Murphy USA Inc. Reports Third Quarter 2024 Results
Key Highlights:
-
Net income was
$149.2 million , or$7.20 per diluted share, in Q3 2024 compared to net income of$167.7 million , or$7.69 per diluted share, in Q3 2023
- Total fuel contribution for Q3 2024 was 32.6 cpg, compared to 34.5 cpg in Q3 2023
- Total retail gallons increased 2.0%, and volumes on a same store sales ("SSS") basis increased 0.5%, in Q3 2024 compared to Q3 2023
-
Merchandise contribution dollars for Q3 2024 increased 2.4% to
$216.8 million on average unit margins of 20.0%, compared to Q3 2023 contribution dollars of$211.8 million on unit margins of 20.1%
-
During Q3 2024, the Company repurchased approximately 244.4 thousand common shares for
$126.4 million at an average price of$517.17 per share
-
The Company paid a quarterly cash dividend of
$0.45 per share, or$1.80 per share on an annualized basis, onSeptember 5, 2024 , a 2.3% increase from June of 2024, for a total cash payment of$9.2 million
-
On
October 24, 2024 , the Company announced a quarterly cash dividend of$0.48 per share, or$1.92 per share on an annualized basis, reflecting a 6.7% increase from the prior quarter. The dividend is payable onDecember 2, 2024 , to stockholders of record as ofNovember 4, 2024
“Strength in our core categories continued to drive Murphy USA’s advantaged business model in the third quarter,” said President and CEO
Consolidated Results
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||
Key Operating Metrics |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
Net income (loss) ($ Millions) |
|
$ |
149.2 |
|
$ |
167.7 |
|
$ |
360.0 |
|
$ |
406.8 |
Earnings per share (diluted) |
|
$ |
7.20 |
|
$ |
7.69 |
|
$ |
17.17 |
|
$ |
18.47 |
Adjusted EBITDA ($ Millions) |
|
$ |
285.6 |
|
$ |
306.0 |
|
$ |
728.5 |
|
$ |
783.3 |
Net income and Adjusted EBITDA for Q3 2024 declined versus the prior-year quarter, due primarily to lower total fuel contribution and higher store operating expenses, which were partially offset by higher retail fuel volumes and higher overall merchandise contribution.
Fuel
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
Key Operating Metrics |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
Total retail fuel contribution ($ Millions) |
|
$ |
395.7 |
|
|
$ |
348.6 |
|
|
$ |
1,010.9 |
|
|
$ |
948.0 |
|
Total PS&W contribution ($ Millions) |
|
|
(24.2 |
) |
|
|
(11.4 |
) |
|
|
(21.3 |
) |
|
|
(114.5 |
) |
RINs (included in Other operating revenues on Consolidated Income Statement) ($ Millions) |
|
32.7 |
|
|
|
81.8 |
|
|
|
91.0 |
|
|
|
281.2 |
|
|
Total fuel contribution ($ Millions) |
|
$ |
404.2 |
|
|
$ |
419.0 |
|
|
$ |
1,080.6 |
|
|
$ |
1,114.7 |
|
Retail fuel volume - chain (Million gal) |
|
|
1,239.3 |
|
|
|
1,214.9 |
|
|
|
3,624.0 |
|
|
|
3,595.4 |
|
Retail fuel volume - per store (K gal APSM)1 |
|
|
248.4 |
|
|
|
245.8 |
|
|
|
241.9 |
|
|
|
241.8 |
|
Retail fuel volume - per store (K gal SSS)2 |
|
|
245.2 |
|
|
|
241.7 |
|
|
|
238.7 |
|
|
|
237.7 |
|
Total fuel contribution (cpg) |
|
|
32.6 |
|
|
|
34.5 |
|
|
|
29.8 |
|
|
|
31.0 |
|
Retail fuel margin (cpg) |
|
|
31.9 |
|
|
|
28.7 |
|
|
|
27.9 |
|
|
|
26.4 |
|
PS&W including RINs contribution (cpg) |
|
|
0.7 |
|
|
|
5.8 |
|
|
|
1.9 |
|
|
|
4.6 |
|
|
||||||||||||||||
1Average Per Store Month ("APSM") metric includes all stores open through the date of calculation |
