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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): March 11, 2024

CASEY'S GENERAL STORES, INC.
(Exact name of registrant as specified in its charter)

Iowa
(State or other jurisdiction of incorporation)
001-34700 42-0935283
(Commission File Number) (I.R.S. Employer Identification Number)
One SE Convenience Blvd., Ankeny, Iowa
(Address of principal executive offices)

50021
(Zip Code)

515/965-6100
(Registrant's telephone number, including area code)

NONE
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Exchange Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, no par value per shareCASYThe NASDAQ Global Select Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ☐


Item 2.02. Results of Operations and Financial Condition.

On March 11, 2024, Casey's General Stores, Inc. (the "Company") issued a press release announcing its financial results for the third quarter ended January 31, 2024 (the "Press Release"). A copy of the Press Release is attached as Exhibit 99.1 and is incorporated herein by reference.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

Exhibit No.Description
99.1
104Cover Page Interactive Data File (embedded within the Inline XBRL document)


SIGNATURE

    Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.

CASEY'S GENERAL STORES, INC.
Dated: March 11, 2024By:/s/ Stephen P. Bramlage Jr.
Stephen P. Bramlage Jr.
Chief Financial Officer









Exhibit 99.1
logoa.jpg
FOR IMMEDIATE RELEASE
Casey’s General Stores, Inc.
One SE Convenience Blvd
Ankeny, IA 50021
Casey's Announces Third Quarter Results
Ankeny, IA, March 11, 2024 - Casey’s General Stores, Inc. ("Casey's" or the "Company") (Nasdaq: CASY) one of the leading convenience store chains in the United States, today announced financial results for the three and nine months ended January 31, 2024.

Third Quarter Key Highlights

•Diluted EPS of $2.33, down 13% from the same period a year ago. Net income was $87 million, down 13%, and EBITDA1 was $218 million, down 2%, from the same period a year ago. In the prior year, net income, EBITDA and diluted EPS benefited from a one-time operating expense reduction of approximately $15 million, or $0.31 a share, from the resolution of a legal matter.
•Inside same-store sales increased 4.1% compared to prior year, and 9.9% on a two-year stack basis, with an inside margin of 41.3%. Total inside gross profit increased 11.3% to $501.5 million compared to the prior year.
•Same-store fuel gallons were down 0.4% compared to prior year with a fuel margin of 37.3 cents per gallon. Total fuel gross profit decreased 2.0% to $257.2 million compared to the prior year.
•Same-store operating expenses excluding credit card fees were up 2.5%, favorably impacted by a 1% reduction in same-store labor hours.

"Casey's delivered another solid quarter highlighted by inside gross profit growth,” said Darren Rebelez, Chairman, President and CEO. “Inside same-store sales were driven by prepared food and dispensed beverage, with whole pies and hot sandwiches performing exceptionally well. Our fuel team navigated a rising cost environment and delivered nearly flat gallon volume and a 37.3 cents per gallon fuel margin. The operations team performed exceptionally well this quarter integrating multiple acquisitions, reducing same-store labor hours while growing sales and driving positive guest satisfaction scores."

Earnings
Three Months Ended January 31,Nine Months Ended January 31,
2024202320242023
Net income (in thousands)$86,933 $100,112 $414,952 $390,599 
Diluted earnings per share$2.33 $2.67 $11.09 $10.42 
EBITDA (in thousands)$217,615 $221,727 $840,372 $786,441 

For the quarter, net income, diluted EPS, and EBITDA were down compared to the same period a year ago primarily due to a strong fuel margin comparison in the prior year, lapping the one-time operating expense benefit noted above, and higher operating expenses due to operating 167 additional stores. This was partially offset by higher profitability inside the store.


