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Mar 31

Valero Q1 2025 Earnings Report

Valero posted a net loss due to an impairment charge, but delivered positive adjusted earnings.

Key Takeaways

Valero Energy reported a net loss in Q1 2025 driven by a $1.1 billion impairment charge related to its West Coast refineries. Despite challenging margins, the company achieved positive adjusted earnings and maintained strong operational cash flow, returning $633 million to shareholders.

Total Revenue
$30.3B
Previous year: $31.8B
-4.7%
EPS
$0.89
Previous year: $3.82
-76.7%
Refining Throughput
2.83M
Previous year: 2.76M
+2.5%
Renewable Diesel Sales
2.44M
Previous year: 3.73M
-34.7%
Ethanol Production
4.47M
Previous year: 4.47M
+0.0%
Gross Profit
$496M
Previous year: $1.97B
-74.8%
Cash and Equivalents
$4.63B
Previous year: $4.92B
-5.8%
Free Cash Flow
$703M

Valero

Valero

Valero Revenue by Segment

Forward Guidance

Valero remains focused on operational discipline, capital efficiency, and maximizing shareholder returns despite headwinds.

Positive Outlook

  • Strong balance sheet with $4.6B in cash
  • Returned $633M to shareholders in Q1 2025
  • Refining throughput increased year-over-year
  • Capital investments support long-term optimization
  • Dividend increased to $1.13 per share

Challenges Ahead

  • $1.1B asset impairment on West Coast refineries
  • Refining segment reported operating loss
  • Renewable Diesel margin sharply declined
  • Earnings significantly below prior year
  • Operating income turned negative

Revenue & Expenses

Visualization of income flow from segment revenue to net income