Marathon Petroleum Corporation (NYSE:MPC) saw its shares scalded Wednesday, after reporting a first-quarter loss.
The oil giant out of Findlay, Ohio reported a first-quarter 2019 loss of $7 million, or $(0.01) per diluted share. First-quarter 2019 earnings included a net benefit of $0.08 per diluted share related to a non-cash gain which was partially offset by transaction-related costs and prior period tax adjustments. This compares with income of $37 million, or $0.08 per diluted share, in the first quarter of 2018.
Said CEO Gary R. Heminger, "Despite challenging refining market conditions, the stability of our Midstream and Retail segments helped our integrated business generate over $1.6 billion of operating cash flow during the quarter.
"Throughout the quarter refining fundamentals improved, gasoline and distillate inventories re-balanced, and the April blended crack spread of $18.80 is more than double the first-quarter average. We expect positive dynamics across all three of our business segments to support growing cash flows throughout the remainder of 2019."
The company also expressed in Wednesday’s news release that it remains committed to returning at least 50% of discretionary free cash flow to investors over the long term. MPC returned $1.2 billion in capital to shareholders during the first quarter of 2019, including $885 million in share repurchases.
Moreover, MPLX LP (NYSE: MPLX) today announced that it has entered into a definitive merger agreement whereby MPLX will acquire Andeavor Logistics LP (NYSE: ANDX) in a unit-for-unit exchange.
Shares in Marathon tailed off $3.28, or 5.5%, to $56.15.
