SIR Royalty Income Fund Announces Filing of SIR Corp. Fiscal 2026 First Quarter Results

Executive Summary

• SIR Royalty Income Fund reported Q1 2026 results with net income of $5.8 M, a swing from a $(5.3) M loss in Q1 2025, driven by higher restaurant revenues and favorable changes in the amortized cost of partnership units.
• Food‑and‑beverage revenue rose 10.3% year‑over‑year to $64.7 M, with consolidated same‑store sales (SSS) up 8.3%.
• The Fund added a new Jack Astor’s + Freida’s location in Oshawa (effective Jan 1 2027) and plans further Scaddabush expansions, while permanently closing several underperforming sites.

Key Details

• Revenue & Sales
• Food‑and‑beverage revenue: $64.7 M (Q1 2026) vs $58.7 M (Q1 2025) – +10.3%.
• Consolidated Same Store Sales (SSS): $62,645 K vs $57,851 K – +8.3%.

• Segment SSS growth:

  • Jack Astor’s: +7.0% (37,538 K → 35,070 K)
  • Scaddabush: +7.1% (19,291 K → 18,020 K)
  • Signature Restaurants: +22.2% (5,816 K → 4,761 K)

• Profitability

• Net income (loss) & comprehensive income (loss): $5.8 M vs $(5.3) M a year earlier.
• Adjusted Net Earnings: $0.8 M vs $(1.6) M in Q1 2025.

• Non‑cash change in amortized cost of partnership units contributed +$4.9 M (2025) versus an expense of $(3.7) M (2024).

• Liquidity & Capital Resources

• Cash balance (net of Partnership cash): $10.2 M as of Nov 23 2025, down from $12.5 M on Aug 31 2025.

• Borrowings: drawn $37.2 M of the $68.0 M credit facility.

• Operational Updates

• New Scaddabush location opened in Barrie (June 2025) – to be added to Royalty Pooled Restaurants Jan 1 2026.
• New Jack Astor’s + Freida’s restaurant opened in Oshawa (Dec 3 2025) – effective Jan 1 2027.
• Permanent closures: Jack Astor’s sites in North York (Sept 4 2024) and Longueuil (Apr 27 2025); Duke’s Refresher (Sept 15 2025).

• Lease agreements for two future Scaddabush sites in Windsor and Aurora – no guarantee of opening.

• Outlook & Risks

• Management monitoring macro‑economic factors: inflation, interest rates, cross‑border tariffs, minimum wage changes, commodity cost pressures.
• Continued focus on menu innovation, take‑out/delivery growth, and selective restaurant openings/renovations.

Notable Quotes

(No direct CEO/President quotes were included in the release.)