The Company in a Nutshell
| Date Reviewed | 08/22/2025 |
| Company Name | Boston Pizza Royalties Income Fund |
| Symbol | BPF.UN.TO |
| Sector | Consumer Discretionary |
| Industry | Restaurants |
| Beta | 1.03 |
| PRO Rating | 3 |
| Dividend Safety | 2 |
Business Model
Boston Pizza Royalties Income Fund (the Fund) is a Canada-based open-ended trust. The Fund operates through its subsidiaries, Boston Pizza Holdings Trust, Boston Pizza Holdings GP Inc. and Boston Pizza Holdings Limited Partnership, its 80% owned subsidiary Boston Pizza GP Inc. (BPGP), and its interest in Boston Pizza Royalties Limited Partnership. BPGP is the managing general partner of Royalties LP. The Fund indirectly, through Royalties LP, acquire the trademarks and trade names owned by Boston Pizza International Inc. (BPI), including 'Boston Pizza' and other similar related items, logos and designs (collectively, the 'BP Rights') used in connection with the operation of Boston Pizza restaurants in Canada. The Company operates approximately 372 Boston Pizza Restaurants in the Royalty Pool, of which approximately 370 were operating and open for business to the public.
| Current price | 21.68 |
| ROE | 11.40 % |
| ROIC | 8.65 % |
| Shareholder Yield | 0.10 % |
| 5-Yr Total Return | 366.90 % |
| 1-Yr Total Return | 38.50 % |
| Next Earnings Date | 11-05-25 |
Latest Quarter Information
What the CEO said:
Marc Guay, Chair of the Board of Trustees, stated, “We are pleased to announce a 4.3% increase in the monthly cash distribution rate to a new rate of $0.120 per Unit, the highest level ever in the history of the Fund.” He credited Boston Pizza’s strong financial performance and rising cash balance for enabling the increase, while stressing caution: “Given the ongoing economic uncertainty, the trustees of the Fund remain cautious and will continue to closely monitor… to ensure stable and sustainable distribution flow to Unitholders.”
What we say:
2025-08-21, Boston Pizza Royalties Income Fund reported a strong quarter performance on EPS and revenue with +103% and +6.3% respectively. Revenue rose 6.3% to CAD 13.4M, driven by strong 6.4% SRS growth. EPS climbed to CAD 0.67 from CAD 0.35 on fair value gains, higher royalty/distribution income, and lower financing costs, partly offset by higher taxes. Monthly distributions were raised 4.3% to CAD 0.120, the highest in Fund history (CAD 1.44 annualized). SRS marked its strongest growth since 2012 (ex-COVID), fueled by promotions and take-out/delivery momentum. Trustees cited cash strength as support for higher payouts amid economic caution.
Investment Thesis
Dividend Triangle
| 5-Yr Rev. Growth | 1.75 % |
| 5-Yr EPS Growth | 7.70 % |
| 5-Yr Div Growth | -2.00 % |
Potential Risks
| Debt/Equity | 0.30 |
| Financial Debt to EBITDA (TTM) | 1.75 |
| Current Ratio (Quarterly) | 0.70 |
| Credit Score | 83 |
Dividend Growth Perspective
| Dividend ($) | 1.44 |
| Dividend Yield Fwd | 6.65 % |
| Dividend Frequency | Monthly |
| Average 5-Yr Yield | 7.75 % |
| Payout Ratio (%) | 95.80 |
| Cash Payout Ratio (%) | 99.60 |
| DGR 1-Yr | 1.75 |
| DGR 3-Yr | 13.20 |
| DGR 5-Yr | -2.00 |
| DGR Streak | |
| Chowder Score | 4.65 |
| Next DVD PMT | 08-29-25 |
Valuation
(Data for `ddm_growth_rate_years` field are missing to build DDM tables)
Video Tutorial: How to Read the Stock Cards DDM Valuation
| Market Cap | 460.00 M |
| PE Ratio | 14.50 |
| Fwd PE | 13.60 |
| Price to Book Ratio | 1.60 |
| DDM Valuation | 0 |
| Average 5-Yr PE | 13.17 |
| Value Score | 82 |