Marathon Petroleum posts adjusted loss after announcing Speedway sale
Reuters
Published Aug 03, 2020 09:24
(Reuters) - U.S. oil refiner Marathon Petroleum Corp (NYSE:MPC) posted a smaller-than-expected quarterly loss on Monday, hours after it announced the sale of its Speedway gas stations to Japan's Seven & I (T:3382) for $21 billion, which is expected to ease the refiner's debt burden.
Shares of the company were up 7.5% premarket.
The Speedway sale, agreed at a price just a billion below what Seven & I reportedly rejected in March, is one of the biggest this year and may also ease shareholders' pressure on Marathon's management to improve its balance sheet.
Marathon Petroleum posted an adjusted net loss of $868 million for the three months ended June 30, compared with an adjusted net income of $1.15 billion, a year earlier.
Excluding items, the refiner posted a loss of $1.33 per share, much smaller than analysts' average estimate of a loss of $1.75.
The refiner said it will idle its Gallup and Martinez refineries indefinitely as coronavirus-led lockdown measures dampened demand for its products.
The Findlay, Ohio based refiner's total revenue and other income of $15.20 billion missed estimates of $18.89 billion.
Get The App
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.