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US oil refiner HollyFrontier's profit tops estimates

(Reuters) — US oil refiner HollyFrontier Corp on Wednesday reported a quarterly profit that handily beat analysts' estimates, helped by higher production and refinery margins.

HollyFrontier said its refinery gross margin jumped 29.2% to $11.47 per produced barrel in the second quarter ended June 30.

The company produced 483,210 bpd of refined products, compared with 442,660 bpd, a year earlier.

Robust demand for refined products and declining inventories have benefited refiners, whose margins dipped sharply last year due to a gasoline and diesel glut.

Net profit attributable to HollyFrontier's shareholders was $57.8 MM, or 33 cents per share in the quarter, compared with a loss of $409.4 MM, or $2.33 per share, a year earlier.

HollyFrontier took an asset impairment charge of more than $600 MM in the year-ago quarter.

Excluding one-time items, the company earned 66 cents per share, beating analysts' average expectation of 47 cents according to Thomson Reuters I/B/E/S.

Sales and other revenue climbed 27.4% to $3.46 B.

Reporting by Ahmed Farhatha in Bengaluru; Editing by Shounak Dasgupta and Sai Sachin Ravikumar

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