Murphy USA Inc.

Management did not report full quarter revenue, EPS, or gross margin figures on this Q&A-only call. They did say second-quarter same-store fuel volume was +0.5%, August volume was up 1.5% on the first five days, and opening today fuel margin was in the high 30s. On fuel supply, the company said the controllables piece returned more than $0.07 this quarter versus about $0.025 in the same period last year. For the back half of 2026, management said the all-in fuel margin guide of about $0.35 is intentionally conservative, NTIs should come in closer to 45 new stores at the low end of the range unless tuck-ins occur, and gallons are guided down 1% to down 3% as the company avoids assuming a prolonged price decline.

Mindy West framed the quarter as evidence that Murphy USA’s model is holding up well even in a volatile and supply-constrained environment. She emphasized that competitors are behaving rationally, which is supporting a higher retail margin floor, and said the company is not baking in a prolonged price decline in its forecast. She also highlighted stronger loyalty engagement, better pump-to-store conversion, and improving category momentum in nicotine and core merchandise. Her tone was confident but deliberately conservative about guidance.

Donnie Smith did not have a standalone prepared CFO section in the transcript, but management commentary included several finance-related points. CapEx is trending to the high end of the range because of NTI pull-forwards, proactive life-cycle replacements such as dispensers and HVAC units, and land-bank investment. Management said the company is still leaning into share repurchase as a key capital allocation lever and that the business generates enough cash flow to support both growth and disciplined buybacks over time. On construction, they said inflation is still ticking up, but not at an alarming pace and is being more than offset by higher fuel-margin-driven returns.

Analysts pressed on the updated 2026 outlook, especially the lower-end merchandise guide, and management said that view reflects consumer budget pressure, weather disruption, and a target that was already stretched at the start of the year. Questions on NTIs and capex were answered with the explanation that the company is seeing only the organic pipeline today, while tuck-ins may add upside later; large M&A is not a priority. Analysts also pushed on fuel margin durability and supply normalization, and management said the current supply shock is likely to persist well into next year, while rising competitive rationality is lifting the fuel-margin floor. On loyalty, management said sign-ups stayed above 600,000 per month in Q2 and the share of new or lapsed customers rose to about 46%, helping pump-to-store conversion.