# Phillips 66 Refining Pretax Income Nearly Doubles to $6.031 Billion in Q3

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/42598
Published: 2026-10-28T13:05:54.000Z
Updated: 2026-10-28T13:05:54.000Z
Section: Business

> Company-wide earnings reached $5.616 billion, with diluted EPS of $14.08. Realized refining margin rose to $38 per barrel from $24.08 in Q2.

Phillips 66 recorded $5.616 billion in earnings for the third quarter ended Sept. 30, 2026, as higher margins and volumes lifted pretax income in its Refining segment from the prior quarter.

Adjusted earnings were $5.619 billion. Reported and adjusted diluted earnings per share were both $14.08. Sales and other operating revenues totaled $50.540 billion, while total revenues and other income came to $51.506 billion.

Refining pretax income rose to $6.031 billion from $3.062 billion in the second quarter. Adjusted Refining pretax income increased to $6.060 billion from $3.086 billion. Realized refining margin advanced to $38 per barrel from $24.08, while crude capacity utilization rose to 98% from 96%.

Phillips 66 attributed the improvement to higher realized margins and volumes, with higher market crack spreads primarily driving the margin increase.

“Phillips 66 delivered strong operating performance in the third quarter and is executing on its financial and operating commitments,” Chairman and CEO Mark Lashier said.

Pretax income declined sequentially in the company's other four segments. Midstream pretax income fell to $702 million from $785 million in Q2; Chemicals dropped to $311 million from $404 million; Marketing and Specialties declined to $245 million from $583 million; and Renewable Fuels fell to $191 million from $544 million.

Phillips 66 returned $2.777 billion to shareholders during the quarter, including $2.273 billion in share repurchases and $504 million in dividends. As of Sept. 30, the company had $5.848 billion in cash and cash equivalents, $18.530 billion in total debt and $12.682 billion in net debt.