Hephaestus (LSE:HEP)
Historical Stock Chart

From May 2019 to May 2024

Independent oil refiner Holly Corp. (HOC) beat analyst expectations Monday, reporting higher second-quarter profit after most of its competitors posted earning losses in the last two weeks.

Holly earned $14.6 million or 29 cents a share compared with $11.5 million or 23 cents a basic share for the same period last year.

The Dallas-based company beat forecasts by reporting record earnings from Holly Energy Partners (HEP), its master limited partnership, which operates crude oil and products pipelines and terminals. Holly also ran higher volumes at its Navajo refinery in Artesia, N.M.

Margins at the company's newly acquired Tulsa, Okla., refinery were dismal coming in under operating costs. Holly executives expect better results in the next quarter at the Tulsa plant. The company completed the purchased of the 85,000 barrel-a-day plant on June 1.

In addition to the Navajo and Tulsa plants, Holly operates a third refinery in Wood Cross, Utah.

Several independent oil refiners, including the largest by volume, Valero Energy Corp. (VLO) posted earning losses because of lower fuel margins, especially on diesel, and an increase in prices of heavy and sour blends oil, normally greatly discounted to light and sweet blends.

The third quarter isn't expected to be any better for refiners.

-By Susan Daker, Dow Jones Newswires; (713) 547-9208; susan.daker@dowjones.com