Marathon Petroleum ( (MPC) ) has released its Q4 earnings. Here is a breakdown of the information Marathon Petroleum presented to its investors.
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Marathon Petroleum Corporation (MPC) is a leading integrated downstream energy company in the United States, operating the nation’s largest refining system and a wide network of branded retail locations. It also holds a significant interest in MPLX LP, a midstream company focused on gathering, processing, and transportation of energy products.
In its latest earnings report, Marathon Petroleum announced a fourth-quarter net income of $371 million, or $1.15 per diluted share, a significant drop from the previous year’s $1.5 billion. The company returned $10.2 billion to shareholders through share repurchases and dividends in 2024, showcasing its strong cash flow generation amidst challenging market conditions.
Key financial highlights include an adjusted EBITDA of $2.1 billion for the fourth quarter, primarily driven by the company’s Midstream segment which posted a growth in adjusted EBITDA due to higher rates and volumes. However, the Refining & Marketing segment saw a decline in performance due to lower market crack spreads. The newly established Renewable Diesel segment contributed positively with an adjusted EBITDA of $28 million, indicating progress in the company’s renewable energy initiatives.
Looking forward, Marathon Petroleum is focusing on a strategic capital spending plan of $1.25 billion for 2025, with a significant portion aimed at value-enhancing projects. The company expects MPLX distributions to cover its dividends and capital outlook, reinforcing its commitment to capital returns. Marathon Petroleum’s management remains optimistic about maintaining operational excellence and enhancing profitability in the coming year.
