Sunoco LP has released its second quarter financial and operating results for the three months which ended June 30, 2015. Along with these results, Sunoco provided updates on recent developments. A year-over-year comparison of the results from second quarter of 2014 and the results that have been recently released reveals substantial growth in a number of areas.
The greatest contributions to this growth include the acquisitions in the wholesale fuel distribution business of Sunoco, LLC in April 2015 and 300-store Mid-Atlantic Convenience Stores (MACS) in October 2014 from Energy Transfer Partners, L.P (ETP), Sunoco’s parent company, along with the purchase of Aloha Petroleum in December 2014.
Wholesale fuel distribution sales from Aloha Petroleum, Sunoco’s interest in Sunoco, LLC, merchandise and retail sales from MACS and Aloha c-stores and higher rental income collectively contributed to a 205.7% increase in revenue compared to the second quarter of 2014. However, revenue would have been even higher were it not for the impact of lower fuel selling prices.
Sunoco LP has made a number of investments and purchases in recent months, including the purchase of the Partnership’s interest in Sunoco, along with the more recent acquisition of Susser Holdings Corporation (Susser). The purchase of Susser was partly funded with the proceeds from issuing $600 million of 5.5% senior notes, which was completed on July 20, and the issuing of 5.5 million new common units, completed July 21.
Along with these large investments, Sunoco also made smaller acquisitions, including the purchase of six Stripes convenience stores for $31.8 million. The partnership expects to complete another transaction early in August, acquiring 28 Aziz Quick Stop c-stores in South Texas for $41.6 million. This new transaction will be made using amounts available on its revolving credit facility. The majority of these Quick Stop’s will be rebranded with the Stripes c-store brand.