Casey's General Stores, Inc. (CASY) Business Profile

What it does

Casey’s General Stores operates convenience stores that sell fuel, prepared meals and everyday goods to local customers and travelers. Founded in 1968, the company is headquartered in Ankeny, Iowa. Darren M. Rebelez is its president and chief executive.

Most stores have kitchens serving food such as pizza, sandwiches, donuts and breakfast items. Customers can buy pizza by the slice or order a whole pie. Stores also sell beverages, tobacco and nicotine products, groceries, health and beauty products, automotive supplies and other merchandise. All but six locations offered fuel as of April 30, 2026.

Casey’s operated 2,944 stores across 19 states at that date. Most use the Casey’s or Casey’s General Store name, while some operate as GoodStop (by Casey’s) or CEFCO. Some of those locations have limited prepared-food offerings because they lack full-service kitchens. Casey’s typically rebrands acquired stores after remodeling them to add a kitchen.

The company also manages fuel supply agreements for independent dealer sites and other wholesale locations that it does not operate. Its distribution centers supply merchandise and food to most stores, and Casey’s delivers the majority of its store fuel itself.

How it makes money

Casey’s primarily earns revenue by selling fuel and products inside its stores. It reports one operating segment, with fiscal 2026 revenue of $17.6 billion. First-quarter fiscal 2027 revenue was $5.68 billion.

Fuel brings customers to the pump, while the stores sell prepared food, drinks, groceries and other goods. Fuel accounted for 60.4% of total revenue in fiscal 2026. For the three fiscal years ended April 30, 2026, prepared food and dispensed beverages together with grocery and general merchandise generated about 36% of revenue but approximately 63% of revenue less cost of goods sold, excluding depreciation and amortization. That measure is not the same as operating profit: it does not include costs such as store labor and depreciation.

Casey’s sets retail fuel prices in a competitive market. Its fuel purchase agreements use prices indexed to market prices, and fuel profit per gallon can fluctuate significantly in the short term. For food and merchandise, its assortment includes national and regional brands as well as Casey’s private-label products. It also earns revenue from wholesale fuel and services such as car washes.

Repeat purchases are supported by the Casey’s Rewards program. Customers earn points on online, in-store or pump purchases and can redeem them for fuel discounts, eligible store products or school donations. Casey’s had over 11 million members in the program in the first quarter of fiscal 2027. Sales have historically been strongest from May through October, when customers tend to buy more fuel and certain convenience items.

Customers and how it sells

Casey’s serves shoppers seeking fuel, meals and convenience items. Customers can visit a store or fuel pump, order prepared food and use the company’s mobile app for its Rewards program. Rewards points can be earned from online, in-store or pump purchases. Almost all stores are open at least sixteen hours a day, seven days a week, although hours vary by location.

The company’s stores operated across 19 states as of April 30, 2026, with approximately half located in Iowa, Missouri and Illinois. Approximately 71% of stores were opened in areas with populations of fewer than 20,000 persons. Casey’s also operates in larger communities, where it faces a wider range of retail and food-service outlets.

In addition to retail customers, Casey’s supplies fuel to dealer sites and other wholesale locations that it does not own or operate. Those locations are excluded from its store count. The wholesale fuel network represented approximately 3% of total revenue for the year-ended April 30, 2026.

Casey’s owns most of its real estate, including substantially all of its stores. Its site selection considers the surrounding population and daily highway traffic.

Suppliers and costs

Casey’s prepares food in store kitchens and distributes merchandise from three centers in Iowa, Indiana and Missouri. Store orders are filled using company-operated delivery trucks; certain locations outside the distribution centers’ usual range, including stores in Florida, use a third-party distribution partner. Casey’s also owns a fuel terminal in Texas and supplies the majority of its stores’ fuel itself.

In fiscal 2026, most food and non-food items sent through the distribution centers were purchased directly from manufacturers. Casey’s does not typically enter long-term supply contracts for products sold in its stores. It may have a single supplier or a limited number of suppliers for certain products, although it believes alternatives and reserve quantities are available.

Cheese is Casey’s largest food cost, and its price can fluctuate. Casey’s said it was about 80% covered on cheese through early in the first quarter of its next fiscal year. Other costs include labor, transportation, insurance and credit card fees. Credit card fees were $279 million in fiscal 2026; those fees rise with transaction amounts, including when pump prices increase.

