CrossAmerica Partners(CAPL) - 2022 Q1 - Quarterly Report

Financial Performance - Operating revenues for Q1 2022 reached $1,093,211, a significant increase of 66.2% compared to $657,284 in Q1 2021[15] - Gross profit for Q1 2022 was $78,830, up from $54,868 in Q1 2021, reflecting a gross margin improvement[15] - Net income available to limited partners for Q1 2022 was $5,047, compared to a net loss of $3,967 in Q1 2021, indicating a turnaround in profitability[15] - Net income for the three months ended March 31, 2022, was $5,047,000, compared to a net loss of $3,967,000 for the same period in 2021[21] - Comprehensive income for the three months ended March 31, 2022, was $13,366,000, compared to a comprehensive loss of $1,719,000 for the same period in 2021[21] - Operating income for the three months ended March 31, 2022, was $9,719, compared to a loss of $864 in the same period of 2021, reflecting a significant turnaround[97] Assets and Liabilities - Total current assets increased to $122,979 as of March 31, 2022, from $106,315 at the end of 2021, driven by higher cash and inventory levels[13] - Total liabilities decreased to $1,205,977 as of March 31, 2022, from $1,213,584 at the end of 2021, showing improved financial stability[13] - Cash and cash equivalents at the end of Q1 2022 were $11,149, up from $7,648 at the end of 2021, indicating better liquidity[19] - Total equity as of March 31, 2022, was $50,309,000, a decrease from $56,558,000 at December 31, 2021[21] - Total debt and finance lease obligations decreased from $829,844,000 on December 31, 2021, to $809,730,000 on March 31, 2022, with a current portion of $2,774,000[44] Cash Flow and Investments - The company reported a net cash provided by operating activities of $28,388 for Q1 2022, compared to $17,668 in Q1 2021, reflecting stronger operational performance[19] - Capital expenditures for Q1 2022 were $8,934, a decrease from $10,621 in Q1 2021, suggesting a more cautious investment approach[19] - The company issued $24,500 in preferred membership interests during Q1 2022, enhancing its capital structure[19] - The company issued 12,500 Series A Preferred Interests at a price of $1,000 each, raising a total of $25 million on March 29, 2022[84] Revenue Sources - Revenues from fuel sales to external customers reached $1,005,363 for Q1 2022, up from $595,980 in Q1 2021, indicating a growth of about 68.5%[97] - Revenue from TopStar, an affiliated entity, was $17.1 million for the three months ended March 31, 2022, compared to $11.2 million for the same period in 2021[61] - Intersegment revenues from fuel sales were $344,001 for Q1 2022, compared to $144,452 in Q1 2021, reflecting a growth of approximately 138.2%[97] Expenses and Costs - Expenses under the Omnibus Agreement increased to $20.1 million for the three months ended March 31, 2022, from $12.8 million in the same period of 2021[63] - Merchandise costs from related parties amounted to $4.5 million for the three months ended March 31, 2022, compared to $4.2 million in 2021[68] - Cash paid for interest in Q1 2022 was $5,892, compared to $2,996 in Q1 2021, showing an increase of approximately 96.7%[103] Inventory and Assets Held for Sale - Inventories increased to $52,681,000 as of March 31, 2022, compared to $46,100,000 at December 31, 2021[38] - As of March 31, 2022, assets held for sale totaled $4,175,000, down from $4,907,000 at December 31, 2021[37] - The company recorded impairment charges of $0.7 million during the three months ended March 31, 2022, related to sites classified within assets held for sale[39] Tax and Distributions - The company recorded an income tax benefit of $1.9 million for the three months ended March 31, 2022, compared to $0.3 million for the same period in 2021[89] - Cash distributions per unit were $0.5250 for the quarters ended December 31, 2021, and March 31, 2022, with total distributions of $19.9 million and $20.0 million, respectively[92] Environmental Liabilities - Environmental liabilities recorded on the balance sheet totaled $7.5 million and $5.4 million as of March 31, 2022, and December 31, 2021, respectively[76] - Indemnification assets related to environmental liabilities amounted to $5.6 million and $3.2 million as of March 31, 2022, and December 31, 2021, respectively[76]