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SUNC, SunocoCorp LLC Common
An oil and gas business, whose fortunes rise and fall with a price it does not set.
Sunoco's fuel distribution operations distribute over 15 billion gallons annually to approximately 11,000 Sunoco and partner branded locations, as well as independent dealers and commercial customers. 5 Index to Financial Statements The following simplified diagram depicts our organizational structure as of February 13, 2026.
Parkland is a leading international fuel distributor, marketer and convenience retailer with operations in 26 countries across the Americas.
The business
What it sells, where the money comes from, the kind of company it is.
Next report By 11/13 · the 10-Q for the quarter ended late September · due within 45 days of period end · has filed ~37 days after · the wire records it on arrival
The business in brief
read the 10-K →What this business is and what moves its needle, from its own SEC filings.
- What moves the needle
- Gross margin has run about 9.2% and operating margin about 3.5% through the cycle, a thin spread that turns the result on volume and the cost of what it sells far more than on the price it sets. That margin has held in a narrow 2.8%–3.7% band over the years, so steadiness itself is the evidence — the lever is unit growth and cost discipline, not a moving line. Read this kind of business on the commodity price, and the cost to lift a barrel. On its own account, the filing leans hardest on pricing power & competition, set against the numbers in what the filing emphasizes, below.
Every line is arithmetic on the company's filings, shown in full in the sections below.
The record
Ten years of arithmetic, read across the cycle.
The record, 2023–2025
realized figures from each filing · older years to the left| 2023’23 | 2024’24 | 2025’25 | TTMTTMJun 2026 | |
|---|---|---|---|---|
| Income statement | ||||
| $23.1B | $22.7B | $25.2B | $39.6B | RevenueRevenue |
| $1.4B | $2.1B | $2.8B | $4.7B | Gross profitGross prof. |
| 6% | 9% | 11% | 12% | Gross marginGross mgn |
| 1% | 1% | 1% | 1% | SG&A / revenueSG&A/rev |
| $635M | $791M | $935M | $1.9B | Operating incomeOp. inc. |
| 2.8% | 3.5% | 3.7% | 4.8% | Operating marginOp. mgn |
| $0 | $0 | ($5M) | $144M | Net incomeNet inc. |
| Cash flow & returns | ||||
| $600M | $549M | $1.2B | $2.3B | Operating cash flowOp. cash |
| $187M | $368M | $688M | $946M | Depreciation & amortizationD&A |
| $396M | $164M | $490M | $1.2B | Working capital & otherWC & other |
| $215M | $344M | $577M | $688M | CapexCapex |
| 0.9% | 1.5% | 2.3% | 1.7% | Capex / revenueCapex/rev |
| $385M | $205M | $615M | $1.7B | Owner earningsOwner earn. |
| 1.7% | 0.9% | 2.4% | 4.2% | Owner earnings marginOE mgn |
| $385M | $205M | $615M | $1.7B | Free cash flowFCF |
| 1.7% | 0.9% | 2.4% | 4.2% | Free cash flow marginFCF mgn |
| ($288M) | $477M | ($2.8B) | — | Investing cash flowInv. cash |
| ($365M) | ($961M) | $2.4B | — | Financing cash flowFin. cash |
| ($53M) | $65M | $797M | — | Change in cashΔ cash |
| Balance sheet | ||||
| — | $94M | $891M | $891M | Cash & investmentsCash+inv |
| — | $1.2B | $2.0B | $3.3B | ReceivablesReceiv. |
| — | $1.1B | $2.4B | $2.4B | InventoryInvent. |
| — | $2.2B | $4.4B | $5.7B | Operating working capitalOper. WC |
| — | $2.5B | $5.5B | $6.8B | Current assetsCur. assets |
| — | $1.9B | $4.0B | $5.3B | Current liabilitiesCur. liab. |
| — | 1.3× | 1.4× | 1.3× | Current ratioCurr. ratio |
| — | $7.7B | $13.4B | — | Net PP&ENet PP&E |
| $1.6B | $1.5B | $3.0B | $3.1B | GoodwillGoodwill |
| — | $14.4B | $28.4B | $29.9B | Total assetsAssets |
| — | $7.5B | $13.4B | $13.4B | Total debtDebt |
| — | $7.4B | $12.5B | $12.5B | Net debt / (cash)Net debt |
| 2.9× | 2.0× | 1.7× | 2.7× | Interest coverageInt. cov. |
| 0.1% | 0.1% | 0.1% | 0.1% | Stock comp / revenueSBC/rev |
| Per share | ||||
| — | — | 51.5M | 51.6M | Shares out (diluted)Shares |
| — | — | $489.18 | $767.73 | Revenue / shareRev/sh |
| — | — | $-0.10 | $2.79 | EPS (diluted)EPS |
| — | — | $11.94 | $32.20 | Owner earnings / shareOE/sh |
| — | — | $11.94 | $32.20 | Free cash flow / shareFCF/sh |
| — | — | $11.20 | $13.34 | Cap. spending / shareCapex/sh |
Where the cash went
ReinvestBuybacksDividendsAcquisitionsRetainedEach year's operating cash, by what management did with it: the mix, and how it drifts.
