Boston Pizza Royalties Income Fund

Hello. This is the course call conference operator. Thank you for standing by. Welcome to Boston Pizza's fourth quarter conference call. As a reminder, all participants are in listen-only mode, and the conference is being recorded on February 13th, 2026. After the presentation, there will be a question and answer session. Participants on the call may also pose their questions via email to Boston Pizza's Investor Relations Department at InvestorRelations at BostonPizza.com. Should anyone need assistance during the conference call, they may signal an operator by pressing star and zero on their telephone. At this time, I would like to turn the conference over to Michael Harbinson, Chief Financial Officer. Please go ahead.

Very good. Thank you, and welcome to the call. Today we'll be discussing the 2025 fourth quarter results for both Boston Pizza Royalties Income Fund, or the fund, and for Boston Pizza International, or BPI. For complete details on our financial results, please see our fourth quarter materials filed earlier today on CNR Plus, or visit the fund's website at www.bpincomefund.com. Should you require additional information after the call, you can reach out to our investor relations email address at investorrelationsatbostonpizza.com. The fund is a limited-purpose, open-ended trust established under the laws of British Columbia to acquire, indirectly, certain trademarks and trade names used by BPI in its Boston Pizza restaurants in Canada. BPI pays royalty income and distribution income to the fund based on franchise revenue of royalty pool restaurants. For a complete description of the fund and its business, please see the annual information form filed earlier today on CDAR+. Before I turn the call over to Jordan Holm, President of BPI, I would like to note that certain information in the following discussion may constitute forward-looking information. For a more complete definition of forward-looking information and the associated risks, please refer to the fund's management discussion and analysis issued earlier today. Forward-looking information is provided as of the date of this call and, except as required by law, we assume no obligation to update or revise forward-looking information to reflect new events or circumstances. And with that, I will now turn the call over to Jordan.

Jordan? Thank you, Michael, and welcome, everyone, to Boston Pizza's fourth quarter investor conference call. Today I'll be discussing our fourth quarter results and share a brief outlook, and Michael will summarize our key financial highlights. As usual, we'll leave time for your questions at the end of today's call. In the fourth quarter, Boston Pizza continued to deliver strong sales results, sustaining the momentum built throughout the preceding quarters of 2025. This strong performance was hallmarked by Boston Pizza restaurants achieving the highest annual total franchise sales ever recorded in 2025. These results were achieved despite mounting trade tensions and broader macroeconomic uncertainties underscoring the resilience and strength of our business. The fund posted franchise sales from restaurants in the royalty pool of $244.4 million for the fourth quarter and $976.3 million for the year, representing increases of 4.3% and 4.8% respectively versus the same periods one year ago. Same restaurant sales, or SRS, with 3.7% for the fourth quarter and 4.7% for the year. SRS for the fourth quarter was principally due to continued momentum in takeout and delivery and effective promotional initiatives. The Major League Baseball playoffs also positively impacted SRS for the period. For the year, SRS was principally due to continued momentum in takeout and delivery, effective promotional initiatives, and favorable comparisons to a softer performance in the prior year. Hockey and baseball playoffs also positively impacted SRS for the year. From a marketing perspective, we kicked off the fourth quarter with the exciting launch of our game day menu in coordination with the football season, offering value deals for food and beverages and holding weekly giveaways with prizes such as free food and football merchandise. Our game day promotion was complemented by extensive TV, digital, and social media coverage to boost guest engagement. The fourth quarter also saw the launch of our holiday menu with new festive menu creations for both food and beverages. This included the pepperoni stinger pizza and stuffed crust matzo sticks, both of which quickly became guest favorites and will become part of our core menu offering going forward. Complementing the holiday menu was our annual gift card incentive program, Guests who purchase $50 or more in gift cards receive a $10 promotional card redeemable from January to March of 2026. In terms of restaurant development, nine Boston Pizza restaurants were renovated during the fourth quarter, and 40 restaurants were renovated in total during the year. We have an array of exciting initiatives lined up for the first quarter of 2026 designed to maintain our strong sales momentum. I'll share the details with you shortly, but first let's hear from Michael about the fund's financial performance.