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 March 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File No. 001-35711 CROSSAMERICA PARTNERS LP (Exact name of registrant as specified in its charter) Delaware 45-4165414 (State or Other Jurisdict ...

| --- | --- | --- | --- | |-------|---------------|---------------------|-------| | | | | | | | | | | | | | | | | | | | | | | | Fourth Quarter 2021 | | | | | | | | | Earnings Call | | | | | March 2022 | | | Fourth Quarter 2021 Earnings Call March 2022 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", "estim ...

CrossAmerica Partners LP (NYSE:CAPL) Q4 2021 Earnings Conference Call March 1, 2022 9:00 AM ET Company Participants Charles Nifong – Chief Executive Officer and President Maura Topper – Chief Financial Officer Conference Call Participants Elvira Scotto – RBC Capital Markets Operator Welcome to the CrossAmerica Partners Fourth Quarter Year-End 2021 Earnings Call. My name is Darrell, and I will be the operator for today's call. At this time, all participants are in a listen-only mode. Later, we will conduct a ...

Financial Performance - The wholesale segment generated revenues of $3.1 billion and operating income of $138 million in 2021[30]. - The retail segment generated revenues of $1.4 billion and operating income of $5.5 million in 2021[45]. - Motor fuel revenues accounted for 91% of total revenues in 2021, with motor fuel gross profit making up 54% of total gross profit[88]. - Rental income for 2021 was $83.2 million, consistent with 2020, but down from $90.1 million in 2019[43]. - A $10 per barrel change in crude oil prices is estimated to impact annual wholesale motor fuel gross profit by approximately $2.8 million[31]. - Significant increases in wholesale motor fuel costs could lead to lower gross profit dollars, impacting consumer demand and overall financial performance[90]. - The actual amount of cash available for distribution will depend on various factors, including demand for motor fuel products and operating costs[78]. - The company aims to generate sufficient cash flows to make quarterly cash distributions to unitholders while maintaining leverage discipline[52]. Operations and Distribution - As of December 31, 2021, the company distributed motor fuel to approximately 1,750 sites across 34 states[26]. - The company owns or leases approximately 1,150 sites, with 252 operated as company-operated sites[26]. - The average remaining distribution contract term for independent dealers was 5.3 years as of December 31, 2021[33]. - The average remaining lease agreement term for lessee dealers was 3.1 years as of December 31, 2021[36]. - The company has a weighted-average remaining term of approximately 4.9 years for its supply agreements as of December 31, 2021[56]. - The wholesale segment purchased approximately 37% of its motor fuel from ExxonMobil, 22% from BP, 11% from Motiva, and 10% from Marathon in 2021[56]. - The company relies on four principal suppliers for the majority of its motor fuel, which poses a risk to its operations[72]. - The company does not operate its own fleet but relies on common carriers for product distribution, which could be jeopardized by external disruptions[105]. - The company relies on third-party transportation providers for all motor fuel distribution, and any disruption could adversely affect its financial condition and operations[138]. Market and Competition - The company faces intense competition in both wholesale motor fuel distribution and the convenience store industry[70]. - The company faces intense competition in the wholesale and retail motor fuel markets, which could adversely affect margins and financial results[92]. - Economic conditions, such as recession or inflation, could negatively impact consumer spending and demand for motor fuel and convenience items[96]. - The business exhibits substantial seasonality, with sales volumes historically highest in the second and third quarters[59]. - Seasonal fluctuations affect motor fuel sales, with higher revenues typically seen in the second and third quarters due to increased consumer demand during summer[91]. Risks and Challenges - The company is closely monitoring the impact of the COVID-19 pandemic on its business operations[68]. - Labor shortages due to COVID-19 and macroeconomic factors have negatively impacted operations, potentially increasing costs related to overtime and temporary staffing[108]. - Compliance with extensive government laws and regulations can materially affect operating results and financial condition[109]. - The company faces risks related to environmental laws and potential liabilities for contamination, which could lead to substantial remediation costs[115]. - Changes in credit or debit card expenses could reduce gross profit, particularly on motor fuel sold at company-operated retail sites[93]. - Unfavorable weather conditions could adversely affect operations and reduce the ability to make distributions to unitholders[126]. Debt and Financing - As of December 31, 2021, the company had total debt of $630.6 million and $112.7 million of availability under its revolving CAPL Credit Facility[148]. - A significant increase in interest rates could adversely affect the company's ability to service its debt and may lead to a decline in the market price of its common units[150]. - The company may incur increased interest expenses from additional borrowings to finance growth, impacting cash available for distribution[172]. - The company has significant debt covenants that may limit its flexibility in obtaining additional financing and pursuing business opportunities[154]. Management and Governance - The company is dependent on its ability to attract and retain a strong management team, which is critical for its business success[129]. - The company’s General Partner can make decisions that may not align with the interests of common unitholders, including asset purchases and capital expenditures[165][174]. - The company’s management services are provided by the Topper Group, and termination of this agreement could lead to increased costs or business interruptions[168]. - The Partnership Agreement allows the General Partner to limit its fiduciary duties and conduct business without unitholder approval, potentially affecting cash distributions[165][167]. Taxation and Regulatory Issues - The company may be subject to entity-level taxation if treated as a corporation for U.S. federal income tax purposes, which would significantly reduce cash available for distribution[195]. - Unitholders may have liability to repay distributions if they are deemed impermissible under Delaware law[190]. - The U.S. federal income tax treatment of publicly traded partnerships may be subject to legislative changes that could retroactively affect the partnership status[200]. - Any modifications to U.S. federal income tax laws could negatively impact the value of investments in common units[201]. - The IRS may challenge the company's proration method for allocating income, gain, loss, and deduction among unitholders, which could affect tax liabilities[212]. Acquisitions and Growth Strategy - The company has completed acquisitions totaling approximately $1.5 billion, including around 1,000 fee and leasehold sites and 700 wholesale fuel supply contracts[53]. - The company’s growth strategy is dependent on making accretive acquisitions, which may be limited by market conditions and competition[81]. - In 2021, the company acquired 103 sites, while divesting 45 sites, resulting in a net change to end the year with 1,156 total sites[221].

