Murphy USA Inc. (Murphy USA), through its subsidiaries, engages in marketing retail motor fuel products and convenience merchandise.
The company operates through various stores in 27 states, of which, some are branded as Murphy stores and some are branded as QuickChek stores. The majority of the company’s existing and new-to-industry (‘NTI’) retail gasoline stores operate under the brand names of Murphy USA and Murphy Express. Plans are under way to transition all existing Murphy Express brande...
Murphy USA Inc. (Murphy USA), through its subsidiaries, engages in marketing retail motor fuel products and convenience merchandise.
The company operates through various stores in 27 states, of which, some are branded as Murphy stores and some are branded as QuickChek stores. The majority of the company’s existing and new-to-industry (‘NTI’) retail gasoline stores operate under the brand names of Murphy USA and Murphy Express. Plans are under way to transition all existing Murphy Express branded stores to the Murphy USA brand name. These locations operate within close proximity to Walmart stores or within preferred markets across 25 states in the Southeast, Southwest, and Midwest areas of the United States. The company also operates a combination of convenience stores and convenience stores with retail gasoline located in New Jersey and New York under the brand name of QuickChek and comprises its Northeast region. In addition, the company markets fuel to unbranded wholesale customers through a mixture of company owned and third-party product distribution terminals and pipeline positions.
The company operates within the large, growing, competitive and highly fragmented U.S. retail fuel and convenience store industry. The company’s business consists of the U.S. retail marketing operations. During 2024, the company sold approximately 4.8 billion gallons of motor fuel through its retail outlets.
The company has purchased from Walmart the properties underlying many of its stores, and each of these properties that were purchased from Walmart are subject to Easements and Covenants with Restrictions Affecting Land (‘ECRs’), which impose customary restrictions on the use of such properties, which Walmart has the right to enforce. In addition, pursuant to the ECRs, certain transfers involving these properties are subject to Walmart's right of first refusal or right of first offer. Also pursuant to the ECRs, the company is prohibited from transferring such properties to a competitor of Walmart.
In addition to the motor fuel sold at the company’s stores, its stores carry a broad selection of snacks, beverages, nicotine products and non-food merchandise, as well as a greater food and beverage offering at the company’s QuickChek locations. In 2024, the company purchased more than 78% of its merchandise from a single vendor, Core-Mark Holding Company, Inc., with whom the company renewed a new five-year supply agreement in January 2021.
The company’s business is organized into one reporting segment (Marketing). The Marketing segment includes the company’s retail marketing stores and product supply and wholesale assets.
Business Strategy
The key elements of the company’s strategy are to grow organically; diversify merchandise mix; create advantage from market volatility; and invest for the long term.
Seasonality
Consumer demand for motor fuel typically increases during the summer driving season, and typically falls during the winter months. Travel, recreation and construction are typically higher in these months in the geographic areas in which the company operates, increasing the demand for motor fuel and merchandise that its sell. Therefore, the company’s revenues and sales volumes are typically higher in the second and third quarters of its fiscal year (year ended December 31, 2024).
Trademarks
The company sells gasoline primarily under the Murphy USA and Murphy Express brands, which it acquired from Murphy Oil. The company acquired ownership of the QuickChek trademark and others as a result of the QuickChek acquisition.
Environmental
The company is subject to the requirements of the federal Occupational Safety and Health Act (OSHA) and comparable state statutes that regulate the protection of the health and safety of workers. In addition, the OSHA hazard communication standard requires that certain information be maintained about hazardous materials used or produced in its operations and that this information be provided to employees, state and local government authorities and citizens.
History
Murphy USA Inc. was founded in 1996. The company was incorporated in Delaware in 2013.