10/31/2024 | Press release | Distributed by Public on 10/31/2024 04:37
Three Months Ended September 30, | Change from 2023 | |||||||
2024 | 2023 | Change | Percent | |||||
(In thousands, except per share data) | ||||||||
Sales and other revenues | $ | 7,207,140 | $ | 8,905,471 | $ | (1,698,331) | (19) | % |
Operating costs and expenses: | ||||||||
Cost of sales: (1)
|
||||||||
Cost of materials and other (2)
|
6,158,294 | 6,935,650 | (777,356) | (11) | % | |||
Lower of cost or market inventory valuation adjustments | 202,307 | (43,848) | 246,155 | (561) | % | |||
Operating expenses
|
629,573 | 622,532 | 7,041 | 1 | % | |||
6,990,174 | 7,514,334 | (524,160) | (7) | % | ||||
Selling, general and administrative expenses (1)
|
118,014 | 124,213 | (6,199) | (5) | % | |||
Depreciation and amortization | 209,716 | 195,562 | 14,154 | 7 | % | |||
Asset impairments | 9,984 | - | 9,984 | 100 | % | |||
Total operating costs and expenses | 7,327,888 | 7,834,109 | (506,221) | (6) | % | |||
Income (loss) from operations | (120,748) | 1,071,362 | (1,192,110) | (111) | % | |||
Other income (expense): | ||||||||
Earnings of equity method investments | 8,151 | 3,009 | 5,142 | 171 | % | |||
Interest income | 18,309 | 24,577 | (6,268) | (26) | % | |||
Interest expense | (40,396) | (48,686) | 8,290 | (17) | % | |||
Gain on foreign currency transactions | 1,401 | 860 | 541 | 63 | % | |||
Gain on sale of assets and other | 1,936 | 8,954 | (7,018) | (78) | % | |||
(10,599) | (11,286) | 687 | (6) | % | ||||
Income (loss) before income taxes | (131,347) | 1,060,076 | (1,191,423) | (112) | % | |||
Income tax expense (benefit) | (57,266) | 235,015 | (292,281) | (124) | % | |||
Net income (loss) | (74,081) | 825,061 | (899,142) | (109) | % | |||
Less net income attributable to noncontrolling interest | 1,863 | 34,139 | (32,276) | (95) | % | |||
Net income (loss) attributable to HF Sinclair stockholders | $ | (75,944) | $ | 790,922 | $ | (866,866) | (110) | % |
Earnings (loss) per share attributable to HF Sinclair stockholders:
|
||||||||
Basic | $ | (0.40) | $ | 4.23 | $ | (4.63) | (109) | % |
Diluted | $ | (0.40) | $ | 4.23 | $ | (4.63) | (109) | % |
Cash dividends declared per common share | $ | 0.50 | $ | 0.45 | $ | 0.05 | 11 | % |
Average number of common shares outstanding: | ||||||||
Basic | 189,840 | 185,456 | 4,384 | 2 | % | |||
Diluted | 189,840 | 185,456 | 4,384 | 2 | % | |||
EBITDA | $ | 98,593 | $ | 1,245,608 | $ | (1,147,015) | (92) | % |
Adjusted EBITDA | $ | 316,004 | $ | 1,206,491 | $ | (890,487) | (74) | % |
Nine Months Ended September 30, | Change from 2023 | |||||||
2024 | 2023 | Change | Percent | |||||
(In thousands, except per share data) | ||||||||
Sales and other revenues | $ | 22,080,116 | $ | 24,304,259 | $ | (2,224,143) | (9) | % |
Operating costs and expenses: | ||||||||
Cost of sales: (1)
|
||||||||
Cost of materials and other (2)
|
18,835,319 | 19,313,312 | (477,993) | (2) | % | |||
Lower of cost or market inventory valuation adjustments | (20,186) | (4,114) | (16,072) | 391 | % | |||
Operating expenses
|
1,828,002 | 1,808,715 | 19,287 | 1 | % | |||
20,643,135 | 21,117,913 | (474,778) | (2) | % | ||||
Selling, general and administrative expenses (1)
|
326,246 | 347,514 | (21,268) | (6) | % | |||
Depreciation and amortization | 613,765 | 558,905 | 54,860 | 10 | % | |||
Asset impairments | 9,984 | - | 9,984 | 100 | % | |||
Total operating costs and expenses | 21,593,130 | 22,024,332 | (431,202) | (2) | % | |||
Income from operations | 486,986 | 2,279,927 | (1,792,941) | (79) | % | |||
Other income (expense): | ||||||||
Earnings of equity method investments | 23,612 | 10,436 | 13,176 | 126 | % | |||
Interest income | 58,983 | 62,103 | (3,120) | (5) | % | |||
Interest expense | (126,536) | (141,490) | 14,954 | (11) | % | |||
