Revenue surged 164.5% year-over-year to $14.3B in 2026Q2, but gross margin compressed to 10.3% from 13.6% in the prior quarter, and operating income fell 36.7% sequentially to $583M, indicating negative operating leverage.
Sunoco LP (SUN) annual income statement — 16-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 |
|---|
| Sales/Revenue | 51.58B | 25.2B | 22.69B | 23.07B | 25.73B | 17.6B | 10.71B | 16.6B | 16.99B | 11.72B | 9.99B | 12.43B | 5.38B | 4.49B | 4.32B | 3.82B | 2.68B |
| Revenue Growth % | 135.84% | 11.05% | -1.63% | -10.34% | 46.22% | 64.3% | -35.47% | -2.34% | 44.96% | 17.39% | -19.66% | 130.95% | 19.8% | 3.96% | 13.11% | 42.35% | - |
| Cost of Goods Sold | 29.92B | 23.1B | 20.96B | 21.89B | 24.54B | 16.42B | 9.84B | 15.56B | 16.05B | 10.78B | 13.8B | 16.75B | 5.23B | 4.43B | 4.23B | 3.78B | 2.65B |
| COGS % of Revenue | - | 91.65% | 92.38% | 94.89% | 95.39% | 93.33% | 91.9% | 93.78% | 94.47% | 91.99% | 138.17% | 134.79% | 97.23% | 98.61% | 97.95% | 98.87% | 98.83% |
| Gross Profit | 3.63B | 2.1B | 1.73B | 1.18B | 1.19B | 1.17B | 867M | 1.03B | 940M | 939M | 980M | 1.71B | 148.97M | 62.28M | 44.47M | 36.93M | 31.33M |
| Gross Margin % | 7.03% | 8.35% | 7.62% | 5.11% | 4.61% | 6.67% | 8.1% | 6.22% | 5.53% | 8.01% | 9.81% | 13.72% | 2.77% | 1.39% | 1.03% | 0.97% | 1.17% |
| Gross Profit Growth % | - | 21.62% | 46.86% | -0.67% | 1.11% | 35.29% | -16.07% | 9.89% | 0.11% | -4.18% | -42.54% | 1044.92% | 139.21% | 40.04% | 20.41% | 17.89% | - |
| Operating Expenses | 2.28B | 1.18B | 939M | 543M | 508M | 424M | 450M | 569M | 595M | 710M | 835M | 1.37B | 71.87M | 21.02M | 20.72M | 25.84M | 16.51M |
| OpEx % of Revenue | - | 4.66% | 4.14% | 2.35% | 1.97% | 2.41% | 4.2% | 3.43% | 3.5% | 6.06% | 8.36% | 11.05% | 1.34% | 0.47% | 0.48% | 0.68% | 0.61% |
| Selling, General & Admin | 617M | 296M | 277M | 194M | 183M | 168M | 173M | 197M | 213M | 221M | 409M | 205M | 37.62M | 17.83M | 15.54M | 14.88M | 12.28M |
| SG&A % of Revenue | - | 1.17% | 1.22% | 0.84% | 0.71% | 0.95% | 1.62% | 1.19% | 1.25% | 1.89% | 4.1% | 1.65% | 0.7% | 0.4% | 0.36% | 0.39% | 0.46% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 4M | 879M | 662M | 349M | 325M | 256M | 277M | 372M | 382M | 489M | 426M | 1.17B | 34.25M | 3.19M | 5.18M | 10.96M | 4.23M |
| Operating Income | 2.42B | 929M | 791M | 635M | 678M | 749M | 417M | 464M | 345M | 229M | 145M | 252M | 77.1M | 41.26M | 23.75M | 17.18M | 14.74M |
| Operating Margin % | 4.69% | 3.69% | 3.49% | 2.75% | 2.64% | 4.26% | 3.89% | 2.8% | 2.03% | 1.95% | 1.45% | 2.03% | 1.43% | 0.92% | 0.55% | 0.45% | 0.55% |
| Operating Income Growth % | - | 17.45% | 24.57% | -6.34% | -9.48% | 79.62% | -10.13% | 34.49% | 50.65% | 57.93% | -42.46% | 226.86% | 86.85% | 73.71% | 38.24% | 16.6% | - |
| EBITDA | 3.48B | 1.62B | 1.16B | 822M | 871M | 926M | 606M | 647M | 527M | 398M | 321M | 402M | 104.05M | 49.95M | 30.78M | 23.27M | 19.51M |
| EBITDA Margin % | 6.76% | 6.42% | 5.11% | 3.56% | 3.39% | 5.26% | 5.66% | 3.9% | 3.1% | 3.4% | 3.21% | 3.23% | 1.93% | 1.11% | 0.71% | 0.61% | 0.73% |
| EBITDA Growth % | 116.59% | 39.52% | 41% | -5.63% | -5.94% | 52.81% | -6.34% | 22.77% | 32.41% | 23.99% | -20.15% | 286.34% | 108.32% | 62.26% | 32.28% | 19.3% | - |
| D&A (Non-Cash Add-back) | 1.07B | 688M | 368M | 187M | 193M | 177M | 189M | 183M | 182M | 169M | 176M | 150M | 26.95M | 8.69M | 7.03M | 6.09M | 4.77M |
