ARKO Petroleum (APC) investor relations material

Executive summary

• Completed IPO in February 2026, issuing 11.1 million shares at $18 per share, with underwriters exercising an over-allotment for 1.5 million additional shares, raising $206.7 million in net proceeds used to reduce debt and strengthen the balance sheet.

• Positioned as one of the largest fuel distributors in North America, distributing over 2 billion gallons in the last 12 months, but with only 1% market share, indicating significant growth potential.

• Ongoing transformation plan led to 256–250 retail sites converted to dealer locations in 2025, with 409 total since mid-2024, improving margins and rental income.

• Actively pursuing M&A, with two targets in due diligence: one in the West South Central region (38 million gallons, 110 locations) and another in the Midwest (350 million gallons annually).

• Board declared a quarterly dividend of $0.26 per share, annualized to $2 per share, representing a 10–11% yield at current share price.

Financial highlights

• Q4 2025 net income was $8.1 million, up from $7.5 million year-over-year; full-year net income was $32.7 million, down from $40.2 million in 2024.

• Q4 adjusted EBITDA grew 4% to $36.9 million from $35.4 million; full-year adjusted EBITDA was $143.5 million, up from $139.2 million.

• Discretionary cash flow for the year was $88.9 million, up from $79.9 million.

• Revenues for 2025 were $5.58 billion, down from $6.37 billion in 2024.

• Net income per share for 2025 was $0.94, down from $1.15 in 2024.

Outlook and guidance

• 2026 guidance: adjusted EBITDA of $156 million and discretionary cash flow of $110 million.

• Forecast includes a 1 cent per gallon margin increase for GPMP segment and an additional 50 million gallons from acquisitions.

• Expectation of continued execution on dealerization, M&A, and new cardlock builds.