| --- | --- | --- | --- | --- | |-------|-------|--------------------|-------|-------| | | | | | | | | | | | | | | | | | | | | | Third Quarter 2024 | | | | | | | | | | | | | | | | | | Earnings Call | | | | | | November 2024 | | | Third Quarter 2024 Earnings Call November 2024 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," "intend ...

Financial Performance - Operating revenues for the three months ended September 30, 2024, were $1,079,163, a decrease of 10.8% compared to $1,210,023 for the same period in 2023[14] - Gross profit increased to $111,226 for the three months ended September 30, 2024, compared to $100,440 in the prior year, reflecting a 10.8% increase[14] - Operating income for the nine months ended September 30, 2024, was $42,228, down from $61,108 in the same period of 2023, representing a decline of 30.9%[14] - Net income available to limited partners for the three months ended September 30, 2024, was $10,126, a decrease of 13.2% from $11,663 in the prior year[14] - Basic earnings per common unit for the three months ended September 30, 2024, was $0.27, down from $0.31 in the same period of 2023, a decline of 12.9%[14] - Net income for the three months ended September 30, 2024, was $10,708 million, compared to $12,292 million for the same period in 2023, reflecting a decrease of approximately 12.9%[18] - Comprehensive income for the three months ended September 30, 2024, was $(1,560) million, compared to $14,144 million for the same period in 2023[18] - Revenues from TopStar for the three months ended September 30, 2024, were $10.9 million, down from $13.7 million in the same period of 2023[44] - The wholesale segment generated revenues of $471.2 million from fuel sales to external customers for the three months ended September 30, 2024, compared to $635.3 million in 2023, reflecting a decline of 25.7%[74] - The retail segment reported revenues of $607.9 million for the three months ended September 30, 2024, compared to $574.7 million in 2023, indicating an increase of 5.8%[74] Cash Flow and Liquidity - Net cash provided by operating activities for the nine months ended September 30, 2024, was $76,672, compared to $78,989 in the same period of 2023, a decrease of 2.6%[16] - Net cash used in investing activities for the nine months ended September 30, 2024, was $(26,562), an increase in cash outflow compared to $(16,535) in the prior year[16] - Net cash used in financing activities for the nine months ended September 30, 2024, was $(47,335), a decrease from $(72,718) in the same period of 2023, indicating improved cash management[16] - Cash and cash equivalents at the end of the period increased to $7,765 from $5,790 at the end of September 30, 2023, reflecting a positive cash flow trend[16] - The company reported a net change in operating assets and liabilities of $8.734 million for the nine months ended September 30, 2024, compared to a decrease of $5.926 million in the same period of 2023[16] Assets and Liabilities - As of September 30, 2024, total equity was $(59,041) million, a decrease from $(37,252) million as of June 30, 2024[18] - As of September 30, 2024, assets held for sale totaled $11.66 million, a significant increase from $400,000 on December 31, 2023[29] - Inventory increased to $60.97 million as of September 30, 2024, up from $52.34 million on December 31, 2023, primarily due to the Applegreen Acquisition[30] - Property and equipment, net decreased to $665.19 million as of September 30, 2024, from $705.22 million on December 31, 2023[31] - Long-term debt and finance lease obligations totaled $781.19 million as of September 30, 2024, compared to $767.06 million on December 31, 2023[34] - Environmental liabilities recorded on the balance sheet totaled $8.4 million and $7.4 million at September 30, 2024 and December 31, 2023, respectively[56] - Indemnification assets related to third-party escrow funds totaled $6.3 million and $5.3 million at September 30, 2024 and December 31, 2023, respectively[56] Acquisitions and Investments - The company acquired assets from Applegreen for total consideration of $16.9 million, transitioning 59 locations from lessee dealer sites to company-operated sites[27] - The company paid $25.5 million in cash for the Applegreen acquisition, which included lease termination payments and inventory purchases[28] - The company experienced a total loss on lease termination of $15.968 million related to the Applegreen acquisition[28] - The company recorded a non-cash write-off of deferred rent income of $1.5 million related to the Applegreen acquisition[27] Supplier and Operational Risks - For the nine months ended September 30, 2024, approximately 81% of motor fuel was purchased from four suppliers, indicating a concentration risk[25] - Approximately 48% of merchandise was purchased from one supplier for the nine months ended September 30, 2024, highlighting supplier dependency[26] Expenses and Distributions - Expenses under the Omnibus Agreement totaled $32.6 million and $28.6 million for the three months ended September 30, 2024 and 2023, respectively, and $93.5 million and $81.3 million for the nine months ended September 30, 2024 and 2023[45] - Common unit distributions to the Topper Group were $7.7 million for each of the three months ended September 30, 2024 and 2023, and $23.1 million for each of the nine months ended September 30, 2024 and 2023[46] - The company plans to maintain a cash distribution of $0.5250 per unit for the upcoming quarters, subject to Board discretion[67] Interest and Tax Expenses - The effective interest rate on the CAPL Credit Facility was 6.5% as of September 30, 2024[35] - Income tax expense for the three months ended September 30, 2024 and 2023 was $2.4 million and $1.5 million, respectively, and for the nine months was ($1.7) million and $2.6 million[65] Other Financial Metrics - The company incurred charges of $0.3 million and $0.2 million for rent expense for the three months ended September 30, 2024 and 2023, respectively[51] - Maintenance and environmental costs incurred with a related party were $0.7 million for each of the three months ended September 30, 2024 and 2023, and $2.4 million and $2.0 million for the nine months ended September 30, 2024 and 2023, respectively[48] - Merchandise costs for convenience store products amounted to $5.1 million and $5.5 million for the three months ended September 30, 2024 and 2023, and $14.5 million and $15.6 million for the nine months ended September 30, 2024 and 2023, respectively[49] - Accretion on preferred membership interests was $0.6 million for each of the three months ended September 30, 2024 and 2023, and $2.0 million and $1.8 million for the nine months ended September 30, 2024 and 2023, respectively[47]

