Group 1 - The oil market continues its strong performance, with WTI crude oil futures rising 2.8% to $63.67 per barrel and Brent crude oil futures increasing 2.6% to $66.63 per barrel, marking the largest four-day gain since October of the previous year [1] - The positive market sentiment is driven by a breakthrough in US-China trade negotiations, where both parties agreed to suspend new tariffs for 90 days, alleviating concerns over weak energy demand [1] - The US Labor Department reported a narrowing year-on-year increase in the Consumer Price Index (CPI) to 2.3%, the lowest in four years, which has led institutions like JPMorgan and Barclays to lower recession forecasts for the US economy [1] Group 2 - Geopolitical factors are also providing support, with the Trump administration adopting a hardline stance towards Iran, raising concerns about the stability of Middle Eastern supply [2] - Demand signals are turning positive, as a JPMorgan report indicates that despite uncertainties in crude oil demand, the refined oil market remains strong, with gasoline and diesel prices stable [2] - The refining sector is experiencing a bullish response in the secondary market, with companies like PBF Energy rising 10.1% and Delek US increasing by 6.1% [2]

Core Viewpoint - Marathon Petroleum Corporation (MPC) reported a narrower-than-expected adjusted loss per share of 24 cents for Q1 2025, primarily driven by strong performance in its Refining & Marketing segment, despite a significant decline from the previous year's profit of $2.78 per share [1][2]. Financial Performance - Revenues for Q1 2025 were $31.9 billion, exceeding the Zacks Consensus Estimate of $30.1 billion but down 4.1% year-over-year [2]. - Total expenses decreased to $31.2 billion from $31.4 billion in the prior year [6]. - The company repurchased $1.1 billion of shares during the quarter, with a remaining authorization of $6.7 billion [7]. Segment Analysis Refining & Marketing - Adjusted EBITDA for the Refining & Marketing segment was $489 million, a 74% decline from $1.9 billion in the previous year, attributed to lower refining margins [3]. - The refining margin decreased to $13.38 per barrel from $19.35 a year ago, while capacity utilization improved to 89% from 82% [3]. - Total refined product sales volumes increased to 3,446 thousand barrels per day (mbpd) from 3,242 mbpd year-over-year, and throughput rose to 2,849 mbpd, surpassing the consensus estimate of 2,766 mbpd [4]. Midstream - The Midstream segment reported adjusted EBITDA of $1.7 billion, an 8.2% increase from Q1 2024, supported by higher rates and stronger throughput [5]. Capital Expenditures and Debt - Capital expenditures for the quarter totaled $776 million, with 46.6% allocated to Refining & Marketing and 49.7% to the Midstream segment, compared to $636 million in the prior year [6]. - As of March 31, 2025, the company had cash and cash equivalents of $3.8 billion and total debt of $30.9 billion, resulting in a debt-to-capitalization ratio of 57.3% [7].

Group 1 - Marathon Petroleum reported $31.85 billion in revenue for Q1 2025, a year-over-year decline of 4.1%, with an EPS of -$0.24 compared to $2.78 a year ago [1] - The reported revenue exceeded the Zacks Consensus Estimate of $30.09 billion by 5.86%, and the EPS surprised positively by 61.90% against a consensus estimate of -$0.63 [1] - The stock has returned +21.9% over the past month, outperforming the Zacks S&P 500 composite's +10.6% change, and currently holds a Zacks Rank 3 (Hold) [3] Group 2 - Net refinery throughput was 2,849 million barrels of oil per day, exceeding the average estimate of 2,765.67 million barrels by four analysts [4] - Crude oil refined was 2,623 million barrels of oil per day, surpassing the average estimate of 2,513.68 million barrels by three analysts [4] - Adjusted EBITDA for Refining & Marketing was $489 million, significantly higher than the average estimate of $286.27 million, while Midstream Adjusted EBITDA was $1.72 billion, slightly above the estimate of $1.68 billion [4]

