Casey's Announces Second Quarter Results

ANKENY, Iowa--( BUSINESS WIRE)--Casey’s General Stores, Inc. ("Casey's" or the "Company") (Nasdaq: CASY) one of the leading convenience store chains in the United States, today announced financial results for the three and six months ended October 31, 2025.

Second Quarter Key Highlights

"Casey's delivered a great second quarter highlighted by strong sales and traffic growth across the entire store,” said Darren Rebelez, Chairman, President and CEO. “Our inside same-store sales continued the strong momentum, as our prepared foods offering and value proposition are resonating with guests, while our team is delivering on the strategic plan. On the fuel side, the team did an outstanding job achieving same-store gallon growth while expanding fuel margin. Overall, the excellent financial results were a combination of strong same-store performance and robust store growth as we are operating nearly 9% more stores than the prior year."

Earnings

Three Months Ended October 31,

Six Months Ended October 31,

2025

2024

2025

2024

Net income (in thousands)

206,336

180,918

421,691

361,116

Diluted earnings per share

5.53

4.85

11.29

9.68

EBITDA (in thousands)

410,099

348,880

824,369

694,662

For the quarter, net income, diluted EPS, and EBITDA increased compared to the same period a year ago due to higher inside and fuel gross profit, partially offset by higher operating expenses, primarily due to operating 236 additional stores.

1EBITDA is reconciled to net income below.

Inside

Three Months Ended October 31,

Six Months Ended October 31,

2025

2024

2025

2024

Inside sales (in thousands)

1,658,439

1,467,524

3,342,256

2,941,631

Inside same-store sales

3.3

4.0

3.7

3.1

Grocery and general merchandise same-store sales

2.7

3.6

3.2

2.5

Prepared food and dispensed beverage same-store sales

4.8

5.2

5.0

4.7

Inside gross profit (in thousands)

703,423

619,651

1,408,889

1,233,973

Inside margin

42.4

42.2

41.9

Grocery and general merchandise margin

36.0

35.6

36.0

35.5

Prepared food and dispensed beverage margin

58.6

58.7

58.3

58.5

Total inside sales for the quarter were up 13.0% compared to the prior year. Same-store inside sales were driven by strong performance in the prepared food and dispensed beverage category, including whole pizzas and hot sandwiches as well as non-alcoholic beverages in the grocery and general merchandise category. Inside margin was up approximately 20 basis points compared to the same quarter a year ago, benefitting from a favorable product mix shift.

Fuel 2

Three Months Ended October 31,

Six Months Ended October 31,

2025

2024

2025

2024

Fuel gallons sold (in thousands)

906,652

775,914

1,818,432

1,548,450

Same-store gallons sold

0.8

(0.6

1.2

(0.1

Fuel gross profit (in thousands)

377,366

312,252

750,920

626,800

Fuel margin (cents per gallon, excluding credit card fees)

41.6

40.2

41.3

40.5

For the quarter, total fuel gallons sold increased 16.8% compared to the prior year due to the store count increase as well as the same-store gallons increase. The Company’s total fuel gross profit was up 20.9% versus the prior year, with an increase in gallons sold as well as fuel margin. The Company sold $7.2 million in renewable fuel credits (RINs) in the quarter, an increase of $2.3 million from the same quarter in the prior year.

Operating Expenses

Three Months Ended October 31,

Six Months Ended October 31,

2025

2024

2025

2024

Operating expenses (in thousands)

711,587

609,679

1,409,763

1,219,153

Credit card fees (in thousands)

71,493

62,275

143,197

126,084

Same-store operating expenses excluding credit card fees

4.5

2.3

3.6

1.5

Operating expenses increased 16.7% during the second quarter. Operating 236 more stores than prior year accounted for approximately 10.5% of the increase. Same-store employee expense contributed to approximately 2% of the increase, due to increases in labor rates, as same-store labor hours were flat. Approximately 1% of the change is related to an increase in accrued costs for variable incentive compensation due to strong financial performance.

2Fuel category does not include wholesale fuel nor terminal activity, which is included in Other.

