EX-99.4

Exhibit 99.4

Parkland Corporation

Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

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Parkland Corporation

Consolidated Balance Sheets

(Unaudited)


($ millions)	Note		June 30, 2025			December 31, 2024
Assets
Current assets
Cash and cash equivalents				439			385
Accounts receivable				1,507			1,510
Inventories				1,442			1,511
Income taxes receivable				46			69
Risk management and other financial assets		7		15			68
Prepaid expenses and other				132			93
Assets classified as held for sale		4		115			842

				3,696			4,478
Non-current assets
Property, plant and equipment				5,399			5,032
Intangible assets				1,093			1,152
Goodwill				2,442			2,426
Investments in associates and joint ventures				341			344
Other long-term assets		5		396			333
Deferred tax assets				250			279

				13,617			14,044

Liabilities
Current liabilities
Accounts payable and accrued liabilities				2,477			2,613
Dividends declared and payable				63			61
Income taxes payable				67			21
Long-term debt – current portion		6		847			261
Provisions and other liabilities – current portion		9, 14		161			72
Risk management and other financial liabilities		7		72			62
Liabilities associated with assets held for sale		4		23			292

				3,710			3,382
Non-current liabilities
Long-term debt		6		5,618			6,380
Provisions and other liabilities		9		745			712
Deferred tax liabilities				361			383
Income taxes payable				10			21

				10,444			10,878

Shareholders’ equity
Shareholders’ capital		10		3,255			3,238
Contributed surplus				—			56
Accumulated other comprehensive income (loss)				(60	)		18
Retained earnings (deficit)				(22	)		(146	)

				3,173			3,166

				13,617			14,044

See accompanying notes to the interim condensed consolidated financial statements.


2		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Consolidated Statements of Income (Loss)

(Unaudited)


			Three months ended June 30,						Six months ended June 30,
($ millions, unless otherwise stated)	Note		2025			2024			2025			2024
Sales and operating revenue		15		6,874			7,504			13,687			14,443
Expenses
Cost of purchases		15		5,847			6,533			11,695			12,555
Operating costs				385			380			767			771
Marketing, general and administrative				151			146			301			291
Acquisition, integration and other costs		13		46			46			75			76
Depreciation and amortization				220			202			422			408
Finance costs		11		93			99			192			190
Foreign exchange (gain) loss		7		(16	)		7			(19	)		15
(Gain) loss on risk management and other		7		(35	)		4			24			79
Costs related to the Sunoco Transaction		1, 14		46			—			46			—
Other (gains) and losses		12		(70	)		(1	)		(89	)		9
Share of (earnings) loss of associates and joint ventures				(4	)		(2	)		(10	)		(7	)

Earnings (loss) before income taxes				211			90			283			56

Current income tax expense (recovery)				34			37			52			21
Deferred income tax expense (recovery)				5			(17	)		(5	)		(30	)

Net earnings (loss)				172			70			236			65

Net earnings (loss) per share ($ per share):
Basic				0.99			0.40			1.35			0.37
Diluted				0.97			0.39			1.34			0.37

Weighted average number of common shares (000’s of shares)				174,405			174,572			174,214			174,918

Weighted average number of common shares adjusted for the effects of dilution (000’s of shares)				176,541			177,491			176,037			177,733

See accompanying notes to the interim condensed consolidated financial statements.


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		3

Parkland Corporation

Consolidated Statements of Comprehensive Income (Loss)

(Unaudited)


			Three months ended June 30,						Six months ended June 30,
($ millions)	Note		2025			2024			2025			2024
Net earnings (loss)				172			70			236			65
Other comprehensive income (loss):
Items that may be reclassified to consolidated statements of income (loss) in subsequent periods:
Exchange differences on translation of foreign operations				(196	)		65			(218	)		173
Exchange differences on USD-denominated debt designated as a hedge of the net investment in foreign operations (“Net Investment Hedge”), net of tax		7		131			(43	)		139			(135	)
Changes in the fair value of cash flow hedges, net of tax		7		(43	)		(1	)		(42	)		(6	)
Hedging (gains) losses reclassified to the consolidated statements of income (loss)		7		39			1			41			6
Items that will not be reclassified to consolidated statements of income (loss) in subsequent periods:
Remeasurements on employee benefit plans				—			—			2			—

Other comprehensive income (loss)				(69	)		22			(78	)		38

Total comprehensive income (loss)				103			92			158			103

See accompanying notes to the interim condensed consolidated financial statements.


4		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Consolidated Statements of Changes in Shareholders’ Equity

(Unaudited)


($ millions)	Note		Shareholders’ capital			Contributed surplus			Accumulated other comprehensive income (loss)			Equity reserve			Retained earnings (deficit)			Total shareholders’ equity
As at January 1, 2025				3,238			56			18			—			(146	)		3,166
Net earnings (loss)				—			—			—			—			236			236
Other comprehensive income (loss)				—			—			(78	)		—			—			(78	)
Dividends				—			—			—			—			(126	)		(126	)
Share incentive compensation				—			14			—			—			—			14
Shares issued under share option plan		10		5			(1	)		—			—			—			4
Shares issued on vesting of performance share units		10		12			(21	)		—			—			—			(9	)
Transfer of unused contributions				—			(14	)		—			—			14			—
Acceleration of vesting related to the Sunoco Transaction		14		—			37			—			—			—			37
Transfer to liability on modification to cash-settled		14		—			(71	)		—			—			—			(71	)

As at June 30, 2025				3,255			—			(60	)		—			(22	)		3,173

As at January 1, 2024				3,257			90			(69	)		(106	)		9			3,181
Net earnings (loss)				—			—			—			—			65			65
Other comprehensive income (loss)				—			—			38			—			—			38
Dividends				—			—			—			—			(122	)		(122	)
Change in liability for share purchase obligation				—			—			—			73			—			73
Shares repurchased through normal-course issuer bid (“NCIB”)				(47	)		—			—			—			(64	)		(111	)
Share incentive compensation				—			12			—			—			—			12
Shares issued under share option plan				17			(2	)		—			—			—			15
Shares issued on vesting of performance share units				11			(24	)		—			—			—			(13	)
Transfer of unused contributions				—			(33	)		—			—			33			—

As at June 30, 2024				3,238			43			(31	)		(33	)		(79	)		3,138

See accompanying notes to the interim condensed consolidated financial statements.


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		5

Parkland Corporation

Consolidated Statements of Cash Flows

(Unaudited)


			Three months ended June 30,						Six months ended June 30,
($ millions)	Note		2025			2024			2025			2024
Operating activities
Net earnings (loss)				172			70			236			65
Adjustments for:
Depreciation and amortization				220			202			422			408
Interest on leases and long-term debt		11		83			88			172			173
Share incentive compensation		14		44			8			52			14
Change in other assets and other liabilities				7			(3	)		6			(31	)
Change in fair value of Redemption Options		12		(55	)		11			(76	)		24
Deferred income tax expense (recovery)				5			(17	)		(5	)		(30	)
Share of net (earnings) loss of associates and joint ventures				(4	)		(2	)		(10	)		(7	)
Other operating activities		3		(57	)		59			(43	)		72
Net change in non-cash working capital related to operating activities		3		87			34			34			(21	)

Cash generated from (used in) operating activities				502			450			788			667

Investing activities
Investment in associates and joint ventures				—			(17	)		—			(17	)
Dividends received from investments in associates and joint ventures				6			8			11			10
Additions to property, plant and equipment and intangible assets				(125	)		(94	)		(229	)		(183	)
Change in long-term receivables and other assets		5		(7	)		(1	)		(9	)		(4	)
Proceeds on asset disposals				5			2			13			4
Net change in non-cash working capital related to investing activities		3		(7	)		—			4			(5	)

Cash generated from (used in) investing activities				(128	)		(102	)		(210	)		(195	)

Financing activities
Net proceeds from (repayments of) the Credit Facility		6		(75	)		(158	)		(76	)		(19	)
Long-term debt (repayments) proceeds, excluding the Credit Facility and non-recourse debt		6		—			(1	)		—			(1	)
Net proceeds (repayments) from non-recourse debt				23			12			24			15
Interest paid on long-term debt and leases		11		(92	)		(107	)		(174	)		(173	)
Payments on principal amount on leases				(74	)		(64	)		(151	)		(135	)
Dividends paid to shareholders				(63	)		(61	)		(124	)		(121	)
Shares repurchased through normal-course issuer bid		10		—			(30	)		—			(109	)
Shares issued for cash, net of costs and taxes		10		1			(3	)		(5	)		2

Cash generated from (used in) financing activities				(280	)		(412	)		(506	)		(541	)

Increase (decrease) in cash and cash equivalents				94			(64	)		72			(69	)
Impact of foreign currency translation on cash				(17	)		7			(18	)		18
Cash and cash equivalents reclassified from (to) assets held for sale		4		—			(20	)		—			(20	)
Cash and cash equivalents at beginning of period				362			393			385			387

Cash and cash equivalents at end of period				439			316			439			316

Supplementary cash flow information:
Income taxes refunded (paid)				(19	)		(16	)		4			(28	)

See accompanying notes to the interim condensed consolidated financial statements.


