Murphy USA reported third-quarter 2026 net income of $176 million, up from $129.9 million a year ago. Diluted earnings per share rose to $9.59 from $6.76, and revenue climbed to $6.9 billion from $5.1 billion. Total retail gallons grew 3.3%, while same-store fuel volumes were up 0.1%.

Fuel was the main driver. Total fuel contribution rose 24.6% to $479.4 million, or 37.0 cents per gallon, up from 30.7 cents a year ago. CEO Mindy West said the company’s fuel supply operations “generated meaningful value from the volatility and supply dynamics in the market.” Retail fuel margins dipped slightly to 27.4 cents per gallon from 28.3 cents but stayed strong despite rising prices.

In-store results were softer. Merchandise contribution fell 2.8% to $234.5 million, and unit margins slipped to 20.3% from 21.5%. Much of the decline came from Murphy ending a nicotine pouch promotion that boosted results in Q3 2025. Same-store nicotine contribution fell from about $23,000 to $21,000 per store per month, while non-nicotine contribution held flat. Murphy also has more than 100 automated White Castle kiosks in its stores, and West called the early results “encouraging.”

Murphy also gave an update on new stores:

  • Stores opened in 2026 so far: 18 (15 Murphy USA/Express and one QuickChek through Q3, plus two since quarter end)
  • 2026 goal: About 45-50 new stores
  • Under construction: 53 stores (51 new-to-industry, 2 raze-and-rebuilds)
  • Total store count: 1,808 (1,662 Murphy USA/Express, 146 QuickChek)

West said Murphy’s pipeline can now support about 50 new stores a year in 2026 and 2027, and possibly more by 2028. The company is also looking at new formats beyond its 2,800-square-foot prototype, including smaller and larger stores. It may also do heavy remodels at some sites instead of full raze-and-rebuilds.

Murphy is also returning more cash to shareholders. It bought back $157.7 million in stock during the quarter and raised its quarterly dividend 11% to $0.72 per share.

Why it matters: Murphy is growing almost entirely by building new stores rather than buying them, and says its pipeline now supports about 50 openings a year through 2027. That steady supply of new-construction sites, a possible new mix of store sizes and strong fuel profits make Murphy a creditworthy tenant to watch. Investors should keep an eye on how the new formats affect site sizes, rents and where Murphy builds next.

If you’d like to discuss how this update may affect your acquisition or disposition strategy, please reach out to the Knipp Wolf Net Lease Group.

Source: CSP; C-Store Dive; Murphy USA Earnings Release