MTY reports results for the second quarter of its 2016 fiscal period
MTY reports results for the second quarter of its 2016 fiscal period
Canada NewsWire
MONTREAL, July 7, 2016
TSX Trading Symbol: "MTY"
MONTREAL, July 7, 2016 /CNW Telbec/ - MTY Food Group Inc. ("MTY" or the "Company") (TSX: MTY), franchisor and operator of multiple concepts of restaurants, reports today the results of its operations for the second quarter of its 2016 fiscal year.
Highlights of the second quarter of 2016:
- EBITDA for the franchising segment increased by 1% in spite of the legal and consulting charges related to the acquisition of Kahala Brands Ltd.
- Consolidated EBITDA decreased by 5% mostly due to a weaker performance of the corporate stores segment
- Net income attributable to owners decreased by 2% compared to the second quarter of 2015
- Cash flows from operations grew by 5%. At the end of the quarter, the company had $43.6 million in cash, net of the line of credit of one of its subsidiaries.
- Same store sales were down by 0.5% during the quarter, with continuing difficult economic conditions prevailing in Alberta and Saskatchewan.
- System sales increased by 2%, to reach $274.8 million in the second quarter of 2016.
- At the end of the quarter, MTY's network had 2,688 locations in operations, of which 39 were corporate and 2,649 franchised.
|
(in thousands of $, except per share information) | ||||||
|
Three-month period ended |
Six-month period ended |
|||||
|
May 31, 2016 |
May 31, 2015 |
Variance |
May 31, 2016 |
May 31, 2015 |
Variance | |
|
Revenues |
35,362 |
38,355 |
(8%) |
70,682 |
70,719 |
(0%) |
|
Operating Expenses |
22,542 |
24,911 |
(10%) |
45,756 |
46,852 |
(2%) |
|
EBITDA |
12,820 |
13,444 |
(5%) |
24,926 |
23,867 |
4% |
|
Amortization and depreciation charges |
1,971 |
2,122 |
(7%) |
3,964 |
4,168 |
(5%) |
|
Other income and charges, including interest |
630 |
347 |
82% |
1,571 |
635 |
147% |
|
Income before taxes |
11,479 |
11,669 |
(2%) |
22,533 |
20,334 |
11% |
|
Net income attributable to shareholders |
8,335 |
8,501 |
(2%) |
16,262 |
14,720 |
10% |
|
Basic and diluted EPS |
0.44 |
0.44 |
0.85 |
0.77 |
||
|
Locations in operation |
2,688 |
2,792 |
(4%) | |||
|
System sales |
274,753 |
269,536 |
2% |
536,687 |
516,237 |
4% |
|
Same store sales |
-0.5% |
-0.1% |
+0.4% |
+0.3% |
||
Note: These are financial highlights only. Management's Discussion and Analysis, the condensed interim consolidated financial statements and notes thereto for the quarter ended May 31, 2016 are available on the SEDAR website at www.sedar.com and on the Company's website at www.mtygroup.com.
Certain information in this News Release may constitute "forward-looking" information that involves known and unknown risks, uncertainties, future expectations and other factors which may cause the actual results, performance or achievements of the Company or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. When used in this News Release, this information may include words such as "anticipate", "estimate", "may", "will", "expect", "believe", "plan" and other terminology. This information reflects current expectations regarding future events and operating performance and speaks only as of the date of this News Release. Except as required by law, we assume no obligation to update or revise forward-looking information to reflect new events or circumstances. Additional information is available in the Company's Management Discussion and Analysis, which can be found on SEDAR at www.sedar.com.
On Behalf of the Board of Directors of
MTY Food Group Inc.
_____________________________________
Stanley Ma, Chairman, President & CEO
SOURCE MTY Food Group Inc.
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