Phillips 66 (PSX) investor relations material

Executive summary

• Reported Q3 2025 net income of $133 million, with adjusted earnings of $1.0 billion ($2.52/share), impacted by a $948 million WRB impairment and accelerated depreciation at the Los Angeles Refinery.

• Achieved record refining utilization (99%) and clean product yield (86–87%), with strong operational performance across midstream, marketing, and chemicals segments.

• Completed acquisition of the remaining 50% interest in WRB Refining LP, gaining full ownership of Wood River and Borger refineries.

• Ceased crude oil processing at the Los Angeles Refinery, with full idling expected by year-end and associated environmental and retirement costs.

• Continued focus on operational excellence, cost efficiency, portfolio optimization, and shareholder returns.

Financial highlights

• Q3 2025 adjusted earnings were $1.0 billion ($2.52/share); reported earnings were $133 million ($0.32/share).

• Operating cash flow was $1.2 billion ($1.9 billion excluding working capital); cash and equivalents stood at $2.0 billion at quarter-end.

• Returned $751 million to shareholders, including $267 million in share repurchases and $484 million in dividends.

• Capital expenditures and investments totaled $541 million in Q3.

• Debt-to-capital ratio was 44% at quarter-end; net debt-to-capital ratio remained at 41%.

Outlook and guidance

• 4Q 2025 guidance: Global O&P utilization in chemicals mid-90%, refining crude utilization low to mid-90%.

• Turnaround expense guidance for Q4 is $125–$145 million; Corporate & Other costs at $340–$360 million.

• Targeting adjusted controllable cost per barrel of ~$5.50 annually by 2027 and returning over 50% of net cash flow from operations to shareholders.

• Committed to reducing debt to $17 billion by end of 2027, with $1.5–$2 billion per year available for debt reduction in 2026–2027.

• Progressing major capital projects, including Golden Triangle Polymers (Texas) and Ras Laffan Polymers (Qatar), and divestment of majority interest in Germany and Austria retail marketing.