Financial Performance - Total reportable segments' adjusted EBITDA was $2,167 million in Q1 2025, down from $3,485 million in Q1 2024 [118]. - Net loss attributable to the company was $74 million, or $(0.24) per diluted share, for Q1 2025, compared to net income of $937 million, or $2.58 per diluted share, in Q1 2024 [119]. - Total revenues and other income decreased by $1.36 billion to $31.85 billion in Q1 2025 compared to Q1 2024 [136]. - Net income attributable to MPC decreased by $1.01 billion to a loss of $74 million in Q1 2025, primarily due to lower Refining & Marketing margins [137]. - Refining & Marketing segment revenues decreased by $1.52 billion, driven by a $0.22 per gallon decrease in average refined product sales prices, despite a 204 mbpd increase in sales volumes [149]. - Refining & Marketing segment adjusted EBITDA decreased by $1.50 billion to $1.91 per barrel in Q1 2025, down from $8.22 per barrel in Q1 2024 [150]. - Net cash provided by operating activities decreased by $1.60 billion in Q1 2025 compared to Q1 2024, primarily due to a decrease in operating results and an unfavorable change in working capital of $685 million [177]. Refining & Marketing Segment - Segment adjusted EBITDA for Refining & Marketing decreased to $489 million in Q1 2025 from $1,986 million in Q1 2024, reflecting a lower refining margin environment [118]. - Refining & Marketing margin per barrel decreased to $13.38 in Q1 2025 from $19.35 in Q1 2024 [147]. - Refining & Marketing margin decreased to $13.38 per barrel in Q1 2025 from $19.35 per barrel in Q1 2024, with an estimated net negative impact of approximately $1.7 billion due to lower crack spreads [151]. - Refining operating costs, excluding depreciation and amortization, increased by $7 million primarily due to higher energy costs, while costs decreased by $0.32 per barrel due to higher throughput [152]. - Refining planned turnaround costs decreased by $193 million, or $0.91 per barrel, due to the scope and timing of turnaround activity [154]. Capital Expenditures and Investments - Total capital expenditures in Q1 2025 were $644 million, up from $511 million in Q1 2024, with additions to property, plant, and equipment at $663 million [182]. - MPC's capital investment outlook for 2025 is approximately $1.25 billion, excluding capitalized interest and potential acquisitions [204]. - Capital expenditures for MPC, excluding MPLX, were $377 million in Q1 2025, compared to $299 million in Q1 2024, indicating a 26% increase [206]. - Cash used for common stock repurchases was $1.06 billion in Q1 2025, down from $2.22 billion in Q1 2024, reflecting a decrease in repurchase activity [185]. - Cash used in acquisitions amounted to $237 million in Q1 2025, related to the Midstream segment [184]. MPLX and Midstream Operations - The company owned approximately 647 million MPLX common units valued at $34.65 billion as of March 31, 2025 [121]. - MPLX declared a quarterly cash distribution of $0.9565 per common unit, with the company's portion amounting to approximately $619 million [121]. - MPLX acquired gathering businesses from Whiptail Midstream for $237 million, enhancing its strategic relationship with MPC [114]. - MPLX entered into an agreement to acquire the remaining 55% interest in BANGL, LLC for $715 million, with an additional earnout provision of up to $275 million based on EBITDA growth [113]. - Midstream segment adjusted EBITDA increased by $131 million, mainly due to increased sales and operating revenues of $286 million from fee escalations and higher throughputs [162]. Liquidity and Financial Position - The consolidated cash and cash equivalents balance increased to approximately $3.81 billion at March 31, 2025, compared to $3.21 billion at December 31, 2024 [175]. - Total liquidity for MPC, excluding MPLX, was $6.38 billion as of March 31, 2025, consisting of $4.999 billion available under the bank revolving credit facility and $1.278 billion in cash and cash equivalents [188]. - MPLX's liquidity totaled $6.03 billion at March 31, 2025, including $2.534 billion in cash and cash equivalents [197]. - Long-term debt borrowings and repayments provided a net cash source of $3.41 billion in Q1 2025, compared to a net cash use of $17 million in Q1 2024 [185]. Regulatory and Market Outlook - The company expects to evaluate the impact of California's SB X1-2 and AB X2-1 regulations on its future operations and results [112]. - The refining margin environment is expected to remain lower in the near term, but long-term global demand growth is anticipated to outpace capacity additions through the end of the decade [109].

