From GlobeNewswire.: 2024-05-09 17:15:00

The Keg Royalties Income Fund reported a decrease in Royalty Pool Sales by 5.5% to $181.2M for the quarter. Same Store Sales were down by 5.1%. Distributable Cash increased by 20.4% to $0.410/Fund unit. A special cash distribution of $0.08/Fund unit was paid on January 31, 2024. The Payout Ratio was 69.3% for the quarter.

The decrease in Royalty Pool Sales was attributed to sales decreases at comparable Royalty Pool restaurants, loss of sales due to closed restaurants, and negative impact of exchange rate decrease. Royalty income decreased by $425,000 to $7,250,000. Distributable Cash increased to $4,652,000 for the quarter. The Fund’s Payout Ratio decreased to 69.3%.

KRL President Nick Dean noted a 5.1% decline in same stores sales during the quarter. February saw strong System Sales with the highest Valentine’s Day sales since 2019. Chairman Kip Woodward mentioned that Distributable Cash for the quarter was positively impacted by changes in non-cash Working Capital, resulting in a decreased Payout Ratio for the quarter.

The Fund’s financial performance during the first quarter of 2024 remained satisfactory despite challenges faced by the full-service restaurant category. Distributable Cash saw an increase, Payout Ratio decreased, and the Fund remained well positioned financially with cash on hand of $2,040,000 and a positive Working Capital balance of $3,653,000 as of March 31, 2024. KRL continues to perform well despite industry challenges.



Read more at GlobeNewswire.:: The Keg Royalties Income Fund Announces First Quarter 2024