Financial Performance - CrossAmerica reported Q3 2024 Net Income of $10.7 million, down from $12.3 million in Q3 2023, and Adjusted EBITDA of $43.9 million, slightly down from $44.2 million[1][4]. - Total operating revenues for the three months ended September 30, 2024, were $1,079,163, a decrease of 10.8% compared to $1,210,023 for the same period in 2023[16]. - Net income for the three months ended September 30, 2024, was $10,708, a decrease from $12,292 in the same period last year[16]. - Net income for the nine months ended September 30, 2024, was $5,592,000, a decrease from $25,849,000 in the same period of 2023[17]. - EBITDA for Q3 2024 increased to $48.0 million, up 10% from $43.4 million in Q3 2023[25]. - Distributable Cash Flow for Q3 2024 was $27.1 million, a decline of 13% compared to $31.4 million in Q3 2023[25]. Retail Segment Performance - Retail segment gross profit increased by 24% to $83.6 million in Q3 2024 compared to $67.6 million in Q3 2023, driven by a 26% increase in motor fuel gross profit[5][6]. - The retail segment distributed 148.4 million gallons of motor fuel in Q3 2024, a 12% increase from 132.2 million gallons in Q3 2023[6]. - Same store merchandise sales excluding cigarettes were relatively flat, with merchandise gross profit increasing by 20% to $30.5 million in Q3 2024[7]. - Total gross profit for the retail segment increased to $214,617,000 for the nine months ended September 30, 2024, compared to $184,462,000 in 2023, representing a growth of 16.3%[18]. - Operating income for the retail segment for the nine months ended September 30, 2024, was $70,631,000, up from $67,368,000 in 2023, indicating a year-over-year increase of 3.4%[18]. - The volume of gallons sold in the retail segment for the nine months ended September 30, 2024, was 413,113,000, compared to 382,049,000 in 2023, an increase of 8.1%[19]. - The average margin per gallon in the retail segment increased to $0.366 for the nine months ended September 30, 2024, compared to $0.354 in 2023, a rise of 3.4%[19]. Wholesale Segment Performance - Wholesale segment gross profit decreased by 16% to $27.6 million in Q3 2024, driven by a 14% decrease in wholesale volume distributed[9]. - Total gross profit for the wholesale segment decreased to $82,719,000 for the nine months ended September 30, 2024, down from $95,761,000 in 2023, reflecting a decline of 13.6%[20]. Expenses and Liabilities - Operating expenses for the retail segment increased by 27% to $52.2 million in Q3 2024, primarily due to the conversion of certain sites to company-operated[8]. - Current liabilities increased to $172,799 as of September 30, 2024, compared to $161,096 at December 31, 2023, mainly due to higher accounts payable[15]. - Total liabilities increased to $1,160,812 as of September 30, 2024, from $1,150,931 at December 31, 2023, reflecting higher debt obligations[15]. Cash Flow and Investments - Net cash provided by operating activities for the nine months ended September 30, 2024, was $76,672,000, slightly down from $78,989,000 in 2023[17]. - Net cash used in investing activities for the nine months ended September 30, 2024, was $(26,562,000), compared to $(16,535,000) in 2023, indicating increased investment outflows[17]. Distribution and Coverage Ratios - The Board declared a quarterly distribution of $0.5250 per limited partner unit for Q3 2024, payable on November 13, 2024[12]. - Distribution Coverage Ratio for Q3 2024 was 1.36x, down from 1.57x in Q3 2023[25]. - The Distribution Coverage Ratio for the trailing twelve months ended September 30, 2024, was 1.26 times, down from 1.43 times for the comparable period in 2023[1][3]. Company Operations - The company operated 372 retail sites at the end of September 30, 2024, up from 293 sites in the same period of 2023, marking a growth of 27.0%[18]. - The company reported a total of 38,046,688 common units issued and outstanding as of September 30, 2024, compared to 37,983,154 units at December 31, 2023[15]. - CrossAmerica sold nine properties for $7.2 million in proceeds during Q3 2024, resulting in a net gain of $5.3 million[10]. - CrossAmerica recorded a $16.0 million loss on lease terminations during the nine months ended September 30, 2024[26]. - The company incurred $2.3 million in other losses on lease terminations and asset disposals during the nine months ended September 30, 2024[26]. - CrossAmerica's sustaining capital expenditures are aimed at maintaining long-term operating income and capacity[26]. - The company distributed fuel to approximately 1,600 locations and owns or leases around 1,100 sites across 34 states[27]. - CrossAmerica is one of ExxonMobil's largest distributors by fuel volume in the United States[27].

