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: The Kent Companies has acquired regional competitor B&B Petroleum for an undisclosed amount, according to a Friday announcement. Kent is acquiring B&B’s 15 convenience stores scattered across southeast Louisiana, as well as its Subway and Red Bird Café restaurants. Three of the stores operate under B&B’s Louisiana Sportsman’s Paradise banner, according ...

M&A Activity in C-Store Industry - Sunoco completed its acquisition of Parkland Corp. after 180 days, with a purchase price of $9.1 billion [3][4] - The future of Parkland's 699 underperforming U.S. stores remains uncertain, with speculation on whether Sunoco will operate them or sell them [4] - United Fuels Midwest sold 13 stores, including eight c-stores and five travel centers, to Casey's General Stores, Staples Oil, and an undisclosed third company [7] Oxxo's Expansion Strategy - Oxxo operates 571 fuel-selling stores in Mexico and is focusing on re-evaluating and rebranding over 200 stores acquired from Delek [5][6] - The company is also opening fuel-less convenience stores in the United States, indicating a strategic shift in its U.S. operations [5][6]

Core Insights - Mindy West has been appointed as the new CEO of Murphy USA, set to take over in January 2026, succeeding Andrew Clyde [2][5] - West has extensive experience within the company, having joined Murphy Oil in 1996 and played a key role in the spin-off of Murphy USA in 2013 [3][4] - The company has faced challenges, including a decline in annual revenue for two consecutive years and operational difficulties related to a new store program launched in late 2023 [5][6] Company Background - Mindy West's background includes roles as executive vice president, CFO, and treasurer, and she became the first COO of Murphy USA early last year [4] - Her experience has provided her with a comprehensive understanding of the financial, commercial, and customer aspects of the business [5] Current Challenges - Murphy USA's new store program aims to enhance traffic flow and optimize sales but has encountered scheduling setbacks affecting fuel and merchandise sales [6] - The company has recently laid off about 100 corporate team members as part of efforts to improve operational effectiveness [7]

IR Day 2025 Autumn Opening Remarks October 31, 2025 Market Landscape and Our Business Rising expectations for great-tasting, high-quality food The distinction between QSR and convenience is blurring Consumers are seeking more convenient, better quality food Demand for more convenient shopping Global shifts in consumer behavior A clear shift toward value Consumers' demand for better quality at lower price continues Value-conscious shopping is reshaping the retail sector globally Consumers expect to be able t ...

Financial Data and Key Metrics Changes - Third quarter EBITDA was $285 million, virtually flat compared to the prior year despite all-in margins running about $0.02 lower [17][10] - Merchandise contribution dollars were up $24.4 million or 11.2% in Q3, driven by strong performance in nicotine categories and center store categories [20][23] - The company expects to tighten its full-year merchandise contribution guidance to between $870 million and $875 million [30] Business Line Data and Key Metrics Changes - Fuel performance showed average per store month volumes down 1.8% in Q3, with all-in margins of $0.307, including retail margins of $0.283 [18][19] - Nicotine promotional dollars have grown at a 12% CAGR since 2020, contributing significantly to merchandise performance [12][22] - QuickChek reported its fourth consecutive quarter of same-store food and beverage sales growth, with total center store categories growing by 5% [13][23] Market Data and Key Metrics Changes - The company described the current fuel market as a low price, long supply, and low volatility environment, which is challenging for an EDLP fuels retailer [10][11] - Average per store month volumes for fuel are projected to be between 235,000 to 237,000 gallons for the full year, below the original guidance range [30] Company Strategy and Development Direction - The company remains committed to a 50:50 capital allocation strategy, balancing growth and share repurchase [17][26] - A new $2 billion share repurchase program has been authorized, alongside a commitment to increase dividends by 10% annually [9][26] - The company plans to open over 45 new stores in 2025, with a strong pipeline supporting 50+ stores in 2026 and beyond [13][29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience and ability to navigate through challenging market conditions, emphasizing the importance of operational efficiencies [25][31] - The company anticipates that the current low price environment will eventually normalize, leading to improved margins [11][19] - Preliminary October results indicate strong fundamentals, with average per store month volumes running at 98% of the prior year [27][28] Other Important Information - The CEO announced his retirement, with a planned transition to the new CEO, Mindy West, effective January 1, 2026 [5][7] - The company has completed an organizational restructuring aimed at streamlining workflows and processes [32] Q&A Session Summary Question: Fuel margins and investment to drive volume - Management noted that fuel margins remained strong at $0.30 all-in, despite a low price environment, and emphasized the need for strategic investments to drive traffic [38][40] Question: Impact of ZYN promotion - The ZYN promotion was highlighted as a significant contributor to performance, showcasing the company's ability to execute for vendor partners and drive traffic [41][42] Question: Merchandise contribution guidance - The increase in merchandise contribution guidance was attributed to the ZYN promotion and overall strength in center store categories, with nicotine pouch volumes growing significantly [47][48] Question: Capital allocation and growth - Management reiterated the commitment to a balanced capital allocation strategy, emphasizing that the dividend increase does not compromise growth opportunities [50][55] Question: Cost management opportunities - Management indicated that while the recent restructuring was a one-time reset, there are ongoing opportunities for cost optimization and efficiency improvements [73][75]

