Delek US Holdings, Inc. (NYSE: DK) reported fourth‑quarter 2025 results that marked a dramatic turnaround from the $413.8 million loss recorded in the same quarter a year earlier. Net income rose to $78.3 million, while adjusted net income climbed to $143 million and adjusted EBITDA reached $374.8 million, underscoring the company’s return to profitability.
The refining segment was the primary engine of the rebound, generating $314.1 million in adjusted EBITDA compared with a $68.7 million loss in Q4 2024. The improvement was driven by a 66 % increase in benchmark crack spreads and the continued benefit of small refinery exemptions, which lowered material costs by $75.3 million. Logistics contributed $141.9 million in adjusted EBITDA, up from $114.3 million year‑over‑year, supported by higher wholesale margins and recent acquisitions.
Revenue for the quarter totaled $2.43 billion, falling short of the $2.66 billion consensus estimate. The miss reflects softer top‑line growth despite the company’s strong operational performance, indicating that margin expansion is outpacing revenue growth. Nevertheless, the company’s adjusted earnings per share of $2.31 beat the consensus estimate of a loss of $0.20 to $0.25 per share by $2.55, a margin that highlights the effectiveness of cost controls and the favorable mix of refining activity.
Delek confirmed a regular quarterly dividend of $0.255 per share, payable on March 9 2026 to shareholders of record on March 2. The company also repurchased approximately $20 million of common stock during the quarter, reinforcing its commitment to shareholder returns.
While Delek US did not provide new quantitative guidance, its subsidiary Delek Logistics (DKL) announced 2026 EBITDA guidance of $520 million to $560 million, signaling confidence in the midstream platform’s future performance. The guidance reflects DKL’s expectation that third‑party EBITDA contributions will exceed 80 % of total EBITDA.
Market reaction to the earnings release was positive, with analysts noting that the significant earnings beat and the turnaround in refining profitability were the primary drivers of investor enthusiasm. The company’s ability to generate strong cash flow and improve margins, even as revenue fell short of expectations, reinforced confidence in its operational strategy and the ongoing Enterprise Optimization Plan.
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