Early Access

10-QPeriod: Q2 FY2025

Marathon Petroleum Corp Quarterly Report for Q2 Ended Jun 30, 2025

Filed August 5, 2025For Securities:MPC

Summary

Marathon Petroleum Corporation (MPC) reported a decrease in net income attributable to MPC for both the second quarter and the first six months of 2025 compared to the prior year periods. This decline was primarily driven by lower sales and other operating revenues, a significant factor being reduced average refined product sales prices in the Refining & Marketing segment. While refining margins showed stability in the second quarter, overall revenues were impacted by these pricing pressures and a decrease in income from equity method investments, notably due to the absence of a gain on sale of assets recognized in the prior year. Despite the headwinds in the Refining & Marketing segment, MPC's Midstream segment demonstrated strong performance and continued growth, benefiting from increased demand for natural gas and LNG exports. Strategic acquisitions in the midstream space, including the Whiptail Midstream acquisition in March 2025, are bolstering this segment. The company also saw an increase in Renewable Diesel segment revenues due to higher sales volumes, although overall profitability in this segment remained challenged by product margins, partly offset by higher environmental credits.

Financial Statements
Beta
Revenue$33.80B
Cost of Revenue$30.02B
Gross Profit$3.77B
SG&A Expenses$867.00M
Operating Expenses$31.90B
Operating Income$2.20B
Interest Expense$359.00M
Net Income$1.22B
EPS (Basic)$3.96
EPS (Diluted)$3.96
Shares Outstanding (Basic)307.00M
Shares Outstanding (Diluted)307.00M

Key Highlights

  • 1Net income attributable to MPC decreased by $299 million in Q2 2025 and $1.31 billion in the first six months of 2025 compared to the prior year periods, primarily due to lower sales and operating revenues.
  • 2Sales and other operating revenues declined by $4.12 billion in Q2 2025 and $5.30 billion in the first six months of 2025, largely driven by lower refined product sales prices in the Refining & Marketing segment.
  • 3The Midstream segment showed strong performance, with segment adjusted EBITDA increasing by $21 million in Q2 2025 and $152 million in the first six months of 2025, driven by higher rates, throughputs, and recent acquisitions.
  • 4Renewable Diesel segment revenues increased by $134 million in Q2 2025 and $243 million in the first six months of 2025, mainly due to higher sales volumes, though segment adjusted EBITDA remained negative.
  • 5MPC's cash and cash equivalents decreased to $1.67 billion as of June 30, 2025, from $3.21 billion as of December 31, 2024.
  • 6The company repurchased a significant amount of its stock, with $1.75 billion used in the first six months of 2025, compared to $5.11 billion in the same period of 2024, indicating a reduced pace of buybacks.
  • 7MPLX, MPC's midstream master limited partnership, announced significant strategic acquisitions: Northwind Midstream for $2.375 billion and the remaining 55% interest in BANGL, LLC for approximately $700 million plus an earnout.

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