Murphy USA thrives in Q2 with help from its QuickChek merger

by Roby Brock ([email protected]) 587 views 

Benefitting from its big merger with QuickChek, Murphy USA reported higher revenues and profits as the El Dorado-based convenience store chain had a healthy second quarter.

For the three months ended June 30, 2022, Murphy USA posted quarterly revenues of $6.766 billion, up from $4.456 billion a year ago. Net income was $183.3 million, or $7.53 per diluted share, for the second quarter compared to net income of $128.8 million, or $4.79 per diluted share, in the 2021 comparable second quarter.

“With inflation above its 40 year high, consumers need affordable every-day-low-prices on goods and services now more than ever,” said President and CEO Andrew Clyde. “Q2 results affirm that Murphy USA is one of the top value brands that consumers trust to meet their needs. With our advantaged business model, we continued to profitably take share on non-discretionary fuel purchases while growing per-store sales and contribution across categories. Notably, momentum accelerated into July as customers benefit from falling fuel prices while employee engagement is supported by a special summer incentive program.”

Murphy USA opened nine new stores during the quarter raising its store count to 1,695 nationally.

Financial highlights for the quarter included:

  • Total retail gallons increased 7.8% to 1.2 billion gallons in Q2 2022 compared to 1.1 billion gallons in Q2 2021, while volumes on a same store sales (“SSS”) basis increased 4.8%;
  • Merchandise contribution dollars for Q2 2022 increased 6.6% to $196.7 million on average unit margins of 19.8%, compared to the prior-year quarter contribution dollars of $184.5 million on unit margins of 19.2%; and
  • Food and beverage contribution margin increased 5.0% in Q2 2022 from the prior-year period and sales dollars improved 10.5%.

Murphy USA’s stock (NYSE: MUSA) closed trading on Wednesday at $266.95 per share. The company’s stock has traded between a 52-week low of $145.24 and a 52-week high of $277.56.