WORLD KINECT CORP

Previous wording

During the fourth quarter of 2024, we decided to take actions to exit certain operations, including the rationalization of certain assets and associated personnel within our North American land business as well as the disposal of our operations in Brazil. As a result of the actions taken in 2024, during the three months ended December 31, 2024, we recognized asset impairment charges of $3.1 million, wrote off accounts receivable totaling $4.4 million, and recognized additional charges for severance and other compensation costs of $1.4 million. As part of the asset rationalization initiatives, in April 2025, we signed and closed on the sale of WFL (UK) Ltd., which represents our U.K. land fuels business, for total estimated proceeds of $42.8 million (the "Watson Fuels sale"). See Note 3. Acquisitions and Divestitures for additional information.

Current wording

During the fourth quarter of 2024, we decided to take actions to exit certain operations, including the rationalization of certain assets and associated personnel within our North American land business as well as the disposal of our operations in Brazil. As a result of the actions taken in 2024, during the three months ended December 31, 2024, we recognized asset impairment charges of $3.1 million, wrote off accounts receivable totaling $4.4 million, and recognized additional charges for severance and other compensation costs of $1.4 million. As part of the asset rationalization initiatives, in April 2025, we signed and closed on the sale of WFL (UK) Ltd., which represents our U.K. land fuels business, for total proceeds of $42.8 million (the "Watson Fuels sale"). See Note 3. Acquisitions and Divestitures for additional information.

Previous wording

As a component of this company-wide transformation initiative, in June 2025, we launched a program intended to optimize our global finance and accounting operations. We expect to complete the transition activities associated with the global finance and accounting optimization in the fourth quarter of 2026. As a result, we recognized restructuring charges of $6.0 million during the three months ended June 30, 2025, composed of severance and other transition costs. We expect to recognize an additional $15.0 million in transition costs and one-time charges associated with the planned initiatives during the second half of 2025 and the year ending December 31, 2026. We expect this initiative to result in some initial cost savings beginning in 2026 and with increased savings in following years. Total cost savings for the five-year period from 2026 through 2030 are expected to be approximately $80 million.

Current wording

As a component of this company-wide transformation initiative, in June 2025, we launched a program intended to optimize our global finance and accounting operations. We expect to complete the transition activities associated with the global finance and accounting optimization in the fourth quarter of 2026. As a result, we recognized restructuring charges of $10.9 million during the second and third quarters of 2025, comprised of severance and other transition costs. We expect to recognize an additional $10.1 million in transition costs and one-time charges associated with the planned initiatives during the fourth quarter of 2025 and the year ending December 31, 2026. We expect this initiative to result in some initial cost savings beginning in 2026 and with increased savings in following years. Total cost savings for the five-year period from 2026 through 2030 are expected to be approximately $80 million.

Previous wording

In connection with our efforts to sharpen our portfolio of businesses and accelerate growth in our core businesses, we completed our sale of the Avinode Group and our portfolio of aviation FBO software products (the "Avinode sale") during the second quarter of 2024. See Note 3. Acquisitions and Divestitures for additional information.

Current wording

In connection with our efforts to sharpen our portfolio of businesses and accelerate growth in our core businesses, we completed our sale of the Avinode Group and our portfolio of aviation FBO software products (the "Avinode sale") during the second quarter of 2024. On September 3, 2025, we entered into a definitive agreement with Universal Weather and Aviation to acquire their Trip Support Services division (the "TSS Acquisition") for a total purchase price of approximately $220 million. See Note 3. Acquisitions and Divestitures for additional information.

Previous wording

Significant uncertainty remains regarding the extent to which recent changes in U.S. trade policy will impact international trade and demand for global transportation services. Tariffs and other trade restrictions can lead to continuing uncertainty and volatility in global financial and commodity markets, declining consumer confidence, lower personal and business travel and consequent demand for our fuel products. Additionally, in recent years, inflation in the United States and other jurisdictions in which we do business increased significantly, driven in part by supply chain disruptions, labor shortages and increased commodity prices, which generally resulted in higher costs. Inflation, however, decelerated in 2024 as supply chains stabilized.

Current wording

Significant uncertainty remains regarding the extent to which changes in U.S. policy will impact international trade and demand for global transportation services. Tariffs and other trade restrictions can lead to continuing uncertainty and volatility in global financial and commodity markets, declining consumer confidence, lower personal and business travel and consequent demand for our fuel products. Additionally, in recent years, inflation in the United States and other jurisdictions in which we do business increased significantly, driven in part by supply chain disruptions, labor shortages and increased commodity prices, which generally resulted in higher costs. Inflation, however, decelerated in 2024 as supply chains stabilized.

