Casey's Announces Third 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 nine months ended January 31, 2026.

Third Quarter Key Highlights

"Casey's achieved another successful quarter as strong sales and margin expansion drove performance,” said Darren Rebelez, Chairman, President and CEO. “Our high quality inside offering, along with a compelling value proposition, continues to attract guests to our stores. On the fuel side, the team had another sound quarter, expanding fuel margin while reporting positive same-store gallon growth. All of this was anchored by our store level operations team, who continue to meet our guests’ needs in an efficient manner."

Earnings

Three Months Ended January 31,

Nine Months Ended January 31,

2026

2025

2026

2025

Net income (in thousands)

130,073

87,097

551,764

448,213

Diluted earnings per share

3.49

2.33

14.79

12.01

EBITDA (in thousands)

308,912

242,368

1,133,281

937,030

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.

1EBITDA is reconciled to net income below.

Inside

Three Months Ended January 31,

Nine Months Ended January 31,

2026

2025

2026

2025

Inside sales (in thousands)

1,480,203

1,400,425

4,822,459

4,342,056

Inside same-store sales

4.0

3.7

3.8

3.1

Grocery and general merchandise same-store sales

4.0

3.3

3.4

2.6

Prepared food and dispensed beverage same-store sales

4.3

4.7

4.8

4.4

Inside gross profit (in thousands)

624,034

573,079

2,032,923

1,807,052

Inside margin

42.2

40.9

42.2

41.6

Grocery and general merchandise margin

35.7

34.2

35.9

35.1

Prepared food and dispensed beverage margin

58.3

57.8

58.3

Total inside sales for the quarter were up 5.7% compared to the prior year. Prepared food and dispensed beverage same-store sales were led by whole pizzas and hot sandwiches while grocery and general merchandise same-store sales had excellent performance in non-alcoholic beverages. Inside margin was up approximately 130 basis points compared to the same quarter a year ago, benefitting from cost of goods management and a favorable product mix shift.

Fuel 2

Three Months Ended January 31,

Nine Months Ended January 31,

2026

2025

2026

2025

Fuel gallons sold (in thousands)

848,434

829,761

2,666,866

2,378,211

Same-store gallons sold

0.4

1.8

1.1

0.3

Fuel gross profit (in thousands)

348,226

302,058

1,099,146

928,858

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

41.0

36.4

41.2

39.1

For the quarter, total fuel gallons sold increased 2.3% 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 15.3% versus the prior year, due to an increase in gallons sold as well as fuel margin. The Company sold $6.3 million in renewable fuel credits (RINs) in the quarter, an increase of $3.7 million from the same quarter in the prior year.

Operating Expenses

Three Months Ended January 31,

Nine Months Ended January 31,

2026

2025

2026

2025

Operating expenses (in thousands)

697,640

670,200

2,107,403

1,889,353

Credit card fees (in thousands)

63,632

61,234

206,830

187,318

Same-store operating expenses excluding credit card fees

4.6

3.2

3.9

1.8

Operating expenses increased 4.1% during the third quarter. The total operating expense comparison benefitted from $13 million in one-time deal and integration costs that were incurred in the prior year, related to the acquisition of Fikes. Operating 31 more stores than prior year accounted for approximately 1% of the increase. Same-store employee expense contributed to approximately 1.5% of the increase, due to increases in labor rates, partially offset by a reduction in same-store labor hours. Snow removal due to unfavorable weather contributed approximately 1% of the increase. Approximately 1.5% of the change is related to an increase in accrued costs for variable incentive compensation and charitable contributions.

2 Fuel category does not include wholesale fuel or 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

(34

)

January 31, 2026

2,924

Liquidity

At January 31, 2026, the Company had approximately $1.4 billion in available liquidity, consisting of approximately $465 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 $76 million of shares. The Company has approximately $157 million remaining under its existing share repurchase authorization.

