First quarter Adjusted EBITDA1 of $327 million Safely restarted the Burnaby Refinery and returned to normal operations Progressing $500 million of non-core asset dispositions CALGARY, AB, May 1, 2024 /CNW/ - Parkland Corporation ("Parkland", "we", the "Company", or "our") (TSX:PKI), today announced its financial and operating results for the three months ended March 31, 2024. "The team continues to deliver on our strategy and optimize our portfolio," said Bob Espey, President and Chief Executive Officer. "We have identified more than $400 million of non-core assets for disposition, many of which have been sold or are in the advanced stages of negotiation. This represents more than 80 percent of our $500 million target by the end of 2025." "I have full confidence in our team's ability to execute our operational plan that leverages our customer advantage and unique supply benefits, despite headwinds in some of the markets where we operate," added Espey. "We expect to deliver our 2024 Adjusted EBITDA Guidance range of $1.95 to $2.05 billion and see a clear pathway to achieving a Leverage Ratio at the low end of our 2 to 3 times target range by the end of 2025." Q1 2024 Highlights Adjusted EBITDA of $327 million, a decrease of 17 percent as compared to the first quarter of 2023, driven by an unplanned shutdown of the Burnaby Refinery, which began as a result of extreme cold weather and was extended by technical issues during the subsequent start-up. The Burnaby Refinery safely returned to normal operations on March 29, 2024. Net loss of $5 million ($0.03 per share, basic), a decrease of $82 million as compared to the first quarter of 2023, and Adjusted earnings2 of $43 million ($0.25 per share, basic), a decrease of $71 million from the first quarter of 2023. TTM Available cash flow2 of $770 million, an increase of 23 percent from 2023, and TTM Cash generated from (used in) operating activities3 of $1,683 million, consistent with 2023. TTM Available cash flow per share2 of $4.38, an increase of 16 percent from 2023, and TTM Cash generated from (used in) operating activities per share3 of $9.56, a decrease of 7 percent from 2023. Leverage Ratio4 of 3.1 times (2.8 times at Q4 2023), reflecting the impact of the unplanned shutdown of the Burnaby Refinery. Purchased for cancellation approximately 1.8 million common shares for $82 million under our normal course issuer bid ("NCIB") program in Q1 2024. Parkland's quarterly dividend increased from $0.34 to $0.35 per common share, or $1.40 per common share annualized, representing a 3 percent increase from the prior year. Dividends are expected to be declared and paid on a quarterly basis.   Q1 2024 Segment Highlights Canada delivered Adjusted EBITDA of $191 million, up 14 percent from Q1 2023 ($167 million). This increase was primarily driven by stronger fuel unit margins, partially offset by lower commercial volumes due to unseasonably warm weather. Company same-store volume growth ("Company SSVG"5) was 5.9 percent, demonstrating the improved productivity of our company-owned network. International delivered Adjusted EBITDA of $149 million, down 19 percent from Q1 2023 ($183 million). The decrease was primarily driven by lower fuel unit margins and wholesale volumes as compared to Q1 2023, partially offset by successful cost controls. USA delivered Adjusted EBITDA of $33 million, up 57 percent from Q1 2023 ($21 million). Performance reflects ongoing integration efforts, including C-store improvements and On the Run rebrands. Lower fuel unit margins and volumes reflect broader industry trends. Refining reported an Adjusted EBITDA loss of $32 million, compared to Adjusted EBITDA of $38 million in Q1 2023. Composite utilization5 at the Burnaby Refinery was 20 percent, reflecting the unplanned shutdown, compared to 34 percent in Q1 2023, reflecting a scheduled turnaround. During the quarter, we accelerated maintenance and refining optimization work previously scheduled for the third quarter of 2024. As a result, we expect to enhance the Burnaby Refinery's utilization and profitability for the remainder of the year. Parkland's total recordable injury frequency rate5 on a trailing-twelve-months basis was 1.07, compared to 0.97 at March 31, 2023. _______________________ 1 Total of segments measure. See "Total of Segments Measures" section of this news release.  2 Non-GAAP financial measure or non-GAAP financial ratio. See "Non-GAAP Financial Measures and Ratios" section of this news release. 3 Supplementary financial measure. See "Supplementary Financial Measures" section of this news release. 4 Capital management measure. See "Capital Management Measures" section of this news release. 5 Non-financial measure. See "Non-Financial Measures" section of this news release. Consolidated Financial Overview ($ millions, unless otherwise noted) Three months ended March 31, Financial Summary 2024 2023 Sales and operating revenue 6,939 8,156 Adjusted EBITDA(1) 327 395 Canada(2) 191 167 International(2) 149 183 USA(2) 33 21 Refining(2) (32) 38    Corporate(2) (14) (14) Net earnings (loss) (5) 77 Net earnings (loss) per share – basic ($ per share) (0.03) 0.44 Net earnings (loss) per share – diluted ($ per share) (0.03) 0.43 Trailing-twelve-month ("TTM") Cash generated from (used in) operating activities(3) 1,683 1,688 TTM Cash generated from (used in) operating activities per share(3) 9.56 10.23 TTM available cash flow(4) 770 625 TTM available cash flow per share(4) 4.38 3.79 1 Total of segments measure. See "Total of Segments Measures" section of this news release. 2 Measure of segment profit (loss). See "Total of Segments Measures" section of this news release. 3 Supplementary financial measure. See "Supplementary Financial Measures" section of this news release. 