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PBF Energy Q2 Loss Narrower Than Expected, Revenues Decline Y/Y

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Key Takeaways

  • PBF Energy reported a Q2 adjusted loss of $1.03 per share, beating expectations but widening year over year.
  • Quarterly revenues dropped to $7.48B from $8.74B last year but surpassed the $6.79B estimate.
  • Company-wide refining margin rose to $8.38 per barrel, exceeding both prior-year and estimated levels.

PBF Energy Inc. (PBF - Free Report) reported a second-quarter 2025 adjusted loss of $1.03 per share, narrower than the Zacks Consensus Estimate of a loss of $1.19. The bottom line deteriorated from the year-ago quarter’s loss of 56 cents per share.

Total quarterly revenues declined to $7.48 billion from $8.74 billion in the prior-year quarter. However, the top line beat the Zacks Consensus Estimate of $6.79 billion.

Better-than-expected quarterly results were driven by reduced costs and expenses. The positives were partially offset by lower throughput volumes.

PBF Energy Inc. Price, Consensus and EPS Surprise

PBF Energy Inc. Price, Consensus and EPS Surprise

PBF Energy Inc. price-consensus-eps-surprise-chart | PBF Energy Inc. Quote

Segmental Performance

PBF Energy reported an operating loss of $400.4 million in the Refining segment against an operating income of $107.7 million a year ago. The figure lagged our estimate of an operating income of $205.8 million.

The company generated a profit of $107.7 million from the Logistics segment, reflecting growth from the prior-year quarter’s reported figure of $96.1 million. The figure surpassed our estimate of $53.6 million.

Throughput Analysis

Volumes

In the quarter under review, crude oil and feedstock throughput volumes totaled 839.1 thousand barrels per day (bpd), lower than the year-ago figure of 921.3 thousand bpd. The figure was above our estimate of 836.4 thousand bpd.

The East Coast, Mid-Continent, Gulf Coast and West Coast regions accounted for 35.7%, 19.3%, 20.7% and 24.3%, respectively, of the total oil and feedstock throughput volume.

Margins

The company-wide gross refining margin per barrel of throughput, excluding special items, was $8.38, higher than the year-earlier figure of $8.12. The figure beat our estimate of $7.74.

The gross refining margin per barrel of throughput was $7.37 for the East Coast, up from $2.52 in the year-ago quarter. The realized refining margin was $7.35 per barrel for the Gulf Coast, down from $8.66 a year ago. The metric was $10.14 and $9.35 per barrel in the Mid-Continent and West Coast, respectively, compared with $9.50 and $13.21 a year ago.

Costs & Expenses

Total costs and expenses in the reported quarter were $7.43 billion, down from $8.8 billion in the year-ago period. Our estimate for the same was pinned at $7.37 billion.

Cost of sales, including operating expenses, cost of products and others, and depreciation and amortization expenses, amounted to $7.53 billion, lower than $8.73 billion a year ago.

Capital Expenditure & Balance Sheet

PBF Energy spent $144.5 million in capital on refining operations and $8.2 million on logistics businesses.

At the end of the second quarter, it had cash and cash equivalents of $591 million. As of June 30, PBF had a total debt of $2.4 billion, resulting in a total debt-to-capitalization of 30.2%.

Outlook

For the third quarter of 2025, PBF Energy anticipates throughput volumes on the East Coast to be between 320,000 bpd and 340,000 bpd. In the Mid-continent region, the figure is estimated to be between 150,000 bpd and 160,000 bpd. The Gulf Coast is anticipated to report throughput of 175,000-185,000 bpd, while the West Coast is expected to deliver between 220,000 bpd and 230,000 bpd.

PBF’s Zacks Rank & Stocks to Consider

Currently, PBF Energy carries a Zacks Rank #3 (Hold).

Investors interested in the energy sector may look at some better-ranked stocks like Antero Midstream Corporation (AM - Free Report) , Viper Energy, Inc. (VNOM - Free Report) and Enbridge Inc. (ENB - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Antero Midstream generates stable cash flow by providing midstream services under long-term contracts with Antero Resources. The company prioritizes debt reduction by effectively utilizing free cash flow after dividends. Antero Midstream’s higher dividend yield compared to its sub-industry peers reflects its commitment to generating shareholder returns.

AM’s earnings beat estimates in one of the trailing four quarters, met once and missed in the other two, delivering an average negative surprise of 5.50%.

Viper Energy generates strong, steady royalty income from its royalty acres in the prolific Permian Basin, with active rigs providing ample growth potential. The company boasts a lower debt-to-capitalization ratio than the composite stocks in the energy sector, indicating a healthier financial position.

VNOM’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 20.41%.

Enbridge is a major energy company that owns the longest and most complex oil and gas pipeline system in North America, transporting about 20% of the natural gas used in the United States. The business earns steady fees through long-term contracts, protecting it against big oil price swings or changes in shipment. 

ENB’s earnings beat estimates in two of the trailing four quarters, met once and missed in the other, delivering an average surprise of 0.28%.

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