Gain on foreign currency transactions | 1,475 | 2,478 | (1,003) | (40) | % | |||
Gain on sale of assets and other | 3,691 | 11,737 | (8,046) | (69) | % | |||
(38,775) | (54,736) | 15,961 | (29) | % | ||||
Income before income taxes | 448,211 | 2,225,191 | (1,776,980) | (80) | % | |||
Income tax expense | 52,190 | 480,640 | (428,450) | (89) | % | |||
Net income | 396,021 | 1,744,551 | (1,348,530) | (77) | % | |||
Less net income attributable to noncontrolling interest | 5,513 | 92,702 | (87,189) | (94) | % | |||
Net income attributable to HF Sinclair stockholders | $ | 390,508 | $ | 1,651,849 | $ | (1,261,341) | (76) | % |
Earnings per share attributable to HF Sinclair stockholders: | ||||||||
Basic | $ | 2.01 | $ | 8.57 | $ | (6.56) | (77) | % |
Diluted | $ | 2.01 | $ | 8.57 | $ | (6.56) | (77) | % |
Cash dividends declared per common share | $ | 1.50 | $ | 1.35 | $ | 0.15 | 11 | % |
Average number of common shares outstanding: | ||||||||
Basic | 193,341 | 191,047 | 2,294 | 1 | % | |||
Diluted | 193,341 | 191,047 | 2,294 | 1 | % | |||
EBITDA | $ | 1,124,016 | $ | 2,770,781 | $ | (1,646,765) | (59) | % |
Adjusted EBITDA | $ | 1,120,837 | $ | 2,779,407 | $ | (1,658,570) | (60) | % |
September 30, 2024 | December 31, 2023 | |||
(In thousands) | ||||
Cash and cash equivalents | $ | 1,229,482 | $ | 1,353,747 |
Working capital | $ | 2,393,303 | $ | 3,371,905 |
Total assets | $ | 16,887,661 | $ | 17,716,265 |
Total debt | $ | 2,636,805 | $ | 2,739,083 |
Total equity | $ | 9,670,410 | $ | 10,237,298 |
Refining | Renewables | Marketing | Lubricants & Specialties | Midstream | Corporate, Other and Eliminations |
Consolidated Total |
||||||||
(In thousands) | ||||||||||||||
Three Months Ended September 30, 2024 | ||||||||||||||
Sales and other revenues: | ||||||||||||||
Revenues from external customers | $ | 5,386,710 | $ | 160,038 | $ | 950,050 | $ | 682,589 | $ | 27,753 | $ | - | $ | 7,207,140 |
Intersegment revenues and other (1)
|
995,001 | 105,320 | - | 3,278 | 136,115 | (1,239,714) | - | |||||||
6,381,711 | 265,358 | 950,050 | 685,867 | 163,868 | (1,239,714) | 7,207,140 | ||||||||
Cost of sales: (2)
|
||||||||||||||
Cost of materials and other (3)
|
5,731,823 | 237,321 | 918,432 | 509,204 | - | (1,238,486) | 6,158,294 | |||||||
Lower of cost or market inventory valuation adjustments | 198,759 | 3,548 | - | - | - | - | 202,307 | |||||||
Operating expenses
|
485,231 | 24,959 | - | 60,404 | 58,702 | 277 | 629,573 | |||||||
6,415,813 | 265,828 | 918,432 | 569,608 | 58,702 | (1,238,209) | 6,990,174 | ||||||||
Selling, general and administrative expenses (2)
|
54,632 | 1,281 | 9,476 | 38,832 | 3,820 | 9,973 | 118,014 | |||||||
Depreciation and amortization | 123,348 | 21,409 | 6,588 | 21,661 | 17,824 | 18,886 | 209,716 | |||||||
Asset impairments | - | - | - | - | 9,984 | - | 9,984 | |||||||
Income (loss) from operations | $ | (212,082) | $ | (23,160) | $ | 15,554 | $ | 55,766 | $ | 73,538 | $ | (30,364) | $ | (120,748) |
Income (loss) before interest and income taxes | $ | (212,108) | $ | (23,141) | $ | 15,560 | $ | 54,584 | $ | 80,500 | $ | (24,655) | $ | (109,260) |
Net income attributable to noncontrolling interest | $ | - | $ | - | $ | - | $ | - | $ | 1,863 | $ | - | $ | 1,863 |
Earnings of equity method investments | $ | - | $ | - | $ | - | $ | - | $ | 7,353 | $ | 798 | $ | 8,151 |
Capital expenditures | $ | 70,655 | $ | 1,268 | $ | 12,874 | $ | 10,580 | $ | 15,996 | $ | 12,231 | $ | 123,604 |
Three Months Ended September 30, 2023 | ||||||||||||||
Sales and other revenues: | ||||||||||||||
Revenues from external customers | $ | 6,717,926 | $ | 213,144 | $ | 1,259,205 | $ | 686,123 | $ | 29,073 | $ | - | $ | 8,905,471 |
Intersegment revenues and other (1)
|