Expansion

Store Count

April 30, 2025

2,904

New store construction

Acquisitions

Acquisitions not opened

)

Prior acquisitions opened

Closed or divested

(25

)

October 31, 2025

2,921

Liquidity

At October 31, 2025, the Company had approximately $1.4 billion in available liquidity, consisting of approximately $492 million in cash and cash equivalents on hand and approximately $900 million in available borrowing capacity on existing lines of credit.

Share Repurchase

During the quarter, the Company repurchased approximately $31 million of shares. The Company has approximately $233 million remaining under its existing share repurchase authorization.

Dividend

At its December meeting, the Board of Directors approved a quarterly dividend of $0.57 per share. The dividend is payable February 13, 2026, to shareholders of record on February 1, 2026.

Fiscal 2026 Outlook

As a result of the strong financial performance year-to-date, fiscal 2026 EBITDA is expected to increase 15% to 17%. The Company now expects inside same-store sales to increase 3% to 4% and an inside margin of 41% to 42%. The tax rate is now expected to be 24% to 25% for the fiscal year.

The Company is not updating its outlook for the following metrics. The Company expects same-store fuel gallons sold to be negative 1% to positive 1%. Total operating expenses are expected to increase approximately 8% to 10%. The Company expects to open at least 80 stores in fiscal 2026, through a mix of M&A and new store construction, bringing the three-year strategic plan period total to approximately 500 stores. Net interest expense is expected to be approximately $110 million. Depreciation and amortization is expected to be approximately $450 million and the purchase of property and equipment is expected to be approximately $600 million.

Casey’s General Stores, Inc. and Subsidiaries

Condensed Consolidated Statements of Income

(Amounts in thousands, except share and per share amounts)

(Unaudited)

Three Months Ended October 31,

Six Months Ended October 31,

2025

2024

2025

2024

Total revenue

4,506,084

3,946,771

9,073,190

8,044,508

Cost of goods sold (exclusive of depreciation and amortization, shown separately below)

3,384,398

2,988,212

6,839,058

6,130,693

Operating expenses

711,587

609,679

1,409,763

1,219,153

Depreciation and amortization

111,416

96,592

220,379

191,001

Interest, net

24,690

12,553

51,540

26,620

Income before income taxes

273,993

239,735

552,450

477,041

Federal and state income taxes

67,657

58,817

130,759

115,925

Net income

206,336

180,918

421,691

361,116

Net income per common share

Basic

5.56

4.87

11.35

9.73

Diluted

5.53

4.85

11.29

9.68

Basic weighted average shares

37,132,365

37,124,541

37,140,668

37,105,886

Plus dilutive effect of share-based compensation

152,768

186,938

195,313

202,392

Diluted weighted average shares

37,285,133

37,311,479

37,335,981

37,308,278

Casey’s General Stores, Inc. and Subsidiaries

Condensed Consolidated Balance Sheets

(Dollars in thousands)

(Unaudited)

October 31, 2025

April 30, 2025

Assets

Current assets

Cash and cash equivalents

492,016

326,662

Receivables

192,504

180,746

Inventories

452,063

480,034

Prepaid and other current assets

47,381

24,641

Income taxes receivable

7,309

770

Total current assets

1,191,273

1,012,853

Operating lease right-of-use assets, net

438,198

417,046

Other assets, net of amortization

122,219

120,082

Goodwill

1,266,489

1,244,893

Property and equipment, net of accumulated depreciation of $3,295,478 at October 31, 2025 and $3,122,203 at April 30, 2025

5,566,988

5,413,244

Total assets

8,585,167

8,208,118

Liabilities and Shareholders’ Equity

Current liabilities

Current maturities of long-term debt and finance lease obligations

101,265

94,925

Accounts payable

666,091

620,447

Accrued expenses and current portion of operating lease liabilities

367,705

386,321

Total current liabilities

1,135,061

1,101,693

Long-term debt and finance lease obligations, net of current maturities

2,352,032

2,413,620

Deferred income taxes

716,030

646,905

Operating lease liabilities, net of current portion

464,326

434,707

Insurance accruals, net of current portion

35,512

33,143

Other long-term liabilities

72,678

69,380

Total liabilities

4,775,639

4,699,448

Total shareholders’ equity

3,809,528

3,508,670

Total liabilities and shareholders’ equity

8,585,167

8,208,118

Casey’s General Stores, Inc. and Subsidiaries

Condensed Consolidated Statements of Cash Flows

(Dollars in thousands)