1 EBITDA is reconciled to net income below.


Inside
Three Months Ended January 31,Nine Months Ended January 31,
2024202320242023
Inside sales (in thousands)$1,214,959 $1,109,223 $3,931,619 $3,644,277 
Inside same-store sales4.1 %5.6 %4.1 %6.6 %
Grocery and general merchandise same-store sales2.8 %5.8 %3.3 %6.0 %
Prepared food and dispensed beverage same-store sales7.5 %5.0 %6.2 %7.9 %
Inside gross profit (in thousands)$501,511 $450,572 $1,611,209 $1,459,307 
Inside margin41.3 %40.6 %41.0 %40.0 %
Grocery and general merchandise margin33.9 %34.0 %34.0 %33.7 %
Prepared food and dispensed beverage margin59.6 %57.3 %58.9 %56.5 %

Total inside sales were up 9.5% for the quarter driven by strong performance in the prepared food and dispensed beverage category, including whole pizza pies, hot sandwiches, and dispensed beverages as well as non-alcoholic and alcoholic beverages in the grocery and general merchandise category. Inside margin was up 70 basis points compared to the same quarter a year ago, primarily due to softening of prepared food and dispensed beverage ingredient costs as well as modest retail price adjustments.

Fuel2
Three Months Ended January 31,Nine Months Ended January 31,
2024202320242023
Fuel gallons sold (in thousands)689,251 644,940 2,133,680 2,036,450 
Same-store gallons sold(0.4)%(0.5)%— %(0.9)%
Fuel gross profit (in thousands)$257,246 $262,573 $863,059 $855,167 
Fuel margin (cents per gallon, excluding credit card fees)37.3 ¢40.7 ¢40.4 ¢42.0 ¢

For the quarter, total fuel gallons sold increased 6.9% compared to the prior year primarily due to the store count increase, while same-store gallons were nearly flat versus the prior year. The Company’s total fuel gross profit was down 2.0% versus the prior year. The Company sold $3.4 million in renewable fuel credits (RINs) in the third quarter, an increase of $0.5 million from the same quarter in the prior year.

Operating Expenses
Three Months Ended January 31,Nine Months Ended January 31,
2024202320242023
Operating expenses (in thousands)$568,908 $515,735 $1,709,466 $1,598,213 
Credit card fees (in thousands)$51,977 $54,032 $175,879 $181,727 
Same-store operating expenses excluding credit card fees2.5 %4.6 %2.5 %2.8 %

Operating expenses increased approximately 10% during the third quarter. Approximately 3% of the increase is due to lapping a $15 million one-time benefit to operating expenses last year from the resolution of a legal matter. Operating 167 more stores than prior year accounted for approximately 6% of the increase. Total same-store employee expense contributed to approximately 1% of the increase, as the increases in labor rates were partially offset by a reduction in same-store labor hours.
2 Fuel category does not include wholesale fuel activity, which is included in Other.


Expansion
Store Count
April 30, 20232,521 
New store construction23 
Acquisitions105
Acquisitions not opened(1)
Prior acquisitions opened6 
Closed(15)
January 31, 20242,639 

Liquidity
At January 31, 2024, the Company had approximately $1.1 billion in available liquidity, consisting of approximately $178 million in cash and cash equivalents on hand and approximately $899 million in available borrowing capacity on existing lines of credit.

Share Repurchase
During the third quarter, the Company repurchased approximately $30 million of shares. The Company has approximately $310 million remaining under its existing share repurchase authorization.

Dividend
At its March meeting, the Board of Directors approved a quarterly dividend of $0.43 per share. The dividend is payable May 15, 2024, to shareholders of record on May 1, 2024.

Fiscal 2024 Outlook
The Company is reaffirming its annual outlook. Same-store inside sales is expected to increase 3.5% to 5%. We expect inside margin improvement to approximately 40% to 41%. The Company expects same-store fuel gallons sold to be between negative 1% to positive 1%. Total operating expenses are expected to increase approximately 6% to 8%, though same-store operating expenses excluding credit card fees are expected to only increase approximately 3% for the year. Fiscal 2024 EBITDA growth is expected to be in-line with the long-term strategic plan's goal of 8% to 10%. The Company expects to add at least 150 stores in fiscal 2024. Net interest expense is expected to be approximately $53 million. Depreciation and amortization is expected to be approximately $350 million for the year and the purchase of property and equipment is expected to be between $500 to $550 million. The tax rate is expected to be approximately 23% to 25% for the year. The Company expects to repurchase at least $100 million in shares throughout the fiscal year.





