
Overall Performance and Corporate Developments CVR Energy reported a significant Q2 2025 net loss driven by RFS obligations and refining issues, while its nitrogen fertilizer segment performed well and leadership transition plans were announced Financial and Operational Highlights CVR Energy reported a significant Q2 2025 net loss of $114 million due to RFS obligations and refining issues, despite strong nitrogen fertilizer performance and debt prepayment | Financial Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net (Loss) Income Attributable to CVR (million) | ($114) | $21 | | Diluted (Loss) Earnings per Share ($) | ($1.14) | $0.21 | | Adjusted (Loss) per Diluted Share ($) | ($0.23) | $0.09 | | EBITDA (Loss) (million) | ($24) | $103 | | Adjusted EBITDA (million) | $99 | $87 | - The refining business results were negatively impacted by an $89 million unfavorable mark-to-market on its Renewable Fuel Standard (RFS) obligation and reduced throughput volumes following the Coffeyville refinery turnaround4 - The company prepaid $70 million of its Term Loan principal in June 2025 and an additional $20 million in July 2025722 - CVR Partners, the nitrogen fertilizer business, achieved a solid 91% combined ammonia production rate and declared a cash distribution of $3.89 per common unit57 Leadership Transition and Board Changes CVR Energy announced CEO Dave Lamp's retirement by end of 2025, with Mark A. Pytosh as successor, alongside a new board appointment - Dave Lamp will retire as President and CEO, effective December 31, 2025, but is expected to remain on the Board of Directors5 - Mark A. Pytosh is expected to assume the role of President, CEO, and Director of CVR Energy on January 1, 2026, while continuing in his current roles at CVR Partners56 - Effective August 1, 2025, Brett Icahn was appointed as a director, increasing the Board size to nine members8 Segment Performance Analysis This section provides a detailed analysis of the financial and operational performance across the Petroleum, Renewables, and Nitrogen Fertilizer segments Petroleum Segment The Petroleum Segment reported a $137 million net loss in Q2 2025, primarily due to RFS mark-to-market and inventory valuation impacts, despite a slight adjusted refining margin increase | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net (Loss) Income (million) | ($137) | $18 | | EBITDA (Loss) (million) | ($84) | $56 | | Adjusted EBITDA (million) | $38 | $37 | - Combined total throughput decreased to approximately 172,000 bpd from 186,000 bpd in Q2 2024, primarily due to processing intermediate inventories after the Coffeyville refinery turnaround10 | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Refining Margin (million) | $35 | $185 | | Refining Margin per barrel ($) | $2.21 | $10.94 | | Adjusted Refining Margin per barrel ($) | $9.95 | $9.81 | - The Q2 2025 refining margin included an $89 million unfavorable mark-to-market impact on the RFS obligation and a $31 million unfavorable inventory valuation impact11 Renewables Segment The Renewables Segment maintained an $11 million net loss in Q2 2025, as increased throughput was offset by declining margins and the loss of the Blenders Tax Credit | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net Loss (million) | ($11) | ($11) | | EBITDA Loss (million) | ($5) | ($5) | | Adjusted EBITDA Loss (million) | ($4) | ($2) | - Total vegetable oil throughput increased to approximately 155,000 gallons per day (gpd) from 127,000 gpd in Q2 202414 | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Renewables Margin (million) | $5 | $5 | | Renewables Margin per gallon ($) | $0.38 | $0.43 | Nitrogen Fertilizer Segment The Nitrogen Fertilizer Segment showed strong Q2 2025 performance, with net income rising to $39 million driven by higher realized prices despite slightly lower production volumes | Metric | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net Income (million) | $39 | $26 | | EBITDA (million) | $67 | $54 | | Net Sales (million) | $169 | $133 | - Production volumes decreased slightly, with ammonia production at 197,000 tons (vs. 221,000 tons in Q2 2024) and UAN production at 321,000 tons (vs. 337,000 tons in Q2 2024)1718 | Product | Q2 2025 Realized Price | Q2 2024 Realized Price | YoY Change | | :--- | :--- | :--- | :--- | | Ammonia ($ per ton) | $593 | $520 | +14% | | UAN ($ per ton) | $317 | $268 | +18% | Financial Position and Outlook This section details the company's financial position, including cash, debt, and dividend, along with the Q3 2025 operational outlook Cash, Debt and Dividend CVR Energy's consolidated cash decreased to $596 million by Q2 2025, despite $90 million in