| EBIT | 1.75B | 1.13B | 658M | 642M | 677M | 710M | 406M | 464M | 239M | 230M | -544M | 253M | 74.61M | 40.82M | 23.54M | 17.05M | 14.78M |
| Net Interest Income | -571M | -541M | -391M | -217M | -182M | -156M | -175M | -173M | -144M | -209M | -161M | -67M | -14.33M | -3.47M | -809K | -324K | -284K |
| Interest Income | 0 | 0 | 13M | 3M | 1M | 0 | 2M | 2M | 3M | 0 | 3M | 2M | 139K | 0 | 233K | 88K | 48K |
| Interest Expense | 374M | 541M | 404M | 220M | 183M | 156M | 177M | 175M | 147M | 209M | 164M | 65M | 14.47M | 3.47M | 1.04M | 412K | 332K |
| Other Income/Expense | -629M | -340M | 258M | -205M | -177M | -195M | -181M | -168M | -253M | -209M | -161M | -170M | -16.96M | -3.79M | -1.15M | -545K | -284K |
| Pretax Income | 1.79B | 589M | 1.05B | 430M | 501M | 554M | 236M | 296M | 92M | 20M | -16M | 82M | 60.14M | 37.47M | 22.6M | 16.64M | 14.45M |
| Pretax Margin % | 3.47% | 2.34% | 4.62% | 1.86% | 1.95% | 3.15% | 2.2% | 1.78% | 0.54% | 0.17% | -0.16% | 0.66% | 1.12% | 0.83% | 0.52% | 0.44% | 0.54% |
| Income Tax | 293M | 62M | 175M | 36M | 26M | 30M | 24M | -17M | 34M | -306M | -72M | 29M | 2.35M | 440K | 5.03M | 6.04M | 5.24M |
| Effective Tax Rate % | 16.38% | 10.53% | 16.68% | 8.37% | 5.19% | 5.42% | 10.17% | -5.74% | 36.96% | -1530% | 450% | 35.37% | 3.91% | 1.17% | 22.27% | 36.3% | 36.23% |
| Net Income | 1.5B | 527M | 716M | 311M | 397M | 446M | 135M | 235M | -207M | 149M | -406M | 190.25M | 56.74M | 37.03M | 17.57M | 10.6M | 9.22M |
| Net Margin % | 2.9% | 2.09% | 3.16% | 1.35% | 1.54% | 2.53% | 1.26% | 1.42% | -1.22% | 1.27% | -4.07% | 1.53% | 1.05% | 0.82% | 0.41% | 0.28% | 0.34% |
| Net Income Growth % | 272.14% | -26.4% | 130.23% | -21.66% | -10.99% | 230.37% | -42.55% | 213.53% | -238.93% | 136.7% | -313.4% | 235.29% | 53.25% | 110.74% | 65.79% | 15% | - |
| Net Income (Continuing) | 1.5B | 527M | 874M | 394M | 475M | 524M | 212M | 313M | 58M | 326M | 56M | 53M | 57.79M | 37.03M | 17.57M | 10.6M | 9.22M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -265M | -177M | -462M | 38M | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 5.88B | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 20.18M | -5.64M | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.03 | 3.66 | 6.00 | 3.65 | 4.68 | 5.28 | 1.61 | 2.81 | -2.44 | 0.35 | -4.34 | 1.09 | 1.41 | 1.69 | 0.80 | 0.48 | 0.42 |
| EPS Growth % | 50.31% | -39% | 64.38% | -22.01% | -11.36% | 227.95% | -42.7% | 215.16% | -797.14% | 108.06% | -498.17% | -22.7% | -16.57% | 111.25% | 66.67% | 14.29% | - |
| EPS (Basic) | - | 3.68 | 6.04 | 3.70 | 4.74 | 5.35 | 1.63 | 2.84 | -2.46 | 1.50 | -4.34 | 1.09 | 1.41 | 1.69 | 0.80 | 0.48 | 0.42 |
| Diluted Shares Outstanding | 51.6B | 137.2M | 119.34M | 85.09M | 84.8M | 84.44M | 83.72M | 83.55M | 84.82M | 99.73M | 93.6M | 50.29M | 35.04M | 21.9M | 21.88M | 21.88M | 21.88M |
| Basic Shares Outstanding | 51.52B | 136.49M | 118.53M | 84.08M | 83.76M | 83.37M | 83.06M | 82.76M | 84.3M | 99.27M | 93.58M | 50.26M | 35.04M | 21.9M | 21.88M | 21.88M | 21.88M |
| Dividend Payout Ratio | - | 124.67% | 79.05% | 119.29% | 90.43% | 80.04% | 262.22% | 150.21% | - | 289.26% | - | 170.3% | 91.55% | 106.95% | 1176.17% | - | - |
Quick answers to the most common questions about buying SUN stock.