1,333,008 | 118,033 | - | 565 | 123,540 | (1,575,146) | - | |||||||
8,050,934 | 331,177 | 1,259,205 | 686,688 | 152,613 | (1,575,146) | 8,905,471 | ||||||||
Cost of sales: (2)
|
||||||||||||||
Cost of materials and other (3)
|
6,518,402 | 294,682 | 1,230,372 | 466,459 | - | (1,574,265) | 6,935,650 | |||||||
Lower of cost or market inventory valuation adjustments | (26,842) | (17,006) | - | - | - | - | (43,848) | |||||||
Operating expenses
|
478,847 | 30,198 | - | 64,965 | 50,489 | (1,967) | 622,532 | |||||||
6,970,407 | 307,874 | 1,230,372 | 531,424 | 50,489 | (1,576,232) | 7,514,334 | ||||||||
Selling, general and administrative expenses (2)
|
50,345 | 1,336 | 7,731 | 40,051 | 7,947 | 16,803 | 124,213 | |||||||
Depreciation and amortization | 118,077 | 18,904 | 6,002 | 22,366 | 20,274 | 9,939 | 195,562 | |||||||
Income (loss) from operations | $ | 912,105 | $ | 3,063 | $ | 15,100 | $ | 92,847 | $ | 73,903 | $ | (25,656) | $ | 1,071,362 |
Income (loss) before interest and income taxes | $ | 916,139 | $ | 3,087 | $ | 15,134 | $ | 95,181 | $ | 78,194 | $ | (23,550) | $ | 1,084,185 |
Net income attributable to noncontrolling interest | $ | - | $ | - | $ | - | $ | - | $ | 1,886 | $ | 32,253 | $ | 34,139 |
Earnings of equity method investments | $ | - | $ | - | $ | - | $ | - | $ | 3,581 | $ | (572) | $ | 3,009 |
Capital expenditures | $ | 44,866 | $ | 2,812 | $ | 4,223 | $ | 10,070 | $ | 5,672 | $ | 13,544 | $ | 81,187 |
Refining | Renewables | Marketing | Lubricants & Specialties | Midstream | Corporate, Other and Eliminations |
Consolidated Total |
||||||||
(In thousands) | ||||||||||||||
Nine Months Ended September 30, 2024 | ||||||||||||||
Sales and other revenues: | ||||||||||||||
Revenues from external customers | $ | 16,729,833 | $ | 519,935 | $ | 2,668,219 | $ | 2,084,183 | $ | 77,946 | $ | - | $ | 22,080,116 |
Intersegment revenues and other (1)
|
2,833,932 | 233,260 | - | 11,070 | 399,118 | (3,477,380) | - | |||||||
19,563,765 | 753,195 | 2,668,219 | 2,095,253 | 477,064 | (3,477,380) | 22,080,116 | ||||||||
Cost of sales: (2)
|
||||||||||||||
Cost of materials and other (3)
|
17,497,374 | 687,650 | 2,590,573 | 1,533,440 | - | (3,473,718) | 18,835,319 | |||||||
Lower of cost or market inventory valuation adjustments | (21,799) | 1,613 | - | - | - | - | (20,186) | |||||||
Operating expenses
|
1,406,414 | 76,125 | - | 188,849 | 155,309 | 1,305 | 1,828,002 | |||||||
18,881,989 | 765,388 | 2,590,573 | 1,722,289 | 155,309 | (3,472,413) | 20,643,135 | ||||||||
Selling, general and administrative expenses (2)
|
154,089 | 4,067 | 24,577 | 111,609 | 10,674 | 21,230 | 326,246 | |||||||
Depreciation and amortization | 362,933 | 61,467 | 19,265 | 66,888 | 52,887 | 50,325 | 613,765 | |||||||
Asset impairments | - | - | - | - | 9,984 | - | 9,984 | |||||||
Income (loss) from operations | $ | 164,754 | $ | (77,727) | $ | 33,804 | $ | 194,467 | $ | 248,210 | $ | (76,522) | $ | 486,986 |
Income (loss) before interest and income taxes | $ | 164,579 | $ | (77,665) | $ | 34,078 | $ | 193,410 | $ | 270,055 | $ | (68,693) | $ | 515,764 |
Net income attributable to noncontrolling interest | $ | - | $ | - | $ | - | $ | - | $ | 5,513 | $ | - | $ | 5,513 |
Earnings of equity method investments | $ | - | $ | - | $ | - | $ | - | $ | 21,899 | $ | 1,713 | $ | 23,612 |
Capital expenditures | $ | 161,374 | $ | 7,188 | $ | 33,365 | $ | 23,064 | $ | 35,246 | $ | 36,684 | $ | 296,921 |
Nine Months Ended September 30, 2023 | ||||||||||||||
Sales and other revenues: | ||||||||||||||
Revenues from external customers | $ | 18,284,853 | $ | 590,620 | $ | 3,237,523 | $ | 2,105,941 | $ | 85,322 | $ | - | $ | 24,304,259 |
Intersegment revenues and other (1)
|
3,524,078 | 311,758 | - | 10,890 | 339,596 | (4,186,322) | - | |||||||
