Revenue surged 53.7% YoY to $51.0B in 2026Q2, with gross margin expanding to 14.4% from 5.7% a year earlier, driving operating income to $5.0B and EPS of $9.55.
Phillips 66 (PSX) annual income statement — 17-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 |
|---|
| Sales/Revenue | 153.6B | 132.19B | 143.12B | 147.26B | 170.12B | 111.94B | 63.69B | 107.44B | 111.27B | 89.55B | 71.35B | 85.03B | 145.86B | 157.71B | 166.09B | 196.7B | 146.82B | 112.69B |
| Revenue Growth % | 15.77% | -7.64% | -2.81% | -13.44% | 51.97% | 75.76% | -40.72% | -3.44% | 24.26% | 25.51% | -16.09% | -41.7% | -7.52% | -5.04% | -15.56% | 33.97% | 30.28% | - |
| Cost of Goods Sold | 138.58B | 125.7B | 138.25B | 135.98B | 157.35B | 108.56B | 63.51B | 102.13B | 104.13B | 85.43B | 67.87B | 78.91B | 141.34B | 153.52B | 159.49B | 177.98B | 130.31B | 98.13B |
| COGS % of Revenue | - | 95.09% | 96.6% | 92.34% | 92.49% | 96.98% | 99.72% | 95.05% | 93.58% | 95.4% | 95.12% | 92.8% | 96.9% | 97.34% | 96.03% | 90.48% | 88.76% | 87.08% |
| Gross Profit | 15.02B | 6.49B | 4.86B | 11.29B | 12.77B | 3.38B | 180M | 5.32B | 7.14B | 4.12B | 3.48B | 6.12B | 4.52B | 4.2B | 6.6B | 18.72B | 16.51B | 14.56B |
| Gross Margin % | 9.78% | 4.91% | 3.4% | 7.66% | 7.51% | 3.02% | 0.28% | 4.95% | 6.42% | 4.6% | 4.88% | 7.2% | 3.1% | 2.66% | 3.97% | 9.52% | 11.24% | 12.92% |
| Gross Profit Growth % | - | 33.37% | -56.91% | -11.64% | 277.95% | 1777.22% | -96.61% | -25.6% | 73.52% | 18.34% | -43.15% | 35.46% | 7.67% | -36.43% | -64.73% | 13.4% | 13.37% | - |
| Operating Expenses | 4.77B | 2.97B | 2.54B | 3.02B | 2.7B | 2.15B | 2.01B | 2.09B | 2.1B | 2.1B | 1.95B | 1.97B | 2B | 1.73B | 2.09B | 16.88B | 15.39B | 14.96B |
| OpEx % of Revenue | - | 2.24% | 1.77% | 2.05% | 1.59% | 1.92% | 3.15% | 1.95% | 1.89% | 2.35% | 2.73% | 2.31% | 1.37% | 1.1% | 1.26% | 8.58% | 10.48% | 13.27% |
| Selling, General & Admin | 2.39B | 2.17B | 2.19B | 2.28B | 2.13B | 1.7B | 1.5B | 1.63B | 1.62B | 1.64B | 1.58B | 1.6B | 1.6B | 1.41B | 1.65B | 1.33B | 1.33B | 1.28B |
| SG&A % of Revenue | - | 1.64% | 1.53% | 1.55% | 1.25% | 1.52% | 2.35% | 1.51% | 1.46% | 1.83% | 2.21% | 1.89% | 1.1% | 0.89% | 0.99% | 0.68% | 0.9% | 1.13% |
| Research & Development | 0 | 6M | 15M | 27M | 42M | 47M | 48M | 54M | 55M | 60M | 60M | 65M | 62M | 69M | 76M | 74M | 56M | 36M |
| R&D % of Revenue | - | 0% | 0.01% | 0.02% | 0.02% | 0.04% | 0.08% | 0.05% | 0.05% | 0.07% | 0.08% | 0.08% | 0.04% | 0.04% | 0.05% | 0.04% | 0.04% | 0.03% |