Casey’s General Stores, Inc. and Subsidiaries
Condensed Consolidated Statements of Income
(Amounts in thousands, except share and per share amounts)
(Unaudited)
 Three Months Ended January 31,Nine Months Ended January 31,
 2024202320242023
Total revenue$3,329,247 $3,332,555 $11,262,898 $11,765,774 
Cost of goods sold (exclusive of depreciation and amortization, shown separately below)2,542,724 2,595,093 8,713,060 9,381,120 
Operating expenses568,908 515,735 1,709,466 1,598,213 
Depreciation and amortization88,950 78,088 257,453 232,500 
Interest, net14,146 11,697 38,947 39,015 
Income before income taxes114,519 131,942 543,972 514,926 
Federal and state income taxes27,586 31,830 129,020 124,327 
Net income$86,933 $100,112 $414,952 $390,599 
Net income per common share
Basic$2.34 $2.69 $11.15 $10.48 
Diluted$2.33 $2.67 $11.09 $10.42 
Basic weighted average shares37,100,143 37,281,103 37,210,007 37,261,049 
Plus effect of stock compensation235,940 283,448 199,531 240,459 
Diluted weighted average shares37,336,083 37,564,551 37,409,538 37,501,508 


Casey’s General Stores, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Dollars in thousands)
(Unaudited)
 
January 31, 2024April 30, 2023
Assets
Current assets
Cash and cash equivalents$177,881 $378,869 
Receivables136,691 120,547 
Inventories414,721 376,085 
Prepaid expenses29,946 22,107 
Income taxes receivable21,765 23,347 
Total current assets781,004 920,955 
Other assets, net of amortization197,780 192,153 
Goodwill647,125 615,342 
Property and equipment, net of accumulated depreciation of $2,836,219 at January 31, 2024 and $2,620,149 at April 30, 20234,581,105 4,214,820 
Total assets$6,207,014 $5,943,270 
Liabilities and Shareholders’ Equity
Current liabilities
Current maturities of long-term debt and finance lease obligations$53,250 $52,861 
Accounts payable521,948 560,546 
Accrued expenses305,708 313,718 
Total current liabilities880,906 927,125 
Long-term debt and finance lease obligations, net of current maturities1,583,613 1,620,513 
Deferred income taxes591,811 543,598 
       Insurance accruals, net of current portion33,114 32,312 
Other long-term liabilities170,109 159,056 
Total liabilities3,259,553 3,282,604 
Total shareholders’ equity2,947,461 2,660,666 
Total liabilities and shareholders’ equity$6,207,014 $5,943,270 


Casey’s General Stores, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(Dollars in thousands)
(Unaudited)
 Nine months ended January 31,
 20242023
Cash flows from operating activities:
Net income$414,952 $390,599 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization257,453 232,500 
Amortization of debt issuance costs833 1,036 
Change in excess replacement cost over LIFO inventory valuation7,786 20,329 
Share-based compensation29,349 34,741 
Loss on disposal of assets and impairment charges892 5,977 
Deferred income taxes48,213 24,516 
Changes in assets and liabilities:
Receivables(15,146)(19,300)
Inventories(33,762)(10,433)
Prepaid expenses(7,839)(6,571)
Accounts payable(93,480)(100,714)
Accrued expenses(10,905)20,869 
Income taxes2,335 39,548 
Other, net3,919 3,496 
Net cash provided by operating activities604,600 636,593 
Cash flows from investing activities:
Purchase of property and equipment(325,726)(301,298)
Payments for acquisition of businesses, net of cash acquired(296,809)(13,202)
Proceeds from sales of assets20,351 13,551 
Net cash used in investing activities(602,184)(300,949)
Cash flows from financing activities:
Payments of long-term debt and finance lease obligations(48,364)(23,563)
Payments of cash dividends(46,975)(41,456)
Repurchase of common stock(89,768)— 
Tax withholdings on employee share-based awards(18,297)(16,304)
Net cash used in financing activities(203,404)(81,323)
Net (decrease) increase in cash and cash equivalents(200,988)254,321 
Cash and cash equivalents at beginning of the period378,869 158,878 
Cash and cash equivalents at end of the period$177,881 $413,199 
SUPPLEMENTAL DISCLOSURES OF CASH FLOWS INFORMATION
 Nine months ended January 31,
 20242023
Cash paid during the period for:
Interest, net of amount capitalized$43,316 $37,765 
Income taxes, net72,037 56,289 
Noncash investing and financing activities:
       Purchased property and equipment in accounts payable82,785 76,840 
       Right-of-use assets obtained in exchange for new finance lease liabilities14,035 6,909 
       Right-of-use assets obtained in exchange for new operating lease liabilities12,613 13,485 


