Revenue growth remains highly unstable with a 11.7% increase in 2026Q1, while gross margins continue to fluctuate significantly from a low of 1.8% in 2024Q4 to 10.6% in 2026Q1.
| 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 | 135.77B | 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 % | -1.33% | -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 | 126.21B | 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 | 9.56B | 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 % | 7.04% | 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 | 3.23B | 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 | 2.43B | 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 | 6.34B | 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 % | 4.67% | 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 | 9.39B | 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 % | 6.92% | 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 % | 207.8% | 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) | 3.05B | 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 | 8.44B | 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 | -1.1B | -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 | 1.1B | 1.04B | 907M | 897M | 619M | 581M | 499M | 458M | 504M | 438M | 338M | 310M | 267M | 275M | 246M | 17M | 1M | 1M |
| Other Income/Expense | -1.31B | 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 | 5.03B | 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 % | 3.71% | 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 | 811M | 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 % | 16.12% | 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 | 4.12B | 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 % | 3.04% | 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 % | 122.14% | 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) | 4.22B | 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 | 1.15B | 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) | 10.22 | 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 % | 131.35% | 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 | 403.27M | 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 | 402.04M | 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% | - | - | - |
Refining margin volatility
According to the provided quarterly data, Phillips 66 experienced a revenue growth rate of 11.7% in 2026Q1, marking a sharp reversal from the consistent double-digit declines observed throughout 2024 and early 2025, suggesting that top-line performance remains highly sensitive to volatile commodity price environments and shifting market demand.
The recent uptick in revenue appears to be a departure from the sustained contraction seen in previous quarters, where year-over-year growth frequently dipped into negative territory. Investors should monitor whether this growth is driven by sustainable volume increases or merely reflects a temporary recovery in crude oil pricing that may not translate into durable margin expansion.
As reported in financial statements, the company's gross margin reached 10.6% in 2026Q1, yet this follows a prolonged period of significant compression where margins bottomed out at 1.8% in 2024Q4, highlighting the inherent difficulty in maintaining profitability within the highly cyclical refining and marketing industry.
The volatility in gross margins suggests that the company's ability to pass through feedstock costs is inconsistent, leaving the bottom line vulnerable to crack spread fluctuations. The recent improvement warrants further investigation to determine if it represents a structural shift in operational efficiency or simply a favorable, yet transient, market environment.
Based on the income statement data, operating income reached $2.9 billion in 2026Q1, yet the company previously struggled with negative operating income as recently as 2025Q1 and 2024Q3, indicating that fixed cost absorption remains a significant challenge during periods of lower throughput or compressed refining spreads.
The erratic nature of operating income suggests that the company has limited ability to scale profitability independently of external market conditions. The reliance on high-volume throughput to cover fixed costs means that any operational downtime or market-driven demand reduction disproportionately impacts the company's operating margin.
As indicated by the provided figures, net income has fluctuated wildly, ranging from a low of $8 million in 2024Q4 to a high of $2.9 billion in 2025Q4, which suggests that reported earnings are heavily influenced by non-operating items and inventory accounting adjustments rather than core operational consistency.
The extreme variance in net income, particularly the disconnect between operating income and bottom-line results in certain periods, implies that investors should be cautious when relying on EPS as a measure of fundamental health. The lack of stock-based compensation expense is notable, yet the underlying earnings quality remains obscured by the impact of LIFO inventory accounting and potential one-time charges.
While 2026Q1 results show a positive inflection, historical data from 2024 and 2025 suggests that Phillips 66 frequently faces rapid margin erosion, raising concerns that the current profitability levels may be unsustainable if refining crack spreads normalize or if the Business Transformation initiative fails to deliver.
Short-term improvements in margins may be masking deeper structural issues related to the company's high variable cost base and exposure to volatile energy markets. The market may be overestimating the durability of these gains, failing to account for the potential for renewed margin compression if global refining capacity continues to outpace demand.
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.