6		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

1.	CORPORATE INFORMATION

Parkland is a leading international fuel distributor, marketer, and convenience retailer with safe and reliable operations in 26 countries across the Americas. Our retail network meets the fuel and convenience needs of everyday consumers. Our commercial operations provide businesses with fuel to operate, complete projects and better serve their customers. In addition to meeting our customers’ needs for essential fuels, Parkland provides a range of choices to help them lower their environmental impact, including manufacturing and blending renewable fuels, ultra-fast EV charging, a variety of solutions for carbon credits and renewables, and solar power. With approximately 4,000 retail and commercial locations across Canada, the United States and the Caribbean region, we have developed supply, distribution and trading capabilities to accelerate growth and business performance. Parkland is governed by the Business Corporations Act (Alberta) in Canada, and its corporate office is located at Suite 1800, 240 4 Ave SW, Calgary, Alberta, T2P 4H4, Canada. The interim condensed consolidated financial statements include the results of Parkland and its subsidiaries together with its interest in investments in associates and joint arrangements as at June 30, 2025.

Sunoco LP acquisition of Parkland

On May 5, 2025, Parkland and Sunoco LP (NYSE: SUN) (“Sunoco” or the “Partnership”) announced that they have entered into a definitive agreement (the “Agreement”) whereby Sunoco will indirectly acquire all outstanding shares of Parkland in a cash and equity transaction valued at approximately $12.5 billion, including assumed debt (the “Transaction” or the “Sunoco Transaction”). The proposed Transaction will be effected pursuant to a plan of arrangement under the Business Corporations Act (Alberta). As part of the Transaction, Sunoco intends to list on the New York Stock Exchange a Delaware limited liability company named SunocoCorp LLC (“SunocoCorp”). SunocoCorp will hold limited partnership units of Sunoco that have similar attributes to Sunoco’s publicly-traded common units on the basis of one Sunoco common unit for each outstanding SunocoCorp unit. Under the terms of the Agreement, Parkland shareholders will receive 0.295 SunocoCorp units and $19.80 for each Parkland share. Parkland shareholders can elect, in the alternative, to receive $44.00 per Parkland share in cash or 0.536 SunocoCorp units for each Parkland share, subject to pro-rations, cash and unit maximums, and adjustments as more particularly set out in the Agreement.

The Agreement imposes restrictions on Parkland prior to closing, including, without limitation, with respect to incurring capital expenditure or indebtedness or completing acquisitions and dispositions, in each case, above certain thresholds without prior written consent from Sunoco.

The Transaction was approved by Parkland’s shareholders on June 24, 2025, and is expected to close in the fourth quarter of 2025 upon the satisfaction of customary closing conditions, including regulatory approvals and stock exchange listing approvals.

2.	SUMMARY OF MATERIAL ACCOUNTING POLICIES

(a)

Basis of preparation and statement of compliance

Parkland’s interim condensed consolidated financial statements are prepared in accordance with International Accounting Standard (“IAS”) 34 - Interim Financial Reporting as issued by the International Accounting Standards Board (“IASB”). The interim condensed consolidated financial statements were prepared following the same accounting policies and methods of computation as the annual consolidated financial statements for the year ended December 31, 2024 (the “Annual Consolidated Financial Statements”) except for the changes and additions as per notes 2(d), 2(e) and 2(f) below and the recognition of income tax expense, which is based on an estimate of the weighted average effective annual income tax rate applied to the year-to-date earnings.

The interim condensed consolidated financial statements do not contain certain notes and disclosures normally included in the Annual Consolidated Financial Statements. Accordingly, these interim consolidated financial statements should be read in conjunction with the Annual Consolidated Financial Statements.

These interim condensed consolidated financial statements were approved for issue by the Board of Directors on August 5, 2025.


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		7

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

(b)

Presentation and functional currency

The interim condensed consolidated financial statements are presented in Canadian dollars, which is Parkland’s functional currency. The functional currency of each of Parkland’s individual entities is based on the currency that reflects the primary economic environment in which it operates.

(c)

Use of estimates and judgments

The preparation of Parkland’s financial statements requires management to make estimates and judgments that affect the reported amounts of revenue, expenses, assets, liabilities, and accompanying disclosures. Accordingly, actual results may differ from estimated amounts as future confirming events occur. Significant estimates and judgments used in the preparation of the interim condensed consolidated financial statements are described in the Annual Consolidated Financial Statements.

(d)

Changes in presentation

Certain shared costs for the comparative period related to marketing, general and administrative costs, were re-allocated to the remaining segments from corporate to conform to the current period allocation, which uses a more comprehensive and streamlined allocation of costs using the benefits received model and better aligns these costs to the relevant operating segments. Refer to note 15(a) for further details.

(e)

Accounting policies

The accounting policies adopted in the preparation of the interim condensed consolidated financial statements are consistent with those followed in the preparation of the Annual Consolidated Financial Statements, except for the addition of following related to the modification of equity-settled share option plan, performance share units (“PSU”), and restricted share units (“RSU”) as a result of the Sunoco Transaction:

When the terms of an equity-settled award are modified, the minimum expense recognised is the grant date fair value of the unmodified award, provided the original vesting terms of the award are met. The fair value, measured as at the date of modification, is recognised as an expense with a corresponding increase to contributed surplus, for any modification that increases the total fair value of the share-based payment transaction, or is otherwise beneficial to the employee. The expense related to the grant date and incremental fair value is recognized over the revised vesting period of the award, with a cumulative adjustment to the expense based on the revised vesting period on the date of modification.

When the terms of equity-settled share option, PSU, and RSU are modified to a cash-settled award, the fair value of the award on the modification date is transferred from contributed surplus reserve within equity to a liability within ‘provisions and other liabilities.

(f)

Amended standards adopted by Parkland

Parkland has adopted the following accounting amendment effective for the annual periods beginning January 1, 2025. The adoption of these amendments did not have a material impact on the interim condensed consolidated financial statements.

Amendments to IAS 21 - The Effects of Changes in Foreign Exchange Rates (“IAS 21”), issued in 2023, address the lack of exchangeability of illiquid currencies and specify how an entity determines the exchange rate when a currency is not readily exchangeable at the measurement date, as well as additional required disclosures. This amendment has been applied retrospectively.


8		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

3.	SUPPLEMENTAL CASH FLOW INFORMATION

(a)

Net change in non-cash working capital related to operating activities


	Three months ended June 30,						Six months ended June 30,
	2025			2024			2025			2024
Accounts receivable		79			20			14			(13	)
Inventories		91			82			(46	)		(3	)
Prepaid expenses and other		(38	)		(37	)		(46	)		(43	)
Accounts payable and accrued liabilities		(168	)		22			(21	)		42
Income taxes payable		11			22			36			7
Income taxes receivable		4			(1	)		20			(14	)
Deferred revenue		7			6			7			3
Risk management and other		101			(80	)		70			—

Net cash inflow (outflow) from changes in non-cash working capital related to operating activities		87			34			34			(21	)

(b)

Net change in non-cash working capital related to investing activities


	Three months ended June 30,					Six months ended June 30,
	2025			2024		2025		2024
Accounts payable and accrued liabilities		(7	)		—		4		(5	)

Net cash inflow (outflow) from changes in non-cash working capital related to investing activities		(7	)		—		4		(5	)

Cash held in margin and project financing current accounts as at June 30, 2025 amounted to $128 (June 30, 2024 - $63).

