PBF ENERGY Reports Fourth Quarter Earnings Results for FY2022 on February 16 2023.

Earnings Overview

On February 16 2023, PBF ($NYSE:PBF) Energy announced their earnings results for the fourth quarter of FY2022, which ended on December 31 2022. Total revenue for the quarter came in at USD 637.8 million, representing a year-over-year increase of 285.8%. Additionally, the company’s net income was up 31.6%, totaling USD 10846.3 million compared to the previous year.

Transcripts Simplified

PBF Energy reported adjusted net income of $4.41 per share and adjusted EBITDA of over $1 billion in the fourth quarter. The company also paid down $2.3 billion of debt in 2022 and has now reduced its debt by more than $3 billion since the pandemic, including the redemption of $525 million notes of PBF Logistics.

Additionally, PBF completed the buy-in of PBF Logistics, which will save approximately $10 million in annual expenses and recognize 100% of earnings due to the elimination of the noncontrolling interest. Consolidated CapEx for the fourth quarter was approximately $327 million. Going forward, PBF’s balance sheet is its strongest ever and cash is expected to return to more normalized levels in the $750 million to $1 billion range. The company will continue to exercise balance sheet discipline targeting rating agency-driven metrics.

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Pbf Energy. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Pbf Energy. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Pbf Energy. More…

Key Ratios Snapshot

Some of the financial key ratios for Pbf Energy are shown below. More…

Market Price

The stock opened at $44.6 and closed at $44.9, representing a 7.6% increase from the previous closing price of $41.8. The strong quarterly performance highlights the success of PBF Energy‘s strategic initiatives to maximize its operational efficiency and optimize its cost structure. The company’s earnings rose significantly due to higher sales volume and improved price realization, resulting in an increase in net income and earnings per share. These improvements came despite the continued impact of lower global oil prices, with the company’s focus on reducing costs, increasing profitability and optimizing its balance sheet all helping to bolster its performance. PBF Energy also reported strong revenue growth led by increased demand, which drove up its refining volumes and refining margins.

This was supported by higher sales of refined products, such as gasoline and diesel, reflecting a steady ramp-up in consumer demand. Going forward, the company expects to continue benefiting from improving market conditions. Overall, PBF Energy ended the fourth quarter of FY2022 on a strong note, reporting a significant rise in earnings and net income. The company’s strategic initiatives have enabled it to capitalize on improving market conditions and strengthen its performance in an uncertain economic environment. Live Quote…

Analysis

GoodWhale has made a detailed evaluation of PBF ENERGY‘s fundamentals and found that it is a medium risk investment in terms of financial and business aspects. Income sheet, balance sheet, and non-financial aspects have been analyzed and three risk warnings have been detected. These can be viewed by becoming a registered user of GoodWhale. GoodWhale recommends taking a cautious approach while investing in PBF ENERGY and suggests researching the company further to understand the associated risks. More…

Peers

PBF Energy Inc is an American holding company that owns and operates oil refineries and is headquartered in Parsippany-Troy Hills, New Jersey. PBF’s subsidiaries include PBF Logistics LP, which owns crude oil and refined product pipelines and terminals, and PBF Holding Company LLC, which owns and operates crude oil refineries. As of December 31, 2019, PBF Energy Inc. operated four oil refineries with a combined gross crude oil processing capacity of approximately 930,000 barrels per day. PBF Energy’s competitors include HF Sinclair Corp, Delek US Holdings Inc, Marathon Petroleum Corp. These companies are all engaged in the business of refining and marketing petroleum products.

– HF Sinclair Corp ($NYSE:DINO)

Sinclair Broadcast Group, Inc. is one of the largest and most diversified television broadcasting companies in the United States. The company owns and operates, programs or provides sales services to more than 190 television stations in 89 markets. Sinclair’s television group reaches approximately 40% of US television households and includes FOX, ABC, CBS, CW, MyNetworkTV, and Univision affiliates. In addition, Sinclair owns or operates four radio stations in the Seattle market and is a leading local news provider in the Seattle/Tacoma/Bellevue area.

– Delek US Holdings Inc ($NYSE:DK)

Delek US Holdings Inc. is an American petroleum refining and marketing company with operations in the United States and Israel. It has a market cap of 2.07B as of 2022 and a Return on Equity of 34.19%. The company’s operations include crude oil refining, marketing of refined products, and retail marketing of gasoline, diesel fuel, and other petroleum products. Delek US Holdings Inc. also owns and operates a fleet of crude oil and refined product terminals, and a network of pipelines.

– Marathon Petroleum Corp ($NYSE:MPC)

Marathon Petroleum Corp is an American petroleum refining, marketing, and transportation company headquartered in Findlay, Ohio. The company was a wholly owned subsidiary of Marathon Oil until a corporate spin-off in 2011. As of December 31, 2019, Marathon Petroleum had 16 oil refineries in the United States that accounted for approximately 3.1 million barrels per day of crude oil processing capacity. The company’s marketing system includes approximately 8,300 branded retail outlets operated under the Marathon, Speedway, and SuperAmerica brand names in 19 states. These retail outlets sell gasoline and diesel fuel to drivers and also offer a selection of convenience store products.

Summary

PBF Energy reported strong fourth quarter earnings results for the period ending December 31 2022, with total revenue increasing 285.8% year-over-year and net income up 31.6%. This news was met favorably by investors, as the stock price rose on the same day. Analysts suggest that PBF Energy is well positioned to continue to grow over the next year, with strong financials and a sound strategy in place. Investors interested in PBF Energy should analyze their financials and future growth prospects thoroughly before making any investing decisions.