Marathon Petroleum Stock Earnings Reports

Marathon Petroleum (MPC) reported a strong third quarter driven by robust cash generation, operational reliability and midstream progress. Key financials: adjusted net income of $3.01 per share, adjusted EBITDA of $3.2 billion, and $2.4 billion of operating cash flow excluding working capital. MPC returned $3.2 billion to shareholders year-to-date (dividends + buybacks) and repurchased $650 million in Q3. The Board approved a 10% increase to the MPC dividend. Operational highlights: refinery utilization averaged 95% (2.8 million b/d throughput), system capture was 96% in the quarter and 102% year-to-date, and renewable diesel plants ran at 86% utilization (margins pressured by feedstock and RIN costs). Drivers of the softer quarter capture included West Coast margin compression, an unusual jet-to-diesel dislocation, and downtime at the Galveston Bay resid hydrocracker (RHU) which is expected back to capacity early in Q4. Midstream (MPLX) adjusted EBITDA grew ~5% YoY; MPLX completed strategic acquisitions and reiterated a target distribution growth rate of 12.5% for the next couple years, implying ~$2.8 billion in annual cash to MPC today and potentially >$3.5 billion if the target is met—supportive of MPC’s capital return capacity. Q4 guidance: ~2.7 million b/d throughput (90% utilization), turnaround expense ~$420 million (West Coast focused), operating costs ~$5.80/bbL, distribution costs ~$1.6 billion, and corporate costs ~$240 million. Management reiterated share buybacks as the primary return mechanism, prefers to maintain ~$1 billion cash at MPC, and said they would not take on debt to fund buybacks. They expect 2026 capital spending to be below 2025 and view market fundamentals (product draws, tight inventories) as supportive into 2026.