Valero Energy Q1 Profit Down

(RTTNews) - Valero Energy Corp. (VLO) reported that its net income attributable to stockholders for the first quarter of 2019 declined to $141 million or $0.34 per share from $469 million or $1.09 per share, for the first quarter of 2018. Excluding adjustments, first quarter 2018 adjusted net income attributable to Valero stockholders was $431 million, or $1.00 per share.

Revenues were $24.26 billion down from $26.44 billion in the prior year.

Analysts polled by Thomson Reuters expected the company to report earnings of $0.29 per share and revenues of $21.54 billion. Analysts' estimates typically exclude special items.

Valero said it continues to target a total payout ratio between 40 and 50 percent of adjusted net cash provided by operating activities for 2019. Valero defines total payout ratio as the sum of dividends and stock buybacks divided by net cash provided by operating activities adjusted for changes in working capital.

Valero continues to expect to invest approximately $2.5 billion of capital in both 2019 and 2020, of which approximately 60 percent is for sustaining the business and approximately 40 percent is for growth projects.