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Sprague Resources LP

investors.spragueenergy.com

No Longer Reporting

The company has not filed an annual or quarterly report since its Q2 FY2022 10-Q, filed Aug 4, 2022. Its latest SEC filing is a 15-12G from Nov 14, 2022.

The sections below describe the company as of the FY2021 annual report.

What Did They Do?

Sells refined fuels to wholesalers and commercial customers, natural gas to business users, and provides storage and handling services for customer-owned materials.

How Did They Make Money?

Customers buy refined products and natural gas when products are delivered or shipped; materials-handling customers pay over lease terms or as services are performed.

revenue
SegmentShareRevenue
Refined products
Sold outright

90%
FY2018: 89%
Natural gas
Sold outright
8.1%
FY2018: 8.8%
Materials handling
Recurring
1.4%
FY2018: 1.5%
Other
Sold outright
0.6%
FY2018: 0.6%

Who Were Their Customers?

Wholesalers and retailers buy fuel for resale; commercial and industrial users buy fuel or natural gas for their own operations. Sprague sells directly to commercial customers and wholesale distributors, while public-sector buyers also use competitive bids.

Did Revenues Turn Into Profits?

No. It lost $68.9M in FY2021.

Operating income, FY2021
−1% of revenue
▼ Now a loss vs FY2020 ($79.6M, 3%)
Net income, FY2021
−2% of revenue
▼ Now a loss vs FY2020 ($33.8M, 1%)
Free cash flow, FY2021
−2% of revenue
▼ Now a loss vs FY2020 ($142.3M, 6%)

How Were They Changing?

Since the FY2021 annual report
Latest quarter: Q2 FY2022, the three months to Jun 30, 2022
Revenue
▲ +94%
vs $657.7M in Q2 FY2021
Net income
▼ −1% (Loss)
vs −$45.6M in Q2 FY2021
Refined products segment share of revenue vs 89.6% in Q2 FY2021
  • Nov 1, 2022 Hartree completed its merger with Sprague, which became private and delisted Other common units were converted into $20 cash each, and Sprague became a wholly owned subsidiary.
  • Sep 2, 2022 Hartree merger amendment extended timing and changed cash consideration The amendment set $19 per unit plus an additional $1 per unit in cash consideration.
  • Jun 2, 2022 Sprague agreed to merge with a Hartree affiliate Unitholders other than Parent and permitted transferees were to receive $19 per common unit in cash.

Grew. Revenue grew 23% in 4 years, from $2.9B in FY2017 to $3.5B in FY2021, about 5% a year.

Revenue over time
Refined products Natural gas Materials handling Other
$5B$2.5B$0

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