Core Insights - CrossAmerica Partners (CAPL) reported a significant improvement in its financial position, entering 2026 with a strong balance sheet after divesting 107 properties for $103.3 million, reducing leverage from 4.36x to 3.51x [1] - The company achieved a Q4 EPS of $0.25, surpassing the consensus estimate of $0.05, while revenue of $866.3 million exceeded expectations despite an 8.3% year-over-year decline [1] - Retail fuel margins improved significantly, with a 19% increase year-over-year to $0.449 per gallon, contributing to a 10% rise in retail segment gross profit [1] Financial Performance - The asset recycling program generated over $100 million in proceeds, which was utilized to reduce debt and enhance financial flexibility [1] - Interest expenses decreased by $4.2 million due to lower debt balances and a 5.6% effective interest rate [1] - Retail motor fuel margin per gallon rose to $0.449, while wholesale margin per gallon increased to $0.093, reflecting a 19% and 13% year-over-year growth respectively [1] Strategic Initiatives - The CEO emphasized the importance of strategic site conversions to retail operations, which allowed the company to capitalize on favorable fuel margin conditions [1] - The company’s shift in strategy involved divesting non-core locations, which has been a key factor in improving its financial health [1] - The transition strategy has led to a reduction in lessee dealer site count by 23%, indicating a significant restructuring of the wholesale segment [1] Leadership Changes - CEO Charles Nifong stepped down effective March 2, 2026, with former CFO Maura Topper taking over the role [1] - The market reacted positively to the earnings report, with CAPL shares rising 11.35% to $22.47 following the announcement [1] Market Conditions - The average WTI crude price in February 2026 was $64.51 per barrel, down from $71.53 a year earlier, which may impact future margin conditions [1] - Retail fuel volumes fell by 7% year-over-year in Q4, indicating potential challenges ahead despite the positive financial results [1]

Core Insights - CrossAmerica Partners' CEO Charles Nifong highlighted the successful portfolio pruning that has led to improved financial stability heading into 2026, emphasizing a solid core business and strong balance sheet for future growth [2] Financial Performance - The company executed an asset recycling program, divesting non-core locations and generating over $100 million in proceeds, which were used to significantly reduce debt and enhance financial flexibility [3] - CrossAmerica sold 107 properties in 2025, resulting in proceeds of $103.3 million, and reduced its leverage ratio from 4.36x to 3.51x year-over-year [3] - Interest expenses decreased by $4.2 million for the year due to lower debt balances and a 5.6% effective interest rate [3] Margin and Revenue Analysis - Strategic site conversions allowed the partnership to benefit from a favorable fuel margin environment, with retail motor fuel margin per gallon increasing by 19% year-over-year to $0.449, and wholesale margin per gallon rising by 13% to $0.093 [4] - Merchandise gross profit margin improved to 29.1%, a 70 basis point increase, contributing to a 10% year-over-year growth in retail segment gross profit, totaling $82.9 million [4] - The Q4 earnings per share (EPS) of $0.25 surpassed the consensus estimate of $0.05, while revenue of $866.3 million exceeded the estimate of $748 million, despite an 8.3% year-over-year decline in revenue due to asset sales [5] Investor Considerations - Retail fuel volumes fell by 7% year-over-year in Q4, and the lessee dealer site count decreased by 23% as the conversion strategy reshapes the wholesale segment [6] - Shareholders' equity remains in deficit at -$102.3 million, raising concerns regarding the dividend payout relative to earnings, given the quarterly distribution of $0.525 [6] - Following the Q4 results, CrossAmerica Partners' stock rose by 11.35% to $22.47, reflecting positive market reaction to the earnings report [7]

Allentown, PA, March 02, 2026 (GLOBE NEWSWIRE) -- CrossAmerica Partners LP Announces President and CEO Transition Allentown, PA March 2, 2026 – CrossAmerica Partners LP (NYSE: CAPL) (“CrossAmerica” or the “Partnership”), a leading wholesale fuels distributor, convenience store operator, and owner and lessor of real estate used in the retail distribution of motor fuels, today announces the appointment of Maura Topper, Chief Financial Officer of CrossAmerica GP LLC, the general partner of CrossAmerica , as t ...

This story was originally published on C-Store Dive. To receive daily news and insights, subscribe to our free daily C-Store Dive newsletter. Dive Brief: CrossAmerica Partners has appointed Maura Topper, current chief financial officer, as its new president and CEO, effective immediately, the convenience retailer announced on Monday. Topper succeeds Charles Nifong, who had led CrossAmerica Partners since late 2019. Nifong is joining the executive management team of Dunne Manning Holdings, a CrossAmerica ...

