Star Group, L.P. (NYSE:SGU) Q1 2023 Earnings Conference Call February 2, 2023 11:00 AM ET

Company Participants

Chris Witty – Investor Relations Advisor

Jeff Woosnam – President and Chief Executive Officer

Rich Ambury – Chief Financial Officer

Conference Call Participants

Tim Mullen – Laurelton Management

Operator

Good day and welcome to the Star Group Fiscal 2023 First Quarter Results Conference Call. All participants will be in a listen-only mode. [Operator Instructions] After today's presentation there will be an opportunity to ask questions. [Operator Instructions] Please note this event is being recorded.

I would now like to turn the conference over to Mr. Chris Witty, Investor Relations Advisor. Please go ahead sir.

Chris Witty

Thank you and good morning. With me on the call today are Jeff Woosnam, President and Chief Executive Officer; and Rich Ambury, Chief Financial Officer. I would now like to provide a brief Safe Harbor Statement. This conference call may include forward-looking statements that represent the company's expectations and beliefs concerning future events that involve risks and uncertainties that may cause the company's actual performance to be materially different from the performance indicated or implied by such statements. All statements other than statements of historical facts included in this conference call are forward-looking statements. Although the company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct.

Important factors that could cause actual results to differ materially from the company's expectations are disclosed in this conference call, the company's Annual Report on Form 10-K for the fiscal year ended September 30, 2022, and the company's other filings with the SEC. All subsequent written and oral forward-looking statements attributable to the company or persons acting on its behalf are expressly qualified in their entirety by the cautionary statements. Unless otherwise required by law, the company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, after the date of this conference call.

I'd now like to turn the call over to Jeff Woosnam. Jeff?

Jeff Woosnam

Thanks, Chris, and good morning everyone. The first quarter of fiscal 2023 was somewhat unusual in that during one month October. Temperatures were 130% colder than the prior year period. However, October is typically a transitional month for our customers with a lower overall impact on volume sold and it also falls outside of our weather hedge contract. The rest of the quarter's weather was only slightly colder than fiscal 2022 resulted in a $0.4 million charge against our weather hedge program. As a reminder, our weather hedge runs through March 31st, so this charge could be reversed depending on second quarter results. We were currently experiencing warmer than normal temperatures throughout our operating footprint.