(c)

Other operating activities


			Three months ended June 30,						Six months ended June 30,
	Note		2025			2024			2025			2024
(Gain) loss on risk management and other - unrealized				(51	)		56			(48	)		59
Provision and other liabilities				—			—			(1	)		—
(Gain) loss on disposal of assets		12		(3	)		(1	)		(2	)		(3	)
Other items				(3	)		4			8			16

				(57	)		59			(43	)		72

4.	ASSETS AND LIABILITIES CLASSIFIED AS HELD FOR SALE

As part of Parkland’s portfolio optimization strategy, management committed to a plan to sell certain assets within the Canada and USA segments. Accordingly, these assets and associated liabilities are presented as held for sale.

The assets and associated liabilities include retail and commercial businesses (cardlock facilities, bulk storage plants and warehouses) located across Canada and the United States. The assets and liabilities classified as held for sale are presented below. Parkland measured its non-current assets classified as held for sale at the lower of the carrying amount and fair value less costs to sell.


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		9

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)


	Note		June 30, 2025		December 31, 2024
Assets classified as held for sale:
Accounts receivable				25		89
Inventories				8		38
Property, plant and equipment				62		578
Intangible assets				—		36
Goodwill⁽¹⁾				18		92
Deferred tax asset				2		9

Total assets classified as held for sale				115		842

Liabilities directly associated with assets classified as held for sale:
Accounts payable				1		47
Long-term debt⁽²⁾		6		2		141
Provisions and other liabilities		9		20		79
Deferred tax liabilities				—		25

Total liabilities associated with assets held for sale				23		292

⁽¹⁾	Goodwill has been allocated to the disposal groups on a relative fair value basis.

⁽²⁾	Long-term debt primarily includes lease obligations.

As at June 30, 2025, certain assets and associated liabilities, including certain retail sites within the Canada segment and our retail and commercial business in Florida within the USA segment, that were classified as held for sale at December 31, 2024, no longer met the asset-held-for-sale recognition criteria, due to a change in Parkland’s portfolio optimization strategy resulting from the Agreement with Sunoco (see Note 1). As a result, these were reclassified to their respective assets and liabilities on the consolidated balance sheets. This reclassification did not result in a material impact on the consolidated net earnings (loss) for the three and six months ended June 30, 2025.

As at June 30, 2025, the percentage of net assets attributable to Canada and USA segments is 76% and 24%, respectively, (December 31, 2024 - 28% and 72%).

5.	OTHER LONG-TERM ASSETS


	Note		June 30, 2025		December 31, 2024
Redemption Options⁽¹⁾		7		125		51
Deferred customer incentives				83		75
Long-term prepaid expenses, deposits, other assets and receivables				88		107
Note receivable				100		100

				396		333

⁽¹⁾	Represents the fair value of optional redemption features that allow Parkland to redeem the Senior Notes prior to maturity at a premium.


10		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

6.	LONG-TERM DEBT


	June 30, 2025			December 31, 2024
Credit Facility		123			198
Unamortized deferred financing costs		(1	)		(2	)

		122			196
Senior Notes:
3.875% Senior Notes, due 2026		600			600
5.875% US$500 Senior Notes, due 2027		684			718
6.00% Senior Notes, due 2028		400			400
4.375% Senior Notes, due 2029		600			600
4.50% US$800 Senior Notes, due 2029		1,095			1,148
4.625% US$800 Senior Notes, due 2030		1,095			1,148
6.625% US$500 Senior Notes, due 2032		684			718
Unamortized premium: Redemption Options		48			55
Unamortized discount: deferred financing costs		(29	)		(34	)

		5,177			5,353
Non-recourse debt⁽²⁾		55			30
Other notes and borrowings		7			8

Total Credit Facility, Senior Notes, Other notes and borrowings		5,361			5,587
Lease obligations⁽¹⁾		1,104			1,054

Total long-term debt		6,465			6,641
Less: current portion of Senior Notes⁽³⁾		(599	)		—
Less: current portion of Lease obligations		(248	)		(261	)

Long-term debt		5,618			6,380

⁽¹⁾	Parkland has included extension options in the calculation of the lease obligations in limited circumstances where it has the right to extend a lease term at its discretion and is reasonably certain to exercise the extension option.

⁽²⁾

For the three and six months ended June 30, 2025, $23 and $24 (June 30, 2024 - $12 and $15) were drawn on the non-recourse debt, respectively. As at June 30, 2025, the balance is comprised of $54 drawn to-date (December 31, 2024 - $30), less deferred government grant of $1 (December 31, 2024 - $1), plus accrued interest of $2 (December 31, 2024 - $1).

⁽³⁾	Includes the balance of the 3.875% Senior Notes, due 2026, net of unamortized premium and discount.

As at June 30, 2025, Parkland issued $64 million (December 31, 2024 - $74 million) of letters of credit to provide guarantees on behalf of its subsidiaries in the ordinary course of business, which are not recognized in the interim condensed consolidated financial statements. Maturity dates for these guarantees vary and are up to and including March 31, 2035.

On June 20, 2025, Parkland executed supplemental indentures to the Senior Notes (excluding the 3.875% Senior Notes due 2026) to eliminate Parkland’s potential obligation to make a change of control offer as a result of the Sunoco Transaction and to amend the definition of change of control to include Sunoco and its affiliates as qualified owners of Parkland.

7.	FINANCIAL INSTRUMENTS AND RISK MANAGEMENT ACTIVITIES

Parkland’s financial instruments consist of cash and cash equivalents, accounts receivable, certain portions of other long-term assets, risk management and other financial assets and liabilities, certain portions of prepaid expenses and other, accounts payable and accrued liabilities, dividends declared and payable, long-term debt, and certain portions of provisions and other liabilities.


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		11

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

(a)

Fair value measurement hierarchy

The fair value hierarchy table for Parkland’s financial assets and liabilities is as follows:


			Fair value as at June 30, 2025
	Note		Quoted prices in active market (Level 1)		Significant observable inputs (Level 2)			Significant unobservable inputs (Level 3)		Total
Commodities swaps, forwards and futures contracts				—		1			—		1
Emission credit forward and option contracts⁽¹⁾				—		13			—		13
Currency forward exchange contracts⁽²⁾				—		1			—		1

Risk management and other financial assets				—		15			—		15

Commodities swaps, forwards and futures contracts				—		(43	)		—		(43	)
Currency forward exchange contracts⁽²⁾				—		(16	)		—		(16	)
Emission credit forward and option contracts⁽¹⁾				—		(13	)		—		(13	)

Risk management and other financial liabilities				—		(72	)		—		(72	)

Other items included in other long-term assets:
Redemption Options		5		—		125			—		125

Other items included in other long-term assets				—		125			—		125


			Fair value as at December 31, 2024
	Note		Quoted prices in active market (Level 1)		Significant observable inputs (Level 2)			Significant unobservable inputs (Level 3)		Total
Emission credit forward and option contracts⁽¹⁾				—		44			—		44
Currency forward exchange contracts⁽²⁾				—		24			—		24

Risk management and other financial assets				—		68			—		68

Commodities swaps, forwards and futures contracts				—		(4	)		—		(4	)
Emission credit forward and option contracts⁽¹⁾				—		(58	)		—		(58	)

Risk management and other financial liabilities				—		(62	)		—		(62	)

Redemption Options		5		—		51			—		51

Other items included in other long-term assets				—		51			—		51

⁽¹⁾

Unrealized losses (gains) on emission credits forward contracts, option contracts, emission credits and allowances held for trading recognized within inventory, and the related emission obligations are realized when the contracts are settled, credits and allowances are purchased or sold, and the related obligations are settled. As at June 30, 2025, an unrealized loss of $7 (December 31, 2024: loss of $27) representing the fair value adjustment was included in emission credits and allowances held for trading within inventory with a fair value of $102 (December 31, 2024: $125) classified as level 2 in the fair value hierarchy.

