Par Pacific Holdings, Inc. Q2 2026 Earnings Recap

Shares dropped 16.9% as investors reacted negatively to the clear deceleration in Hawaii refinery throughput due to an extended turnaround, coupled with disappointing margin capture normalized for price lag and cautious third-quarter throughput guidance.

Key Takeaways

• Hawaii refinery throughput fell below plan, with June throughput at just 3,000 barrels per day ahead of the plant-wide turnaround starting late June and extending into early August.
• Normalized Hawaii margin capture was 99%, below the overall strong segment average, indicating margin compression once price lag effects are excluded.
• Mainland refineries delivered solid throughput rates and margin capture, including a record quarterly production in Washington (41.2k bpd at $4.21/boe) and strong Montana capture (144%) supported by favorable product mix and inventory draws.
• System-wide adjusted EBITDA rose sharply to $571 million in Q2, driven by elevated market conditions, but investors questioned sustainability given operational disruptions and elevated production costs in Wyoming and Hawaii.
• Guidance for Q3 throughput has built-in conservatism, reflecting ongoing turnaround impact in Hawaii and maintenance downtime in Montana, signaling deceleration ahead and pressuring near-term earnings visibility.