Net income is the accountant's number; owner earnings is the cash an owner could take out. The walk between them, off the cash-flow statement, and whether the gap is widening or holding.
In fiscal 2025 the business turned a $5M loss into $615M of owner earnings: more cash than the profit line showed, after the non-cash charges and the capital it put back in.
| FY2025 | FY2024 | FY2023 | |
|---|---|---|---|
| Reported net income | ($5M) | $0 | $0 |
| Depreciation & amortizationnon-cash charge added back | +$688M | +$368M | +$187M |
| Stock-based compensationreal costnon-cash, but a real cost | +$19M | +$17M | +$17M |
| Working capital & othertiming of cash in and out, other non-cash items | +$490M | +$164M | +$396M |
| Cash from operations | $1.2B | $549M | $600M |
| Capital expenditurecash put back in to keep running and to grow | −$577M | −$344M | −$215M |
| Owner earnings | $615M | $205M | $385M |
| Owner-earnings marginowner earnings ÷ revenue | 2% | 1% | 2% |
Owner earnings is the cash an owner could pull out without starving the business: operating cash less the capital it must spend to hold its position . The cash-flow statement also adds stock comp back as non-cash, but it is a real cost paid in shares; counted as the expense it is (less $19M), owner earnings is nearer $596M.
Maintenance capex is estimated as depreciation where a growing business invests above it; free cash flow is the figure the scorecard's free-cash margin reads.
Quality & stewardship
Returns, the balance sheet, capital allocation, and pay.
Owner’s Scorecard
Will it survive?
- ThinOperating income $935M ÷ interest expense $541M
What this means
Operating profit covers interest, but with little room. A bad year, a refinancing at higher rates, or a revenue wobble closes the gap fast.
- How heavy is the debt, net of cash? $12.5B · 13.4× operating profitHeavy net debtCash $891M − debt $13.4B
What this means
Netting $891M of cash and short-term investments against $13.4B of debt leaves $12.5B owed, about 13.4× a year's operating profit (14.3× on the gross debt, before the cash). Net debt is the leverage figure that matters: the cash is already set against the debt. Strategic or illiquid investments aren't counted here.
- Not enough data
What this means
The filing data didn't include the inputs for this check.
Is it a good business?
- Not enough dataIndustry peers: median 10%
What this means
The filing data didn't include the inputs for this check.
- Thin through the cycle3-yr median margin, range 1%–2%; latest $615M = operating cash $1.2B − maintenance capex $577MIndustry peers: median 2%
What this means
What an owner could take out without starving the business: operating cash less the maintenance capital it must spend to hold its position — Buffett's owner earnings. That's 2% of revenue this year, a 2% median across 3 years. Treating stock comp as the real expense it is (less $19M of SBC) leaves $596M.
- Loss, but cash-generativeNet income ($5M) · cash from operations $1.2B
In the filing’s words And the filing leans heavily on adjusted, non-GAAP earnings — steering you off the GAAP figure just where the cash is not backing it. Read the reconciliation in the notes before taking the adjusted number.
