Phillips 66PSX

Phillips 66 Revenue Disclosure

10-KFiled Feb 20, 20262 min read
Sales and Other Operating Revenues
Disaggregated Revenues
The following tables present our disaggregated sales and other operating revenues for the years ended December 31:

 Millions of Dollars
 202520242023
Product Line and Services
Refined petroleum products and renewable fuels$97,359 103,685 108,644 
Crude oil resales15,183 22,008 20,824 
NGL and natural gas17,066 14,548 14,467 
Services and other*2,768 2,912 3,464 
Consolidated sales and other operating revenues$132,376 143,153 147,399 
Geographic Location**
United States$104,259 113,599 118,786 
United Kingdom13,207 12,713 14,642 
Germany4,993 5,265 5,547 
Other countries9,917 11,576 8,424 
Consolidated sales and other operating revenues$132,376 143,153 147,399 
* Includes derivatives-related activities. See Note 19—Derivatives and Financial Instruments for additional information.
** Sales and other operating revenues are attributable to countries based on the location of the operations generating the revenues.


Contract-Related Assets and Liabilities
At December 31, 2025 and 2024, receivables from contracts with customers were $7,781 million and $8,615 million, respectively. Significant noncustomer balances, such as buy/sell receivables and excise tax receivables, were excluded from these amounts.

Our contract-related assets also include payments we make to our marketing customers related to incentive programs. An incentive payment is initially recognized as an asset and subsequently amortized as a reduction to revenue over the contract term, which generally ranges from 5 to 15 years. At December 31, 2025 and 2024, our asset balances related to such payments were $820 million and $643 million, respectively.

Our contract liabilities primarily represent advances from our customers prior to product or service delivery. At December 31, 2025 and 2024, contract liabilities were $198 million and $232 million, respectively.

Remaining Performance Obligations
Most of our contracts with customers are spot contracts or term contracts with only variable consideration. We do not disclose remaining performance obligations for these contracts as the expected duration is one year or less or because the variable consideration has been allocated entirely to an unsatisfied performance obligation. We also have certain contracts in our Midstream segment that include minimum volume commitments with fixed pricing. At December 31, 2025, the remaining performance obligations related to these minimum volume commitment contracts amounted to $854 million. This amount excludes variable consideration and estimates of variable rate escalation clauses in our contracts with customers, and is expected to be recognized through 2036 with a weighted average remaining life of four years as of December 31, 2025.
Free Sentinel

Want the next Phillips 66 revenue disclosure the moment it drops?

Set a Sentinel and we'll alert you the moment Phillips 66's next filing hits EDGAR. No credit card, your email never gets sold.

Track for free

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.

Other Available Disclosures

Income TaxesEarnings Per ShareFair ValuePP&EGoodwill & IntangiblesLeasesSegmentsDebtCommitmentsStock CompensationNew Standards