Summary by Category (Amounts in thousands)
Three months ended January 31, 2024Prepared Food & Dispensed BeverageGrocery & General
Merchandise		FuelOtherTotal
Revenue$349,411 $865,548 $2,051,674 $62,614 $3,329,247 
Gross profit$208,327 $293,184 $257,246 $27,766 $786,523 
59.6 %33.9 %12.5 %44.3 %23.6 %
Fuel gallons sold689,251 
Three months ended January 31, 2023
Revenue$313,524 $795,699 $2,157,233 $66,099 $3,332,555 
Gross profit$179,647 $270,925 $262,573 $24,317 $737,462 
57.3 %34.0 %12.2 %36.8 %22.1 %
Fuel gallons sold644,940 
Summary by Category (Amounts in thousands)
Nine months ended January 31, 2024Prepared Food & Dispensed BeverageGrocery & General
Merchandise		FuelOtherTotal
Revenue$1,104,705 $2,826,914 $7,125,485 $205,794 $11,262,898 
Gross profit$650,852 $960,357 $863,059 $75,570 $2,549,838 
58.9 %34.0 %12.1 %36.7 %22.6 %
Fuel gallons sold2,133,680 
Nine months ended January 31, 2023
Revenue$1,008,338 $2,635,939 $7,889,495 $232,002 $11,765,774 
Gross profit$569,825 $889,482 $855,167 $70,180 $2,384,654 
56.5 %33.7 %10.8 %30.2 %20.3 %
Fuel gallons sold2,036,450 


Prepared Food & Dispensed BeveragePrepared Food & Dispensed Beverage
Same-store SalesMargin
 Q1Q2Q3Q4Fiscal
Year		 Q1Q2Q3Q4Fiscal
Year
F20245.9 %6.1 %7.5 %F202458.2 %59.0 %59.6 %
F20238.4 10.5 5.0 4.9 %7.1 %F202355.6 56.7 57.3 56.8 %56.6 %
F202210.8 4.1 7.4 7.6 7.4 F202261.0 60.6 58.0 56.9 59.2 
Grocery & General MerchandiseGrocery & General Merchandise
Same-store SalesMargin
 Q1Q2Q3Q4Fiscal
Year		 Q1Q2Q3Q4Fiscal
Year
F20245.2 %1.7 %2.8 %F202434.1 %34.0 %33.9 %
F20235.5 6.9 5.8 7.1 %6.3 %F202333.9 33.3 34.0 33.0 %33.6 %
F20227.0 6.8 7.7 4.3 6.3 F202233.0 33.3 32.0 32.5 32.7 
Fuel GallonsFuel Margin
Same-store Sales(Cents per gallon, excluding credit card fees)
 Q1Q2Q3Q4Fiscal
Year		 Q1Q2Q3Q4Fiscal
Year
F20240.4 %— %(0.4)%F202441.6 ¢42.3 ¢37.3 ¢
F2023(2.3)0.3 (0.5)— %(0.8)%F202344.7 40.5 40.7 34.6 ¢40.2 ¢
F20229.0 2.5 5.7 1.5 4.4 F202235.1 34.7 38.3 36.2 36.0 




