By Laura Sanicola
Reuters
Refiners are expected to report big first-quarter losses after February's winter storm froze activity along the Gulf Coast, but as more Americans are vaccinated against COVID-19, analysts expect the industry's outlook to brighten as demand rebounds.
Seven independent U.S. refiners are projected to post an average earnings-per-share loss of $1.32, versus a loss of $1.77 in the fourth quarter of 2020, according to IBES data from Refinitiv.
The culprit? February's severe storm that knocked out power for millions and took numerous refiners offline for weeks.
However, analysts will be listening to the companies' forward outlooks, expecting demand to rebound as most U.S. states rapidly rolled out vaccination programs in the quarter. U.S. fuel demand has rebounded in recent weeks, with overall interstate miles traveled in the last week of March just 2% below 2019 levels, the U.S. Department of Transportation said.