Ankeny-based Casey’s General Stores is reporting strong financial results, with second-quarter income up 14 percent compared to the same period last year.
During a conference call with investors, President and CEO Darren Rebelez said the company has closely studied how the economy is affecting customer behavior. He noted there is often a difference between how consumers feel about the economy and how they actually spend money.
Rebelez said middle- and upper-income customers generally feel positive about economic conditions, while lower-income customers are facing more financial pressure. Despite that, he said those customers still plan to visit convenience stores just as often, which has been reflected in Casey’s in-store traffic.
He said customers who are feeling the pinch may be more selective, often relying on coupons and special offers. Rebelez added that while gas prices have dropped, that is not the primary reason in-store sales have remained strong.
According to Rebelez, customers are focused on finding the best balance of quality and value. He said Casey’s expanded food offerings and focus on value have played a larger role in driving sales than lower fuel prices.
Rebelez also addressed the impact of federal SNAP benefits, saying less than two percent of Casey’s sales are SNAP-eligible. Because of that, he said government shutdowns or benefit delays have had little effect on the company’s overall business.
