Suburban Propane Reports Solid Q2 2026 Earnings Performance
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 49 minutes ago
0mins
Should l Buy SPH?
Source: seekingalpha
- Strong Financial Performance: Suburban Propane reported adjusted net income of $139.3 million for Q2 2026, translating to $2.09 per common unit, indicating resilience despite flat performance compared to the previous year in a volatile market.
- Growth in Renewable Natural Gas: The company achieved a 16% increase in average daily D3 RNG injections compared to the prior quarter and over 12% year-over-year, driven by improved facility uptime and returns from capital investments.
- Debt Management Optimization: In Q2, Suburban Propane utilized excess cash flows to repay $64.3 million in borrowings, reducing its consolidated leverage ratio from 4.54 in March 2025 to 4.34, reflecting ongoing efforts to enhance financial stability.
- Future Investment Plans: The company expects to complete its anaerobic digester facility in Upstate New York and gas upgrading system in Ohio in the second half of fiscal 2026, which is projected to add approximately 200,000 MMBtus of annual production to its RNG platform, further advancing renewable energy expansion.
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Analyst Views on SPH
Wall Street analysts forecast SPH stock price to fall
1 Analyst Rating
0 Buy
0 Hold
1 Sell
Moderate Sell
Current: 19.000
Low
17.00
Averages
17.00
High
17.00
Current: 19.000
Low
17.00
Averages
17.00
High
17.00
No data
About SPH
Suburban Propane Partners, L.P. is a nationwide distributor of propane, renewable propane, renewable natural gas, fuel oil and related products and services, as well as a marketer of natural gas and electricity and investor in low carbon fuel alternatives. The Company's segments include propane, fuel oil and refined fuels, natural gas and electricity, and all other. The propane segment is engaged in the retail distribution of propane and renewable propane to residential, commercial, industrial, agricultural and government customers and, to a lesser extent, wholesale distribution to large industrial end users. The fuel oil and refined fuels segment is engaged in the retail distribution of fuel oil, diesel, kerosene and gasoline. The natural gas and electricity segment is engaged in the marketing of natural gas and electricity to residential and commercial customers in the deregulated energy markets of New York and Pennsylvania. The all other segment includes its service business.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Suburban Propane Reports Solid Q2 2026 Earnings Performance
- Strong Financial Performance: Suburban Propane reported adjusted net income of $139.3 million for Q2 2026, translating to $2.09 per common unit, indicating resilience despite flat performance compared to the previous year in a volatile market.
- Growth in Renewable Natural Gas: The company achieved a 16% increase in average daily D3 RNG injections compared to the prior quarter and over 12% year-over-year, driven by improved facility uptime and returns from capital investments.
- Debt Management Optimization: In Q2, Suburban Propane utilized excess cash flows to repay $64.3 million in borrowings, reducing its consolidated leverage ratio from 4.54 in March 2025 to 4.34, reflecting ongoing efforts to enhance financial stability.
- Future Investment Plans: The company expects to complete its anaerobic digester facility in Upstate New York and gas upgrading system in Ohio in the second half of fiscal 2026, which is projected to add approximately 200,000 MMBtus of annual production to its RNG platform, further advancing renewable energy expansion.
See More
Suburban Propane Q2 Earnings Beat Expectations
- Earnings Beat: Suburban Propane Partners reported a GAAP EPS of $2.06 for Q2 2026, exceeding expectations by $0.09, indicating resilience in profitability despite market challenges.
- Revenue Decline: The company's revenue of $551.21 million fell 6.2% year-over-year and missed market expectations by $23.79 million, reflecting weak market demand and potential operational hurdles.
- Flat Adjusted EBITDA: Adjusted EBITDA for the second quarter remained flat at $175.3 million compared to the prior year, suggesting that cost control efforts have not significantly improved profitability metrics.
- Market Environment Challenges: Suburban Propane's business model, which relies heavily on debt and weather conditions, faces increasing uncertainty in the market, necessitating the exploration of new growth opportunities to navigate future volatility.
See More
Suburban Propane Reports Q2 Earnings
- Earnings Performance: Suburban Propane reported Q2 earnings of $137.54 million, translating to an EPS of $2.06, which shows a slight decline from last year's $137.12 million and $2.10 per share, indicating minor fluctuations in profitability.
