01—Abstract
Summary
Summary of the 10-Q filed October 28, 2026. Cited figures are marked; the original filing is the authoritative source.
HF Sinclair Corporation reported a sharply stronger third quarter of 2026, with net income attributable to HF Sinclair stockholders of $2,015 milliona ($11.38 per diluted share), compared with $403 million ($2.15 per share) in the third quarter of 2025.
Sales and other revenues rose to $10,857 millionb from $7,251 million, and income from operations increased to $2,672 million from $564 million. The Refining segment drove the improvement, with adjusted refinery gross margin per produced barrel sold of $54.22, up from $19.16, reflecting higher crack spreads and small refinery RINs waivers granted by the EPA. For the nine months, net income attributable to HF Sinclair stockholders was $3,555 million ($19.75 per share), versus $607 million a year earlier.
The filing also notes a $672 millionc lower of cost or market inventory valuation benefit for the nine months, versus a $97 million charge in the prior-year period. The company announced plans in July 2026 to separate its Lubricants & Specialties segment through a distribution of at least 80.1% of the new company's stock, substantially completed over 2027, and decided to retire its Mississauga, Ontario base oil refinery, with related costs of $109 million recorded in the third quarter. It also entered a joint venture to form the proposed Western Gateway Pipeline, in which it will hold a 15.0% interest.
Cash and cash equivalents rose to $3,333 milliond at September 30, 2026, from $978 million at year-end 2025, and liquidity was approximately $5.3 billion. During the nine months, the company repurchased shares for $741 million under its share repurchase programs, and the Board approved a new $1.5 billion program in August 2026, with $1.2 billion remaining at quarter end.
The filing also discloses ongoing litigation over EPA small refinery exemption decisions, which the company says it is unable to estimate the impact of. On October 28, 2026, the Board declared a regular quarterly dividend of $0.525 per share, payable December 2, 2026.
02—Key points
Key Highlights
- Net income attributable to HF Sinclair stockholders was $2,015 million ($11.38 per diluted share) for the three months ended September 30, 2026, versus $403 million ($2.15 per share) a year earlier.
- Adjusted refinery gross margin per produced barrel sold was $54.22 for the third quarter of 2026, up from $19.16, driven by improved crack spreads and small refinery RINs waivers granted by the EPA.
- Lubricants & Specialties planned separation: a distribution of at least 80.1% of the new company's stock, expected to be substantially completed over 2027.
- Mississauga Asset Retirement: total costs of $109 million recorded in the third quarter, including $54 million of accelerated depreciation, $28 million of severance and $27 million of asset impairments; asset retirement obligations increased by $140 million.
- Cash and cash equivalents of $3,333 million at September 30, 2026, with liquidity of approximately $5.3 billion including $2.0 billion available under the HF Sinclair Credit Agreement.
- Share repurchases of $741 million for the nine months; the Board approved a new $1.5 billion program on August 26, 2026, with $1.2 billion remaining at quarter end.
- Quarterly dividend of $0.525 per share declared October 28, 2026, payable December 2, 2026.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2026filed October 28, 2026Financial Statements
Q3 FY2026 against Q3 FY2025
| Line item | Q3 FY2026Q3 FY2025 | Change |
|---|---|---|
| Revenue | $10.86B$7.25B | +49.7% |
| SG&A Expenses | $146.00M$105.00M | +39.0% |
| Operating Income | $2.67B$564.00M | +373.8% |
| Net Income | $2.02B$403.00M | +400.0% |
| EPS (Basic) | $11.38$2.15 | +429.3% |
| EPS (Diluted) | $11.38$2.15 | +429.3% |
| Shares Outstanding (Basic) | 175.87M186.50M | −5.7% |
| Shares Outstanding (Diluted) | 175.87M186.50M | −5.7% |
05—Questions
Frequently Asked Questions
How much did HF Sinclair's profitability improve in the third quarter of 2026?
Net income attributable to HF Sinclair stockholders was $2,015 million, or $11.38 per diluted share, compared with $403 million, or $2.15 per share, in the third quarter of 2025. Income from operations rose to $2,672 million from $564 million, principally driven by higher adjusted refinery gross margins in the West and Mid-Continent regions.
What is the Lubricants & Specialties planned separation?
Announced in July 2026, the company plans to separate its Lubricants & Specialties segment through the capital markets, creating a new independent, publicly traded company. The separation is expected to take the form of a distribution of at least 80.1% of the new company's stock and to be substantially completed over the course of 2027. Costs related to the planned separation were $3 million for the three and nine months ended September 30, 2026.
What are the main risks flagged in the filing?
The filing discloses ongoing litigation over EPA small refinery exemption decisions in the D.C. Circuit and the Tenth Circuit, and the company states it is unable to estimate the impact at this time. The company also notes the Puget Sound refinery matter with government agencies regarding Clean Air Act compliance, with no penalties demanded to date. Risk factors are referenced as unchanged from the 2025 Form 10-K, supplemented by the June 30, 2026 Form 10-Q.
How did the company return capital to shareholders?
During the nine months ended September 30, 2026, the company paid $273 million in dividends and repurchased $734 million of common stock, including treasury stock purchases inclusive of excise tax. In August 2026 it bought 2,375,000 shares from REH Advisors Inc. for $212 million at $89.41 per share, and the Board approved a new $1.5 billion repurchase program with $1.2 billion remaining at September 30, 2026.
What new investments and capital plans did the company announce?
The company entered a joint venture in August 2026 to form the proposed Western Gateway Pipeline, a 1,300-mile refined products pipeline from St. Louis, Missouri, to Arizona and California, in which it will hold a 15.0% interest. It expects to invest up to $750 million, of which $20 million is expected in 2026. Total 2026 revised capital expenditures are $875 million, including $150 million of growth capital, and the company expects to reach a Final Investment Decision on Westline Connect in the first quarter of 2027.
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