Phillips 66 Q3 2026 Earnings Recap

Phillips 66 reported $14.08 per share and strong operating volumes, while the stock rose a more measured 1.9% after earnings. The quarter featured substantial cash returns and lower debt, alongside fourth-quarter utilization expectations in the mid-90s for refining and mid-80s for chemicals.

Key Takeaways

• Reported and adjusted earnings were $5.6 billion, or $14.08 per share; operating cash flow was $7.3 billion, including a $1.1 billion working-capital benefit.
• Refining utilization was 98%, with a third-quarter record distillate yield of 41%; midstream fractionation volumes exceeded 1 million barrels per day.
• The company returned $2.8 billion to shareholders and reduced debt by $2 billion; net debt to capital fell to 26%, reaching its 2027 target ahead of schedule.
• Fourth-quarter outlook calls for worldwide crude utilization in the mid-90s and global olefins and polymers utilization in the mid-80s; turnaround expense is expected at $140–$170 million.
• Management targets mid-single-digit adjusted EBITDA growth through the decade from midstream projects; CPChem’s Golden Triangle and Ras Laffan projects remain on track for full operations in 2027.