HF Sinclair Corp
For the period ended Jun 30, 2025. Filed Jul 31, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2025 · Filed Jul 31, 2025
DINO$97.18-0.6%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-03-31; filed 2025-05-01.
0001915657-25-000040
Management's Discussion and Analysis of Financial Condition and Results of OperationsOverviewCurrent report: 10-Q
Period ended 2025-06-30; filed 2025-07-31.
0001915657-25-000075
Managements Discussion and Analysis of Financial Condition and Results of OperationsOverviewThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 18 previous paragraphs and 20 current paragraphs.
6 unchanged; 11 reworded; 3 added; 1 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 0 previous and 0 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (3)
Current report
In the Renewables segment, we saw improved margins, partially driven by higher RINs prices in the second quarter of 2025. Additionally, in the second quarter of 2025, we began recognizing partial benefits from the Producer’s Tax Credit (“PTC”) and continue to work to pursue expansion of those benefits. For the third quarter of 2025, we expect to capture additional incremental value from the PTC.
Current report
On July 4, 2025, the President signed the One Big Beautiful Bill Act (“OBBBA”) into law. Among other things, OBBBA extends the Producer’s Tax Credit under Section 45Z through the end of 2029, indefinitely extends the first-year depreciation allowance on qualified property placed in service after January 19, 2025, and extends and enhances many of the provisions enacted under the 2017 Tax Cuts and Jobs Act. We are still analyzing the impacts of OBBBA.
Removed paragraphs (1)
Previous report
In the Renewables segment, while sales volumes declined, we saw improved RINs and Low Carbon Fuel Standard (“LCFS”) prices in the first quarter of 2025. Additionally, we did not recognize a benefit relating to the Producer’s Tax Credit (“PTC”) in the first quarter of 2025 due to uncertainty surrounding the implementation of the legislation. For the second quarter of 2025, we expect comparable RINs and LCFS prices to the current quarter and for our results to continue to be impacted by the uncertainty surrounding implementation of the PTC legislation.
Reworded paragraphs (11)
Previous wording
We use certain non-GAAP financial measures in our Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”). For a detailed description of each of the non-GAAP measures used in this MD&A, please refer to the discussion under Reconciliations to Amounts Reported Under GAAP. This item should be read in conjunction with our Consolidated Financial Statements and the notes thereto included in this interim report. In addition, this Item 2 should be read in conjunction with our consolidated financial statements and notes within our Annual Report on Form 10-K for the year ended December 31, 2024.
Current wording
We use certain non-GAAP financial measures in our Management’s Discussion and Analysis of Financial Condition and Results of Operations (“MD&A”). For a detailed description of each of the non-GAAP measures used in this MD&A, please refer to the discussion under Reconciliations to Amounts Reported Under GAAP. This Item 2 should be read in conjunction with our consolidated financial statements and the notes thereto included in this interim report. In addition, this Item 2 should be read in conjunction with our consolidated financial statements and notes within our Annual Report on Form 10-K for the year ended December 31, 2024.
Previous wording
We are an independent energy company that produces and markets high-value light products such as gasoline, diesel fuel, jet fuel, renewable diesel and lubricants and specialty products. We own and operate refineries located in Kansas, Oklahoma, New Mexico, Wyoming, Washington and Utah. We provide petroleum product and crude oil transportation, terminalling, storage and throughput services to our refineries and the petroleum industry. We market our refined products principally in the Southwest United States, the Rocky Mountains extending into the Pacific Northwest and in other neighboring Plains states, and we supply high-quality fuels to more than 1,600 branded stations and license the use of the Sinclair brand at more than 300 additional locations throughout the country. We produce renewable diesel at two of our facilities in Wyoming and our facility in New Mexico. In addition, our subsidiaries produce and market base oils and other specialized lubricants in the United States, Canada and the Netherlands, and export products to more than 80 countries.
Current wording
We are an independent energy company that produces and markets high-value light products such as gasoline, diesel fuel, jet fuel, renewable diesel and lubricants and specialty products. We own and operate refineries located in Kansas, Oklahoma, New Mexico, Wyoming, Washington and Utah. We provide petroleum product and crude oil transportation, terminalling, storage and throughput services to our refineries and the petroleum industry. We market our refined products principally in the Southwest United States, the Rocky Mountains extending into the Pacific Northwest and in other neighboring Plains states, and we supply high-quality fuels to more than 1,700 branded stations and license the use of the Sinclair brand to more than 300 additional locations throughout the country. We produce renewable diesel at two of our facilities in Wyoming and our facility in New Mexico. In addition, our subsidiaries produce and market base oils and other specialized lubricants in the United States, Canada and the Netherlands, and export products to more than 80 countries.
Previous wording
For the three months ended March 31, 2025, Net loss attributable to HF Sinclair stockholderswas$4 million compared to a Net income attributable to HF Sinclair stockholdersof $315 million for the same period last year.
Current wording
For the three months ended June 30, 2025, Net income attributable to HF Sinclair stockholderswas$208 million compared to a Net income attributable to HF Sinclair stockholdersof $152 million for the same period last year. For the six months ended June 30, 2025, Net income attributable to HF Sinclair stockholderswas$204 million compared to$466 million for thesix months ended June 30, 2024.