21,808,931 | 902,378 | 3,237,523 | 2,116,831 | 424,918 | (4,186,322) | 24,304,259 | ||||||||
Cost of sales: (2)
|
||||||||||||||
Cost of materials and other (3)
|
18,002,106 | 816,226 | 3,162,727 | 1,515,900 | - | (4,183,647) | 19,313,312 | |||||||
Lower of cost or market inventory valuation adjustments | - | (4,114) | - | - | - | - | (4,114) | |||||||
Operating expenses
|
1,391,930 | 85,942 | - | 192,592 | 138,021 | 230 | 1,808,715 | |||||||
19,394,036 | 898,054 | 3,162,727 | 1,708,492 | 138,021 | (4,183,417) | 21,117,913 | ||||||||
Selling, general and administrative expenses (2)
|
142,461 | 3,587 | 22,821 | 124,229 | 18,094 | 36,322 | 347,514 | |||||||
Depreciation and amortization | 330,702 | 57,846 | 17,889 | 62,113 | 61,855 | 28,500 | 558,905 | |||||||
Income (loss) from operations | $ | 1,941,732 | $ | (57,109) | $ | 34,086 | $ | 221,997 | $ | 206,948 | $ | (67,727) | $ | 2,279,927 |
Income (loss) before interest and income taxes | $ | 1,946,071 | $ | (57,040) | $ | 34,218 | $ | 223,916 | $ | 218,940 | $ | (61,527) | $ | 2,304,578 |
Net income attributable to noncontrolling interest | $ | - | $ | - | $ | - | $ | - | $ | 5,177 | $ | 87,525 | $ | 92,702 |
Earnings of equity method investments | $ | - | $ | - | $ | - | $ | - | $ | 11,008 | $ | (572) | $ | 10,436 |
Capital expenditures | $ | 157,827 | $ | 11,193 | $ | 15,678 | $ | 24,453 | $ | 21,936 | $ | 30,350 | $ | 261,437 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
Mid-Continent Region | ||||||||
Crude charge (BPD) (1)
|
263,170 | 250,280 | 262,670 | 230,130 | ||||
Refinery throughput (BPD) (2)
|
279,210 | 269,270 | 278,210 | 249,170 | ||||
Sales of produced refined products (BPD) (3)
|
274,870 | 257,270 | 276,830 | 234,470 | ||||
Refinery utilization (4)
|
101.2 | % | 96.3 | % | 101.0 | % | 88.5 | % |
Average per produced barrel sold: (5)
|
||||||||
Gross margin (6)
|
$ | (3.91) | $ | 13.78 | $ | 1.35 | $ | 10.80 |
Adjusted refinery gross margin (7)
|
$ | 9.38 | $ | 21.64 | $ | 9.40 | $ | 20.43 |
Operating expenses (8)
|
6.56 | 6.69 | 6.28 | 7.34 | ||||
Adjusted refinery gross margin, less operating expenses | $ | 2.82 | $ | 14.95 | $ | 3.12 | $ | 13.09 |
Operating expenses per throughput barrel (9)
|
$ | 6.45 | $ | 6.39 | $ | 6.25 | $ | 6.91 |
Feedstocks: | ||||||||
Sweet crude oil | 54 | % | 53 | % | 53 | % | 59 | % |
Sour crude oil | 24 | % | 22 | % | 23 | % | 18 | % |
Heavy sour crude oil | 16 | % | 18 | % | 18 | % | 15 | % |
Other feedstocks and blends | 6 | % | 7 | % | 6 | % | 8 | % |
Total | 100 | % | 100 | % | 100 | % | 100 | % |
Sales of produced refined products: | ||||||||
Gasolines | 50 | % | 52 | % | 52 | % | 51 | % |
Diesel fuels | 31 | % | 30 | % | 31 | % | 30 | % |
Jet fuels | 7 | % | 6 | % | 6 | % | 6 | % |
Fuel oil | 1 | % | 1 | % | 1 | % | 1 | % |
Asphalt | 5 | % | 4 | % | 4 | % | 4 | % |
Base oils | 3 | % | 3 | % | 4 | % | 4 | % |
LPG and other | 3 | % | 4 | % | 2 | % | 4 | % |
Total | 100 | % | 100 | % | 100 | % | 100 | % |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
West Region | ||||||||
Crude charge (BPD) (1)
|
343,840 | 351,650 | 352,860 | 321,700 | ||||
Refinery throughput (BPD) (2)
|
370,540 | 375,830 | 378,310 | 351,880 | ||||
Sales of produced refined products (BPD) (3)
|
379,530 | 376,910 | 373,890 | 348,740 | ||||
Refinery utilization (4)
|
82.3 | % | 84.1 | % | 84.4 | % | 77.0 | % |
Average per produced barrel sold: (5)
|
||||||||
Gross margin (6)
|
$ | (1.67) | $ | 18.35 | $ | 2.11 | $ | 14.63 |
Adjusted refinery gross margin (7)
|
$ | 11.82 | $ | 29.42 | $ | 13.21 | $ | 26.25 |
Operating expenses (8)
|
9.15 | 9.24 | 9.08 | 9.69 | ||||
Adjusted refinery gross margin, less operating expenses | $ | 2.67 | $ | 20.18 | $ | 4.13 | $ | 16.56 |
Operating expenses per throughput barrel (9)
|
