Parkland Fuel third quarter profit surges to $76 million despite weaker sales

Parkland Corp. says its net earnings surged to $76 million during the third quarter despite a 24% decrease in revenues.

The Calgary-based fuelling company says the earnings attributable to Parkland equated to 51 cents per basic share, up from 16 cents per share or $24 million a year earlier.

Revenues for the three months ended Sept. 30 were $3.5 billion, down from $4.6 billion in the third quarter of 2019.

Parkland says its fuel and petroleum product volume is continuing to recover from the impact of COVID-19 and was within five per cent of its third quarter 2019 volumes.

In Canada, steady volume recovery, strong fuel margins and convenience store sales drove a 23 per cent increase in adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) from the prior year to $128 million.

Fuel volume decreased seven per cent to 2.3 billion litres due to the impact of COVID-19. Convenience store same-store sales were 10.7%, with strength of its rebranded On the Run sites.