||||||||||||||||
22023 amounts not revised for 2024 raze-and-rebuild activity |
Total fuel contribution dollars of
Merchandise
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
Key Operating Metrics |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
Total merchandise contribution ($ Millions) |
|
$ |
216.8 |
|
|
$ |
211.8 |
|
|
$ |
624.9 |
|
|
$ |
605.7 |
|
Total merchandise sales ($ Millions) |
|
$ |
1,082.4 |
|
|
$ |
1,055.6 |
|
|
$ |
3,163.5 |
|
|
$ |
3,070.8 |
|
Total merchandise sales ($K SSS)1,2 |
|
$ |
211.4 |
|
|
$ |
206.8 |
|
|
$ |
206.1 |
|
|
$ |
200.1 |
|
Merchandise unit margin (%) |
|
|
20.0 |
% |
|
|
20.1 |
% |
|
|
19.8 |
% |
|
|
19.7 |
% |
Nicotine contribution ($K SSS)1,2 |
|
$ |
19.8 |
|
|
$ |
19.0 |
|
|
$ |
19.4 |
|
|
$ |
18.2 |
|
Non-nicotine contribution ($K SSS)1,2 |
|
$ |
22.9 |
|
|
$ |
22.9 |
|
|
$ |
21.8 |
|
|
$ |
21.6 |
|
Total merchandise contribution ($K SSS)1,2 |
|
$ |
42.7 |
|
|
$ |
41.9 |
|
|
$ |
41.2 |
|
|
$ |
39.8 |
|
|
||||||||||||||||
12023 amounts not revised for 2024 raze-and-rebuild activity |
||||||||||||||||
2Includes store-level discounts for Murphy Drive Reward ("MDR") redemptions and excludes change in value of unredeemed MDR points |
Total merchandise contribution increased
Other Areas
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||
Key Operating Metrics |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
Total store and other operating expenses ($ Millions) |
$ |
276.1 |
|
$ |
265.6 |
|
$ |
798.1 |
|
$ |
760.6 |
|
Store OPEX excluding payment fees and rent
|
$ |
36.1 |
|
$ |
34.7 |
|
$ |
35.0 |
|
$ |
33.1 |
|
Total SG&A cost ($ Millions) |
|
$ |
60.0 |
|
$ |
60.0 |
|
$ |
181.2 |
|
$ |
178.4 |
Total store and other operating expenses were
Store Openings
The tables below reflect changes in our store portfolio in Q3 2024:
Net Change in Q3 2024 |
|
Murphy
|
|
|
|
Total |
||
New-to-industry ("NTI") |
|
4 |
|
— |
|
|
4 |
|
Closed |
|
— |
|
— |
|
|
— |
|
Net change |
|
4 |
|
— |
|
|
4 |
|
|
|
|
|
|
|
|
||
Raze-and-rebuilds reopened in Q3* |
|
16 |
|
— |
|
|
16 |
|
|
|
|
|
|
|
|
||
Under Construction at End of Q3 |
|
|
|
|
|
|
||
NTI |
|
27 |
|
3 |
|
|
30 |
|
Raze-and-rebuilds* |
|
20 |
|
— |
|
|
20 |
|
Total under construction at end of Q3 |
|
47 |
|
3 |
|
|
50 |
|
|
|
|
|
|
|
|
||
Net Change YTD in 2024 |
|
|
|
|
|
|
||
NTI |
|
9 |
|
1 |
|
|
10 |
|
Closed |
|
— |
|
(3 |
) |
|
(3 |
) |
Net change |
|
9 |
|
(2 |
) |
|
7 |
|
|
|
|
|
|
|
|
||
Raze-and-rebuilds reopened YTD* |
|
27 |
|
— |
|
|
27 |
|
|
|
|
|
|
|
|
||
Store count at |
|
1,586 |
|
154 |
|
|
1,740 |
|
|
|
|
|
|
|
|
||
*Store counts include raze-and-rebuild stores |
Financial Resources
|
|
As of |
||||
Key Financial Metrics |
|
2024 |
|
2023 |
||
Cash and cash equivalents ($ Millions) |
|
$ |
52.5 |
|
$ |
124.8 |
Marketable securities, current ($ Millions) |
|
$ |
1.5 |
|
$ |
8.5 |
Marketable securities, non-current ($ Millions) |
|
$ |
— |
|
$ |
7.4 |
Long-term debt, including finance lease obligations ($ Millions) |
$ |
1,820.0 |
|
$ |
1,786.4 |
Cash balances as of
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||
Key Financial Metric |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
Average shares outstanding (diluted) (in thousands) |
20,735 |
|
21,790 |
|
20,969 |
|
22,020 |
At
The effective income tax rate was approximately 24.9% for both Q3 2024 and Q3 2023.