$ | 9.37 | $ | 9.27 | $ | 8.97 | $ | 9.60 |
Feedstocks: | ||||||||
Sweet crude oil | 34 | % | 30 | % | 34 | % | 31 | % |
Sour crude oil | 44 | % | 45 | % | 43 | % | 43 | % |
Heavy sour crude oil | 9 | % | 13 | % | 10 | % | 12 | % |
Wax crude oil
|
6 | % | 6 | % | 6 | % | 6 | % |
Other feedstocks and blends | 7 | % | 6 | % | 7 | % | 8 | % |
Total | 100 | % | 100 | % | 100 | % | 100 | % |
Sales of produced refined products: | ||||||||
Gasolines | 53 | % | 51 | % | 52 | % | 53 | % |
Diesel fuels | 31 | % | 32 | % | 32 | % | 31 | % |
Jet fuels | 6 | % | 7 | % | 6 | % | 6 | % |
Fuel oil | 1 | % | 2 | % | 2 | % | 2 | % |
Asphalt | 3 | % | 3 | % | 2 | % | 2 | % |
LPG and other | 6 | % | 5 | % | 6 | % | 6 | % |
Total | 100 | % | 100 | % | 100 | % | 100 | % |
Consolidated | ||||||||
Crude charge (BPD) (1)
|
607,010 | 601,930 | 615,530 | 551,830 | ||||
Refinery throughput (BPD) (2)
|
649,750 | 645,100 | 656,520 | 601,050 | ||||
Sales of produced refined products (BPD) (3)
|
654,400 | 634,180 | 650,720 | 583,210 | ||||
Refinery utilization (4)
|
89.5 | % | 88.8 | % | 90.8 | % | 81.4 | % |
Average per produced barrel sold: (5)
|
||||||||
Gross margin (6)
|
$ | (2.62) | $ | 16.50 | $ | 1.79 | $ | 13.09 |
Adjusted refinery gross margin (7)
|
$ | 10.79 | $ | 26.27 | $ | 11.59 | $ | 23.91 |
Operating expenses (8)
|
8.06 | 8.21 | 7.89 | 8.74 | ||||
Adjusted refinery gross margin, less operating expenses | $ | 2.73 | $ | 18.06 | $ | 3.70 | $ | 15.17 |
Operating expenses per throughput barrel (9)
|
$ | 8.12 | $ | 8.07 | $ | 7.82 | $ | 8.48 |
Feedstocks: | ||||||||
Sweet crude oil | 42 | % | 40 | % | 42 | % | 43 | % |
Sour crude oil | 36 | % | 35 | % | 34 | % | 33 | % |
Heavy sour crude oil | 12 | % | 15 | % | 14 | % | 13 | % |
Wax crude oil
|
3 | % | 3 | % | 4 | % | 3 | % |
Other feedstocks and blends | 7 | % | 7 | % | 6 | % | 8 | % |
Total | 100 | % | 100 | % | 100 | % | 100 | % |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
Consolidated | ||||||||
Sales of produced refined products: | ||||||||
Gasolines | 52 | % | 52 | % | 52 | % | 53 | % |
Diesel fuels | 31 | % | 31 | % | 32 | % | 30 | % |
Jet fuels | 7 | % | 7 | % | 6 | % | 6 | % |
Fuel oil | 1 | % | 1 | % | 1 | % | 1 | % |
Asphalt | 4 | % | 3 | % | 3 | % | 3 | % |
Base oils | 1 | % | 1 | % | 2 | % | 2 | % |
LPG and other | 4 | % | 5 | % | 4 | % | 5 | % |
Total | 100 | % | 100 | % | 100 | % | 100 | % |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
Renewables | ||||||||
Sales volumes (in thousand gallons) | 68,755 | 54,909 | 193,484 | 152,896 | ||||
Average per produced gallon sold: (1)
|
||||||||
Gross margin (2)
|
$ | (0.32) | $ | 0.08 | $ | (0.38) | $ | (0.35) |
Adjusted renewables gross margin (3)
|
$ | 0.41 | $ | 0.66 | $ | 0.34 | $ | 0.56 |
Operating expenses (4)
|
0.36 | 0.55 | 0.39 | 0.56 | ||||
Adjusted renewables gross margin, less operating expenses | $ | 0.05 | $ | 0.11 | $ | (0.05) | $ | - |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
Marketing | ||||||||
Number of branded sites at period end (1)
|
1,586 | 1,535 | 1,586 | 1,535 | ||||
Sales volumes (in thousand gallons)
|
365,036 | 398,399 | 1,043,183 | 1,091,216 | ||||
Average per gallon sold: (2)
|
||||||||
Gross margin (3)
|
$ | 0.07 | $ | 0.06 | $ | 0.06 | $ | 0.05 |
Adjusted marketing gross margin (4)
|
$ | 0.09 | $ | 0.07 | $ | 0.07 | $ | 0.07 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
Lubricants & Specialties | ||||||||
Sales of produced refined products (BPD) | 32,914 | 30,400 | 32,977 | 30,440 | ||||
Sales of produced refined products: | ||||||||
Finished products | 45 | % | 49 | % | 47 | % | 51 | % |
Base oils | 27 | % | 27 | % | 27 | % | 27 | % |
Other | 28 | % | 24 | % | 26 | % | 22 | % |
Total | 100 | % | 100 | % | 100 | % | 100 | % |
