Murphy USA expands store base as inside sales hold steady

EL DORADO, Ark. — Murphy USA Inc. is accelerating store expansion while maintaining steady in-store performance, as the convenience retailer navigates a more value-conscious consumer environment.

Merchandise contribution increased 7.3% to $210.2 million in the first quarter, with unit margins improving to 20.0% from 19.6% a year ago. The company said that overall, inside sales trends remained consistent despite softer demand in discretionary categories.

“Murphy USA delivered first quarter results that showcase the strength of our low-cost high volume operating model,” said President and CEO Mindy West. “As volatility was re-introduced to commodity markets, specifically in refined products, the business behaved far more favorably, as we would expect. Retail margins showed continued strength, despite a rising price environment and our fuel supply business, which benefits during periods of rising prices, helped deliver strong all-in margins of 35 cents per gallon.”

“Inside sales remain consistent, although consumer spending is restrained in discretionary non-nicotine categories, where same-store sales are slightly below prior year. Nevertheless, thanks to exceptional nicotine performance, first quarter merchandise margin contribution was up $14 million versus the prior year, or a 7.3% increase, demonstrating early momentum versus the prior year first quarter merchandise contribution increase of just over $4 million,” West continued.

Expansion remains central to Murphy USA’s growth strategy. The company opened six new stores in the first quarter and is on pace to add 45-55 locations in 2026, with 18 currently under construction.

Murphy USA said it expects to sustain a higher level of growth into 2026 and beyond, supported by a broader pipeline of new-to-industry locations and the potential for bolt-on acquisitions in targeted markets, positioning the retailer to scale its convenience footprint while continuing to refine its in-store offer.