Delek US Holdings Reports First Quarter 2026 Results

Delek US reported a first quarter net loss of $201.3 million or $(3.34) per share, adjusted net income of $4.7 million or $0.08 per share and adjusted EBITDA of $211.7 million Excluding the impacts of the RVO adjustment, adjusted EPS was $(0.98) per share and adjusted EBITDA was $129.4 million Completed the Big Spring Refinery turnaround safely, within budget and on time Improves overall refining profitability through better margin capture and lower costs Advanced key objectives of Enterprise Optimization Plan (“EOP”), increasing the annual run-rate cash flow improvements to ~$220 million from ~$200 million Announced refinancing of the revolving credit facilities for both Delek and Delek Logistics, increasing our consolidated borrowing capacity by $300 million and extending maturities to 2031 DKL Successfully completed drilling of its first acid gas injection ("AGI") well, progressing DKL's key sour gas processing, treating and handling solution in the Delaware basin Paid $15.6 million of dividends and announced regular quarterly dividend of $0.255 per share BRENTWOOD, Tenn.--(BUSINESS WIRE)--Delek US Holdings, Inc. (NYSE: DK) (“Delek US”, "Company") today announced financial results for its first quarter ended March 31, 2026. “2026 is off to a strong start as we continue to build on the momentum established last year, further enhancing our cash flow profile through disciplined execution of our Enterprise Optimization Plan and advancing several other value creation initiatives,” said Avigal Soreq, President and Chief Executive Officer of Delek US. “A key highlight of the quarter was the successful completion of our Big Spring refinery turnaround, which was executed safely, on time, and on budget. With the full system now back online, we are well positioned to capture improved margins and meet demand during the upcoming driving season.” “Delek Logistics Partners continues to demonstrate the strength and resilience of its integrated 3 stream service business model, supported by increasing third-party cash flows and optimization of its existing asset base. The steady ramp-up of our Delaware Basin Libby 2 Plant and our comprehensive sour gas capabilities reinforce DKL’s competitive position and support its attractive 2026 outlook. The economic separation between DK and DKL continues to increase, enhancing DKL’s financial flexibility and increasing valuation visibility at DK and DKL on a standalone basis.” “Looking ahead, we are excited about the remainder of the year as we operate our full system and leverage our enhanced reliability to drive performance. We remain focused on safe and efficient operations, disciplined capital allocation, and adding incremental value creating initiatives to achieve our Sum of the Parts goals,” Soreq concluded. Delek US Results Three Months Ended March 31, ($ in millions, except per share data) 2026 2025 Net income (loss) attributable to Delek $ (201.3 ) $ (172.7 ) Total diluted income (loss) per share $ (3.34 ) $ (2.78 ) Adjusted net income (loss) $ 4.7 $ (144.4 ) Adjusted net income (loss) per share $ 0.08 $ (2.32 ) Adjusted EBITDA $ 211.7 $ 33.6 Refining Segment The refining segment Adjusted EBITDA was $155.3 million in the first quarter 2026 compared with $(27.0) million in the same quarter last year, which reflects an increase in refining margin driven by increased crack spreads. During the first quarter 2026, Delek US's benchmark crack spreads were up an average of 63.8% from prior-year levels. Adjusted EBITDA was also impacted by inventory adjustments of $(17.6) million and $26.2 million for first quarter 2026 and 2025, respectively. Logistics Segment The logistics segment Adjusted EBITDA in the first quarter 2026 was $132.4 million compared with $123.2 million in the prior-year quarter. The increase over last year's first quarter reflects higher margins in the wholesale business and increased interest income related to sales-type leases. Shareholder Distributions On April 20, 2026, the Board of Directors approved the regular quarterly dividend of $0.255 per share that will be paid on May 8, 2026 to shareholders of record on May 1, 2026. Liquidity As of March 31, 2026, Delek US had a cash balance of $624.1 million and total consolidated long-term debt of $3,183.1 million, resulting in net debt of $2,559.0 million. As of March 31, 2026, Delek Logistics Partners, LP (NYSE: DKL) ("Delek Logistics") had $9.9 million of cash and $2,294.6 million of total long-term debt, which are included in the consolidated amounts on Delek US' balance sheet. Excluding Delek Logistics, Delek US had $614.2 million in cash and $888.5 million of long-term debt, or a $274.3 million net debt position. First Quarter 2026 Results | Conference Call Information Delek US will hold a conference call to discuss its first quarter 2026 results on Wednesday, April 29, 2026 at 9:00 a.m. Central Time. Investors will have the opportunity to listen to the conference call live by going to www.DelekUS.com and clicking on the Investor Relations tab. Participants are encouraged to register at least 15 minutes early to download and install any necessary software. Presentation materials accompanying the call will be available on the investor relations tab of the Delek US website approximately ten minutes prior to the start of the call. For those who cannot listen to the live broadcast, the online replay will be available on the website for 90 days. Investors may also wish to listen to Delek Logistics’ (NYSE: DKL) first quarter 2026 earnings conference call that will be held on Wednesday, April 29, 2026 at 11:30 a.m. Central Time and review Delek Logistics’ earnings press release. Market trends and information disclosed by Delek Logistics may be relevant to the logistics segment reported by Delek US. Both a replay of the conference call and press release for Delek Logistics will be available online at www.deleklogistics.com. About Delek US Holdings, Inc. Delek US Holdings, Inc. is a diversified downstream energy company with assets in petroleum refining, logistics, pipelines, and renewable fuels. The refining assets consist primarily of refineries operated in Tyler and Big Spring, Texas, El Dorado, Arkansas and Krotz Springs, Louisiana with a combined nameplate crude throughput capacity of 302,000 barrels per day. The logistics operations include Delek Logistics Partners, LP (NYSE: DKL). Delek Logistics Partners, LP is a growth-oriented master limited partnership focused on owning and operating midstream energy infrastructure assets. Delek US Holdings, Inc. and its subsidiaries owned approximately 63.3% (including the general partner interest) of Delek Logistics Partners, LP at March 31, 2026. Safe Harbor Provisions Regarding Forward-Looking Statements This press release contains forward-looking statements that are based upon current expectations and involve a number of risks and uncertainties. Statements concerning current estimates, expectations and projections about future results, performance, prospects, opportunities, plans, actions and events and other statements, concerns, or matters that are not historical facts are “forward-looking statements,” as that term is defined under the federal securities laws. These statements contain words such as “possible,” “believe,” “should,” “could,” “would,” “predict,” “plan,” “estimate,” “intend,” “may,” “anticipate,” “will,” “if", “potential,” “expect” or similar expressions, as well as statements in the future tense. These forward-looking statements include, but are not limited to, statements regarding anticipated performance and financial position; cost reductions; throughput at the Company’s refineries; crude oil prices, discounts and quality and our ability to benefit therefrom; growth; scheduled turnaround activity; projected capital expenditures and investments into our business; liquidity and EBITDA impacts from strategic and intercompany transactions; the performance of our midstream growth initiatives, and the flexibility, benefits and expected returns therefrom; and projected benefits of Delek Logistics' acquisition of the Delaware Gathering, Permian Gathering, H2O Midstream and Gravity Water Midstream businesses. Investors are cautioned that the following important factors, among others, may affect these forward-looking statements: political or regulatory developments, including tariffs, taxes and changes in governmental policies relating to crude oil, natural gas, refined products or renewables; uncertainty related to timing and amount of future share repurchases and dividend payments; risks and uncertainties with respect to the quantities and costs of crude oil we are able to obtain and the price of the refined petroleum products we ultimately sell, uncertainties regarding actions by OPEC and non-OPEC oil producing countries impacting crude oil production and pricing; risks and uncertainties related to the integration by Delek Logistics of the Delaware Gathering, Permian Gathering, H2O Midstream or Gravity businesses following their acquisition; Delek US' ability to realize cost reductions; risks related to exposure to Permian Basin crude oil, such as supply, pricing, gathering, production and transportation capacity; gains and losses