Murphy USA on Wednesday reported net income of $51.8 million, or $1.58 per diluted share, for the second quarter of 2018, compared with $55.5 million, or $1.51 per share, a year ago. The El Dorado gasoline and convenience-store chain reported $3.8 billion in revenue for the quarter, beating analysts’ forecasts of $3.5 billion. “Second-quarter financial results showed improvement across all major parts of the business,” Andrew Clyde, the company’s president and chief executive officer, said in a statement that accompanied Murphy USA’s second-quarter report. “Customer traffic was solid as retail fuel volumes moderated year-over-year declines.” Retail gasoline sales were up 1.6 percent from a year ago. Merchandise sales increased 4.6 percent to $102.3 million from the $97.8 million reported a year ago. Average unit margins increased from 16.1 percent to 16.6 percent, a quarterly record, the company said. Merchandise sales exceeded $100 million in a quarter for the first time, which the company attributed to more effective promotions. Total station and other operating expenses increased 4.2 percent for the quarter, reflecting store additions and slightly higher payment fees from higher retail fuel prices and merchandise sales, the company said. The company repurchased 1.1 million common shares for $72.7 million during the quarter, for an average price of $68.22. The new federal tax law brought an effective income tax rate of 25 percent for the quarter, or 13.2 percent less than the effective tax rate from a year ago. Murphy USA opened six new retail locations during the quarter and reopened… [Read full story]
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