UPDATE 1-Parkland Income Fund’s Q1 earnings dip on lower margins

* Q1 earnings/unit C$0.09 vs C$0.40 yr ago

* Revenue up 49 pct to C$680.3 mln

May 17 (BestGrowthStock) – Parkland Income Fund (PKI_u.TO: ),
Canada’s largest national independent petroleum distributor,
reported lower quarterly earnings, hurt primarily by lower
refiners’ margins.

The fund said commercial and industrial fuel sales are
showing signs of modest 2010 recovery, on increased activity in
the forestry, trucking and oil and gas drilling industries.

For the first quarter ended March 31, net income was C$5.4
million ($5.22 million), or 9 Canadian cents per unit, compared
with C$19.8 million, or 40 Canadian cents apiece, a year ago.

Revenue rose 49 percent to C$680.3 million.

Analysts on average were expecting the company to earn 13
Canadian cents per unit on revenue of C$680.1 million,
according to Thomson Reuters I/B/E/S.

The fund said discounting by competitors put pressure on
retail prices in some markets, hurting its margins on a per
litre basis and its involvement with refiners’ margins for a
significant part of its supply volumes also impacted earnings.

Parkland said its earnings from this participation were
lower by C$16.7 million compared to last year.

Units of the Red Deer, Alberta-based company closed at
C$11.40 Friday on the Toronto Stock Exchange.

Stock Market Report

($1=1.035 Canadian Dollar)
(Reporting by Abhiram Nandakumar in Bangalore; Editing by Prem
Udayabhanu)

UPDATE 1-Parkland Income Fund’s Q1 earnings dip on lower margins