Group 1 - The importance of sleep is emphasized, highlighting its essential role in life and well-being [1] - Warren Buffett's quote suggests the necessity of generating passive income to avoid working indefinitely [1] - High Dividend Opportunities (HDO) is presented as a community for income investors and retirees, boasting over 8,000 members [1] Group 2 - HDO promotes an investment strategy that aims to generate strong returns regardless of market volatility, making retirement investing simpler [1] - A Model Portfolio targeting a yield of 9-10% is offered, emphasizing the potential benefits of dividend investing [2] - A limited-time discount of 17% on the annual price of $599.99 is available, along with a 14-day free trial [2]

Core Insights - The article emphasizes the importance of value investing, highlighting the strategy of identifying undervalued companies in the market [2] - CrossAmerica Partners (CAPL) is presented as a strong candidate for value investors, currently holding a Zacks Rank of 2 (Buy) and an A for Value [3][6] Valuation Metrics - CAPL has a Price-to-Sales (P/S) ratio of 0.18, significantly lower than the industry average of 0.51, indicating potential undervaluation [4] - The Price-to-Cash Flow (P/CF) ratio for CAPL is 7.48, which is attractive compared to the industry's average of 8.03; CAPL's P/CF has fluctuated between 5.25 and 8.51 over the past year [5] Investment Outlook - The combination of CAPL's strong earnings outlook and favorable valuation metrics suggests that the stock is likely undervalued at present, making it an impressive value stock [6]

Core Insights - The article emphasizes the importance of value investing as a successful strategy across various market conditions, focusing on key valuation metrics to identify undervalued stocks [2][3] Company Analysis - CrossAmerica Partners (CAPL) is highlighted as a stock to watch, currently holding a Zacks Rank of 2 (Buy) and an A grade for Value, indicating it is among the highest-quality value stocks available [3] - CAPL has a Price-to-Sales (P/S) ratio of 0.18, significantly lower than its industry's average P/S of 0.53, suggesting it may be undervalued [4] - The company also has a Price-to-Cash Flow (P/CF) ratio of 7.69, which is attractive compared to the industry's average P/CF of 8.08, indicating a solid cash outlook [5] - Over the past year, CAPL's P/CF has fluctuated between a high of 8.67 and a low of 5.32, with a median of 7.18, further supporting the notion of its current undervaluation [5][6] - Overall, the combination of CAPL's valuation metrics and strong earnings outlook positions it as a compelling value stock at this time [6]

Group 1 - Momentum investing focuses on "buying high and selling higher" rather than traditional strategies of "buying low and selling high" [1] - Fast-moving trending stocks can be risky if their valuations exceed future growth potential, leading to potential losses for investors [2] - Investing in bargain stocks with recent price momentum may be a safer strategy, utilizing tools like the Zacks Momentum Style Score to identify such opportunities [3] Group 2 - CrossAmerica Partners (CAPL) has shown a price increase of 0.8% over the past four weeks, indicating growing investor interest [4] - CAPL has gained 1% over the past 12 weeks and has a beta of 1.5, suggesting it moves 50% more than the market [5] - CAPL holds a Momentum Score of A, indicating a favorable time to invest based on momentum [6] Group 3 - CAPL has received a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which attract more investor interest [7] - The stock is trading at a Price-to-Sales ratio of 0.17, suggesting it is undervalued at 17 cents for each dollar of sales [7] - CAPL is positioned for significant growth potential while maintaining a reasonable valuation [8] Group 4 - There are additional stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, providing further investment opportunities [8] - Zacks offers over 45 Premium Screens tailored to different investing styles, aiding in stock selection [9]

| --- | --- | --- | --- | |-------|-------|---------------------|-------| | | | | | | | | | | | | | Second Quarter 2024 | | Second Quarter 2024 Earnings Call August 2024 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. ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to | --- | --- | |-------------------------------------------------------------------------------------------------|------------------------------------------| ...

Exhibit 99.1 CrossAmerica Partners LP Reports Second Quarter 2024 Results - Reported Second Quarter 2024 Net Income of $12.4 million, Adjusted EBITDA of $42.6 million and Distributable Cash Flow of $26.1 million compared to Net Income of $14.5 million, Adjusted EBITDA of $42.2 million and Distributable Cash Flow of $30.4 million for the Second Quarter 2023 - Reported Second Quarter 2024 Gross Profit for the Retail Segment of $76.6 million compared to $66.0 million of Gross Profit for the Second Quarter 2023 ...