LAVAL, QC — Alimentation Couche-Tard reported first-quarter fiscal 2026 results, which showed improving convenience performance in the United States and solid fuel gains in Canada, despite adjusted earnings dipping from the previous year. The company reported net income of $782.5 million, or $0.82 per diluted share, slightly below $790.8 million and $0.83 from a year earlier. Adjusted earnings were $737 million, or $0.78 per share, reflecting a 6% decrease compared to last year.
In the United States, same-store merchandise sales rose 0.4%, marking the first positive result in several quarters. Merchandise margins improved to 34.6%, helped by stronger food programs and promotional support. U.S. fuel margins, however, narrowed to 44.00¢ per gallon, down more than 4¢, while same-store fuel volumes fell 0.9% amid competitive pressure, particularly in southern markets.
Canada delivered stronger results, with same-store merchandise sales up 4.1%, driven by alcohol sales. Fuel volumes rose 2.2%, driven by promotions and market expansion, while margins grew to CA 14.21¢ per liter.
Couche-Tard also completed its $1.6 billion acquisition of 270 GetGo Café + Market sites from Giant Eagle on June 28. To secure regulatory approval, the company sold 35 sites, recording a $66.4 million gain in the quarter. Management highlighted the integration of GetGo’s popular food and loyalty programs as a strategic focus.
“On June 28, 2025, we closed the acquisition of 270 company-owned and operated convenience retail and fuel sites operating under the GetGo Café + Market ("GetGo") brand from supermarket retailer Giant Eagle Inc., for a purchase price of $1.6 billion, subject to post-closing adjustments. The acquisition also included surplus properties. GetGo sites are located in the states of Indiana, Maryland, Ohio, Pennsylvania and West Virginia in the United States. The transaction was financed using our available cash and existing credit facilities, including our United States Commercial Paper Program,” ACT said.
To return capital, the Toronto Stock Exchange approved a buyback program allowing up to 77.1 million shares to be repurchased through July 2026. After quarter-end, Couche-Tard repurchased 7.9 million shares for $405.4 million. The board also declared a quarterly dividend of CA$0.195 per share, payable September 25 to shareholders of record on September 11.
Overall, the quarter demonstrated a return to growth in U.S. convenience sales and continued strength in Canadian fuel operations, offset by tighter U.S. fuel spreads that impacted adjusted earnings.
"We are pleased by our improved performance in this first quarter of the new fiscal year. Across our network, we are reporting positive same store sales, which includes our U.S. market for the first time in several quarters. This progress is propelled by our focus on providing compelling value and ease, especially in our food and beverage offers, to win our customers who continue to watch their spendings,” said Alex Miller, president and chief executive officer of Alimentation Couche-Tard.