4 Non-GAAP financial measure or non-GAAP financial ratio. See "Non-GAAP Financial Measures and Ratios" section of this news release. Q1 2024 Conference Call and Webcast Details Parkland will host a webcast and conference call on Thursday, May 2, 2024 at 6:30 am MT (8:30 am ET) to discuss the results. To listen to the live webcast and watch the presentation, please use the following link: https://app.webinar.net/xr4dJn89YLk Analysts and investors interested in participating in the question and answer session of the conference call may do so by calling 1-888-390-0546 (toll-free) (Conference ID: 10413873). International participants may call 1-800-389-0704 (toll-free) (Conference ID: 10413873). Please connect and log in approximately 10 minutes before the beginning of the call. The webcast will be available for replay two hours after the conference call ends at the link above. It will remain available for one year and will also be posted at www.parkland.ca. MD&A and Interim Condensed Consolidated Financial Statements The Management's Discussion and Analysis for the three months ended March 31, 2024 (the "Q1 2024 MD&A") and Interim Condensed Consolidated Financial Statements for the three months ended March 31, 2024 (the "2024 Interim Condensed Consolidated Financial Statements") provide a detailed explanation of Parkland's operating results for the three months ended March 31, 2024. An English version of these documents will be available online at www.parkland.ca and the System for Electronic Data Analysis and Retrieval + ("SEDAR+") after the results are released by newswire under Parkland's profile at www.sedarplus.ca. The French versions of the Q1 2024 MD&A and the Q1 2024 Condensed Consolidated Financial Statements will be posted to www.parkland.ca and SEDAR+ as soon as they become available. About Parkland Corporation Parkland is an international fuel distributor, marketer, and convenience retailer with operations in 26 countries across the Americas. We serve over one million customers each day. Our retail network meets the fuel and convenience needs of everyday consumers. Our commercial operations provide businesses with industrial fuels so that they can better serve their customers. In addition to meeting our customers' needs for essential fuels, we provide a range of choices to help them lower their environmental impact. These include renewable fuels sourcing, manufacturing and blending, carbon and renewables trading, solar power, and ultra-fast EV charging. With approximately 4,000 retail and commercial locations across Canada, the United States and the Caribbean region, we have developed supply, distribution and trading capabilities to accelerate growth and business performance. Our strategy is focused on two pillars: our Customer Advantage and our Supply Advantage. Through our Customer Advantage, we aim to be the first choice of our customers, cultivating their loyalty through proprietary brands, differentiated offers, our extensive network, competitive pricing, reliable service, and our compelling loyalty program. Our Supply Advantage is based on achieving the lowest cost to serve among independent fuel marketers and distributors in the hard-to-serve markets in which we operate, through our well-positioned assets, significant scale, and deep supply and logistics capabilities. Our business is underpinned by our people and our values of safety, integrity, community and respect, which are deeply embedded across our organization. Forward-Looking Statements Certain statements contained herein constitute forward-looking information and statements (collectively, "forward-looking statements"). When used in this news release, the words "expect", "will", "could", "would", "believe", "continue", "pursue" and similar expressions are intended to identify forward-looking statements. In particular, this news release contains forward-looking statements with respect to, among other things: business strategies, objectives and initiatives; Parkland's 2024 Adjusted EBITDA Guidance range and goal of achieving a Leverage Ratio at the low end of our 2-3x target range by the end of 2025; Parkland's expectation to enhance the Burnaby Refinery's utilization and profitability for the remainder of 2024; Parkland's expectations regarding future dividend amounts, and timing and frequency of payments; Parkland's portfolio optimization strategy and target of completing $500 million of non-core asset dispositions, and the timing in respect thereof; and Parkland's plans to implement ongoing operating and MG&A cost reductions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. No assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. These forward-looking statements speak only as of the date of this news release. Parkland does not undertake any obligation to publicly update or revise any forward-looking statements except as required by securities law. Actual results could differ materially from those anticipated in these forward-looking statements as a result of numerous risks and uncertainties, many of which are beyond the control of Parkland, including, but not limited to: general economic, market and business conditions; Parkland's ability to execute its business strategies, objectives, and initiatives, including the completion, financing and timing thereof, realizing the benefits therefrom, and meeting our targets and commitments relating thereto; Parkland's ability to pay future dividends and complete share repurchases, if any, using its NCIB program; realization of the expected impact of the maintenance and refining optimization work completed on the Burnaby Refinery's utilization and profitability; Parkland's ability to execute on its asset disposition target, including with respect to identifying buyers, and completing such dispositions, if any, on terms reasonable to Parkland and in a timely manner; and the assumptions and risks described under "Cautionary Statement Regarding Forward-Looking Information" and "Risk Factors" in Parkland's most recent Annual Information Form, and under "Forward-Looking Information" and "Risk Factors" in the Q1 2024 MD&A, which are incorporated by reference herein, each as filed on SEDAR+ and available on the Parkland website at www.parkland.ca. In addition, the 2024 Adjusted EBITDA Guidance reflects continued integration of acquired businesses, synergy capture, and organic growth initiatives, and the key material assumptions include: an increase in Retail and Commercial Fuel and petroleum product adjusted gross margin of approximately 5 percent and Food, convenience and other adjusted gross margin of approximately 5 percent as compared to the year ended December 31, 2023; the realization of $100 million of run-rate MG&A cost efficiencies by the end of 2024; Refining adjusted gross margin of approximately $45 to ...