Financial Data and Key Metrics Changes - The company reported a first quarter net loss of $0.24 per share and returned over $1,300,000,000 to shareholders through dividends and repurchases [18][19] - Adjusted EBITDA for the quarter was approximately $2,000,000,000, lower sequentially by $145,000,000 due to decreased results in refining and marketing and renewable diesel segments [19][21] - Operating cash flow excluding changes in working capital was $1,000,000,000 for the quarter, driven by the strength and growth of the midstream business [23] Business Line Data and Key Metrics Changes - Refining utilization was 89%, processing 2,600,000 barrels of crude per day, with significant planned turnaround activity particularly in the Gulf Coast region [5][19] - The Midstream segment adjusted EBITDA grew 8% year over year, with MPC receiving $619,000,000 in distributions from MPLX, a 12.5% increase compared to the previous year [6][20] - The renewable diesel segment faced challenges with a 70% utilization rate due to unplanned downtime, and changes in regulatory credits reduced margins across the industry [21][22] Market Data and Key Metrics Changes - Refined product inventories have drawn for the ninth straight week and are below the five-year average, which, along with lower retail prices, is expected to support demand during the summer driving season [7][8] - The company anticipates around 800,000 barrels per day coming offline across several refineries in the U.S. and Europe this year, which could strengthen margins [8][10] Company Strategy and Development Direction - The company is progressing a $1,250,000,000 standalone capital plan for 2025, with 70% targeted on high return projects [13] - Investments in the West Coast value chain are aimed at enhancing competitiveness and compliance with tighter emission regulations [9][10] - The company aims to leverage its fully integrated refining system and geographic diversification to deliver peer-leading cash generation [14] Management's Comments on Operating Environment and Future Outlook - Management noted improved refined cracks and strong demand signals, with expectations of 94% utilization in the second quarter [33][34] - The company remains optimistic about demand growth across its domestic and export businesses, with steady year-over-year demand for gasoline and growth in diesel and jet fuel [35][36] - Management emphasized the importance of operational excellence and commercial execution to deliver sustainable financial performance [28][29] Other Important Information - The company is focused on optimizing its portfolio to deliver outperformance and is committed to capital allocation that enhances competitiveness [29] - The company has a minimum cash target of $1,000,000,000 on the balance sheet to ensure sufficient liquidity [63][64] Q&A Session Summary Question: What is the current demand perspective as the company enters the second quarter? - Management observed improved refined cracks and strong demand signals, indicating readiness to meet seasonal demand [33][34] Question: How does the company view the long-term outlook for the West Coast? - Management believes investments in the LA asset provide a competitive advantage, and they are closely monitoring the regulatory environment [39][41] Question: What is the company's strategy regarding capture rates? - Management highlighted the importance of commercial performance and aims for capture rates approaching 100% through sustainable advantages [52][56] Question: What is the outlook for crude quality discounts? - The company expects to benefit from heavy crude runs and sees upside in Canadian crude pricing due to OPEC's increased volumes [71][72] Question: How sustainable is the 12.5% distribution growth from MPLX? - Management indicated that the 12.5% distribution increase is expected to be durable for multiple years, supported by growth opportunities and capital discipline [75][78] Question: What initiatives are being taken to improve the renewable diesel business? - Management is focused on optimizing operations and addressing unplanned downtime to enhance profitability [90][92]

Financial Data and Key Metrics Changes - The company reported a first quarter net loss of $0.24 per share and returned over $1,300,000,000 to shareholders through dividends and repurchases [18][25] - Adjusted EBITDA for the quarter was approximately $2,000,000,000, lower sequentially by $145,000,000 due to decreased results in refining and marketing and renewable diesel segments [19][20] - Operating cash flow excluding changes in working capital was $1,000,000,000 for the quarter, driven by the strength and growth of the midstream business [23] Business Line Data and Key Metrics Changes - Refining utilization was at 89%, processing 2,600,000 barrels of crude per day, with significant planned turnaround activity particularly in the Gulf Coast region [5][19] - The