Sunoco Completes Offen Deal, Flags Higher 2026 EBITDA
Net income reached $499 million in the third quarter as the partnership said it expects to exceed 2026 Adjusted EBITDA guidance of $3.5 billion to $3.7 billion.
Sunoco LP (SUN), an energy infrastructure and fuel distribution master limited partnership, reported net income of $499 million for the quarter ended September 30, 2026, compared with $137 million a year earlier.
Adjusted EBITDA was $1.049 billion, versus $489 million in the third quarter of 2025. Excluding one-time transaction-related expenses of $11 million, Adjusted EBITDA was $1.060 billion. Distributable Cash Flow, as adjusted, was $588 million.
The partnership said it expects to exceed its 2026 Adjusted EBITDA guidance range of $3.5 billion to $3.7 billion. It completed the acquisition of Offen Petroleum on October 27, 2026.
Fuel Distribution remained the largest earnings contributor. Segment Adjusted EBITDA was $523 million, compared with $232 million a year earlier, after the segment sold approximately 4.2 billion gallons of fuel. Fuel margin for all gallons sold was 16.8 cents per gallon. The company attributed the year-over-year volume increase primarily to the Parkland Acquisition. Segment profit excluding unrealized commodity gains and inventory valuation adjustments rose $515 million, which the company said was primarily due to Parkland and other acquisitions, partly offset by a $255 million increase in expenses.
Pipeline Systems Adjusted EBITDA was $166 million. Average throughput was approximately 1.3 million barrels per day. The company said the year-over-year decline in segment Adjusted EBITDA reflected a $4 million decrease in segment profit, primarily due to prior-period contract deficiency payments, and a $13 million decrease in Adjusted EBITDA related to ET-S Permian.
Terminals Adjusted EBITDA was $122 million. Average throughput was approximately 1.0 million barrels per day. The company said the year-over-year increase reflected an $81 million rise in segment profit, primarily from the Parkland and TanQuid acquisitions and improved transmix performance, partly offset by a $34 million increase in expenses.
The Refinery segment contributed $238 million of Adjusted EBITDA, with average throughput of approximately 57 thousand barrels per day. The company said the year-over-year increase was due to the Parkland Acquisition.
On October 22, 2026, SUN and SUNC announced a third-quarter distribution of $1.0148 per unit, or $4.0592 per unit annualized. That was an approximately 1.25% increase from the June quarter and the eighth consecutive quarterly increase.
At September 30, 2026, long-term debt was approximately $13.2 billion and revolving-credit liquidity was approximately $2.3 billion. The leverage ratio of net debt to Adjusted EBITDA was approximately 3.5 times.
Total capital expenditures in the third quarter were $237 million, including $121 million of growth capital and $116 million of maintenance capital.
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