SUN Earnings Prediction
The chart below shows how SUN performed 10 days before and after its earnings report, based on data from the past quarters. Typically, SUN sees a -2.72% change in stock price 10 days leading up to the earnings, and a -2.11% change 10 days following the report. On the earnings day itself, the stock moves by +0.90%. This data can give you a slight idea of what to expect for the next quarter's release.
SUN Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
5.27B
-6.59%
-8.38%
Gross Margin
8.98%
390.71%
56.99%
Operating Margin
4.44%
582.61%
141.30%
Net Margin
2.68%
242.55%
8833.33%
EPS
1.03
168.67%
-496.15%
No Data Available
SUN Earnings Analysis
Sunoco LP Corporation (SUN.N) Earnings Conference Call
Positive
Record Adjusted EBITDA Growth: Adjusted EBITDA for Q4 reached $446 million, excluding one-time transaction expenses, contributing to a record annual adjusted EBITDA of $1.56 billion, a 62% increase from 2023.
Strong Cash Flow Generation: Distributable cash flows adjusted for Q4 were $261 million, with a trailing twelve-month coverage ratio of 1.9 times, indicating strong cash flow generation.
Adjusted EBITDA Guidance Increase: The successful integration of the NuStar acquisition led to an upward revision of 2024 adjusted EBITDA guidance to a range of $1.51 billion to $1.57 billion, with results delivered at the high end of this range.
Distribution Increase Announcement: A distribution increase of 1.25% was declared, raising the per unit distribution to $0.8865, with a target for at least 5% growth in distributions for 2025, reflecting strong financial performance.
Leverage Target Achieved: The company achieved its leverage target of 4 times within five months post-acquisition, maintaining a strong liquidity position with approximately $1.3 billion available on its revolving credit facility.
Negative
Fuel Distribution EBITDA Decline: Adjusted EBITDA for the fuel distribution segment decreased to $192,000,000 in Q4 from $253,000,000 in Q3 and $209,000,000 in Q4 2023, indicating a decline in performance year-over-year and sequentially.
Terminals Segment EBITDA Decline: The terminals segment reported adjusted EBITDA of $61,000,000 in Q4, down from $70,000,000 in Q3, reflecting a decrease in throughput and seasonal impacts on performance.
Fuel Distribution Margin Decline: The reported margin for fuel distribution fell to $0.106 per gallon in Q4, down from $0.128 per gallon in Q3 and $0.118 per gallon in Q4 2023, highlighting a decline in profitability per gallon sold.
Distributable Cash Flow Decline: Distributable cash flow for Q4 was $261,000,000, which, while substantial, reflects a decrease in cash flow generation compared to previous quarters, raising concerns about sustainability in cash distributions.
Leverage Ratio Stability: The leverage ratio remained flat at 4.1 times at year-end, indicating no improvement in debt management despite the acquisition and growth initiatives, which may raise concerns among investors.
SUN FAQs
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SUN Earning Call Sentiment
Earnings call transcript: Sunoco reports strong Q4 2024 growth
SUN.N
-2.16%Positive
The earnings call summary presents strong financial performance with a 62% increase in adjusted EBITDA, stable liquidity, and a distribution increase. Despite a decline in fuel distribution margins, the company maintains a positive outlook for 2025. The Q&A section reveals management's confidence in growth and ability to navigate challenges like tariffs and market volatility. Additionally, the commitment to distribution growth and successful integration of NuStar assets support a positive sentiment. Therefore, the stock price is likely to see a positive movement in the short term.
