Casey’s General Stores ( NASDAQ: CASY ) jumped over 6% after the company issued a better than expected bottom line report and offered an optimistic full-year forecast.
For its fiscal second quarter, the convenience store chain notched $3.67 in earnings per share against a $3.20 analyst consensus alongside $3.9B in revenue, which missed analyst expectations by just $50M. Inside same-store sales increased 7.9% compared to prior year and same-store fuel gallons were up 0.3% compared to prior year with a fuel margin of 40.5 cents per gallon. Analysts had anticipated same-store fuel gallons to decline over 2%.
“Inside same-store sales were driven by prepared food and dispensed beverages, most notably pizza and fountain sales,” CEO Darren Rebelez explained. “Grocery and general merchandise achieved impressive results in both alcoholic and non-alcoholic beverages. The fuel gross profit dollars remained strong as our fuel team executed at a high level again and struck the right balance between sales volume and gross profit margin.”
Moving forward, management anticipates same-store inside sales to range from 5% to 7% for the full year. Additionally, total operating expense increase is expected to be near the low end of the annual range which was approximately 9% to 10%.
The post-earnings pop to $245.09 marked a new 52-week high for the stock.
Read more on the contrastingly negative reaction received by Ollie’s Bargain Outlet Holdings ( OLLI ) after its more disappointing earnings results on Wednesday .
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Casey’s General Stores stock surges to yearly high after earnings