Previous wording

We have begun to see impacts associated with trade-related uncertainty. A significant or prolonged period of trade uncertainty or high inflation could adversely impact our results. Higher interest rates also typically increase the interest expense associated with our credit arrangements with banks and other parties that serve as important sources of liquidity for us, which can therefore negatively impact our results of operations for a particular period.

Current wording

We have seen some impact associated with changes in U.S. policy and trade-related uncertainty. A significant or prolonged period of trade uncertainty or high inflation could adversely impact our results. Higher interest rates also typically increase the interest expense associated with our credit arrangements with banks and other parties that serve as important sources of liquidity for us, which can therefore negatively impact our results of operations for a particular period.

Previous wording

Revenue. Our consolidated revenue for the three months ended June 30, 2025 was $9.0 billion, a decrease of $1.9 billion, or 18%, compared to the three months ended June 30, 2024, attributable to decreased revenue of $867.5 million, $643.6 million, and $410.9 million in our land, aviation, and marine segments, respectively, as discussed further below.

Current wording

Revenue. Our consolidated revenue for the three months ended September 30, 2025 was $9.4 billion, a decrease of $1.1 billion, or 10%, compared to the three months ended September 30, 2024, attributable to decreased revenue of $616.0 million, $350.3 million, and $132.8 million in our land, aviation, and marine segments, respectively, as discussed further below.

Previous wording

Gross Profit. Our gross profit for the three months ended June 30, 2025 was $232.4 million, a decrease of $12.8 million, or 5%, compared to the three months ended June 30, 2024, attributable to decreased gross profit of $13.4 million and $9.6 million in our land and marine segments, respectively, partially offset by increased gross profit of $10.2 million in our aviation segment, as discussed further below.

Current wording

Gross Profit. Our gross profit for the three months ended September 30, 2025 was $249.6 million, a decrease of $18.5 million, or 7%, compared to the three months ended September 30, 2024, attributable to decreased gross profit of $20.6 million and $11.7 million in our land and marine segments, respectively, partially offset by increased gross profit of $13.8 million in our aviation segment, as discussed further below.

Previous wording

Operating Expenses. Total operating expenses for the three months ended June 30, 2025 were $577.5 million compared to $200.0 million for the three months ended June 30, 2024. The increase in operating expenses was primarily attributable to goodwill and other asset impairment charges of $398.6 million recognized during the three months ended June 30, 2025, as discussed in Note 4. Goodwill and Note 6. Fair Value Measurements, partially offset by lower compensation and employee benefit costs and general and administrative expenses primarily driven by the sales of Avinode, Brazil, and Watson Fuels.

Current wording

Operating Expenses. Total operating expenses for the three months ended September 30, 2025 were $186.8 million, a decrease of $9.1 million, or 5%, compared to the three months ended September 30, 2024. The decrease in operating expenses was primarily attributable to lower compensation and employee benefit costs and general and administrative expenses primarily driven by the sales of Brazil and Watson Fuels, partially offset by increased restructuring charges, as discussed in Note 15. Restructuring and Exit Activities.

Previous wording

Non-Operating Income (Expense), net. For the three months ended June 30, 2025, we had net non-operating expense of $103.6 million compared to net non-operating income of $71.4 million for the three months ended June 30, 2024. The increase in non-operating expense of $175.0 million during the three months ended June 30, 2025 was primarily attributable to the $81.7 million loss on the sale of Watson Fuels during the three months ended June 30, 2025 compared to the $96.0 million gain recognized on the sale of Avinode during the three months ended June 30, 2024, as discussed in Note 3. Acquisitions and Divestitures.

Current wording

Non-Operating Income (Expense), net. For the three months ended September 30, 2025, we had net non-operating expense of $24.0 million compared to net non-operating expense of $22.6 million for the three months ended September 30, 2024. The increase in non-operating expense of $1.4 million during the three months ended September 30, 2025 was primarily attributable to an increase in foreign currency losses.

Previous wording

Income Taxes. For the three months ended June 30, 2025, we recognized an income tax benefit of $109.6 million, compared to income tax expense of $9.7 million for the three months ended June 30, 2024. The decrease of $119.3 million was primarily attributable to lower income before income taxes as well as changes in the mix of our worldwide earnings, and a net discrete tax benefit of $12.3 million compared to a net discrete tax expense of $4.9 million for the three months ended June 30, 2024. See Note 12. Income Taxes for additional information.

Current wording

Income Taxes. For the three months ended September 30, 2025, we recognized an income tax expense of $10.7 million, compared to income tax expense of $14.6 million for the three months ended September 30, 2024. The decrease of $4.0 million was primarily attributable to changes in the discrete tax expense. See Note 12. Income Taxes for additional information.

