(Laval) Alimentation Couche-Tard increased its quarterly dividend by nearly 26%, even though its net profit fell in the most recent quarter, despite an increase in its income.
The Laval company will now pay a dividend of 11.00 cents per share, rather than 8.75 cents per share.
Alimentation Couche-Tard posted second quarter earnings of US $ 694.8 million, or 65 cents per share, after market close on Tuesday, down from US $ 757.0 million. or 68 US cents per share, from the same period last year.
Excluding non-recurring items, adjusted earnings were US $ 693 million, or US $ 65 cents per share, compared to US $ 735 million, or US $ 66 cents per share, in the second quarter of the year. previous.
Revenue rose 33.5% to US $ 14.22 billion, from revenue of US $ 10.66 billion a year earlier, mainly on higher gasoline prices.
Analysts expected Couche-Tard to make an adjusted profit of 66 cents US from revenues totaling US $ 14 billion, according to forecasts gathered by financial data firm Refinitiv.
“Fuel volumes showed an upward trend in Europe, while our other regions remained impacted by the effect of changes in habits linked to the COVID-19 pandemic on ridership. Through our network, we continue to achieve good margins on fuel, ”Couche-Tard CEO Brian Hannasch said in a statement.
Fuel revenues increased 48% to US $ 10.1 billion. Gasoline volumes sold at stores open at least a year ago climbed 3.3% in the United States and 2.8% in Canada, but declined 0.3% in Europe and elsewhere. other regions.
Merchandise revenues climbed 5.8% to US $ 4 billion, thanks in part to sales growth of 1.4% in stores open for at least a year in the United States. In Europe and other regions, this growth was 3.9%, while comparable sales declined 2.1% in Canada.
“Like our North American retail and convenience store peers, this quarter continued to face unprecedented workforce and supply chain challenges. ‘supply. This is without doubt the most difficult market in recent history, and we are working hard to mitigate the impact of the situation, ”added Mr. Hannasch.
