A&W Food Services of Canada Inc (FRA:75X)
€ 22 -0.40 (-1.79%) Market Cap: 545.48 Mil Enterprise Value: 1.09 Bil PE Ratio: 15.54 PB Ratio: 3.97 GF Score: 11/100

Q3 2025 A&W Food Services of Canada Inc Earnings Call Transcript

Oct 17, 2025 / 08:00 PM GMT
Release Date Price: €22.8 (-0.87%)

Key Points

Positve
  • A&W Food Services of Canada Inc (TSX:AW) reported its third consecutive quarter of positive same-store sales growth, with system sales growth of 3.1% and same-store sales growth of 1.4% in Q3 2025.
  • The introduction of a dedicated value deals menu has been well-received, offering items under $4, which has increased accessibility and appeal to more customers.
  • The implementation of the new five-star operating system has led to improvements in speed of service and guest feedback, with approximately 900 restaurants completing the training.
  • A&W Food Services of Canada Inc (TSX:AW) opened 3 new restaurants in Q3, bringing the year-to-date total to 14, with a strategic focus on growth in Ontario and Quebec.
  • The company successfully raised over $1.7 million during its annual Burgers to Beat MS Day, surpassing the previous year's campaign.
Negative
  • Total revenue decreased by $4.8 million in Q3 2025, primarily due to fewer restaurant openings compared to the same quarter in 2024.
  • The broader economic effects of tariffs have impacted A&W system sales in 2025, affecting the disposable income of many Canadians.
  • Operating costs decreased by 31% compared to Q3 2024, correlating with the decrease in revenue and fewer new restaurant openings.
  • Net finance expense increased by $3.4 million in Q3 2025, primarily due to the increased average debt balance from financing the combination transaction in October 2024.
  • The company recognized an unrealized loss of $1.4 million on its interest rate swap in Q3 2025, which is a non-cash expense.


Refinitiv StreetEvents Event Transcript
E D I T E D V E R S I O N

AW.TO - A&W Food Services of Canada Inc
Q3 2025 A&W Food Services of Canada Inc Earnings Call
Oct 17, 2025 / 08:00PM GMT

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Presentation
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Unidentified_1 [1]
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Hello, everyone.

Thank you for joining us and welcome to the A&W Food Services of Canada Inc.s Q3 2025 Financial results call. After today's prepared remarks, we will host a question-and-answer session. If you would like to ask a question, please raise your hand. If you have dialed into today's call, please press 9 to raise your hand and 6 to unmute. I will now hand the call over to Susan Senecal, President and CEO. Please go ahead.

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Unidentified_2 [2]
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Thanks very much, Sarah, and good afternoon, everyone. Thanks
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