RECONCILIATION OF NET INCOME TO EBITDA AND ADJUSTED EBITDA
We define EBITDA as net income before net interest expense, income taxes, depreciation and amortization. Adjusted EBITDA further adjusts EBITDA by excluding the gain or loss on disposal of assets as well as impairment charges. Neither EBITDA nor Adjusted EBITDA are considered GAAP measures, and should not be considered as a substitute for net income, cash flows from operating activities or other income or cash flow statement data. These measures have limitations as analytical tools, and should not be considered in isolation or as substitutes for analysis of our results as reported under GAAP. We strongly encourage investors to review our financial statements and publicly filed reports in their entirety and not to rely on any single financial measure.
We believe EBITDA and Adjusted EBITDA are useful to investors in evaluating our operating performance because securities analysts and other interested parties use such calculations as a measure of financial performance and debt service capabilities, and they are regularly used by the Company for internal purposes including our capital budgeting process, evaluating acquisition targets, assessing performance, and awarding incentive compensation.
Because non-GAAP financial measures are not standardized, EBITDA and Adjusted EBITDA, as defined by us, may not be comparable to similarly titled measures reported by other companies. It therefore may not be possible to compare our use of these non-GAAP financial measures with those used by other companies.
The following table contains a reconciliation of net income to EBITDA and Adjusted EBITDA for the three and nine months ended January 31, 2024 and 2023:
(in thousands)Three Months Ended January 31,Nine Months Ended January 31,
2024202320242023
Net income$86,933 $100,112 $414,952 $390,599 
Interest, net14,146 11,697 38,947 39,015 
Federal and state income taxes27,586 31,830 129,020 124,327 
Depreciation and amortization88,950 78,088 257,453 232,500 
EBITDA217,615 221,727 840,372 786,441 
Loss on disposal of assets and impairment charges1,124 1,186 892 5,977 
Adjusted EBITDA$218,739 $222,913 $841,264 $792,418 
NOTES:
•Gross Profit is defined as revenue less cost of goods sold (exclusive of depreciation and amortization)
•Inside is defined as the combination of grocery and general merchandise and prepared food and dispensed beverage
This release contains statements that may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including those related to expectations for future periods, possible or assumed future results of operations, financial conditions, liquidity and related sources or needs, business and/or integration strategies, plans and synergies, supply chain, growth opportunities, performance at our stores. There are a number of known and unknown risks, uncertainties, and other factors that may cause our actual results to differ materially from any results expressed or implied by these forward-looking statements, including but not limited to the execution of our strategic plan, the integration and financial performance of acquired stores, wholesale fuel, inventory and ingredient costs, distribution challenges and disruptions, the impact and duration of the conflict in Ukraine or other geopolitical disruptions, as well as other risks, uncertainties and factors which are described in the Company’s most recent annual report on Form 10-K and quarterly reports on Form 10-Q, as filed with the Securities and Exchange Commission and available on our website. Any forward-looking statements contained in this release represent our current views as of the date of this release with respect to future events, and Casey’s disclaims any intention or obligation to update or revise any forward-looking statements in the release whether as a result of new information, future events, or otherwise.

Corporate information is available at this website: https://www.caseys.com. Earnings will be reported during a conference call on March 12, 2024. The call will be broadcast live over the Internet at 7:30 a.m. CDT. To access the call, go to the Events and Presentations section of our website at https://investor.caseys.com/events-and-presentations/default.aspx.  No access code is required. A webcast replay of the call will remain available in an archived format on the Events and Presentations section of our website at https://investor.caseys.com/events-and-presentations/default.aspx for one year after the call.


Investor Relations Contact:Media Relations Contact:
Brian Johnson (515) 446-6587Katie Petru (515) 446-6772

v3.24.0.1
Cover Page
Mar. 11, 2024
Cover [Abstract]  
Document Type 8-K
Entity Registrant Name CASEY'S GENERAL STORES, INC.
Entity Incorporation, State or Country Code IA
Entity File Number 001-34700
Entity Tax Identification Number 42-0935283
Entity Address, Address Line One One SE Convenience Blvd.
Entity Address, City or Town Ankeny
Entity Address, State or Province IA
Entity Address, Postal Zip Code 50021
City Area Code 515
Local Phone Number 965-6100
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock, no par value per share
Trading Symbol CASY
Security Exchange Name NASDAQ
Entity Emerging Growth Company false
Entity Central Index Key 0000726958
Amendment Flag false
Document Period End Date Mar. 11, 2024
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