Midstream segment adjusted EBITDA grew 8% year over year, with distributions from MPLX increasing by 12.5% compared to the previous year [6][21] - The renewable diesel segment faced challenges with a 70% utilization rate due to unplanned downtime and changes in regulatory credits impacting margins [21][22] Market Data and Key Metrics Changes - Refined product inventories have drawn for the ninth straight week and are below the five-year average, which is expected to support demand as the summer driving season approaches [7][8] - The company anticipates around 800,000 barrels per day of refinery closures in the U.S. and Europe this year, which could strengthen margins [8][10] - The Gulf Coast refinery completed its closure in the first quarter, with additional closures expected in California over the next twelve months [8][10] Company Strategy and Development Direction - The company is progressing a $1,250,000,000 standalone capital plan for 2025, with 70% targeted on high return projects [13] - Investments are being made in the West Coast value chain, particularly in the Los Angeles refinery, to improve reliability and energy efficiency while complying with emission regulations [9][10] - The company aims to leverage its fully integrated refining system and geographic diversification to deliver peer-leading cash generation [14][28] Management's Comments on Operating Environment and Future Outlook - Management noted improved refined cracks and strong demand signals, indicating readiness to meet seasonal demand in the second quarter [34][36] - The company remains optimistic about demand growth across its domestic and export businesses, with steady year-over-year demand for gasoline and growth in diesel and jet fuel [36][38] - Management expressed confidence in the long-term competitive advantage of the U.S. refining industry due to accessibility to nearby crude and low-cost natural gas [11][12] Other Important Information - The company is focused on optimizing its portfolio to deliver outperformance and enhance competitiveness through capital allocation [29] - The company has a minimum target of about $1,000,000,000 of cash on the balance sheet to ensure sufficient liquidity [25][64] - The company is committed to maintaining an investment-grade credit profile while managing its balance sheet effectively [25][66] Q&A Session Summary Question: Demand perspective and economic slowdown - Management observed improved refined cracks and strong demand signals, indicating readiness to meet seasonal demand [34][36] Question: West Coast multiyear outlook - Management highlighted investments in the LA asset and its competitive advantages, while monitoring the regulatory environment closely [40][42] Question: Capture rates and commercial performance - Management emphasized the importance of commercial performance and sustainable advantages built over the years, aiming for capture rates approaching 100% [54][56] Question: Crude quality discounts and OPEC volumes - Management expressed optimism about benefiting from heavy crude runs and potential discounts from OPEC's increased volumes [72][74] Question: Midstream distribution growth sustainability - Management indicated that the 12.5% distribution increase is expected to be durable for multiple years, supported by growth opportunities in MPLX [78][81] Question: Renewable diesel business profitability - Management is focused on operational improvements and regulatory engagement to enhance profitability in the renewable diesel segment [91][96]

Financial Data and Key Metrics Changes - The company reported a first quarter net loss of $0.24 per share, with adjusted EBITDA approximately $2,000,000,000, which decreased sequentially by $145,000,000 due to lower results in refining and marketing and renewable diesel segments [18][19] - The company returned over $1,300,000,000 to shareholders through dividends and repurchases during the quarter [18] - Operating cash flow excluding changes in working capital was $1,000,000,000 for the quarter, driven by the strength and growth of the midstream business [23] Business Line Data and Key Metrics Changes - Refining utilization was at 89%, processing 2,600,000 barrels of crude per day, with significant planned turnaround activity particularly in the Gulf Coast region [4][19] - The Midstream segment adjusted EBITDA grew 8% year over year, with $619,000,000 received from MPLX, a 12.5% increase compared to the previous year [20][21] - The renewable diesel segment faced challenges with a 70% utilization rate due to unplanned downtime, but actions are being taken to optimize production [21][22] Market Data and Key Metrics Changes - Refined product inventories have drawn for the ninth straight week and are below the five-year average, which, along with lower retail prices, is expected to support demand during the summer driving season [6][7] - The company anticipates around 800,000 