Refining Giant Valero Tops Q4 Estimates Despite Earnings Slump

Refining Giant Valero Tops Q4 Estimates Despite Earnings Slump | OilPrice.com

`;
document.write(write_html);
}

Breaking News:

ByCharles Kennedy– Jan 30, 2025, 9:30 AM CST
refiner

image

Valero Energy Corporation (NYSE: VLO) booked higher-than-expected earnings for the fourth quarter despite a widely anticipated slump in profits for the last quarter of 2024 and the full year.

Resilient refining throughput and increased earnings in the renewable diesel division helped Valero post an earnings beat for Q4, even as its adjusted earnings per share plunged to $0.64 from $3.57 EPS for the same period of 2023.

‘;
document.write(write_html);
}

The analyst consensus estimate for Q4 2024 was for earnings per share of just $0.07, according to estimates compiled by The Wall Street Journal.

For the full year 2024, Valero’s adjusted net income came in at $2.7 billion, or $8.48 per share, significantly down compared to $8.9 billion, or $24.96 per share, in 2023.

The lower earnings were expected by industry analysts as refining margins began to decline toward the end of 2023 and remained depressed throughout 2024.

Following record refining margins and booming profits in 2022 and early 2023, the U.S. and global fuel markets started to normalize in the latter half of 2023 and refining margins began to ease from the record highs seen in the immediate aftermath of the Russian invasion of Ukraine.

Refining margins for U.S. refiners slumped to multi-year lows amid tepid fuel demand and increased global fuel supply.

The refining industry is witnessing the end of the supercycle of huge profits and record margins that began with the post-pandemic surge in demand and the war- and sanctions-related supply disruptions.

Valero’s adjusted refining margin per barrel of throughput plummeted to $1.60 in the fourth quarter of 2024, from $5.72 for the same period of the prior year.

Full-year 2024 adjusted refining margin per barrel of throughput fell nearly three times, to $3.74, from $10.60 for 2023.

Still, Valero managed to beat consensus estimates for Q4 2024 as its renewable diesel division saw operating income double to $170 million from a year earlier, and total throughput volumes remained steady at 2.995 million barrels per day (bpd).  

By Charles Kennedy for Oilprice.com

More Top Reads From Oilprice.com

Join the discussion | Back to homepage

`;
document.write(write_html);
}



GOOGLE+
LINKEDIN
REDDIT
PRINT

`;
document.write(write_html);
}

EXXON Mobil
-0.35

Open57.81
Trading Vol.6.96M
Previous Vol.241.7B

BUY 57.15

Sell 57.00

 

  • Related Posts

    Global Warming May Be Reducing Wind Speeds in Europe

    Global Warming May Be Reducing Wind Speeds in Europe | OilPrice.com `; document.write(write_html); } Breaking News: ByCharles Kennedy– Feb 17, 2025, 11:30 AM CST Global warming makes Europe’s summers less…

    India’s Top Power Firm to Invest $62 Billion in Nuclear Capacity

    ByCharles Kennedy– Feb 17, 2025, 9:00 AM CST NTPC, the state power firm and largest electricity producer in India plans to invest over the next two decades $62 billion in…

    Have You Seen?

    India’s Top Power Firm to Invest $62 Billion in Nuclear Capacity

    • February 17, 2025
    India’s Top Power Firm to Invest $62 Billion in Nuclear Capacity

    Global Warming May Be Reducing Wind Speeds in Europe

    • February 17, 2025
    Global Warming May Be Reducing Wind Speeds in Europe

    Trinasolar Receives World’s First UL 61730 2000V Certification for 210R Modules

    • February 17, 2025
    Trinasolar Receives World’s First UL 61730 2000V Certification for 210R Modules

    Soros to Slim Families Are Plowing Money Into US Shale Oil as Private Equity Retreats

    • February 17, 2025
    Soros to Slim Families Are Plowing Money Into US Shale Oil as Private Equity Retreats

    The West Faces Uranium Shortage Amid Competition From China and Russia

    • February 17, 2025
    The West Faces Uranium Shortage Amid Competition From China and Russia

    Kurdistan Set to Resume Oil Exports in March

    • February 17, 2025
    Kurdistan Set to Resume Oil Exports in March

    Russia Claims OPEC+ Has Not Discussed Delaying Its Oil Supply Increase

    • February 17, 2025
    Russia Claims OPEC+ Has Not Discussed Delaying Its Oil Supply Increase

    Chevron Vice Chairman Confirms Job Cuts

    • February 17, 2025
    Chevron Vice Chairman Confirms Job Cuts

    Masdar, TotalEnergies and EPointZero Sign Framework for Action to Drive Clean Energy Access in Africa and Asia

    • February 17, 2025

    LONGi and Erco Energía Win “Outstanding Project Award 2024” for Pioneering Solar Innovation in Colombia

    • February 17, 2025
    LONGi and Erco Energía Win “Outstanding Project Award 2024” for Pioneering Solar Innovation in Colombia