What this means
The company reported a net loss, so a conversion ratio isn't meaningful. What matters then is whether operations still threw off cash, here, they did.
How is the cash used?
- Not enough data
What this means
The filing data didn't include the inputs for this check.
- Investing or harvesting? 0.84×MaintainingCapex $577M ÷ depreciation & amortization as filed $688M
What this means
Descriptive, not a grade. Above ~1× means investing faster than assets wear out (growth, or, sustained for years, today's earnings carrying less depreciation than tomorrow's will). Below means spending less than it's wearing out (efficiency, or a melting asset base). The ratio won't tell you which; the filings will.
The promise and the pay packet
- Is the buyback buying ownership, or mopping up? 0.1%Stock pay, share count unreadStock compensation $19M (fiscal 2025), 0.1% of revenue · no repurchases
What this means
Stock handed to employees is a real cost paid in the owner's own currency: it is charged against profit, but the shares it creates are permanent. Many companies repurchase stock at the same time, which looks like a return of capital and often is not — if the count barely moves, the cash merely cancelled the pay packet and bought the owner nothing. The three states worth telling apart are a count genuinely shrinking, a count standing still despite large repurchases, and a count rising because the issuance was never offset at all.
Graham’s defensive tests · 1 of 3 met
Graham’s numerical criteria for the defensive investor (The Intelligent Investor, ch. 14), run on the filings. A floor of safety, not a buy signal; many fine modern businesses fail his strictest liquidity rules by design.
- Adequate size PassRevenue ≥ $2B · $25.2B
What this means
Big enough to weather a storm. Graham's 1972 floor was ~$100M of sales (≈ $700M today); we use a $2B revenue line as a conservative modern stand-in.
- Strong liquidity MissCurrent ratio ≥ 2× · 1.38×
What this means
Current assets at least twice current liabilities, near-term bills covered without touching the business. Strict by design: many cash-rich modern firms run leaner and miss it, holding their cushion in longer-dated securities.
- Conservative debt MissDebt ≤ working capital · $13.4B vs $1.5B WC
What this means
Graham's rule that borrowings not exceed net current assets. Capital-heavy and buyback-heavy firms routinely fail it, read it next to interest coverage, not alone.
- Moderate price —P/E ≤ 15 and P/E × P/B ≤ 22.5 · decided by the price
What this means
Graham's valuation gate, the wall he kept between a sound business and a sound investment. Three-year average earnings are $-0.03/share (latest year $-0.10), the averaged base the calculator's gate runs on. Enter a price in “What the price implies” just below for the P/E, P/B, and whether it clears. But this is the rule Buffett outgrew: there's no hard P/E law, and a wonderful business can deserve a far richer multiple if the thesis holds, treat it as the bargain-hunter's floor, not a verdict on the price.
All figures as filed; the source filing is linked above.
Current Position
as of the latest quarter, Jun 30, 2026Can the business pay what it owes this year, off the freshest balance sheet: the quality of the assets, the debt actually coming due, and what a low ratio means here.
- Cash & short-term investments$891M
- Receivables$3.3B
- Inventory$2.4B
- Other current assets$217M
- Debt due within a year$6M
- Other current liabilities$5.3B
From the company's latest filing.
Debt maturity
the debt note, SEC EDGAR →Not how much it owes, but when it falls due, and against what. The ladder the company files, beside cash on hand and a year's owner earnings.
Bars scaled to the largest single year; “later” is everything due after 2030, shown apart since it dwarfs the years.
Against what the business has and earns
Cash on hand as of Jun 30, 2026 plus a year’s owner earnings comes to $1.5B against the $954M due in the twelve months after the Dec 31, 2025 schedule: 1.6 times it.
Maturity schedule extracted from the company’s Dec 31, 2025 annual report and reconciled to the total the table states.
Lease obligations
the lease note, SEC EDGAR →Debt by another name. What the business owes on the property, aircraft, stores and equipment it rents rather than owns is a fixed claim due on a schedule; added back to the debt, it is the true leverage. That ladder, operating and finance leases together, and what it adds to the debt on the page above.
Lease payments by year, scaled to the largest; “later” is everything beyond year five, shown apart. These are the contractual cash payments, before the interest the filing imputes back out to the balance-sheet liability.
