This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Phillips 66 Reports Fourth-Quarter Earnings Of $708 Million Or $1.11 Per Share

In the fourth quarter, Phillips 66 returned more than $400 million of capital to shareholders through $157 million in dividend payments and $245 million of share repurchases. In December, Phillips 66’s board of directors approved a 25 percent increase in the company’s annual dividend rate, raising it to $1.25 per share for 2013. The board of directors also approved an additional $1.0 billion of share repurchases, increasing the total repurchase program to $2.0 billion.

Full-year Financial Results

Phillips 66’s full-year 2012 earnings were $4.1 billion or $6.48 per share. This compares with $4.8 billion or $7.52 per share for 2011. Full-year adjusted earnings were $5.4 billion or $8.46 per share in 2012, compared with $3.6 billion or $5.66 per share in 2011. The company generated strong returns with a reported return on capital employed (ROCE) of 17 percent and an adjusted ROCE of 22 percent.

During 2012, the company generated $4.3 billion in cash from operations. Excluding working capital, operating cash flow was $5.5 billion. Phillips 66 funded $1.7 billion in capital expenditures and investments. In addition, the company paid $282 million in dividends, and repurchased 7.6 million shares of common stock totaling $356 million.

Strategic Initiatives

Phillips 66 remains focused on value creation and growth in its Midstream and Chemicals segments. As announced in December, the company intends to form a master limited partnership. A registration statement is expected to be filed with the Securities and Exchange Commission in the second quarter of 2013 and, subject to final approval by Phillips 66’s board of directors, an initial public offering is anticipated during the second half of 2013.

DCP continues to execute its long-term growth plan. In December, the first phase of the Sand Hills pipeline, which extends from Eagle Ford to Mont Belvieu, was placed in service. The second phase of the project, with deliveries from the Permian Basin, is expected to be complete in the second quarter of 2013. Southern Hills is also on schedule with service from the midcontinent to Mont Belvieu anticipated by mid-2013. DCP expects to increase the initial projected capacity of Southern Hills from 150,000 barrels per day to 175,000 barrels per day.

4 of 7

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,869.47 -266.25 -1.47%
S&P 500 2,074.69 -26.35 -1.25%
NASDAQ 4,933.3860 -49.4230 -0.99%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs