Phillips 66 (PSX) Q3 2026 Earnings
Q3 2026 included a pre-tax $29 million impairment in the Refining segment. GAAP and adjusted EPS were identical at $14.08 as the after-tax impact of the impairment was offset by other small tax adjustments.
How Did PSX Stock React to Q3 2026 Earnings?
Did PSX Beat Earnings? Q3 2026 Results
Yes. Phillips 66 reported Q3 2026 earnings of $14.08 a share on Oct 28, 2026, beating the $11.79 consensus estimate by 19.4%. Revenue was $51.5B against a $43.2B estimate.
Phillips 66 delivered a blowout third quarter for fiscal 2026, posting adjusted earnings of $14.08 per share against a consensus estimate of $11.79, a beat of 19.39% that extended the company's streak of topping Wall Street expectations to five consecutive quarters. Revenue surged 47.3% year over year to $51.51 billion, clearing the $43.23 billion consensus by 19.15%. The driving force behind the quarter was a dramatic turnaround in the Refining segment, which swung from a $518 million pre-tax loss a year ago to $6.03 billion in pre-tax income, powered by realized margins of $38.00 per barrel compared to just $12.48 in Q3 2025 and 98% crude capacity utilization, with the full consolidation of WRB Refining following last October's acquisition adding meaningful scale. Despite recent sector-wide pressure tied to easing geopolitical tensions and moderating crack spreads, the results underscore the strength of Phillips 66's flexible crude slate. Looking ahead, the company anticipates initial volumes from its Coastal Bend NGL expansion in Q4 2026 and targets returning more than 50% of net operating cash flow to shareholders.
- Refining realized margin increased to $38.00/BBL from $24.08/BBL sequentially and $12.48/BBL year-over-year driven by higher market crack spreads
- Refining crude capacity utilization of 98% with record Central Corridor processed inputs of 848 MBD
- Record third-quarter distillate yield of 41% and clean product yield of 86%
- Midstream fractionation volumes of 1 MMBD and wellhead volumes of 4.6 Bcf/D
- Freeport LPG export dock operated at 105% utilization
- Greater than $50 million of near-term synergies from WRB Refining acquisition
- Chemicals 92% global O&P capacity utilization
- Atlantic Basin/Europe realized refining margins of $33.34/BBL on 53,422 MB processed inputs
- Gulf Coast realized refining margins of $38.83/BBL on 54,708 MB processed inputs
- Central Corridor realized refining margins of $40.70/BBL on 78,044 MB processed inputs
- West Coast realized refining margins of $37.30/BBL on 9,914 MB processed inputs
- Refining adjusted controllable costs excluding turnaround expense of $5.92/BBL, down from $6.07/BBL in Q3 2025
- Cash flow from operations excluding working capital of $6,185 million in Q3 2026 vs $1,920 million in Q3 2025
- Returns to shareholders at 45% of cash flow from operations excluding working capital in Q3 2026
“Phillips 66 delivered strong operating performance in the third quarter and is executing on its financial and operating commitments. Our integrated portfolio, commercial capabilities and focus on continuous improvement enable the company to create value for stakeholders.”
Phillips 66 CEO, on the earnings call
What Is Phillips 66's Outlook?
Phillips 66 expects initial volumes from the Coastal Bend NGL expansion project in Q4 2026 with full ramp-up to 350 MBD in early 2027. CPChem's Golden Triangle Polymers Project and Ras Laffan Polymers Project are expected to reach full operations in 2027. The Western Gateway Pipeline system has an expected in-service date in 2029. The company targets returning more than 50% of net operating cash flow to shareholders and delivering sustainable dividend growth across commodity cycles.
PSX YoY Financials
| Metric | Q3 2026 | Q3 2025 | Year over year |
|---|---|---|---|
| Revenue | $51.5B | $35.0B | +47.3% |
| Operating Income | $7.1B | $199.0M | +3,471.9% |
| Net Income | $5.6B | $133.0M | +4,122.6% |
When Does Phillips 66 Report Next?
Figures from SEC filings and company reports. Not investment advice.