barrels per day coming offline across several refineries in the U.S. and Europe this year, which could strengthen margins [7][10] Company Strategy and Development Direction - The company is progressing a $1,250,000,000 standalone capital plan for 2025, with 70% targeted on high-return projects [12] - Investments are being made in the fully integrated West Coast value chain, particularly in the Los Angeles refinery, to improve reliability and energy efficiency [8][9] - The company aims to leverage its geographic diversification and integrated refining system to deliver peer-leading cash generation [13] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism regarding demand, noting steady year-over-year demand for gasoline and growth in diesel and jet fuel, with no signs of an economic slowdown [36][37] - The company believes that the U.S. refining industry will remain structurally advantaged due to locational advantages and flexibility in refining systems [10][11] - Management is focused on optimizing operations and capital allocation to enhance competitiveness and deliver strong financial performance [28][29] Other Important Information - The company is managing its balance sheet to maintain an investment-grade credit profile, with a minimum target of $1,000,000,000 in cash [24][25] - The company has a strong liquidity position with $3,800,000,000 in consolidated cash and undrawn credit facilities of $5,000,000,000 [25] Q&A Session Summary Question: Demand perspective and economic slowdown - Management noted refined cracks have improved, indicating a seasonal uptick in demand, with overall utilization projected at 94% for the second quarter [34][35] Question: West Coast outlook and political environment - Management highlighted investments in the LA asset and the competitive advantage of their integrated operations, while monitoring regulatory changes closely [40][42] Question: Capture rates and commercial performance - Management emphasized the importance of commercial performance and sustainable advantages built over the years, aiming for capture rates approaching 100% [55][58] Question: Crude quality discounts and OPEC volumes - Management expressed optimism regarding benefits from heavy crude processing, anticipating discounts to improve due to OPEC's increased volumes [74][75] Question: Midstream growth and distribution sustainability - Management confirmed a durable growth outlook for MPLX distributions, supported by ongoing projects and capital discipline [78][82] Question: Renewable diesel profitability and operational reliability - Management is focused on optimizing operations and addressing challenges from Q1, with expectations for an EBITDA positive quarter in Q2 [120][121]

Marathon Petroleum (MPC) came out with a quarterly loss of $0.24 per share versus the Zacks Consensus Estimate of a loss of $0.63. This compares to earnings of $2.78 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 61.90%. A quarter ago, it was expected that this refiner would post earnings of $0.06 per share when it actually produced earnings of $0.77, delivering a surprise of 1,183.33%. Over the last four quarters, the compa ...

Financial Performance - Adjusted EBITDA was $1.975 billion[10], supported by the strength of the Midstream business[8]。 - The company reported a net loss attributable to MPC of $74 million[10, 12]。 - $1.3 billion of capital was returned to shareholders, including $1.057 billion in share repurchases[9, 10]。 - Cash flow from operations, excluding changes in working capital, was $1.010 billion[10]。 Segment Performance - Refining & Marketing (R&M) segment adjusted EBITDA was $489 million[15]。 - Midstream segment adjusted EBITDA increased 8% year-over-year to $1.720 billion[21, 22]。 - Renewable Diesel segment reported an adjusted EBITDA loss of $42 million[25]。 Outlook - Second-quarter 2025 crude throughput is projected at 2.775 million barrels per day (MBPD)[30]。 - Total throughput for the second quarter of 2025 is expected to be 2.945 MBPD[30]。 - Turnaround costs for the second quarter are estimated at $265 million[30]。

[Q1 2025 Performance Overview](index=1&type=section&id=Q1%202025%20Performance%20Overview) Marathon Petroleum Corp. reported a net loss in Q1 2025 due to significant planned maintenance, offset by strong Midstream performance and capital returns [Financial Highlights](index=1&type=section&id=Financial%20Highlights) Marathon Petroleum Corp. reported a net loss of $(74) million in Q1 2025, primarily due to planned maintenance, offset by strong Midstream adjusted EBITDA and $1.3 billion in shareholder returns Financial Metrics | Financial Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net Income (Loss) Attributable to MPC (millions) | $(74) million | $937 million | | Diluted EPS ($) | $(0.24) | $2.58 | | Adjusted EBITDA (billions) | $2.0 billion | $3.3 billion | - The quarter's results were heavily impacted by