- Revenue Decline: The company's revenue for the quarter fell to $491.14 million, down 6.5% from $525.25 million last year, reflecting weakened market demand and increased competition impacting sales.
- Year-over-Year Comparison: Despite the slight drop in earnings, the company remains profitable, demonstrating resilience in a challenging market environment, though it may need to implement strategies to restore revenue growth moving forward.
- Market Outlook: With declining revenues, Suburban Propane may need to reassess its market strategies to address industry challenges and seek new growth opportunities.
See More
Suburban Propane Reports Q2 Earnings Highlights
- Slight Net Income Increase: For Q2 of fiscal 2026, net income reached $137.5 million, or $2.07 per unit, showing a minor increase from $137.1 million and $2.11 per unit in the same quarter of fiscal 2025, indicating the company's resilience amid market volatility.
- Flat Adjusted EBITDA: The adjusted EBITDA for the second quarter stood at $175.3 million, unchanged from the previous year, as the company effectively managed selling prices and expenses despite commodity market fluctuations, ensuring operational continuity.
- Renewable Natural Gas Investment: Following capital investments in the Arizona RNG facility, average daily D3 RNG injection improved in Q2, with an expected addition of 200,000 MMBtu of capacity in the second half of the fiscal year, further driving growth in the renewable energy sector.
- Debt Reduction and Dividend: The company utilized excess cash flows to reduce debt by $64 million in Q2, enhancing financial flexibility, while also declaring a quarterly distribution of $0.325 per unit, reflecting its commitment to shareholder returns.
See More
Suburban Propane Reports Strong Q2 Earnings Amid Weather Challenges
- Stable Net Income: For Q2 of fiscal 2026, net income was $137.5 million, or $2.07 per unit, slightly down from $137.1 million, indicating the company's resilience amid market volatility.
- Flat Adjusted EBITDA: The adjusted EBITDA for the second quarter stood at $175.3 million, unchanged from the previous year, reflecting effective cost management in response to weather challenges and market uncertainties.
- Renewable Natural Gas Growth: The company has improved average daily D3 RNG injection at its Arizona facility due to capital investments and process enhancements, with new facilities expected to add approximately 200,000 MMBtu annually, bolstering its renewable energy prospects.
- Debt Reduction and Dividend: The company utilized excess cash flows to reduce debt by $64 million during the second quarter and declared a quarterly distribution of $0.325 per unit, demonstrating strong financial management and commitment to shareholder returns.
See More
Suburban Propane Partners to Announce Q2 Earnings on May 7
- Earnings Announcement Date: Suburban Propane Partners (SPH) is set to release its Q2 earnings results on May 7 before the market opens, drawing significant attention that could impact the company's stock performance.
- Earnings Expectations: The consensus EPS estimate stands at $1.98, indicating a 2.2% decline year-over-year, yet this figure remains a crucial metric for investors assessing the company's profitability.
- Revenue Forecast: The anticipated revenue for Q2 is $575 million, showing a slight decrease compared to the previous year; however, the upward revision in revenue estimates suggests a cautiously optimistic outlook from the market regarding the company's future performance.
- Estimate Revision Trends: Over the last three months, there have been no upward revisions to EPS estimates and one downward revision, while revenue estimates saw one upward revision, reflecting mixed sentiments about the company's financial health.
See More
Suburban Propane Reports Solid Q2 2026 Earnings Performance
- Strong Financial Performance: Suburban Propane reported adjusted net income of $139.3 million for Q2 2026, translating to $2.09 per common unit, indicating resilience despite flat performance compared to the previous year in a volatile market.
- Growth in Renewable Natural Gas: The company achieved a 16% increase in average daily D3 RNG injections compared to the prior quarter and over 12% year-over-year, driven by improved facility uptime and returns from capital investments.
- Debt Management Optimization: In Q2, Suburban Propane utilized excess cash flows to repay $64.3 million in borrowings, reducing its consolidated leverage ratio from 4.54 in March 2025 to 4.34, reflecting ongoing efforts to enhance financial stability.
- Future Investment Plans: The company expects to complete its anaerobic digester facility in Upstate New York and gas upgrading system in Ohio in the second half of fiscal 2026, which is projected to add approximately 200,000 MMBtus of annual production to its RNG platform, further advancing renewable energy expansion.
