logo  
Sign in or Register

Already a member?

Sign in

Or sign in with your account on:

Not a member yet?

Register
    

Phillips 66 Pops On Earnings Miss

By  +Follow July 31, 2013 1:27PM
Share:
Tickers Mentioned:

Phillips 66 (PSX) , by market cap the world’s largest oil and gas refiner and marketer, posted second-quarter earnings on Wednesday morning that showed the company’s profits were significantly lower than expected.

Phillips is in the habit of beating earnings forecasts on a regular basis, but for the recently ended period, the company netted $958 million, or $1.53 per share on revenue of $43.95 billion, compared to the prior-year period during which the company made $1.18 billion, or $1.86 per share. Analysts had expected earnings of $1.81 per share on revenue of $42.03 billion.

The recent increase in US oil prices was cited as one of the reasons for the diminished results, but the company’s refining operations were also substantially hampered by a hike in the cost of ethanol credits, otherwise known as Renewable Identification Numbers (RINS).

In 2005, the Environmental Protection Agency implemented the Renewable Fuel standard, imposing a gradual decrease in the burning of fossil fuels by requiring refiners to blend increasing amounts of ethanol into their products, with the goal of adding 36 billion gallons of renewable fuel into the overall supply by 2022. The EPA tracks the compliance of oil and gas refiners through RINS, which operate as credits; in other words, a company can acquire RINS through the purchase and subsequent blending of ethanol into its products or, if it does not comply, can meet its RINS requirements by purchasing them from other companies.

As ethanol minimums have increased, so too has the cost of RINS, and oil companies claim that the higher prices are starting to inflate the cost of doing business. On a conference call discussing the company’s quarterly performance, Phillips 66 said that it will increase exports in the third quarter to offset higher prices.

Still, the rare miss on top and bottom lines was offset by the company’s approval of a $1 billion share buyback program, as well as a debt reduction of $500 million. Shares were down about 3 percent before the commencement of trading, but rebounded nearly 5 percent after the opening bell to $61.36.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions.


Liked What You Read? Join Equities.com as a contributor and get eyeballs on your content FOR FREE!

Results for PSX
Kym L
24 Oct 14 18:28:53
Earnings Wed $ADP $CAR $BIDU $BAH $CENX $CNW $ETN $FFIV $GRMN $GET $HSY $HES $H $PEIX $PSX $PSX $RL $SFLY $SODA $SO $SPWR $TRLA $WTW $WLP
John Michael
24 Oct 14 09:51:01
RT @SeekingAlpha: Just Happened: DCP Midstream Analyst Day http://t.co/ZoqqoLtDJy $SE $PSX $SEP $PSXP $DUK $COP $DPM
Craig Garbers
24 Oct 14 09:43:42
RT @SeekingAlpha: Just Happened: DCP Midstream Analyst Day http://t.co/ZoqqoLtDJy $SE $PSX $SEP $PSXP $DUK $COP $DPM
Quantpost Basic Mats
24 Oct 14 09:42:33
$PSX $COP News: "Just Happened: DCP Midstream Analyst Day $SE $PSX $SEP $PSXP …" http://t.co/KFeTX4O8l9 Board view: https://t.co/EgCyycqqRd
Seeking Alpha
24 Oct 14 09:42:31
Just Happened: DCP Midstream Analyst Day http://t.co/ZoqqoLtDJy $SE $PSX $SEP $PSXP $DUK $COP $DPM
Estimize
24 Oct 14 08:23:33
@AHCKC $PSX is reporting earnings for Q3 2014 on 10/29/14 – http://t.co/AXXvF76sE9
wininstocks2014
24 Oct 14 06:26:15
PSX 76.12 Stock Charts $PSX Phillips 66 (NYSE) Last Updated: 10/24/2014 08:26:16 PSX Stock Chart - 1 Month htt http://t.co/3JPTpZRbGZ
Quantpost Basic Mats
24 Oct 14 06:10:55
$PSX News: "Fast-Growth Phillips 66 Partners Is 20% Overvalued Compared To Its…" http://t.co/LYr5KbuawH Board view: https://t.co/52haca5ZvK
Seeking Alpha
24 Oct 14 06:10:54
Fast-Growth Phillips 66 Partners Is 20% Overvalued Compared To Its Peers http://t.co/I70ZTrfrjU $PSX $PSXP
4-traders.com
23 Oct 14 14:20:07
Phillips 66 : Lively publications aim to lure in great talent http://t.co/XRrPNLCyYG $PSX
Mia
23 Oct 14 11:24:43
Back building a position into oil stocks $slb $hal $vlo $psx and some $wft for beta
Seeking Alpha
23 Oct 14 09:22:20
Commodities Today: Reasons To Be Bullish This Market http://t.co/VtIXvwE90f $CAT $CF $MOS $POT $PSX $PSXP
Stock Moo
23 Oct 14 08:55:18
$psx: "Delivering on the Promise: Jobs for National Guard and Veterans" http://t.co/c3ULQ6e5FQ
Wyatt Research
23 Oct 14 08:15:38
Marshall Hargrave's top 3 #dividend #stocks to buy on lower #oil prices http://t.co/3Fuduq0Etu $PSX $VLO $MPC #investment
MarketCurrents
23 Oct 14 07:54:19
Cenovus profit slips on Texas refinery outage, but cash flow improves http://t.co/8uAHWlwEHJ $CVE $PSX $COP
Marlen
23 Oct 14 05:52:07
$PSX Expect its facility capable of unloading 30,000 barrels of crude oil/day from trains at its Ferndale refinery to be operational in Nov.
12Stocks.com
23 Oct 14 03:02:32
Weekly S&P500 #Stocks Performance $CHK $DAL $REGN $LUV $ADS $GCI $HOG $AA $YHOO $PSX $BRCM $XLNX $MU $TSO more@ http://t.co/RPeaHBZz9y
Gabe Clendenning
22 Oct 14 20:12:33
Still Bearish on $XOM, $TOT, $PSX, $RDS.A, $DBE, $BNO, $ONG, $RJN and $OIL until Its safe to go long on Brent & Crude contracts again. :/
Nan
22 Oct 14 19:35:39
RT @Consestimate: Phillips 66 Washington crude-by-rail facility to open in November. $PSX. http://t.co/AjUDYogBum
Donald Vasquez
22 Oct 14 19:34:33
RT @Consestimate: Phillips 66 Washington crude-by-rail facility to open in November. $PSX. http://t.co/AjUDYogBum
gordon gekko is god
22 Oct 14 19:29:41
Phillips 66 Partners to acquire $340M in assets from Phillips 66 http://t.co/tTTXVJw1qW $PSXP, $PSX
Consestimate
22 Oct 14 19:26:56
Phillips 66 Washington crude-by-rail facility to open in November. $PSX. http://t.co/AjUDYogBum
Stockmarketsvane
22 Oct 14 16:43:22
wing Sell Picks: $PDS, $PSX, $SAVE, $SEAS, $SLCA, $TRLA, $WDC, $XEC, $XRX http://t.co/ujdZoM1aM5
Quantpost Basic Mats
22 Oct 14 13:42:21
$PSX News: "Phillips 66 Partners to acquire $340M in assets from Phillips 66…" http://t.co/pTIKEIRESx Board view: https://t.co/52haca5ZvK
MarketCurrents
22 Oct 14 13:42:20
Phillips 66 Partners to acquire $340M in assets from Phillips 66 http://t.co/boWszN8RCX $PSXP $PSX
bored2tears
22 Oct 14 13:37:56
Phillips 66 Partners to buy $340m in logistics assets from Phillips 66. http://t.co/z5asREAUvo $PSXP $PSX #mna #stocks
BV Basic Materials
22 Oct 14 13:30:11
$PSX Phillips 66 Partners Announces Acquisition of Strategic Logistics Assets.. http://t.co/3VEArbhKpC