Three Months Ended September 30, | Nine Months Ended September 30, | |||
2024 | 2023 | 2024 | 2023 | |
Midstream | ||||
Volumes (BPD) | ||||
Pipelines: | ||||
Affiliates-refined product pipelines | 156,346 | 152,541 | 165,566 | 144,082 |
Affiliates-intermediate pipelines | 145,236 | 107,019 | 145,068 | 108,579 |
Affiliates-crude pipelines | 459,273 | 426,418 | 442,317 | 429,965 |
760,855 | 685,978 | 752,951 | 682,626 | |
Third parties-refined product pipelines | 39,190 | 33,549 | 39,170 | 38,702 |
Third parties-crude pipelines | 240,496 | 204,970 | 201,256 | 196,552 |
1,040,541 | 924,497 | 993,377 | 917,880 | |
Terminals and loading racks: | ||||
Affiliates (1)
|
1,019,229 | 971,678 | 1,030,624 | 902,101 |
Third parties | 40,124 | 40,440 | 37,621 | 44,263 |
1,059,353 | 1,012,118 | 1,068,245 | 946,364 | |
Total for pipelines and terminals assets (BPD) | 2,099,894 | 1,936,615 | 2,061,622 | 1,864,244 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
(In thousands) | ||||||||
Net income (loss) attributable to HF Sinclair stockholders | $ | (75,944) | $ | 790,922 | $ | 390,508 | $ | 1,651,849 |
Add interest expense | 40,396 | 48,686 | 126,536 | 141,490 | ||||
Subtract interest income | (18,309) | (24,577) | (58,983) | (62,103) | ||||
Add income tax expense | (57,266) | 235,015 | 52,190 | 480,640 | ||||
Add depreciation and amortization | 209,716 | 195,562 | 613,765 | 558,905 | ||||
EBITDA | 98,593 | 1,245,608 | 1,124,016 | 2,770,781 | ||||
Add lower of cost or market inventory valuation adjustments | 202,307 | (43,848) | (20,186) | (4,114) | ||||
Add asset impairments | 9,984 | - | 9,984 | - | ||||
Add reclamation costs
|
5,000 | - | 5,000 | - | ||||
Add HF Sinclair's pro-rata share of HEP's share of Osage environmental remediation costs | - | 33 | - | 608 | ||||
Add acquisition integration and regulatory costs | 120 | 4,698 | 2,023 | 12,132 | ||||
Adjusted EBITDA | $ | 316,004 | $ | 1,206,491 | $ | 1,120,837 | $ | 2,779,407 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
Refining Segment | 2024 | 2023 | 2024 | 2023 | ||||
(In thousands) | ||||||||
Income (loss) before interest and income taxes (1)
|
$ | (212,108) | $ | 916,139 | $ | 164,579 | $ | 1,946,071 |
Add depreciation and amortization | 123,348 | 118,077 | 362,933 | 330,702 | ||||
EBITDA | (88,760) | 1,034,216 | 527,512 | 2,276,773 | ||||
Add lower of cost or market inventory valuation adjustments | 198,759 | (26,842) | (21,799) | - | ||||
Adjusted EBITDA | $ | 109,999 | $ | 1,007,374 | $ | 505,713 | $ | 2,276,773 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
Renewables Segment | 2024 | 2023 | 2024 | 2023 | ||||
(In thousands) | ||||||||
Income (loss) before interest and income taxes (1)
|
$ | (23,141) | $ | 3,087 | $ | (77,665) | $ | (57,040) |
Add depreciation and amortization | 21,409 | 18,904 | 61,467 | 57,846 | ||||
EBITDA | (1,732) | 21,991 | (16,198) | 806 | ||||
Add lower of cost or market inventory valuation adjustments | 3,548 | (17,006) | 1,613 | (4,114) | ||||
Adjusted EBITDA | $ | 1,816 | $ | 4,985 | $ | (14,585) | $ | (3,308) |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
Marketing Segment | 2024 | 2023 | 2024 | 2023 | ||||
(In thousands) | ||||||||
Income before interest and income taxes (1)
|
$ | 15,560 | $ | 15,134 | $ | 34,078 | $ | 34,218 |
Add depreciation and amortization | 6,588 | 6,002 | 19,265 | 17,889 | ||||
EBITDA | $ | 22,148 | $ | 21,136 | $ | 53,343 | $ | 52,107 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
Lubricants & Specialties Segment | 2024 | 2023 | 2024 | 2023 | ||||
(In thousands) | ||||||||
Income before interest and income taxes (1)
|
$ | 54,584 | $ | 95,181 | $ | 193,410 | $ | 223,916 |
Add depreciation and amortization | 21,661 | 22,366 | 66,888 | 62,113 | ||||
