TORONTO, April 30, 2026 /CNW/ - Today, Aegis Brands Inc. (TSX:AEG) reports financial results for the first quarter ending March 29, 2026.
Highlights for the quarter:
Net income for the first quarter improved to $0.5 million, or $0.01 per share, compared to net income of $0.1 million, or $0.00 per share, in Q1 2025.
System sales increased 5.0% to $31.6 million and same store sales increased 1.3% compared to last year.
EBITDA for the first quarter increased to $1.2 million from $1.1 million in Q1 2025, representing year-over-year growth of 13.5%.
St. Louis Bar & Grill
St. Louis delivered a system sales increase of 5.0% to $31.6 million and same store sales growth of 1.3% in the first quarter. The continued sales growth in the last two quarters was driven by incremental promotional activity, operational improvements and contributions from locations opened in 2025.
Management was encouraged by the continued strength in the Company's core dine-in business, which was up 3.8% in the quarter, mainly supported by promotional activity including All-You-Can-Eat ("AYCE") campaigns and improvements in operations. These campaigns are structured as targeted, event-based promotions to drive traffic while improving store level economics. Additionally, management is focused on improving performance in the off-premise channel by enhancing visibility across third-party delivery platforms.
New Store Development
With improving franchisee economics, the Company continues to take a measured approach to new store development. Ontario remains a key focus for expansion, while Atlantic Canada locations continue to perform above system averages. The Company expects to increase the pace of development in 2026 relative to the prior years, with a continued emphasis on pairing quality locations with well-trained franchisees.
Franchisee Development
The Company continues to invest in franchisee capability through a comprehensive 11-week training program designed to develop high-performing owner-operators. The School of Extraordinary Hospitality forms a core component of this program and is also used to up-skill existing franchisees. Ongoing investment in the training team supports in-store coaching and operational execution, while the Multi-Unit Franchisee program is focused on preparing operators for disciplined expansion. Locations transferred to new franchisees have historically delivered a meaningful sales increase.
Renovations
Renovated locations have also shown significant sales increases following completion. Updated environments have contributed to improved guest experience, and more consistent performance outside of promotional periods, supporting stronger unit-level economics. The Company plans to continue its renovation program in 2026, prioritizing projects where returns support capital investment.
"We have built a stronger foundation for the system by enhancing franchisee capability, advancing our renovation program, and refining our promotional strategy," said Steven Pelton, President and CEO of Aegis Brands. "With this groundwork in place, we are well positioned to drive sustained same-store sales growth and pursue disciplined, strategic new store expansion, supporting continued momentum in both revenue and EBITDA."
CPG and Retail Expansion
St. Louis branded products are now available in five national retail banners across Ontario and Atlantic Canada, representing more than 1,000 locations, in addition to over 300 independent grocers. The product lineup currently includes seven items, consisting of four frozen wing offerings, two chip products and the St. Louis garlic dill sauce. Retail packaging incorporates promotional elements designed to encourage repeat restaurant visits.
Aegis
EBITDA for the first quarter increased to $1.2 million compared to $1.1 million in Q1 2025. Net income improved to $0.5 million for fiscal 2025 compared to $0.1 million in 2024, the result of a substantially reduced impact of discontinued operations, a more efficient overhead structure and improved sales.
Reconciliations of net income, the most directly comparable IFRS financial measure, to operating income, to EBITDA and adjusted EBITDA, to adjusted net earnings and adjusted net earnings per share are provided below.
First Quarter
13 weeks ended March 29, 2026 compared to 13 weeks ended March 30, 2025:
Net income to operating income:
(in thousands of Canadian dollars)
2026
2025