For fiscal year 2025, Sunoco LP (SUN) reported total revenue of $25.20B. This represents a 839.0% increase compared to $2.68B in 2010.
Sunoco LP (SUN) is profitable, generating $527.0M in net income for the fiscal year ending 2025 with a net profit margin of 2.1%.
Sunoco LP (SUN) reported an operating income of $929.0M, resulting in an operating profit margin of 3.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Sunoco LP (SUN) generated $2.10B in gross profit for the year, representing a gross profit margin of 8.3%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Revenue volatility and margin compression
Metrics are mathematically derived from official filings.
Revenue Surge Driven by Acquisitions
Sunoco's revenue jumped 164.5% year-over-year in 2026Q2 to $14.3B, according to the latest quarterly report, reflecting a dramatic acceleration from the prior year's modest growth.
The revenue trajectory shows a sharp inflection starting in 2025Q4, with growth rates climbing from -12.7% in 2025Q2 to 63.2% in 2025Q4 and then 106.4% and 164.5% in 2026Q1 and Q2. This suggests a major inorganic expansion, likely through acquisitions, given the scale of the jump. The durability of this growth will depend on integration success and whether the underlying fuel volumes can be sustained, as organic growth in earlier quarters was negative.
Gross Margin Compression Despite Scale
Gross margin fell to 10.3% in 2026Q2 from 13.6% in 2026Q1, as reported in the income statement, indicating that the revenue surge came with thinner per-unit profitability.
Despite the massive revenue increase, gross profit remained flat at $1.5B in 2026Q2 versus 2026Q1, implying that the incremental revenue was generated at much lower margins. This suggests the acquired businesses or the current fuel marketing environment are pressuring spreads. Compared to peers like CrossAmerica (9.2%) and Global Partners (2.6%), Sunoco's gross margin is relatively healthy, but the sequential decline from 13.6% to 10.3% warrants monitoring for structural deterioration.
Operating Leverage Reverses Sharply
Operating income fell to $583M in 2026Q2 from $921M in 2026Q1, despite revenue rising 33.6% sequentially, as per the latest financials, highlighting negative operating leverage.
The 2026Q2 operating margin contracted to 4.1% from 8.6% in 2026Q1, even as revenue expanded. SG&A increased only modestly from $155M to $159M, so the decline is primarily due to lower gross margins. This indicates that the company's cost structure is not scaling with revenue, and the incremental revenue is not flowing through to operating income. Investors should assess whether this is a temporary fuel margin cycle or a lasting shift in the business mix.
Earnings Volatility Masks Underlying Trends
Net income swung from $644M in 2026Q1 to $283M in 2026Q2, with EPS dropping from $2.85 to $1.49, based on reported figures, reflecting significant quarter-to-quarter volatility.
The earnings quality is characterized by high volatility, with net margins ranging from -0.6% in 2024Q3 to 7.4% in 2024Q2. The 2024Q2 net income of $455M on operating income of $150M suggests a large non-operating gain, possibly from derivative or asset sales, which inflates EPS. Stock-based compensation is minimal (under $13M), so dilution is not a major concern. However, the reliance on non-operating items for profitability in some quarters raises questions about the sustainability of reported EPS.
COGS Dominates Cost Structure
Cost of goods sold consumed 89.7% of revenue in 2026Q2, as per the income statement, leaving a thin gross margin that is highly sensitive to fuel price fluctuations.
Sunoco's cost structure is overwhelmingly dominated by COGS, which is typical for fuel distribution but leaves little room for error. SG&A is relatively stable at around $150M per quarter, indicating disciplined overhead control. The recent gross margin compression suggests that the company may be passing through lower fuel prices or facing competitive pricing pressure. Management's ability to manage fuel procurement and logistics will be critical to protecting margins.
2026Q1 Marks a Turning Point
The most significant inflection occurred in 2026Q1, when revenue more than doubled year-over-year to $10.7B and operating income surged to $921M, as reported in the quarterly data.
2026Q1 stands out as the peak profitability quarter in the dataset, with operating margin of 8.6% and net margin of 6.0%. This likely reflects the full impact of a major acquisition or a favorable fuel margin environment. The subsequent quarter's decline suggests that the peak may have been temporary, and the company is now normalizing. The lasting impact is a larger revenue base, but the profitability profile remains uncertain.
Growth May Not Translate to Profit
Despite revenue growing 164.5% in 2026Q2, operating income fell 36.7% from the prior quarter, as per the income statement, suggesting the market may be overvaluing top-line growth.
Short-sellers would likely focus on the disconnect between revenue growth and profitability. The 2026Q2 gross margin of 10.3% is below the 2026Q1 level, and operating margin is only 4.1%, which is below the peer average of around 5.6% for CrossAmerica. If the revenue surge is from low-margin wholesale fuel sales, the incremental earnings power may be limited. Additionally, the high volatility in net income, including a loss in 2024Q3, indicates that the business is exposed to fuel price swings and non-cash adjustments. Investors should question whether the current valuation justifies the earnings quality.