VANCOUVER — A&W Food Services of Canada Inc. and A&W Revenue Royalties Income Fund have reported positive second-quarter results for 2016.
A&W posted a solid quarter, despite the impact of difficult economic and market challenges in Alberta and Saskatchewan — two of the brand’s strongest markets.
The quarter saw same-store sales increase by 2.7 per cent, bringing year-to-date same-store sales growth to 5.4 per cent. Including this quarter, A&W has now reported positive same-store sales growth for 13 consecutive quarters.
Continuing strong same-store sales growth, along with the sales from 24 net new restaurants added to the A&W Revenue Royalties Income Fund’s Royalty Pool earlier this year, resulted in a six-per-cent increase in sales reported by restaurants in the Royalty Pool for the quarter.
“While the foodservice market was more challenged in the second quarter, we are pleased with our continued solid sales and financial performance,” says Paul Hollands, chairman and CEO of A&W Food Services. “Our results are especially noteworthy given our strong results from the same quarter last year. Our strategy to reposition and differentiate A&W as a “better burger” QSR restaurant continues to be very well received by our guests.”