Phillips 66(US:PSX)2025-10-29 13:36Revenue and Income - Total revenues for 2025 reached $100.227 billion, a slight increase from $145.496 billion in 2024[1] - Net income attributable to Phillips 66 for 2025 was $1.497 billion, compared to $2.117 billion in 2024, reflecting a decrease of approximately 29.3%[1] - In 2025, the total net income for the company was $1,601 million, compared to $2,175 million in 2024, reflecting a decrease of approximately 26.4% year-over-year[18] - Phillips 66's diluted earnings per share for 2025 was $3.66, down from $4.99 in 2024, reflecting the overall decline in profitability[3] - The company’s diluted earnings per share (EPS) for 2025 was $6.15, with a significant increase from $(0.90) in Q1 2025[8] Operating Expenses and Cost Management - Operating expenses for 2025 totaled $4.554 billion, a decrease from $5.939 billion in 2024, indicating improved cost management[1] - Total costs and expenses for 2025 were $98.260 billion, compared to $142.821 billion in 2024, highlighting a reduction in operational costs[1] - Operating and SG&A expenses for 2025 YTD totaled $1,634 million, compared to $2,089 million in 2024 YTD, reflecting a decrease of approximately 21.8%[24] - Selling, general, and administrative expenses in the United States for 2025 totaled $865 million, compared to $1,434 million in 2024, reflecting a reduction of about 40%[61] Segment Performance - The refining segment reported a loss of $1.096 billion in 2025, a significant decline from a profit of $216 million in the first quarter of 2024[5] - Midstream operations generated $2.179 billion in income for 2025, up from $2.638 billion in 2024, indicating a shift in performance[5] - The Midstream segment generated a total of $68 million in income for 2025, while the Refining segment reported a loss of $981 million, highlighting significant challenges in the refining operations[16] - The chemicals segment saw an adjusted EBITDA of $700 million in Q4 2025, compared to $209 million in Q4 2024, showcasing substantial growth[10] EBITDA and Profitability - The total adjusted EBITDA for 2025 reached $5,831 million, compared to $7,254 million in 2024, indicating a decrease in overall profitability[10] - Midstream segment adjusted EBITDA for 2025 was $2,821 million, with a notable increase from $1,943 million in 2024[10] - Adjusted EBITDA for 2025 YTD was $2,821 million, a decrease from $3,662 million in 2024 YTD, representing a decline of about 22.9%[27] - The company reported an Adjusted EBITDA of $1,319 million for the year-to-date (YTD) 2025, with a quarterly breakdown showing $867 million in Q2 and $904 million in Q3[38] Cash Flow and Investments - Cash flows from operating activities totaled $2,210 million in 2025, a decrease from $4,191 million in 2024, representing a decline of approximately 47.3%[18] - The net cash provided by investing activities was negative at $(1,630) million in 2025, contrasting with a positive cash flow of $1,591 million in 2024[18] - The company reported a total of $1,551 million in consolidated capital expenditures and investments for 2025, down from $1,859 million in 2024, indicating a reduction of about 16.5%[22] Tax and Financial Management - The effective tax rate for 2025 was 18.6%, compared to 18.7% for the full year 2024, showing stability in tax obligations[3] - The effective tax rate for Q1 2025 is 18.8%, while the adjusted effective tax rate is 18.8% as well[64] - The effective tax rate for Q2 2025 increased to 19.0%, with an adjusted effective tax rate of 22.0%[64] - The year-to-date (YTD) effective tax rate for 2025 stands at 18.6%, with an adjusted effective tax rate of 20.5%[64] Future Outlook and Strategic Initiatives - The company plans to focus on market expansion and new product development to drive future growth[6] - Future outlook indicates a focus on optimizing refining operations and expanding market presence through strategic initiatives[50] Impairments and Special Items - The company incurred impairments totaling $981 million in 2025, compared to $456 million in 2024, indicating an increase of 115.3% in impairment charges[18] - The refining segment experienced a significant loss of $(981) million in special items, primarily due to impairments of $(948) million in Q3 2025[12] - Special item adjustments included a net gain on asset dispositions of $(68) million in 2025, while impairments totaled $346 million in 2024[27] Market and Production Metrics - The Henry Hub natural gas price averaged $3.49/MMBtu in 2025, compared to $2.24/MMBtu in 2024, representing an increase of approximately 55.5%[24] - WTI crude oil price averaged $66.78/BBL in 2025, a decrease from $75.83/BBL in 2024, indicating a decline of about 11.9%[24] - NGL production for 2025 YTD was 459 MB/D, an increase from 436 MB/D in 2024 YTD, showing a growth of approximately 5.3%[24] - Total refined products sales for 2024 were 2,340 MB/D, with U.S. marketing contributing 1,169 MB/D and international marketing contributing 311 MB/D[43]