Valero Energy Q3 revenue, adj EPS beat after near-record refinery utilization rates

By Reuters News


Overview

  • US petroleum refiner's Q3 revenue and adjusted EPS both beat analyst expectations

  • Company credited near-record refinery utilization and higher-value product output for results


Outlook

  • Valero did not provide specific financial guidance for the current quarter or full year in the press release


Result Drivers

  • NEAR-RECORD UTILIZATION - Co said refineries operated at near-record utilization rates, providing reliable supply of transportation fuels

  • HIGHER-VALUE PRODUCT OUTPUT - Completion of St. Charles FCC Unit optimization project increased production capacity of higher-value products, including alkylate and gasoline

  • RENEWABLE DIESEL TURNAROUND - Renewable Diesel segment swung to operating income of $353 mln from loss a year ago, supported by higher sales volumes


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Beat

$46.10 bln

$38.85 bln (9 Analysts)

Q3 Adjusted EPS

Beat

$23.90

$21.07 (17 Analysts)


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 10 "strong buy" or "buy", 10 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the oil & gas refining and marketing peer group is "buy."

  • Wall Street's median 12-month price target for Valero Energy Corp is $435.00, about 0.4% above its October 21 closing price of $436.75

  • The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 three months ago


Reuters Recommended Reads

  • Oct 20 - Halliburton Q3 revenue, profit beat estimates on higher drilling services

  • Oct 20 - US coaxing refiners to produce more diesel as prices surge, energy officials say

  • Oct 21 - US aims to loan about a third of heating oil reserve in bid to tame prices


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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