⁽²⁾	The balance includes net risk management liability amounting to $15 as at June 30, 2025 (December 31, 2024 - $23 asset) in relation to the cash flow hedges. Refer to Note 7(d) for additional details of the cash flow hedges.

There were no changes in the nature, characteristics and risks of commodities swaps, forwards and futures contracts, currency forward exchange contracts, cross-currency and interest rate swap contracts, emission credit forward and option contracts, and Redemption Options that can result in change in class of financial assets and financial liabilities disclosed above. There were no transfers between fair value measurement hierarchy levels during the six months ended June 30, 2025.

(b)

Other financial instruments

The carrying values of cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities and dividends declared and payable approximate their fair values as at June 30, 2025 and December 31, 2024, due to the short-term nature of these instruments. The carrying value of the note receivable carried at amortized cost approximates its fair value, as the interest rate on the note receivable approximates the market rate of interest over the term of four years. The Senior Notes had a carrying value of $5,177 and an estimated fair value of $5,068 as at June 30, 2025 (December 31, 2024 – $5,353 and $5,115, respectively), determined by discounting future cash flows using discount rates ranging from 5.1% to 6.3% (December 31, 2024 - 5.5% to 6.9%), representing the rates available to Parkland for loans with similar terms, conditions and maturity dates. Estimated fair value of Senior Notes is classified as level 2 in the fair value hierarchy.


12		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

(c)

Net Investment Hedge

Parkland has designated certain USD-denominated debt and payable balances as a net investment hedge. During the three and six months ended June 30, 2025, Parkland recognized a foreign exchange gain, net of tax, of $131 and $139 respectively (2024 - loss, net of tax, of $43 and $135) on these balances, representing the effective portion of the hedge in other comprehensive income (loss), offsetting exchange differences on translation of foreign operations. As at June 30, 2025, the US$2,100 of USD-denominated long-term debt was designated as the net investment hedge (December 31, 2024 - US$2,179).

(d)

Cash Flow Hedges

To mitigate foreign exchange risk arising on revaluation of certain USD-denominated receivable and payable balances, Parkland enters into foreign currency forward contracts to buy and sell a fixed amount of US dollars for a fixed amount of Canadian dollars at a future date. These balances and the related foreign currency forwards are designated as a cash flow hedge.

As at June 30, 2025, Parkland had forward contracts to buy and sell US$250 and US$45 (December 31, 2024 - US$87 and nil) at the weighted average forward rate of CAD$1.37 per US dollar, maturing in August 2025 (December 31, 2024 - CAD $1.41 per US dollar and nil, maturing in January 2025). For the three and six months ended June 30, 2025, a revaluation loss of $9 and $10 (2024 - loss of $1 and $6) was recognized in other comprehensive income for the cash flow hedge and a total of $9 and $10 (2024 -$1 and $6) was reclassified from the accumulated other comprehensive income to consolidated statements of income (loss).

Parkland has entered into a three-year currency swap in relation to the issuance of the 2024 Senior Notes. The spot element of the cross-currency swap was designated in a cash flow hedge relationship to hedge the variability of the interest and principal cash flows of the 2024 Senior Notes. As at June 30, 2025, the fair value of the swap was a liability of $15 (December 31, 2024 - $21 asset). For the three and six months ended June 30, 2025, a revaluation loss of $34 and $32 on the hedging instrument (2024 - nil and nil) was recognized in other comprehensive income and a total loss of $30 and $31, respectively (2024 - nil and nil) was reclassified to consolidated statements of income (loss). As at June 30, 2025, the balance recognized in the cash flow hedge reserve on this hedge was a loss of $13 (December 31, 2024 - loss of $12).

(e)

Fair value measurement

Parkland used the following techniques to value financial instruments categorized in Level 2:

•

fair values of the outstanding heating oil, gasoline and refined products put and call option contracts are determined using external counterparty information, which is compared to observable data;

•

fair values of commodities forward contracts, futures contracts, emission credits and allowances inventory, forward and option contracts, currency forward exchange contracts, cross-currency and interest rate swap contracts are determined using independent price publications, third-party pricing services, market exchanges and investment dealer quotes;

•

fair values of the Redemption Options are determined using a valuation model based on inputs from observable market data, including independent price publications, third-party pricing services, and market exchanges.


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		13

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

8.	CAPITAL MANAGEMENT

Parkland’s capital structure comprises long-term debt (including the current portion) and shareholders’ capital, less cash and cash equivalents. Parkland’s objective when managing its capital structure is to maintain financial flexibility and availability of capital to finance internally generated growth and maintenance, pay dividends, and consider other growth and shareholder returns options. The transitory impacts of the Sunoco Transactions on Parkland’s objectives when managing its capital structure are outlined in Note 1.

(a)

Leverage Ratio

Parkland’s primary capital management measure is the Leverage Ratio, which is used internally by key management personnel to monitor Parkland’s overall financial strength, capital structure flexibility, ability to service debt and meet current and future commitments. In order to manage its financing requirements, Parkland may (i) adjust its plan for capital spending, dividends paid to shareholders, and share repurchases, or (ii) issue new shares or new debt. The Leverage Ratio does not have any standardized meaning prescribed under IFRS Accounting Standards. It is, therefore, unlikely to be comparable to similar measures presented by other companies. The detailed calculation of the Leverage Ratio is as follows:


			June 30, 2025			December 31, 2024
Leverage Debt				4,979			5,268
Leverage EBITDA				1,468			1,481
Leverage Ratio				3.4			3.6

	Note		June 30, 2025			December 31, 2024
Senior Funded Debt:
Long-term debt		6		6,465			6,641
Less:
Lease obligations		6		(1,104	)		(1,054	)
Cash and cash equivalents				(439	)		(385	)
Non-recourse debt⁽¹⁾		6		(55	)		(30	)
Risk management liability (asset)⁽²⁾				1			(30	)
Add:
Non-recourse cash⁽¹⁾				35			31
Letters of credit and others				76			95

Leverage Debt				4,979			5,268


			Three months ended												Trailing twelve months ended
	Note		Sept 30, 2024			Dec 31, 2024			Mar 31, 2025			June 30, 2025			June 30, 2025			December 31, 2024
Adjusted EBITDA		15		431			428			375			508			1,742			1,690
Share incentive compensation				6			11			8			7			32			31
Reverse: IFRS 16 impact⁽³⁾				(84	)		(91	)		(93	)		(90	)		(358	)		(338	)

				353			348			290			425			1,416			1,383

Acquisition pro-forma adjustment⁽⁴⁾																6			11
Other adjustments⁽⁵⁾																46			87

Leverage EBITDA																1,468			1,481

⁽¹⁾	Represents Non-recourse debt and Non-recourse cash balance related to project financing (see Note 6).

⁽²⁾	Represents the risk management asset/liability associated with the spot element of the cross-currency swap designated in a cash flow hedge relationship to hedge the variability of principal cash flows of the 2024 Senior Notes resulting from changes in the spot exchange rates (see Note 7).

⁽³⁾	Includes the impact of operating leases prior to the adoption of IFRS 16, previously recognized under operating costs, which aligns with management’s view of the impact of earnings.

⁽⁴⁾	Includes the impact of pro-forma pre-acquisition EBITDA estimates based on anticipated benefits, costs and synergies from acquisitions.

⁽⁵⁾	Includes adjustments to normalize Adjusted EBITDA for non-recurring events relating to the completion of turnarounds, unplanned shutdown resulting from extreme cold weather events, and the EBITDA attributable to EV charging operations financed through non-recourse project financing.


14		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

(b)

Credit Facility covenants

Parkland is required under the terms of its Credit Facility to comply with certain financial covenants consisting of (i) Senior Funded Debt to Credit Facility EBITDA ratio, (ii) Total Funded Debt to Credit Facility EBITDA ratio, and (iii) Interest coverage ratio (calculated as a ratio of Credit Facility EBITDA to Interest Expense) for each quarterly reporting period. The Credit Facility EBITDA, Senior Funded Debt and Interest Expense are defined under the terms of the Credit Facility and do not have any standardized meaning prescribed under IFRS Accounting Standards. They are, therefore, unlikely to be comparable to similar measures presented by other companies. Parkland was in compliance with all Credit Facility covenants throughout the six months ended June 30, 2025, and expects to remain in compliance over the next year.

