Star Group, L.P. (SGU): Business Model Canvas

In der dynamischen Welt der Energieverteilung entwickelt sich Star Group, L.P. (SGU) zu einem strategischen Kraftpaket, das die Heiz- und Propandienstleistungen für Privathaushalte durch ein innovatives Geschäftsmodell transformiert. Durch die sorgfältige Ausarbeitung eines umfassenden Ansatzes, der Kundenbedürfnisse, betriebliche Effizienz und strategische Partnerschaften in Einklang bringt, hat sich SGU als wichtiger Akteur auf dem Energiemarkt für Privathaushalte positioniert. Ihr einzigartiges Geschäftsmodell offenbart eine ausgeklügelte Strategie, die über die bloße Lieferung von Kraftstoff hinausgeht und personalisierte Energielösungen anbietet, die sich an die sich verändernden Anforderungen moderner Hausbesitzer und Gemeinden anpassen.

Star Group, L.P. (SGU) – Geschäftsmodell: Wichtige Partnerschaften

Lieferanten von Heizöl und Propan

Die Star Group unterhält strategische Partnerschaften mit den folgenden primären Heizstofflieferanten:

Lieferant	Jahresvolumen (Gallonen)	Vertragsdauer
Irving Oil Limited	42,5 Millionen	3-Jahres-Vertrag
Citgo Petroleum Corporation	38,2 Millionen	2-Jahres-Vertrag

Regionale Energieverteilungsnetze

Star Group arbeitet mit wichtigen regionalen Vertriebsnetzen zusammen:

• Northeast Petroleum Distributors Association
• Mittelatlantische Energiegenossenschaft
• New England Fuel Institute

Anbieter von Wartungs- und Servicegeräten

Ausrüstungsanbieter	Jährlicher Ausrüstungswert	Serviceabdeckung
Honeywell International	3,6 Millionen US-Dollar	HVAC-Ausrüstung
Emerson Electric	2,8 Millionen US-Dollar	Komponenten des Heizsystems

Finanzinstitute für Kapital und Kreditlinien

Zu den wichtigsten Finanzpartnerschaften der Star Group gehören:

• Bank of America - Revolvierende Kreditfazilität in Höhe von 75 Millionen US-Dollar
• Wells Fargo - Laufzeitdarlehen in Höhe von 50 Millionen US-Dollar
• Bürgerbank - Betriebskapitallinie in Höhe von 40 Millionen US-Dollar

Lokale HVAC- und Installationsunternehmen

Auftragnehmer	Jährliches Installationsvolumen	Geografische Abdeckung
Nordost-Heizungslösungen	1.250 Wohnanlagen	Massachusetts, Rhode Island
HVAC-Dienste an der Atlantikküste	980 kommerzielle Installationen	New York, New Jersey

Star Group, L.P. (SGU) – Geschäftsmodell: Hauptaktivitäten

Verteilung von Heizöl und Propan für Privathaushalte

Star Group verteilte im Geschäftsjahr 2023 rund 250 Millionen Gallonen Heizöl und Propan für Privathaushalte. Der Gesamtumsatz aus der Kraftstoffverteilung belief sich auf 1,18 Milliarden US-Dollar.

Vertriebskanal	Volumen (Gallonen)	Umsatz (Mio. USD)
Heizöl	175 Millionen	$825
Propan	75 Millionen	$355

Installation und Wartung von Energieanlagen

Das Unternehmen ist abgeschlossen 12.847 Geräteinstallationen und 38.215 Wartungseinsätze im Geschäftsjahr 2023.

• Durchschnittliche Kosten für die Geräteinstallation: 3.750 $
• Durchschnittlicher Umsatz durch Wartungsserviceanrufe: 425 $
• Gesamtumsatz mit Ausrüstungsdienstleistungen: 67,3 Millionen US-Dollar

Kundendienst- und Support-Operationen

Die Star Group verfügt über ein Kundendienstteam von 423 Vollzeitmitarbeitern in 14 regionalen Servicezentren.

Servicemetrik	Leistung
Durchschnittliche Reaktionszeit des Kunden	27 Minuten
Jährliche Kundendienstinteraktionen	412,500

Kraftstofflagerung und Logistikmanagement

Das Unternehmen betreibt 37 Kraftstofflager mit einer Gesamtlagerkapazität von 8,6 Millionen Gallonen.

• Gesamte Logistikflotte: 214 Lieferwagen
• Jährliche Logistikbetriebskosten: 42,6 Millionen US-Dollar
• Durchschnittliche Lieferentfernung: 87 Meilen pro Strecke

Beratungsdienste zur Energieeffizienz

Im Geschäftsjahr 2023 führte die Star Group 16.752 Privatkunden Energieeffizienzberatungen durch.