term loan prepayments, with no Q2 cash dividend declared - Consolidated cash and cash equivalents were $596 million at June 30, 2025, down from $987 million at December 31, 20242145 - The company prepaid $70 million of its Term Loan in June and an additional $20 million in July 202522 - CVR Energy will not pay a cash dividend for the second quarter of 202523 Q3 2025 Outlook CVR Energy projects increased Q3 2025 petroleum throughput with 92-97% crude utilization, alongside guidance for operating expenses and capital expenditures across segments | Q3 2025 Outlook | Low | High | | :--- | :--- | :--- | | Petroleum | | | | Total throughput (bpd) | 200,000 | 215,000 | | Crude utilization (%) | 92% | 97% | | Direct operating expenses ($M) | $105 | $115 | | Renewables | | | | Total throughput (M gallons) | 16 | 20 | | Renewable utilization (%) | 70% | 85% | | Direct operating expenses ($M) | $8 | $10 | | Nitrogen Fertilizer | | | | Ammonia utilization rate (%) | 93% | 98% | | Direct operating expenses ($M) | $60 | $65 | | Total Capital Expenditures ($M) | $47 | $60 | Consolidated Financial Statements This section provides key consolidated financial statements, including the statement of operations, balance sheet, and cash flow data Consolidated Statement of Operations CVR Energy reported a Q2 2025 consolidated net loss of $90 million on $1.76 billion net sales, a significant decline from the prior year's net income | (in millions, except per share) | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net sales (million) | $1,761 | $1,967 | | Operating (loss) income (million) | ($103) | $27 | | Net (loss) income (million) | ($90) | $38 | | Net (loss) income attributable to CVR (million) | ($114) | $21 | | Diluted (loss) earnings per share ($) | ($1.14) | $0.21 | Selected Consolidated Balance Sheet Data As of June 30, 2025, the balance sheet shows $596 million cash, $3.98 billion total assets, $1.86 billion total debt, and $466 million stockholders' equity | (in millions) | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents (million) | $596 | $987 | | Total assets (million) | $3,984 | $4,263 | | Total debt and finance lease obligations (million) | $1,861 | $1,919 | | Total CVR stockholders' equity (million) | $466 | $703 | Selected Consolidated Cash Flow Data Q2 2025 saw $176 million net cash used in operating activities and negative $12 million free cash flow, a significant decline from the prior year | (in millions) | Q2 2025 | Q2 2024 | | :--- | :--- | :--- | | Net cash (used in) provided by operating activities (million) | ($176) | $81 | | Net cash used in investing activities (million) | ($185) | ($74) | | Net cash used in financing activities (million) | ($90) | ($65) | | Free cash flow (million) | ($12) | $7 | Non-GAAP Reconciliations This section provides reconciliations of GAAP measures to non-GAAP metrics, including EBITDA, Adjusted EPS, and segment-specific adjustments Reconciliation of Net Income to EBITDA The Q2 2025 GAAP net loss of $90 million was reconciled to an Adjusted EBITDA of $99 million, primarily due to RFS liability and inventory valuation adjustments | (in millions) | Q2 2025 | | :--- | :--- | | Net (loss) income (million) | ($90) | | Interest, Tax, D&A (million) | +66 | | EBITDA (million) | ($24) | | Revaluation of RFS liability (million) | +$89 | | Unrealized loss on derivatives (million) | +$2 | | Inventory valuation impacts (million) | +$32 | | Adjusted EBITDA (million) | $99 | Reconciliation of EPS to Adjusted EPS The Q2 2025 GAAP diluted loss per share of $1.14 was adjusted to $0.23, primarily due to a $0.65 per share unfavorable RFS liability revaluation | (per share) | Q2 2025 | | :--- | :--- | | Basic and diluted (loss) earnings per share ($) | ($1.14) | | Revaluation of RFS liability ($) | +$0.65 | | Unrealized loss on derivatives ($) | +$0.02 | | Inventory valuation impacts ($) | +$0.24 | | Adjusted (loss) earnings per share ($) | ($0.23) | Segment-Specific Reconciliations This section details non-GAAP reconciliations for each segment, including Petroleum's $137 million net loss to $38 million Adjusted EBITDA, and Renewables' $11 million net loss to $4 million Adjusted EBITDA loss - Petroleum Segment: Reconciled a $137M net loss to $38M in Adjusted EBITDA for Q2 2025, primarily by adding back an $89M RFS revaluation and a $31M inventory valuation impact69 - Renewables Segment: Reconciled an $11M net loss to a $4M Adjusted EBITDA loss for Q2 2025, with a minor adjustment for inventory valuation71 - Nitrogen Fertilizer Segment: Reconciled a $39M net income to $67M in EBITDA for Q2 2025. Adjusted EBITDA was the same as EBITDA, indicating no special adjustments for the period73