The Company paid a quarterly cash dividend on
2024 Guidance Update
Concurrent with the earnings release, the Company is also updating our full-year capital expenditure expectations to a range of
In addition, we are revising our guidance for our full-year SG&A expenses to a range of
All other previously issued guidance metrics remain unchanged.
Earnings Call Information
The Company will host a conference call on
Source:
Forward-Looking Statements
Certain statements in this news release contains certain statements or may suggest “forward-looking” information (as defined in the Private Securities Litigation Reform Act of 1995) that involve risk and uncertainties, including, but not limited to our M&A activity, anticipated store openings and associated capital expenditures, fuel margins, merchandise margins, sales of RINs, trends in our operations, dividends, and share repurchases. Such statements are based upon the current beliefs and expectations of the Company’s management and are subject to significant risks and uncertainties. Actual future results may differ materially from historical results or current expectations depending upon factors including, but not limited to: our ability to continue to maintain a good business relationship with Walmart; successful execution of our growth strategy, including our ability to realize the anticipated benefits from such growth initiatives, and the timely completion of construction associated with our newly planned stores which may be impacted by the financial health of third parties; our ability to effectively manage our inventory, manage disruptions in our supply chain and our ability to control costs; geopolitical events, such as
|
||||||||||||||||
Consolidated Statements of Income |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
(Millions of dollars, except share and per share amounts) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
Operating Revenues |
|
|
|
|
|
|
|
|
||||||||
Petroleum product sales1 |
|
$ |
4,121.4 |
|
|
$ |
4,658.8 |
|
|
$ |
12,273.6 |
|
|
$ |
13,103.6 |
|
Merchandise sales |
|
|
1,082.4 |
|
|
|
1,055.6 |
|
|
|
3,163.5 |
|
|
|
3,070.8 |
|
Other operating revenues |
|
|
34.7 |
|
|
|
83.5 |
|
|
|
96.8 |
|
|
|
286.1 |
|
Total operating revenues |
|
|
5,238.5 |
|
|
|
5,797.9 |
|
|
|
15,533.9 |
|
|
|
16,460.5 |
|
|
|
|
|
|
|
|
|
|
||||||||
Operating Expenses |
|
|
|
|
|
|
|
|
||||||||
Petroleum product cost of goods sold1 |
|
|
3,751.2 |
|
|
|
4,322.5 |
|
|
|
11,287.5 |
|
|
|
12,273.1 |
|
Merchandise cost of goods sold |
|
|
865.6 |
|
|
|
843.8 |
|
|
|
2,538.6 |
|
|
|
2,465.1 |
|
Store and other operating expenses |
|
|
276.1 |
|
|
|
265.6 |
|
|
|
798.1 |
|
|
|
760.6 |
|
Depreciation and amortization |
|
|
62.8 |
|
|
|
57.5 |
|
|
|
180.8 |
|
|
|
171.7 |
|
Selling, general and administrative |
|
|
60.0 |
|
|
|
60.0 |
|
|
|
181.2 |
|
|
|
178.4 |
|
Accretion of asset retirement obligations |
|
|
0.8 |
|
|
|
0.7 |
