Our Strategy

Our Strategy

Strong today and even stronger tomorrow

UGI Corporation’s long-term goal is to grow the business, increase cash flow and create value for our shareholders, while at the same time ensuring safe and reliable operations for our customers, employees and communities. We will continue to deliver on this goal by executing our three-point strategy.

Our Three Point Strategy

Be the preferred provider in all markets

  • Build businesses of scale
  • Leverage our position as the last link in energy distribution
  • Protect and enhance our brands

Grow earnings through acquisitions, capital projects, and organic growth

  • Leverage successful programs and services across the corporation
  • Expand further into midstream
  • Seek new international markets

Capitalize on synergies and leverage strengths

  • Organic growth sets the foundation
  • Invest in adjacent geographies, leveraging our experience and products
  • Manage risk when investing in new areas or products
  • Focus on cash flow, limit commodity exposure and execute

Core Strategic Principles

01

Minimize commodity exposure

Distribution and services business, marketing volume hedged back-to-back, LPG customer volume hedged as service offering

02

Push boundaries of core business

Expanded into energy marketing in Europe, established portable LNG, entered Italian market LPG market

03

Maintain strong balance sheet

Outstanding cash flow, no debt at corporate level, additional debt capacity

04

Reduce weather dependence over time

Growing fee-based margin, AmeriGas Cylinder Exchange is counter-seasonal, National Accounts is less weather-dependent, increasing Utility fixed charges in base rate cases

05

Reduce P&L currency exchange rate volatility

Utilize a layered, three-year Fx hedging program to shave "peaks and valleys" caused by currency fluctuations