9.	PROVISIONS AND OTHER LIABILITIES


	June 30, 2025		December 31, 2024
Asset retirement obligations - current (a)		13		5
Environmental provision - current (b)		2		2
Deferred revenue		33		25
Short-term deposits, provisions and other		34		40
Share-based compensation liability ⁽¹⁾		79		—

Provisions and other liabilities - current		161		72
Asset retirement obligations - non-current (a)		559		519
Environmental provision - non-current (b)		101		109
Employee benefits and other		25		26
Long-term deposits, provisions and other		60		58

Provisions and other liabilities - non-current		745		712

⁽¹⁾	Includes $8 (December 31, 2024 - nil) related to DSUs and $71 (December 31, 2024 - nil) related to PSUs, RSUs and share options. to be cash-settled on the closing of the Sunoco Transaction (also see Note 14).

(a)

Asset retirement obligations


	January 1, 2025 to June 30, 2025			January 1, 2024 to December 31, 2024
Asset retirement obligations, beginning of period		524			594
Additional provisions and changes in retirement cost estimates		17			21
Change due to passage of time, discount rate and inflation rate		(13	)		(30	)
Obligations settled or transferred during the period		(6	)		(13	)
Change due to foreign exchange		(9	)		17
Reclassification from (to) liabilities associated with assets classified as held for sale		59			(65	)

Asset retirement obligations, end of period		572			524

Current		13			5
Non-current		559			519

Asset retirement obligations, end of period		572			524

As at June 30, 2025, the inflation rate used to determine the value of future asset retirement costs ranged from 2.97% to 3.62% (December 31, 2024 - 2.97% to 3.24%), and the discount rate used to determine the present value of the future asset retirement costs ranged from 5.42% to 6.51% (December 31, 2024 - 4.98% to 6.38%). The total undiscounted estimated future cash flows required to settle Parkland’s asset retirement obligations (including certain obligations related to liabilities previously held for sale - see Note 4) were $1,199 as at June 30, 2025 (December 31, 2024 - $1,086). These costs are expected to be paid up to the year 2073 (December 31, 2024 - 2073).


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		15

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

(b)

Environmental provision


	January 1, 2025 to June 30, 2025			January 1, 2024 to December 31, 2024
Environmental provision, beginning of period		111			126
Additional provision made in the period		1			8
Change due to passage of time, discount rate and inflation rate		(5	)		(24	)
Obligations settled or transferred during the period		(1	)		(4	)
Change due to foreign exchange		(3	)		5

Environmental provision, end of period		103			111

Current		2			2
Non-current		101			109

Environmental provision, end of period		103			111

As at June 30, 2025, the inflation rate used to determine the value of future costs related to environmental activities ranged from 2.97% to 3.62% (December 31, 2024 - 2.97% to 3.24%), and the discount rates used to determine the present value of the future costs related to environmental activities ranged from 5.42% to 6.51% (December 31, 2024 - 4.98% to 6.38%). The total undiscounted estimated future cash flows required to settle Parkland’s environmental provision obligations were $701 as at June 30, 2025 (December 31, 2024 - $689). The amount and timing of settlement with respect to environmental provision are uncertain and dependent on various factors, including regulatory requirements.

10.

SHAREHOLDERS’ CAPITAL

Authorized capital of Parkland consists of an unlimited number of common shares and an unlimited number of preferred shares issuable in series without par value. There are no preferred shares outstanding. Changes to shareholders’ capital were as follows:


	January 1, 2025 to June 30, 2025				January 1, 2024 to December 31, 2024
	Number of common shares (000’s)		Amount ($ millions)		Number of common shares (000’s)			Amount ($ millions)
Shareholders’ capital, beginning of period		173,931		3,238		175,781			3,257
Issued under share option plan		123		5		630			23
Issued on vesting of performance share units		374		12		429			12
Shares repurchased through NCIB		—		—		(2,909	)		(54	)

Shareholders’ capital, end of period		174,428		3,255		173,931			3,238

During the three and six months ended June 30, 2025, Parkland purchased and cancelled nil common shares (2024 - 708,600 and 2,526,088, respectively) for a total of nil (2024 - $29 and $111, respectively) under the NCIB.

11.

FINANCE COSTS


	Three months ended				Six months ended
	June 30,				June 30,
	2025		2024		2025		2024
Interest on long-term debt		67		72		139		142
Interest on leases		16		16		33		31
Amortization, accretion and other finance costs		10		11		20		17

		93		99		192		190


16		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

12.

OTHER (GAINS) AND LOSSES


			Three months ended June 30,						Six months ended June 30,
	Note		2025			2024			2025			2024
(Gain) loss on disposal of assets				(3	)		(1	)		(2	)		(3	)
Change in fair value of Redemption Options⁽¹⁾		7		(55	)		11			(76	)		24
Change in estimates of environmental provision		9		(8	)		(12	)		(4	)		(16	)
Other income				(3	)		(3	)		(7	)		(5	)
Other				(1	)		4			—			9

				(70	)		(1	)		(89	)		9

⁽¹⁾	Represents the (gain)loss on changes in fair value of optional redemption features that allow Parkland to redeem the Senior Notes prior to maturity at a premium.

13.

ACQUISITION, INTEGRATION AND OTHER COSTS

Acquisition, integration and other costs for the three and six months ended June 30, 2025, primarily include the Implementation of enterprise-wide systems of $20 and $40 (2024 - $17 and $29), respectively, the restructuring activities related to outsourcing, transformation and cost efficiency initiatives of $13 and $24 (2024 - $17 and $20), respectively, the legal and strategic review costs of $9 and $11 (2024 - $2 and $3), respectively, and the settlement of certain items related to past acquisitions of nil and $(6) (2024 - $4 and $9), respectively and other costs of $4 and $6 (2024 - $6 and $15), respectively.

14.

SUNOCO TRANSACTION COSTS

For the three and six months ended June 30, 2025, Parkland recognized $46 (2024 - nil) as costs in relation to the Sunoco Transaction. These costs include $37, related to the acceleration of the vesting period associated with the share options, performance share units (“PSU”), and restricted share units (“RSU”) (collectively, “share units and options”) to the expected close of the Sunoco Transaction in the fourth quarter of 2025 . The share units and options were also modified to be cash-settled upon vesting on the transaction close date, and the modification resulted in a transfer of reserve from contributed surplus to provisions and other liabilities of $71 as at June 30, 2025 (December 31, 2024 - nil).

Transaction costs also include legal and other professional fees of $9 (2024 - nil), for the three and six months ended June 30, 2025. Financial advisor fees and other transaction related costs due on closing of the Transaction have not been accrued as part of the current costs, as these are contingent on transaction closing and will be recorded as part of Costs related to the Sunoco Transaction.

15.

SEGMENT AND OTHER INFORMATION

(a)

Operating segments

Parkland’s reportable operating segments are differentiated by the nature of their products, services, and geographic boundaries. Parkland also reports activities not directly attributable to an operating segment under Corporate. No operating segments have been aggregated into reportable segments. The basis of segmentation remains consistent with that disclosed in the Annual Consolidated Financial Statements.

General information

Parkland’s chief operating decision maker (“CODM”) uses adjusted earnings (loss) before interest, tax, depreciation and amortization (“Adjusted EBITDA”), as a measure of segment profit under IFRS 8. In addition to the items disclosed in the Annual Consolidated Financial Statements. Adjusted EBITDA excludes Costs related to the Sunoco Transaction, as these costs are not indicative of the underlying core operating performance of business segment activities at an operational level and are not reviewed as part of the segment information by the CODM.


