Phillips 66(US:PSX)2024-07-30 14:26Financial Performance - Phillips 66 reported total revenues and other income of $36,436 million for Q1 2024, compared to $38,911 million in Q2 2023, reflecting a decrease of approximately 6.3%[1] - Net income attributable to Phillips 66 for Q1 2024 was $748 million, down from $1,015 million in Q2 2023, representing a decline of about 26.4%[4] - Adjusted EBITDA for Q1 2024 was $1,943 million, compared to $2,183 million in Q2 2023, indicating a decrease of approximately 11%[5] - Phillips 66's diluted earnings per share for Q1 2024 was $1.73, compared to $2.38 in Q2 2023, a decrease of about 27.3%[2] - The company reported a total cost and expenses of $35,472 million in Q1 2024, compared to $37,600 million in Q2 2023, a reduction of approximately 5.7%[1] - In Q1 2024, Phillips 66 reported a net income of $761 million, with a year-to-date (YTD) net income of $1,734 million, compared to $2,143 million in the same period of 2023[12] Segment Performance - The company’s refining segment generated $545 million in adjusted EBITDA for Q1 2024, down from $1,968 million in Q2 2023, a decline of about 72.3%[5] - Midstream segment revenues for Q1 2024 totaled $861 million, compared to $971 million in Q2 2023, reflecting a decrease of approximately 11.4%[5] - Total adjusted EBITDA for the Midstream segment in Q1 2024 was $861 million, up from $748 million in Q4 2023[18] - Income before income taxes for the Central Corridor was $213 million in Q1 2024, compared to $367 million in Q2 2023, reflecting a decrease of 42.1%[24] - The worldwide refining income before income taxes was $1.50 per barrel in Q1 2024, a decrease from $2.00 per barrel in Q4 2023[23] - The Gulf Coast refining income before income taxes was $2.53 per barrel in Q1 2024, down from $14.22 per barrel in Q4 2023[23] Costs and Expenses - The corporate and other segment incurred restructuring costs of $35 million in Q1 2024, compared to $94 million in Q2 2023[7] - Total operating and SG&A expenses for the company were $991 million in Q1 2024, a slight increase from $935 million in Q2 2023, representing a rise of 6%[25] - The refining controllable costs per barrel were $6.89 in Q1 2024, up from $6.18 in Q2 2023, indicating an increase of 11.5%[27] - Depreciation and amortization expenses totaled $208 million in Q1 2024, compared to $204 million in Q2 2023, a slight increase of 2%[29] Cash Flow and Investments - The total cash provided by operating activities in Q2 2024 was $2,097 million, while the YTD cash provided was $7,029 million, reflecting a significant increase from $6,965 million in 2023[12] - Capital expenditures and investments for Q1 2024 amounted to $628 million, with a total of $2,418 million for the year, compared to $2,418 million in 2023[13] - The net cash used in financing activities for Q2 2024 was $(1,543) million, reflecting significant debt repayment and stock repurchase activities[13] Market and Production Metrics - The worldwide crude oil charge input averaged 1,700 MB/D in Q1 2024, showing a decrease from 1,802 MB/D in Q2 2023, a decline of 5.7%[30] - Refined petroleum products production in the Atlantic Basin/Europe totaled 522 MB/D in Q1 2024, a decrease of 6.1% from 556 MB/D in Q2 2023[32] - Total gasoline production in the Gulf Coast reached 526 MB/D in Q1 2024, up 2.6% from 571 MB/D in Q2 2023[32] - Total refined petroleum products sales in the U.S. reached 1,926 MB/D in Q1 2024, a decrease of 8.9% from 2,114 MB/D in Q2 2023[41] Taxation - The effective tax rate for Q1 2024 was 21.1%, slightly lower than the 22.2% reported in Q2 2023[2] - Phillips 66's total income tax expense for Q2 2024 was $13 million, with a YTD total of $57 million, indicating a tax impact from pre-tax special items[10] - The effective tax rate for the year-to-date was reported at 23.6%, with an adjusted effective tax rate of 22.7%[67] Special Items and Adjustments - The total special items (pre-tax) for Phillips 66 in Q2 2024 were $(83) million, with a YTD total of $(110) million[10] - The company incurred impairments of $165 million in Q1 2024, contributing to a total of $390 million for the year[12] - Special item adjustments for the third quarter included business transformation restructuring costs of $35 million[52] - The company experienced a legal settlement expense of $59 million, which was classified as a special item affecting net income[65]