ALIMENTATION COUCHE-TARD ANNOUNCES ITS RESULTS FOR ITS FOURTH QUARTER AND FISCAL YEAR 2025

LAVAL, QC, June 25, 2025 /CNW/ - Alimentation Couche-Tard Inc. ("Couche-Tard" or the "Corporation") (TSX: ATD) announces its results for its fourth quarter ended April 27, 2025.

Executive Comments on the Quarter

Alex Miller, President and Chief Executive Officer, said: "As we conclude this milestone year, the 45th year since we opened our first store, we are proud of the resilience of our business and the award-winning engagement of our team members. During the fourth quarter, in the face of difficult economic and geopolitical conditions, we held the line in same-store sales in the United States and had strong positive results in Canada and Europe. Our initiatives to provide compelling value to our customers with exclusive food and beverage offers are performing well across the network. Compared to the same period last year, in our fuel business, we had positive volumes in Canada, and in the United States, we maintained market share and margins aligned with recent quarters. As we move into the new fiscal year, we remain confident in the strength of our global scale, long-term strategy, and customer-centric teams."

Filipe Da Silva, Chief Financial Officer, added: "We closed the fourth quarter and fiscal year with disciplined financial results that reflect the strength and operational effectiveness of our business, supported by continued investment in technology and customer value. The integration of our TotalEnergies assets progressed according to plan, and our focus on efficiency enabled us to pursue strategic initiatives while preserving healthy margins. As we enter the new fiscal year, we remain focused on controlling costs, delivering shareholder value, and making impactful capital investments to support our long-term growth agenda."

Quarterly Highlights

• Net earnings attributable to shareholders of the Corporation were $439.4 million for the fourth quarter of fiscal 2025 compared with $453.0 million for the fourth quarter of fiscal 2024. Adjusted net earnings attributable to shareholders of the Corporation1 were approximately $441.0 million compared with $461.0 million for the corresponding quarter of last year, representing a decrease of 4.3%.
• Net earnings attributable to shareholders of the Corporation were $0.46 per diluted share for the fourth quarter of fiscal 2025 compared with $0.47 per diluted share for the fourth quarter of fiscal 2024. Adjusted diluted net earnings per share1 were $0.46, representing a decrease of 4.2% from $0.48 for the corresponding quarter of last year.
• Total merchandise and service revenues of $4.2 billion, an increase of 2.0%. Same-store merchandise revenues2 decreased by 0.4% in the United States, while it increased by 3.4% in Europe and other regions1, and by 3.5% in Canada.
• Merchandise and service gross margin1 decreased by 0.2% in the United States to 33.9%, by 0.6% in Europe and other regions to 38.6%, and by 0.8% in Canada to 34.1%.
• Same-store road transportation fuel volumes decreased by 1.9% in the United States, by 0.6% in Europe and other regions, while it increased by 3.7% in Canada.
• Road transportation fuel gross margin1 of 43.27¢ per gallon in the United States, an increase of 4.48¢ per gallon, US 9.57¢ per liter in Europe and other regions, an increase of US 1.27¢ per liter, and CA 14.05¢ per liter in Canada, an increase of CA 0.37¢ per liter.

Fiscal Year 2025 Highlights

• Net earnings per diluted share of $2.71 compared with $2.82 for fiscal 2024, a decrease of 3.9%, while adjusted diluted net earnings per share1 were $2.71 compared with $2.81 for fiscal 2024, a decrease of 3.6%.
• During fiscal 2025, we repurchased 8.7 million shares for an amount of $518.9 million.
• Solid pipeline execution with 97 new-to-industry openings, and 20 relocated or reconstructed stores during fiscal 2025. As of April 27, 2025, another 41 stores were under construction and should open in the upcoming quarters.
• Increase in the annual dividend declared for fiscal 2025 of 14.3%, from CA 66.50¢ to CA 76.00¢.

Summary of the Fourth Quarter of Fiscal 2025

For its fourth quarter ended April 27, 2025, Couche-Tard reported net earnings attributable to shareholders of the Corporation of $439.4 million, representing $0.46 per share on a diluted basis, compared with $453.0 million for the corresponding quarter of fiscal 2024, representing $0.47 per share on a diluted basis. The results for the fourth quarter of fiscal 2025 were affected by a pre-tax net foreign exchange gain of $7.1 million and by pre-tax acquisition costs of $6.7 million. The results for the comparable quarter of fiscal 2024 were affected by a pre-tax net foreign exchange loss of $5.2 million, and by pre-tax acquisition costs of $4.8 million. Excluding these items, the adjusted net earnings attributable to shareholders of the Corporation3 were approximately $441.0 million, or $0.46 per share on a diluted basis for the fourth quarter of fiscal 2025, compared with $461.0 million, or $0.48 per share on a diluted basis for the corresponding quarter of fiscal 2024, a decrease of 4.2% in the adjusted diluted net earnings per share1. This decrease is primarily driven by higher quarterly income tax rate on net earnings and the impact of strategic investments on operating expenses and depreciation, partly offset by a significant improvement in the road transportation fuel gross margin1. All financial information presented is in US dollars unless stated otherwise.

Significant Items of the Fourth Quarter of Fiscal 2025

• Subsequent to the end of the fourth quarter of fiscal 2025, our commercial paper program was amended and the aggregate principal amount of unsecured commercial paper notes outstanding at any given time was increased to an amount that cannot exceed $3.5 billion.
• On June 2, 2025, subsequent to the end of the fourth quarter of fiscal 2025, we fully repaid, upon maturity, our CA $700.0 million Canadian-dollar-denominated senior unsecured notes issued on June 2, 2015. The repayment of CA $700.0 million ($507.0 million) was settled using our available cash and existing credit facilities, including our United States commercial paper program. On the same date, we also settled the cross-currency interest rate swaps associated with the notes.

Changes in our Network during the Fourth Quarter of Fiscal 2025

• We acquired two company-operated stores and settled these transactions using our available cash.
• We completed the construction of 41 stores and the relocation or reconstruction of 7 stores, reaching a total of 117 stores since the beginning of fiscal 2025. As of April 27, 2025, another 41 stores were under construction and should open in the upcoming quarters.

The following tables present certain information regarding changes in our store network over the 12 and 52-week periods ended April 27, 2025(1):

Exchange Rate Data

We use the US dollar as our reporting currency, which provides more relevant information given the predominance of our operations in the United States.

The following table sets forth information about exchange rates based upon closing rates expressed as US dollars per comparative currency unit:

For the analysis of consolidated results, the impact of the translation of our foreign currency operations into US dollars is defined as the impact from the translation of our Canadian, European, Asian, and corporate operations into US dollars. Variances of our foreign currency operations into US dollars are determined as being the difference between the corresponding period results in local currencies translated at the current period average exchange rate and the corresponding period results in local currencies translated at the corresponding period average exchange rate.

Summary Analysis of Consolidated Results for the Fourth Quarter and Fiscal 2025

The following table highlights certain information regarding our operations for the 12 and 52-week periods ended April 27, 2025 and April 28, 2024, and the results analysis in this section should be read in conjunction with this table. The results from our operations in Europe and Asia are presented together as Europe and other regions.