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• Group Sales: Increased by 4% to almost 17 billion liters.

• Commercial Sales Growth: Up more than 5%.

• Convenience Sales Decline: Decreased by 4%, primarily due to lower tobacco sales.

• Gross Margin: Increased to almost 40% due to a shift to higher margin products.

• Geelong Refinery Intake: Operated at full capacity with an intake of 40 million barrels.

• Final Dividend: Declared at $0.87 per share, representing 66% of group net profit for 2024.

• Commercial and Industrial Sales: Increased by 5% to 11.7 billion liters.

• Commercial and Industrial EBITDA: $470 million.

• Refining Earnings: $112 million in the first half, with a full year GRM of $8.70 per barrel.

• Net Cash Flow: Negative $23 million, impacted by $100 million in integration costs.

• Capital Expenditure: Almost $500 million in FY 2024.

• Closing Net Debt: $1.8 billion as of December 31, 2024.

• Liberty Convenience Acquisition: Estimated net cash consideration of $115 million.

• Dividend Reinvestment Plan: Activated with a 1.5% discount.

• Convenience and Mobility EBITDA: $231 million for the period.

• OTR Network Growth: 47 stores added, while the express network declined by 25 stores.

• Liberty Convenience EBITDA Contribution: Expected between $20 and $25 million in 2025.

• Refining Margin Outlook: GRMs averaging around $11 per barrel post-pandemic.

• Warning! GuruFocus has detected 7 Warning Signs with ASX:VEA.

Release Date: February 25, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Viva Energy Group Ltd (ASX:VEA) successfully completed the OTR acquisition and made substantial progress in integrating retail operating platforms, aiming for $90 million in synergies and cost reductions over the next two years.

• The commercial industrial business showed growth, with sales and earnings increasing by 5%, driven by the acquisition of the OTR wholesale fuels business and strong demand in sectors like aviation, agriculture, and defense.

• The Geelong refinery operated at full capacity, with a crude intake of 40 million barrels, supporting exceptional operating performance.

• Viva Energy Group Ltd (ASX:VEA) declared a final dividend of $0.87 per share, representing 66% of group net profit for 2024.

• The company is making progress on strategic projects, including the construction of a low sulfur gasoline processing plant and nearing the end of the environmental approval process for an LNG storage terminal.

Negative Points

• Convenience sales declined by 4%, primarily due to lower tobacco sales, despite a shift to higher-margin products.

• The retail business faced challenges with pressure on sales and operating costs, impacting underlying performance.

• The OTR network saw increased operating costs due to store additions, while the express network declined by 25 stores due to divestments.

• Net cash flow was negative $23 million, reflecting significant integration costs and investments, impacting short-term cash flow.

• The refining business experienced a decline in earnings in the second half of the year due to softened refining margins, despite a strong first half.