Business

Couche-Tard's Q2 earnings up 9% from acquisitions, fuel sales

The world's second-biggest convenience store operator beat revenue expectations, as the Quebec-based retailer's net earnings rose nine per cent in its most recent quarter thanks in part to acquisitions, improved fuel sales and lower taxes.

Based in Quebec, the world's 2nd largest convenience store operator had net earnings of $473 million US

A man passes by a Couche- Tard convenience store in Montreal in 2012. The Quebec-based company's revenues rose 21 per cent to $14.7 billion US in the latest quarter. (Graham Hughes/The Canadian Press)

Alimentation Couche-Tard Inc. beat revenue expectations as the Quebec-based retailer's net earnings rose nine per cent in its most recent quarter thanks in part to acquisitions, improved fuel sales and lower taxes.

The world's second-biggest convenience store operator, which reports in U.S. dollars, said its net earnings attributable to shareholders were $473.1 million US or 84 cents per diluted share for the second quarter, a period that ended Oct. 14.

That's up from $432.5 million US or 76 cents per share from the same period the previous year.

Revenue from the company's fuel retail business, its biggest, increased 24.5 per cent to about $10.90 billion US.

Overall revenues rose 21 per cent to $14.7 billion US.

Couche-Tard has been expanding its gasoline and convenience store business with new acquisitions including CST Brands and Holiday Stationstores, a 522-store chain of gas stations and convenience outlets in the United States.

The company was expected to earn 82 cents per share in adjusted profits on $13.9 billion US of revenues, according to analysts polled by Refinitiv.

With files from Reuters