Previous wording
In the Refining segment, while financial results improved from the prior quarter, we continued to see lower refining margins in the Mid-Continent and West regions for the three months ended March 31, 2025. Additionally, our results were impacted by the planned turnaround at our Tulsa refinery. For the second quarter of 2025, we expect to run between 600,000-630,000 barrels per day of crude oil, which reflects the completion of the planned turnaround at our Tulsa refinery, as well as the planned turnaround at our Parco refinery.
Current wording
In the Refining segment, we saw improved refining margins leading into summer driving season in both the Mid-Continent and West regions for the three months ended June 30, 2025. Additionally, our results were impacted by the completion of the planned turnarounds at our Tulsa and Parco refineries. For the third quarter of 2025, we expect to run between 615,000-645,000 barrels per day of crude oil, which reflects the planned turnaround at our Puget Sound refinery.
Previous wording
In the Marketing segment, we continued to see strong value in the Sinclair branded sites during the three months ended March 31, 2025 as the marketing business provided a consistent sales channel with margin uplift for our produced fuels. We expect to grow the number of branded sites by approximately 10% annually. During the three months ended March 31, 2025, we added 37 net new branded sites.
Current wording
In the Marketing segment, we continued to see strong value in the Sinclair branded sites during the three months ended June 30, 2025 as the marketing business provided a consistent sales channel with margin uplift for our produced fuels. We expect to grow the number of branded sites by approximately 10% annually. During the three months ended June 30, 2025, we added 55 net new branded sites.
Previous wording
In the Lubricants & Specialties segment, we saw strong performance driven by sales mix optimization and base oil integration across our portfolio, partially offset by lower sales volume during the three months ended March 31, 2025. For the second quarter of 2025, our results will be impacted by the planned turnaround at our Mississauga facility.
Current wording
In the Lubricants & Specialties segment, we continued to see solid performance (excluding first-in, first out (“FIFO”) impacts), driven by sales mix optimization and base oil integration across our portfolio during the three months ended June 30, 2025 and increased sales volumes compared to a quarter ago. Additionally, our results were impacted by the completion of the planned turnaround at our Mississauga facility.
Previous wording
In the Midstream segment, our results continued to benefit from increased volumes, higher pipeline revenues and lower selling, general and administrative expenses during the three months ended March 31, 2025. Additionally, we assigned our 50% ownership interest in Cheyenne Pipeline, LLC to our joint venture partner in exchange for the cancellation of certain future commitments.
Current wording
In the Midstream segment, our results continued to benefit from higher pipeline revenues and lower operating expenses, partially offset by lower throughput volumes during the three months ended June 30, 2025.
Previous wording
We continue to adjust our operational plans to evolving market conditions. The extent to which our future results are affected by volatile regional and global economic conditions will depend on various factors and consequences beyond our control.
Current wording
We continue to adjust our operational plans to evolving market conditions. The extent to which our future results are affected by volatile regional and global economic conditions, including ongoing tariff and trade negotiations, will depend on various factors and consequences beyond our control.
Previous wording
On May 7, 2024, our Board of Directors authorized a $1.0 billion share repurchase program (the “May 2024 Share Repurchase Program”). The timing and amount of share repurchases under the May 2024 Share Repurchase Program, including those from REH Company, LLC (“REH Company” and together with its affiliate REH Advisors Inc., “REH”), will depend on market conditions and corporate, tax, regulatory and other relevant conditions.
Current wording
On May 7, 2024, our Board of Directors authorized a $1.0 billion share repurchase program (the “May 2024 Share Repurchase Program”), which replaced all existing share repurchase programs. The timing and amount of share repurchases under the May 2024 Share Repurchase Program, including those from REH Company, LLC (“REH Company” and together with its affiliate REH Advisors Inc., “REH”), will depend on market conditions and corporate, tax, regulatory and other relevant conditions.
Previous wording
Pursuant to the 2007 Energy Independence and Security Act, the Environmental Protection Agency (“EPA”) promulgated the Renewable Fuel Standard (“RFS”) regulations, which increased the volume of renewable fuels mandated to be blended into the nation’s fuel supply. The regulations, in part, require refiners to add annually increasing amounts of “renewable fuels” to their petroleum products or purchase credits, known as RINs, in lieu of such blending. Compliance with RFS regulations significantly increases our Cost of materials and other, with RINs costs totaling $138 million for the three months ended March 31, 2025. At March 31, 2025, our open RINs credit obligations were $46 million.
Current wording
Pursuant to the 2007 Energy Independence and Security Act, the Environmental Protection Agency (“EPA”) promulgated the Renewable Fuel Standard (“RFS”) regulations, which increased the volume of renewable fuels mandated to be blended into the nation’s fuel supply. The regulations, in part, require refiners to increase amounts annually of “renewable fuels” to their petroleum products or purchase credits, known as RINs, in lieu of such blending. Compliance with RFS regulations significantly increases our Cost of materials and other, with RINs costs totaling $180 million and $318 million for the three and six months ended June 30, 2025, respectively, compared to $108 million and $214 million for the three and six months ended June 30, 2024, respectively. At June 30, 2025, our open RINs credit obligations were $83 million.
Previous wording
A more detailed discussion of our financial and operating results for the three months ended March 31, 2025 and 2024 is presented in the following sections.
Current wording
A more detailed discussion of our financial and operating results for the three and six months ended June 30, 2025 and 2024 is presented in the following sections.