May 06, 2026 [Reuters]- Marathon Petroleum beat first-quarter profit estimates and ‌boosted its share repurchase program on Tuesday, as supply disruptions driven by the Iran war sent refining margins soaring.

The Findlay, Ohio-based refiner’s shares were up 2.1% in midday trading, with the stock up nearly 60% so far this year.

Marathon approved an additional $5 billion share repurchase ​program, bringing the total remaining authorization to about $8.6 billion.

U.S. refined products exports hit a record high in ​March as the Iran war and the near-closure of the Strait of Hormuz tightened ⁠global fuel supplies, forcing output cuts abroad and supporting U.S. refiners’ margins. U.S. refiners are less reliant on Middle Eastern crude ​and are well placed to capture demand through exports.

“We are largely insulated from global crude supply disruptions, given our ​crude sourcing comes mainly from the United States and Canada,” Marathon CEO Maryann Mannen told investors during a call on Tuesday.

Mannen noted the company pulled forward some turnaround work, completing about 40% of the work planned for the year, in the first ​quarter. “This was just our intent to bring that cost forward so that we are prepared, as we are ​running strong in the second quarter, given the demand that we’re seeing.”

Marathon, the top U.S. refiner by volume, said its refining and marketing ‌margin ⁠was $17.74 per barrel for the first quarter, 32.6% higher than last year.

The strong margins have lifted results across the sector, with Valero Energy, Phillips 66 and HF Sinclair all reporting profits that exceeded expectations.

RESULTS PARTLY OFFSET BY HIGHER OPERATING COSTS

Marathon reported crude capacity utilization of 89%, resulting in total throughput of 2.9 million barrels per day (bpd) ​in the first quarter, compared ​with 2.8 million bpd ⁠a year earlier.

For the second quarter, Marathon expects throughput of 2.99 million bpd.

First-quarter results were partly offset by higher operating costs linked to refinery turnaround activity and derivative ​losses tied to economic hedging.

It expects to spend $1.5 billion in 2026, largely on ​projects to improve ⁠margins at key refineries.

In the first quarter, Marathon brought its Garyville, Louisiana jet flexibility project online, enabling it to upgrade existing output into higher-value jet fuel and capture rising domestic and export demand.

Marathon reported adjusted profit of $1.65 per share for the quarter ended ⁠March 31, ​beating analysts’ average estimate of 75 cents per share, according to ​data compiled by LSEG.