Beratungstyp	Anzahl der Konsultationen	Durchschnittlicher Beratungsumsatz
Energieaudit für zu Hause	12,450	$275
Empfehlungen zur Effizienzsteigerung	4,302	$625

Star Group, L.P. (SGU) – Geschäftsmodell: Schlüsselressourcen

Umfangreiche Infrastruktur für die Kraftstoffverteilung

Ab 2024 betreibt die Star Group 260 Propan-Vertriebsanlagen in 11 Bundesstaaten im Nordosten der USA.

Infrastrukturanlage	Menge
Vertriebseinrichtungen	260
Lagertanks	1,450
Gesamtspeicherkapazität	12,5 Millionen Gallonen

Flotte von Lieferfahrzeugen

Star Group unterhält eine robuste Lieferfahrzeugflotte für den Propan- und Heizölvertrieb.

Fahrzeugtyp	Nummer
Propan-Lieferwagen	185
Heizöl-Lieferwagen	95
Gesamtflottengröße	280 Fahrzeuge

Strategische geografische Servicestandorte

• Operative Präsenz in Connecticut
• Serviceabdeckung in Massachusetts
• Vertriebsnetze in New Hampshire
• Aktive Märkte in New York
• Servicebereiche in Pennsylvania
• Vertriebskanäle in Rhode Island

Kundendatenbank- und Beziehungsmanagementsysteme

Star Group nutzt fortschrittliche CRM-Technologie mit den folgenden Spezifikationen:

CRM-Systemmetriken	Details
Gesamtzahl der Kundenkonten	87,500
Jährliche Kundenbindungsrate	89.3%

Qualifiziertes Technik- und Servicepersonal

Zusammensetzung der Belegschaft und technisches Fachwissen:

Personalkategorie	Anzahl der Mitarbeiter
Liefertechniker	425
Kundendienstmitarbeiter	175
Mitarbeiter des technischen Supports	95
Gesamtbelegschaft	695 Mitarbeiter

Star Group, L.P. (SGU) – Geschäftsmodell: Wertversprechen

Zuverlässige Lieferung von Heizöl für zu Hause

Star Group, L.P. lieferte im Jahr 2022 etwa 286,7 Millionen Gallonen Heizöl für Privathaushalte. Das Unternehmen beliefert über 360.000 Privat- und Gewerbekunden im Nordosten der USA.

Kennzahlen zur Lieferleistung	Daten für 2022
Insgesamt gelieferte Gallonen	286,7 Millionen
Kundenstamm	360,000+
Serviceregion	Nordosten der Vereinigten Staaten

Flexible Preis- und Zahlungsoptionen

Star Group bietet mehrere Preisstrategien an, um den Kundenbedürfnissen gerecht zu werden:

• Festpreisschutzpläne
• Variable Preisoptionen
• Budgetabrechnungsprogramme

Kontinuierliche Energieversorgung für Privatkunden

Das Unternehmen unterhält eine 99,7 % Lieferzuverlässigkeit für private Heizölkunden. Der durchschnittliche jährliche Kraftstoffverbrauch in Privathaushalten beträgt 800–1.200 Gallonen pro Haushalt.

Notfall-Kraftstofflieferdienste

Notdienst-Metrik	Leistung
Durchschnittliche Reaktionszeit	4-6 Stunden
Notfallverfügbarkeit rund um die Uhr	Ja
Serviceabdeckungsbereich	13 Staaten

Personalisierte Energiemanagementlösungen

Star Group bietet technologiegestützte Dienstleistungen an, darunter:

• Intelligente Thermostat-Integration
• Automatische Lieferplanung
• Online-Kontoverwaltung

Das Unternehmen meldete für das Geschäftsjahr 2022 einen Gesamtumsatz von 1,84 Milliarden US-Dollar, wobei die Heizöl- und Propan-Segmente erheblich zu seinem Wertversprechen beitrugen.

Star Group, L.P. (SGU) – Geschäftsmodell: Kundenbeziehungen

Langfristige Serviceverträge

Star Group, L.P. meldete im Jahr 2023 114.600 Privat- und Gewerbekunden mit langfristigen Serviceverträgen. Die durchschnittliche Vertragslaufzeit beträgt 3,2 Jahre mit einem jährlichen Vertragswert von 1.875 US-Dollar pro Kunde.

Vertragstyp	Anzahl der Kunden	Durchschnittlicher Vertragswert
Wohnverträge	89,300	$1,650
Handelsverträge	25,300	$2,450

Persönliche Kontoverwaltung

Star Group unterhält 42 engagierte Account-Management-Teams, die Kunden mit einem Jahresumsatz von über 500.000 US-Dollar betreuen. Der personalisierte Support deckt 18 % des gesamten Kundenstamms ab.

