Tesoro Corp. (TSO, Financial) filed Quarterly Report for the period ended 2009-06-30.
Tesoro was founded in 1968 as a company primarily engaged in petroleum exploration and production. In 1969 Tesoro began operating Alaska\'s first refinery near Kenai. Today Tesoro is a FORTUNE 500 company and one of the largest independent petroleum refiners and marketers in the Western United States. Tesoro Corp. has a market cap of $1.81 billion; its shares were traded at around $13.07 with a P/E ratio of 4.9 and P/S ratio of 0.1. The dividend yield of Tesoro Corp. stocks is 3.1%. Tesoro Corp. had an annual average earning growth of 20.1% over the past 10 years.
Our net loss was $45 million ($0.33 per diluted share) for the three months ended June 30, 2009 (2009 Quarter), compared with net earnings of $4 million ($0.03 per diluted share) for the three months ended June 30, 2008 (2008 Quarter). The decrease in net earnings during the 2009 Quarter was primarily due to the following:
For the year-to-date periods, our net earnings were $6 million ($0.04 per diluted share) for the six months ended June 30, 2009 (2009 Period), compared with a net loss of $78 million ($0.57 per diluted share) for the six months ended June 30, 2008 (2008 Period). The increase in net earnings during the 2009 Period was primarily due to the following:
Read the The complete ReportTSO is in the portfolios of Kenneth Fisher of Fisher Asset Management, LLC.
Tesoro was founded in 1968 as a company primarily engaged in petroleum exploration and production. In 1969 Tesoro began operating Alaska\'s first refinery near Kenai. Today Tesoro is a FORTUNE 500 company and one of the largest independent petroleum refiners and marketers in the Western United States. Tesoro Corp. has a market cap of $1.81 billion; its shares were traded at around $13.07 with a P/E ratio of 4.9 and P/S ratio of 0.1. The dividend yield of Tesoro Corp. stocks is 3.1%. Tesoro Corp. had an annual average earning growth of 20.1% over the past 10 years.
Highlight of Business Operations:
Our profitability is substantially determined by the difference between the price of refined products and the price of crude oil or refining industry margins. During the first half of 2009, the economic recession, including historically high unemployment rates on the U.S. West Coast, continued to negatively impact demand for refined products and refining industry margins. However, during the 2009 first quarter heavy refining industry turnaround activity and historically low gasoline inventories on the U.S. West Coast resulted in unseasonably strong industry gasoline margins during the first quarter, which improved slightly during the second quarter, and improved significantly over 2008 fourth quarter margins. Although industry gasoline margins during the second quarter averaged above first quarter levels, falling demand during May and June weakened these margins. U.S. West Coast benchmark gasoline margins averaged $19 per barrel during the second quarter and $17 per barrel during the first quarter, compared to an average of $7 per barrel in the fourth quarter of 2008. While industry margins for gasoline increased, industry distillate margins weakened substantially. U.S. distillate inventories continued to climb during the first half of 2009 and remained well above the five-year average. Further, distillate demand continued to be well below the five-year average due to significantly lower global commercial activity. Due to these factors, U.S. West Coast benchmark diesel margins decreased to an average of $9 per barrel in the second quarter from $12 per barrel in the first quarter and $19 per barrel in the fourth quarter of 2008. Refining industry margins were also negatively impacted during the 2009 second quarter as spreads between heavy and light crude oil prices continued to narrow. For example, discounts for spot San Joaquin Valley crude (a heavy crude oil) traded $8 per barrel below Alaska North Slope crude (a light crude oil) versus $15 per barrel last year. Discounts for heavy crude oil narrowed due to a lower supply of heavy crude oils from Venezuela and Mexico and higher demand in China and India.Our net loss was $45 million ($0.33 per diluted share) for the three months ended June 30, 2009 (2009 Quarter), compared with net earnings of $4 million ($0.03 per diluted share) for the three months ended June 30, 2008 (2008 Quarter). The decrease in net earnings during the 2009 Quarter was primarily due to the following:
For the year-to-date periods, our net earnings were $6 million ($0.04 per diluted share) for the six months ended June 30, 2009 (2009 Period), compared with a net loss of $78 million ($0.57 per diluted share) for the six months ended June 30, 2008 (2008 Period). The increase in net earnings during the 2009 Period was primarily due to the following:
Read the The complete ReportTSO is in the portfolios of Kenneth Fisher of Fisher Asset Management, LLC.
