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- **$9B Parkland Acquisition**: Creates Americas' largest fuel distributor with $3B+ pro forma EBITDA and >$250M synergies.
- **Record Q3 Performance**: $496M EBITDA, 1.8x DCF coverage, 4th straight distribution increase.
- **Rapid Integration**: Target 4x leverage in 12 months; 75%+ synergies achievable within 3 years.
- **Resilient Growth**: 5%+ annual distribution growth; 8th consecutive year of DCF/unit expansion.
- **Strategic Positioning**: Caribbean hurricane resilience; West Coast refinery/closure arbitrage opportunities.

**【CEO Summary Section】**
- Acquired Parkland Corporation for $9 billion, creating the largest independent fuel distributor in the Americas. 
- 2025 combined pro forma adjusted EBITDA exceeds $3 billion, with $250 million+ synergies expected by 2028.
- Distributed $0.9202 per unit Q3, 1.25% increase vs. prior quarter, with 1.8x coverage ratio.
- Target to reduce leverage to 4x within 12 months post-acquisition.

**【CFO Financial Commentary】**
- Q3 2025 adjusted EBITDA: $496 million (vs. $470 million prior year).
- Distributable cash flow: $326 million (excluding transaction costs).
- Capital spending: $115M growth, $42M maintenance; 2 JV contributions ($16M growth, $4M maintenance).
- Balance sheet: $1.5B undrawn revolver, 3.9x leverage pre-Parkland.

**【Q&A Key Highlights】**
- **Synergies & Integration**: >$250M cost/commercial savings, 12-month integration plan. 75%+ of synergies achievable within 3 years.
- **Hurricane Impact**: Minimal Q4 2025 impact from Hurricane Melissa in Jamaica; 1 of 25 Caribbean markets.
- **West Coast Growth**: Positioning to benefit from California refinery closures via Burnaby Refinery and terminal assets.
- **2026 Outlook**: Parkland's 2025 YTD EBITDA >2024; legacy Sunoco growth to continue. Guidance to be issued early 2026.
- **Distribution Policy**: 5%+ annual growth target; 8th consecutive year of DCF/unit growth.
- **Tax Strategy**: SUNC dividend equivalency tax-free for at least 5 years via capital deployment strategy.

Sunoco LP Common Units (SUN) Q3 2025 Earnings Call Transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

SUN

SUN fundamentals

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