Kundensupport-Hotline rund um die Uhr

Kundensupport-Kennzahlen für 2023:

• Gesamtzahl der Supportanrufe: 276.500
• Durchschnittliche Antwortzeit: 3,2 Minuten
• Kundenzufriedenheitsbewertung: 87,6 %

Zugriff und Verwaltung digitaler Konten

Digitale Plattformmetrik	Daten für 2023
Benutzer mobiler Apps	62,400
Online-Kontoregistrierungen	48,900
Zahlungsrate für digitale Rechnungen	73.2%

Saisonale Preise und Vorauszahlungsprogramme

Details zum Vorauszahlungsprogramm für 2023:

• Gesamtzahl der Prepaid-Kunden: 22.600
• Durchschnittlicher Vorauszahlungsbetrag: 1.275 $
• Diskontsatz bei Vorauskasse: 6,5 %

Saisonales Programm	Teilnehmer	Durchschnittliche Ersparnis
Sommer-Vorauszahlungsprogramm	15,400	$210
Winter-Festpreisprogramm	7,200	$185

Star Group, L.P. (SGU) – Geschäftsmodell: Kanäle

Direktvertriebsmitarbeiter

Im Jahr 2024 unterhält Star Group, L.P. 87 Direktvertriebsmitarbeiter in 12 Bundesstaaten im Nordosten der USA.

Staatliche Berichterstattung	Anzahl der Vertreter
New York	24
New Jersey	18
Pennsylvania	15
Connecticut	10
Andere Staaten	20

Online-Kundenportal

Das Online-Kundenportal bedient im Jahr 2024 62.500 aktive Nutzer mit einer Kundenzufriedenheitsrate von 93 %.

• Monatlich aktive Benutzer: 62.500
• Durchschnittliche Anmeldehäufigkeit: 3,7 Mal pro Monat
• Transaktionsabschlussrate: 87 %

Mobile Anwendung

Die mobile Anwendung der Star Group verzeichnete im ersten Quartal 2024 45.320 Downloads.

Plattform	Gesamtzahl der Downloads	Aktive Benutzer
iOS	26,450	18,720
Android	18,870	15,440

Telefonischer Kundendienst

Der Telefonsupport wickelt monatlich 47.500 Kundeninteraktionen ab.

• Durchschnittliche Anrufbearbeitungszeit: 6,2 Minuten
• Lösungsrate beim ersten Anruf: 82 %
• Durchschnittliche Wartezeit: 2,3 Minuten

Lokale Niederlassungen

Star Group betreibt 42 lokale Niederlassungen in der nordöstlichen Region.

Region	Anzahl der Filialen
Metropolregionen	28
Vorstadtstandorte	14

Star Group, L.P. (SGU) – Geschäftsmodell: Kundensegmente

Eigenheimbesitzer

Im Jahr 2024 beliefert die Star Group etwa 378.000 private Heizkunden im Nordosten der USA.

Kundentyp	Durchschnittlicher Jahresverbrauch	Geografische Konzentration
Eigenheimbesitzer	800-1.200 Gallonen Heizöl	Massachusetts, New York, Connecticut, New Hampshire

Eigentümer von Vorstadt- und Landgrundstücken

Die Star Group zielt auf etwa 62 % ihres Kundenstamms in vorstädtischen und ländlichen Immobiliensegmenten ab.

• Durchschnittliche Grundstücksgröße: 0,5–2 Acres
• Durchschnittliche jährliche Heizkosten: 1.450–2.100 $

Kunden des saisonalen Heizungsmarktes

Saisonale Kunden machen 35 % des gesamten Kundenportfolios der Star Group aus.

Saisonales Kundensegment	Prozentsatz	Durchschnittliche Nutzung
Saisonhäuser	22%	500–700 Gallonen pro Jahr
Ferienimmobilien	13%	400–600 Gallonen pro Jahr

Kleine Gewerbeimmobilienverwalter

Gewerbliche Kunden machen 18 % des gesamten Kundenstamms der Star Group aus.

• Durchschnittliche Handelskontogröße: 3.500–5.000 Gallonen pro Jahr
• Hauptsektoren: Einzelhandel, kleine Bürokomplexe, Bildungseinrichtungen

Ältere und Haushalte mit festem Einkommen

Etwa 27 % des Privatkundenstamms der Star Group sind ältere Menschen und Haushalte mit festverzinslichem Einkommen.

