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Investing.com -- Casey’s General Stores on Monday posted quarterly profit and revenue ahead of Wall Street estimates, helped by stronger in-store sales, but kept its full-year outlook unchanged.
The company’s shares slipped 1% in premarket trading Tuesday.
The U.S. convenience store chain posted first-quarter earnings of $5.77 per share, topping analysts’ estimates of $5.03, on revenue of $4.58 billion versus expectations of $4.48 billion.
For fiscal 2026, Casey’s maintained its forecast of 10% to 12% EBITDA growth, 2% to 5% same-store sales growth inside its stores, and flat to 1% growth in same-store fuel gallons sold. The company plans to open at least 80 new stores this year.
“Our inside same-store sales were driven by positive traffic growth due to our summer merchandising plan,” said CEO Darren Rebelez.
Inside gross margins of 41.9% for the quarter came in above the consensus estimate of 41.2%.
"Casey’s reported a solid start to F26, supported by better inside margins and strong LSD% gallon growth," BMO Capital Markets analysts said in a note. They added that the unchanged guidance "was expected for F1Q regardless of strong results."
Separately, Gordon Haskett analysts said "the significant earnings upside was largely SG&A and top-line driven, with both fuel and inside margins coming in mostly in-line, while overall gross margins missed due to YOY softness in the company’s Other Revenue Segment."
(Pratyush Thakur contributed to this report.)