HF Sinclair CorpDINO

HF Sinclair Corp Revenue Disclosure

10-KFiled Feb 27, 20263 min read
Revenues
Substantially all revenue-generating activities relate to sales of refined products and excess crude oil inventories at market prices (variable consideration) under contracts with customers. Additionally, we have revenues attributable to our logistics services provided under petroleum product and crude oil pipeline transportation, processing, storage and terminalling agreements with third parties.

Disaggregated revenues were as follows:
Years Ended December 31,
202520242023
(In millions)
Revenues by type:
Refined product revenues:
Transportation fuels (1)
$20,934 $22,235 $24,582 
Lubricants and specialty products (2)
2,307 2,429 2,521 
Asphalt, fuel oil and other products (3)
1,426 1,932 2,167 
Total refined product revenues24,667 26,596 29,270 
Excess crude oil revenues (4)
1,335 1,570 2,147 
Transportation and logistic services121 107 118 
Other revenues (5)
746 307 429 
Total sales and other revenues$26,869 $28,580 $31,964 
Years Ended December 31,
202520242023
(In millions)
Refined product revenues by market: (6)
United States:
Mid-Continent$8,999 $9,710 $10,756 
Southwest3,536 4,213 4,056 
Rocky Mountains5,314 5,781 6,916 
Northwest4,768 4,746 5,296 
Northeast820 836 959 
Canada964 1,047 1,022 
Other
266 263 265 
Total refined product revenues$24,667 $26,596 $29,270 
(1)Transportation fuels revenues are attributable to our: (i) Refining segment wholesale gasoline, diesel and jet fuel, (ii) Marketing segment branded gasoline and diesel fuel and (iii) Renewables segment renewable diesel fuel.
(2)Lubricant and specialty products consist of finished lubricants, specialty fluids, waxes, base oils, and other by-products.
(3)Asphalt, fuel oil and other products revenues are attributable to the Refining and Lubricants & Specialties segments.
(4)Excess crude oil revenues represent sales of purchased crude oil inventory that occasionally exceed our refineries’ supply needs.
(5)Other revenues are principally attributable to our Refining, Marketing and Lubricants & Specialties segments. During the year ended December 31, 2025, other revenues included $430 million in RIN sales.
(6)Revenues are allocated to markets based on the location where the sale originated.

As of December 31, 2025, we have long-term contracts with customers that specify minimum volumes of gasoline, diesel and lubricants and specialty products to be sold ratably at market prices through 2035. Future prices are subject to market fluctuations and therefore, we have elected the exemption to exclude variable consideration under these contracts. Aggregate minimum volumes expected to be sold (future performance obligations) under our long-term product sales contracts with customers are as follows:

Contractual Minimum202620272028ThereafterTotal
(In millions)
Refined product sales volumes (barrels)36 29 21 10 96 
Additionally, we have long-term contracts with third-party customers that specify minimum volumes of product to be transported through our pipelines and terminals, resulting in fixed-minimum annual revenues through 2033. Annual minimum revenues attributable to our third-party contracts as of December 31, 2025 are presented below:

Contractual Minimum202620272028ThereafterTotal
(In millions)
Midstream operations revenues$22 $22 $22 $43 $109 

For the year ended December 31, 2025, no customers accounted for 10% or more of our total annual revenues. For the years ended December 31, 2024 and 2023, we had one customer, Shell, together with certain of its affiliates, that accounted for 10% or more of our total annual revenues at approximately 11% and 12%, respectively, which were primarily generated through our Refining segment operations.

Historical Timeline

Fiscal YearFiled
2025Feb 27, 2026Showing above
2024Feb 20, 2025
2023Feb 21, 2024
2022Feb 28, 2023

About Revenue Disclosures

Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.

Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.

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