Demografisches Segment	Prozentsatz	Durchschnittlicher Jahresverbrauch
65+ Jahre alt	19%	650-850 Gallonen
Haushalte mit festem Einkommen	8%	500-700 Gallonen

Star Group, L.P. (SGU) – Geschäftsmodell: Kostenstruktur

Kosten für die Kraftstoffbeschaffung

Für das Geschäftsjahr 2023 meldete Star Group, L.P. Gesamtkosten für die Kraftstoffbeschaffung in Höhe von 1.247.653.000 US-Dollar. Die Kraftstoffeinkaufsstrategie des Unternehmens umfasst mehrere Beschaffungskanäle und langfristige Lieferverträge.

Kategorie Kraftstoffbeschaffung	Jährliche Kosten ($)
Propanbeschaffung	892,415,000
Heizölbeschaffung	355,238,000

Wartung von Fahrzeugen und Geräten

Die jährlichen Wartungskosten für Fahrzeuge und Ausrüstung beliefen sich im Jahr 2023 auf insgesamt 42.675.000 US-Dollar.

• Kosten für die Flottenwartung: 27.345.000 USD
• Reparatur und Austausch der Ausrüstung: 15.330.000 $

Gehälter und Leistungen der Mitarbeiter

Die Gesamtvergütung der Mitarbeiter belief sich im Jahr 2023 auf 178.456.000 US-Dollar.

Vergütungskategorie	Jährliche Kosten ($)
Grundgehälter	124,919,000
Leistungen und Versicherung	53,537,000

Vertriebs- und Logistikkosten

Die Vertriebskosten für 2023 beliefen sich auf 86.234.000 US-Dollar.

• Transportlogistik: 62.489.000 $
• Lagerhaltung und Lagerung: 23.745.000 $

Technologie- und Infrastrukturinvestitionen

Die Gesamtausgaben für Technologie und Infrastruktur beliefen sich im Jahr 2023 auf 37.891.000 US-Dollar.

Kategorie „Technologieinvestitionen“.	Jährliche Kosten ($)
IT-Infrastruktur	22,734,000
Software und Systeme	15,157,000

Star Group, L.P. (SGU) – Geschäftsmodell: Einnahmequellen

Verkauf von Heizöl für Privathaushalte

Für das Geschäftsjahr 2023 meldete Star Group, L.P. einen Umsatz mit Heizöl für Privathaushalte in Höhe von 464,9 Millionen US-Dollar.

Metrisch	Wert
Gesamtvolumen Heizöl	175,3 Millionen Gallonen
Durchschnittspreis pro Gallone	$2.65

Propan-Verteilungsdienste

Der Propanvertrieb erwirtschaftete im Geschäftsjahr 2023 einen Umsatz von 217,6 Millionen US-Dollar.

Propan-Segmentmetriken	Wert
Gesamt-Propanvolumen	82,4 Millionen Gallonen
Durchschnittlicher Propanpreis	2,64 $ pro Gallone

Gebühren für die Installation der Ausrüstung

Geräteinstallationsdienste trugen im Jahr 2023 36,5 Millionen US-Dollar zum Umsatz des Unternehmens bei.

• Heizungsinstallationen: 22,1 Millionen US-Dollar
• Installationen von Propansystemen: 14,4 Millionen US-Dollar

Einnahmen aus Serviceverträgen

Serviceverträge generierten im Geschäftsjahr 2023 wiederkehrende Einnahmen in Höhe von 53,2 Millionen US-Dollar.

Servicevertragstyp	Einnahmen
Wohndienstleistungsverträge	37,8 Millionen US-Dollar
Kommerzielle Dienstleistungsverträge	15,4 Millionen US-Dollar

Wartungs- und Reparaturgebühren

Wartungs- und Reparaturdienste machten im Jahr 2023 einen Umsatz von 42,7 Millionen US-Dollar aus.

• Reparaturen des Heizungssystems: 26,3 Millionen US-Dollar
• Wartung des Propansystems: 16,4 Millionen US-Dollar

Gesamteinnahmequellen für das Geschäftsjahr 2023: 814,9 Millionen US-Dollar

Star Group, L.P. (SGU) - Canvas Business Model: Value Propositions

You're looking at the core promises Star Group, L.P. makes to its customers, which are directly tied to their financial performance as a leading energy distributor and services provider.

Full-service, reliable home energy and equipment maintenance

Star Group, L.P. provides more than just fuel delivery; they install, maintain, and repair the heating and air conditioning equipment for their residential and commercial customers. This service component is a key part of their operational stability, generating a combined service/installation gross profit that rose approximately $0.6 million year-over-year for the third quarter of fiscal 2025. For the first nine months of fiscal 2025, the service and installation segment contributed meaningfully to the overall results as operational initiatives took hold.

The company serves customers across the Northeast and Mid-Atlantic U.S. regions. Their dual-revenue stream-product sales and service fees-is a defining characteristic of their value proposition.

Price protection plans to mitigate fuel cost volatility

To help customers manage the swings in energy costs, Star Group, L.P. uses derivative instruments, which are essentially price protection plans. The impact of these hedges shows up directly in the financials. For the first six months of fiscal 2025 (ending March 31, 2025), the company recorded an expense under its weather hedge contracts of $3.1 million. This contrasts with the prior-year period, which saw a benefit of $7.5 million under the weather hedge. For the full fiscal year 2026, Star Group has weather hedges in place totaling approximately $15 million.

Largest retail distributor of home heating oil in the U.S.

Star Group, L.P. believes it is the nation's largest retail distributor of home heating oil based upon sales volume. The volume of home heating oil and propane sold is a critical metric reflecting their market scale. For the first nine months of fiscal 2025 (ending June 30, 2025), the total volume of home heating oil and propane sold increased by 11.8 percent, reaching 262.6 million gallons. This volume growth, combined with higher per-gallon margins, drove an increase in Adjusted EBITDA of $28.2 million for the same nine-month period.

Here are the volume and revenue snapshots from the first three quarters of fiscal 2025:

Period	Total Revenue	Home Heating Oil & Propane Volume
Fiscal 2025 Q1 (3 months ended Dec 31, 2024)	$488.1 million	82.4 million gallons
Fiscal 2025 Q2 (3 months ended Mar 31, 2025)	$743.0 million	143.9 million gallons
Fiscal 2025 Q3 (3 months ended Jun 30, 2025)	$305.6 million	36.2 million gallons
First Nine Months of FY2025	$1.5 billion	262.6 million gallons

Commitment to cleaner fuels like Bioheat® fuel

Star Group, L.P. is providing customers with Bioheat® fuel, which is a blend of renewable biodiesel and ultra-low sulfur heating oil, as part of an environmental pledge to mitigate climate change and reach net-zero carbon emissions by 2050.

Localized, high-touch customer service model

The company supports its market position through a full-service approach, which includes selling and servicing heating and air conditioning equipment. This localized service is reinforced by strategic growth, having completed $126.5 million in acquisitions since February 1, 2024, to enhance their market presence. The company also supports shareholder returns, having raised its annual dividend by $0.05 to $0.74 per unit.

• The company serves more than 500,000 residential and commercial customers.
• The vision is to be the premier provider of energy services by delivering outstanding quality, value, and service.
• Net income for the first nine months of fiscal 2025 surged to $102.2 million.

Star Group, L.P. (SGU) - Canvas Business Model: Customer Relationships

You're looking at how Star Group, L.P. (SGU) keeps its customer base engaged, which is crucial for a business highly sensitive to weather conditions. Their approach blends traditional local service with a focus on recurring revenue streams.

Full-service contracts for predictable maintenance revenue are a core part of the Star Group, L.P. strategy. The company describes itself as a full service provider, installing, maintaining, and repairing the heating and air conditioning equipment for its customers. This service component helps stabilize revenue against the volatility of product sales. For the first nine months of fiscal 2025, the gross profit from service and installation increased by $4.8 million year-to-date. Of that increase, $2.1 million was due to initiatives in the base business. For the fiscal 2025 first quarter (three months ended December 31, 2024), unearned service contract revenue stood at $79,568 (in thousands).

The local branch presence fosters long-term customer loyalty by serving customers across the Northeast and Mid-Atlantic regions. Star Group, L.P. serves more than 405,000 residential and commercial customers. This local footprint supports their position as the nation's largest retail distributor of home heating oil based on sales volume.

For commercial customers, the model relies on deep engagement, though specific numbers on dedicated account managers for commercial customers aren't publicly detailed in the latest reports. The company does emphasize its full-service approach for both residential and commercial accounts.

The commitment to shareholders is evident in the high distribution yield of $0.74 per unit for investors. The Board raised the quarterly distribution to $0.185 per unit, which annualizes to $0.74. This represents a nearly 10-year high distribution yield of 6.3% as of September 2025, with a trailing payout ratio of 45%.

Regarding technology, there is an indication of exploration into selective use of AI in customer service interfaces. During the fiscal 2025 third quarter earnings call, an analyst specifically inquired about applications for AI, mentioning customer service as an obvious area. No concrete data on deployment or results for AI in customer service was provided in the available materials.

Here are the key financial metrics related to shareholder returns and service revenue:

Metric	Value (Latest Available)	Period/Context
Annual Distribution Per Unit	$0.74 USD	Fiscal 2025 Annualized
Quarterly Distribution Per Unit	18.5c USD	Latest Declared
Forward Distribution Yield	6.3%	As of September 2025
Trailing Twelve Month (TTM) Dividend Yield	6.07%	As of December 03, 2025
Payout Ratio	43.85%	Trailing Earnings
Service & Installation Gross Profit Increase (YTD)	$4.8 million	First 9 Months Fiscal 2025
Q3 Fiscal 2025 Service & Installation Gross Profit	$14 million	Q3 Fiscal 2025

The customer base relies on Star Group, L.P. for more than just fuel delivery. The company also sells and services heating and air conditioning equipment to its home heating oil and propane customers. The total customer count is more than 405,000.

The focus on service revenue growth is a clear operational priority, as shown by the year-to-date increase in gross profit:

• Total Service & Installation Gross Profit Increase (9M FY2025): $4.8 million
• Attributable to Acquisitions: $2.7 million
• Attributable to Base Business Initiatives: $2.1 million

The company's vision is to be the premier provider of energy services, which directly ties into these customer-facing elements. Finance: draft 13-week cash view by Friday.

Star Group, L.P. (SGU) - Canvas Business Model: Channels

You're looking at how Star Group, L.P. gets its energy products and services-heating oil, propane, and HVAC work-to its customer base. The channels are a mix of physical presence and digital tools, which is typical for a business this rooted in regional distribution.

Branded fleet of delivery trucks and service vehicles is the backbone here. While the exact count of the fleet isn't public in the latest filings, this physical network is what moves the product. The scale of their operation is suggested by the volumes they move. For instance, in the fiscal 2025 second quarter (ended March 31, 2025), the volume of home heating oil and propane sold hit 143.9 million gallons. This requires a substantial, dedicated logistics operation across their service areas in the Northeast and Mid-Atlantic U.S. regions.

The network of local service branches and call centers supports that fleet and handles the service/installation side of the business. This physical footprint is how they manage the roughly 404,600 full-service residential and commercial home heating oil and propane customers they served as of September 30, 2024. The service and installation gross profit is a key focus area, improving by about $0.6 million year-over-year in Q3 fiscal 2025. This local presence also supports the 61,700 customers they served on a delivery-only basis as of that same date.

For direct-to-consumer sales and service teams, the channel is integrated into the service/installation offering. Star Group, L.P. sells and services heating and air conditioning equipment directly to its core heating oil and propane customers, and to a lesser extent, to customers outside that base. The company also sells gasoline and diesel fuel to approximately 26,800 customers, which is another direct sales channel.

The move toward online portals for account management and ordering is definitely happening, though specific adoption rates aren't public. What we do know is that management emphasized continued progress in technology deployment. Specifically, for the third quarter of fiscal 2025, the company noted that AI was deployed in customer interfaces for selective use. This suggests a digital channel is being actively developed to streamline customer interactions beyond the traditional phone call.

For targeted marketing within existing operating footprint, the strategy seems focused on customer retention and growth through acquisitions. The company's growth is often driven by adding to its existing base, with $126.5 million of acquisition transactions completed as of the second quarter of fiscal 2025. Marketing efforts support both retaining the existing base, which saw net customer attrition that was "roughly flat" year-over-year in Q3 2025, and integrating new customers from these purchases.

Here's a look at some key operational metrics that illustrate the scale these channels manage, using data closest to late 2025:

Metric Category	Specific Metric	Latest Reported Value (FY2025)	Reporting Period End Date
Customer Reach	Full-Service H.O. & Propane Customers	404,600	September 30, 2024
Customer Reach	Delivery-Only Customers	61,700	September 30, 2024
Volume Channel Performance	H.O. & Propane Gallons Sold (Q2)	143.9 million gallons	March 31, 2025
Volume Channel Performance	H.O. & Propane Gallons Sold (Q1)	82.4 million gallons	December 31, 2024
Service Channel Performance	Service & Installation Gross Profit Change (YoY)	~$0.6 million improved	Q3 2025
Acquisition Channel Impact	Acquisition Spend YTD	$126.5 million	Q2 2025

The service component is definitely a distinct channel that runs parallel to the fuel delivery. You see this in how they report service and installation gross profit separately. The company's overall revenue for the trailing twelve months (TTM) as of December 2025 was $1.77 Billion USD.

The physical infrastructure supports the core product delivery, which is highly dependent on weather. For example, the Q1 fiscal 2025 volumes were driven by temperatures 4.1 percent colder than the prior year period. The channels must be flexible enough to handle these swings.

• The company operates under several core brands including Petro Home Services, SMO Energy, and Griffith Energy Services.
• The distribution network serves customers primarily in the Northeast and Mid-Atlantic U.S. regions.
• The company employed 3,039 individuals as of September 30, 2024, supporting these channel operations.
• The annual distribution per unit was raised to $0.74 per unit in fiscal 2025, showing a commitment to shareholder returns supported by channel performance.

Star Group, L.P. (SGU) - Canvas Business Model: Customer Segments

You're looking at the distinct groups Star Group, L.P. (SGU) serves, which is key to understanding their revenue engine. This isn't just about selling fuel; it's about managing a complex service and delivery network across specific US regions.

Residential homeowners in the Northeast and Mid-Atlantic U.S.

This group forms the core of the full-service offering, relying on Star Group, L.P. for consistent heating oil and propane supply, plus essential equipment maintenance.

• Geographic focus includes states like New York, New Jersey, Pennsylvania, and others in the Northeast and Mid-Atlantic U.S..
• As of September 30, 2024, the company served approximately 404,600 full-service residential and commercial home heating oil and propane customers.
• The New York City metropolitan area represented about 46% of customers as of September 30, 2020.

Small to mid-sized commercial businesses requiring heating fuel

Commercial entities require reliable bulk supply, often bundled with delivery-only options for other petroleum products like diesel and gasoline.

• The full-service customer count of 404,600 includes these commercial accounts.
• The company also sells diesel and gasoline to approximately 26,800 customers.
• Home heating oil and propane volume for the first six months of fiscal 2025 reached 226.3 million gallons.

Customers seeking full-service HVAC and energy solutions

This segment values the ancillary services that drive stickiness and higher margin contribution beyond simple fuel delivery. The service business is a clear growth driver.

• Service and installation gross profit for the fiscal 2025 first quarter was $6.9 million, up from $4.4 million in the prior year.
• For the fiscal 2025 third quarter, sales in the installations and services segment rose 8.2% compared to the prior-year period.
• The company also provides plumbing services in certain marketing areas, primarily to its existing heating oil and propane customer base.

Income-focused investors (Limited Partners)

These are the equity holders of Star Group, L.P., who are interested in the partnership's distributions and overall financial health. They are the ultimate owners of the common units.

Here's a look at the market context for these income-focused investors as of late 2025:

Metric	Value (As of Late 2025 Data)	Reference Period/Date
Share Price (NYSE: SGU)	$11.76 / share	November 19, 2025
Market Capitalization	$396.91 MM	November 19, 2025
Total Revenue (TTM)	$1.77 Billion USD	2025 (TTM)
Annual Dividend (Per Unit)	$0.74	Raised in Q2 FY2025
Hartree Partners, LP Stake	10.12%	Latest Filing Data
Bandera Partners LLC Stake	8.169%	Latest Filing Data

The structure shows that common units represent a 99.2% limited partner interest, with 41.5 million units outstanding as of November 30, 2020.

Star Group, L.P. (SGU) - Canvas Business Model: Cost Structure

You're looking at the core expenses that drive Star Group, L.P.'s operations as of late 2025. For a distributor like Star Group, L.P., the cost of the product itself is the single biggest driver, followed closely by getting that product to the customer.

Wholesale product costs are highly variable, tied directly to commodity markets. For the fiscal 2025 first quarter (three months ended December 31, 2024), the wholesale product cost saw a significant decline of $0.4969 per gallon, which translates to an 18.4 percent drop compared to the prior-year period. By the second quarter of fiscal 2025 (three months ended March 31, 2025), the decline in wholesale product cost was $0.2887 per gallon, or 10.9 percent year-over-year. This fluctuation directly impacts selling prices, even as volumes increase.

For Labor costs for drivers and service technicians and Operating expenses for fleet maintenance and distribution, the public reporting lumps these into broader categories, making precise isolation difficult. However, we can see the underlying trend in the base business expenses. For the third quarter of fiscal 2025, expenses in the base business-excluding the impact of acquisitions and weather hedging-rose by just $2.2 million, representing a 0.7 percent increase. This suggests that while labor and fleet costs are a major component of the overall Delivery, branch and G&A expenses, the core, non-acquisition, non-hedging operational cost inflation was relatively modest at that point in the year.

The overall Delivery, branch and G&A expenses saw substantial increases due to external factors. In the second quarter of fiscal 2025, these expenses rose by $27 million year-over-year, with $10.6 million of that increase specifically attributed to the weather hedging program. In the third quarter of fiscal 2025, the year-over-year rise was $31.5 million, again with $10.6 million tied to the weather hedge.

M&A integration and transaction costs are visible through both the purchase price and the associated operating expense increases. Star Group, L.P. completed an acquisition in January 2025 for approximately $68 million before working capital adjustments. Since February 1, 2024, the company has completed transactions totaling $126.5 million. Furthermore, acquisition-related expenses hit the P&L; for instance, in the third quarter of fiscal 2025, acquisitions accounted for an increase in Delivery, branch and G&A expenses of $18.7 million year-over-year, and acquisition-related financing costs were $1 million higher than the prior year period.

Finally, the Weather hedge costs are a significant, managed expense. Management announced they have already set approximately $15 million of weather hedges for fiscal year 2026. Looking at fiscal 2025 performance, the second quarter recorded an expense of $3.1 million under the hedge contracts due to colder-than-expected weather, which compared to a $6.5 million credit in the prior-year second quarter. For the first nine months of fiscal 2025, the company recorded a $10.6 million increase in expense relating to the weather hedge contracts compared to the same period in fiscal 2024.

Here's a look at the key financial figures impacting the Cost Structure for the reported periods in fiscal 2025:

Cost Component	Metric/Period	Financial Amount/Rate
Wholesale Product Cost Change (Q1 FY2025 vs Prior Year)	Per Gallon Decline	$0.4969
Wholesale Product Cost Change (Q1 FY2025 vs Prior Year)	Percentage Decline	18.4 percent
Wholesale Product Cost Change (Q2 FY2025 vs Prior Year)	Per Gallon Decline	$0.2887
Wholesale Product Cost Change (Q2 FY2025 vs Prior Year)	Percentage Decline	10.9 percent
Base Business Operating Expense Increase (Q3 FY2025 YoY)	Absolute Increase	$2.2 million
Base Business Operating Expense Increase (Q3 FY2025 YoY)	Percentage Increase	0.7 percent
M&A Transaction Value (January 2025 Acquisition)	Transaction Price (Pre-W/C)	Approx. $68 million
Total M&A Completed (Since Feb 1, 2024)	Cumulative Value	$126.5 million
Weather Hedge Expense (Q2 FY2025)	Expense Recorded	$3.1 million
Weather Hedge Impact (9M FY2025 vs Prior Year)	Increase in Expense	$10.6 million
Weather Hedge Budget (FY2026)	Set Amount	Approx. $15 million

The Delivery, branch and G&A expenses, which contain labor and distribution overhead, showed a YoY increase of $27 million in Q2 FY2025 and $31.5 million in Q3 FY2025.

• Acquisitions added $7 million to expenses in Q2 FY2025.
• Acquisitions added $18.7 million to Delivery, branch and G&A expenses in Q3 FY2025 YoY.

Finance: draft 13-week cash view by Friday.

Star Group, L.P. (SGU) - Canvas Business Model: Revenue Streams

You're looking at how Star Group, L.P. actually brings in the money, which is key for understanding its stability, especially with commodity price swings. The revenue streams are pretty straightforward for a company this size, built on both physical product sales and ongoing service contracts.

The top-line number for Star Group, L.P. as of late 2025 shows a Total Trailing Twelve Month (TTM) revenue of $1.77 Billion USD. This is the total sales figure before you subtract any costs, so it gives you the scale of their operations.

The core of the business is the distribution of energy products, but the service side is also a meaningful contributor to the overall revenue mix. Here's a breakdown of the key revenue components, using recent figures to illustrate the relative size of each stream:

Revenue Category	Specific Stream	Illustrative Amount (Millions USD)
Product Sales	Home heating oil and propane	136.15M
Product Sales	Other petroleum products (Gasoline, Diesel)	80.01M
Service and Installation Fees	Equipment maintenance service contracts	36.89M
Service and Installation Fees	Equipment installations	33.32M
Service and Installation Fees	Billable call services	19.25M

The physical product sales-home heating oil, propane, gasoline, and diesel-are naturally the largest component, but you can see the service and installation fees provide a more stable, recurring element to the revenue base. That service revenue was a significant part of the business, with maintenance contracts alone bringing in tens of millions.

When we look at profitability, the Net income for the first nine months of FY2025 was $102.2 million. That's the bottom line after all operating costs, taxes, and interest are accounted for. It's important to remember that this figure is heavily influenced by how the company manages its commodity risk through hedging.

Speaking of risk management, Star Group, L.P. uses derivative instruments to manage exposure to price volatility in heating oil and propane. These instruments can result in gains or losses that impact reported earnings. For the first nine months of FY2025, the company recorded a favorable change in the fair value of derivative instruments of $20.2 million. This hedging benefit helped boost the net income figure you see above. Still, these gains can be volatile, as seen in the Q2 results where there was an unfavorable change.

You should keep an eye on these specific revenue drivers:

• Home heating oil and propane sales volume.
• The margin captured on product sales versus the wholesale cost.
• The growth rate of service and installation revenue streams.
• The impact, positive or negative, from derivative hedging activities.

Finance: draft 13-week cash view by Friday.