EBITDA | $ | 76,245 | $ | 117,547 | $ | 260,298 | $ | 286,029 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
Midstream Segment | 2024 | 2023 | 2024 | 2023 | ||||
(In thousands) | ||||||||
Income before interest and income taxes (1)
|
$ | 80,500 | $ | 78,194 | $ | 270,055 | $ | 218,940 |
Add depreciation and amortization | 17,824 | 20,274 | 52,887 | 61,855 | ||||
Subtract net income attributable to noncontrolling interest | (1,863) | (1,886) | (5,513) | (5,177) | ||||
EBITDA | 96,461 | 96,582 | 317,429 | 275,618 | ||||
Add asset impairments | 9,984 | - | 9,984 | - | ||||
Add reclamation costs
|
5,000 | - | 5,000 | - | ||||
Add share of Osage environmental remediation costs, net of insurance recoveries | - | 69 | - | 1,289 | ||||
Add acquisition integration and regulatory costs | 203 | 4,285 | 308 | 5,757 | ||||
Adjusted EBITDA | $ | 111,648 | $ | 100,936 | $ | 332,721 | $ | 282,664 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
(In thousands, except per barrel amounts) | ||||||||
Refining segment | ||||||||
Sales and other revenues | $ | 6,381,711 | $ | 8,050,934 | $ | 19,563,765 | $ | 21,808,931 |
Cost of sales (1)
|
6,415,813 | 6,970,407 | 18,881,989 | 19,394,036 | ||||
Depreciation and amortization | 123,348 | 118,077 | 362,933 | 330,702 | ||||
Gross margin | (157,450) | 962,450 | 318,843 | 2,084,193 | ||||
Add lower of cost or market inventory adjustments | 198,759 | (26,842) | (21,799) | - | ||||
Add operating expenses | 485,231 | 478,847 | 1,406,414 | 1,391,930 | ||||
Add depreciation and amortization | 123,348 | 118,077 | 362,933 | 330,702 | ||||
Adjusted refinery gross margin | $ | 649,888 | $ | 1,532,532 | $ | 2,066,391 | $ | 3,806,825 |
Produced barrels sold (BPD) (2)
|
654,400 | 634,180 | 650,720 | 583,210 | ||||
Average per produced barrel sold: | ||||||||
Gross margin | $ | (2.62) | $ | 16.50 | $ | 1.79 | $ | 13.09 |
Add lower of cost or market inventory adjustments | 3.30 | (0.46) | (0.12) | - | ||||
Add operating expenses | 8.06 | 8.21 | 7.89 | 8.74 | ||||
Add depreciation and amortization | 2.05 | 2.02 | 2.03 | 2.08 | ||||
Adjusted refinery gross margin | $ | 10.79 | $ | 26.27 | $ | 11.59 | $ | 23.91 |
Less operating expenses | 8.06 | 8.21 | 7.89 | 8.74 | ||||
Adjusted refinery gross margin, less operating expenses | $ | 2.73 | $ | 18.06 | $ | 3.70 | $ | 15.17 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
(In thousands, except per gallon amounts) | ||||||||
Renewables segment | ||||||||
Sales and other revenues | $ | 265,358 | $ | 331,177 | $ | 753,195 | $ | 902,378 |
Cost of sales (1)
|
265,828 | 307,874 | 765,388 | 898,054 | ||||
Depreciation and amortization | 21,409 | 18,904 | 61,467 | 57,846 | ||||
Gross margin | (21,879) | 4,399 | (73,660) | (53,522) | ||||
Add lower of cost or market inventory adjustments | 3,548 | (17,006) | 1,613 | (4,114) | ||||
Add operating expenses | 24,959 | 30,198 | 76,125 | 85,942 | ||||
Add depreciation and amortization | 21,409 | 18,904 | 61,467 | 57,846 | ||||
Adjusted renewables gross margin | $ | 28,037 | $ | 36,495 | $ | 65,545 | $ | 86,152 |
Produced gallons sold
|
68,755 | 54,909 | 193,484 | 152,896 | ||||
Average per produced gallon sold: | ||||||||
Gross margin | $ | (0.32) | $ | 0.08 | $ | (0.38) | $ | (0.35) |
Add lower of cost or market inventory adjustments | 0.05 | (0.31) | 0.01 | (0.03) | ||||
Add operating expenses | 0.36 | 0.55 | 0.39 | 0.56 | ||||
Add depreciation and amortization | 0.32 | 0.34 | 0.32 | 0.38 | ||||
Adjusted renewables gross margin | $ | 0.41 | $ | 0.66 | $ | 0.34 | $ | 0.56 |
Less operating expenses | 0.36 | 0.55 | 0.39 | 0.56 | ||||
Adjusted renewables gross margin, less operating expenses | $ | 0.05 | $ | 0.11 | $ | (0.05) | $ | - |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