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		17

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)


Segment information	Canada						International						USA						Refining						Corporate						Intersegment eliminations						Consolidated
For the three months ended June 30,	2025			2024			2025			2024			2025			2024			2025			2024			2025			2024			2025			2024			2025			2024
External fuel and petroleum product volume		3,269			3,139			1,692			1,713			1,132			1,114			632			425			—			—			—			—			6,725			6,391
Internal fuel and petroleum product volume⁽¹⁾		126			148			—			—			6			38			803			698			—			—			(935	)		(884	)		—			—

Total fuel and petroleum product volume (million litres)		3,395			3,287			1,692			1,713			1,138			1,152			1,435			1,123			—			—			(935	)		(884	)		6,725			6,391

Sales and operating revenue⁽²⁾
Revenue from external customers		3,379			3,675			1,859			2,129			1,250			1,385			386			315			—			—			—			—			6,874			7,504
Inter-segment revenue⁽¹⁾		120			134			—			—			8			41			823			822			4			3			(955	)		(1,000	)		—			—

Total sales and operating revenue		3,499			3,809			1,859			2,129			1,258			1,426			1,209			1,137			4			3			(955	)		(1,000	)		6,874			7,504
Cost of purchases		3,075			3,393			1,610			1,913			1,112			1,266			998			956			1			—			(949	)		(995	)		5,847			6,533
Adjusted gross margin
Fuel and petroleum product adjusted gross margin, before the following:		330			324			217			184			82			90			211			181			—			—			—			—			840			779
Gain (loss) on risk management and other - realized		9			(4	)		(25	)		44			(3	)		1			3			10			—			1			—			—			(16	)		52
Gain (loss) on foreign exchange - realized		6			(1	)		5			(1	)		—			—			(3	)		(1	)		4			(2	)		—			—			12			(5	)
Other adjusting items to adjusted gross margin⁽³⁾		(9	)		—			19			1			2			—			—			—			(4	)		1			—			—			8			2

Fuel and petroleum product adjusted gross margin		336			319			216			228			81			91			211			190			—			—			—			—			844			828
Food, convenience and other adjusted gross margin		94			92			32			32			64			70			—			—			3			3			(6	)		(5	)		187			192

Total adjusted gross margin		430			411			248			260			145			161			211			190			3			3			(6	)		(5	)		1,031			1,020
Operating costs		174			178			59			54			86			85			69			65			—			—			(3	)		(2	)		385			380
Marketing, general and administrative⁽⁶⁾		66			66			34			32			33			30			6			6			15			15			(3	)		(3	)		151			146
Share in (earnings) loss of associates and joint ventures		—			—			(4	)		(2	)		—			—			—			—			—			—			—			—			(4	)		(2	)
(Gain) loss on foreign exchange - realized⁽⁴⁾		—			—			—			—			—			—			—			—			—			(2	)		—			—			—			(2	)
Other adjusting items to Adjusted EBITDA⁽⁵⁾		—			(1	)		(9	)		(4	)		—			(1	)		—			—			—			—			—			—			(9	)		(6	)

Adjusted EBITDA		190			168			168			180			26			47			136			119			(12	)		(10	)		—			—			508			504

Reconciliation to net earnings (loss)
Adjusted EBITDA																																						508			504
Acquisition, integration and other costs																																						46			46
Depreciation and amortization																																						220			202
Finance costs																																						93			99
(Gain) loss on foreign exchange – unrealized																																						(4	)		4
(Gain) loss on risk management and other – unrealized																																						(51	)		56
Costs related to the Sunoco Transaction																																						46			—
Other (gains) and losses																																						(70	)		(1	)
Other adjusting items⁽³⁾⁽⁵⁾																																						17			8
Income tax expense (recovery)																																						39			20

Net earnings (loss)																																						172			70

⁽¹⁾	Internal fuel and petroleum product volume and inter-segment revenue includes transactions executed by Parkland where two Parkland group entities facilitate fuel and petroleum product exchange with the same third party. These exchange transactions are netted on consolidation.

⁽²⁾	See sections (c) and (d) for further details on sales and operating revenue.

⁽³⁾

Includes adjustment for realized gains and losses on risk management and other assets and liabilities related to underlying physical sales activity in another period of $19 loss for International (2024 - $1 loss), $9 gain for Canada (2024 - nil), and $2 loss for USA (2024 - nil); adjustment to foreign exchange gains and losses related to cash pooling arrangements of $4 for Corporate (2024 - $2); adjustment to realized risk management gains of nil for Corporate, related to interest rate swaps as these gains do not relate to commodity sale and purchase transactions (2024 - $1 gain).

⁽⁴⁾	Includes realized foreign exchange gains of nil for Corporate (2024 - $2) on the settlement of financing balances not included within adjusted gross margin as these gains do not relate to the commodity sale and purchase transactions.

⁽⁵⁾	Includes adjustment for the share of depreciation, income taxes and other adjustments for investments in joint ventures and associates of $8 for International (2024 - $3); and other income of $1 for International (2024 -$1), nil for Canada (2024 - $1), and nil for USA (2024 - $1).

⁽⁶⁾


18		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)


	Canada						International						USA						Refining						Corporate						Intersegment eliminations						Consolidated
For the six months ended June 30,	2025			2024			2025			2024			2025			2024			2025			2024			2025			2024			2025			2024			2025			2024
External fuel and petroleum product volume		6,498			6,162			3,429			3,410			2,133			2,211			970			894			—			—			—			—			13,030			12,677
Internal fuel and petroleum product volume⁽¹⁾		237			261			—			—			9			38			1,407			1,273			—			—			(1,653	)		(1,572	)		—			—

Total fuel and petroleum product volume (million litres)		6,735			6,423			3,429			3,410			2,142			2,249			2,377			2,167			—			—			(1,653	)		(1,572	)		13,030			12,677

Sales and operating revenue⁽²⁾
Revenue from external customers		6,734			6,943			3,912			4,194			2,418			2,653			623			653			—			—			—			—			13,687			14,443
Inter-segment revenue⁽¹⁾		217			248			—			—			11			43			1,507			1,487			6			5			(1,741	)		(1,783	)		—			—

Total sales and operating revenue		6,951			7,191			3,912			4,194			2,429			2,696			2,130			2,140			6			5			(1,741	)		(1,783	)		13,687			14,443
Cost of purchases		6,128			6,337			3,388			3,715			2,143			2,390			1,767			1,887			1			—			(1,732	)		(1,774	)		11,695			12,555
Adjusted gross margin
Fuel and petroleum product adjusted gross margin, before the following:		644			672			453			414			163			174			363			253			—			—			—			—			1,623			1,513
Gain (loss) on risk management and other - realized⁽⁶⁾⁽⁸⁾		(48	)		(11	)		(21	)		1			(4	)		—			1			(12	)		—			2			—			—			(72	)		(20	)
Gain (loss) on foreign exchange - realized		5			(1	)		3			(3	)		—			—			(2	)		(4	)		4			(5	)		—			—			10			(13	)
Other adjusting items to adjusted gross margin⁽³⁾⁽⁶⁾		(14	)		6			11			4			2			2			—			—			(4	)		2			—			—			(5	)		14

Fuel and petroleum product adjusted gross margin		587			666			446			416			161			176			362			237			—			(1	)		—			—			1,556			1,494
Food, convenience and other adjusted gross margin		179			182			71			65			123			132			—			—			5			5			(9	)		(9	)		369			375

Total adjusted gross margin		766			848			517			481			284			308			362			237			5			4			(9	)		(9	)		1,925			1,869
Operating costs		337			362			124			107			177			168			135			139			—			—			(6	)		(5	)		767			771
Marketing, general and administrative⁽⁷⁾		129			133			70			64			65			63			12			12			28			23			(3	)		(4	)		301			291
Share in (earnings) loss of associates and joint ventures		—			—			(10	)		(7	)		—			—			—			—			—			—			—			—			(10	)		(7	)
(Gain) loss on foreign exchange - realized⁽⁴⁾		—			—			—			—			—			—			—			—			—			(5	)		—			—			—			(5	)
Other adjusting items to Adjusted EBITDA⁽⁵⁾		—			(1	)		(16	)		(10	)		—			(1	)		—			—			—			—			—			—			(16	)		(12	)

Adjusted EBITDA		300			354			349			327			42			78			215			86			(23	)		(14	)		—			—			883			831

Reconciliation to net earnings (loss)
Adjusted EBITDA																																						883			831
Acquisition, integration and other costs																																						75			76
Depreciation and amortization																																						422			408
Finance costs																																						192			190
(Gain) loss on foreign exchange - unrealized																																						(9	)		7
(Gain) loss on risk management and other derivatives - unrealized⁽⁶⁾																																						(48	)		59
Costs related to the Sunoco Transaction																																						46			—
Other (gains) and losses																																						(89	)		9
Other adjusting items^(3)(5)(6)																																						11			26
Income tax expense (recovery)																																						47			(9	)

Net earnings (loss)																																						236			65

⁽¹⁾	Internal fuel and petroleum product volume and inter-segment revenue includes transactions executed by Parkland where two Parkland group entities facilitate fuel and petroleum product exchange with the same third party. These exchange transactions are netted on consolidation.