Previous wording

Revenues in our aviation segment were $4.7 billion for the three months ended June 30, 2025, a decrease of $643.6 million, or 12%, compared to the three months ended June 30, 2024. The decrease in revenue was driven by lower average prices, partially offset by an increase in volume. Average jet fuel price per gallon sold decreased by 16%. Total aviation volumes increased by 31.0 million gallons, or 2%, to 1.9 billion gallons.

Current wording

Revenues in our aviation segment were $4.9 billion for the three months ended September 30, 2025, a decrease of $350.3 million, or 7%, compared to the three months ended September 30, 2024. The decrease in revenue was driven by lower average prices and a decrease in volume. Average jet fuel price per gallon sold decreased by 4%. Total aviation volumes decreased by 75.5 million gallons, or 4%, to 1.8 billion gallons, driven largely by a reduction in lower margin activity.

Previous wording

Our aviation segment gross profit for the six months ended June 30, 2025 was $253.6 million, an increase of $17.5 million, or 7%, compared to the six months ended June 30, 2024. The increase in gross profit during the six months ended June 30, 2025 as compared to the prior year was primarily attributable to higher profit contribution from our operated airport locations in Europe and our business and general aviation activities, partially offset by a decrease in gross profit attributable to the Avinode sale, which closed during the second quarter of 2024.

Current wording

Aviation segment gross profit for the three months ended September 30, 2025 was $142.8 million, an increase of $13.8 million, or 11%, compared to the three months ended September 30, 2024. The increase in gross profit was primarily attributable to higher profit contribution from our operated airport locations in Europe, increased government sales, and our business and general aviation activities.

Previous wording

Income from operations in our aviation segment for the three months ended June 30, 2025 was $71.7 million, an increase of $3.7 million, or 5%, compared to the three months ended June 30, 2024, driven by the increase in gross profit discussed above, partially offset by an increase in operating expenses. The increase in operating expenses was primarily attributable to higher provision for credit losses compared to the three months ended June 30, 2024, which benefited from the recovery of a receivable previously written off as uncollectible, as well as increased restructuring charges as discussed under "Restructuring and Exit Activities" above, partially offset by lower compensation and general and administrative expenses associated with the Avinode sale.

Current wording

Income from operations in our aviation segment for the three months ended September 30, 2025 was $77.1 million, an increase of $8.4 million, or 12%, compared to the three months ended September 30, 2024, driven by the increase in gross profit discussed above, partially offset by an increase in operating expenses. The increase in operating expenses was primarily attributable to an increase in incentive compensation costs.

Previous wording

Revenues in our land segment were $2.4 billion for the three months ended June 30, 2025, a decrease of $867.5 million, or 26%, compared to the three months ended June 30, 2024. The decrease in revenue was driven by lower average fuel prices and a decrease in volume. Average fuel prices decreased by 21%. Total volumes decreased by 106.0 million, or 7%, to 1.3 billion gallons or gallon equivalents, primarily attributable to the sale of Watson Fuels and our fuel business in Brazil.

Current wording

Revenues in our land segment were $2.5 billion for the three months ended September 30, 2025, a decrease of $616.0 million, or 20%, compared to the three months ended September 30, 2024. The decrease in revenue was driven by lower average fuel prices and a decrease in volume. Average fuel prices decreased by 13%. Total volumes decreased by 113.1 million, or 8%, to 1.4 billion gallons or gallon equivalents, primarily attributable to the sale of Watson Fuels and our fuel business in Brazil.

Previous wording

Land segment gross profit for the three months ended June 30, 2025 was $67.4 million, a decrease of $13.4 million, or 17%, compared to the three months ended June 30, 2024. The decrease in gross profit was primarily attributable to the Watson Fuels sale, which closed during the second quarter of 2025, the exit from certain North American land operations during the fourth quarter of 2024, and lower profit contribution from our liquid fuel business in North America principally as a result of reduced demand.

Current wording

Land segment gross profit for the three months ended September 30, 2025 was $81.4 million, a decrease of $20.6 million, or 20%, compared to the three months ended September 30, 2024. The decrease in gross profit was primarily attributable to lower profit contribution from our liquid fuel business in North America, principally as a result of unfavorable market conditions, the Watson Fuels sale and the sale of our fuel business in Brazil, as well as the exit from certain North American land operations during the fourth quarter of 2024.

Previous wording

Loss from operations in our land segment for the three months ended June 30, 2025 was $366.9 million compared to a loss from operations of $4.2 million for the three months ended June 30, 2024. In addition to the decrease in gross profit discussed above, operating expenses increased due to goodwill and other asset impairment charges recognized during the three months ended June 30, 2025, as discussed in Note 4. Goodwill and Note 6. Fair Value Measurements, partially offset by reduced operating expenses associated with the sale of Watson Fuels in the second quarter of 2025 and the sale of our fuel business in Brazil. In addition, compensation and employee benefit costs were lower as a result of the 2025 Restructuring Plan initiatives, as discussed in "Restructuring and Exit Activities" above.

