Verdict Food Service

MTY Food Group sees 110% rise in Q2 2025 net income

Revenue remained stable at C$304.8m, driven by growth in the franchise and processing, distribution and retail segments.

Canada-based franchisor and operator of multiple restaurant concepts MTY Food Group has announced a significant 110% increase in net income attributable to owners, reaching C$57.28m ($41.8m) in the second quarter (Q2) of 2025.

This growth is largely due to a foreign exchange gain of C$35m, primarily on intercompany loans, despite a loss on translation in the unaudited condensed interim consolidated statement of comprehensive income.

For the first half of 2025, MTY Food Group's net income rose by 32.4% to C$59.03m, compared to C$44.58m in the same period of 2024.

The company's revenue remained stable at C$304.8m ($222.5m) in Q2 2025, driven by growth in the franchise and processing, distribution and retail segments, although there was a decline in the corporate segment.

In the first six months of 2025, revenue reached C$589.6m - a 1.2% increase from C$582.4m in the first half of 2024.

Adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) for Q2 2025 were C$69.28m, compared to C$73.19m in Q2 2024. For the first half of 2025, adjusted EBITDA stood at C$127.77m, down from C$132.46m in the same period of the previous year.

As of the end of Q2 2025, MTY Food Group's network comprised 7,046 locations, with 6,791 franchised or under operator agreements and 255 corporate-owned. The geographical distribution remained stable, with 57% in the US, 35% in Canada and 8% international.

During Q2 2025, MTY Food Group opened 76 locations and closed 77, compared to 85 openings and 90 closures in Q2 2024.

System sales reached C$1.46bn in Q2 2025, a slight year-on-year increase of 0.3%. The US segment saw a 1% sales decline due to decreased same-store sales, partially offset by positive foreign exchange impacts, while Canada achieved 3% organic growth.

Same-store sales decreased 1.9% year-on-year in Q2 2025.

Regionally, Canada saw 1.4% growth, the US experienced 3.8% decline and International sales dropped 2.9%.

Digital sales increased by 3% during the quarter, reaching C$296.7m compared to C$287.7m in Q2 2024.