(Unaudited)

Six months ended October 31,

2025

2024

Cash flows from operating activities:

Net income

421,691

361,116

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

220,379

191,001

Amortization of debt issuance costs

1,033

555

Change in excess replacement cost over LIFO inventory valuation

15,631

6,398

Share-based compensation

30,659

23,645

Loss on disposal of assets and impairment charges

1,679

4,422

Deferred income taxes

70,907

12,054

Changes in assets and liabilities:

Receivables

(13,224

)

(855

)

Inventories

15,421

(8,723

)

Prepaid and other current assets

(22,740

)

(12,505

)

Accounts payable

3,938

(9,902

)

Accrued expenses

(19,780

)

(36,228

)

Income taxes

(6,248

)

20,780

Other, net

140

299

Net cash provided by operating activities

719,486

552,057

Cash flows from investing activities:

Purchase of property and equipment

(281,100

)

(211,226

)

Payments for acquisition of businesses, net of cash acquired

(87,454

)

(46,341

)

Proceeds from sales of assets

24,312

11,720

Net cash used in investing activities

(344,242

)

(245,847

)

Cash flows from financing activities:

Proceeds from long-term debt

—

1,100,000

Payments of long-term debt and finance lease obligations

(60,376

)

(34,637

)

Payments of debt issuance costs

—

(5,191

)

Payments of cash dividends

(40,864

)

(35,179

)

Repurchase of common stock and payment of related excise taxes

(62,502

)

(734

)

Tax withholdings on employee share-based awards

(46,148

)

(25,110

)

Net cash (used in) provided by financing activities

(209,890

)

999,149

Net increase in cash, cash equivalents and restricted cash

165,354

1,305,359

Cash and cash equivalents at beginning of the period

326,662

206,482

Cash, cash equivalents and restricted cash at end of the period

492,016

1,511,841

RECONCILIATION OF CASH, CASH EQUIVALENTS AND RESTRICTED CASH

Six months ended October 31,

2025

2024

Cash and cash equivalents

492,016

351,723

Restricted cash

—

1,160,118

Total cash, cash equivalents and restricted cash shown in the statement of cash flows

492,016

1,511,841

SUPPLEMENTAL DISCLOSURES OF CASH FLOWS INFORMATION

Six months ended October 31,

2025

2024

Cash paid during the period for:

Interest, net of amount capitalized

65,363

33,516

Income taxes, net

64,954

82,507

Noncash activities:

Purchased property and equipment in accounts payable

88,135

59,312

Right-of-use assets obtained in exchange for new finance lease liabilities

4,764

11,210

Right-of-use assets obtained in exchange for new operating lease liabilities

41,349

—

Summary by Category (Amounts in thousands)

Three Months Ended October 31, 2025

Prepared Food

& Dispensed

Beverage

Grocery &

General

Merchandise

Fuel

Other

Total

Revenue

467,799

1,190,640

2,687,289

160,356

4,506,084

Gross profit

274,244

429,179

377,366

40,897

1,121,686

58.6

36.0

14.0

25.5

24.9

Fuel gallons sold

906,652

Three Months Ended October 31, 2024

Revenue

417,827

1,049,697

2,414,632

64,615

3,946,771

Gross profit

245,458

374,193

312,252

26,656

958,559

58.7

35.6

12.9

41.3

24.3

Fuel gallons sold

775,914

Summary by Category (Amounts in thousands)