|
|
|
2.4 |
|
|
|
2.2 |
|
Total operating expenses |
|
|
5,016.5 |
|
|
|
5,550.1 |
|
|
|
14,988.6 |
|
|
|
15,851.1 |
|
|
|
|
|
|
|
|
|
|
||||||||
Gain (loss) on sale of assets |
|
|
(0.4 |
) |
|
|
(0.5 |
) |
|
|
(1.4 |
) |
|
|
(0.6 |
) |
Income (loss) from operations |
|
|
221.6 |
|
|
|
247.3 |
|
|
|
543.9 |
|
|
|
608.8 |
|
|
|
|
|
|
|
|
|
|
||||||||
Other income (expense) |
|
|
|
|
|
|
|
|
||||||||
Investment income |
|
|
1.0 |
|
|
|
2.1 |
|
|
|
3.1 |
|
|
|
4.7 |
|
Interest expense |
|
|
(24.4 |
) |
|
|
(24.6 |
) |
|
|
(74.2 |
) |
|
|
(74.5 |
) |
Other nonoperating income (expense) |
|
|
0.5 |
|
|
|
(1.4 |
) |
|
|
1.0 |
|
|
|
(0.9 |
) |
Total other income (expense) |
|
|
(22.9 |
) |
|
|
(23.9 |
) |
|
|
(70.1 |
) |
|
|
(70.7 |
) |
|
|
|
|
|
|
|
|
|
||||||||
Income before income taxes |
|
|
198.7 |
|
|
|
223.4 |
|
|
|
473.8 |
|
|
|
538.1 |
|
Income tax expense (benefit) |
|
|
49.5 |
|
|
|
55.7 |
|
|
|
113.8 |
|
|
|
131.3 |
|
Net Income |
|
$ |
149.2 |
|
|
$ |
167.7 |
|
|
$ |
360.0 |
|
|
$ |
406.8 |
|
|
|
|
|
|
|
|
|
|
||||||||
Basic and Diluted Earnings Per Common Share |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
$ |
7.30 |
|
|
$ |
7.83 |
|
|
$ |
17.43 |
|
|
$ |
18.80 |
|
Diluted |
|
$ |
7.20 |
|
|
$ |
7.69 |
|
|
$ |
17.17 |
|
|
$ |
18.47 |
|
Weighted-average Common shares outstanding (in thousands): |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
|
20,440 |
|
|
|
21,401 |
|
|
|
20,659 |
|
|
|
21,635 |
|
Diluted |
|
|
20,735 |
|
|
|
21,790 |
|
|
|
20,969 |
|
|
|
22,020 |
|
Supplemental information: |
|
|
|
|
|
|
|
|
||||||||
1Includes excise taxes of: |
|
$ |
601.1 |
|
|
$ |
582.1 |
|
|
$ |
1,757.4 |
|
|
$ |
1,721.0 |
|
|
||||||||||||||||
Segment Operating Results |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
(Millions of dollars, except revenue per same store sales (in thousands) and store counts) |
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
Marketing Segment |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Operating Revenues |
|
|
|
|
|
|
|
|
||||||||
Petroleum product sales |
|
$ |
4,121.4 |
|
|
$ |
4,658.8 |
|
|
$ |
12,273.6 |
|
|
$ |
13,103.6 |
|
Merchandise sales |
|
|
1,082.4 |
|
|
|
1,055.6 |
|
|
|
3,163.5 |
|
|
|
3,070.8 |
|
Other operating revenues |
|
|
34.6 |
|
|
|
83.4 |
|
|
|
96.6 |
|
|
|
285.9 |
|
Total operating revenues |
|
|
5,238.4 |
|
|
|
5,797.8 |
|
|
|
15,533.7 |
|
|
|
16,460.3 |
|
|
|
|
|
|
|
|
|
|
||||||||
Operating expenses |
|
|
|
|
|
|
|
|
||||||||
Petroleum products cost of goods sold |
|
|
3,751.2 |
|
|
|
4,322.5 |
|
|
|
11,287.5 |
|
|
|
12,273.1 |
|
Merchandise cost of goods sold |
|
|
865.6 |
|
|
|
843.8 |
|
|
|
2,538.6 |
|
|
|
2,465.1 |
|
Store and other operating expenses |
|
|
276.1 |
|
|
|
265.5 |
|
|
|
798.0 |
|
|
|
760.5 |
|
Depreciation and amortization |
|
|
58.5 |
|
|
|
53.3 |
|
|
|
169.1 |
|
|
|
158.9 |
|
Selling, general and administrative |
|
|
60.0 |
|
|
|
60.0 |
|
|
|
181.2 |
|
|
|
178.4 |
|
