NASDAQ$CASY

Casey's General Stores Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Casey's delivered a stellar quarter with increased inside gross profit and efficient operating expense management.

Casey's General Stores reported a strong third quarter with diluted EPS up 56% to $2.67, benefiting from a one-time operating expense reduction. Inside same-store sales increased by 5.6%, driven by grocery and general merchandise, while same-store fuel gallons decreased slightly by 0.5%. The company is modifying its fiscal 2023 outlook, expecting same-store inside sales growth of approximately 6% to 7% and same-store fuel gallons to be down 1% to up 1%.

  • Diluted EPS increased by 56% to $2.67, including a $0.31 benefit from a one-time operating expense reduction.
  • Inside same-store sales grew by 5.6%, with a margin of 40.6%, and total inside gross profit increased by 11.6% to $450.6 million.
  • Same-store fuel gallons decreased by 0.5%, but fuel margin was 40.7 cents per gallon, leading to a 10.4% increase in total fuel gross profit to $262.6 million.
  • The company is modifying its fiscal 2023 outlook, projecting same-store inside sales growth of approximately 6% to 7% and same-store fuel gallons to be down 1% to up 1%.

Headline financials

Total Revenue

$3.33B

Previous: $3.05B+9.3%
EPS (adj)

$2.36

Previous: $1.71+38.0%
Grocery SSS Growth

5.8%

Previous: 7.7%-24.7%
Prepared Food SSS

5.0%

Previous: 7.4%-32.4%
Total Store Count

2.5K

Previous: 2.4K+1.7%
Capital Expenditures

-$301M

Previous: -$228M-32.0%
Free Cash Flow

-$201M

Previous: -$164M-22.5%
Net Income

$100M

Previous: $64M+56.4%
Operating Income

$144M

Previous: $98M+46.6%
Gross Profit

$659M

Previous: $589M+12.0%
Cash & Equivalents

$413M

Previous: $187M+121.1%
Total Assets

$5.84B

Previous: $5.4B+8.1%
Stock-Based Comp

$8.87M

Previous: $11.9M-25.4%

Revenue & EPS history

Casey's · Revenue · Quarterly

$3.33B

Q3 2023+9.3%vs Q3 2022
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

Casey's · $3.27B total across 3 segments · Q3 2023

  • Fuel
    $2.16B+10.5%
  • Grocery & General Merchandise
    $796M+8.6%
  • Prepared Food & Beverage
    $314M+7.0%

Forward guidance

Casey's is modifying its fiscal 2023 outlook. The Company now expects same-store inside sales growth to be approximately 6% to 7%. The Company now expects same-store fuel gallons to be down 1% to up 1%.

Tailwinds

  • Same-store inside sales growth is expected to be approximately 6% to 7%.
  • The Company expects to add approximately 80 stores in fiscal 2023, and expects to exceed our stated three year commitment of 345 units.
  • Inside margin is expected to be approximately 40%.
  • Interest expense is expected to be approximately $55 million.
  • The tax rate is expected to be between approximately 24% and 25% for the year.

Headwinds

  • Same-store fuel gallons to be down 1% to up 1%.
  • Total operating expense increase, excluding the one-time benefit received this quarter, is expected to be near the low end of the annual range of approximately 9% to 10%.
  • Depreciation and amortization is expected to be approximately $320 million
  • The purchase of property plant and equipment is expected to be approximately $450 to $500 million, including approximately $135 million in one-time store remodel costs for recently acquired 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

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2023

Historical avgQ3 2023

+0.2%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+1.4%

Avg return

30 days after

51%

35 / 69 earnings

Positive

+20.0%

Q4 2026

Best reaction

-14.1%

Q2 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+20.0%+14.6%
Q3 2026+3.8%-0.6%+14.2%
Q2 2026-5.3%-2.9%+5.4%
Q1 2026+3.7%+6.2%+5.9%
Q4 2025+0.0%-1.2%+2.3%
Q3 2025+6.2%+5.5%+20.7%
Q2 2025-1.3%+0.7%-7.4%
Q1 2025+7.3%+3.4%+4.4%
Q4 2024+16.1%+13.3%+14.5%
Q3 2024-2.7%+1.1%+3.4%
Q2 2024+1.7%-0.1%+5.6%
Q1 2024+10.0%+15.3%+12.4%
Q4 2023-4.5%-4.3%+7.0%
Q3 2023+2.9%+0.0%+1.6%
Q2 2023+7.1%+5.4%-5.7%
Q1 2023+2.2%+1.1%-7.0%
Q4 2022-4.5%-7.9%-6.8%
Q3 2022+4.3%-1.9%+17.0%
Q2 2022-7.2%-7.1%-2.4%
Q1 2022-6.5%-7.8%-8.2%
Q4 2021-4.8%-3.6%-10.1%
Q3 2021-3.1%+1.3%+5.8%
Q2 2021-4.9%-6.6%-1.5%
Q1 2021+1.7%+1.2%+5.3%
Q4 2020-4.6%-10.6%-11.6%
Q3 2020-7.4%-5.7%-16.7%
Q2 2020-9.7%-12.5%-7.2%
Q1 2020+0.4%+1.0%-5.1%
Q4 2019+9.3%+13.5%+17.1%
Q3 2019+2.0%-1.2%+0.7%
Q2 2019+6.6%+10.6%+6.7%
Q1 2019+8.5%+9.7%+6.7%
Q4 2018+2.9%+4.6%+13.0%
Q3 2018-1.9%+0.6%-3.6%
Q2 2018-14.1%-14.9%-3.8%
Q1 2018+0.9%+1.6%+4.9%
Q4 2017-8.3%-4.9%-9.8%
Q3 2017-3.6%-4.1%-3.8%
Q2 2017-0.9%-1.0%-5.0%
Q1 2017-9.1%-10.1%-11.2%
Q4 2016-4.2%-4.3%+6.4%
Q3 2016-1.1%
Q2 2016+4.8%
Q1 2016+2.5%
Q4 2015+5.9%
Q3 2015+0.1%
Q2 2015+2.8%
Q1 2015-2.3%
Q4 2014+3.8%
Q3 2014-0.1%
Q2 2014-7.5%
Q1 2014+3.7%
Q4 2013-1.4%
Q3 2013-2.7%
Q2 2013+2.8%
Q1 2013+2.6%
Q4 2012-11.1%
Q3 2012+3.8%
Q2 2012-2.0%
Q1 2012-0.5%
Q4 2009-0.1%
Q4 2011-0.1%
Q3 2010-3.6%
Q3 2011-3.6%
Q2 2010+1.3%
Q2 2011+1.3%
Q1 2010+0.9%
Q1 2011+0.9%
Q4 2010+0.9%

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