Segment Information

6 Months Ended

Mar. 30, 2024

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 30, 2023.

The propane segment is primarily engaged in the retail distribution of propane and renewable 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						Six Months Ended
	March 30,			March 25,			March 30,			March 25,
	2024			2023			2024			2023
Revenues:
Propane	$	437,564		$	457,140		$	750,922		$	799,493
Fuel oil and refined fuels		31,595			38,126			55,493			68,267
Natural gas and electricity		8,713			11,856			15,206			20,546
All other		20,215			19,379			42,300			35,665
Total revenues	$	498,087		$	526,501		$	863,921		$	923,971
Operating income (loss):
Propane	$	169,853		$	156,959		$	257,029		$	251,367
Fuel oil and refined fuels		5,887			6,347			8,059			8,429
Natural gas and electricity		2,578			3,138			4,146			4,230
All other		(7,175	)		(10,087	)		(14,356	)		(15,862	)
Corporate		(34,283	)		(30,678	)		(69,270	)		(60,170	)
Total operating income		136,860			125,679			185,608			187,994
Reconciliation to net income:
Loss on debt extinguishment		215			—			215			—
Interest expense, net		19,919			19,871			38,111			35,865
Other, net		5,194			1,106			11,047			2,081
Provision for income taxes		32			225			281			177
Net income	$	111,500		$	104,477		$	135,954		$	149,871
Depreciation and amortization:
Propane	$	11,735		$	11,331		$	23,594		$	23,221
Fuel oil and refined fuels		302			419			746			828
Natural gas and electricity		—			—			—			3
All other		2,707			2,912			5,407			2,955
Corporate		1,981			1,402			3,371			2,836
Total depreciation and amortization	$	16,725		$	16,064		$	33,118		$	29,843

	As of
	March 30,		September 30,
	2024		2023
Assets:
Propane	$	1,967,319	$	1,924,304
Fuel oil and refined fuels		49,769		46,341
Natural gas and electricity		11,681		11,255
All other		241,240		239,691
Corporate		67,537		48,884
Total assets	$	2,337,546	$	2,270,475