Adjusted EBITDA Improvement (Q2)
Adjusted EBITDA of $139.0 million in Q2, a year‑over‑year increase of $10.5 million, driven by higher per‑gallon margins and slightly higher volumes.
Strong Net Income Performance (Q2 & YTD)
Net income of $108.0 million in Q2 (up $22.0 million vs. prior year period) and $144.0 million for the first half (up $25.0 million vs. prior year), aided by higher adjusted EBITDA and favorable noncash derivative fair value changes.
Product Gross Profit and Volume Growth
Q2 product gross profit increased $19.0 million (7%) to $277.0 million. Fiscal year‑to‑date product gross profit increased $48.0 million (12%) to $457.0 million. Home heating oil and propane volumes rose to 144.5 million gallons in Q2 (up ~600,000 gallons, ~0.4%) and to 238.0 million gallons for the first half (up 12.0 million gallons, 5.3%).
Low Customer Attrition and M&A Activity
Net customer attrition held to a low 0.6% in the quarter. Closed one small heating oil acquisition during Q2 and multiple acquisition opportunities are under review.
Risk Management & Forward Planning
Company implemented a $12.5 million weather hedge for fiscal 2027 and benefited from favorable changes in derivative fair values (Q2 incremental favorable noncash change ~+$21 million; H1 favorable change ~$10 million).