CrossAmerica Partners LP (NYSE:CAPL) Q3 2021 Earnings Conference Call November 9, 2021 9:00 AM ET Company Participants Maura Topper - CFO Charles Nifong - CEO and President Conference Call Participants Elvira Scotto - RBC Capital Markets Operator Good morning, and thank you for joining the CrossAmerica Partners Third Quarter 2021 Earnings Call. My name is Darrell and I will be your operator for today’s call. At this time all participants are on listen-only mode. Later we will conduct a question-and-answer s ...

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 September 30, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File No. 001-35711 CROSSAMERICA PARTNERS LP (Exact name of registrant as specified in its charter) Delaware 45-4165414 (State or Other Juris ...

| --- | --- | --- | --- | --- | --- | |-------|-------|---------------|---------------------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | Second Quarter 2021 | | | | | | Earnings Call | | | | Second Quarter 2021 Earnings Call August 2021 Forward Looking Statements 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 ...

Financial Data and Key Metrics Changes - The second quarter of 2021 saw an adjusted EBITDA of $29.7 million, a 7% increase compared to the second quarter of 2020 [22] - Distributable cash flow for the second quarter of 2021 was $25 million, reflecting a 4% decrease year-over-year from $26 million in the second quarter of 2020 [22][23] - The distribution coverage ratio on a paid basis for the trailing 12 months ended June 30, 2021, was 1.22x, slightly improving from 1.21x for the previous period [23] Business Line Data and Key Metrics Changes - Wholesale fuel volume increased by 27% year-over-year, while wholesale fuel gross profit rose by 8% despite a 15% decrease in wholesale fuel margin per gallon [8][11] - Retail operations experienced a 35% increase in same-site comparable week volume year-over-year, although down approximately 4% compared to 2019 [14] - Inside sales for retail were up 11.5% year-over-year and 13.5% compared to 2019 [15] Market Data and Key Metrics Changes - The company reported a decline in wholesale fuel margin per gallon to $0.092, a decrease of $0.016 or 15% from the prior year, primarily due to dealer-tank-wagon margin declines [11] - WTI crude prices increased by 24% during the second quarter, impacting fuel margins negatively [12] Company Strategy and Development Direction - The company is focused on closing the acquisition of 106 convenience store sites from 7-Eleven for $263 million, with 32 sites already closed as of August 5, 2021 [18] - There is an ongoing evaluation of the asset portfolio to divest non-core properties, with 9 properties divested in the first half of 2021 [19] - The company aims to continue executing its strategic plan while managing its balance sheet effectively [29] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism regarding solid results and positive traffic patterns, noting no significant impact from the delta variant of COVID-19 on operations [20] - The company remains vigilant and prepared to take necessary actions in response to any changes in the operating environment [20] Other Important Information - The company appointed Maura Topper as the new Chief Financial Officer, who has extensive financing experience [6][7] - Operating and G&A expenses increased due to a rise in the average company-operated site count by 17% year-over-year [17] Q&A Session Summary Question: Are there challenges on the labor front, such as labor shortages or wage inflation? - Management acknowledged labor tightness at store levels and mentioned initiatives like hiring incentives and retention bonuses to address this issue [30] Question: Is the labor situation driving an increase in G&A expenses? - Management clarified that while G&A expenses have not increased, there has been an uptick in store-level operating expenses due to higher labor costs [31] Question: What is the update on the divestiture front and the M&A market? - Management indicated that while divestitures have been slower than desired, there is a solid pipeline of transactions expected to proceed [32]