from derivative instruments; risks associated with acquisitions and dispositions; risks and uncertainties with respect to the possible benefits of the H2O Midstream and Gravity transactions; acquired assets may suffer a diminishment in fair value as a result of which we may need to record a write-down or impairment in carrying value of the asset; the possibility of litigation challenging and/or legislation changing renewable fuel standard waivers; changes in the scope, costs, and/or timing of capital and maintenance projects; the ability to grow the Midland Gathering System; the ability of the Red River joint venture to complete the expansion project to increase the Red River pipeline capacity; operating hazards inherent in transporting, storing and processing crude oil and intermediate and finished petroleum products; our competitive position and the effects of competition; the projected growth of the industries in which we operate; general economic and business conditions affecting the geographic areas in which we operate; and other risks described in Delek US’ filings with the United States Securities and Exchange Commission (the “SEC”), including risks disclosed in our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other filings and reports with the SEC. Forward-looking statements should not be read as a guarantee of future performance or results and will not be accurate indications of the times at, or by, which such performance or results will be achieved. Forward-looking information is based on information available at the time and/or management's good faith belief with respect to future events, and is subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the statements. Delek US undertakes no obligation to update or revise any such forward-looking statements to reflect events or circumstances that occur, or which Delek US becomes aware of, after the date hereof, except as required by applicable law or regulation. Non-GAAP Disclosures: Our management uses certain “non-GAAP” operational measures to evaluate our operating segment performance and non-GAAP financial measures to evaluate past performance and prospects for the future to supplement our financial information presented in accordance with United States ("U.S.") Generally Accepted Accounting Principles ("GAAP"). These financial and operational non-GAAP measures are important factors in assessing our operating results and profitability and include: Adjusting items - certain identified infrequently occurring items, non-cash items, and items that are not attributable to or indicative of our on-going operations or that may obscure our underlying results and trends; Adjusted net income (loss) - calculated as net income (loss) attributable to Delek US adjusted for relevant Adjusting items recorded during the period; Adjusted net income (loss) per share - calculated as Adjusted net income (loss) divided by weighted average shares outstanding, assuming dilution, as adjusted for any anti-dilutive instruments that may not be permitted for consideration in GAAP earnings per share calculations but that nonetheless favorably impact dilution; Earnings before interest, taxes, depreciation and amortization ("EBITDA") - calculated as net income (loss) attributable to Delek adjusted to add back interest expense, income tax expense, depreciation, amortization and proportional interest, taxes, depreciation and amortization of equity method investments; Adjusted EBITDA - calculated as EBITDA adjusted for the relevant identified Adjusting items in Adjusted net income (loss) that do not relate to interest expense, income tax expense, depreciation or amortization, and adjusted to include income (loss) attributable to non-controlling interests; Refining margin - calculated as gross margin (which we define as sales minus cost of sales) adjusted for operating expenses and depreciation and amortization included in cost of sales; Adjusted refining margin - calculated as refining margin adjusted for other inventory impacts, net inventory LCM valuation loss (benefit), unrealized hedging (gain) loss and intercompany lease impacts; Refining production margin - calculated based on the regional market sales price of refined products produced, less allocated transportation, Renewable Fuel Standard volume obligation and associated feedstock costs. This measure reflects the economics of each refinery exclusive of the financial impact of inventory price risk mitigation programs and marketing uplift strategies; Refining production margin per throughput barrel - calculated as refining production margin divided by our average refining