See More
Suburban Propane Q2 Earnings Beat Expectations
- Earnings Beat: Suburban Propane Partners reported a GAAP EPS of $2.06 for Q2 2026, exceeding expectations by $0.09, indicating resilience in profitability despite market challenges.
- Revenue Decline: The company's revenue of $551.21 million fell 6.2% year-over-year and missed market expectations by $23.79 million, reflecting weak market demand and potential operational hurdles.
- Flat Adjusted EBITDA: Adjusted EBITDA for the second quarter remained flat at $175.3 million compared to the prior year, suggesting that cost control efforts have not significantly improved profitability metrics.
- Market Environment Challenges: Suburban Propane's business model, which relies heavily on debt and weather conditions, faces increasing uncertainty in the market, necessitating the exploration of new growth opportunities to navigate future volatility.
See More
Suburban Propane Reports Q2 Earnings
- Earnings Performance: Suburban Propane reported Q2 earnings of $137.54 million, translating to an EPS of $2.06, which shows a slight decline from last year's $137.12 million and $2.10 per share, indicating minor fluctuations in profitability.
- Revenue Decline: The company's revenue for the quarter fell to $491.14 million, down 6.5% from $525.25 million last year, reflecting weakened market demand and increased competition impacting sales.
- Year-over-Year Comparison: Despite the slight drop in earnings, the company remains profitable, demonstrating resilience in a challenging market environment, though it may need to implement strategies to restore revenue growth moving forward.
- Market Outlook: With declining revenues, Suburban Propane may need to reassess its market strategies to address industry challenges and seek new growth opportunities.
See More
Suburban Propane Reports Q2 Earnings Highlights
- Slight Net Income Increase: For Q2 of fiscal 2026, net income reached $137.5 million, or $2.07 per unit, showing a minor increase from $137.1 million and $2.11 per unit in the same quarter of fiscal 2025, indicating the company's resilience amid market volatility.
- Flat Adjusted EBITDA: The adjusted EBITDA for the second quarter stood at $175.3 million, unchanged from the previous year, as the company effectively managed selling prices and expenses despite commodity market fluctuations, ensuring operational continuity.
- Renewable Natural Gas Investment: Following capital investments in the Arizona RNG facility, average daily D3 RNG injection improved in Q2, with an expected addition of 200,000 MMBtu of capacity in the second half of the fiscal year, further driving growth in the renewable energy sector.
- Debt Reduction and Dividend: The company utilized excess cash flows to reduce debt by $64 million in Q2, enhancing financial flexibility, while also declaring a quarterly distribution of $0.325 per unit, reflecting its commitment to shareholder returns.
See More
Suburban Propane Reports Strong Q2 Earnings Amid Weather Challenges
- Stable Net Income: For Q2 of fiscal 2026, net income was $137.5 million, or $2.07 per unit, slightly down from $137.1 million, indicating the company's resilience amid market volatility.
- Flat Adjusted EBITDA: The adjusted EBITDA for the second quarter stood at $175.3 million, unchanged from the previous year, reflecting effective cost management in response to weather challenges and market uncertainties.
- Renewable Natural Gas Growth: The company has improved average daily D3 RNG injection at its Arizona facility due to capital investments and process enhancements, with new facilities expected to add approximately 200,000 MMBtu annually, bolstering its renewable energy prospects.
- Debt Reduction and Dividend: The company utilized excess cash flows to reduce debt by $64 million during the second quarter and declared a quarterly distribution of $0.325 per unit, demonstrating strong financial management and commitment to shareholder returns.
See More
Suburban Propane Partners to Announce Q2 Earnings on May 7
- Earnings Announcement Date: Suburban Propane Partners (SPH) is set to release its Q2 earnings results on May 7 before the market opens, drawing significant attention that could impact the company's stock performance.
- Earnings Expectations: The consensus EPS estimate stands at $1.98, indicating a 2.2% decline year-over-year, yet this figure remains a crucial metric for investors assessing the company's profitability.
- Revenue Forecast: The anticipated revenue for Q2 is $575 million, showing a slight decrease compared to the previous year; however, the upward revision in revenue estimates suggests a cautiously optimistic outlook from the market regarding the company's future performance.
- Estimate Revision Trends: Over the last three months, there have been no upward revisions to EPS estimates and one downward revision, while revenue estimates saw one upward revision, reflecting mixed sentiments about the company's financial health.
See More
