Casey’s General Stores Reports Q2 Fiscal 2025 Results with Revenue of $3.95 Billion

Casey’s General Stores, Inc. reported its financial results for the second quarter of fiscal 2025, revealing total revenue of $3.95 billion, a decrease of 2.9% compared to $4.06 billion in the same quarter of the previous year. The company’s net income for the quarter rose to $180.9 million, up 13.9% from $158.8 million a year earlier, resulting in diluted earnings per share of $4.85, compared to $4.24 in the prior year. For the first six months of the fiscal year, total revenue increased by 1.4% to $8.04 billion, with net income reaching $361.1 million, a 10.1% increase from $328 million in the same period last year.

The decrease in quarterly revenue was primarily attributed to a decline in retail fuel revenue, which fell by 8.8% due to a 14.1% drop in the average retail price per gallon, despite a 6.2% increase in the number of gallons sold. Conversely, prepared food and dispensed beverage revenue increased by 9.2%, driven by a 5.2% rise in same-store sales, while grocery and general merchandise revenue grew by 8.8%, supported by a 3.6% increase in same-store sales. Operating expenses rose by 5.2% to $609.7 million, largely due to the operation of 93 additional stores compared to the previous year.

In terms of strategic developments, Casey’s completed the acquisition of Fikes Wholesale, which added 198 retail locations to its portfolio, bringing the total store count to approximately 2,900. This acquisition, finalized on November 1, 2024, was financed through a combination of an incremental term loan and the issuance of senior notes. The company also reported an increase in restricted cash to $1.16 billion, primarily earmarked for the acquisition and related costs.

Operationally, Casey’s operated 2,685 stores across 17 states as of October 31, 2024, with 236 locations offering car wash services. The company continues to expand its electric vehicle charging infrastructure, with 178 charging stations installed at 41 stores across 13 states. Same-store sales metrics showed a 5.2% increase in prepared food and dispensed beverages, while grocery and general merchandise sales rose by 3.6%. However, same-store fuel gallons sold experienced a slight decline of 0.6%.

Looking ahead, Casey’s management expressed optimism regarding future performance, citing the potential for continued growth in prepared food and grocery sales, alongside the strategic integration of the Fikes acquisition. The company remains focused on enhancing its operational efficiency and expanding its market presence, particularly in the convenience store sector, while navigating challenges such as fuel price volatility and changing consumer preferences.