⁽²⁾	See sections (c) and (d) for further details on sales and operating revenue.

⁽³⁾

Includes adjustment for realized gains and losses on risk management and other assets and liabilities related to underlying physical sales activity in another period of $14 gain for Canada (2024 - $8 loss), $11 loss for International (2024 - $4 loss), and $2 loss for USA (2024 - nil); adjustment to foreign exchange gains and losses related to cash pooling arrangements of $4 for Corporate (2024 - $4); adjustment to realized risk management gains of nil for Corporate, related to interest rate swaps as these gains do not relate to commodity sale and purchase transactions (2024 - $2 gain); and other items of nil for Canada (2024 - $2 loss) and nil for USA (2024 - $2 gain).

⁽⁴⁾	Includes realized foreign exchange gains of nil for Corporate (2024 - $5) on the settlement of financing balances not included within adjusted gross margin as these gains do not relate to the commodity sale and purchase transactions.

⁽⁵⁾	Includes adjustment for the share of depreciation, income taxes and other adjustments for investments in joint ventures and associates of $13 for International (2024 - $7); and other income of $3 for International (2024 - $3), nil for Canada (2024 - $1), and nil for USA (2024 - $1).

⁽⁶⁾	For comparative purposes, certain amounts were reclassified between realized and unrealized gain/(loss) on risk management with no changes to Adjusted EBITDA or net earnings, to conform to the presentation used in the current period.

⁽⁷⁾

For comparative purposes, certain shared marketing, general and administrative costs within Corporate were reallocated to other segments as described in Note 2d. The reallocated amounts for the six months ended June 30, 2024, and the years ended December 31, 2024 and December 31, 2023, were: Canada ($9, $18 and $29 respectively), International ($4, $8 and $5 respectively), USA ($4, $8 and $6 respectively), Refining ($3, $5 and $5 respectively), and Corporate ($20, $39 and $45 respectively). The revised amounts for the years ended December 31, 2024 and December 31, 2023 were: Canada ($269 and $270, respectively), International ($131 and $120, respectively), USA ($127 and $115, respectively), Refining ($24 and $28, respectively), and Corporate ($62 and $73, respectively).

⁽⁸⁾	Gain (loss) on risk management and other - realized includes losses of $53 in Canada on emission credit forward and option contracts realized as a result of the commercial decision to wind down certain compliance market positions.


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		19

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

(b)

Property, plant, and equipment, intangible assets additions, acquisitions, and depreciation and amortization


	Canada				International				USA				Refining				Corporate				Consolidated
For the three months ended June 30,	2025		2024		2025		2024		2025		2024		2025		2024		2025		2024		2025		2024
Additions to property, plant and equipment and intangible assets⁽¹⁾		56		24		24		16		7		5		32		40		6		9		125		94
Depreciation and amortization		78		77		71		64		42		29		24		27		5		5		220		202
Depreciation and amortization

	Canada				International				USA				Refining				Corporate				Consolidated
For the six months ended June 30,	2025		2024		2025		2024		2025		2024		2025		2024		2025		2024		2025		2024
Additions to property, plant and equipment and intangible assets⁽¹⁾		94		46		45		22		14		9		67		91		9		15		229		183
Depreciation and amortization		151		154		145		130		66		57		49		55		11		12		422		408
Depreciation and amortization

⁽¹⁾	Property, plant and equipment additions and acquisitions do not include right-of-use assets.

(c)

Geographic information

Three months ended June 30,

Six months ended June 30,

Sales and operating revenue from external customers

2025

2024

2025

2024

Canada

3,515

3,846

6,739

7,241

United States

1,683

1,741

3,400

3,405

Other countries

1,676

1,917

3,548

3,797

6,874

7,504

13,687

14,443

June 30, 2025

Canada

United States

Other countries

Consolidated

Property, plant and equipment

3,171

897

1,331

5,399

Intangible assets

777

146

170

1,093

Goodwill

1,325

538

579

2,442

5,273

1,581

2,080

8,934

December 31, 2024

Canada

United States

Other countries

Consolidated

Property, plant and equipment

3,060

543

1,429

5,032

Intangible assets

810

136

206

1,152

Goodwill

1,303

514

609

2,426

5,173

1,193

2,244

8,610


20		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

(d)

Sales and operating revenue by product


	Canada				International				USA				Refining				Consolidated
For the three months ended June 30,	2025		2024		2025		2024		2025		2024		2025		2024		2025		2024
Gasoline and diesel		2,953		3,206		1,572		1,812		1,045		1,162		19		42		5,589		6,222
Liquid petroleum gas⁽¹⁾		51		72		22		25		2		2		—		—		75		99
Other fuel and petroleum products⁽²⁾		258		279		218		246		5		4		367		273		848		802

Fuel and petroleum product revenue		3,262		3,557		1,812		2,083		1,052		1,168		386		315		6,512		7,123
Food and convenience store⁽³⁾		83		82		7		7		82		91		—		—		172		180
Other retail⁽⁴⁾		4		3		7		7		1		1		—		—		12		11
Lubricants and other⁽⁵⁾		30		33		33		32		115		125		—		—		178		190

Food, convenience and other non-fuel revenue		117		118		47		46		198		217		—		—		362		381

External sales and operating revenue		3,379		3,675		1,859		2,129		1,250		1,385		386		315		6,874		7,504


	Canada				International				USA				Refining				Consolidated
For the six months ended June 30,	2025		2024		2025		2024		2025		2024		2025		2024		2025		2024
Gasoline and diesel		5,792		6,111		3,181		3,437		2,006		2,223		43		78		11,022		11,849
Liquid petroleum gas⁽¹⁾		196		223		51		54		12		7		—		—		259		284
Other fuel and petroleum products⁽²⁾		517		376		578		610		11		9		580		575		1,686		1,570

Fuel and petroleum product revenue		6,505		6,710		3,810		4,101		2,029		2,239		623		653		12,967		13,703
Food and convenience store⁽³⁾		162		160		13		13		154		168		—		—		329		341
Other retail⁽⁴⁾		8		7		14		14		2		3		—		—		24		24
Lubricants and other⁽⁵⁾		59		66		75		66		233		243		—		—		367		375

Food, convenience and other non-fuel revenue		229		233		102		93		389		414		—		—		720		740

External sales and operating revenue		6,734		6,943		3,912		4,194		2,418		2,653		623		653		13,687		14,443

⁽¹⁾	Liquid petroleum gas includes propane and butane.

⁽²⁾	Other fuel and petroleum products include crude oil, aviation fuel, asphalt, fuel oils, gas oils, ethanol, biodiesel and certain emission credits and allowances.

⁽³⁾

Food and convenience store revenue generated from Canada, International, and USA depends on the business model operated by each segment, and includes the sale of food and merchandise, suppliers’ rebates, royalties and license fees and rental income from retailers in the form of a percentage rent on convenience store sales.

⁽⁴⁾	Other retail revenue includes advertising revenue and other miscellaneous retail-related revenues.

⁽⁵⁾

Lubricants and other include lubricants, freight, tanks and parts installation, cylinder exchanges, other products and services, and revenue from operating leases. During the three and six months ended June 30, 2025, distribution terminals in Canada recognized revenue from operating leases of $8 and $16 (2024 - $6 and $13), respectively.


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		21

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)

16.

OTHER DISCLOSURES

In addition to the reportable operating segments disclosed above, Parkland also voluntarily discloses business performance by lines of business. The basis of line of business remains consistent with those disclosed in the Annual Consolidated Financial Statements.

