Murphy USA (US:MUSA) ZACKS·2026-02-12 14:20Core Insights - Murphy USA Inc. (MUSA) reported fourth-quarter 2025 adjusted earnings per share of $7.53, exceeding the Zacks Consensus Estimate of $6.67 and up from $6.96 in the previous year, driven by improved merchandise results [1][10] - Operating revenues reached $4.7 billion, a 0.7% year-over-year increase, but fell short of consensus expectations by $57 million due to lower petroleum product sales [1][2] Revenue Breakdown - Petroleum product sales amounted to $3.6 billion, down 0.6% from the fourth quarter of 2024 and below the estimate of $3.7 billion [2] - Merchandise sales increased by 3.7% year over year to $1.1 billion, contributing positively to overall revenue [2] Fuel Contribution - Total fuel contribution rose 8.9% year over year to $423.6 million, with a retail fuel margin of 34.3 cents per gallon, up 5.5% from the previous year [3][10] - Retail fuel contribution improved 10.8% year over year to $383 million, with retail gallons increasing by 3.1% to 1,234.2 million, surpassing estimates [4] Merchandise Contribution - Merchandise contribution increased by 2.1% to $213.2 million, although unit margins slightly decreased to 19.6% from 19.9% a year ago [5] - On a same-store sales (SSS) basis, total merchandise contribution rose by 0.4%, primarily due to a 2.7% increase in non-nicotine margins [5] Balance Sheet and Share Buyback - As of December 31, Murphy USA had cash and cash equivalents of $28.9 million and long-term debt of $2.2 billion, with a debt-to-capitalization ratio of 77.6% [7] - The company repurchased shares worth $67.5 million during the quarter [7] 2026 Guidance - For 2026, Murphy USA plans to open 45 to 55 new stores and complete up to 30 raze-and-rebuild projects, with merchandise contribution expected to be between $890 million and $900 million [8][10] - Capital expenditures are projected to total between $475 million and $525 million for the year [8]