Six Months Ended October 31, 2025

Prepared Food

& Dispensed

Beverage

Grocery &

General

Merchandise

Fuel

Other

Total

Revenue

926,233

2,416,023

5,420,948

309,986

9,073,190

Gross profit

540,227

868,662

750,920

74,323

2,234,132

58.3

36.0

13.9

24.0

24.6

Fuel gallons sold

1,818,432

Six Months Ended October 31, 2024

Revenue

822,956

2,118,675

4,970,274

132,603

8,044,508

Gross profit

481,499

752,474

626,800

53,042

1,913,815

58.5

35.5

12.6

40.0

23.8

Fuel gallons sold

1,548,450

Prepared Food & Dispensed Beverage

Same-store Sales

Margin

Fiscal

Year

Fiscal

Year

F2026

5.6%

4.8%

F2026

58.0%

58.6%

F2025

4.4

5.2

4.7%

1.5%

3.5%

F2025

58.3

58.7

57.8%

58.2%

F2024

5.9

6.1

7.5

8.8

6.8

F2024

58.2

59.0

59.6

58.1

58.7

Grocery & General Merchandise

Same-store Sales

Margin

Fiscal

Year

Fiscal

Year

F2026

3.8%

2.7%

F2026

35.9%

36.0%

F2025

1.6

3.6

3.3%

1.8%

2.3%

F2025

35.4

35.6

34.2%

34.8%

35.0%

F2024

5.2

1.7

2.8

4.3

3.5

F2024

34.1

34.0

33.9

34.4

34.1

Fuel Gallons

Fuel Margin

Same-store Sales

(Cents per gallon, excluding credit card fees)

Fiscal

Year

Fiscal

Year

F2026

1.7%

0.8%

F2026

41.0¢

41.6¢

F2025

0.7

(0.6)

1.8%

0.1%

F2025

40.7

40.2

36.4¢

37.6¢

38.7¢

F2024

0.4

—

(0.4)

0.9

0.1

F2024

41.6

42.3

37.3

36.5

39.5

RECONCILIATION OF NET INCOME TO EBITDA

We define EBITDA as net income before net interest expense, income taxes, and depreciation and amortization. EBITDA is not considered to be a GAAP measure, and should not be considered as a substitute for net income, cash flows from operating activities or other income or cash flow statement data. This measure has limitations as an analytical tool, and should not be considered in isolation or as a substitute for analysis of our results as reported under GAAP. We strongly encourage investors to review our financial statements and publicly filed reports in their entirety and not to rely on any single financial measure.

We believe EBITDA is useful to investors in evaluating our operating performance because securities analysts and other interested parties use this calculation as a measure of financial performance and debt service capabilities, and it is regularly used by management for internal purposes including our capital budgeting process, evaluating acquisition targets, assessing performance, and awarding incentive compensation.

Because non-GAAP financial measures are not standardized, EBITDA, as defined by us, may not be comparable to similarly titled measures reported by other companies. It therefore may not be possible to compare our use of this non-GAAP financial measure with those used by other companies.

The following table contains a reconciliation of net income to EBITDA for the three and six months ended October 31, 2025 and 2024:

(in thousands)

Three Months Ended October 31,

Six Months Ended October 31,

2025

2024

2025

2024

Net income

206,336

180,918

421,691

361,116

Interest, net

24,690

12,553

51,540

26,620

Federal and state income taxes

67,657

58,817

130,759

115,925

Depreciation and amortization

111,416

96,592

220,379

191,001

EBITDA

410,099

348,880

824,369

694,662

NOTES:

This release contains statements that may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including those related to the potential impact of the Fikes transaction, expectations for future periods, possible or assumed future results of operations, financial conditions, liquidity and related sources or needs, business and/or integration strategies, plans and synergies, supply chain, growth opportunities, and performance at our stores. There are a number of known and unknown risks, uncertainties, and other factors that may cause our actual results to differ materially from any results expressed or implied by these forward-looking statements, including but not limited to the execution of our strategic plan, the integration and financial performance of acquired stores, wholesale fuel, inventory and ingredient costs, distribution challenges and disruptions, the impact and duration of conflicts in oil producing regions or other geopolitical disruptions, as well as other risks, uncertainties and factors which are described in the Company’s most recent annual report on Form 10-K and quarterly reports on Form 10-Q, as filed with the Securities and Exchange Commission and available on our website. Any forward-looking statements contained in this release represent our current views as of the date of this release with respect to future events, and Casey’s disclaims any intention or obligation to update or revise any forward-looking statements in the release whether as a result of new information, future events, or otherwise.

Corporate information is available at this website: https://www.caseys.com. Earnings will be reported during a conference call on December 10, 2025. The call will be broadcast live over the Internet at 7:30 a.m. CDT. To access the call, go to the Events and Presentations section of our website at https://investor.caseys.com/events-presentations. No access code is required. A webcast replay of the call will remain available in an archived format on the Events and Presentations section of our website at https://investor.caseys.com/events-presentations for one year after the call.

CASY-IR