Core Viewpoint - CrossAmerica Partners LP has filed its Annual Report on Form 10-K for the fiscal year ended December 31, 2025, with the SEC, providing insights into its financial performance and operations [1]. Company Overview - CrossAmerica Partners LP is a leading wholesale distributor of motor fuels and convenience store operator, owning and leasing real estate used in the retail distribution of motor fuels [3]. - The company was formed in 2012 and distributes both branded and unbranded petroleum for motor vehicles across approximately 1,600 locations, owning or leasing around 1,000 sites [3]. - CrossAmerica Partners operates in 34 states and has established relationships with major oil brands, including ExxonMobil, BP, Shell, Marathon, Valero, and Phillips 66 [3]. - The company ranks as one of ExxonMobil's largest distributors by fuel volume in the United States and is among the top 10 distributors for additional brands [3].

Core Viewpoint - CrossAmerica Partners held its Fourth Quarter and Full Year 2025 Earnings Call, indicating a focus on operational performance and financial results for the period [1][2]. Group 1: Operational Performance - Charles Nifong, CEO and President, provided an overview of CrossAmerica's operational performance for the fourth quarter and the full year [2]. Group 2: Financial Results - Maura Topper, CFO, is set to discuss the financial results following the operational overview [2]. Group 3: Forward-Looking Statements - The call may include forward-looking statements regarding expected revenue, future plans, and operational metrics [3]. - Management's expectations and projections are subject to change, and actual results may differ from these expectations [4]. - CrossAmerica's management disclaims any assurance regarding the achievement of these forward-looking statements [5].

Financial Data and Key Metrics Changes - The company reported a net income of $10.2 million for Q4 2025, down from $16.9 million in Q4 2024, while Adjusted EBITDA increased by 22% to $43.4 million compared to $35.5 million in the prior year [29][30] - Distributable Cash Flow for Q4 2025 was $28.5 million, a 35% increase from $21.1 million in Q4 2024 [30] - The Distribution Coverage Ratio improved to 1.43 times in Q4 2025 from 1.06 times in Q4 2024 [31] Business Line Data and Key Metrics Changes - Retail segment gross profit increased by 10% to $82.9 million in Q4 2025, driven by higher retail fuel margins, which rose 19% year-over-year to 44.9 cents per gallon [6][15] - Wholesale segment gross profit declined by 7% to $24.2 million in Q4 2025, primarily due to a decrease in fuel volume and rental income, despite a 6% increase in wholesale motor fuel gross profit [15][16] - For the full year 2025, retail segment gross profit increased by 4% to $302.2 million, while wholesale segment gross profit decreased by 7% to $100.5 million [20][21] Market Data and Key Metrics Changes - National gasoline demand was down approximately 5% for Q4 2025, with the company's overall retail fuel volume declining by 8% year-over-year [10][17] - The company's same-store wholesale volume was down approximately 3.5% year-over-year, outperforming the national volume demand [18] Company Strategy and Development Direction - The company aims to optimize its retail exposure and maximize asset value through class of trade conversions, with a focus on maintaining a strong operational portfolio [14][25] - The company plans to continue site divestitures in 2026, although at a lower level than in 2025, using proceeds to invest in growth opportunities [26][27] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the start of 2026, benefiting from a favorable fuel margin environment and a solid operational portfolio [24][28] - The company is focused on executing the fundamentals of retail operations to enhance customer experience and value [26] Other Important Information - The company completed asset sales generating over $100 million in proceeds for 2025, significantly reducing its debt and improving financial flexibility [22][39] - Operating expenses for Q4 2025 decreased by $2 million year-over-year, marking the fifth consecutive quarter of declining operating expenses [31][32] Q&A Session Summary - No questions were raised during the Q&A session, and the call concluded without further inquiries [42][43]

