SUBURBAN PROPANE PARTNERS Reports Fourth Quarter FY2023 Earnings Results

🌥️Earnings Overview

For the fourth quarter of its fiscal year ending on November 9 2023, SUBURBAN PROPANE PARTNERS ($NYSE:SPH) reported total revenue of USD 226.6 million, a decrease of 4.6% from the same period of FY2022. Their net income for the period was USD -20.9 million, a decrease from the -54.2 million reported in the same quarter of the prior year.

Price History

SUBURBAN PROPANE PARTNERS (NYSE:SPH) reported their financial results for the fourth quarter of Fiscal Year 2023. On Thursday, the stock opened at $16.3 and closed at $16.5, down by 1.4% from its last closing price of 16.8. This was mainly due to higher costs related to labor and material costs as well as increased marketing expenses.

Overall, while SUBURBAN PROPANE PARTNERS stock has seen a slight correction in the fourth quarter, the company reported strong performance for the year overall and has maintained solid cash flow. Looking ahead, the company is expected to continue to deliver strong financial results in the coming quarters as the business continues to expand and succeed in the competitive propane market. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for SPH. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for SPH. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for SPH. More…

Key Ratios Snapshot

Some of the financial key ratios for SPH are shown below. More…

Analysis

At GoodWhale, we have taken a detailed look at the fundamentals of SUBURBAN PROPANE PARTNERS. Our Star Chart shows that the company is strong in profitability, medium in dividend and weak in asset and growth. Based on our analysis of the company’s cashflows and debt, we assign an intermediate health score of 6/10, indicating that SUBURBAN PROPANE PARTNERS may be able to sustain future operations in times of crisis. We have classified SUBURBAN PROPANE PARTNERS as a ‘cow’, meaning that it has the track record of paying out consistent and sustainable dividends. This makes it a potential target for investors who are looking for a reliable source of income and are willing to pay a moderate price for it. Such investors include retirees who want to generate a steady income stream from their investments, or those who are looking for a long-term play to diversify their portfolio. More…

Peers

The company faces competition from other large propane companies such as Atmos Energy Corp, Spire Inc and Unimot SA, who all strive to provide competitively priced and efficient services to their respective customers.

– Atmos Energy Corp ($NYSE:ATO)

Atmos Energy Corp is an integrated natural gas company that provides natural gas distribution and related services to over three million residential, commercial, public authority, and industrial customers in eight states. As of 2023, Atmos Energy Corp had a market cap of 15.35 billion and a Return on Equity (ROE) of 6.44%. The market cap of a company is the total value of its outstanding shares of stock and is calculated by multiplying the number of outstanding shares by the current market price of the stock. Atmos Energy Corp’s market cap indicates that it is a large and stable company that has been able to generate consistent returns for its investors. The company’s ROE is a measure of how efficiently it is using its shareholders’ investments to generate profits. Atmos Energy Corp’s 6.44% ROE indicates that it is using its resources to generate a relatively stable and consistent return for its investors.

– Spire Inc ($NYSE:SR)

Spire Inc is a leading energy services company that operates natural gas infrastructure, utility services, and renewable energy solutions in the United States. With a market cap of 3.68B as of 2023, Spire Inc is well positioned to continue to capitalize on energy markets for the foreseeable future. Its Return on Equity (ROE) has also been strong at 8.82%, indicating that the company is generating a healthy return for shareholders. This healthy return has allowed the company to make strategic investments in new technologies and services that have kept it competitive in the ever-changing energy market.

– Unimot SA ($LTS:0ROK)

Unimot SA is a Polish fuel and energy company that operates in the retail fuel and energy sector. The company has a market capitalization of 746M as of 2023, which ranks it among the largest publicly-traded companies in Poland. Unimot SA has also maintained a strong Return on Equity (ROE) of 37.34%, a sign of the company’s strong financial performance. Unimot SA has been able to generate strong returns for its stockholders thanks to its successful business model and efficient management. The company is well-positioned to continue delivering growth in the years to come.

Summary

SUBURBAN PROPANE PARTNERS reported their fourth quarter financial results for FY2023, ending November 9, with total revenue of USD 226.6 million, a 4.6% decrease year-on-year. Net income was reported at USD -20.9 million, an improvement from the previous year’s -54.2 million. For potential investors, the results show signs of progress and an increase in profitability compared to the prior year.

However, given the current economic conditions, the outlook may remain uncertain in the near-term. With this in mind, investors should exercise caution when considering an investment in SUBURBAN PROPANE PARTNERS.