Caseys General Stores Inc (NASDAQ:CASY) stock rose 1.45% (As on March 10, 11:15:25 AM UTC-4, Source: Google Finance) after the company reported third quarter earnings that exceeded analyst expectations while revenue fell short. Net income rose 49.3% to $130.1 million, while EBITDA climbed 27.5% to $308.9 million compared to the prior year period. Inside same-store sales increased 4.0% YoY, with total inside gross profit up 8.9% to $624.0 million. The inside margin expanded to 42.2% from 40.9% in the prior year, benefiting from cost management and favorable product mix. Fuel performance remained solid with same-store gallons up 0.4% and fuel margin at 41.0 cents per gallon, compared to 36.4 cents in the prior year. Total fuel gross profit increased 15.3% to $348.2 million. The company’s Casey’s Rewards program surpassed 10 million members during the quarter. Operating expenses increased 4.1% to $697.6 million, with same-store operating expenses up 4.6% excluding credit card fees. Casey’s operated 2,924 stores as of January 31, 2026.

Moreover, Inside the store, prepared food and dispensed beverages remained strong, supported by a compelling value proposition and continued innovation, such as our two new specialty pizzas, Twisted Pepperoni and Ultimate Meat. Margin expansion was driven primarily by grocery and general merchandise. Same-store grocery and general merchandise sales were up 4% or 7.4% on a two-year stack basis with an average margin of 35.7%. Energy drinks and nicotine alternatives continued to outperform the category with double-digit growth. On the fuel side, same-store gallons sold were up 0.4% with a fuel margin of $0.41 per gallon. For the quarter, prepared food and dispensed beverage sales rose by $26 million to $423 million, an increase of 6.5%.

CASY in the third quarter of FY26 has reported the adjusted earnings per share of $3.49, beating the analysts’ estimates for the adjusted earnings per share of $2.90. The company had reported the adjusted revenue growth of 5.7 percent to $3.92 billion in the third quarter of FY26, missing the analysts’ estimates for revenue of $4.08 billion.

For fiscal 2026, Casey’s raised its EBITDA growth outlook to 18% to 20% and now expects inside same-store sales to increase 3.5% to 4.5%, with inside margin of approximately 41.5% to 42.5%. The company increased its operating expense growth forecast to approximately 10%. Casey’s continues to focus on expanding its prepared foods offerings and enhancing its loyalty program to drive customer engagement and sales growth.