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SGU · 10-Q filed May 6, 2026

SGU earnings analysis

What we found in SGU's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.

Our reading of the filing · Free to read, no account needed

Star Group L.P. reported a strong financial performance for Q2 2026, with significant improvements across revenues and net income compared to prior periods. Revenue increased to $1.78 billion, while diluted EPS rose to $0.89, marking an upward trend driven by colder weather and increased customer demand. However, higher operational and service costs, linked to extreme weather conditions, continue to pose challenges to margins.

What stood out

The parts that mattered.

Pulled out of the filing itself, with the figures the company reported.

Surge in Revenue: $1.78B
Total revenue reached $1.78 billion for Q2 2026, up 6.8% from $1.67 billion year-on-year.
Increased Gross Margin: 24.2%
Gross margin improved to 24.2%, rising from 20.6% in Q1 2026, driven by higher home heating oil margins.
Higher EPS: $0.89
Diluted EPS increased to $0.89 from $0.79 in Q1 2026 and significantly from a loss of $0.67 the previous year.
Customer Volume Growth: 144.5M gallons
Retail volume sold grew to 144.5 million gallons, marking a 0.4% increase year-on-year.
Improved Net Income: $108.3M
Net income for the quarter rose to $108.3 million, a $22.4 million increase from the same quarter last year.
Significant Increase in Adjusted EBITDA
Adjusted EBITDA grew to $138.7 million, a $10.5 million increase compared to the prior year.
What to watch

And the other side of it.

The offsets in the same document — the things a summary that only listed the good news would have left out.

Increased Operating Costs
Operating expenses rose to $225 million, driven by high service costs due to extreme winter weather conditions.
Revenues Subject to Volatile Commodity Prices
Commodity price volatility remains a burden, with hedging instruments leading to inconsistent earnings.
Potential Slowdown in Receivable Collections
A forecasted slowdown in collections is anticipated as customers adjust to rising product prices.
The numbers

What they reported.

What the company itself reported, taken out of the document.

Earnings per share
$0.89
Gross margin
24.2%
Guidance

What they said about what is next.

Management notes that while customer demand remains strong, volatility in commodity prices is expected to affect profitability and working capital.

How we read the filing overall

The filing reads better than the one before it.

One reading of one document. It is not advice, and it is not a forecast.
Earlier filings

What came before.

10-Q · February 4, 2026
Star Group reported Q1 sales of $539,256,000 and diluted EPS of $0.89, both higher than the prior-year quarter. Gross profit widened (derived from product costs of $268,538,000 and installations/services costs of…
10-K · December 9, 2025
Star Group describes itself as the largest retail distributor of home heating oil in the U.S. (market share in excess of 5.5%) with a strategy of growing Adjusted EBITDA via selective acquisitions, complementary service…
10-Q · August 6, 2025
Star Group reported seasonal Q3 revenue of $305,618,000 (down from $331,640,000 in Q3 2024) with gross margin improving to 28.1% but an operating loss of $19,177,000 and diluted EPS of $(0.48). Cash and cash equivalents…
10-Q · May 7, 2025
Star Group (SGU) reported a strong seasonal Q2 with revenue of $743,045,000 (up $77,013,000 vs. prior year and up $204,982,000 vs. the prior quarter), gross margin expanded to 35.0% and diluted EPS rose to $2.01.…

This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.

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