Par Pacific Holdings reported third‑quarter 2025 results that far exceeded Wall Street expectations, posting net income of $262.6 million and diluted earnings per share of $5.16. Adjusted net income climbed to $302.6 million and adjusted EBITDA reached $372.5 million, driven largely by a $195.9 million gain from the Small Refinery Exemption (SRE) and a $202.6 million boost to adjusted EBITDA. Revenue of $2.01 billion beat consensus estimates of roughly $1.76 billion, marking a 14% increase from the $1.75 billion reported in Q3 2024.
The SRE benefit, granted by the EPA for the 2019‑2024 compliance period, provided a one‑time tax credit that lifted both net income and EBITDA. The credit’s impact is evident in the jump from $51.4 million in adjusted EBITDA in Q3 2024 to $372.5 million in Q3 2025, an increase of $321.1 million. The credit also helped the company maintain a high operating margin, as refining throughput rose and input costs were largely offset by the exemption.
Refining operations dominated the earnings picture, with operating income of $340.8 million—an increase from $19.0 million in Q3 2024—reflecting record throughput and efficient cost management. Logistics and retail segments added $30.2 million and $19.1 million in operating income, respectively, both of which were record contributions for the quarter. The company also closed its Hawaii Renewables joint venture, generating $100 million in proceeds, and repurchased $16.4 million of common stock, further reducing the share count. In addition, Par Pacific’s common stock began trading on NYSE Texas on November 5, expanding its trading footprint without altering its core business structure.
Comparing to the prior year, the company’s net income surged from $7.5 million in Q3 2024 to $262.6 million in Q3 2025, a 3,400% increase. Adjusted EBITDA grew from $51.4 million to $372.5 million, and revenue rose from $1.75 billion to $2.01 billion. These figures illustrate a dramatic turnaround driven by the SRE credit, higher refining volumes, and strong demand in logistics and retail.
Will Monteleone, President and Chief Executive Officer, said the quarter’s results were “exceptional” and attributed the performance to “strong refining operations, a significant SRE gain, and the successful completion of the Hawaii Renewables joint venture.” He added that the company remains confident in its growth strategy and will continue to pursue accretive opportunities while maintaining a disciplined capital allocation program.
Investors responded positively to the earnings release, with analysts noting the magnitude of the EPS and revenue beats and the company’s robust operating performance. The strong results reinforce confidence in Par Pacific’s niche‑market strategy and its ability to leverage regulatory benefits to drive profitability.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.