MTY News & Analysis
2 articles
Market Mood
MTY Group Plans to Close 68 Restaurants, 50 at Papa Murphy's
MTY Group (MTY) announced plans to close 68 underperforming corporate-owned restaurants over the next six to nine months, with up to 50 closures at Papa Murphy's. The closures are part of a strategy to improve the performance of their corporate portfolio amid rising operating costs and competitive pressures. CEO Eric Lefebvre stated that these locations generated over CAD 10 million in losses. The first closures are set to begin the week of July 13, highlighting the impact of ongoing industry challenges. This matters for investors as it indicates a restructuring effort that may stabilize the company's financial health.
Read More: MTY Group Plans to Close 68 Restaurants, 50 at Papa Murphy's
MTY Food Group (TSE:MTY) Reports Q1 Same-Store Sales Decline of 2.5%
MTY Food Group (TSE:MTY) reported a 2.5% decline in same-store sales for Q1 2026, with Canada at -0.8% and the U.S. at -3.6%. Despite these results, management highlighted improved trends in March and April. Digital sales accounted for 23% of total sales, reflecting a 3% year-over-year increase when excluding foreign exchange impacts. MTY opened 52 new locations and closed 90 in the same period, while net debt stood at approximately CAD 549M with a leverage ratio of 1.9x. The figures suggest cautious optimism as the company anticipates positive net unit growth for the year.
Read More: MTY Food Group (TSE:MTY) Reports Q1 Same-Store Sales Decline of 2.5%