Slide 1: Investor Presentation
Investor Presentation December 2021
Slide 2: Forward-Looking Statements
Forward-Looking Statements Some of the statements in this presentation constitute “forward-looking statements” about Sunoco LP (“SUN”, “we”, “our,” and “us”) that involve risks, uncertainties and assumptions, including, without limitation, the expected future performance of SUN (including expected r
Slide 3: Sunoco LP At A Glance
Sunoco LP At A Glance The Nation’s Largest Independent Fuel Distributor with Growing Energy Infrastructure Platform • ~7.5 billion gallons distributed (LTM 9/30/21) • ~7,300 dealer, distributor, and commission agent customers • ~2,500 commercial customers • 78 company-operated locations in Hawaii an
Slide 4: Attractive Fuel Distribution and Logistics Sector
Attractive Fuel Distribution and Logistics Sector Favorable Sector Fundamentals and Proven Ability to Adapt Ensures Income Optimization and Stability • Fuel volume recovery continues…with decades of demand remaining for traditional motor fuels • Breakeven economics provide durable gross profit • In
Slide 5: SUN's Unique Competitive Advantages
SUN’s Unique Competitive Advantages Refining Retail Terminals & Storage Wholesale Distribution Expanding midstream portfolio Scale provides purchasing power, cost • Acquired 10 terminals and 15 million barrels of efficiencies, and growth opportunities storage in 2020 and 2021 Enhanced margins from S
Slide 6: Disciplined & Diversified Growth Strategy
Disciplined & Diversified Growth Strategy Organic Growth Fuel Distribution Midstream • Leverage Sunoco brand and others to attract • Organic projects integrated with existing fuel new customers and retain existing partners distribution diversify and expand footprint • Upfront capital deployed to new
Slide 7: Growth from Strategic Acquisitions
Growth from Strategic Acquisitions Wholesale fuel Two refined products business located terminals in North in Texas Texas and Arkansas Wholesale fuels Eight refined product business in Texas and terminals in the Oklahoma Midwest and C-store, wholesale Wholesale fuels, Wholesale fuels Wholesale fuels
Slide 8: History of Delivering Results…
History of Delivering Results… Cost Efficient Model Total Operating Expenses(1) $1,600 • Post 2018 retail divestiture, SUN continues to lower expenses $1,200 -58% • Cost discipline provides tailwind to $800 -22% Adjusted EBITDA -11% -4% $400 • Efficiency enhances returns on invested capital * Midpoi
Slide 9: ...Has Strengthened Financial Position
...Has Strengthened Financial Position Improved Leverage Leverage Ratio 6.00x • Committed to strong balance sheet with long- term leverage ratio target of 4.0x 5.50x 5.00x • Ample liquidity through $1.5 billion revolving credit facility 4.50x 4.00x • Next Senior Note maturity in 2027 3.50x 2017 2018
Slide 10: Total Return Since New Strategic Direction
Total Return Since New Strategic Direction SUN +166%* 175% (23% annual return) Since April 2017, SUN has outperformed the S&P 500 by over 55% ... 125% In April 2017, SUN announced a new strategic 75% direction focusing on fuel S&P +110%* … while delivering distribution & logistics (17% annual return
Slide 11: 2022 Business Outlook and Guidance
Expect Continued Strong Performance – 2022 Business Outlook and Guidance Outlook / Key Metric Highlights Guidance 7.7 – 8.1 • Despite uncertainty in pace of demand recovery, expect Fuel Volume billion gallons continued year-over-year volume improvements 10.5 – 11.5 • Fuel margins will continue to be
Slide 12: Industry Transition Will Occur Over Decades, Not Years
Industry Transition Will Occur Over Decades, Not Years Two Scenarios of U.S Fleet Transition: • In the high growth scenario presented, EVs 1) Low EV Growth and 2) High EV Growth as a percentage of U.S. fleet are only ~44% in 100% 100% 2040… far less in lower growth scenario • Transition of U.S. flee
Slide 13: Environmental, Social and Governance
Environmental, Social and Governance Sunoco is committed to… … Operational … Socially Responsible … Effective Excellence Behavior Governance Rigorous Environmental Safe, Socially Responsible Starts at the Top Protocols Work Environment • Diverse board with three • Redundant leak detection • Stringen
Slide 14: Reconciliation of Adjusted EBITDA to Net Income
Reconciliation of Adjusted EBITDA to Net Income 14