Accretion of asset retirement obligations |
|
|
0.8 |
|
|
|
0.7 |
|
|
|
2.4 |
|
|
|
2.2 |
|
Total operating expenses |
|
|
5,012.2 |
|
|
|
5,545.8 |
|
|
|
14,976.8 |
|
|
|
15,838.2 |
|
|
|
|
|
|
|
|
|
|
||||||||
Gain (loss) on sale of assets |
|
|
(0.3 |
) |
|
|
(0.4 |
) |
|
|
(1.4 |
) |
|
|
(0.5 |
) |
Income (loss) from operations |
|
|
225.9 |
|
|
|
251.6 |
|
|
|
555.5 |
|
|
|
621.6 |
|
|
|
|
|
|
|
|
|
|
||||||||
Other income (expense) |
|
|
|
|
|
|
|
|
||||||||
Interest expense |
|
|
(2.0 |
) |
|
|
(2.2 |
) |
|
|
(6.2 |
) |
|
|
(6.7 |
) |
Other nonoperating income (expense) |
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
|
|
0.1 |
|
Total other income (expense) |
|
|
(2.0 |
) |
|
|
(2.1 |
) |
|
|
(6.2 |
) |
|
|
(6.6 |
) |
|
|
|
|
|
|
|
|
|
||||||||
Income (loss) before income taxes |
|
|
223.9 |
|
|
|
249.5 |
|
|
|
549.3 |
|
|
|
615.0 |
|
Income tax expense (benefit) |
|
|
55.9 |
|
|
|
62.3 |
|
|
|
132.0 |
|
|
|
150.2 |
|
Net income (loss) from operations |
|
$ |
168.0 |
|
|
$ |
187.2 |
|
|
$ |
417.3 |
|
|
$ |
464.8 |
|
|
|
|
|
|
|
|
|
|
||||||||
Total nicotine sales revenue same store sales1,2 |
|
$ |
135.8 |
|
|
$ |
132.1 |
|
|
$ |
132.3 |
|
|
$ |
126.6 |
|
Total non-nicotine sales revenue same store sales1,2 |
|
75.6 |
|
|
|
74.7 |
|
|
|
73.8 |
|
|
|
73.5 |
|
|
Total merchandise sales revenue same store sales1,2 |
$ |
211.4 |
|
|
$ |
206.8 |
|
|
$ |
206.1 |
|
|
$ |
200.1 |
|
|
12023 amounts not revised for 2024 raze-and-rebuild activity |
||||||||||||||||
2Includes store-level discounts for Murphy Drive Reward ("MDR") redemptions and excludes change in value of unredeemed MDR points |
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
Store count at end of period |
|
|
1,740 |
|
|
|
1,724 |
|
|
|
1,740 |
|
|
|
1,724 |
|
Total store months during the period |
|
|
5,138 |
|
|
|
5,110 |
|
|
|
15,435 |
|
|
|
15,400 |
Same store sales information compared to APSM metrics
|
|
Variance from prior year period |
||||||||||
|
|
Three months ended |
|
Nine months ended |
||||||||
|
|
|
|
|
||||||||
|
|
SSS1 |
|
APSM2 |
|
SSS1 |
|
APSM2 |
||||
Retail fuel volume per month |
|
0.5 |
% |
|
1.1 |
% |
|
(0.6 |
%) |
|
— |
% |
|
|
|
|
|
|
|
|
|
||||
Merchandise sales |
|
1.6 |
% |
|
2.0 |
% |
|
2.6 |
% |
|
2.8 |
% |
Nicotine sales |
|
3.3 |
% |
|
3.1 |
% |
|
5.2 |
% |
|
4.6 |
% |
Non-nicotine sales |
|
(1.4 |
)% |
|
0.1 |
% |
|
(1.7 |
%) |
|
(0.3 |
%) |
|
|
|
|
|
|
|
|
|
||||
Merchandise margin |
|
1.2 |
% |
|
1.8 |
% |
|
2.8 |
% |
|
2.9 |
% |
Nicotine margin |
|
6.1 |
% |
|
4.8 |
% |
|
8.2 |
% |
|
6.5 |
% |
Non-nicotine margin |
|
(2.7 |
)% |
|
(0.6 |
)% |
|
(1.5 |
%) |
|
0.1 |
% |
1Includes store-level discounts for MDR redemptions and excludes change in value of unredeemed MDR points |
||||||||||||
2Includes all MDR activity |
Notes
Average Per Store Month (APSM) metric includes all stores open through the date of the calculation, including stores acquired during the period.