| Other Operating Expenses | 4M | 791M | 329M | 707M | 530M | 410M | 464M | 409M | 425M | 408M | 307M | 297M | 342M | 253M | 370M | 15.47B | 14.01B | 13.64B |
| Operating Income | 10.24B | 3.52B | 2.32B | 8.27B | 10.07B | 1.23B | -1.83B | 3.23B | 5.04B | 2.01B | 1.53B | 4.15B | 2.51B | 2.46B | 4.51B | 1.83B | 1.11B | -398M |
| Operating Margin % | 6.67% | 2.66% | 1.62% | 5.61% | 5.92% | 1.09% | -2.87% | 3% | 4.53% | 2.25% | 2.15% | 4.88% | 1.72% | 1.56% | 2.71% | 0.93% | 0.76% | -0.35% |
| Operating Income Growth % | - | 51.4% | -71.88% | -17.92% | 722.29% | 167.01% | -156.68% | -36.04% | 150.35% | 31.29% | -63.06% | 65.26% | 1.95% | -45.33% | 145.99% | 64.39% | 380.15% | - |
| EBITDA | 13.06B | 6.82B | 4.73B | 10.27B | 11.72B | 2.85B | -411M | 4.59B | 6.42B | 3.35B | 2.72B | 5.25B | 3.53B | 3.44B | 5.45B | 2.74B | 2B | 481M |
| EBITDA Margin % | 8.5% | 5.16% | 3.3% | 6.98% | 6.89% | 2.55% | -0.65% | 4.27% | 5.77% | 3.75% | 3.82% | 6.18% | 2.42% | 2.18% | 3.28% | 1.39% | 1.36% | 0.43% |
| EBITDA Growth % | 269.26% | 44.21% | -53.98% | -12.38% | 310.83% | 794.4% | -108.96% | -28.53% | 91.44% | 23.17% | -48.15% | 48.7% | 2.79% | -36.92% | 98.72% | 37.39% | 314.76% | - |
| D&A (Non-Cash Add-back) | 2.81B | 3.3B | 2.4B | 2.01B | 1.65B | 1.63B | 1.42B | 1.36B | 1.38B | 1.34B | 1.19B | 1.1B | 1.02B | 971M | 938M | 908M | 880M | 879M |
| EBIT | 10.04B | 6.46B | 3.58B | 10.37B | 15.26B | 2.32B | -4.46B | 4.64B | 7.95B | 3.99B | 2.53B | 6.35B | 6.01B | 5.8B | 6.88B | 6.64B | 1.17B | 848M |
| Net Interest Income | -1.15B | -898M | -749M | -628M | -537M | -570M | -485M | -415M | -459M | -407M | -320M | -283M | -246M | -255M | -228M | 16M | 41M | 46M |
| Interest Income | 0 | 141M | 158M | 269M | 82M | 11M | 14M | 43M | 45M | 31M | 18M | 27M | 21M | 20M | 18M | 33M | 42M | 47M |
| Interest Expense | 1.15B | 1.04B | 907M | 897M | 619M | 581M | 499M | 458M | 504M | 438M | 338M | 310M | 267M | 275M | 246M | 17M | 1M | 1M |
| Other Income/Expense | -1.36B | 1.9B | 350.1M | 1.2B | 4.57B | 515M | -3.14B | 953M | 2.4B | 1.54B | 657M | 1.89B | 3.23B | 3.06B | 2.12B | 4.79B | 204M | 1.25B |
| Pretax Income | 8.88B | 5.42B | 2.67B | 9.47B | 14.64B | 1.74B | -4.96B | 4.18B | 7.45B | 3.56B | 2.19B | 6.04B | 5.75B | 5.53B | 6.63B | 6.62B | 1.32B | 847M |
| Pretax Margin % | 5.78% | 4.1% | 1.87% | 6.43% | 8.61% | 1.55% | -7.79% | 3.89% | 6.69% | 3.97% | 3.07% | 7.11% | 3.94% | 3.5% | 3.99% | 3.37% | 0.9% | 0.75% |
| Income Tax | 1.69B | 892M | 500M | 2.23B | 3.25B | 146M | -1.25B | 801M | 1.57B | -1.69B | 547M | 1.76B | 1.65B | 1.84B | 2.5B | 1.84B | 579M | 368M |
