Why did MUSA's EPS fall short in Q4 2024?

Murphy USA's EPS of $6.96 in Q4 2024, although exceeding the previous year's EPS, fell short of market expectations by $0.36, resulting in an EPS surprise of only 0.46%. This indicates that while the company maintained profitability, it did not meet the financial targets set by investors. The EPS fell short due to several factors:

|code|Ticker|Name|Date|Total Revenue|Net Income|EPS Surprise|Diluted EPS|market_code|
|---|---|---|---|---|---|---|---|---|
|MUSA|MUSA.N|Murphy USA|2023 Q4||||7|169|
|MUSA|MUSA.N|Murphy USA|2024 Q1|4.8437E9|6.6E7|-1.58|3.12|169|
|MUSA|MUSA.N|Murphy USA|2024 Q2|5.4517E9|1.448E8|0|6.92|169|
|MUSA|MUSA.N|Murphy USA|2024 Q3|5.2385E9|1.492E8|0.39|7.2|169|
|MUSA|MUSA.N|Murphy USA|2024 Q4|4.7104E9|1.425E8|0.36||169|

1. **Market Conditions**: The retail industry, including gas stations, faces intense competition and fluctuating consumer preferences. Any shift in consumer behavior or market conditions can impact sales and, consequently, EPS.
2. **Strategic Initiatives**: Murphy USA has been pursuing strategic initiatives, such as expanding its convenience merchandise offerings and investing in digital marketing. These initiatives might have required significant investments, which could have temporarily impacted short-term profitability.
3. **Cost Management**: The company's ability to manage costs, including supply chain disruptions and inflationary pressures, can significantly influence its net income and, by extension, its EPS. If costs rose faster than revenue, it could lead to a decline in EPS despite stable revenues.

In summary, Murphy USA's EPS falling short in Q4 2024 was likely a result of a combination of market conditions, strategic initiatives, and cost management challenges.