Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) increased 20% year over year at Cumberland Farms to $215 million, Chief Financial Officer Mark Segal reported Monday on the company’s second-quarter earnings call.
Cumberland Farms was formerly known as EG Group.
“The second quarter represented another period of strong progress for Cumberland Farms,” Segal said. “We delivered strong EBITDA growth driven by fuel margins, U.S. grocery and merchandise performance, and solid results in Benelux, which helped offset a more challenging environment in Germany.
“We made significant progress against our strategic priorities, particularly around portfolio optimization and deleveraging, positioning the business for sustainable long-term growth,” he continued. “We remain focused on our core markets of the U.S., Germany and Benelux.”
- EG America, now Cumberland Farms, is No. 6 on CSP’s 2026 Top 202 ranking of convenience-store chains by U.S. store count.
The second quarter was a “transformative” one for Cumberland Farms, “marked by meaningful strategic initiatives that together with strong performance, positions us very well to continue our positive momentum,” Segal said.
Second-quarter performance was driven by accelerating momentum in the U.S., where favorable fuel margins and continued strength across the grocery and merchandise business supported profitability, Segal said.
Total gross profit of $734 million increased 6% compared with 2025’s second quarter, “demonstrating the resilience of the business model and the benefits of our diversified geographic footprint despite continued volatility across fuel markets,” he added.
From a segment perspective, robust performance in the U.S. more than offset a mixed fuel market environment in Europe, where headwinds in Germany were partially mitigated by strong margin performance across the Benelux markets, Segal said.
“We believe our second-quarter results reflect solid, disciplined performance and our ability to deliver value to our customers despite significant ongoing fuel-market volatility and a difficult operating environment,” he said.
Revenue growth remained strong during the quarter, supported by higher fuel prices, offsetting softer volumes, while profitability continued to outpace revenue growth, Segal said.
“This is reflected in our quarterly EBITDA growth and in our year-to-date adjusted EBITDA, which is up 25%,” he said. “This strong earnings performance showcases the resilience of our convenience model in today’s environment.”
3 primary drivers of earnings growth
There were three primary drivers of earnings growth during the second quarter, Segal said.
The first was fuel gross-profit performance, he said. In the second quarter, fuel gross profit increased by 12%, driven by effective pricing execution amid volatile crude and refined product markets.
“Our fuel margin was 49 cents per gallon, up from 42 cents in Q2 last year,” he said.
The second was resilient inside sales momentum, he said. U.S. and Europe inside same-store sales, excluding cigarettes, increased 60 basis points in the second quarter of 2026 and 1.1% year to date.
“With cigarettes included, inside same store sales decreased 70 basis points and 40 basis points, respectively, over the same periods,” Segal said. “Inside gross profit increased slightly to $339 million from $336 million in [second-quarter 2025].”
Third was continued strength in grocery and merchandise, he said.
“Quarterly grocery and merchandise revenue increased slightly to $891 million, up from $877 million, and gross profit margin rose 30 basis points to 28.5% from 28.2% in [second-quarter 2025],” Segal said.
The company remains focused on investing in attractive growth opportunities, particularly in the U.S., Segal said.
“On June 1, we completed the acquisition of Coen Markets, which is based in Pennsylvania and Ohio,” he said. “The acquisition further advances our U.S. growth strategy, densifies and expands our Northeast U.S. footprint, and strengthens our foodservice platform.”
EG Group this year rebranded to Cumberland Farms, the name of its flagship convenience-store brand in the United States, headquartered in Westborough, Massachusetts. It previously operated under the EG America banner for its U.S. business. As of Jan. 1, Cumberland Farms had a total of 1,464 U.S. sites, including company-operated locations, proprietary fuel sites and food outlets. Of that number, 643 are Cumberland Farms-branded locations as of March 31, according to a filing July 2 for a proposed initial public offering. The company operates 10 other proprietary brands in the United States.
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