News

A&W reports healthy Q2

July 25, 2018

Canadian A&W business has been going strong for Q2 2018, with sam- store sales growth of 6.6 percent and an increase in royalty income from the same quarter last year of 11.3 percent, a news release said. 

Likewise, Q2 net income grew 10.7 percent over the same period last year,  while distributions increased 2.2 percent for the period ending June 17. The positive numbers bring year-to-date, same-store sales growth to 6 percent. 

The financial results, reported by A&W Revenue Royalties Income Fund (the Fund) and A&W Food Services of Canada Inc., indicated Canada's second-largest QSR burger chain is thriving this year, with 35 restaurants added to Fund's Royalty Pool in January 2018.

As a result of the performance, the Fund increased its monthly cash distributions from 13.8 per unit to 14.1 cents per unit beginning with the July 2018 distribution and payable on Aug. 31 to unitholders of record on Aug. 15.

"A focus on great tasting burgers made with high quality 'better' ingredients has delivered strong results and is contributing to winning guest visits and building loyalty, enhancing performance over the long term," A&W Food Services President and CEO Susan Senecal, said in the release. "We are also pleased with the success of our promotional programs and our progress in delivering a great experience to our guests."