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STAMFORD, Conn. - Star Group, L.P. (NYSE:SGU), a home energy distributor and services provider, announced Thursday it has declared a quarterly distribution of $0.1850 per common unit for the three months ended June 30, 2025.
The company set July 28, 2025, as the record date with payment to follow on August 6, 2025.
Star Group describes itself as a full-service provider specializing in home heating products and services for residential and commercial customers. The company also offers heating and air conditioning equipment sales and service to its existing customers and, to a lesser extent, to customers outside its primary base. With a market capitalization of $405 million and trading at a P/E ratio of 6.6, InvestingPro analysis suggests the stock is currently undervalued.
In addition to heating oil, Star sells propane, diesel, and gasoline. According to the company’s press release statement, Star believes it is the largest retail distributor of home heating oil in the United States based on sales volume.
The company primarily serves customers in the northeastern and mid-Atlantic regions of the United States.
Star Group, L.P. trades on the New York Stock Exchange under the ticker SGU.
In other recent news, Star Group reported a strong financial performance for the second quarter of fiscal year 2025. The company achieved a net income of $86 million, marking an $18 million increase from the previous year. Additionally, adjusted EBITDA rose to $128 million, up by $32 million year-over-year. Despite these positive results, operational expenses increased by $22 million, and warmer-than-normal weather conditions posed challenges. Star Group raised its dividend by $0.05 to $0.74 per unit, reflecting a commitment to returning value to shareholders. The company has also been active in acquisitions, completing transactions worth $126.5 million since February 2024. Looking forward, Star Group plans to invest $15 million in weather hedges for fiscal year 2026 and continues to explore acquisition opportunities. Analyst firm Laurelton Management inquired about the company’s acquisition strategy, which remains focused on the distribution side, primarily heating oil and propane businesses.
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