Financial Performance - Operating revenues for Q2 2021 reached $859.3 million, a significant increase from $398.4 million in Q2 2020, representing a growth of 115.5%[25] - Net income for Q2 2021 was $4.8 million, slightly down from $5.2 million in Q2 2020, a decrease of 8.5%[25] - Basic and diluted earnings per common unit for Q2 2021 were $0.13, compared to $0.14 in Q2 2020, reflecting a decline of 7.1%[25] - Revenues from fuel sales to external customers for the six months ended June 30, 2021, reached $1.39 billion, compared to $707.4 million for the same period in 2020, indicating a growth of 96.5%[128] - Total revenues for the three months ended June 30, 2021, were $859.3 million, a significant increase from $398.4 million in the same period of 2020, representing a growth of 115.5%[128] - The company reported a total of $1.52 billion in revenues for the six months ended June 30, 2021, compared to $790.1 million for the same period in 2020, reflecting a growth of 92.5%[128] Profitability and Expenses - Gross profit for the six months ended June 30, 2021, was $120.0 million, compared to $93.4 million for the same period in 2020, reflecting a year-over-year increase of 28.4%[25] - Operating expenses for the six months ended June 30, 2021, totaled $112.6 million, compared to $79.2 million for the same period in 2020, an increase of 42.1%[25] - Operating income for the three months ended June 30, 2021, was $8.2 million, compared to a loss of $6.3 million in the same period of 2020[128] - The company recorded an income tax benefit of $0.3 million for the three months ended June 30, 2021, compared to $2.9 million for the same period in 2020[119] Assets and Liabilities - Total current assets increased to $81.6 million as of June 30, 2021, up from $74.8 million at the end of 2020, marking a growth of 9.8%[21] - Total liabilities rose to $932.4 million as of June 30, 2021, compared to $904.7 million at the end of 2020, indicating an increase of 3.1%[21] - The company reported total equity of $72.1 million as of June 30, 2021, down from $109.7 million at the end of 2020, a decrease of 34.2%[21] - Cash and cash equivalents increased to $621,000 as of June 30, 2021, from $513,000 at the end of 2020, a growth of 21.1%[21] - Total inventories increased to $24.414 million as of June 30, 2021, compared to $23.253 million at the end of 2020[70] Cash Flow and Investments - Net cash provided by operating activities was $41,014,000 for the six months ended June 30, 2021, down from $61,643,000 in the prior year, reflecting a decline of approximately 33.5%[28] - Net cash used in investing activities was $(20,392,000) for the six months ended June 30, 2021, compared to $(6,580,000) in the prior year, indicating a significant increase in cash outflow[28] - Net cash used in financing activities was $(20,514,000) for the six months ended June 30, 2021, compared to $(54,658,000) in the same period of 2020, showing a reduction in cash outflow by approximately 62.5%[28] - Cash paid for interest in the six months ended June 30, 2021, was $6.7 million, down from $9.5 million in the same period of 2020[137] Acquisitions and Property - The company completed the acquisition of 106 company-operated sites from 7-Eleven for an aggregate purchase price of $263.0 million[52] - The company anticipates completing the acquisition of additional properties early in the fourth quarter of 2021[57] - The company classified 17 sites as held for sale with a total value of $5.553 million as of June 30, 2021[69] - The company sold nine properties for $3.9 million in proceeds during the six months ended June 30, 2021, resulting in a net gain of $1.1 million[69] Debt and Financing - Long-term debt and finance lease obligations totaled $552.2 million as of June 30, 2021, an increase from $533.2 million as of December 31, 2020[75] - The weighted-average interest rate on borrowings under the CAPL Credit Facility was 2.1% as of June 30, 2021[77] - As of August 5, 2021, the company had $64.4 million outstanding under its Term Loan Facility[65] Environmental and Indemnification Liabilities - Environmental liabilities recorded on the balance sheet totaled $5.7 million and $3.9 million at June 30, 2021, and December 31, 2020, respectively[102] - Indemnification assets related to environmental liabilities amounted to $4.2 million and $3.1 million at June 30, 2021, and December 31, 2020, respectively[102] Other Key Metrics - The company reported a gain of $597,000 on dispositions and lease terminations in Q2 2021, compared to a loss of $4.6 million in Q2 2020[25] - The company experienced a decrease in equity-based employee and director compensation expense, which rose to $754,000 from $48,000 in the prior year[28] - The company has exclusive motor fuel distribution contracts with lessee dealers and independent dealers, contributing to its wholesale segment revenue[125] - The company maintains insurance coverage deemed adequate for operations and properties, with deductibles considered reasonable[102]

