Segment Information

9 Months Ended

Jun. 24, 2023

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 24, 2022.

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 platform of RNG businesses and the equity investment in IH 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 condensed consolidated amounts for the periods presented:

	Three Months Ended						Nine Months Ended
	June 24,			June 25,			June 24,			June 25,
	2023			2022			2023			2022
Revenues:
Propane	$	241,485		$	260,634		$	1,040,978		$	1,108,572
Fuel oil and refined fuels		14,086			19,274			82,353			83,741
Natural gas and electricity		4,926			7,547			25,472			31,165
All other		18,131			12,877			53,796			40,356
Total revenues	$	278,628		$	300,332		$	1,202,599		$	1,263,834
Operating income (loss):
Propane	$	52,170		$	52,178		$	303,537		$	340,139
Fuel oil and refined fuels		(12	)		(308	)		8,417			8,571
Natural gas and electricity		1,029			792			5,259			5,912
All other		(7,507	)		(5,998	)		(23,369	)		(16,790	)
Corporate		(30,814	)		(31,893	)		(90,984	)		(93,844	)
Total operating income		14,866			14,771			202,860			243,988
Reconciliation to net (loss) income:
Interest expense, net		18,733			15,004			54,598			45,557
Other, net		1,150			2,031			3,231			4,395
Provision for income taxes		244			271			421			171
Net (loss) income	$	(5,261	)	$	(2,535	)	$	144,610		$	193,865
Depreciation and amortization:
Propane	$	11,756		$	12,054		$	34,977		$	37,552
Fuel oil and refined fuels		405			420			1,233			1,276
Natural gas and electricity		—			6			3			16
All other		2,097			45			5,052			135
Corporate		1,279			1,484			4,115			5,377
Total depreciation and amortization	$	15,537		$	14,009		$	45,380		$	44,356

	As of
	June 24,		September 24,
	2023		2022
Assets:
Propane	$	1,929,477	$	1,957,257
Fuel oil and refined fuels		47,422		49,683
Natural gas and electricity		11,057		12,504
All other		243,497		47,853
Corporate		48,972		36,429
Total assets	$	2,280,425	$	2,103,726