BV Basic Materials
22 Oct 14 13:00:44
$PSX Phillips 66 Partners Announces 5 Percent Increase in Quarterly Cash Distribution.. http://t.co/DVz1JBYO3v
FonsieTrader
22 Oct 14 03:40:29
Parabolic Sar Buy Signals 4/5 $MNST $MO $MU $MYL $NBG $NOK $NWSA $OWW $PFE $PG $PGR $PSX $QCOM $RAI $SAVE $SNDK $SNV http://t.co/fetcTgYgsW
Tom Loffman
21 Oct 14 19:09:07
Biggest gainers today large caps: $ILMN 9.17% $NBG 7.72% $AAL 7.47% $HOG 7.31% $WFT 6.63% $GPRO 6.47% $SDRL 6.37% $PSX 6.16% $CCL 5.79%
Vizimi Stocks
21 Oct 14 19:01:38
Tuesday 10/21 News: $PSX closed up 6+% for the first time since May 2012 #NYSE #stocks
12Stocks.com
21 Oct 14 16:02:24
S&P500 #Stocks Performance $WAT $HOG $X $PSX $SNDK $MPC $CCL $TRIP $CHK $DISCA $GCI $LUV $TXN $NFX $RHI more@ http://t.co/RPeaHBZz9y
4-traders.com
21 Oct 14 14:25:18
Phillips 66 : Lively publications aim to lure in great talent http://t.co/gDTHpYK8A6 $PSX
12Stocks.com
21 Oct 14 13:00:08
S&P500 #Stocks Performance $WAT $HOG $X $PSX $SNDK $MPC $CCL $TRIP $CHK $DISCA $GCI $LUV $TXN $NFX $RHI more@ http://t.co/RPeaHBZz9y
Leni
21 Oct 14 12:39:01
@TradeTexasBig we'll see that $PSX is a tough chart
BNK Invest
21 Oct 14 12:24:28
Tuesday Sector Leaders: Energy, Healthcare $PSX $MPC $XLE $WAT $COV #stocks http://t.co/GkDZwV86Y2
holycharts
20 Oct 14 20:00:03
Sell-signal detected for 21 stocks: $LB $BXP $MDLZ $APC $NFLX $CMA $EIX $NOV $EXPE $HAS $TWX $OKE $KIM $GPS $TE $PSX $DVN $CHRW $TSO ...
Dividend Income
20 Oct 14 17:55:00
#investing in #stocks like $COP $CVX $PSX r a hedge against increasing gas prices.If prices go down,u save on gas&still get paid #dividends
Seeking Alpha
20 Oct 14 11:00:07
Birchcliff Energy: Dramatically Oversold And Offering 50% Upside http://t.co/OJlDGbe33Z $CVE $PEYUF $PSX $SU $BIREF
alpe pinnazzo
20 Oct 14 06:49:37
Hazmat teams have reportedly contained a chemical leak at a Phillips $PSX refinery in Linden New Jersey
FinancialJuice
20 Oct 14 06:42:24
Hazmat teams have reportedly contained a chemical leak at a Phillips $PSX refinery in Linden New Jersey, according to local press #stocks
StockEarnings.com
19 Oct 14 08:30:30
$PSX releasing Earnings on 10/29 08:00 am ET. Anybody buying/selling in Earnings? http://t.co/BzDSvGnctT
Dhandho
18 Oct 14 14:08:19
Commented on StockTwits: $PSX own this company sinvpce it was $35, added at every dip, this is a "Blowout" sale. ... http://t.co/CPPdxVeb8h
Ariel Silahian
17 Oct 14 12:55:21
Algorithmic trading: OPEN Oct/17 SELL: $RADA $PSX $PWR $MHFI $BP $ADM $NVS
Shiraz Lakhi
17 Oct 14 12:05:27
Final Hr: ENERGY #stocks trading UP On STRONG 150%+ Avg-Volume: $SLB $HAL $PSX $CNQ $ETE ... (click "View") http://t.co/ocu3isTgQf
Stock Signaling
17 Oct 14 09:02:09
Movers and Shakers: Making Range Advances: $PSX $WMB $BHI $BRCD $STI $XLNX $HLT $CCL $X $UNH $ALTR $ESI $NBR $QLGC $SLCA #markets #trading
Wall Street Daily
17 Oct 14 08:58:01
Changing Gas Sources Present Rare Opportunity http://t.co/C1xptn9AFu $PSX $SRE http://t.co/L0smRdlzCs
Ticker Report
17 Oct 14 05:13:40
Phillips 66 Earns “A” Credit Rating $PSX http://t.co/ynBL8VsRvB
				
				
By  +Follow July 31, 2013 1:27PM
Share:

Comments

 

blog comments powered by Disqus

About us

Equities.com is the most advanced interactive online social ecosystem for the financial industry, serving as a resource center and next-generation communication platform that connects self-directed investors with public issuers, market experts, and professional service providers and vendors. Registered members can leverage our exclusive proprietary research tools such as the Small-Cap Stars, which outperformed 90% of all small-cap mutual funds, and robust do-it-yourself E.V.A. research reports. The Equities.com Issuer Dashboard is the ideal tool to communicate and manage investor awareness campaigns to the investment community, as well as to access valuable resources to help your company grow.

Market Data powered by QuoteMedia.
Copyright © QuoteMedia. Data delayed 15 minutes unless otherwise indicated. Terms of Use.