(a)

Lines of business


	Retail⁽⁵⁾						Commercial⁽⁵⁾						Refining						Corporate						Eliminations						Consolidated
For the three months ended June 30,	2025			2024			2025			2024			2025			2024			2025			2024			2025			2024			2025			2024
External fuel and petroleum product volume⁽⁴⁾		2,721			2,646			3,372			3,320			632			425			—			—			—			—			6,725			6,391
Adjusted gross margin
Fuel and petroleum product adjusted gross margin⁽⁴⁾, before the following:		379			341			257			265			211			181			—			—			(7	)		(8	)		840			779
Gain (loss) on risk management and other - realized		3			12			(22	)		29			3			10			—			1			—			—			(16	)		52
Gain (loss) on foreign exchange - realized		—			—			11			(2	)		(3	)		(1	)		4			(2	)		—			—			12			(5	)
Other adjusting items to adjusted gross margin⁽¹⁾		—			—			12			1			—			—			(4	)		1			—			—			8			2

Fuel and petroleum product adjusted gross margin⁽⁴⁾		382			353			258			293			211			190			—			—			(7	)		(8	)		844			828
Food, convenience and other adjusted gross margin		113			119			77			77			—			—			3			3			(6	)		(7	)		187			192
Food, convenience and other adjusted gross margin
Total adjusted gross margin⁽⁴⁾		495			472			335			370			211			190			3			3			(13	)		(15	)		1,031			1,020
Operating costs⁽⁴⁾		182			188			143			140			69			65			—			—			(9	)		(13	)		385			380
Marketing, general and administrative⁽⁴⁾		65			64			69			63			6			6			15			15			(4	)		(2	)		151			146
Share in (earnings) loss of associates and joint ventures		(4	)		(3	)		—			1			—			—			—			—			—			—			(4	)		(2	)
(Gain) loss on foreign exchange - realized⁽²⁾		—			—			—			—			—			—			—			(2	)		—			—			—			(2	)
Other adjusting items to Adjusted EBITDA⁽³⁾		(3	)		(3	)		(6	)		(3	)		—			—			—			—			—			—			(9	)		(6	)

Adjusted EBITDA⁽⁴⁾		255			226			129			169			136			119			(12	)		(10	)		—			—			508			504

⁽¹⁾

Includes adjustment for realized gains and losses on risk management and other assets and liabilities related to underlying physical sales activity in another period of $12 loss for Commercial (2024 - $1 loss); and adjustment to foreign exchange gains and losses related to cash pooling arrangements of $4 for Corporate (2024 - $2); and adjustment to realized risk management gains of nil for Corporate, related to interest rate swaps as these gains do not relate to commodity sale and purchase transactions (2024 - $1 gain).

⁽²⁾	Includes realized foreign exchange gains of nil for Corporate (2024 - $2) on settlement of financing balances not included within adjusted gross margin as these gains do not relate to the commodity sale and purchase transactions.

⁽³⁾	Includes adjustment for the share of depreciation, income taxes and other adjustments for investments in joint ventures and associates of $3 for Retail (2024 - $3) and $5 for Commercial (2024 - nil); and other income of $1 for Commercial (2024 - $3).

⁽⁴⁾

For comparative purposes, certain amounts within (i) external fuel and petroleum product volume, (ii) fuel and petroleum product adjusted gross margin, (iii) total adjusted gross margin, (iv) operating costs, (v) Marketing, general and administrative, and (vi) Adjusted EBITDA were revised to conform to the presentation used in the current period. The amount of revision for the three months ended June 30, 2024, were: Retail (58 million litres, $1, $1, $6, $11, and $16 respectively); Commercial (58 million litres, $1, $1, $6, $3, and $8 respectively); Refining (nil, nil, nil, nil, $2, and $2 respectively); and Corporate (nil, nil, nil, nil, $10, and $10 respectively).

⁽⁵⁾	The Adjusted EBITDA for our marketing business, which includes both the Retail and Commercial lines of business, was $384 (2024 - $395).


22		Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)

Parkland Corporation

Notes to the Interim Condensed Consolidated Financial Statements (Unaudited)

For the three and six months ended June 30, 2025

($ millions, unless otherwise stated)


	Retail⁽⁶⁾						Commercial⁽⁶⁾						Refining						Corporate						Eliminations						Consolidated
For the six months ended June 30,	2025			2024			2025			2024			2025			2024			2025			2024			2025			2024			2025			2024
External fuel and petroleum product volume⁽⁵⁾		5,118			5,099			6,942			6,684			970			894			—			—			—			—			13,030			12,677

Adjusted gross margin
Fuel and petroleum product adjusted gross margin⁽⁵⁾, before the following:		715			668			559			607			363			253			—			—			(14	)		(15	)		1,623			1,513
Gain (loss) on risk management and other - realized⁽⁴⁾		7			5			(80	)		(15	)		1			(12	)		—			2			—			—			(72	)		(20	)
Gain (loss) on foreign exchange - realized		—			—			8			(4	)		(2	)		(4	)		4			(5	)		—			—			10			(13	)
Other adjusting items to adjusted gross margin⁽¹⁾⁽⁴⁾		—			—			(1	)		12			—			—			(4	)		2			—			—			(5	)		14

Fuel and petroleum product adjusted gross margin⁽⁵⁾		722			673			486			600			362			237			—			(1	)		(14	)		(15	)		1,556			1,494
Food, convenience and other adjusted gross margin		216			224			157			156			—			—			5			5			(9	)		(10	)		369			375

Total adjusted gross margin⁽⁵⁾		938			897			643			756			362			237			5			4			(23	)		(25	)		1,925			1,869
Operating costs⁽⁵⁾		360			364			291			290			135			139			—			—			(19	)		(22	)		767			771
Marketing, general and administrative⁽⁵⁾		129			125			136			134			12			12			28			23			(4	)		(3	)		301			291
Share in (earnings) loss of associates and joint ventures		(7	)		(7	)		(3	)		—			—			—			—			—			—			—			(10	)		(7	)
(Gain) loss on foreign exchange - realized⁽²⁾		—			—			—			—			—			—			—			(5	)		—			—			—			(5	)
Other adjusting items to Adjusted EBITDA⁽³⁾		(8	)		(7	)		(8	)		(5	)		—			—			—			—			—			—			(16	)		(12	)

Adjusted EBITDA⁽⁴⁾⁽⁵⁾		464			422			227			337			215			86			(23	)		(14	)		—			—			883			831

⁽¹⁾

Includes adjustment for realized gains and losses on risk management and other assets and liabilities related to underlying physical sales activity in another period of $1 gain for Commercial (2024 - $12 loss); and adjustment to foreign exchange gains and losses related to cash pooling arrangements of $4 for Corporate (2024 - $4); and adjustment to realized risk management gains of nil for Corporate, related to interest rate swaps as these gains do not relate to commodity sale and purchase transactions (2024 - $2 gain).

⁽²⁾	Includes realized foreign exchange gains of nil for Corporate (2024 - $5) on settlement of financing balances not included within adjusted gross margin as these gains do not relate to the commodity sale and purchase transactions.

⁽³⁾	Includes adjustment for the share of depreciation, income taxes and other adjustments for investments in joint ventures and associates of $8 for Retail (2024 - $7) and $5 for Commercial (2024 - nil); and other income of $3 for Commercial (2024 - $5).

⁽⁴⁾	For comparative purposes, certain amounts were reclassified between realized and unrealized gain/(loss) on risk management with no changes to Adjusted EBITDA or net earnings, to conform to the presentation used in the current period.

⁽⁵⁾

For comparative purposes, certain amounts within (i) external fuel and petroleum product volume, (ii) fuel and petroleum product adjusted gross margin, (iii) total adjusted gross margin, (iv) operating costs, (v) Marketing, general and administrative, and (vi) Adjusted EBITDA were revised to conform to the presentation used in the current period. The amount of revision for the six months ended June 30, 2024, were: Retail (112 million litres, $2, $2, $11, $23, and $32 respectively); Commercial (112 million litres, $2, $2, $11, $6, and $15 respectively); Refining (nil, nil, nil, nil, $3, and $3 respectively); and Corporate (nil, nil, nil, nil, $20, and $20 respectively).

⁽⁶⁾	The Adjusted EBITDA for our marketing business, which includes both the Retail and Commercial lines of business, was $691 (2024 - $759).


Parkland Corporation \| Q2 2025 Interim Condensed Consolidated Financial Statements (Unaudited)		23