Sir Royalty Income Fund SIRZF

Primary Symbol: T.SRV.UN

Consumer Cyclical Restaurants

SIR Royalty Income Fund (the Fund) holds investment in SIR Corp (SIR). The Funds' investment, SIR is engaged in the business of owning and operating full-service restaurants in Canada. SIR has concept restaurant brands, including Jack Astor’s Bar and Grill, Scaddabush Italian Kitchen & Bar, and Canyon Creek Chop House, signature restaurant brands, such as Reds Wine Tavern, Reds Midtown Tavern, Reds Square One, and The Loose Moose, which are used by SIR under a license agreement with SIR Royalty Limited Partnership (the Partnership. The Fund receives distribution income from its investment in the Partnership and interest income from the SIR Loan. The Fund indirectly participates in the revenues generated under the License and Royalty Agreement through its Investment in the Partnership.

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Sir Royalty Income Fund > Source of distribution

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Comment by flamingogoldon Jul 16, 2021 7:10pm

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Post# 33564304

RE:Source of distribution

Rob, right there with you! BP is just lousy served frozen food. I admire Jim Trevliving, but his standard for great tasting food fall behind SRV and KEG.

BlueJay2020 wrote: It's being said that the 7 cents is split 4 cents from deferred and 3 cents from current operations.

I would like to know where these numbers are being plucked from.

Here's my basic attempt at breaking it down.

7 cents a unit equates to just under $600,000 in aggregate payout. The interest on the SIR Loan is $250,000 a month - that's 3 cents a share right there from June, before you get to royalties from the four-week operating period ended July 4, 2021. Patio dining was in effect for a good chunk of that period.. Even assuming a 70% sales decline from pre-COVID that would still equate to (let's conversatively say) 2 to 2.5 cents a unit per month.

That would leave only 1.5 to 2 cents cents top-up from the deferred bucket. I imagine that they have selected this as a sustainable level once indoor dining is fully established, without need to dip into the deferred bucket, which will be on top.

Is my math wrong?