the execution of the second-largest planned maintenance quarter in the company's history[5](index=5&type=chunk)[6](index=6&type=chunk) - The company returned approximately **$1.3 billion** of capital to shareholders, which included **$1.1 billion** in share repurchases[6](index=6&type=chunk)[14](index=14&type=chunk) - The Midstream business demonstrated strong performance, with an **8% year-over-year increase** in segment adjusted EBITDA[5](index=5&type=chunk) [Segment Performance](index=2&type=section&id=Segment%20Performance) Q1 2025 segment performance was mixed, with Midstream showing robust growth, Refining & Marketing experiencing a sharp decline, and Renewable Diesel significantly narrowing its loss Segment Adjusted EBITDA | Segment Adjusted EBITDA (millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Refining & Marketing | $489 | $1,986 | | Midstream | $1,720 | $1,589 | | Renewable Diesel | $(42) | $(90) | [Refining & Marketing (R&M)](index=2&type=section&id=Refining%20%26%20Marketing%20(R%26M)) The R&M segment's adjusted EBITDA fell sharply to $489 million in Q1 2025, primarily due to lower market crack spreads and a significant drop in R&M margin R&M Operating Metrics | R&M Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Segment Adjusted EBITDA (millions) | $489 million | $2.0 billion | | R&M Margin per barrel ($) | $13.38 | $19.35 | | Crude Capacity Utilization (%) | 89% | 82% | | Total Throughput (million bpd) | 2.8 million | 2.66 million | | Refining Operating Costs per barrel ($) | $5.74 | $6.06 | - The decrease in segment adjusted EBITDA was primarily driven by lower market crack spreads[8](index=8&type=chunk) - Refining planned turnaround costs totaled **$454 million** for the quarter, down from **$647 million** in Q1 2024[8](index=8&type=chunk) [Midstream](index=2&type=section&id=Midstream) The Midstream segment delivered strong results, with adjusted EBITDA increasing to $1.7 billion, driven by higher throughputs and contributions from equity affiliates - Segment adjusted EBITDA grew to **$1.7 billion** in Q1 2025, up from **$1.6 billion** in Q1 2024[10](index=10&type=chunk) - The positive results were mainly driven by higher throughputs and growth from equity affiliates[10](index=10&type=chunk) [Renewable Diesel](index=2&type=section&id=Renewable%20Diesel) The Renewable Diesel segment significantly improved, narrowing its adjusted EBITDA loss to $(42) million due to increased utilization and higher margins - Segment adjusted EBITDA loss improved to **$(42) million** in Q1 2025, compared to a **$(90) million** loss in Q1 2024[11](index=11&type=chunk) - The improved performance was driven by increased utilization at the Martinez Renewables facility and higher margins[11](index=11&type=chunk) [Financial Position and Capital Management](index=2&type=section&id=Financial%20Position%20and%20Capital%20Management) MPC maintained a solid financial position with $3.8 billion in cash, refinanced debt, and returned $1.3 billion to shareholders in Q1 2025 - As of March 31, 2025, the company held **$3.8 billion** in cash and cash equivalents and had **$5 billion** available on its bank revolving credit facility[13](index=13&type=chunk) - In February 2025, the company issued **$2.0 billion** in unsecured senior notes to refinance upcoming debt maturities[14](index=14&type=chunk) - The company returned **$1.3 billion** to shareholders in Q1 and has **$6.7 billion** available under its current share repurchase authorizations[14](index=14&type=chunk) [Strategic Update and Growth Projects](index=4&type=section&id=Strategic%20Update%20and%20Growth%20Projects) MPC is advancing strategic projects across segments, including refinery upgrades and significant Midstream expansions like acquiring BANGL and sanctioning the Traverse pipeline - Refining Projects: Los Angeles utility modernization (year-end 2025), Robinson jet fuel optimization (year-end 2026), and Galveston Bay DHT (year-end 2027) aim to enhance margins and efficiency[15](index=15&type=chunk)[18](index=18&type=chunk) - Midstream - Newly Announced Projects: MPLX to acquire remaining **55% stake** in BANGL pipeline for **$715 million**, and final investment decision for new **1.75 bcf/d** Traverse natural gas pipeline expected in service in 2027[16](index=16&type=chunk)[18](index=18&type=chunk) - Midstream - Ongoing Projects: Two new **150k bpd** Gulf Coast Fractionators (2028, 2029), increased stake in Matterhorn Express Pipeline to **10%**, and added processing capacity in Permian and Marcellus (Q4 2025, H2 2026)[17](index=17&type=chunk)[18](index=18&type=chunk)[21](index=21&type=chunk) [Q2 2025 Outlook](index=5&type=section&id=Q2%202025%20Outlook) For Q2 2025, MPC anticipates total refinery throughputs of approximately 2.95 million barrels per day, with planned turnaround costs of $265 million Q2 2025 Outlook Metrics | Q2 2025 Outlook Metric | Value | | :--- | :--- | | **Refining & Marketing Segment** | | | Total Refinery Throughputs (mbpd) | 2,945 | | Refining Operating Costs per barrel ($) | $5.30 | | Refining Planned Turnaround Costs (millions) | $265 million | | Distribution Costs (millions) | $1,525 million | | **Corporate** | | | Corporate Expenses (millions) | $220 million | [Appendix: Detailed Financials and Operating Data](index=9&type=section&id=Appendix%3A%20Detailed%20Financials%20and%20Operating%20Data) This appendix provides comprehensive financial statements, detailed operating statistics, and non-GAAP reconciliations for a deeper understanding of Q1 2025 performance [Consolidated Financial Statements](index=9&type=section&id=Consolidated%20Financial%20Statements) The consolidated financial statements show a net loss of $(74) million for Q1 2025 and an increase in total capital expenditures to $776 million, primarily in Midstream [Consolidated Statements of Income](index=9&type=section&id=Consolidated%20Statements%20of%20Income) For Q1 2025, total revenues were $31.85 billion, with income from operations decreasing significantly, resulting in a net loss attributable to MPC of $(74) million Income Statement | Income Statement (millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Total revenues and other income | $31,850 | $33,211 | | Income from operations | $687 | $1,784 | | Net income | $346 | $1,312 | | Net income (loss) attributable to MPC | $(74) | $937 | [Capital Expenditures and Investments](index=9&type=section&id=Capital%20Expenditures%20and%20Investments) Total capital expenditures and investments increased to $776 million in Q1 2025, with the Midstream segment accounting for the largest portion at $386 million Capital Expenditures | Capital Expenditures (millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Refining & Marketing | $362 | $290 | | Midstream | $386 | $327 | | Renewable Diesel | $1 | $1 | | Corporate | $27 | $18 | | **Total** | **$776** | **$636** | [Operating Statistics](index=10&type=section&id=Operating%20Statistics) Operating statistics reveal a decline in R&M margin to $13.38 per barrel, increased Midstream throughputs, and a positive Renewable Diesel margin of $26 million [Refining & Marketing Operating Statistics](index=10&type=section&id=Refining%20%26%20Marketing%20Operating%20Statistics) In Q1 2025, the R&M margin decreased to $13.38 per barrel, despite increased net refinery throughputs, with the West Coast showing the highest regional margin R&M Operating Metrics | R&M Operating Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | R&M Margin per barrel ($) | $13.38 | $19.35 | | Net Refinery Throughputs (mbpd) | 2,849 | 2,656 | | Crude Oil Capacity Utilization (%) | 89% | 82% | R&M Margin by Region | R&M Margin by Region ($/bbl) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Gulf Coast | $11.75 | $18.81 | | Mid-Continent | $13.03 | $18.75 | | West Coast | $17.94 | $22.17 | [Midstream Operating Statistics](index=13&type=section&id=Midstream%20Operating%20Statistics) The Midstream segment experienced broad-based volume growth in Q1 2025, with pipeline throughputs increasing to 6,022 mbpd and natural gas processed volumes rising Midstream Throughput | Midstream Throughput | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Pipeline Throughputs (mbpd) | 6,022 | 5,389 | | Terminal Throughputs (mbpd) | 3,095 | 2,930 | | Natural Gas Processed (mmcf/d) | 9,781 | 9,371 | | NGLs Fractionated (mbpd) | 660 | 632 | [Renewable Diesel Financial Data](index=14&type=section&id=Renewable%20Diesel%20Financial%20Data) The Renewable Diesel segment's financial performance improved in Q1 2025, with its margin turning positive to $26 million, contributing to a smaller adjusted EBITDA loss Renewable Diesel Data | Renewable Diesel Data (millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Renewable Diesel Margin | $26 | $(5) | | Operating Costs | $70 | $67 | | Segment Adjusted EBITDA | $(42) | $(90) | [Non-GAAP Reconciliations](index=15&type=section&id=Non-GAAP%20Reconciliations) The company provides non-GAAP reconciliations, including Adjusted EBITDA of $1.975 billion for Q1 2025, to offer a clearer view of operating performance - Management uses non-GAAP measures like Adjusted EBITDA to assess financial performance, excluding items such as interest, taxes, depreciation, amortization, and planned turnaround costs for better comparability[39](index=39&type=chunk)[40](index=40&type=chunk) Reconciliation to Adjusted EBITDA | Reconciliation to Adjusted EBITDA (millions) | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net income (loss) attributable to MPC | $(74) | $937 | | Add: Noncontrolling interests | $420 | $375 | | Add: Provision for income taxes | $37 | $293 | | Add: Net interest and other financial costs | $304 | $179 | | Add: Depreciation and amortization | $815 | $849 | | Add: Planned turnaround costs | $473 | $648 | | **Adjusted EBITDA** | **$1,975** | **$3,281** |