Current wording

Income from operations in our land segment for the three months ended September 30, 2025 was $11.7 million, a decrease of $3.4 million, or 23%, compared to the three months ended September 30, 2024, driven by the decrease in gross profit discussed above, partially offset by a decrease in operating expenses. The decrease in operating expenses was primarily attributable to reduced operating expenses associated with the sale of Watson Fuels in the second quarter of 2025 and the sale of our fuel business in Brazil. In addition, compensation and employee benefit costs were lower as a result of the 2025 Restructuring Plan initiatives.

Previous wording

Revenues in our marine segment were $1.9 billion for the three months ended June 30, 2025, a decrease of $410.9 million, or 18%, compared to the three months ended June 30, 2024. The decrease in revenue was driven by lower average fuel prices and a decrease in volume. The average price per metric ton of bunker fuel sold decreased by 12%. Total volumes decreased by 0.3 million metric tons, or 7%, to 3.9 million primarily due to lower demand in our resale businesses driven in part by continued market uncertainty with respect to international trade.

Current wording

Revenues in our marine segment were $2.0 billion for the three months ended September 30, 2025, a decrease of $132.8 million, or 6%, compared to the three months ended September 30, 2024. The decrease in revenue was driven by lower average fuel prices, partially offset by an increase in volume. The average price per metric ton of bunker fuel sold decreased by 9%. Total volumes increased by 0.1 million metric tons, or 3%, to 4.1 million.

Previous wording

Revenue. Our consolidated revenue for the six months ended June 30, 2025 was $18.5 billion, a decrease of $3.4 billion, or 16%, compared to the six months ended June 30, 2024, attributable to decreased revenue of $1.4 billion, $1.1 billion, and $868.5 million in our land, aviation, and marine segments, respectively, as discussed further below.

Current wording

Revenue. Our consolidated revenue for the nine months ended September 30, 2025 was $27.9 billion, a decrease of $4.5 billion, or 14%, compared to the nine months ended September 30, 2024, attributable to decreased revenue of $2.0 billion, $1.5 billion, and $1.0 billion in our land, aviation, and marine segments, respectively, as discussed further below.

Previous wording

Gross Profit. Our gross profit for the six months ended June 30, 2025 was $462.8 million, a decrease of $36.5 million, or 7%, compared to the six months ended June 30, 2024, attributable to decreased gross profit of $31.7 million and $22.3 million in our land and marine segments, respectively, partially offset by increased gross profit of $17.5 million in our aviation segment, as discussed further below.

Current wording

Gross Profit. Our gross profit for the nine months ended September 30, 2025 was $712.4 million, a decrease of $55.0 million, or 7%, compared to the nine months ended September 30, 2024, attributable to decreased gross profit of $52.2 million and $34.0 million in our land and marine segments, respectively, partially offset by increased gross profit of $31.2 million in our aviation segment, as discussed further below.

Previous wording

Operating Expenses. Total operating expenses for the six months ended June 30, 2025 were $814.5 million compared to $390.9 million for the six months ended June 30, 2024. The increase in operating expenses was primarily attributable to goodwill and other asset impairment charges of $443.1 million recognized during the six months ended June 30, 2025, as discussed in Note 4. Goodwill and Note 6. Fair Value Measurements, and increased restructuring charges, as discussed in Note 15. Restructuring and Exit Activities. These increase were partially offset by lower compensation and employee benefit costs and general and administrative expenses primarily driven by the sales of Avinode, Brazil, and Watson Fuels, as well as reduced compensation costs associated with cost reduction initiatives as part of our restructuring program.

Current wording

Operating Expenses. Total operating expenses for the nine months ended September 30, 2025 were $1.0 billion, an increase of $414.5 million, or 71%, compared to the nine months ended September 30, 2024. The increase in operating expenses was primarily attributable to goodwill and other asset impairment charges of $443.1 million recognized during the nine months ended September 30, 2025, as discussed in Note 4. Goodwill and Note 6. Fair Value Measurements, and increased restructuring charges, as discussed in Note 15. Restructuring and Exit Activities. These increases were partially offset by lower compensation and employee benefit costs and general and administrative expenses primarily driven by the sales of Avinode, Brazil, and Watson Fuels, as well as reduced compensation costs associated with cost reduction initiatives as part of our restructuring program.

Previous wording

Non-Operating Income (Expense), net. For the six months ended June 30, 2025, we had net non-operating expense of $125.1 million compared to net non-operating income of $38.6 million the six months ended June 30, 2024. The increase in non-operating income of $163.8 million during the six months ended June 30, 2025 was primarily attributable to the $81.7 million loss on the sale of Watson Fuels during the six months ended June 30, 2025 compared to the $96.0 million gain recognized on the sale of Avinode during the six months ended June 30, 2024, as discussed in Note 3. Acquisitions and Divestitures, partially offset by a decrease in interest expense, driven by a decrease in our average interest rates and daily borrowings, and an increase in foreign currency gains.

