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Segment Reporting
 12 Months Ended
Dec. 31, 2023
Segment Reporting [Abstract]  
Segment Reporting

Note 22. SEGMENT REPORTING

We conduct our business in two segments: 1) the wholesale segment and 2) the retail segment.

The wholesale segment includes the wholesale distribution of motor fuel to lessee dealers and independent dealers. We have exclusive motor fuel distribution contracts with lessee dealers who lease the property from us. We also have exclusive distribution contracts with independent dealers to distribute motor fuel but do not collect rent from the independent dealers.

The retail segment includes the retail sale of motor fuel at retail sites operated by commission agents and the sale of convenience merchandise items and the retail sale of motor fuel at company operated sites. A commission agent site is a retail site where we retain title to the motor fuel inventory and sell it directly to our end user customers. At commission agent retail sites, we manage motor fuel inventory pricing and retain the gross profit on motor fuel sales, less a commission to the agent who operates the retail site. Similar to our wholesale segment, we also generate revenues through leasing or subleasing real estate in our retail segment.

Unallocated items consist primarily of general and administrative expenses, depreciation, amortization and accretion expense, gains on dispositions and lease terminations, net, other income, interest expense and income tax expense. Total assets by segment are not presented as management does not currently assess performance or allocate resources based on that data.

During 2023, we converted 37 sites from lessee dealer and independent dealer sites in the wholesale segment to company operated sites in the retail segment.

The following table reflects activity related to our reportable segments (in thousands):

 

 

Wholesale

 

 

Retail

 

 

Unallocated

 

 

Consolidated

 

Year Ended December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

Revenues from fuel sales to external customers

 

$

2,215,110

 

 

$

1,751,846

 

 

$

—

 

 

$

3,966,956

 

Revenues from food and merchandise sales

 

 

—

 

 

 

315,957

 

 

 

—

 

 

 

315,957

 

Rent income

 

 

69,693

 

 

 

12,638

 

 

 

—

 

 

 

82,331

 

Other revenue

 

 

5,248

 

 

 

15,771

 

 

 

—

 

 

 

21,019

 

Total revenues

 

$

2,290,051

 

 

$

2,096,212

 

 

$

—

 

 

$

4,386,263

 

Operating income (loss)

 

$

90,813

 

 

$

96,709

 

 

$

(99,452

)

 

$

88,070

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

Revenues from fuel sales to external customers

 

$

2,612,258

 

 

$

1,971,806

 

 

$

—

 

 

$

4,584,064

 

Revenues from food and merchandise sales

 

 

—

 

 

 

280,191

 

 

 

—

 

 

 

280,191

 

Rent income

 

 

71,322

 

 

 

12,784

 

 

 

—

 

 

 

84,106

 

Other revenue

 

 

6,509

 

 

 

12,554

 

 

 

—

 

 

 

19,063

 

Total revenues

 

$

2,690,089

 

 

$

2,277,335

 

 

$

—

 

 

$

4,967,424

 

Operating income (loss)

 

$

93,667

 

 

$

107,396

 

 

$

(105,057

)

 

$

96,006

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31, 2021

 

 

 

 

 

 

 

 

 

 

 

 

Revenues from fuel sales to external customers

 

$

2,067,992

 

 

$

1,206,082

 

 

$

—

 

 

$

3,274,074

 

Revenues from food and merchandise sales

 

 

—

 

 

 

209,123

 

 

 

—

 

 

 

209,123

 

Rent income

 

 

71,536

 

 

 

11,646

 

 

 

—

 

 

 

83,182

 

Other revenue

 

 

3,721

 

 

 

9,159

 

 

 

—

 

 

 

12,880

 

Total revenues

 

$

2,143,249

 

 

$

1,436,010

 

 

$

—

 

 

$

3,579,259

 

Operating income (loss)

 

$

86,772

 

 

$

56,102

 

 

$

(106,745

)

 

$

36,129

 

 

 

Receivables relating to the revenue streams above are as follows (in thousands):

 

 

December 31,

 

 

 

2023

 

 

2022

 

Receivables from fuel and merchandise sales

 

$

28,467

 

 

$

28,959

 

Receivables for rent and other lease-related charges

 

 

3,155

 

 

 

2,609

 

Total accounts receivable

 

$

31,622

 

 

$

31,568

 

 

Performance obligations are satisfied as fuel is delivered to the customer and as merchandise is sold to the consumer. Many of our fuel contracts with our customers include minimum purchase volumes measured on a monthly basis, although revenue from such shortfalls is not material. Receivables from fuel are recognized on a per-gallon rate and are generally collected within 10 days of delivery.

The balance of unamortized costs incurred to obtain certain contracts with customers was $10.0 million and $10.9 million at December 31, 2023 and 2022, respectively. Amortization of such costs is recorded against operating revenues and amounted to $1.9 million, $1.7 million and $1.5 million for 2023, 2022 and 2021, respectively

Receivables from rent and other lease-related charges are generally collected at the beginning of the month.