Convenience retail chain Alimentation Couche-Tard has reported 2.9% growth in its net earnings attributable to shareholders to $641.4m in the third quarter (Q3) of fiscal 2025 (FY25), up from $623.4m during the same period in the previous fiscal year.
Couche-Tard also experienced an uptick in diluted net earnings per share, which climbed from $0.65 in Q3 FY24 to $0.68 in Q3 FY25.
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The company’s total revenue experienced robust growth during the 16-week period ending on 2 February 2025, hitting $20.90bn, marking a 6.5% increase from the $19.62bn recorded in Q3 FY24.
The surge in revenue was primarily driven by recent acquisitions and an uptick in wholesale fuel business revenues.
Couche-Tard’s same-store merchandise revenues saw a marginal decline of 0.1% in the US, while Canada registered a significant rise of 2.8% followed by Europe and other regions, where the retailer recorded a 0.2% growth over the quarter.
Couche-Tard’s overall gross profit for the quarter reflected an upward trend, increasing 9.4% to reach $3.76bn in Q3 FY25, compared with $3.44bn during the same period of the previous year.
Couche-Tard has added 38 company-operated stores to its portfolio during Q3, cumulating to a total of 40 stores acquired since the start of fiscal 2025.
Additionally, Couche-Tard has been investing in its physical footprint by completing construction on 31 new stores and either relocating or reconstructing another eight stores, totaling 69 new storefronts since the beginning of fiscal 2025.
Looking ahead, Couche-Tard is preparing to further expand its retail presence with an additional 56 stores currently under construction and set to open in subsequent quarters.
Alimentation Couche-Tard chief financial officer Filipe Da Silva stated: “We delivered notable progress this quarter, delivering our most improved performance in over a year as we continue to navigate challenging consumer trends, particularly in the US.
“Our results reflect a balanced mix of organic growth and acquisitions, demonstrating the strength of our globally diversified network, the success of our integration activities and our commitment to drive long-term sustainable growth.
“This quarter also marks the one-year anniversary of the acquisition of certain assets from TotalEnergies, which is on track for synergy realisation and continues to deliver solid results thanks to the dedicated efforts of all of our team members.”
Recently, Tokyo-based Seven & i Holdings (7&i) and Couche Tard agreed to assess the feasibility of a divestment strategy by outlining the functional, administrative and fiscal attributes of the store cluster earmarked for sale and pinpointing prospective purchasers.
Alimentation Couche-Tard operates close to 17,000 stores under Couche-Tard and Circle K banners. Credit: Paul McKinnon/Shutterstock.