Current wording

Non-Operating Income (Expense), net. For the nine months ended September 30, 2025, we had net non-operating expense of $149.2 million compared to net non-operating income of $16.0 million for the nine months ended September 30, 2024. The increase in non-operating expense of $165.2 million during the nine months ended September 30, 2025 was primarily attributable to the $81.7 million loss on the sale of Watson Fuels during the nine months ended September 30, 2025 compared to the $96.0 million gain recognized on the sale of Avinode during the nine months ended September 30, 2024, as discussed in Note 3. Acquisitions and Divestitures, partially offset by a decrease in interest expense, driven by a decrease in our average interest rates and daily borrowings.

Previous wording

Income Taxes. For the six months ended June 30, 2025, we recognized income tax benefit of $116.4 million, compared to income tax expense of $13.0 million for the six months ended June 30, 2024. The decrease of $129.4 million was primarily attributable to lower income before income taxes as well as changes in the mix of our worldwide earnings, in addition to a net discrete tax benefit of $11.7 million as compared to a net discrete tax benefit of $0.2 million for the six months ended June 30, 2024. See Note 12. Income Taxes for additional information.

Current wording

Income Taxes. For the nine months ended September 30, 2025, we recognized income tax benefit of $105.8 million, compared to income tax expense of $27.6 million for the nine months ended September 30, 2024. The decrease of $133.4 million was primarily attributable to lower income before income taxes as well as changes in the mix of our worldwide earnings, in addition to a net discrete tax benefit of $12.8 million as compared to a net discrete tax expense of $2.7 million for the nine months ended September 30, 2024. See Note 12. Income Taxes for additional information.

Previous wording

Revenues in our aviation segment were $9.4 billion for the six months ended June 30, 2025, a decrease of $1.1 billion, or 11%, compared to the six months ended June 30, 2024. The decrease in revenue was driven by lower average prices, partially offset by an increase in volume. Average jet fuel price per gallon sold decreased by 14%. Total aviation volumes increased by 58.1 million gallons, or 2%, to 3.6 billion gallons.

Current wording

Revenues in our aviation segment were $14.2 billion for the nine months ended September 30, 2025, a decrease of $1.5 billion, or 9%, compared to the nine months ended September 30, 2024. The decrease in revenue was driven by lower average prices. Average jet fuel price per gallon sold decreased by 11%. Total aviation volumes were relatively flat compared to the nine months ended September 30, 2024.

Previous wording

Aviation segment gross profit for the three months ended June 30, 2025 was $138.0 million, an increase of $10.2 million, or 8%, compared to the three months ended June 30, 2024. The increase in gross profit was primarily attributable to higher profit contribution from our operated airport locations in Europe and our business and general aviation activities, partially offset by a decrease in gross profit attributable to the Avinode sale, which closed during the second quarter of 2024.

Current wording

Our aviation segment gross profit for the nine months ended September 30, 2025 was $396.4 million, an increase of $31.2 million, or 9%, compared to the nine months ended September 30, 2024. The increase in gross profit was primarily attributable to higher profit contribution from our operated airport locations in Europe, increased government sales, and our business and general aviation activities, partially offset by a decrease in gross profit attributable to the Avinode sale, which closed during the second quarter of 2024.

Previous wording

Income from operations in our aviation segment for the six months ended June 30, 2025 was $127.8 million, an increase of $15.8 million compared to the six months ended June 30, 2024. The increase in gross profit discussed above was partially offset by an increase in operating expenses of $1.6 million primarily attributable to increased restructuring charges as discussed under "Restructuring and Exit Activities" above, higher provision for credit losses compared to the six months ended June 30, 2024, which benefited from the recovery of a receivable previously written off as uncollectible, and higher general and administrative and compensation costs associated with increased business and general aviation activity. These increased expenses were partially offset by lower compensation and general and administrative expenses associated with the Avinode sale.

Current wording

Income from operations in our aviation segment for the nine months ended September 30, 2025 was $204.9 million, an increase of $24.3 million, or 13%, compared to the nine months ended September 30, 2024, driven by the increase in gross profit discussed above, partially offset by an increase in operating expenses. The increase in operating expenses was primarily attributable to higher general and administrative and compensation costs associated with increased business and general aviation activity, increased restructuring charges as discussed in Note 15. Restructuring and Exit Activities, and a higher provision for credit losses compared to the nine months ended September 30, 2024, which benefited from the recovery of a receivable previously written off as uncollectible. These increased expenses were partially offset by lower compensation and general and administrative expenses associated with the Avinode sale.

