Earnings
Marathon Petroleum Reports $7.4 Billion Quarterly Profit, Agrees $4.2 Billion Sale of Two Northern Refineries
The refiner posted adjusted EBITDA of $11.7 billion and said it will redeploy sale proceeds mainly on the Gulf Coast.
HedgeWeekly News Desk ·
Marathon Petroleum reported third-quarter net income attributable to the company of $7.4 billion, or $26.59 a diluted share, in a release dated November 3. A year earlier it earned $1.4 billion, or $4.51 a share. Adjusted net income was $7.5 billion, or $26.93 a share, against $915 million, or $3.01, in the third quarter of 2025.
Adjusted EBITDA came to $11.7 billion. Marathon said its refineries ran at 100% of crude capacity, processing about 3.15 million barrels a day, and that it returned $3.3 billion to shareholders in the quarter. The only adjustment the company listed for the period was a $123 million charge for tax and legal settlements.
In the same release, Marathon announced it will sell its St. Paul Park refinery in Minnesota and its Mandan refinery in North Dakota, together with related midstream assets, for $4.2 billion. Marathon will receive $3.45 billion and plans to reinvest it, mainly on the Gulf Coast. Its midstream partner MPLX will receive $750 million, which the company put at nine times forecast 2027 adjusted EBITDA of the logistics assets. The deal is due to close at the end of 2026, and the release does not name the buyer.
For investors, the filing sets out two things to track. The first is how much of this quarter's roughly eightfold rise in profit the market treats as lasting, since the release gives no full-year outlook. The second is where the $3.45 billion goes: Marathon's stated plan to favour Gulf Coast projects, plus the unnamed buyer and closing conditions, will show whether the sale is a pruning of its network or the start of a wider portfolio reshuffle.