Financial Data and Key Metrics Changes - For Q1 2021, adjusted EBITDA was $20.7 million, a decline of 18% compared to Q1 2020 [29] - Distributable cash flow for Q1 2021 was $15.8 million, down 23% year-over-year from $20.4 million in Q1 2020 [29] - Distribution coverage on a paid basis for the trailing 12 months ended March 31, 2021, was 1.23 times, an improvement from 1.19 times for the same period in 2020 [30] Business Line Data and Key Metrics Changes - Wholesale fuel volume increased by 32% year-over-year, primarily due to acquisitions and exchanges completed in 2020 [9] - Same-store inside sales were up approximately 13% year-over-year for Q1 2021, and up 15% year-to-date through late April [17][18] - Retail same-store volume was up approximately 3% year-over-year for Q1 2021, and up 16% year-to-date through late April [19] Market Data and Key Metrics Changes - Same-site volume for the last week in March 2021 was up approximately 80% year-over-year, indicating a recovery from COVID-19 impacts [11] - Year-to-date same-site volume performance through late April was up approximately 5% year-over-year [12] - WTI crude prices increased by 28% during Q1 2021, negatively impacting fuel margins per gallon [15] Company Strategy and Development Direction - The company announced an agreement to acquire 106 sites from 7-Eleven for $263 million, which will enhance its asset base in the Mid-Atlantic and Northeast regions [22] - The acquisition will involve rebranding the sites to Joe's Kwik Mart, aligning with the company's strategy to enhance its retail operations [25][26] - The company anticipates the acquisition to be immediately accretive to distributable cash flow and provide long-term value to unit holders [26] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the recovery of mobility and economic activity, which could lead to improved business conditions [27] - The company is well-positioned to capitalize on positive developments despite short-term challenges related to rising crude prices [27] - Management noted that the operating environment is improving, with expectations of returning to pre-pandemic levels [27] Other Important Information - The company experienced an increase in operating and G&A expenses due to the growth in company-operated and commission sites [21] - The leverage ratio at the end of Q1 2021 was 4.54 times, higher than the year-end ratio of 4.06 times, but the company remains in compliance with financial covenants [32] - The company plans to finance the acquisition through undrawn capacity under its revolving credit facility or additional debt financing [24] Q&A Session Summary Question: Can you provide more detail around when the acquisition closes? - Management indicated that the acquisition closing is dependent on the closing of the Marathon 7-Eleven acquisition, expected to occur in a matter of weeks [36][37] Question: How does the rebranding process work for the stores? - The rebranding will occur in groups, with clusters of sites being converted, requiring significant back-office equipment changes [38][39] Question: Does the colonial pipeline shutdown impact operations? - Management noted minimal impact so far, with expectations for normal operations to resume soon, although there could be disruptions if the situation persists [40][42] Question: Is there a floor to where wholesale margins could go with strengthening WTI prices? - Management explained that approximately 70% of wholesale contracts are fixed pricing, meaning variability is mainly from terms discounts, while the remaining 30% is variable price margin [43][44]