Financial Data and Key Metrics Changes - The company reported a net income of $10.2 million for Q4 2025, down from $16.9 million in Q4 2024, while Adjusted EBITDA increased by 22% to $43.4 million compared to $35.5 million in the prior year [29][30] - Distributable Cash Flow for Q4 2025 was $28.5 million, a 35% increase from $21.1 million in Q4 2024 [30] - The Distribution Coverage Ratio improved to 1.43 times in Q4 2025 from 1.06 times in Q4 2024 [31] Business Line Data and Key Metrics Changes - Retail segment gross profit increased by 10% to $82.9 million in Q4 2025, driven by higher retail fuel margins, which rose 19% year-over-year to 44.9 cents per gallon [6][15] - Wholesale segment gross profit declined by 7% to $24.2 million in Q4 2025, primarily due to a decrease in fuel volume and rental income, despite a 6% increase in wholesale motor fuel gross profit [15][16] Market Data and Key Metrics Changes - National gasoline demand was down approximately 5% for Q4 2025, with the company's overall retail fuel volume declining by 8% year-over-year [10][17] - The company's same-store wholesale volume outperformed national volume demand, which was down approximately 3.5% since the quarter end [18] Company Strategy and Development Direction - The company aims to optimize its retail exposure while maximizing the value of each asset through class of trade conversions [14][25] - A record year for asset sales was achieved, with over $100 million in proceeds, which strengthened the balance sheet and provided financial flexibility for future growth opportunities [22][23] Management's Comments on Operating Environment and Future Outlook - Management noted a strong start to 2026, benefiting from favorable fuel margins and operational results, indicating a positive shift compared to the previous two years [24][28] - The company plans to continue site divestitures in 2026, albeit at a lower level than in 2025, using proceeds to invest in growth opportunities [26][27] Other Important Information - Operating expenses for Q4 2025 decreased by $2 million year-over-year, marking the fifth consecutive quarter of declining operating expenses [31] - The company experienced a decline in average interest expense due to lower average interest rates and outstanding debt balances [30][40] Q&A Session Summary Question: No questions were raised during the Q&A session - The operator noted the absence of questions and thanked participants for joining the call [42][43]

Financial Data and Key Metrics Changes - The company reported a net income of $10.2 million for Q4 2025, down from $16.9 million in Q4 2024, while Adjusted EBITDA increased by 22% to $43.4 million compared to $35.5 million in the prior year [31][32] - Distributable Cash Flow for Q4 2025 was $28.5 million, a 35% increase from $21.1 million in Q4 2024 [32] - The Distribution Coverage Ratio improved to 1.43 times in Q4 2025 from 1.06 times in Q4 2024 [33] Business Line Data and Key Metrics Changes - Retail segment gross profit increased by 10% to $82.9 million in Q4 2025, driven by higher retail fuel margins, while wholesale segment gross profit declined by 7% to $24.2 million [6][16] - Retail fuel margin increased by 19% year-over-year to 44.9 cents per gallon, while wholesale fuel margin rose by 13% to 9.3 cents per gallon [6][17] - Merchandise gross profit in the retail segment rose by 3% to $28.8 million, with a gross margin percentage increase of approximately 70 basis points [12] Market Data and Key Metrics Changes - National gasoline demand was down approximately 5% for Q4 2025, with the company's same-store retail fuel volume declining by 8% [10] - The company's overall retail fuel volume for company-operated sites was down approximately 6% compared to the prior year [7] - National fuel volume demand has been down approximately 3.5% since the end of the quarter [10] Company Strategy and Development Direction - The company aims to optimize its retail exposure while maximizing the value of each asset through class of trade conversions [14][27] - Continued focus on expense control and operational efficiencies has been emphasized, with a disciplined approach to managing operating expenses [14][36] - The company plans to continue site divestitures in 2026, although at a lower level than in 2025, using proceeds to invest in growth opportunities [28][29] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the strong start to 2026, benefiting from favorable fuel margins and improved operational results compared to the previous two years [26][30] - The company finished 2025 with a stronger operating portfolio and a balance sheet with lower leverage, positioning itself for future growth [27][29] - Management highlighted the importance of providing great service to both retail and wholesale customers to ensure mutual business success [28] Other Important Information - The company completed asset sales generating over $100 million in proceeds for 2025, the largest volume of asset sales in its history [24] - Operating expenses for Q4 2025 were reported at $57.3 million, a decrease of $2 million year-over-year, marking the fifth consecutive quarter of declining operating expenses [34] - The company reduced its credit facility balance by approximately $75 million in 2025, leading to a decrease in its leverage ratio to 3.51x [43] Q&A Session Summary Question: No questions were raised during the Q&A session - The call concluded without any questions from participants, indicating a lack of immediate inquiries from analysts or investors [47]

Fourth Quarter and Full Year 2025 Earnings Call February 2026 Forward Looking Statement Statements contained in this presentation that state the Partnership's or management's expectations or predictions of the future are forward-looking statements. The words "believe," "expect," "should," "intends," "anticipates", "estimates," "target" and other similar expressions identify forward-looking statements. It is important to note that actual results could differ materially from those projected in such forward-lo ...