Casey’s sees higher profits

Casey's General Stores reported 56 percent higher second-quarter fiscal year 2016 earnings, but overall revenue fell 10 percent.

The Ankeny-based convenience store chain posted net income of $79 million, or $2 per share, for the quarter that ended on Oct. 31, up from $49.9 million, or $1.28 per share, for the same period last year. Overall revenue slid to $1.9 billion from $2.2 billion in the second quarter of fiscal year 2016.

'Casey's experienced significant sales growth in all major areas of our business, especially inside our stores,” said Chairman and CEO Robert Myers in a news release. 'Second-quarter inside sales were up 11.6 percent, while total fuel gallons sold were up 7.7 percent.”

Casey's annual goal for fiscal year 2016 is to increase same-store gallons sold 2 percent with an average margin of 16.7 cents per gallon. For the second quarter, same-store gallons sold were up 3.3 percent with an average margin of 24.7 cents per gallon.

'Same-store gallons during the quarter continued to benefit from lower fuel prices,” Myers said.

Casey's plans to increase same-store sales 10.4 percent in fiscal year 2016 with an average margin of 60.8 percent. Same-store sales for the second quarter were up 9.4 percent with an average margin of 63.4 percent.

Myers said Casey's is on track to build about 50 stores and remodel 100 locations by the end of the fiscal year.

'We will continue to remain patient with acquisitions and remain optimistic about our long-term growth opportunities as our second distribution center becomes operational in February 2016,” Myers said.