Dividend

At its March meeting, the Board of Directors approved a quarterly dividend of $0.57 per share. The dividend is payable May 15, 2026, to shareholders of record on May 1, 2026.

Fiscal 2026 Outlook

As a result of the strong financial performance year-to-date, fiscal 2026 EBITDA is expected to increase 18% to 20%. The Company now expects inside same-store sales to increase 3.5% to 4.5% and an inside margin of approximately 41.5% to 42.5%. Total operating expenses are now expected to increase approximately 10%. The tax rate is now expected to be 23.5% to 24.5% for the fiscal year. Net interest expense is expected to be approximately $100 million.

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%. 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. Depreciation and amortization is expected to be approximately $450 million. 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 January 31,

Nine Months Ended January 31,

2026

2025

2026

2025

Total revenue

3,916,132

3,903,633

12,989,322

11,948,141

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

2,909,580

2,991,065

9,748,638

9,121,758

Operating expenses

697,640

670,200

2,107,403

1,889,353

Depreciation and amortization

114,084

105,203

334,463

296,204

Interest, net

23,381

29,415

74,921

56,035

Income before income taxes

171,447

107,750

723,897

584,791

Federal and state income taxes

41,374

20,653

172,133

136,578

Net income

130,073

87,097

551,764

448,213

Net income per common share

Basic

3.51

2.35

14.87

12.08

Diluted

3.49

2.33

14.79

12.01

Basic weighted average shares

37,034,207

37,125,570

37,105,202

37,112,506

Plus dilutive effect of share-based compensation

206,830

236,486

205,264

213,474

Diluted weighted average shares

37,241,037

37,362,056

37,310,466

37,325,980

Casey’s General Stores, Inc. and Subsidiaries

Condensed Consolidated Balance Sheets

(Dollars in thousands)

(Unaudited)

January 31, 2026

April 30, 2025

Assets

Current assets

Cash and cash equivalents

465,019

326,662

Receivables

186,756

180,746

Inventories

440,832

480,034

Prepaid and other current assets

36,291

24,641

Income taxes receivable

19,105

770

Total current assets

1,148,003

1,012,853

Operating lease right-of-use assets, net

436,140

417,046

Other assets, net of amortization

121,692

120,082

Goodwill

1,266,489

1,244,893

Property and equipment, net of accumulated depreciation of $3,386,937 at January 31, 2026 and $3,122,203 at April 30, 2025

5,613,426

5,413,244

Total assets

8,585,750

8,208,118

Liabilities and Shareholders’ Equity

Current liabilities

Current maturities of long-term debt and finance lease obligations

101,455

94,925

Accounts payable

603,347

620,447

Accrued expenses and current portion of operating lease liabilities

396,893

386,321

Total current liabilities

1,101,695

1,101,693

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

2,331,744

2,413,620

Deferred income taxes

729,206

646,905

Operating lease liabilities, net of current portion

462,522

434,707

Insurance accruals, net of current portion

33,669

33,143

Other long-term liabilities

73,429

69,380

Total liabilities

4,732,265

4,699,448

Total shareholders’ equity

3,853,485

3,508,670

Total liabilities and shareholders’ equity

8,585,750

8,208,118

Casey’s General Stores, Inc. and Subsidiaries

Condensed Consolidated Statements of Cash Flows

(Dollars in thousands)

(Unaudited)

Nine months ended January 31,

2026

2025

Cash flows from operating activities:

Net income

551,764

448,213

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

Depreciation and amortization

334,463

296,204

Amortization of debt issuance costs

1,549

1,132

Change in excess replacement cost over LIFO inventory valuation

17,347

9,358

Share-based compensation

42,991

35,489

Loss on disposal of assets and impairment charges

3,507

8,993

Deferred income taxes

84,083

51,204

Changes in assets and liabilities:

Receivables

(7,476

)

12,067

Inventories

24,936

(8,129

)

