MTY reports record results for the second quarter of its 2014 fiscal period

TSX Trading Symbol: "MTY"

MONTREAL, July 9, 2014 /CNW Telbec/ - MTY Food Group Inc. ("MTY" or the "Company") (TSX: MTY), franchisor and operator of multiple concepts of quick service restaurants, reports today the results of its operations for the second quarter of its 2014 fiscal year.

Highlights of the second quarter of 2014:

• Net income attributable to owners reaches an historical high of $7.3 million ($0.38 per share) in the second quarter of 2014. This is a 16% increase compared to the same period in 2013.
• EBITDA for the quarter was up 19%, at $11.3 million, fueled by a strong performance of the franchising operations.
• The cash position as at May 31, 2014 was $5.4 million.
• System sales increased by 25% compared to 2013, reaching $219.0 million for the second quarter.
• Same-store-sales were down 2.0% during the quarter, impacted adversely by sluggish consumer spending and by intense competitive pressures.
• MTY operated 2,585  at the end of the second quarter
  
  

(in thousands of $, except per share information)
		Three months ended								Six months ended
		May 31, 2014				May 31, 2013		Variance		May 31, 2014		May 31, 2013		Variance
Revenue		29,402				25,342		16%		55,004		47,970		15%
Operating expenses		18,063				15,791		14%		34,179		29,616		15%
EBITDA		11,339				9,551		19%		20,825		18,354		13%
Income before taxes		10,046				8,365		20%		17,699		16,062		10%
Net income attributable to owners		7,269				6,250		16%		12,806		11,885		8%
Basic and fully diluted earnings per share		$0.38				$0.33				$0.67		$0.62

Note: These are financial highlights only. Management's Discussion and Analysis, the condensed interim consolidated financial statements and notes thereto for the quarter ended May 31, 2014 will be available on the SEDAR website at www.sedar.com and on the Company's website at www.mtygroup.com.

Certain information in this News Release may constitute "forward-looking" information that involves known and unknown risks, uncertainties, future expectations and other factors which may cause the actual results, performance or achievements of the Company or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information. When used in this News Release, this information may include words such as "anticipate", "estimate", "may", "will", "expect", "believe", "plan" and other terminology. This information reflects current expectations regarding future events and operating performance and speaks only as of the date of this News Release. Except as required by law, we assume no obligation to update or revise forward-looking information to reflect new events or circumstances. Additional information is available in the Company's Management Discussion and Analysis, which can be found on SEDAR at www.sedar.com.

On Behalf of the Board of Directors of
MTY Food Group Inc.

_____________________________________
Stanley Ma, Chairman, President & CEO

SOURCE: MTY Food Group Inc.

For more information please contact Eric Lefebvre, Chief Financial Officer at 1-514-336-8885 or by email at [email protected], or visit our website: www.mtygroup.com or SEDAR's website at www.sedar.com under the Company's name.