Summary
Marathon Petroleum Corporation (MPC) reported a substantial increase in net income for 2011, reaching $2.39 billion ($6.67 per diluted share), a significant jump from $623 million ($1.74 per diluted share) in 2010. This strong performance was primarily driven by its Refining & Marketing segment, which saw its operating income surge to $3.59 billion from $800 million in the prior year. The company completed its spin-off from Marathon Oil on June 30, 2011, establishing itself as an independent, publicly traded entity. The financial statements reflect this change, with post-spinoff operations consolidated under MPC. Significant capital investments are underway, including the Detroit refinery heavy oil upgrading and expansion project, which was approximately 85% complete as of December 31, 2011, and is expected to significantly enhance its refining capabilities.
Financial Highlights
52 data points| Revenue | $78.64B |
| SG&A Expenses | $1.06B |
| Operating Expenses | $75.01B |
| Operating Income | $3.75B |
| Interest Expense | $164.00M |
| Net Income | $2.39B |
| EPS (Basic) | $3.35 |
| EPS (Diluted) | $3.33 |
| Shares Outstanding (Basic) | 712.00M |
| Shares Outstanding (Diluted) | 714.00M |
Key Highlights
- 1Net income dramatically increased to $2.39 billion in 2011 from $623 million in 2010, driven by a strong Refining & Marketing segment performance.
- 2The company completed its spin-off from Marathon Oil on June 30, 2011, becoming an independent, publicly traded entity (MPC).
- 3Refining & Marketing segment income from operations rose significantly to $3.59 billion in 2011, benefiting from wider crude oil differentials and improved crack spreads.
- 4The Detroit refinery heavy oil upgrading and expansion project was 85% complete as of year-end 2011, with an expected completion in Q3 2012.
- 5MPC maintained strong liquidity, with $3.08 billion in cash and cash equivalents and no borrowings outstanding under its revolving credit agreement or trade receivables securitization facility as of December 31, 2011.
- 6The company's debt-to-total capital ratio remained conservative at 26% at year-end 2011.
- 7Speedway segment saw a decrease in income from operations due to the sale of 166 convenience stores in December 2010, but plans for growth through new construction and acquisitions.