Company: DK
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0001628280-25-050541
Chunk: 31

Company: Delek US Holdings, Inc.
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 1
Chunk 31
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 and asphalt inventory for all of our operations are stated at the lower of cost determined using the first-in, first-out basis or net realizable value. The following table presents the components of inventory for each period presented (in millions):Titled InventoryInventory Intermediation Agreement (1)TotalSeptember 30, 2025Feedstocks, raw materials and supplies$194.3 $110.1 $304.4 Refined products and blendstock267.0 197.9 464.9 Total$461.3 $308.0 $769.3 December 31, 2024Feedstocks, raw materials and supplies$246.5 $131.5 $378.0 Refined products and blendstock243.4 271.8 515.2 Total$489.9 $403.3 $893.2 (1) Refer to Note 9 - Inventory Intermediation Obligations for further information.At September 30, 2025, we recorded a pre-tax inventory valuation reserve of $0.7 million due to a market price decline below our cost of certain inventory products. At December 31, 2024, we recorded a pre-tax inventory valuation reserve of $0.9 million. We recognized a net reduction (increase) in cost of materials and other in the accompanying condensed consolidated statements of income related to the change in pre-tax inventory valuation of $0.3 million and $0.2 million for the three and nine months ended September 30, 2025, respectively, $(0.1) million and $10.5 million for the three and nine months ended September 30, 2024, respectively.

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Notes to Condensed Consolidated Financial Statements (unaudited)

9. Inventory Intermediation Obligations

The following table summarizes our outstanding obligations under our Inventory Intermediation Agreement (as defined below) (in millions):As of September 30, 2025As of December 31, 2024Obligations under Inventory Intermediation AgreementObligations related to Base Layer Volumes$331.2 $408.7 Current portion— —  Total obligations under Inventory Intermediation Agreement$331.2 $408.7 Other payable for monthly activity true-up $9.9 $20.2 Included in the Inventory Intermediation Agreement are cost of financing associated with the value of the inventory and other