throughput in barrels per day (excluding purchased barrels) multiplied by 1,000 and multiplied by the number of days in the period; and Net debt - calculated as long-term debt including both current and non-current portions (the most comparable GAAP measure) less cash and cash equivalents as of a specific balance sheet date. We believe these non-GAAP operational and financial measures are useful to investors, lenders, ratings agencies and analysts to assess our ongoing performance because, when reconciled to their most comparable GAAP financial measure, they provide improved relevant comparability between periods, to peers or to market metrics through the inclusion of retroactive regulatory or other adjustments as if they had occurred in the prior periods they relate to, or through the exclusion of certain items that we believe are not indicative of our core operating performance and that may obscure our underlying results and trends. “Net debt,” also a non-GAAP financial measure, is an important measure to monitor leverage and evaluate the balance sheet. Non-GAAP measures have important limitations as analytical tools, because they exclude some, but not all, items that affect net earnings and operating income. These measures should not be considered substitutes for their most directly comparable U.S. GAAP financial measures. Additionally, because Adjusted net income or loss, Adjusted net income or loss per share, EBITDA and Adjusted EBITDA, Adjusted Refining Margin and Refining Production Margin or any of our other identified non-GAAP measures may be defined differently by other companies in its industry, Delek US' definition may not be comparable to similarly titled measures of other companies. See the accompanying tables in this earnings release for a reconciliation of these non-GAAP measures to the most directly comparable GAAP measures. Delek US Holdings, Inc. Condensed Consolidated Balance Sheets (Unaudited) ($ in millions, except share and per share data) March 31, 2026 December 31, 2025 ASSETS Current assets: Cash and cash equivalents $ 624.1 $ 625.8 Accounts receivable, net 942.7 648.7 Inventories, net of inventory valuation reserves 931.0 726.0 Other current assets 149.9 67.5 Total current assets 2,647.7 2,068.0 Property, plant and equipment: Property, plant and equipment 5,811.3 5,586.9 Less: accumulated depreciation (2,399.9 ) (2,314.4 ) Property, plant and equipment, net 3,411.4 3,272.5 Operating lease right-of-use assets 69.9 71.4 Goodwill 475.3 475.3 Other intangibles, net 404.2 405.7 Equity method investments 424.4 427.7 Other non-current assets 137.0 127.1 Total assets $ 7,569.9 $ 6,847.7 LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Accounts payable $ 2,309.7 $ 1,633.8 Current portion of long-term debt 9.5 9.5 Current portion of operating lease liabilities 26.3 27.2 Accrued expenses and other current liabilities 1,149.1 858.9 Total current liabilities 3,494.6 2,529.4 Non-current liabilities: Long-term debt, net of current portion 3,173.6 3,223.6 Obligation under Inventory Intermediation Agreement 230.5 119.5 Environmental liabilities, net of current portion 30.9 31.1 Asset retirement obligations 35.1 34.0 Deferred tax liabilities 159.5 217.9 Operating lease liabilities, net of current portion 42.9 46.1 Other non-current liabilities 100.8 98.8 Total non-current liabilities 3,773.3 3,771.0 Stockholders’ equity: Preferred stock, $0.01 par value, 10,000,000 shares authorized, no shares issued and outstanding — — Common stock, $0.01 par value, 110,000,000 shares authorized, 78,793,863 shares and 77,357,447 shares issued at March 31, 2026, and December 31, 2025, respectively 0.8 0.8 Additional paid-in capital 1,274.4 1,290.9 Accumulated other comprehensive loss — — Treasury stock, 17,575,527 shares, at cost, at March 31, 2026, and December 31, 2025, respectively (694.1 ) (694.1 ) Retained earnings (deficit) (528.6 ) (311.1 ) Non-controlling interests in subsidiaries 249.5 260.8 Total stockholders’ equity 302.0 547.3 Total liabilities and stockholders’ equity $ 7,569.9 $ 6,847.7 Delek US Holdings, Inc. Condensed Consolidated Statements of Income (Loss) (Unaudited) ($ in millions, except share and per share data) Three Months Ended March 31, 2026 2025 Net revenues $ 2,653.1 $ 2,641.9 Cost of sales: Cost of materials and other 2,465.8 2,399.5 Operating expenses (excluding depreciation and amortization presented below) 219.9 211.1 Depreciation and amortization 97.6 95.0 Total cost of sales 2,783.3 2,705.6 Operating expenses related to wholesale business (excluding depreciation and amortization presented below) 1.6 1.3 General and administrative expenses 44.0 