Welcome to our dedicated page for Suburban Propane Partners news (Ticker: SPH), a resource for investors and traders seeking the latest updates and insights on Suburban Propane Partners stock.
Introduction
Suburban Propane Partners LP (SPH) is a well-established, nationwide distributor of crucial energy products and services. With a comprehensive portfolio that includes propane, fuel oil, refined fuels, renewable propane, and renewable natural gas, as well as participation in natural gas and electricity marketing within deregulated markets, the company caters to a wide audience that includes residential, commercial, industrial, governmental, and agricultural customers. In an industry defined by weather variability and market fluctuations, SPH consistently offers reliable energy solutions using products that are valued for their safety, cleanliness, and versatility.
Core Business Segments
Propane Distribution: The propane segment stands as the cornerstone of SPH’s revenue generation. Propane is widely used for space heating, water heating, and cooking in residential markets, while also serving industrial applications such as motor fuel for forklifts and process applications in heating and cutting. Its clean-burning attributes make it a sustainable and environmentally friendlier energy source.
Fuel Oil and Refined Fuels: In addition to propane, the company distributes fuel oil and other refined fuels, providing essential heating solutions and complementary energy services. This diversification helps secure the company’s market position against seasonal and regional demand variances.
Natural Gas and Electricity: Operating in deregulated market areas, the firm extends its footprint into natural gas and electricity marketing. This segment combines flexibility and responsiveness in an evolving energy market and serves customers who benefit from competitive pricing in deregulated environments.
Market Position and Operational Significance
SPH’s operations span over a vast network of locations, which ensures broad accessibility and rapid service delivery. The company’s ability to source, distribute, and market a diverse array of energy products positions it uniquely against competitors. By leveraging strategic acquisitions and natural market advantages, the company sustains a robust presence in regions spanning the East and West Coasts of the United States. Its operational model is built on ensuring dependable access to vital energy products, regardless of seasonal fluctuations or regional challenges.
Applications and Industry Impact
In the residential sector, propane is an essential component in home heating systems, water heating, and cooking appliances. For commercial operations, it supports a broad range of functions including industrial heating, power generation for over-the-road vehicles, and equipment powering. In the industrial sphere, propane is frequently utilized as a motor fuel and as a critical component in various manufacturing applications. Moreover, the agricultural sector benefits from propane in applications like crop drying and pest control, proving the versatility and widespread adoption of SPH’s product offerings.
Commitment to Community and Quality Service
Beyond its core distribution operations, SPH demonstrates a long-term commitment to its communities through initiatives that support local engagements and humanitarian efforts. The company’s longstanding history, dating back nearly a century, is underpinned by a continuous commitment to the highest standards of service reliability, operational safety, and customer care.
Technological Integration and Renewable Energy Initiatives
While maintaining traditional energy distribution practices, the company has progressively integrated modern, energy-efficient technologies into its operations. Investments in renewable natural gas (RNG) production are a testament to its adaptive approach, meeting the evolving demand for low-carbon fuel alternatives. This not only broadens its product lineup but also reinforces its reputation in the context of a green energy transition, showcasing a blend of traditional energy distribution with forward-thinking renewable energy strategies.
Competitive Landscape and Differentiation
Operating in a competitive market, SPH distinguishes itself through a combination of scale, diversified product offerings, and a decade-spanning legacy of customer trust. Its strategic acquisitions and consistent operational strategy reduce typical market vulnerabilities associated with seasonal demand and regulatory challenges. By focusing on operational excellence and long-standing customer relationships, SPH offers an exemplary model of a company that thrives in both regulated and deregulated markets.
Conclusion
Suburban Propane Partners LP remains a significant player in the energy distribution landscape, effectively serving a vast array of markets with products that are essential for daily life and industrial functionality. Its unwavering commitment to customer service, operational reliability, and strategic innovation in both traditional and renewable energy spheres makes the company a respected entity in its industry, backed by decades of experience and deep industry expertise.
Suburban Propane Partners (NYSE: SPH) and NASCAR have unveiled a propane-powered track dryer at the DAYTONA 500. This innovative solution complements existing track drying efforts and offers improved fuel efficiency compared to diesel or gasoline alternatives, while producing fewer pollutants.
As the Official Propane of NASCAR, Suburban Propane's role extends beyond track drying to powering concession stands and supporting campground energy needs. The partnership aims to enhance the fan experience by providing reliable propane services throughout race weekends.
Suburban Propane serves approximately 1 million customers across 42 states through 700 locations, distributing propane, renewable propane, renewable natural gas, and related products. The company operates on three core pillars: Suburban Commitment, SuburbanCares, and Go Green with Suburban Propane, emphasizing customer service excellence and environmental sustainability.
Suburban Propane Partners (NYSE:SPH) reported Q1 fiscal 2025 results with net income of $19.4 million ($0.30 per Common Unit), down from $24.5 million ($0.38 per Common Unit) in Q1 fiscal 2024. Adjusted EBITDA remained flat at $75.3 million.
Retail propane gallons sold decreased 0.8% to 105.7 million gallons due to unseasonably warm temperatures and lower agricultural demand, partially offset by increased demand in the Southeast following Hurricanes Helene and Milton. The company completed a strategic $53.0 million propane acquisition in New Mexico and Arizona.
