Superior Plus (SPB) Q1 2025 earnings summary

Executive summary

• Achieved record Q1 Adjusted EBITDA of $260.5 million, up 11% year-over-year, with strong performance in both propane and CNG segments and operational improvements.

• Adjusted Net Earnings per share increased 32% to $0.66, and Free Cash Flow per share rose 54% to $0.94.

• Superior Delivers transformation contributed $2.3 million to Adjusted EBITDA in Q1, with over 20 pilot initiatives underway and on track for $20 million adjusted EBITDA in 2025.

• Returned over $35 million to shareholders via dividends and share repurchases, reducing public float by 2.6%.

• Teams managed increased volumes efficiently, delivering 24 million more gallons year-over-year with fewer trucks and optimized routes.

Financial highlights

• Revenue increased to $1,008.4 million from $897.7 million year-over-year; gross profit rose to $498.9 million from $465.2 million.

• Adjusted EBITDA reached $260.5 million, up 10.5% year-over-year, driven by strong propane and CNG results.

• Adjusted EBITDA per share was $0.98, up from $0.85; Adjusted EBTDA per share was $0.89, up from $0.75.

• Net earnings for the period were $146.4 million, up from $85.2 million; basic and diluted EPS was $0.54, up from $0.30.

• Free Cash Flow per share increased to $0.94 from $0.61 year-over-year.

Outlook and guidance

• Full-year guidance maintained, but expect to finish toward the lower end of the 5-10% growth range due to pricing pressure in CNG.

• Superior Delivers expected to contribute ~$20 million in Adjusted EBITDA in 2025 and $70 million by 2027, with most benefits realized in Q4.

• Certarus guidance slightly below midpoint, offset by stronger propane performance.

• Leverage ratio forecasted to end 2025 at ~3.6x, with a mid-2027 target of ~3.0x.