#Canada #financial results #Calgary #Parkland Corporation #Sunoco LP

Overview of Parkland Corporation's Third Quarter 2025 Results

On October 31, 2025, Parkland Corporation publicly disclosed its financial results for the third quarter of 2025, demonstrating remarkable growth and financial stability. Despite challenges in certain segments, the overall performance shows promise as the company prepares for its anticipated merger with Sunoco.

Financial Performance Highlights

Adjusted EBITDA and Net Income

Parkland recorded an impressive adjusted EBITDA of $540 million for Q3 2025, an increase from $431 million during the same period in 2024. This growth was primarily attributed to strong operational performance, particularly from the Burnaby refinery, along with robust results from both Canadian and International segments. Conversely, the U.S. segment faced headwinds from ongoing macroeconomic pressures and competition.

Net income for the quarter stood at $129 million, translating to $0.74 per basic share, up from $91 million or $0.52 per share in Q3 2024. Adjusted net income reached $180 million, significantly higher than $106 million for the previous year. These figures point toward a strong recovery trajectory, bolstered by enhanced margins and operational efficiencies.

Cash Flow and Leverage

Over the past year, Parkland generated available cash flow of $668 million, or $3.83 per share, an increase from $627 million ($3.58 per share) in 2024. The overall cash flow from operations was robust at $1.646 billion, indicating a healthy operational performance.

Furthermore, the company successfully reduced its leverage ratio to 3.1 times, improving from 3.6 times in Q4 2024, while maintaining significant liquidity of approximately $2.3 billion.

Segment Performance Analysis

• - Canada: The Canadian segment achieved an adjusted EBITDA of $208 million, compared to $196 million in Q3 2024. The growth was driven by stronger margins in fuel pricing, although retail demand faced some challenges, evidenced by a slight decrease in same-store sales volumes.

• - International: International operations saw considerable growth, yielding an adjusted EBITDA of $161 million, up from $150 million. This success stemmed from higher volumes in both retail and commercial sectors.

• - United States: The U.S. segment reported an adjusted EBITDA of $28 million, a decline from $52 million in Q3 2024. This downturn was primarily the result of reduced margins in a competitive pricing environment.

• - Refining: The refining sector exhibited a remarkable increase in adjusted EBITDA, reaching $151 million compared to $48 million the previous year, driven by higher refining margins and solid operational efficiency.

Update on Sunoco Transaction

An important highlight for Parkland is the expected conclusion of its transaction with Sunoco LP by October 31, 2025, pending standard closing conditions. Once finalized, Parkland shares will be delisted from the Toronto Stock Exchange, and shareholders will receive common units exchangeable for shares in SunocoCorp, which will be traded on the New York Stock Exchange as