Previous wording

Revenues in our land segment were $5.3 billion for the six months ended June 30, 2025, a decrease of $1.4 billion, or 21%, compared to the six months ended June 30, 2024. The decrease in revenue was driven by lower average fuel prices and a decrease in volumes. Average fuel prices decreased by 15%. Total volumes decreased by 209.8 million, or 7%, to 2.8 billion gallons or gallon equivalents, primarily attributable to the sale of Watson Fuels and our fuel business in Brazil.

Current wording

Revenues in our land segment were $7.8 billion for the nine months ended September 30, 2025, a decrease of $2.0 billion, or 21%, compared to the nine months ended September 30, 2024. The decrease in revenue was driven by lower average fuel prices and a decrease in volumes. Average fuel prices decreased by 15%. Total volumes decreased by 322.9 million, or 7%, to 4.2 billion gallons or gallon equivalents, primarily attributable to the sale of Watson Fuels and our fuel business in Brazil.

Previous wording

Our land segment gross profit for the six months ended June 30, 2025 was $146.4 million, a decrease of $31.7 million, or 18%, compared to the six months ended June 30, 2024. The decrease in gross profit was primarily driven by lower profit contribution from our liquid fuel business in North America, principally as a result of reduced demand, as well as the exit from certain North American land operations during the fourth quarter of 2024 and the Watson Fuels sale, which closed during the second quarter of 2025.

Current wording

Our land segment gross profit for the nine months ended September 30, 2025 was $227.8 million, a decrease of $52.2 million, or 19%, compared to the nine months ended September 30, 2024. The decrease in gross profit was primarily driven by lower profit contributions from our liquid fuel business in North America, principally as a result of unfavorable market conditions, as well as our power business in Europe, the Watson Fuels sale, which closed during the second quarter of 2025, and the exit from certain North American land operations during the fourth quarter of 2024. These decreases were partially offset by higher profit contributions from our natural gas business in North America, driven by increased price volatility.

Previous wording

Loss from operations in our land segment for the six months ended June 30, 2025 was $412.2 million compared to income from operations of $14.2 million for the six months ended June 30, 2024. In addition to the decrease in gross profit discussed above, operating expenses increased principally related to goodwill and other asset impairment charges recognized during the three months ended June 30, 2025, as discussed in Note 4. Goodwill and Note 6. Fair Value Measurements, and restructuring charges, as discussed in "Restructuring and Exit Activities" above, partially offset by reduced operating expenses associated with the sale of Watson Fuels in the second quarter of 2025 and the sale of our fuel business in Brazil. In addition, compensation and employee benefit costs were lower as a result of the 2025 Restructuring Plan initiatives.

Current wording

Loss from operations in our land segment for the nine months ended September 30, 2025 was $400.4 million compared to income from operations of $29.4 million for the nine months ended September 30, 2024. In addition to the decrease in gross profit discussed above, operating expenses increased principally related to goodwill and other asset impairment charges recognized during the nine months ended September 30, 2025, as discussed in Note 4. Goodwill and Note 6. Fair Value Measurements, and restructuring charges, as discussed in Note 15. Restructuring and Exit Activities, partially offset by reduced operating expenses associated with the sale of Watson Fuels in the second quarter of 2025 and the sale of our fuel business in Brazil. In addition, compensation and employee benefit costs were lower as a result of the 2025 Restructuring Plan initiatives.

Previous wording

Revenues in our marine segment were $3.8 billion for the six months ended June 30, 2025, a decrease of $868.5 million, or 18%, compared to the six months ended June 30, 2024. The decrease in revenue was driven by a lower average prices, partially offset by a decrease in volume. The average price per metric ton of bunker fuel sold decreased by 9%. Total volumes decreased by 0.9 million metric tons, or 11%, to 7.6 million primarily due to lower demand in our resale businesses driven in part by continued market uncertainty with respect to international trade.

Current wording

Revenues in our marine segment were $5.8 billion for the nine months ended September 30, 2025, a decrease of $1.0 billion, or 15%, compared to the nine months ended September 30, 2024. The decrease in revenue was driven by a lower average prices and a decrease in volume. The average price per metric ton of bunker fuel sold decreased by 9%. Total volumes decreased by 0.8 million metric tons, or 6%, to 11.6 million primarily due to lower demand in our resale businesses driven in part by continued market uncertainty with respect to international trade.

Previous wording

Our marine segment gross profit for the six months ended June 30, 2025 was $62.8 million, a decrease of $22.3 million, or 26%, principally due to an unfavorable transaction tax settlement recognized in the second quarter of 2025 in addition to lower bunker fuel prices and further reduced volatility that had benefited prior year results, as well as reduced demand and lower margins in our resale and physical businesses as a result of market uncertainty.

