HF Sinclair profit declines on lower refining margins

(Reuters) -HF Sinclair on Thursday joined bigger rivals in reporting a fall in second-quarter profit as margins slipped from last year’s peaks that were driven by supply shortages due to the Russia-Ukraine conflict.

Refiners last year posted bumper profits, benefiting from strong pricing after Russia’s invasion of Ukraine strained fuel supplies that were already running low due to reopening economies across the world after a long pandemic-led shutdown.

HF said consolidated refinery gross margin stood at $22.22 per produced barrel, a 39% fall from a year earlier.

The Dallas, Texas-based company said net income attributable to stockholders fell to $507.7 million, or $2.62 per share, for the three months ended June 30, from $1.22 billion, or $5.43 per share, a year earlier.