Casey’s General Stores reported a strong start to fiscal 2027, with first-quarter diluted earnings per share rising 27.7% to $7.37, net income increasing 27.1% to $273.7 million, and EBITDA growing 17.1% to $485.1 million.
Total revenue for the three months ended July 31, 2026, reached $5.68 billion, compared with $4.57 billion in the prior-year period. The convenience-store operator attributed the earnings gains primarily to higher inside and fuel gross profit, partially offset by increased operating expenses.
Inside same-store sales increased 3.2%, including 4.8% growth in prepared food and dispensed beverages and 2.7% growth in grocery and general merchandise. Total inside sales increased 5.6% to approximately $1.78 billion, while inside gross profit rose 6.3% to $749.8 million.
Prepared food performance was driven primarily by positive traffic, particularly whole pizzas. Inside margin increased approximately 30 basis points to 42.2%, benefiting from product mix and cost-of-goods management.
Fuel same-store gallons declined 0.3%, although total gallons sold increased 2.5% because of the company’s larger store base. Fuel gross profit increased 19.6% to $446.9 million, while fuel margin improved to 47.8 cents per gallon from 41 cents a year earlier.
Operating expenses increased 8% during the quarter. Casey’s was operating 64 more stores than a year earlier, while higher credit-card fees, labor rates and insurance costs also contributed to the increase. The company ended the quarter with 2,959 stores, after opening nine locations, acquiring 12 and closing or divesting six during the period.
Casey’s had approximately $1.4 billion of available liquidity, including $524 million in cash and cash equivalents and $857 million of available borrowing capacity. The company also repurchased approximately $45.6 million of shares during the quarter and had approximately $973 million remaining under its existing repurchase authorization.
The board approved a $0.65 quarterly dividend, payable November 13 to shareholders of record November 1.
Casey’s maintained its fiscal 2027 outlook, including 2% to 5% inside same-store sales growth, EBITDA growth of 8% to 10% and at least 120 new stores through acquisitions and new construction. The company expects inside margin above 42% and same-store fuel gallons ranging from a 1% decline to a 1% increase.
KEY QUOTE:
“We are off to a great start on our three-year strategic plan, highlighted by a nearly 28% increase in diluted EPS,” said Darren Rebelez, Chairman, President and CEO. “Guests are responding well to our compelling value proposition on our high-quality prepared food, especially in whole pies. On the fuel side, our team’s robust capabilities helped us navigate a volatile environment and produced strong results. The operations team delivered an exceptional guest experience during our busiest quarter of the year. We accomplished all of this while running ahead of schedule on our integration of the Fikes acquisition.”
Darren Rebelez, Chairman, President and CEO of Casey’s General Stores