Current wording

Our marine segment gross profit for the nine months ended September 30, 2025 was $88.2 million, a decrease of $34.0 million, or 28%, principally due to lower bunker fuel prices and further reduced market volatility, as well as a lower profit contribution from certain physical locations and an unfavorable transaction tax settlement recognized in the second quarter of 2025.

Previous wording

Loss from operations in our marine segment for the six months ended June 30, 2025 was $10.8 million compared to income from operations of $37.2 million for the six months ended June 30, 2024. In addition to the decrease in gross profit discussed above, operating expenses increased primarily as a result of asset impairment charges recognized during the three months ended June 30, 2025, as discussed in Note 6. Fair Value Measurements, partially offset by lower restructuring charges and a reduction in incentive compensation costs.

Current wording

Loss from operations in our marine segment for the nine months ended September 30, 2025 was $6.1 million compared to income from operations of $52.1 million for the nine months ended September 30, 2024. In addition to the decrease in gross profit discussed above, operating expenses increased primarily as a result of asset impairment charges recognized during the nine months ended September 30, 2025, as discussed in Note 6. Fair Value Measurements, partially offset by a reduction in incentive compensation costs and lower restructuring charges.

Previous wording

Receivables Purchase Agreements. We also have accounts receivable programs under receivables purchase agreements ("RPAs") that allow us to sell a specified amount of qualifying accounts receivable and receive cash consideration equal to the total balance, less an associated fee, which varies based on the outstanding accounts receivable at any given time. The RPAs provide the constituent banks with the ability to add or remove customers from these programs in their discretion based on, among other things, the level of risk exposure the bank is willing to accept with respect to any particular customer. The fees the banks charge us to purchase the receivables from these customers can also be impacted for these reasons.

Current wording

Receivables Purchase Agreements. We also have accounts receivable programs under receivables purchase agreements ("RPAs") that allow us to sell a specified amount of qualifying accounts receivable and receive cash consideration equal to the total balance, less an associated fee, which varies based on the outstanding accounts receivable at any given time. The RPAs provide the constituent banks with the ability to add or remove customers from these programs in their discretion based on, among other things, the level of risk exposure the bank is willing to accept with respect to any particular customer. The fees the banks charge us to purchase the receivables from these customers can also be impacted for these reasons. During the third quarter of 2025, we amended one of our RPAs to extend the term of the agreement and reduce the overall fee structure.

Previous wording

Cash is primarily used to fund working capital to support our operations as well as for strategic acquisitions and investments. There were no material changes in our expected future uses of liquidity from December 31, 2024 to June 30, 2025. For a discussion of these matters, refer to "Liquidity and Capital Resources" under Part II, Item 7 – Management's Discussion and Analysis of Financial Condition and Results of Operations of our 2024 10-K Report.

Current wording

Cash is primarily used to fund working capital to support our operations as well as for strategic acquisitions and investments. With the exception of the TSS Acquisition discussed below, there were no material changes in our expected future uses of liquidity from December 31, 2024 to September 30, 2025. For a discussion of these matters, refer to "Liquidity and Capital Resources" under Part II, Item 7 – Management's Discussion and Analysis of Financial Condition and Results of Operations of our 2024 10-K Report.

Previous wording

The following table reflects the major categories of cash flows for the six months ended June 30, 2025 and 2024 (in millions). For additional details, please see the unaudited Condensed Consolidated Statements of Cash Flows in this Quarterly Report on Form 10-Q.

Current wording

The following table reflects the major categories of cash flows for the nine months ended September 30, 2025 and 2024 (in millions). For additional details, please see the unaudited Condensed Consolidated Statements of Cash Flows in this Quarterly Report on Form 10-Q.

Previous wording

Operating Activities. For the six months ended June 30, 2025, net cash provided by operating activities was $142.6 million, compared to $178.1 million net cash provided during the six months ended June 30, 2024. The $35.5 million decrease in operating cash flows was principally due to cash used in our derivative activities driven by increased collateral requirements, income tax payments, and a decrease in our net income adjusted for noncash items (see "Results of Operations" for further details of the drivers impacting our net income. These decreases were partially offset by increased cash provided by our RPA activity, as well as cash provided by the collection of transaction tax refunds during the six months ended June 30, 2025.

Current wording

Operating Activities. For the nine months ended September 30, 2025, net cash provided by operating activities was $258.7 million, compared to $139.6 million net cash provided during the nine months ended September 30, 2024. The $119.1 million increase in operating cash flows was principally due to increased cash provided by our accounts payable and accounts receivable, inclusive of cash provided by our RPA activity, driven by the declining price environment during the nine months ended September 30, 2025, as well as cash provided by the collection of transaction tax refunds during the nine months ended September 30, 2025. These increased cash flows were partially offset by cash used in our derivative activities, driven by increased collateral requirements, and income tax payments.

