Marathon Petroleum Refining Margins Fall Drags Q1 Profit
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 06 2025
0mins
Should l Buy MPC?
Source: Benzinga
First Quarter Financial Results: Marathon Petroleum Corporation reported first-quarter revenues of $31.85 billion, exceeding expectations, while adjusted EPS loss was $(0.24), better than the consensus estimate of $(0.53). The refining segment saw a decline in adjusted EBITDA to $489 million due to lower market crack spreads.
Shareholder Returns and Outlook: The company returned approximately $1.3 billion to shareholders through buybacks and declared a quarterly dividend of $0.91 per share. For the second quarter, it anticipates refining operating costs per barrel of $5.30 and refinery throughputs of 2,945 mbpd.
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Analyst Views on MPC
Wall Street analysts forecast MPC stock price to fall
14 Analyst Rating
9 Buy
5 Hold
0 Sell
Moderate Buy
Current: 238.160
Low
184.00
Averages
201.50
High
213.00
Current: 238.160
Low
184.00
Averages
201.50
High
213.00
About MPC
Marathon Petroleum Corporation is an integrated, downstream energy company. The Company’s segments include Refining & Marketing, Midstream and Renewable Diesel. The Refining & Marketing segment refines crude oil and other feedstocks at its refineries in the Gulf Coast, Mid-Continent and West Coast regions of the United States. It sells refined products to wholesale marketing customers domestically and internationally, to buyers on the spot market, and to independent entrepreneurs who operate primarily Marathon branded outlets. The Midstream segment gathers, transports, stores and distributes crude oil, refined products, including renewable diesel, and other hydrocarbon-based products, principally for the Refining & Marketing segment via refining logistics assets, pipelines, terminals, and others. The Renewable Diesel segment processes renewable feedstocks into renewable diesel, markets renewable diesel and distributes renewable products through its Midstream segment and third parties.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Government Interventions: Countries like Germany and Australia have implemented measures to curb rising fuel prices, with Germany limiting daily price hikes at gas stations and Australia launching a national fuel security plan, highlighting governments' focus on potential energy crises.
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- Interest Rate Expectations: Despite positive economic indicators, hawkish comments from St. Louis Fed President raised concerns about inflation and employment, leading to a mere 1% chance of a 25 basis point rate hike at the upcoming April FOMC meeting, reflecting cautious market sentiment.
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See More
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- Context of Rising Oil Prices: The price of Brent crude has surged by 55% since late February due to the Middle East war and the closure of the Strait of Hormuz, which has directly contributed to a more than $1 increase in U.S. gasoline prices, reaching an average of about $4 nationwide.
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