10-Q: United States Gasoline Fund Q1 2026 Financial Results

United States Gasoline Fund, LP reports a net income of $58.2 million for the first quarter of 2026, driven by significant gains in gasoline futures contracts.

Summary

• Net income for the three months ended March 31, 2026, was $58,238,281, compared to $2,065,308 for the same period in 2025.
• Net asset value (NAV) per share increased from $61.77 at December 31, 2025, to $103.44 at March 31, 2026.
• Total assets grew to $150,167,997 as of March 31, 2026, up from $77,459,738 at the end of 2025.
• The fund held 1,115 NYMEX RBOB Gasoline Futures contracts as of March 31, 2026.
• Total return for the quarter was 67.46%.

Sentiment

Score: 8

Explanation: StockSavvy.ai views this as a strong performance report, highlighting significant gains in NAV and successful benchmark tracking despite inherent commodity market risks.

Positives

• Significant increase in net income and NAV per share during the quarter.
• Successful tracking of the Benchmark Futures Contract within the stated plus/minus 10% goal.
• Strong liquidity position with $121.2 million in cash and cash equivalents.
• Outperformed the benchmark return by 1.03% for the quarter.

Negatives

• Management fees and other expenses continue to impact total returns.
• The fund remains subject to market volatility and the inherent risks of commodity futures trading.
• Potential for tracking error due to contango and backwardation in the gasoline futures market.

Risks

• Market volatility in gasoline prices due to geopolitical conflicts and economic conditions.
• Potential for tracking error between share price and NAV.
• Credit risk associated with futures commission merchants and counterparties.
• Regulatory changes affecting position limits and accountability levels.
• Interest rate risk impacting the value of Treasury holdings.

Future Outlook

USCF anticipates that interest rates may continue to stagnate and that fees and expenses paid by the fund may be lower than interest earned, potentially allowing the fund to outperform its benchmark.

Management Comments

• USCF believes that market arbitrage opportunities will cause daily changes in the share price to closely track the daily changes in the per share NAV.
• USCF believes that over both the medium-term and the long-term, changes in the price of crude oil will exert the greatest influence on the price of refined petroleum products such as gasoline.

Industry Context

StockSavvy.ai notes that the fund's performance reflects the broader volatility in energy markets, specifically the significant rise in gasoline futures prices during Q1 2026, which contrasts with the more stable or bearish trends observed in previous periods.

Comparison to Industry Standards

• The fund's performance is consistent with other commodity-linked ETFs that utilize a rolling futures strategy.
• Tracking error remains within the industry-standard tolerance levels for commodity pools.

Legal Proceedings

• Ongoing litigation related to the United States Oil Fund, LP, including the Lucas Class Action and various derivative actions, which are currently stayed or pending.

Related Party Transactions

• Management fees paid to USCF, the general partner.
• Licensing fees paid to NYMEX.

Stakeholder Impact

• Shareholders benefited from a significant increase in NAV during the quarter.
• Authorized Participants continue to facilitate the creation and redemption of shares.

Next Steps

• Continue to manage the portfolio to track the Benchmark Futures Contract.
• Monitor market conditions and regulatory requirements for potential adjustments to investment strategy.

Key Dates

Recommendation

The fund is a commodity-tracking vehicle and not a traditional equity investment; therefore, a 'hold' is appropriate for investors seeking exposure to gasoline price movements, as the fund is performing according to its stated objective.

Keywords

UGA, Gasoline, Commodity Pool, Futures Contracts, RBOB, NYMEX, USCF