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July 27 (Reuters) – Refiner Valero Energy Corp reported a slump in second-quarter profit as improved fuel supplies and slowing economic activity compressed margins.
The San Antonio, Texas-based firm said its refining margins for the April-June quarter fell to $4.22 billion from $8.09 billion in the year-ago quarter.
An increase in global refining capacity compared to last year has also pulled down the market from last year’s peaks.
Demand for diesel has been low due to a slowdown in trucking and freight markets.
Valero said total refinery throughput volumes averaged 2.96 million barrels per day in the quarter, roughly same as last year.
Net income attributable to the company’s stockholders was $1.9 billion, or $5.40 per share, for the three months ended June 30, compared with $4.7 billion, or $11.57 per share, a year earlier.
(Reporting by Sourasis Bose in Bengaluru; Editing by Sriraj Kalluvila)