Competitive position

Casey’s competes for food, merchandise and fuel sales. In smaller towns, its rivals include local grocery and convenience stores, dollar stores, restaurants and fuel stations. In more populated communities, it also competes with grocery and drugstore chains, quick-service restaurants, supermarkets and discount stores. Fuel competition centers on price, location and convenience. Casey’s does not identify individual competitors by name.

The company says many of the smaller communities it serves are not served by national-chain convenience stores. It has kitchens in almost all stores, a pizza offering, private-label products and a Rewards program. Casey’s says about half of its stores do not have a national-brand pizza competitor. It also says its single-topping pizza is priced on average about $3 below a national-brand equivalent.

Our reading: Locations in smaller towns provide some local protection where national chains are absent, but local stores and restaurants still compete for the same customers. Our reading: The combination of kitchens and fuel gives Casey’s a way to compete for several shopping occasions, though customers can buy similar food and fuel elsewhere. Our reading: Rewards and distribution capabilities support repeat visits and store supply, but the evidence does not establish that either prevents competitors from matching the offer.

Growth opportunities

Casey’s grows by building and acquiring stores, remodeling acquired locations and expanding prepared food sales. It built or acquired 504 additional stores over the three-year period ended in fiscal 2026. The Fikes acquisition added 198 stores and a wholesale fuel network.

For fiscal 2027, Casey’s has a 120-store unit goal. It expects approximately half of the additions to come from newly built stores and half from small acquisitions. The company is also converting acquired CEFCO locations to the Casey’s format, typically adding kitchens where needed. In the first quarter of fiscal 2027, it remodeled 24 more stores. Casey’s said prepared-food and dispensed-beverage sales at remodeled locations had risen approximately 30% on average versus the same period before remodeling.

Food expansion is another part of the plan. Casey’s intends to extend its chicken wing offering across the remainder of its stores in coming fiscal years; wings were available in approximately 850 stores at the end of fiscal 2026. It is also selectively adding electric-vehicle charging where it sees customer demand.

Fiscal 2026 revenue increased 10.2%, primarily because of the Fikes acquisition’s contribution during the first six months of the year. In the first quarter of fiscal 2027, prepared food and dispensed beverage same-store sales increased 4.8%.

Structural risks

• Fuel demand and margins: Fuel is Casey’s largest revenue product. Greater vehicle efficiency, alternative-fuel vehicles or changes in driving habits could reduce fuel demand and store visits. Fuel revenue less cost of goods sold per gallon can also fluctuate significantly and unpredictably in the short term.
• Food and supply costs: Higher cheese, protein or other commodity costs can hurt store profitability if Casey’s cannot pass them on to customers. Distribution disruptions, supplier shortages or difficulty retaining drivers can also affect product availability and costs.
• Food safety and cybersecurity: Food contamination or illness linked to stores or suppliers could damage the brand and lead to claims. A data breach or technology disruption could interrupt operations, expose sensitive information and result in litigation or regulatory action.
• Labor and operating costs: Casey’s depends on recruiting and retaining store, distribution and driving staff. Wage increases and shortages can raise expenses or disrupt operations. Credit card fees also increase as transaction amounts rise.
• Regulation and fuel handling: Fuel storage and transport carry risks of spills, fires and environmental liabilities. Changes in rules governing food, fuel, labor or age-restricted products can increase compliance costs or affect sales.
• Growth execution: Casey’s may be unable to identify, acquire or integrate stores. Remodeling can also disrupt operations: approximately 1% of its store base had planned disruption from CEFCO conversions in the first quarter of fiscal 2027.

Bottom line

Our reading

Our reading: Casey’s combines a fuel retailer with a prepared-food and convenience business, using kitchens and distribution to serve customers across a largely smaller-town footprint. [item1]

Our reading: Store additions and kitchen conversions offer ways to expand the food business, but remodel disruption and acquisition integration are part of that approach. [item7, call_prepared]

Our reading: The business remains exposed to fuel margin swings, ingredient costs and the labor needed to operate stores and distribution. [item1a, item7]