PBF Energy (PBF) Q1 2026 earnings summary

Executive summary

• Martinez refinery restart is nearly complete, with all major units expected online imminently, positioning the company to supply the California market at a critical time amid global disruptions; $106.5 million insurance installment received, totaling $1.0 billion in reimbursements to date.

• Net income for Q1 2026 was $200.2 million ($1.65/share), reversing a net loss of $405.9 million ($-3.53/share) in Q1 2025, driven by higher refining margins, increased throughput, and insurance recoveries related to the Martinez refinery fire.

• The company achieved its 2025 target of $230 million in annualized run rate savings from its Refining Business Improvement (RBI) program, with further savings expected by year-end 2026.

• Operations outside the West Coast ran well despite record cold, while Torrance completed a turnaround, providing a clean operational runway for the rest of 2026.

• Geopolitical conflicts and regulatory changes contributed to increased volatility and higher compliance costs.

Financial highlights

• Revenues for Q1 2026 were $7.9 billion, up 11.3% year-over-year, reflecting higher commodity prices and volumes sold.

• Adjusted net loss of $0.88 per share and Adjusted EBITDA of $68.7 million for Q1 2026, excluding special items; EBITDA excluding special items was $51.4 million.

• Gross refining margin increased to $1,036.9 million ($13.65/bbl) from $391.7 million ($5.96/bbl) year-over-year.

• Special items included $11.5 million in incremental OpEx from the Martinez incident, a $106.5 million insurance gain, a $313 million LCM inventory adjustment, and $9.4 million in RBI-related charges.

• Cash and cash equivalents at quarter-end were $541.8 million; net debt was approximately $2.3 billion.

Outlook and guidance

• Expectation for strong refining fundamentals and favorable margins due to tight global product inventories and ongoing Middle East disruptions.

• RBI program delivered over $230 million in run-rate cost improvements in 2025, expected to exceed $350 million by year-end 2026.

• Q2 2026 throughput guidance: 850,000–910,000 barrels/day across all regions.

• Capital spending for 2026 (excluding Martinez rebuild) is expected to be $885–$925 million.

• Capital allocation will prioritize deleveraging and maintaining a conservative balance sheet, with shareholder returns considered as conditions allow.