Segment Information

9 Months Ended

Jun. 25, 2022

Segment Reporting [Abstract]

Segment Information

18.Segment Information

The Partnership manages and evaluates its operations in four operating segments, three of which are reportable segments: Propane, Fuel Oil and Refined Fuels, and Natural Gas and Electricity. The chief operating decision maker evaluates performance of the operating segments using a number of performance measures, including gross margins and income before interest expense and provision for income taxes (operating profit). Costs excluded from these profit measures are captured in Corporate and include corporate overhead expenses not allocated to the operating segments. Unallocated corporate overhead expenses include all costs of back office support functions that are reported as general and administrative expenses within the condensed consolidated statements of operations. In addition, certain costs associated with field operations support that are reported in operating expenses within the condensed consolidated statements of operations, including purchasing, training and safety, are not allocated to the individual operating segments. Thus, operating profit for each operating segment includes only the costs that are directly attributable to the operations of the individual segment. The accounting policies of the operating segments are otherwise the same as those described in Note 2, “Summary of Significant Accounting Policies,” in the Partnership’s Annual Report on Form 10-K for the fiscal year ended September 25, 2021.

The propane segment is primarily engaged in the retail distribution of propane to residential, commercial, industrial, agricultural and government customers and, to a lesser extent, wholesale distribution to large industrial end users. In the residential, commercial and government markets, propane is used primarily for space heating, water heating, cooking and clothes drying. Industrial customers use propane generally as a motor fuel burned in internal combustion engines that power over-the-road vehicles, forklifts and stationary engines, to fire furnaces and as a cutting gas. In the agricultural markets, propane is primarily used for tobacco curing, crop drying, poultry brooding and weed control. In addition, the Partnership’s equity investment in Oberon is included within the propane segment.

The fuel oil and refined fuels segment is primarily engaged in the retail distribution of fuel oil, diesel, kerosene and gasoline to residential and commercial customers for use primarily as a source of heat in homes and buildings.

The natural gas and electricity segment is engaged in the marketing of natural gas and electricity to residential and commercial customers in the deregulated energy markets of New York and Pennsylvania. Under this operating segment, the Partnership owns the relationship with the end consumer and has agreements with the local distribution companies to deliver the natural gas or electricity from the Partnership’s suppliers to the customer.

Activities in the “all other” category include the Partnership’s service business, which is primarily engaged in the sale, installation and servicing of a wide variety of home comfort equipment, particularly in the areas of heating and ventilation. In addition, the Partnership’s equity investment in IH and investments in biodigester systems for the production of RNG are included within “all other”.

The following table presents certain data by reportable segment and provides a reconciliation of total operating segment information to the corresponding consolidated amounts for the periods presented:

	Three Months Ended						Nine Months Ended
	June 25,			June 26,			June 25,			June 26,
	2022			2021			2022			2021
Revenues:
Propane	$	260,634		$	208,689		$	1,108,572		$	958,641
Fuel oil and refined fuels		19,274			11,314			83,741			59,075
Natural gas and electricity		7,547			5,835			31,165			23,461
All other		12,877			12,247			40,356			39,337
Total revenues	$	300,332		$	238,085		$	1,263,834		$	1,080,514
Operating income (loss):
Propane	$	52,178		$	41,460		$	340,139		$	297,155
Fuel oil and refined fuels		(308	)		(433	)		8,571			9,800
Natural gas and electricity		792			1,103			5,912			6,466
All other		(5,998	)		(5,117	)		(16,790	)		(14,410	)
Corporate		(31,893	)		(29,010	)		(93,844	)		(86,165	)
Total operating income		14,771			8,003			243,988			212,846
Reconciliation to net (loss) income:
Loss on debt extinguishment		—			16,029			—			16,029
Interest expense, net		15,004			16,737			45,557			52,964
Other, net		2,031			1,085			4,395			3,745
Provision for income taxes		271			173			171			936
Net (loss) income	$	(2,535	)	$	(26,021	)	$	193,865		$	139,172
Depreciation and amortization:
Propane	$	12,054		$	25,083		$	37,552		$	75,762
Fuel oil and refined fuels		420			429			1,276			1,225
Natural gas and electricity		6			6			16			18
All other		45			47			135			141
Corporate		1,484			1,689			5,377			5,471
Total depreciation and amortization	$	14,009		$	27,254		$	44,356		$	82,617

	As of
	June 25,		September 25,
	2022		2021
Assets:
Propane	$	1,960,627	$	1,935,399
Fuel oil and refined fuels		52,229		47,039
Natural gas and electricity		11,040		11,275
All other		47,818		17,767
Corporate		43,681		40,250
Total assets	$	2,115,395	$	2,051,730