Same store sales (SSS) metric includes aggregated individual store results for all stores open throughout both periods presented. For all periods presented, the store must have been open for the entire calendar year to be included in the comparison. Remodeled stores that remained open or were closed for just a very brief time (less than a month) during the period being compared remain in the same store sales calculation. If a store is replaced either at the same location (raze-and-rebuild) or relocated to a new location, it will be excluded from the calculation during the period it is out of service. Newly constructed stores do not enter the calculation until they are open for each full calendar year for the periods being compared (open by
|
||||||||
Consolidated Balance Sheets |
||||||||
|
|
|
|
|
||||
(Millions of dollars, except share amounts) |
|
|
|
|
||||
|
|
(unaudited) |
|
|
||||
Assets |
|
|
|
|
||||
Current assets |
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
52.5 |
|
|
$ |
117.8 |
|
Marketable securities, current |
|
|
1.5 |
|
|
|
7.1 |
|
Accounts receivable—trade, less allowance for doubtful
accounts of |
|
|
262.6 |
|
|
|
336.7 |
|
Inventories, at lower of cost or market |
|
|
341.2 |
|
|
|
341.2 |
|
Prepaid expenses and other current assets |
|
|
31.3 |
|
|
|
23.7 |
|
Total current assets |
|
|
689.1 |
|
|
|
826.5 |
|
Marketable securities, non-current |
|
|
— |
|
|
|
4.4 |
|
Property, plant and equipment, at cost less accumulated depreciation and amortization of |
|
|
2,739.9 |
|
|
|
2,571.8 |
|
Operating lease right of use assets, net |
|
|
484.8 |
|
|
|
452.1 |
|
Intangible assets, net of amortization |
|
|
139.6 |
|
|
|
139.8 |
|
|
|
|
328.0 |
|
|
|
328.0 |
|
Other assets |
|
|
21.0 |
|
|
|
17.5 |
|
Total assets |
|
$ |
4,402.4 |
|
|
$ |
4,340.1 |
|
|
|
|
|
|
||||
Liabilities and Stockholders' Equity |
|
|
|
|
||||
Current liabilities |
|
|
|
|
||||
Current maturities of long-term debt |
|
$ |
15.7 |
|
|
$ |
15.0 |
|
Trade accounts payable and accrued liabilities |
|
|
780.3 |
|
|
|
834.7 |
|
Income taxes payable |
|
|
62.8 |
|
|
|
23.1 |
|
Total current liabilities |
|
|
858.8 |
|
|
|
872.8 |
|
|
|
|
|
|
||||
Long-term debt, including capitalized lease obligations |
|
|
1,820.0 |
|
|
|
1,784.7 |
|
Deferred income taxes |
|
|
325.5 |
|
|
|
329.5 |
|
Asset retirement obligations |
|
|
47.4 |
|
|
|
46.1 |
|
Non-current operating lease liabilities |
|
|
487.7 |
|
|
|
450.3 |
|
Deferred credits and other liabilities |
|
|
32.9 |
|
|
|
27.8 |
|
Total liabilities |
|
|
3,572.3 |
|
|
|
3,511.2 |
|
Stockholders' Equity |
|
|
|
|
||||
Preferred Stock, par |
|
|
|
|
||||
none outstanding) |
|
|
— |
|
|
|
— |
|
Common Stock, par |
|
|
|
|
||||
46,767,164 shares issued at 2024 and 2023, respectively) |
|
|
0.5 |