Previous wording

Investing Activities. For the six months ended June 30, 2025, net cash used in investing activities was $4.8 million, compared to net cash provided of $163.8 million during the six months ended June 30, 2024. The net cash used in investing activities for the six months ended June 30, 2025 was primarily driven by capital expenditures of $30.1 million and asset acquisitions of $13.0 million, partially offset by $23.4 million net proceeds from the Watson Sale and $18.0 million of cash received from the net repayment of notes receivable. Net cash provided by investing activities for the six months ended June 30, 2024 was primarily driven by net proceeds of $200.4 million from the Avinode sale, as discussed in Note 3. Acquisitions and Divestitures, partially offset by capital expenditures of $32.1 million.

Current wording

Investing Activities. For the nine months ended September 30, 2025, net cash used in investing activities was $4.8 million, compared to net cash provided of $98.9 million during the nine months ended September 30, 2024. The net cash used in investing activities for the nine months ended September 30, 2025 was primarily driven by capital expenditures of $44.2 million and asset acquisitions of $13.3 million, partially offset by $23.4 million net proceeds from the Watson Sale and $27.1 million of cash received from the net repayment of notes receivable. Net cash provided by investing activities for the nine months ended September 30, 2024 was primarily driven by net proceeds of $200.1 million from the Avinode sale, as discussed in Note 3. Acquisitions and Divestitures, partially offset by capital expenditures of $50.3 million and the issuance of notes receivable of $47.9 million.

Previous wording

Financing Activities. For the six months ended June 30, 2025, net cash used in financing activities was $131.1 million compared to net cash used of $114.7 million for the six months ended June 30, 2024. The net cash used in financing activities for the six months ended June 30, 2025 was principally attributable to net repayments of debt of $58.8 million driven by the repayment of secured borrowings associated with the transfer of transaction taxes as well as net repayments under our Credit Facility, repurchases of common stock of $45.0 million, and dividend payments of $19.2 million. Net cash used in financing activities for the six months ended June 30, 2024 was primarily attributable to payments of deferred consideration related to prior acquisitions of $50.9 million, repurchases of common stock of $29.1 million, dividend payments of $18.5 million, and net repayments under our Credit Facility of $9.4 million.

Current wording

Financing Activities. For the nine months ended September 30, 2025, net cash used in financing activities was $163.7 million compared to net cash used of $162.6 million for the nine months ended September 30, 2024. The net cash used in financing activities for the nine months ended September 30, 2025 was principally attributable to net repayments of debt of $80.7 million driven by the repayment of secured borrowings associated with the transfer of transaction taxes as well as net repayments under our Credit Facility, repurchases of common stock of $45.0 million, and dividend payments of $30.3 million. Net cash used in financing activities for the nine months ended September 30, 2024 was primarily attributable to repurchases of common stock of $57.4 million, payments of deferred consideration related to prior acquisitions of $51.3 million, dividend payments of $28.6 million, and net repayments under our Credit Facility of $15.6 million.

Previous wording

The assumptions used in these assessments, particularly the expected growth rates, the profitability embedded in the projected cash flows provided by our legacy and newly acquired businesses, the discount rate and the market-based multiples, are defined based on available information as of the testing date considering current market volatility and geopolitical risks. When testing goodwill at our reporting units, we also consider the volatility in the Company's market capitalization and evaluate the potential impact that this volatility may have on the estimated fair value of our reporting units. As a result, we recognized a goodwill impairment charge of $359.0 million, which represents a partial impairment of goodwill in our land reporting unit. As of June 30, 2025, the remaining goodwill balances in our land and aviation reporting units were $471.3 million and $354.5 million, respectively. If our actual results differ significantly from the assumptions used to determined the fair value of the reporting unit, such impact could potentially result in additional goodwill impairment charges in future periods.

Current wording

The assumptions used in these assessments, particularly the expected growth rates, the profitability embedded in the projected cash flows provided by our legacy and newly acquired businesses, the discount rate and the market-based multiples, are defined based on available information as of the testing date considering current market volatility and geopolitical risks. When testing goodwill at our reporting units, we also consider the volatility in the Company's market capitalization and evaluate the potential impact that this volatility may have on the estimated fair value of our reporting units. As a result, we recognized a goodwill impairment charge of $359.0 million, which represents a partial impairment of goodwill in our land reporting unit. As of September 30, 2025, the remaining goodwill balances in our land and aviation reporting units were $471.0 million and $354.5 million, respectively. If our actual results differ significantly from the assumptions used to determined the fair value of the reporting unit, such impact could potentially result in additional goodwill impairment charges in future periods.