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Aegis Brands Inc T.AEG

Alternate Symbol(s):  SCUPF

Aegis Brands Inc. is a Canada-based company that owns and operates St. Louis Bar and Grill (St. Louis) and Wing City by St. Louis (Wing City). St. Louis Bar & Grill service wings, fries, and garlic dill sauce, and their local neighborhood restaurants offer service in a casual sports bar and grill setting. Certain of St. Louis products are available for purchase at selected grocery retailers in Canada and online through their application and Amazon. It undertook construction on two Wing City fast-casual locations in Toronto. Wing City focuses on offering St. Louis wings, boneless, plant-based wings and fries and dill sauce. The menu also includes various items, such as chicken fried ribs, and a chicken thigh sandwich. It owns about 73 St. Louis franchised locations across Canada and three corporately owned restaurants.


TSX:AEG - Post by User

Bullboard Posts
Post by beenburntb4on Nov 20, 2012 12:14pm
314 Views
Post# 20622249

Outlook

Outlook

some opinions please

they are maxed on lines etc so not much flexability on balance sheet to handle large variances on expenses.  My opinion is their Point Of Sales system development and implementation has cost more (significantly) than originally planned for.  The slight reduction in revenue is not what whacked the dividend, its the expense line.

So looking forward once they get the POS paid for, will they be in a position to again increase dividend (but maybe not fully) or will they learn and pay down more of the debt?

Dividend would increase price, but the debt repayment is the prudent thing to do.

 

Opinions please?

Bullboard Posts