Marathon Petroleum Profit Jumps as Refining Margins Rebound
Sales and operating revenue climbed 54% to $51.994 billion.
Marathon Petroleum (MPC), the refiner and midstream operator, posted second-quarter net income of $5.138 billion, or $17.73 a share, as wider refining margins lifted earnings from $1.216 billion, or $3.96 a share, a year earlier.
The quarter marked a sharp turn from the preceding six months. Net income had fallen to $511 million in the first quarter from $1.5 billion in the fourth quarter of 2024, while adjusted EBITDA had declined before jumping to $8.460 billion in the latest period.
Sales and other operating revenue increased from $33.799 billion a year earlier, and operating income more than tripled to $7.322 billion. Adjusted EBITDA rose from $3.286 billion in the year-earlier quarter and $2.763 billion in the first quarter.
Refining and Marketing drove the rebound, with adjusted EBITDA rising to $6.655 billion from $1.890 billion a year earlier and $1.377 billion in the first quarter. The segment's margin more than doubled to $36.33 a barrel from $17.58 as crack spreads increased across all regions.
The refining gain came primarily from margins. Refined-product sales volume was nearly flat at 3.842 million barrels a day, while net refinery throughput fell 4% to 2.944 million barrels a day. Capacity utilization recovered to 94% from 89% in the first quarter, and planned turnaround costs declined to $275 million from $530 million.
Midstream adjusted EBITDA increased to $1.778 billion from $1.641 billion a year earlier as higher rates and throughput, affiliate growth and acquisitions outweighed asset sales. Renewable Diesel contributed $258 million of adjusted EBITDA, reversing a $19 million loss, as margins, throughput and regulatory-credit values improved.
MPLX now expects 2026 growth capital of $2.9 billion, an increase of $500 million that primarily supports an accelerated Gulf Coast fractionation project. Marathon also completed its Robinson product-flexibility project ahead of its previous third-quarter target, adding capacity for about 10,000 barrels a day of incremental jet-fuel production.
Marathon returned more than $2.8 billion to shareholders during the quarter, up from $1.0 billion in the first quarter, and ended June with $6.1 billion of repurchase authorization remaining. Cash climbed to $7.768 billion from $2.151 billion at the end of March while debt held near $32.8 billion.