A&W raises cash distributions to unitholders, same-store sales up 10 per cent

 

An A&W Restaurant in Toronto is photographed on Monday, July 9, 2018. A&W Revenue Royalties Income Fund increased its distributions to unitholders as it reported its first-quarter profit fell to $5.7 million, compared with $6.3 million a year ago, due to a non-cash charge. THE CANADIAN PRESS/ Tijana Martin

VANCOUVER — A&W Revenue Royalties Income Fund increased its distributions to unitholders as it reported its first-quarter profit fell compared with a year ago due to a non-cash charge.

The fund says it will now pay a monthly cash distribution of 15.4 cents per unit, up from 14.7 cents per unit.

The increased payment to unitholders came as A&W reported a profit of $5.7 million, compared with $6.3 million a year ago due to a non-cash loss on an interest rate swap.

Sales reported by the restaurants in the royalty pool increased to $308.8 million compared with $267.7 million, while royalty income grew to $9.3 million compared with $8.0 million a year ago.

Same-store sales increased 10.0 per cent, while the number of restaurants in the royalty pool grew to 934 compared with 896 a year ago.

A&W Revenue Royalties Income Fund’s website describes it as a limited purpose trust established to invest in A&W Trade Marks Inc., which indirectly owns the trademarks used in the A&W restaurant business in Canada.

 

Companies in this story: (TSX:AW.UN)

 

 

The Canadian Press

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