(In thousands, except per gallon amounts) | ||||||||
Marketing segment | ||||||||
Sales and other revenues | $ | 950,050 | $ | 1,259,205 | $ | 2,668,219 | $ | 3,237,523 |
Cost of sales (1)
|
918,432 | 1,230,372 | 2,590,573 | 3,162,727 | ||||
Depreciation and amortization | 6,588 | 6,002 | 19,265 | 17,889 | ||||
Gross margin | 25,030 | 22,831 | 58,381 | 56,907 | ||||
Add depreciation and amortization | 6,588 | 6,002 | 19,265 | 17,889 | ||||
Adjusted marketing gross margin | $ | 31,618 | $ | 28,833 | $ | 77,646 | $ | 74,796 |
Sales volumes
|
365,036 | 398,399 | 1,043,183 | 1,091,216 | ||||
Average per gallon sold: | ||||||||
Gross margin | $ | 0.07 | $ | 0.06 | $ | 0.06 | $ | 0.05 |
Add depreciation and amortization | 0.02 | 0.01 | 0.01 | 0.02 | ||||
Adjusted marketing gross margin | $ | 0.09 | $ | 0.07 | $ | 0.07 | $ | 0.07 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
(In thousands, except per share amounts) | ||||||||
Consolidated | ||||||||
GAAP: | ||||||||
Income (loss) before income taxes | $ | (131,347) | $ | 1,060,076 | $ | 448,211 | $ | 2,225,191 |
Income tax expense (benefit) | (57,266) | 235,015 | 52,190 | 480,640 | ||||
Net income (loss) | (74,081) | 825,061 | 396,021 | 1,744,551 | ||||
Less net income attributable to noncontrolling interest | 1,863 | 34,139 | 5,513 | 92,702 | ||||
Net income (loss) attributable to HF Sinclair stockholders | (75,944) | 790,922 | 390,508 | 1,651,849 | ||||
Non-GAAP adjustments to arrive at adjusted results: | ||||||||
Lower of cost or market inventory valuation adjustments | 202,307 | (43,848) | (20,186) | (4,114) | ||||
Asset impairments | 9,984 | - | 9,984 | - | ||||
Reclamation costs
|
5,000 | - | 5,000 | - | ||||
HEP's share of Osage environmental remediation costs | - | 69 | - | 1,289 | ||||
Acquisition integration and regulatory costs | 120 | 6,626 | 2,023 | 14,060 | ||||
Total adjustments to income (loss) before income taxes
|
217,411 | (37,153) | (3,179) | 11,235 | ||||
Adjustment to income tax expense (benefit) (1)
|
44,964 | (8,633) | (752) | 2,160 | ||||
Adjustment to net income attributable to noncontrolling interest | - | 1,964 | - | 2,609 | ||||
Total adjustments, net of tax | 172,447 | (30,484) | (2,427) | 6,466 | ||||
Adjusted results - Non-GAAP: | ||||||||
Adjusted income before income taxes | 86,064 | 1,022,923 | 445,032 | 2,236,426 | ||||
Adjusted income tax expense (benefit) (2)
|
(12,302) | 226,382 | 51,438 | 482,800 | ||||
Adjusted net income | 98,366 | 796,541 | 393,594 | 1,753,626 | ||||
Less net income attributable to noncontrolling interest | 1,863 | 36,103 | 5,513 | 95,311 | ||||
Adjusted net income attributable to HF Sinclair stockholders | $ | 96,503 | $ | 760,438 | $ | 388,081 | $ | 1,658,315 |
Adjusted earnings per share - diluted (3)
|
$ | 0.51 | $ | 4.06 | $ | 2.00 | $ | 8.60 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
(In thousands) | ||||||||
Non-GAAP income tax expense (benefit) (2)
|
$ | (12,302) | $ | 226,382 | $ | 51,438 | $ | 482,800 |
Add GAAP income tax expense (benefit) | (57,266) | 235,015 | 52,190 | 480,640 | ||||
Non-GAAP adjustment to income tax expense (benefit) | $ | 44,964 | $ | (8,633) | $ | (752) | $ | 2,160 |
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||
2024 | 2023 | 2024 | 2023 | |||||
(In thousands) | ||||||||
GAAP: | ||||||||
Income (loss) before income taxes | $ | (131,347) | $ | 1,060,076 | $ | 448,211 | $ | 2,225,191 |
Income tax expense (benefit) | $ | (57,266) | $ | 235,015 | $ | 52,190 | $ | 480,640 |
Effective tax rate for GAAP financial statements | 43.6 | % | 22.2 | % | 11.6 | % | 21.6 | % |
Adjusted - Non-GAAP: | ||||||||
Effect of Non-GAAP adjustments | (57.9) | % | (0.1) | % | - | % | - | % |
Effective tax rate for adjusted results | (14.3) | % | 22.1 | % | 11.6 | % | 21.6 | % |