#Canada #financial results #Alimentation Couche-Tard #Couche-Tard #Laval

Alimentation Couche-Tard Reports Fourth Quarter and Fiscal Year 2025 Results

Alimentation Couche-Tard Inc., the operator of convenience stores under the Couche-Tard and Circle K brands, released its financial results for the fourth quarter ended April 27, 2025, and the entire fiscal year. Despite facing challenging economic and geopolitical conditions, including a volatile fuel market, the corporation demonstrated resilience and a commitment to long-term growth.

Executive Insights

CEO Alex Miller emphasized the strength of the company's operations despite the backdrop of tough economic circumstances. He noted that same-store sales remained stable in the U.S., with strong performance in Canada and Europe. Initiatives aimed at enhancing customer value through exclusive food and beverage offerings are gaining traction across their locations.

CFO Filipe Da Silva highlighted disciplined financial management, underscoring the positive effects of investments in technology and a focus on operational efficiency as driving factors for their results. The company successfully integrated TotalEnergies assets during this period and maintained healthy margins.

Quarterly Financial Highlights

For the fourth quarter, Couche-Tard reported:

• - Net earnings attributable to shareholders: $439.4 million, down from $453.0 million in the prior year.
• - Adjusted earnings: Approximately $441.0 million, reflecting a 4.3% decrease from $461.0 million.
• - Diluted earnings per share: $0.46, compared to $0.47 in the same quarter last year.
• - Total merchandise and service revenues: $4.2 billion, up by 2.0%. Notably, merchandise revenues in Canada and Europe posted increases of 3.5% and 3.4% respectively, while the U.S. saw a slight decline of 0.4%.
• - Fuel volumes sold: experienced a 1.9% decline in the U.S. but increased by 3.7% in Canada, showcasing diverse market behaviors.

Full Fiscal Year Highlights

Throughout fiscal year 2025:

• - Net earnings per diluted share were recorded at $2.71, a slight decline from $2.82 in 2024.
• - The company successfully repurchased 8.7 million shares amounting to approximately $518.9 million.
• - With 97 new store openings and renovations completed on 20 sites, the ongoing expansion reflects a solid development strategy.
• - A notable 14.3% increase in the annual dividend suggests confidence in continuing to reward shareholders.

Financial Strategy and Future Focus

Going forward, Couche-Tard aims to manage costs effectively while strategically increasing shareholder value and investing in long-term growth initiatives. The company's focus remains on optimizing its supply chain and sustaining strong customer relationships through enhanced service offerings.

Overall, Alimentation Couche-Tard continues to adapt and respond to market challenges while positioning itself for future growth amidst a continuously evolving retail environment. The commitment to innovation and customer experience remains central to its operational philosophy.