Suburban Propane Partners, L.P. Q2 FY2026 earnings call

• Board declared quarterly distribution of 32.5 cents per common unit, annualized rate $1.30 per common unit, paid on May 12th. • Core propane business recognized as best in class with hyperlocal model. • Team adapted to weather conditions, executed customer growth and retention initiatives, including propane uses in EV charging, port equipment, data center power, etc. • Expanded sponsorship with NASCAR as official propane of NASCAR. • Progress in building renewable energy platform, view as long-term strategic investment for next century.

Quarterly revenue was $169.5 million, flat compared to prior year second quarter. Interest expense of $19.7 million decreased 4.2% due to lower average outstanding borrowings and benchmark interest rates. Total capital spending for the quarter was $24.7 million, $5.4 million higher than year second quarter, with year-to-date growth capex for RNG facilities totaling $19 million and full year estimate $35 to $40 million. Adjusted EBITDA increased $6 million, total debt reduced $32.3 million.

• Utilizing excess cash flows to repay borrowings and strengthen balance sheet. • Expect to generate excess cash flows moving through seasonal working capital needs. • Full year capital spending estimate for existing projects $35 to $40 million. • Ample borrowing capacity under revolver to support capital expansion and strategic growth.

Thank you. We will now begin the question and answer session. If you would like to ask a question, please press star, then the number one on your telephone keypad to raise your hand and join the queue. If you would like to withdraw your question, simply press star then the number one again. One moment while we compile the Q&A roster. If you would like to ask a question at this time, simply press star then the number one on your telephone keypad. It appears there are no questions at this time. I would like to turn the conference back over to Mike Stavala for any further remarks. Great. Thank you, Morgan. And thank you all again for joining us. I hope you have a great summer. We look forward to talking to you again in August as we close out our third quarter results. So thank you again and please be safe. This concludes today's call. Thank you for attending. You may now disconnect and have a wonderful rest of your day.