Prepaid and other current assets

(11,650

)

(11,287

)

Accounts payable

(48,751

)

(78,246

)

Accrued expenses

7,509

(5,617

)

Income taxes

(17,907

)

276

Other, net

(3,335

)

(2,661

)

Net cash provided by operating activities

979,030

756,996

Cash flows from investing activities:

Purchase of property and equipment

(464,838

)

(325,499

)

Payments for acquisition of businesses, net of cash acquired

(87,892

)

(1,211,567

)

Proceeds from sales of assets

39,789

14,529

Net cash used in investing activities

(512,941

)

(1,522,537

)

Cash flows from financing activities:

Proceeds from long-term debt

—

1,100,000

Payments of long-term debt and finance lease obligations

(81,648

)

(60,981

)

Payments of debt issuance costs

—

(5,292

)

Payments of cash dividends

(62,039

)

(53,745

)

Repurchase of common stock and payment of related excise taxes

(137,258

)

(734

)

Tax withholdings on employee share-based awards

(46,787

)

(25,374

)

Net cash (used in) provided by financing activities

(327,732

)

953,874

Net increase in cash and cash equivalents

138,357

188,333

Cash and cash equivalents at beginning of the period

326,662

206,482

Cash and cash equivalents at end of the period

465,019

394,815

SUPPLEMENTAL DISCLOSURES OF CASH FLOWS INFORMATION

Nine months ended January 31,

2026

2025

Cash paid during the period for:

Interest, net of amount capitalized

82,186

52,565

Income taxes, net

104,753

84,506

Noncash activities:

Purchased property and equipment in accounts payable

78,080

69,299

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

6,992

12,590

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

43,026

315,124

Summary by Category (Amounts in thousands)

Three Months Ended January 31, 2026

Prepared Food & Dispensed Beverage

Grocery & General

Merchandise

Fuel

Other

Total

Revenue

422,975

1,057,228

2,309,707

126,222

3,916,132

Gross profit

246,483

377,551

348,226

34,292

1,006,552

58.3

35.7

15.1

27.2

25.7

Fuel gallons sold

848,434

Three Months Ended January 31, 2025

Revenue

397,151

1,003,274

2,366,822

136,386

3,903,633

Gross profit

229,535

343,544

302,058

37,431

912,568

57.8

34.2

12.8

27.4

23.4

Fuel gallons sold

829,761

Summary by Category (Amounts in thousands)

Nine Months Ended January 31, 2026

Prepared Food & Dispensed Beverage

Grocery &

General Merchandise

Fuel

Other

Total

Revenue

1,349,208

3,473,251

7,730,655

436,208

12,989,322

Gross profit

786,710

1,246,213

1,099,146

108,615

3,240,684

58.3

35.9

14.2

24.9

Fuel gallons sold

2,666,866

Nine Months Ended January 31, 2025

Revenue

1,220,107

3,121,949

7,337,096

268,989

11,948,141

Gross profit

711,034

1,096,018

928,858

90,473

2,826,383

58.3

35.1

12.7

33.6

23.7

Fuel gallons sold

2,378,211

Prepared Food & Dispensed Beverage

Same-store Sales

Margin

Fiscal

Year

Fiscal

Year

F2026

5.6

4.8

4.3

F2026

58.0

58.6

58.3

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

4.0

F2026

35.9

36.0

35.7

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

0.4

F2026

41.0

41.6

41.0

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 nine months ended January 31, 2026 and 2025:

(in thousands)

Three Months Ended January 31,

Nine Months Ended January 31,

2026

2025

2026

2025

Net income

130,073

87,097

551,764

448,213

Interest, net

23,381

29,415

74,921

56,035

Federal and state income taxes

41,374

20,653

172,133

136,578

Depreciation and amortization

114,084

105,203

334,463

296,204

EBITDA

308,912

242,368

1,133,281

937,030

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 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 March 10, 2026. 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