Blue Dolphin Energy Reports Q2 2025 Revenue Decline of 18.8% to $56.6 Million

Blue Dolphin Energy Company reported its financial results for the second quarter and the first half of 2025, revealing a total revenue of $56.6 million for the quarter, down 18.8% from $69.7 million in the same period last year. For the six months ended June 30, 2025, revenue was $140.3 million, a decrease of 12.7% compared to $160.7 million in the first half of 2024. The decline in revenue was attributed to lower market pricing and reduced sales volumes in both refinery operations and tolling and terminaling services. The company recorded a net loss of $1.7 million, or $0.12 per share, for the second quarter, an improvement from a loss of $6.4 million, or $0.43 per share, in the prior year.

In terms of operational performance, Blue Dolphin's refining operations generated $55.8 million in revenue for the second quarter, down from $68.5 million in 2024, primarily due to decreased market pricing. The cost of goods sold also fell to $56.0 million from $74.4 million, reflecting a 24.6% decrease driven by lower crude pricing and a shift in product sales mix. The company reported a gross profit of $0.6 million for the quarter, a significant recovery from a gross loss of $4.7 million in the previous year. Consolidated EBITDA for the quarter was $0.1 million, compared to a loss of $5.9 million in the same quarter of 2024.

Blue Dolphin's operational metrics showed a slight increase in refinery downtime, with 14 days recorded in Q2 2025 compared to 13 days in Q2 2024. The company experienced 15 days of downtime in the first half of 2025, a decrease from 18 days in the same period last year. The company continues to focus on optimizing its existing asset base and improving operational efficiencies, including enhancements to its flare gas monitoring system to reduce greenhouse gas emissions.

Looking ahead, Blue Dolphin faces uncertainties related to macroeconomic conditions, including inflation, tariffs, and geopolitical tensions, which could impact refining margins and overall demand for its products. The company is actively seeking to improve its balance sheet and has engaged with potential lenders for additional funding to refinance and restructure its debt, which includes significant amounts currently in default. Management remains cautious about the future, emphasizing the need for favorable refining margins and the ability to manage working capital effectively to sustain operations.