Refining Giant Phillips 66 Books Lower-Than-Expected Earnings

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Phillips 66,Earnings,Profits

Phillips 66 reported lower-than-forecast profits for the first quarter of the year, with refinery maintenance affecting product sales.

Phillips 66 NYSE PSX reported lower-than-forecast profits for the first quarter of the year, as refining margins halved from the year-ago period and refinery maintenance affected product sales. The U.S. refiner reported on Friday first-quarter earnings of $748 million, down from $1.3 billion for the fourth quarter and $1.96 billion for the first quarter of 2023. Adjusted earnings per share for Q1 2024 came in at $1.90, below the analyst consensus estimate of $2.20 in The Wall Street Journal.

“While our crude utilization rates were strong, our results were affected by maintenance that limited our ability to make higher-value products. We were also impacted by the renewable fuels conversion at Rodeo, as well as the effect of rising commodity prices on our inventory hedge positions,” Mark Lashier, president and CEO of Phillips 66, said in a statement. “The maintenance is behind us, our assets are currently running near historical highs and we are ready to meet peak summer demand.

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