True leverage: debt plus leases
Counting the leases the way Buffett does, the fixed claims on this business come to $14.9B, of which the leases are 10%. The lease wall above and the debt schedule together are the calendar of what must be paid, and when.
Lease ladder read from the ASC 842 tags in the company’s Dec 31, 2025 annual report and reconciled: the yearly buckets sum to the undiscounted total, which less the imputed interest equals the balance-sheet liability; a ladder that doesn’t tie out is withheld.
Management, ownership & pay
From the proxy: how much of the business the people running it own, and how they are paid.
- Stock-based compensation$19M
The slice of the business handed to employees in shares in fiscal 2025, 0.1% of revenue, equal to 2.0% of operating profit. Buffett's oldest accounting fight: this is compensation, compensation is an expense, real whether or not the headline earnings admit it. One trap: the cash-flow statement adds SBC back, so the operating cash, and the owner earnings drawn from it, are flattered by exactly this amount; counted as the cost it is, what an owner keeps is lower.
What an owner would ask, FY2025
read the 10-K →- Which reported numbers are a judgment call?Management names Income taxes, Acquisitions as critical estimates
each rests partly on management's judgment; the filing's note sets out the assumptionsverify →
The questions the record and the charts do not answer on their own; each carries the figure and the place to look.
Peers, Refining & Marketing
The same industry, side by side on owner economics. Each column names the period it is read over, and a median resting on fewer than three years carries that count beside it; the group median at the foot is the line to read each figure against.
| Company | Revenuelatest FY, USD | Gross marginmedian over the record | Op. marginmedian over the record | ROICmedian over the record | Owner earn. marginmedian over the record |
|---|---|---|---|---|---|
| MPCMarathon Petroleum Corporation | $132.7B | 10% | 5.1% | 11% | 5% |
| PBFPBF Energy | $29.3B | 4% | 2.4% | 9% | 2% |
| SUNCSunocoCorp LLC Common | $25.2B | 9% | 3.5% | — | 2% |
| SUNSunoco LP Common | $25.2B | 8% | 2.8% | 12% | 2% |
| NESTENeste Oyj | $22.2B | — | 7.3% | 31% | 6% |
| DKDelek US Holdings | $10.7B | 4% | 1.9% | 7% | 2% |
| CVICVR Energy Inc. | $7.2B | 5% | 2.5% | 9% | 3% |
| CLMTCalumet Inc. | $4.1B | 7% | 2.7% | 19%1y | -5% |
| Group median | — | 7% | 2.7% | — | 2% |
The price
What a price has to assume.
What the price implies
reverse-DCFType today's close and see the owner-earnings growth you'd have to believe to justify it, beside what SunocoCorp LLC Common has delivered.
—
9.0% = the 4.71% 10-year Treasury (Aug 18, 2026) + 4.29 points of equity premium. The rate you require is yours to set.
Enter a price above to run it.
A dated snapshot of the price you typed, the assumptions you set, and what the page showed for them. A snapshot is never edited after it is saved. Your notebook is yours alone — the commitment states what is stored and what we will never do.
Prefilled with the 10-year Treasury (4.71%, as of Aug 18, 2026). Edit it for today’s exact figure, or a AAA corporate yield.
Graham measured a stock against the bond you could own instead, the heart of his margin of safety. Enter a price above to weigh the owner-earnings yield against this bond.
Free cash flow $1.7B on 52M shares outstanding, per the 10-Q cover, as of 2026-07-31; net debt $12.5B. The base is the latest year by default; Normalize values it on the through-cycle median owner-earnings margin (to avoid paying on a peak year). Net of stock comp treats option pay as the expense it is. Capex ($688M) runs well above depreciation ($946M), so this is a build-out; Steady-state swaps total capex for maintenance (≈ depreciation), lifting the base to about $1.8B, the cash it would throw off if it stopped expanding. The dials set the multiple a growth belief justifies; the price, and every dollar on this page, is yours.
Manual order: ← SUNB its page in the Manual SUPN →
Industry order: ← SUN the Refining & Marketing chapter UFG →