Marathon Petroleum Corp. — Third Quarter 2026 Earnings Summary

Financial Performance:

• Net income attributable to MPC was $7.4 billion ($26.59 per diluted share) for the third quarter of 2026, compared to $1.4 billion ($4.51 per diluted share) in the third quarter of 2025.
• Adjusted net income was $7.5 billion ($26.93 per diluted share) for the third quarter of 2026, compared to $915 million ($3.01 per diluted share) in the third quarter of 2025.
• Adjusted EBITDA was $11.7 billion for the third quarter of 2026, compared to $3.2 billion in the third quarter of 2025.
• Total revenues and other income were $56.5 billion for the three months ended September 30, 2026, compared to $35.8 billion in the same period of 2025.
• Refining & Marketing segment adjusted EBITDA was $9.9 billion for the third quarter of 2026, compared to $1.8 billion in 2025.
• Midstream segment adjusted EBITDA was $1.9 billion for the third quarter of 2026, compared to $1.7 billion in 2025.
• Renewable Diesel segment adjusted EBITDA was $254 million for the third quarter of 2026, compared to a loss of $56 million in 2025.
• Refining & Marketing margin was $45.70 per barrel in the third quarter of 2026, compared to $17.60 per barrel in 2025.
• Refining operating costs were $5.60 per barrel in the third quarter of 2026, compared to $5.59 per barrel in 2025.
• As of September 30, 2026, MPC held $13.6 billion in cash, cash equivalents, and short-term investments.
• Total consolidated debt was $33.0 billion as of September 30, 2026, with no borrowings outstanding under the $5 billion five-year bank revolving credit facility.
• The company returned $3.3 billion of capital to shareholders in the third quarter of 2026.

Guidance and Future Outlook:

• MPC announced a 10% increase in its quarterly dividend.
• MPLX increased its quarterly distribution by 12.5% for the third consecutive year, resulting in $3.1 billion of expected annual distributions to MPC.
• MPC's 2026 capital spending outlook (excluding MPLX) is $1.5 billion, with approximately 65% focused on value-enhancing investments and 35% on sustaining operations.
• Fourth Quarter 2026 outlook for the Refining & Marketing segment includes:
  • Refining operating costs per barrel: $5.60.
  • Distribution costs: $1,725 million.
  • Refining planned turnaround costs: $230 million.
  • Depreciation and amortization: $390 million.
  • Corporate expenses: $300 million (includes $60 million of D&A).
  • Total refinery throughputs: 3,080 mbpd (2,830 mbpd crude oil refined, 250 mbpd other charge and blendstocks).

Business Segments and Product Lines:

• Refining & Marketing: Crude capacity utilization was 100% in the third quarter of 2026, resulting in total throughput of 3.2 million barrels per day (bpd), compared to 95% utilization and lower throughput in 2025. Results were driven by higher market crack spreads in all regions.
• Midstream: Segment adjusted EBITDA growth was driven by increased rates and throughputs, increased income from equity affiliates, and growth from acquisitions, partially offset by the divestiture of non-core gathering and processing assets and higher operating expenses.
• Renewable Diesel: Results reflected a stronger margin environment, improved regulatory credit values, and higher throughputs.
• Strategic Investments: MPLX is investing $2.9 billion of organic growth capital, with over 90% allocated to natural gas and NGL infrastructure in the Permian and Marcellus basins.
• Completed Projects: Garyville Jet Flexibility, El Paso Yield Improvement, and Robinson Product Flexibility projects were completed in 2026.
• Upcoming Projects: Galveston Bay Distillate Hydrotreater, Garyville Feedstock Optimization, and Garyville Product Export Flexibility are expected to be in service by year-end 2027.

Market and Competitive Landscape:

• The company operates the nation's largest refining system.
• MPC's value chain capabilities are cited as a defining advantage for capturing opportunities to enhance margins across dynamic market conditions.
• MPLX investments are concentrated in the Permian and Marcellus basins, described as two of the most prolific and competitive basins in North America.

Risks and Challenges:

• Forward-looking statements are subject to risks including political or regulatory developments, changes in governmental policies regarding petroleum products or renewable fuels, and tax regulations.
• Volatility in economic, market, or industry conditions, including pandemics, natural hazards, regional conflicts, tariffs, inflation, and rising interest rates.
• Fluctuations in demand for refined products and renewable fuels, and availability and pricing of crude oil, natural gas, and NGLs.
• Risks related to the timing and amounts of free cash flow, success of ongoing projects, construction costs, and ability to obtain regulatory approvals.
• Potential impacts from windfall profit taxes, maximum refining margin penalties, minimum inventory requirements, and cap and invest programs.

Management Commentary and Tone:

• Chairman, President and CEO Maryann Mannen stated that value chain capabilities remain a defining advantage, with strong planning, commercial, and operational execution generating significant cash flows.
• Management highlighted the delivery of substantial returns to shareholders and the differentiated value proposition provided by MPLX's durable growth and increasing cash flow.
• The tone reflects confidence in the company's ability to execute high-return investments and advance strategic priorities.

Other Key Points:

• MPC announced the divestiture of the St. Paul Park and Mandan refineries, inclusive of related midstream assets, for $4.2 billion.
• MPC will receive $3.45 billion of the proceeds and intends to reinvest this capital primarily in the Gulf Coast.
• MPLX will receive $750 million of the proceeds, representing a 9x multiple on forecast 2027 adjusted EBITDA of the associated logistics assets.
• The transaction is expected to close at the end of 2026.
• On September 15, 2026, MPC redeemed all outstanding $749 million senior notes due December 2026.
• The Board of Directors approved an incremental $5 billion share repurchase authorization, bringing total available authorization to $8.1 billion as of September 30, 2026.
• As of September 30, 2026, the company had $3.1 billion remaining under its existing share repurchase authorizations prior to the new incremental authorization.