Murphy USA Inc. announced financial results for the three and nine months ending September 30, 2024.
Murphy USA’s net income was $149.2 million in Q3 2024 compared to net income of $167.7 million in Q3 2023.
Its fuel contribution for Q3 2024 was 32.6 cpg, compared to 34.5 cpg in Q3 2023. Total retail gallons increased 2.0%, and volumes on a same-store sales basis increased 0.5% in Q3 2024 compared to Q3 2023.
Merchandise contribution dollars for Q3 2024 increased 2.4% to $216.8 million on average unit margins of 20.0%, compared to Q3 2023 contribution dollars of $211.8 million on unit margins of 20.1%.
“Strength in our core categories continued to drive Murphy USA’s advantaged business model in the third quarter,” said President and CEO Andrew Clyde. “Retail fuel margins were over 3 cpg higher than 2023, and per store volumes grew 1.1% as pricing dynamics continue to reflect higher industry breakeven margins. Within the Murphy branded stores, total merchandise margin dollars were up 5.9% reflecting strength in both nicotine and non-nicotine categories while there were continued headwinds in the Northeast QuickChek markets.”
Murphy saw a net change in Q3 of four new-to-industry builds, with zero locations closed in the time frame. The company ended the quarter with 27 Murphy USA/Express stores and three QuickChek’s under construction. It also had 16 raze-and-rebuilds reopen during Q3.
“As our innovation and business improvement initiatives take hold, our network grows, and we continue to take share on key categories, we are well-positioned to compete and win with our value-conscious customers,” said Clyde. “We are accelerating our new-store build program in 2024 and 2025, which is generating strong returns and remains the primary growth driver of the business over the next five to 10 years.”
As of September 20, 2024, Murphy USA has 1,586 Murphy USA/Express stores and 154 QuickCheks.
“Concurrent with the earnings release, the company is also updating our full-year capital expenditure expectations to a range of $500 million to $525 million, up from the original guided range of $400 million to $450 million, due primarily to the successful efforts of our team to pull forward some future projects into the current year in addition to getting an earlier start on next year's build class,” Murphy said in a press release.
The company also said it is “revising our guidance for our full-year SG&A expenses to a range of $240 million to $250 million, down from the original guided range of $255 million to $265 million. The reduction is primarily due to lower employee costs, including both salaries and benefits, as well as the timing of certain initiatives.”
Murphy USA operates c-stores in 27 states across the United States. It acquired the QuickChek brand in 2021.