61.5 Depreciation and amortization 5.7 6.3 Asset impairment — — Other operating expense (income), net (2.2 ) (7.0 ) Total operating costs and expenses 2,832.4 2,767.7 Operating income (loss) (179.3 ) (125.8 ) Interest expense, net 84.5 84.1 Income from equity method investments (14.6 ) (13.3 ) Other expense (income), net (0.3 ) (1.6 ) Total non-operating expense, net 69.6 69.2 Income (loss) from continuing operations before income tax expense (benefit) (248.9 ) (195.0 ) Income tax expense (benefit) (58.2 ) (36.8 ) Income (loss) from continuing operations, net of tax (190.7 ) (158.2 ) Discontinued operations: Income (loss) from discontinued operations (0.3 ) (0.4 ) Income tax expense (benefit) (0.1 ) (0.1 ) Income (loss) from discontinued operations, net of tax (0.2 ) (0.3 ) Net income (loss) (190.9 ) (158.5 ) Net income attributed to non-controlling interests 10.4 14.2 Net income (loss) attributable to Delek $ (201.3 ) $ (172.7 ) Basic income (loss) per share: Income (loss) from continuing operations $ (3.34 ) $ (2.78 ) Income (loss) from discontinued operations $ — $ — Total basic income (loss) per share $ (3.34 ) $ (2.78 ) Diluted income (loss) per share: Income (loss) from continuing operations $ (3.34 ) $ (2.78 ) Income (loss) from discontinued operations $ — $ — Total diluted income (loss) per share $ (3.34 ) $ (2.78 ) Weighted average common shares outstanding: Basic 60,255,377 62,115,776 Diluted 60,255,377 62,115,776 Delek US Holdings, Inc. Condensed Consolidated Cash Flow Data (Unaudited) ($ in millions) Three Months Ended March 31, 2026 2025 Cash flows from operating activities: Cash provided by (used in) operating activities - continuing operations $ 461.3 $ (62.1 ) Cash provided by (used in) operating activities - discontinued operations (0.2 ) (0.3 ) Net cash provided by (used in) operating activities 461.1 (62.4 ) Cash flows from investing activities: Net cash used in investing activities (190.3 ) (314.6 ) Cash flows from financing activities: Net cash provided by (used in) financing activities (272.5 ) 265.2 Net decrease in cash and cash equivalents (1.7 ) (111.8 ) Cash and cash equivalents at the beginning of the period 625.8 735.6 Cash and cash equivalents at the end of the period 624.1 623.8 Working Capital Impacts Included in Cash Flows from Operating Activities from Continuing Operations ($ in millions) Three Months Ended March 31, 2026 2025 Favorable (unfavorable) cash flow working capital changes (1) $ 600.9 $ 25.6 (1) Includes obligations under the inventory intermediation agreement. Significant Transactions During the Quarter Impacting Results: Restructuring Costs In 2022, we announced that we are progressing a business transformation focused on enterprise-wide opportunities to improve the efficiency of our cost structure. For the first quarter 2026, we recorded restructuring costs totaling $2.7 million ($2.1 million after-tax) associated with our business transformation. Restructuring costs of $1.7 million are recorded in general and administrative expenses and $1.0 million are included in operating expenses in our condensed consolidated statements of income. General and Administrative Expenses Excluding transaction costs and restructuring costs, general and administrative expenses were $40.2 million for the three months ended March 31, 2026. Transactions with Delek Logistics In January 2026, we entered into asset purchase agreements with Delek Logistics, pursuant to which we agreed to acquire a Tyler refinery tank for total consideration of $19.0 million and El Dorado tank and terminal assets for total consideration of $66.0 million. The Tyler Tank Purchase closed on April 1, 2026 with consideration paid through transfer of Delek Logistics common units, based on a 30-day volume weighted average unit price. The El Dorado Terminal Purchase is expected to close on October 1, 2027, subject to the satisfaction of customary closing conditions. Other Inventory Impact "Other inventory impact" is primarily calculated by multiplying the number of barrels sold during the period by the difference between current period weighted average purchase cost per barrel directly related to our refineries and per barrel cost of materials and other for the period recognized on a first-in, first-out basis directly related to our refineries. Contacts Investor/Media Relations Contacts:investor.relations@delekus.com Information about Delek US Holdings, Inc. can be found on its website (www.delekus.com), investor relations webpage (ir.delekus.com), news webpage (

Delek US Holdings Reports First Quarter 2026 Results

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