|
|
|
0.5 |
|
|
|
|
|
|
||||
2024 and 2023, respectively) |
|
|
(3,265.9 |
) |
|
|
(2,957.8 |
) |
Additional paid in capital (APIC) |
|
|
484.7 |
|
|
|
508.1 |
|
Retained earnings |
|
|
3,610.8 |
|
|
|
3,278.1 |
|
Total stockholders' equity |
|
|
830.1 |
|
|
|
828.9 |
|
Total liabilities and stockholders' equity |
|
$ |
4,402.4 |
|
|
$ |
4,340.1 |
|
|
||||||||||||||||
Consolidated Statements of Cash Flows |
||||||||||||||||
(Unaudited) |
||||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
(Millions of dollars) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
Operating Activities |
|
|
|
|
|
|
|
|
||||||||
Net income |
|
$ |
149.2 |
|
|
$ |
167.7 |
|
|
$ |
360.0 |
|
|
$ |
406.8 |
|
Adjustments to reconcile net income (loss) to net cash provided by operating activities |
|
|
|
|
|
|
|
|
||||||||
Depreciation and amortization |
|
|
62.8 |
|
|
|
57.5 |
|
|
|
180.8 |
|
|
|
171.7 |
|
Deferred and noncurrent income tax charges (benefits) |
|
|
2.5 |
|
|
|
(9.3 |
) |
|
|
(4.0 |
) |
|
|
0.1 |
|
Accretion of asset retirement obligations |
|
|
0.8 |
|
|
|
0.7 |
|
|
|
2.4 |
|
|
|
2.2 |
|
Amortization of discount on marketable securities |
|
|
— |
|
|
|
— |
|
|
|
(0.1 |
) |
|
|
— |
|
(Gains) losses from sale of assets |
|
|
0.4 |
|
|
|
0.5 |
|
|
|
1.4 |
|
|
|
0.6 |
|
Net (increase) decrease in noncash operating working capital |
|
|
(23.8 |
) |
|
|
(35.6 |
) |
|
|
32.0 |
|
|
|
(97.2 |
) |
Other operating activities - net |
|
|
10.2 |
|
|
|
8.5 |
|
|
|
26.4 |
|
|
|
26.7 |
|
Net cash provided (required) by operating activities |
|
|
202.1 |
|
|
|
190.0 |
|
|
|
598.9 |
|
|
|
510.9 |
|
Investing Activities |
|
|
|
|
|
|
|
|
||||||||
Property additions |
|
|
(136.9 |
) |
|
|
(79.4 |
) |
|
|
(331.1 |
) |
|
|
(224.6 |
) |
Proceeds from sale of assets |
|
|
0.3 |
|
|
|
0.5 |
|
|
|
1.9 |
|
|
|
2.3 |
|
Investment in marketable securities |
|
|
— |
|
|
|
(2.9 |
) |
|
|
— |
|
|
|
(11.3 |
) |
Redemptions of marketable securities |
|
|
6.0 |
|
|
|
7.5 |
|
|
|
10.0 |
|
|
|
18.0 |
|
Other investing activities - net |
|
|
(0.9 |
) |
|
|
(0.4 |
) |
|
|
(1.7 |
) |
|
|
(1.4 |
) |
Net cash provided (required) by investing activities |
|
|
(131.5 |
) |
|
|
(74.7 |
) |
|
|
(320.9 |
) |
|
|
(217.0 |
) |
Financing Activities |
|
|
|
|
|
|
|
|
||||||||
Purchase of treasury stock |
|
|
(125.2 |
) |
|
|
(64.8 |
) |
|
|
(317.7 |
) |
|
|
(172.7 |
) |
Dividends paid |
|
|
(9.2 |
) |
|
|
(8.4 |
) |
|
|
(27.1 |
) |
|
|
(24.7 |
) |
Borrowings of debt |
|
|
225.0 |
|
|
|
— |
|
|
|
345.0 |
|
|
|
8.0 |
|
Repayments of debt |
|
|
(187.9 |
) |
|
|
(3.9 |
) |
|
|
(315.7 |
) |
|
|
(19.6 |
) |
Amounts related to share-based compensation |
|
|
(0.6 |
) |
|
|
(6.3 |
) |
|
|
(27.8 |
) |
|
|
(20.6 |
) |
Net cash provided (required) by financing activities |
|
|
(97.9 |
) |