Total gross margin increased 6.3% to $226.2 million, including a $3.6 million unrealized gain from mark-to-market adjustments. Operating expenses rose 1.6% to $150.0 million. The company declared a quarterly distribution of $0.325 per Common Unit, equating to $1.30 annually.
Suburban Propane Partners (NYSE:SPH) has declared a quarterly distribution of $0.325 per Common Unit for the quarter ended December 28, 2024, equivalent to an annualized rate of $1.30 per Common Unit. The distribution will be paid on February 11, 2025, to unitholders of record as of February 4, 2025.
The company, founded in 1928, operates as a nationwide distributor of propane, renewable propane, and related energy products, serving approximately 1 million customers across 42 states through 700 locations. The business focuses on three core pillars: Suburban Commitment, SuburbanCares, and Go Green with Suburban Propane, emphasizing customer service excellence and environmental sustainability.
Suburban Propane Partners (NYSE:SPH) has announced its Fiscal 2025 First Quarter Results Conference Call, scheduled for Thursday, February 6, 2025, at 9:00 AM Eastern Time. The call will be accessible via their website or by phone at (800) 836-8184. A replay will be available from 12:00 PM ET on February 6 until 11:55 PM ET on February 13, 2025.
SPH operates as a master partnership listed on NYSE, serving approximately 1 million customers through 700 locations across 42 states. The company focuses on propane distribution, renewable energy, and related services, while also marketing natural gas and electricity. Their business model is supported by three pillars: Suburban Commitment, SuburbanCares, and Go Green with Suburban Propane.
Suburban Propane Partners (NYSE: SPH) has announced a multi-year partnership with NASCAR and Speedway Motorsports, becoming the Official Propane Partner for both organizations. The partnership includes providing propane for new track dryers in NASCAR's fleet starting February 2025, and becoming the Official Propane supplier for 19 major speedways across the United States.
The collaboration involves on-site services for campers during NASCAR events, propane for in-stadium concessions, and year-round support services at track properties. A new co-branded logo will be displayed on Suburban Propane bobtails and customer service centers across their 42-state footprint.
This partnership expands Suburban Propane's presence in professional sports and aligns with their core business of serving approximately 1 million customers through 700 locations nationwide.
Suburban Propane Partners (NYSE:SPH) has announced the filing of its Annual Report on Form 10-K for the fiscal year ended September 28, 2024, with the SEC. The report is available on the company's website, and unitholders or noteholders can request a free hard copy. Suburban Propane operates as a master partnership, serving approximately 1 million customers across 42 states through 700 locations. The company distributes propane, renewable propane, RNG, fuel oil, and related products, while also marketing natural gas and electricity. Their business model is supported by three pillars: Suburban Commitment, SuburbanCares, and Go Green with Suburban Propane.
Suburban Renewable Energy, a subsidiary of Suburban Propane Partners (NYSE: SPH), has announced its sponsorship of the first school entry in the Hydrogen Grand Prix (H2GP) in Texas for 2024-2025. Students aged 12-19 will design and build 1:10 scale hydrogen fuel cell remote-controlled cars for endurance races, competing for a chance at the H2GP World Finals. As the first corporate sponsor in Texas, Suburban Propane demonstrates its commitment to investing in hydrogen technology and renewable energy education through this partnership with the non-profit H2GP Foundation, which aims to advance hydrogen technology education and innovation.
Suburban Propane Partners (NYSE: SPH) announced the promotion of Alejandro ('Alex') Centeno to Senior Vice President – Operations, succeeding retiring Chief Operating Officer Steven C. Boyd effective January 1, 2025. Centeno, who has been with the company for over 15 years, will oversee day-to-day propane operations, customer growth initiatives, operational efficiencies, and support functions. The promotion aligns with the company's planned management succession strategy. Boyd retires after a nearly 39-year career with the Partnership, having started as a delivery driver and progressing through various leadership roles.
Suburban Propane Partners reported fiscal year 2024 results with net income of $74.2 million ($1.15 per Common Unit), down from $123.8 million in 2023. Adjusted EBITDA decreased to $250.0 million from $275.0 million. Retail propane gallons sold declined 4.6% to 378.3 million gallons due to unseasonably warm temperatures. The company's RNG operations showed improvement with a 20% increase in daily injection rates, averaging 1,049 MMBtu per day. Total gross margins decreased 4.1% to $805.0 million. The company maintained its quarterly distribution of $0.325 per Common Unit and completed three propane business acquisitions for $14.3 million.
Suburban Propane Partners (NYSE: SPH) collaborated with the American Red Cross and Coppin State University in Baltimore on October 30th, 2024, to host a blood donation event focused on raising awareness of sickle cell disease. The initiative addresses a critical need, as sickle cell disease affects approximately 1 in 365 African American births in the United States, with patients requiring up to 100 units of blood annually for treatment.
The partnership emphasizes the importance of blood donations, particularly from black and brown communities, who are nearly three times more likely to be suitable donors for sickle cell patients. The event aims to support the estimated 100,000 people living with sickle cell disease in the U.S. who require frequent blood transfusions throughout their lifetime.
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