| Effective Tax Rate % | 19.04% | 16.46% | 18.69% | 23.55% | 22.19% | 8.39% | 25.18% | 19.17% | 21.11% | -47.62% | 24.97% | 29.19% | 28.79% | 33.37% | 37.7% | 27.84% | 43.9% | 43.45% |
| Net Income | 7.09B | 4.4B | 2.12B | 7B | 11.02B | 1.31B | -3.98B | 3.08B | 5.59B | 5.11B | 1.55B | 4.23B | 4.76B | 3.73B | 4.12B | 4.78B | 735M | 476M |
| Net Margin % | 4.62% | 3.33% | 1.48% | 4.76% | 6.48% | 1.17% | -6.25% | 2.86% | 5.03% | 5.7% | 2.18% | 4.97% | 3.26% | 2.36% | 2.48% | 2.43% | 0.5% | 0.42% |
| Net Income Growth % | 312.86% | 107.98% | -69.77% | -36.47% | 738.33% | 133.02% | -229.49% | -45.02% | 9.58% | 228.36% | -63.21% | -11.23% | 27.8% | -9.65% | -13.63% | 549.66% | 54.41% | - |
| Net Income (Continuing) | 7.19B | 4.53B | 2.17B | 7.24B | 11.39B | 1.59B | -3.71B | 3.38B | 5.87B | 5.25B | 1.64B | 4.28B | 4.09B | 3.68B | 4.13B | 4.78B | 740M | 479M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 1.2B | 1.15B | 1.05B | 1.07B | 4.61B | 2.47B | 2.54B | 2.26B | 2.5B | 2.34B | 1.33B | 838M | 447M | 442M | 31M | 29M | 25M | 23M |
| EPS (Diluted) | 17.62 | 10.79 | 4.99 | 15.45 | 23.27 | 2.97 | -9.06 | 6.77 | 11.80 | 9.85 | 2.92 | 7.73 | 8.33 | 6.02 | 6.48 | 7.46 | 1.15 | 0.74 |
| EPS Growth % | 322.15% | 116.23% | -67.7% | -33.61% | 683.5% | 132.78% | -233.83% | -42.63% | 19.8% | 237.33% | -62.23% | -7.2% | 38.37% | -7.1% | -13.14% | 548.7% | 55.41% | - |
| EPS (Basic) | - | 10.84 | 5.01 | 15.56 | 23.36 | 2.97 | -9.06 | 6.80 | 11.89 | 9.90 | 2.94 | 7.78 | 8.40 | 6.07 | 6.55 | 7.46 | 1.15 | 0.74 |
| Diluted Shares Outstanding | 402.62M | 408.05M | 421.89M | 453.21M | 473.73M | 440.36M | 439.53M | 453.89M | 474.05M | 518.51M | 530.07M | 546.98M | 571.5M | 618.99M | 636.76M | 640M | 640M | 640M |
| Basic Shares Outstanding | 400.95M | 406.01M | 420.17M | 450.14M | 471.5M | 440.03M | 439.53M | 451.36M | 470.71M | 515.09M | 527.53M | 542.36M | 565.9M | 612.92M | 628.84M | 640M | 640M | 640M |
| Dividend Payout Ratio | - | 43.65% | 88.9% | 26.87% | 16.26% | 120.53% | - | 51.04% | 25.67% | 27.32% | 82.44% | 27.73% | 22.3% | 21.66% | 6.84% | - | - | - |
Quick answers to the most common questions about buying PSX stock.
For fiscal year 2025, Phillips 66 (PSX) reported total revenue of $132.19B. This represents a 17.3% increase compared to $112.69B in 2009.
Phillips 66 (PSX) is profitable, generating $4.40B in net income for the fiscal year ending 2025 with a net profit margin of 3.3%.