Core Insights - Murphy USA has faced declining annual revenue for two consecutive years, with 2024 being described as disappointing by the outgoing CEO Andrew Clyde [3][6] - The company has implemented layoffs of approximately 100 corporate team members as part of efforts to enhance operational effectiveness [3] - Mindy West has been appointed as the new president and CEO, effective January 1, 2026, succeeding Andrew Clyde, who has been CEO since 2013 [6] Leadership Transition - Mindy West, who has been with Murphy since 1996 and has held various roles, including COO, will take on the role of president immediately and transition to CEO next year [4][6] - The board of directors expressed confidence in West's leadership abilities to drive the company forward and build on its strong foundation [5] - Andrew Clyde will remain with the company as a non-executive advisor until February 2027 to assist with the transition [5][6] Company Strategy and Challenges - Murphy USA is focusing on expanding its network across the U.S. while facing challenges such as revenue declines and corporate layoffs [3][6] - The company is investing heavily in new store development despite the recent operational challenges [6]

Core Viewpoint - Murphy USA (MUSA) shares have underperformed over the past year, losing 18% of their value due to concerns about slowing discretionary spending at its convenience stores [1] Financial Performance - The company reported mixed Q3 results, indicating ongoing challenges in its operations [1]

Core Insights - United Dairy Farmers (UDF) has appointed Michael Ahmed as the new CEO, succeeding Brad Linder who retired after 47 years with the company [1][3] - Ahmed brings extensive experience in food manufacturing, supply chain, and logistics, which were key criteria for his selection [2] - The leadership transition marks a significant shift from a family-led organization to one operated by non-owners, while the Lindner family will maintain oversight through the board [4] Leadership Transition - Michael Ahmed officially began his role as CEO on October 20, 2025, after serving as COO at Gorilla Glue Company for five years [1] - Brad Linder, who has been with UDF for 27 years, will assist in Ahmed's onboarding and will transition to the role of chairman of the UDF Board of Directors [3] - The company has been preparing for this leadership change since late 2024, indicating a planned succession strategy [4] Company Background - UDF has been a trusted name for over 85 years, emphasizing family, quality, and community [2] - The company operates 173 stores across Ohio, Kentucky, and Indiana [4]

Financial Data and Key Metrics Changes - Total revenue growth for the third quarter of 2025 was 9.1%, driven by solid trends outside Mexico and currency tailwinds, particularly in Europe [30][31] - Operating income increased by 4.3% year over year, reflecting inflationary effects on costs and expenses, partially offset by efficiency efforts [30][31] - Net consolidated income decreased by 36.8% to 5.8 billion pesos, primarily due to a non-cash foreign exchange loss of 1.3 billion pesos [31][32] Business Line Data and Key Metrics Changes - Proximity Americas' same-store sales increased by 1.7%, with average ticket rising by 4.9% and average traffic contracting by 3.1% [19][34] - Total revenues for Proximity Americas grew by 9.2%, driven by the expansion of the store network and strong performance in LATAM markets [35] - Operating income for the health division declined by 4%, with same-store sales growing by 0.8%, primarily due to strong performance in Chile and Colombia [39][40] Market Data and Key Metrics Changes - In Mexico, OXXO continues to experience sluggish growth, but there are signs of improvement in market share for key categories like beer and snacks [10][20] - Coca-Cola FEMSA showed gradual improvement in volume, particularly in South America, despite a slight decline in Mexico [41] - Valora in Europe reported a 10.1% increase in total revenues, driven by higher retail sales in Switzerland [38] Company Strategy and Development Direction - The company is focused on maximizing long-term value creation through its FEMSA Forward strategy, which includes divesting nearly $11 billion in assets and setting clear capital allocation targets [8][9] - There is a strong emphasis on expanding the OXXO platform in Brazil and Colombia, with significant growth opportunities identified [10][26] - The company aims to enhance its digital capabilities and improve the value proposition of its retail offerings, particularly in coffee and food categories [24][17] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism for the upcoming year, noting signs of improvement in October data and the potential positive impact of the FIFA World Cup [42] - The recent tax increase in Mexico is expected to present challenges, but management believes they can adapt and maintain return on investment [12][30] - The incoming CEO emphasized the importance of urgency and excellence in management to drive future growth [94] Other Important Information - The company distributed a total of 11.8 billion pesos in dividends during the quarter, with no share buybacks executed [41] - The effective tax rate for the quarter improved to 29.3%, following a spike in the first half of the year [32][33] Q&A Session Summary Question: Insights on same-store sales performance and traffic dynamics at OXXO - Management noted a reversal of trends in OXXO Mexico, with improved traffic performance compared to the first half of the year, and expressed optimism for the fourth quarter [46][49] Question: Gross margin performance at OXXO Mexico - Management indicated that gross margin improvements were driven by commercial income growth and a favorable service mix, with expectations for continued gains [54][57] Question: Update on health business in Mexico and Chile - Management reported strong growth in Chile despite a competitive environment, while acknowledging challenges in Mexico and the need for operational improvements [70][71] Question: Corporate restructuring and SG&A reduction - Management discussed ongoing efforts to streamline corporate overhead and indicated potential for significant savings in the future [78][79] Question: Interest expense increase and its drivers - Management explained that the increase in interest expense was primarily due to lease accounting under IFRS and the consolidation of U.S. operations [95][96]

Company Performance & Challenges - 7-Eleven, despite being the world's largest convenience store chain, faces a reputation problem, particularly in the US [1] - 7i Holdings is under pressure due to disappointing financial results [2] - Shares of 7i Holdings have fallen more than 18% in 2025 [3] Strategic Shift & Future Plans - Alimentation Couche-Tard withdrew its $47 billion bid to acquire 7i Holdings [3] - The company is shifting its focus towards transformation, aiming to improve the in-store experience of US 7-Elevens to resemble its Japanese stores [3][4] - A key component of the transformation is focusing on food offerings [4] - The new non-Japanese CEO is leading the charge to implement a more Japanese style of 7-Eleven in the US [4]