Suburban Propane Partners ( (SPH) ) has released its Q2 earnings. Here is a breakdown of the information Suburban Propane Partners presented to its investors.
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Suburban Propane Partners, L.P. is a publicly traded master limited partnership that distributes propane, renewable propane, renewable natural gas, fuel oil, and related products across the United States, serving approximately 1 million customers through 700 locations in 42 states.
Suburban Propane Partners announced a strong financial performance for the second quarter of fiscal 2025, with significant increases in net income and adjusted EBITDA. The company benefited from a colder winter, which boosted demand for propane and contributed to higher sales volumes.
The company reported a net income of $137.1 million, or $2.11 per Common Unit, marking an increase from the previous year’s $111.5 million, or $1.73 per Common Unit. Adjusted EBITDA rose by 19.1% to $175.0 million, driven by a 15.5% increase in propane volumes sold and effective margin management. Despite challenges in their renewable natural gas operations due to cold temperatures, Suburban Propane continued to advance its capital projects in New York and Ohio.
Suburban Propane also initiated an At-the-Market equity sales program, raising $8.8 million in net proceeds to repay debt and support strategic growth initiatives. The company declared a quarterly distribution of $0.325 per Common Unit, maintaining a focus on balance sheet flexibility and strategic investments in renewable energy.
Looking ahead, Suburban Propane remains committed to its strategic growth plan, focusing on expanding its core propane business and investing in renewable energy alternatives, while maintaining financial discipline and flexibility.