Phillips 66 (PSX) reported an operating income of $3.52B, resulting in an operating profit margin of 2.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Phillips 66 (PSX) generated $6.49B in gross profit for the year, representing a gross profit margin of 4.9%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Refining margin volatility persists
Metrics are mathematically derived from official filings.
Revenue Surge Driven by Refining Recovery
PSX's revenue jumped 53.7% year-over-year in 2026Q2 to $51.0B, according to the latest quarterly report, marking a sharp acceleration from prior quarters and signaling a robust demand rebound.
The 53.7% revenue growth in 2026Q2 is a dramatic inflection from the negative growth rates seen throughout 2024 and 2025, suggesting a strong cyclical recovery in refining margins and volumes. This surge appears to be driven by improved crack spreads rather than volume expansion alone, as peer Valero also shows improving but less extreme growth. Investors should monitor whether this pace is sustainable given the historically volatile nature of refining economics.
Gross Margin Expansion Signals Pricing Power
Gross margin improved to 14.4% in 2026Q2 from 5.7% a year earlier, as reported in financial statements, indicating a significant recovery in refining margins and potential pricing power.
The gross margin expansion from 1.9% in 2025Q1 to 14.4% in 2026Q2 is substantial, reflecting a favorable refining environment and possibly better product differentials. This margin level exceeds peers like Valero (4.4%) and Marathon (7.5%), suggesting PSX may have a competitive advantage in feedstock flexibility or product mix. However, the cyclicality of refining margins means this level may not persist, and investors should watch for normalization.
Operating Leverage Amplifies Earnings Swing
Operating income scaled to $5.0B in 2026Q2 from $1.1B in 2025Q2, per the income statement, with SG&A relatively flat, demonstrating strong operating leverage as revenue grew.
SG&A expenses remained nearly flat around $538M despite a 53.7% revenue increase, indicating that PSX's cost structure is largely fixed in the short term, allowing operating income to grow disproportionately. This operating leverage is a double-edged sword: it magnifies profits in upcycles but can lead to losses when margins compress, as seen in 2025Q1 when operating income was negative. The company's ability to maintain cost discipline while scaling is a positive sign.
Earnings Volatility Masks Underlying Strength
Net income swung from $207M in 2026Q1 to $3.8B in 2026Q2, as per the quarterly data, with EPS of $9.55, but the prior quarter's low earnings suggest non-operating items may be influencing results.
The extreme quarter-over-quarter swing in net income, from $0.51 to $9.55 EPS, is not fully explained by gross margin changes alone, implying possible one-time gains or inventory valuation effects. The absence of stock-based compensation in the data simplifies the analysis, but the tax rate appears to have varied significantly, as net margin in 2025Q4 was 8.5% despite lower operating margin. Investors should scrutinize the sustainability of these earnings and the impact of non-operating items.
COGS Dominates Cost Structure, SG&A Stable
COGS accounted for roughly 86% of revenue in 2026Q2, based on reported figures, while SG&A remained around $538M, indicating that cost control is focused on refining input costs.
The cost structure is heavily weighted toward COGS, which is typical for refiners, and its variability drives margin fluctuations. SG&A has been relatively stable, suggesting disciplined overhead management, but the spike in SG&A to $792M in 2025Q3 warrants attention as it may indicate one-time charges. The company's ability to manage COGS through feedstock optimization is critical, as seen in the margin recovery.
Refining Margin Cyclicality Threatens Recovery
Despite the strong 2026Q2, PSX's gross margin was only 1.8% in 2024Q4, as per financial statements, highlighting the extreme volatility that could reverse the current upcycle.
The historical data shows gross margins ranging from 1.8% to 14.4% within a short period, underscoring the cyclicality of refining margins. Short-sellers might argue that the current earnings surge is unsustainable and that PSX's earnings power is inherently volatile, making it difficult to value. Additionally, the negative operating income in 2025Q1 and 2024Q3 suggests that the company is not immune to downturns, and the current recovery may be temporary if global refining capacity increases or demand softens.