|
|
(83.4 |
) |
|
|
(343.3 |
) |
|
|
(229.6 |
) |
Net increase (decrease) in cash, cash equivalents and restricted cash |
|
|
(27.3 |
) |
|
|
31.9 |
|
|
|
(65.3 |
) |
|
|
64.3 |
|
Cash, cash equivalents and restricted cash at beginning of period |
|
|
79.8 |
|
|
|
92.9 |
|
|
|
117.8 |
|
|
|
60.5 |
|
Cash, cash equivalents and restricted cash at end of period |
|
$ |
52.5 |
|
|
$ |
124.8 |
|
|
$ |
52.5 |
|
|
$ |
124.8 |
|
Supplemental Disclosure Regarding Non-GAAP Financial Information
The following table reconciles EBITDA and Adjusted EBITDA to Net Income for the three and nine months ended
We use Adjusted EBITDA in our operational and financial decision-making, believing that the measure is useful to eliminate certain items in order to focus on what we deem to be a more reliable indicator of ongoing operating performance and our ability to generate cash flow from operations. Adjusted EBITDA is also used by many of our investors, research analysts, investment bankers, and lenders to assess our operating performance. We believe that the presentation of Adjusted EBITDA provides useful information to investors because it allows understanding of a key measure that we evaluate internally when making operating and strategic decisions, preparing our annual plan, and evaluating our overall performance. However, non-GAAP measures are not a substitute for GAAP disclosures, and EBITDA and Adjusted EBITDA may be prepared differently by us than by other companies using similarly titled non-GAAP measures.
The reconciliation of net income (loss) to EBITDA and Adjusted EBITDA is as follows:
|
|
|
|
|
|
|
|
|
||||||
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||
(Millions of dollars) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||
|
|
|
|
|
|
|
|
|
||||||
Net income |
|
$ |
149.2 |
|
|
$ |
167.7 |
|
$ |
360.0 |
|
|
$ |
406.8 |
|
|
|
|
|
|
|
|
|
||||||
Income tax expense (benefit) |
|
|
49.5 |
|
|
|
55.7 |
|
|
113.8 |
|
|
|
131.3 |
Interest expense, net of investment income |
|
|
23.4 |
|
|
|
22.5 |
|
|
71.1 |
|
|
|
69.8 |
Depreciation and amortization |
|
|
62.8 |
|
|
|
57.5 |
|
|
180.8 |
|
|
|
171.7 |
EBITDA |
|
$ |
284.9 |
|
|
$ |
303.4 |
|
$ |
725.7 |
|
|
$ |
779.6 |
|
|
|
|
|
|
|
|
|
||||||
Accretion of asset retirement obligations |
|
|
0.8 |
|
|
|
0.7 |
|
|
2.4 |
|
|
|
2.2 |
(Gain) loss on sale of assets |
|
|
0.4 |
|
|
|
0.5 |
|
|
1.4 |
|
|
|
0.6 |
Other nonoperating (income) expense |
|
|
(0.5 |
) |
|
|
1.4 |
|
|
(1.0 |
) |
|
|
0.9 |
Adjusted EBITDA |
|
$ |
285.6 |
|
|
$ |
306.0 |
|
$ |
728.5 |
|
|
$ |
783.3 |
|
|
|
|
|
|
|
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20241030452581/en/
Investor Contact:
Vice President, Investor Relations and Financial Planning and Analysis
christian.pikul@murphyusa.com
Source: