Suburban Propane Partners, L.P. (SPH): Business Model Canvas [Jan-2025 Mise à jour]

Dans le monde dynamique de la distribution d'énergie, Suburban Propane Partners, L.P. (SPH), apparaît comme une puissance stratégique, transformant comment les secteurs résidentiel, agricole et commercial accèdent à des solutions de propane fiables. En fabriquant méticuleusement un modèle commercial complet qui prie la prestation de services innovants avec une infrastructure stratégique, SPH s'est positionné comme un acteur critique sur le marché de l'énergie décentralisé. Leur approche unique combine la sophistication technologique, les stratégies centrées sur le client et un réseau de distribution robuste qui répond aux divers besoins énergétiques des communautés à travers les États-Unis.

Suburban Propane Partners, L.P. (SPH) - Modèle commercial: partenariats clés

Fabricants et fournisseurs d'équipement propane

Suburban Propane Partners maintient des partenariats stratégiques avec les principaux fabricants d'équipements:

Fabricant	Détails du partenariat	Volume de l'offre annuelle
Char Manchester & Équipement	Alimentation du réservoir de stockage au propane	78 000 unités par an
Worthington Industries	Fabrication de cylindres et de réservoir	62 500 unités par an

Réseaux de distribution de gaz naturel

Les partenariats de réseau de distribution de clés comprennent:

• Activer Midstream Partners: 1,2 million de pieds cubes par jour de distribution
• Enterprise Products Partners: 875 000 pieds cubes par jour de transport réseau
• Transfert d'énergie LP: 1,5 million de pieds cubes d'accords d'interconnexion par jour

Fournisseurs d'équipements agricoles et agricoles

Partenaire	Service agricole	Valeur du contrat annuel
John Deere	Équipement agricole Intégration du propane	3,6 millions de dollars
Cas ih	Systèmes de propane d'équipement agricole	2,9 millions de dollars

Sociétés de transport et de logistique

Les partenariats logistiques comprennent:

• Transport rapide: 425 camions de livraison de propane dédiés
• Werner Enterprises: 312 Véhicules de transport de propane spécialisés
• Total des dépenses annuelles de partenariat logistique: 42,7 millions de dollars

Infrastructures énergétiques et partenaires des installations de stockage

Partenaire	Type d'infrastructure	Capacité de stockage
Kinder Morgan	Installations de terminaux de stockage	3,2 millions de gallons
Partners énergétiques de NGL	Infrastructure de stockage régionale	2,7 millions de gallons

Suburban Propane Partners, L.P. (SPH) - Modèle d'entreprise: activités clés

Distribution du propane et ventes de détail

En 2023, Suburban Propane Partners a distribué environ 102 millions de gallons de propane aux clients de détail. Le volume annuel des ventes au détail a atteint 1,46 milliard de dollars.

Segment de distribution	Volume (gallons)	Revenu
Propane résidentiel	46,2 millions	658,3 millions de dollars
Propane commercial	33,8 millions	482,5 millions de dollars
Propane agricole	22 millions	319,2 millions de dollars

Trading en gros au propane

Les opérations commerciales en gros ont généré 124,7 millions de dollars de revenus pour l'exercice 2023.

Installation et maintenance des systèmes de propane

• Revenus d'installation du système annuel: 87,3 millions de dollars
• Nombre de nouvelles installations de système de propane: 12 450
• Contrats de service de maintenance: 8 675

Gestion des transports et de la logistique

Composition de la flotte	Nombre de véhicules	Dépenses logistiques annuelles
Camions de livraison au propane	780	42,6 millions de dollars
Véhicules de service	425	18,3 millions de dollars

Service client et opérations de support

Le centre de support client gère 425 000 appels de service chaque année Taux de résolution de 98,6%.

• Représentants totaux du service à la clientèle: 325
• Budget opérationnel du service à la clientèle annuelle: 22,1 millions de dollars
• Temps de réponse moyen: 17 minutes

Suburban Propane Partners, L.P. (SPH) - Modèle commercial: Ressources clés

Infrastructure étendue de stockage et de distribution de propane

En 2023, le propane de banlieue exploite 18 centres de distribution dans 23 États. Capacité de stockage totale: 22,5 millions de gallons de propane. Investissements d'infrastructure en 2022: 42,3 millions de dollars.

Actif d'infrastructure	Quantité	Capacité totale
Réservoirs de stockage au propane	138	22,5 millions de gallons
Centres de distribution	18	Couverture nationale

Flotte de véhicules de livraison et d'actifs de transport

Composition de la flotte à partir de 2023:

• Total des véhicules: 1 287
• Camions de livraison au propane: 892
• Véhicules de service: 395
• Âge moyen de la flotte: 6,3 ans

Type de véhicule	Nombre	Coût de maintenance annuel
Camions de livraison au propane	892	14,6 millions de dollars
Véhicules de service	395	5,2 millions de dollars

Systèmes de gestion de la relation client propriétaire

Investissement technologique en 2022: 3,7 millions de dollars. Les capacités du système clés comprennent:

• Suivi de livraison en temps réel
• Facturation automatisée
• Analyse d'utilisation de la clientèle

Personnel technique et de service formé

Statistiques de la main-d'œuvre en 2023:

• Total des employés: 2 100
• Techniciens certifiés: 687
• Heures de formation moyennes par employé: 42 par an
• Investissement de formation annuelle: 1,9 million de dollars

Réseau de distribution géographique stratégique

Détails de la couverture:

• États opérationnels: 23
• Emplacements de service: 712
• Pénétration du marché: 68% dans les régions cibles

Région	Nombre d'emplacements de service	Revenus annuels
Nord-est	276	187,5 millions de dollars
Midwest	214	142,3 millions de dollars
Sud	222	159,7 millions de dollars

Suburban Propane Partners, L.P. (SPH) - Modèle d'entreprise: propositions de valeur

Solutions d'énergie propane fiables et cohérentes

Au quatrième trimestre 2023, Suburban Propane Partners dessert environ 1,3 million de clients dans 41 États. Le volume annuel des ventes de propane a atteint 354,5 millions de gallons au cours de l'exercice 2023.

Métrique de service	Performance de 2023
Total de clientèle	1,3 million
Couverture géographique	41 États
Volume annuel des ventes au propane	354,5 millions de gallons

Services flexibles résidentiels et commerciaux

Suburban Propane propose des solutions énergétiques diversifiées sur plusieurs segments de marché.

• Chauffage résidentiel: 68% du total de la clientèle
• Services commerciaux: 22% de la clientèle totale
• Applications agricoles: 10% de la clientèle totale

Options complètes de carburant de chauffage et de cuisson

Les revenus totaux du propane et des services connexes au cours de l'exercice 2023 étaient de 576,3 millions de dollars.

Catégorie de service	Contribution des revenus
Propane résidentiel	342,7 millions de dollars
Propane commercial	167,9 millions de dollars
Propane agricole	65,7 millions de dollars

Support client efficace et réactif

Temps de réponse moyen du service client: 24 minutes. Taux de rétention de la clientèle en 2023: 89,6%.

Alternatives d'énergie soucieuse de l'environnement

Les émissions de propane sont de 43% inférieures à celles des autres combustibles fossiles traditionnels. Engagement de réduction de l'empreinte carbone: 15% d'ici 2025.

• Émissions de faible teneur en carbone profile
• Technologie de carburant à brûlure propre
• Initiatives au propane renouvelables

Suburban Propane Partners, L.P. (SPH) - Modèle d'entreprise: relations avec les clients

Équipes de vente directe et de service client

Depuis 2024, Suburban Propane Partners maintient une équipe de service client dédiée d'environ 350 employés à temps plein axés sur les interactions et le soutien directs.

Canal de service client	Volume de contact annuel
Support téléphonique	672 000 interactions client
Assistance en ligne	214 500 demandes numériques
Service en personne	48 300 réunions clients directs

Contrats de service à long terme

Distribution de contrats

• Contrats résidentiels au propane: 78% de la clientèle
• Accords de service commercial: 17% de la clientèle
• Contrats industriels à long terme: 5% de la clientèle

Gestion des comptes personnels

Suburban Propane Partners fournit une gestion des comptes personnalisée pour 62% de ses segments de clients commerciaux et industriels.

Niveau de gestion du compte	Nombre de gestionnaires dédiés
Comptes de niveau d'entreprise	24 gestionnaires de comptes dédiés
Segment commercial	87 gestionnaires de relations

Plates-formes de support client numérique

Les canaux de support numériques comprennent:

• Application mobile: 156 000 utilisateurs actifs
• Portail de compte en ligne: 287 500 clients enregistrés
• Prise en charge du chat Web 24/7: temps de réponse moyen 7,2 minutes

Programmes d'engagement axés sur la communauté

Les initiatives d'engagement communautaire comprennent:

• Programmes locaux d'assistance énergétique: une contribution annuelle de 2,1 millions de dollars
• Événements d'éducation à la sécurité communautaire: 42 événements par an
• Programme de fidélisation de la clientèle: taux de participation à 68%

Suburban Propane Partners, L.P. (SPH) - Modèle d'entreprise: canaux

Représentants des ventes directes

En 2024, le propane de banlieue maintient une force de vente directe de 1 247 représentants dans 23 États aux États-Unis. Ventes annuelles moyennes par représentant: 1,2 million de dollars.

Région de vente	Nombre de représentants	Ventes annuelles moyennes
Nord-est	487	1,35 million de dollars
Midwest	312	1,15 million de dollars
Au sud-est	248	1,05 million de dollars
Ouest	200	1,25 million de dollars

Plateformes de commande en ligne

Statistiques de plate-forme numérique pour 2024:

• Utilisateurs mensuels en ligne actifs: 127 563
• Volume de commande en ligne: 42% du total des transactions
• Valeur de transaction en ligne moyenne: 345 $

Applications de services mobiles

Métriques de performance de l'application mobile:

• Total des téléchargements d'applications: 78 245
• Utilisateurs mensuels de l'application active: 46 782
• Demandes de services basés sur l'application: 37% des interactions totales de service

Téléphone Assistance à la clientèle

Données opérationnelles du centre d'appels:

Métrique	2024 performance
Volume total d'appels annuels	512 347 appels
Temps moyen de gestion des appels	7,2 minutes
Évaluation de satisfaction du client	89.3%

Centres de distribution de vente au détail locaux

Réseau du centre de distribution:

• Centres de distribution totaux: 82
• Valeur des stocks moyens par centre: 2,3 millions de dollars
• Volume de distribution quotidien: 14 567 unités de propane

Suburban Propane Partners, L.P. (SPH) - Modèle d'entreprise: segments de clientèle

Propriétaires résidentiels

En 2024, le propane de banlieue dessert environ 1,1 million de clients résidentiels dans 30 États. La consommation annuelle moyenne de propane par client résidentiel est de 700 gallons.

Type de client	Nombre de clients	Consommation annuelle moyenne
Maisons unifamiliales	825,000	650 gallons
Résidences multifamiliales	275,000	850 gallons

Entreprises agricoles

Le propane de banlieue prend en charge 42 500 clients agricoles, avec un volume annuel total de ventes de propane de 85 millions de gallons pour les applications agricoles.

• Séchage des cultures: 35 000 clients
• Chauffage de serre: 4 500 clients
• Équipement agricole: 3 000 clients

Entreprises commerciales et industrielles

La société dessert 28 750 clients commerciaux et industriels dans divers secteurs, générant 215 millions de dollars de revenus annuels de ce segment.

Secteur de l'industrie	Nombre de clients	Consommation de propane annuelle
Fabrication	12,500	45 millions de gallons
Construction	8,250	22 millions de gallons
Entrepôts	8,000	18 millions de gallons

Industries de l'hôtellerie et des restaurants

Suburban Propane fournit des services à 6 750 clients de l'hôtellerie et du restaurant, avec un volume annuel de ventes de propane de 22 millions de gallons.

• Restaurants: 4 500 clients
• Hôtels et stations: 1 750 clients
• Services de restauration: 500 clients

Communautés rurales et suburbaines

La société maintient une forte présence sur les marchés ruraux et suburbains, desservant 95% de sa clientèle dans ces régions, couvrant environ 18 000 milles carrés de territoire de service.

Type de communauté	Pourcentage de clients	Couverture géographique
Communautés rurales	65%	12 000 km2
Zones de banlieue	30%	6 000 km2

Suburban Propane Partners, L.P. (SPH) - Modèle d'entreprise: Structure des coûts

Frais d'achat de propane

Pour l'exercice 2023, Suburban Propane Partners a déclaré des coûts d'approvisionnement en propane de 536,7 millions de dollars. L'entreprise achète du propane auprès de plusieurs fournisseurs, avec un prix d'approvisionnement moyen de 1,82 $ le gallon.

Catégorie de dépenses	Coût annuel ($ m)	Pourcentage de l'approvisionnement total
Achats de propane en gros	536.7	78%
Frais de contrat	92.3	13%
Stockage et manipulation	57.4	9%

Coûts de transport et de logistique

Les frais de transport pour les partenaires de propane de banlieue ont totalisé 124,6 millions de dollars en 2023, ce qui représente une composante critique de leurs coûts opérationnels.

• Entretien de la flotte: 42,3 millions de dollars
• Coûts de carburant pour les véhicules de livraison: 36,8 millions de dollars
• Salaires et avantages sociaux du conducteur: 45,5 millions de dollars

Maintenance des infrastructures

Les coûts de maintenance des infrastructures pour 2023 étaient de 87,2 millions de dollars, couvrant les installations de stockage, les centres de distribution et l'équipement.

Catégorie de maintenance	Coût annuel ($ m)
Entretien des installations de stockage	38.6
Réparation et remplacement de l'équipement	29.7
Infrastructure technologique	18.9

Salaires et formation des employés

Les dépenses totales liées au personnel pour 2023 étaient de 213,4 millions de dollars.

• Salaires de base: 162,5 millions de dollars
• Avantages et assurance: 34,7 millions de dollars
• Formation et développement: 16,2 millions de dollars

Marketing et acquisition de clients

Les frais de marketing pour les partenaires de suburban propane ont atteint 24,7 millions de dollars en 2023.

Canal de marketing	Dépenses ($ m)
Marketing numérique	9.3
Publicité traditionnelle	7.6
Programmes de rétention à la clientèle	5.8
Promotions des ventes	2.0

Suburban Propane Partners, L.P. (SPH) - Modèle d'entreprise: Strots de revenus

Ventes de propane résidentiel

Pour l'exercice 2023, la banlieue de propane a déclaré un volume de ventes de propane résidentiel de 133,9 millions de gallons, générant environ 655,4 millions de dollars de revenus de ce segment.

Métrique de vente résidentielle	Valeur
Gallons résidentiels totaux vendus	133,9 millions de gallons
Revenus résidentiels	655,4 millions de dollars
Prix ​​moyen par gallon	$4.90

Contrats de service commercial de propane

Les contrats de service commercial de propane ont contribué 287,6 millions de dollars aux revenus de la société en 2023.

• Clients commerciaux totaux: 41 000
• Valeur du contrat moyen: 7 015 $ par contrat
• Durée du contrat: généralement 1 à 3 ans

Frais d'installation de l'équipement

Les services d'installation d'équipement ont généré 42,3 millions de dollars de revenus supplémentaires pour le propane de banlieue en 2023.

Service d'installation	Revenu
Installations de réservoirs résidentiels	24,5 millions de dollars
Installations d'équipement commercial	17,8 millions de dollars

Trading en gros au propane

Le commerce de propane en gros a représenté 178,2 millions de dollars de revenus pour l'exercice 2023.

• Volume total en gros: 72,6 millions de gallons
• Prix ​​moyen en gros: 2,45 $ par gallon
• Marchés commerciaux: principalement le nord-est et le Midwest des États-Unis

Services énergétiques auxiliaires

Les services énergétiques auxiliaires ont contribué 93,7 millions de dollars au chiffre d'affaires total du propane de banlieue en 2023.

Service auxiliaire	Revenu
Services de CVC	52,4 millions de dollars
Ventes d'appareils au propane	41,3 millions de dollars

Suburban Propane Partners, L.P. (SPH) - Canvas Business Model: Value Propositions

You're looking at the core reasons customers choose Suburban Propane Partners, L.P. (SPH) over competitors. It boils down to deep history, broad reach, and a pivot toward cleaner energy, all while keeping service local.

Reliable, dependable energy supply with a nearly 100-year legacy.

Suburban Propane Partners, L.P. anchors its value proposition in its longevity. The company has been in the customer service business since 1928, giving it a nearly 100-year legacy of dependability. This history translates into operational experience, especially when handling high-demand periods. For instance, retail propane gallons sold for the full fiscal year 2025 reached 400.5 million gallons, a 5.9% increase year-over-year, showing sustained customer reliance on their supply chain.

Diversified product offering: propane, fuel oil, natural gas, electricity.

The value isn't just in one fuel; it's in the variety of energy sources Suburban Propane Partners, L.P. can deliver and market across its footprint. The Propane segment remains the largest revenue driver, but the diversification mitigates risk from single-commodity price swings. Here's a look at the scale and the primary revenue source for fiscal year 2025.

Energy Product/Segment	Fiscal Year 2025 TTM Revenue (USD)	FY2025 Volume Metric
Propane (Retail & Wholesale)	$1.27 Billion	400.5 Million Retail Gallons Sold
Fuel Oil and Refined Fuels	Not Separately Itemized	Distributes fuel oil, kerosene, diesel
Natural Gas and Electricity Marketing	Not Separately Itemized	Markets in deregulated markets

Suburban Propane Partners, L.P. serves approximately 1 million customers through about 700 locations across 41 states.

Commitment to low-carbon alternatives (renewable propane, RNG).

The company is actively positioning for the energy transition by investing in cleaner fuels. This commitment is backed by capital deployment and specific project milestones. Suburban Propane Partners, L.P. is an investor in low-carbon fuel alternatives, including renewable propane and renewable natural gas (RNG).

• Fiscal 2025 capital spending for RNG projects was expected to range between $35 million to $45 million.
• The Upstate New York RNG facility is positioned to qualify for an Inflation Reduction Act Investment Tax Credit at a 30% rate, potentially yielding $7 million to $9 million in tax credits.
• New RNG facilities in New York and Ohio were expected to come online later in 2025.
• However, average daily RNG injection at the Stanfield facility was approximately 13% lower in fiscal 2025 compared to the prior year due to maintenance and weather impacts.

Personalized, hyperlocal customer service model.

The value proposition emphasizes local service delivery, which is critical for energy distribution. This is reinforced by community engagement efforts, showing a commitment to the areas they serve. The company has over 3,300 full-time employees dedicated to this service. The 2025 SuburbanCares initiative involved over 150 employee volunteers contributing approximately 600 hours of service across 20 communities nationwide. This local focus supports customer retention, which is key when propane volumes sold increased by 5.9% in fiscal 2025.

Emergency and post-storm demand fulfillment (e.g., Hurricanes Helene and Milton).

Suburban Propane Partners, L.P. highlights its operational readiness during crises. The company's personnel were noted for their tireless execution in response to surging demand. Specifically, Q1 2025 saw strong demand in the Southeast region following Hurricanes Helene and Milton, which helped offset warmer-than-normal weather impacts elsewhere. Furthermore, sustained colder temperatures in Q2 2025 led to propane volumes increasing by 15.5% year-over-year, with January 2025 delivering the highest propane volumes since 2018. This demonstrates the ability to scale up rapidly when customers need it most.

Suburban Propane Partners, L.P. (SPH) - Canvas Business Model: Customer Relationships

You're looking at how Suburban Propane Partners, L.P. keeps its massive customer base engaged and loyal; it's a mix of deep local presence and structured corporate support. The foundation of this relationship strategy is its nearly 100-year legacy in the customer service business, dating back to 1928.

Dedicated local customer service and field support.

Suburban Propane Partners, L.P. focuses its service delivery in areas where the primary alternative, natural gas, isn't easily accessible-namely, suburban and rural locations. The company services approximately 1.0 million propane customers across 42 states, utilizing a nationwide retail distribution network of approximately 750 locations as of September 27, 2025. This physical footprint is key to local support, though you should note that most of its customer service centers compete with five or more other marketers at any given time. To maintain this physical presence, the company leases about 25% of its customer service centers under operating leases.

Here are the key operational metrics defining the customer base as of fiscal year-end September 27, 2025:

Metric	Value (FY 2025)
Total Propane Customers Serviced	Approximately 950,000
Total Retail Propane Gallons Sold	400.5 million gallons
Retail Propane Gallons Sold Increase (YoY)	5.9%
Total Company Locations	Approximately 750
States of Operation	42

High-touch, personalized relationship model for retention.

The relationship model is anchored by the Suburban Commitment to Excellence pillar, which emphasizes dependability, flexibility, and reliability. While specific personalization metrics aren't public, the company explicitly ties customer base growth and retention initiatives to its operational results; for instance, Q1 fiscal 2025 results noted contributions from these initiatives, even as unseasonably warm temperatures impacted demand. The focus on local service centers inherently supports a more direct, high-touch interaction than a purely centralized model. If onboarding takes 14+ days, churn risk rises, so local field support is defintely critical here.

Community engagement through the SuburbanCares initiative.

Community goodwill is actively managed through the SuburbanCares corporate initiative, which reflects a commitment to the local communities where employees live and work. For the 2025 calendar year, the results of this engagement were quite specific:

• Engaged over 150 employee volunteers.
• Logged approximately 600 hours of volunteer service.
• Supported initiatives across 20 communities nationwide.
• Maintained an ongoing national partnership with the American Red Cross.

This effort is designed to strengthen community connections, which indirectly supports customer trust and retention in those local markets.

Contractual arrangements for scheduled deliveries and price protection.

Suburban Propane Partners, L.P. manages customer commitment through structured service agreements, though the exact terms of price protection programs are proprietary. The core relationship is solidified by the recurring nature of propane delivery, which is managed through scheduled delivery programs. The company's overall financial health supports these commitments; for fiscal 2025, Total Revenues reached $1,432.5 million, and Net Income was $106.6 million, allowing for consistent service delivery and the ability to manage commodity price risks for customers through various contract structures. Furthermore, the company declared a quarterly distribution of $0.325 per Common Unit for the period ending September 27, 2025, signaling stability to its investor base, which underpins the long-term reliability offered to its customers.

Finance: draft 13-week cash view by Friday.

Suburban Propane Partners, L.P. (SPH) - Canvas Business Model: Channels

You're looking at how Suburban Propane Partners, L.P. (SPH) physically gets its product-propane, renewable propane, RNG, and fuel oil-to its customers. This is all about physical footprint and direct interaction.

The backbone of the distribution channel is the physical network. As of late 2025, Suburban Propane Partners, L.P. services its customer base through approximately 700 locations, though the November 2025 10-K filing announcement mentioned approximately 750 locations across 42 states. This extensive physical presence is key to reaching the roughly 1 million residential, commercial, governmental, industrial, and agricultural customers.

Here's a quick look at the scale of the physical channel as of the Fiscal Year 2025 reporting:

Metric	Value (FY2025)
Total Locations (Approximate)	700 to 750
States Served	42
Total Customers Served (Approximate)	1 million
Propane Volumes Sold (Gallons)	400.5 million gallons
Propane Volume Growth (YoY)	5.9% increase

Direct-to-customer delivery is managed via a proprietary fleet. This is how they move the product from those local distribution centers right to the customer's tank, which is critical for reliability, especially during peak heating demand. The operational success of this channel is reflected in the 5.9% increase in retail propane gallons sold for fiscal year 2025.

Sales and service personnel are the human interface for both commercial and residential accounts. These teams handle the direct sales, service calls, and relationship management that keep the customer base stable. The company is focused on customer base growth and retention initiatives, which rely heavily on these personnel executing well.

Digital channels support the physical network for account management and service requests. The management team mentioned advancing technology initiatives during fiscal 2025, supported by total capital spending of $72 million for the year. This investment helps modernize how customers interact digitally, even as the core business remains physical delivery.

• Digital use supports account management.
• Digital partners use tracking technologies on Sites.
• Technology modernization is a stated focus area.

The overall channel strategy is supported by strong financial performance, with Adjusted EBITDA for fiscal 2025 reaching $278.0 million, which helps fund the maintenance and modernization of this extensive physical and digital infrastructure.

Suburban Propane Partners, L.P. (SPH) - Canvas Business Model: Customer Segments

Residential customers are the core base for Suburban Propane Partners, L.P. (SPH). The partnership serves approximately 1 million total customers across its operational footprint.

Commercial, industrial, and governmental entities form a significant part of the customer base, contributing to the overall retail propane volume. The partnership noted margin expansion across all customer categories in fiscal 2025.

The agricultural sector is a distinct user group, though its demand can be variable. For instance, in the first quarter of fiscal 2025, lower agricultural demand for crop drying was cited as a factor contributing to a slight decrease in retail propane gallons sold for that period.

Wholesale customers are served through bulk sales arrangements. In the first quarter of fiscal 2025, average wholesale propane prices, based on Mont Belvieu, saw a notable increase of 15%, reaching $0.77 per gallon compared to the prior year.

The overall performance of the propane distribution business, which serves these segments, is summarized below for the fiscal year ended September 27, 2025:

Metric	Fiscal 2025 Amount	Year-over-Year Change
Total Revenue	$1.43 B USD	Growth (from $1.33 B USD in 2024)
Propane Segment Revenue	$1.27 B USD	Increase (from $1.15 B USD in 2024)
Retail Propane Gallons Sold	400.5 million gallons	5.9% increase
Propane Unit Margin Change (Ex-MTM)	$0.02 per gallon increase	1.0% increase

The growth in retail propane gallons sold for the full fiscal year 2025 was driven by several factors impacting demand across the segments:

• Sustained widespread cold temperatures during critical heating months.
• Increased demand for backup power generation in the Southeast following hurricanes.
• Continued growth in the counter seasonal national accounts business.
• Incremental volumes from recent propane acquisitions.

Suburban Propane Partners, L.P. (SPH) - Canvas Business Model: Cost Structure

When you look at the Cost Structure for Suburban Propane Partners, L.P. (SPH), you see a business heavily weighted toward the cost of the product it sells, which is typical for a distributor. The variable costs are significant, but fixed and semi-fixed operating expenses also demand close attention, especially as the company invests in new areas like renewable energy.

The single largest component of cost is the procurement of the fuel itself. Cost of products sold, which includes the purchase of propane and related activities, totaled $493.6 million for fiscal 2025. This cost directly scales with sales volume and wholesale commodity prices; for instance, higher average wholesale propane costs during much of fiscal 2025 contributed $29.1 million to the increase in this cost line item alone.

Beyond the direct cost of goods, the overhead required to run the distribution network and corporate functions is substantial. Combined operating and general and administrative expenses for the full fiscal year 2025 reached $590.5 million. This represented a 4.2% increase year-over-year, driven primarily by higher payroll and benefit-related expenses, overtime to support increased customer demand, and costs tied to the multi-year technology modernization initiative.

The company is actively spending capital to secure future revenue streams, which adds to the cost base through depreciation and interest on financing. Capital expenditures for Renewable Natural Gas (RNG) growth projects were significant, with over $25 million deployed; specifically, growth capital expenditures to advance construction activities at RNG production facilities totaled $27.0 million in FY2025. This investment is part of a broader strategy to build out the renewable energy platform.

The financing structure also contributes to the cost base through interest expense. Net interest expense for fiscal 2025 was $76.3 million, an increase from the prior year, largely due to a higher average level of outstanding borrowings under the Revolving Credit Facility. Managing this debt load is key, as evidenced by the reported Consolidated Leverage Ratio, which stood at 4.29x for the fiscal year ended September 27, 2025.

Distribution and logistics costs are embedded within the operating expenses but represent critical, ongoing cash outflows. These costs are directly tied to maintaining the physical infrastructure needed to serve customers. Here are the key elements that make up these operational costs:

• Fleet maintenance for the extensive distribution network.
• Payroll for drivers, logistics coordinators, and field personnel.
• Vehicle fuel costs, which can fluctuate.
• Costs associated with maintaining storage terminals and delivery equipment.

To give you a clearer picture of the major cost categories for Suburban Propane Partners, L.P. in fiscal 2025, here is a quick summary of the largest reported figures:

Cost Category	Fiscal 2025 Amount	Driver/Context
Cost of Products Sold (Propane/Fuel)	$493.6 million	Largest variable cost, tied to wholesale commodity prices and volumes sold.
Operating and G&A Expenses	$590.5 million	Includes payroll, benefits, and technology transformation costs.
Net Interest Expense	$76.3 million	Result of average outstanding borrowings under the Revolving Credit Facility.
RNG Growth Capital Expenditures	$27.0 million	Investment to advance construction activities at RNG production facilities.
Consolidated Leverage Ratio	4.29x	Metric reflecting debt relative to earnings at year-end FY2025.

Finance: draft 13-week cash view by Friday.

Suburban Propane Partners, L.P. (SPH) - Canvas Business Model: Revenue Streams

You're looking at how Suburban Propane Partners, L.P. (SPH) actually brings in the money, which is key to understanding its valuation, especially given the weather and commodity price sensitivity we see year-to-year. The revenue streams are quite focused, but they do have a few supporting pillars.

The primary engine, without question, is the retail sale of propane. For the full fiscal year 2025, which ended September 27, 2025, the company moved a solid volume, reporting that retail propane gallons sold reached 400.5 million gallons, marking a 5.9% increase year-over-year. This volume growth, supported by colder weather and post-storm demand, directly fueled the top line. Overall, total revenue for fiscal 2025 was reported at US$1.43 billion. That's the big number that captures everything for the year.

Here's a quick breakdown of the core components that make up that total revenue:

• Retail sales of propane, the largest driver.
• Sales of other fuels like fuel oil and natural gas.
• Revenue generated from electricity sales.
• Income from emerging renewable energy ventures.
• Fees collected from equipment sales and services.

To give you a clearer picture of the non-propane energy sales, while the full-year breakdown isn't always public, we can look at the segment performance from the second quarter of fiscal 2025 to see the relative scale of these other streams. Honestly, they are smaller but provide diversification.

Revenue Stream Segment	Revenue (Q2 FY2025 USD Millions)
Propane	525.256
Fuel oil & refined fuels	33.364
Natural gas & electricity	9.025
All other	20.215

The push into cleaner energy is a definite strategic focus for Suburban Propane Partners, L.P. The company has been advancing the buildout of its renewable energy platform, utilizing cash flows to support this growth. This includes ventures in Renewable Natural Gas (RNG) and renewable propane. For instance, management noted progress on an anaerobic digester system in upstate New York and equipment upgrades at an existing facility in Columbus, Ohio, as of August 2025. While specific full-year revenue figures for these nascent streams aren't broken out separately in the top-line reports, they represent a material area of capital deployment and future potential revenue diversification.

Finally, you can't forget the steady, recurring revenue from services tied to their existing customer base. This stream comes from equipment sales and service fees. Think about tank rentals, routine maintenance contracts, and the sale of related hardware. This service component helps smooth out some of the volatility inherent in weather-dependent commodity sales. If onboarding takes 14+ days, churn risk rises, so keeping service smooth is defintely important for retaining that recurring fee base.