% from a year ago but easily beat analyst expectations.
Q2 net income fell to $2.23B, or $5.32/share, from $5.87B, or $10.95/share, in the year-earlier quarter, adjusted EBITDA was cut in half to $4.53B from $9.06B a year ago, and revenues slumped to $36.82B from $54.24B in the same period last year, when Russia's invasion of Ukraine spiked energy prices.
Marathon ( MPC ) said Q2 crude capacity utilization was 93% due to planned maintenance activity in the Mid-Continent and West Coast regions, resulting in total throughput of 2.9M bbl/day.
Q2 Refining & Marketing segment adjusted EBITDA tumbled to $11.88/bbl from $27.79/bbl for the prior-year quarter, as segment margin was $22.10/bbl compared with $37.54/bbl a year earlier.
Q2 Midstream segment adjusted EBITDA edged higher to $1.53B from $1.46B a year ago, as growth in throughputs and higher rates offset lower natural gas liquids prices.
For Q3, Marathon ( MPC ) forecasts total refinery throughput of 2.93M bbl/day and refining operating costs of $5.10/bbl.
The company said it returned ~$3.4B of capital through $3.1B of stock buybacks and $316M of dividends in Q2.
More on Marathon Petroleum:
- Financial and valuation comparison to sector peers
- Analysis: Marathon Petroleum: Potential Positive Returns With Tight Markets
- Stock price return: Up 20% YTD, up 47% in the past 12 months
For further details see:
Marathon Petroleum Q2 earnings sink on lower refining margins but top estimates