Revenue Grows 261% to $35.1 million in Fourth Quarter; Systemwide same store sales increases of 7%
Revenue Grows 103% in 2021; Systemwide same store sales increase 14% and New Unit Growth of 13%
Conference Call today, April 14, at 8:30 a.m. ET
FORT LAUDERDALE, Fla., April 14, 2022 (GLOBE NEWSWIRE) — BurgerFi International, Inc. (Nasdaq: BFI, BFIIW) (“BurgerFi” or the “Company”), owner of one of the nation’s leading fast-casual “better burger” dining concepts through the BurgerFi brand, and the high-quality, casual dining pizza brand under the name Anthony’s Coal Fired Pizza & Wings (“Anthony’s”), today reported financial results for the fourth quarter and full year ended December 31, 2021.
Fourth Quarter and Full Year 2021 Key Metrics1 Summary
|BurgerFi Brand Only|
|(in thousands, except for percentage data)||Three Months
|Systemwide Restaurant Sales||$||40,701||$||166,121|
|Systemwide Restaurant Sales Growth||23%||31%|
|Systemwide Restaurant Same Store Sales Growth||7%||14%|
|Corporate Restaurant Sales||$||8,736||$||33,435|
|Corporate Restaurant Sales Growth||33%||39%|
|Corporate Restaurant Same Store Sales Growth||5%||14%|
|Franchise Restaurant Sales||$||31,737||$||127,165|
|Franchise Restaurant Sales Growth||22%||30%|
|Franchise Restaurant Same Store Sales Growth||7%||15%|
|Digital Channel Orders Growth||(4)%||18%|
|Digital Channel Orders||550||2,482|
|Digital Channel Orders % of Systemwide Sales||36%||39%|
- Refer to “Key Metrics Definitions” and “About Non-GAAP Financial Measures” sections below.
Ophir Sternberg, Executive Chairman of BurgerFi, stated, “2021 was a fantastic year of growth and transformation at BurgerFi despite the many industry-wide effects of COVID-19. We were able to lay the foundation for significant growth through opening 16 BurgerFi restaurants and through the acquisition of Anthony’s in November. I have the utmost confidence in our strengthened management team to execute on our business initiatives, maximize the potential of our two great restaurant brands, and deliver value to our shareholders as we head into 2022.”
Ian Baines, Chief Executive Officer of BurgerFi, added, “The fourth quarter capped off a year of significant growth for BurgerFi. In the quarter, we initiated the integration of Anthony’s into the BurgerFi system. The BurgerFi brand also performed strongly with a 23% growth in systemwide sales, driven primarily through new store openings and a 7% increase in same store sales. Of note, we retained nearly all of our digital channel sales when compared to peak COVID-19 levels, which is very encouraging. In 2022, we expect to realize $2 million in our first wave of cost synergies from the BurgerFi and Anthony’s combination, with additional opportunity for 2023. We plan to expand access and convenience for our guests through continued investments in technological advancements, innovation and our digital ecosystem, accompanied by the 15 to 20 expected new BurgerFi brand restaurant openings we have planned for 2022. This unit growth and enhanced omni-channel customer experience, combined with the incredible food we offer should provide the foundation for an outstanding 2022.”
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CapitalSpring Raises $950 Million for its Sixth Flagship Investment Fund
Apr 11, 2022, 16:00 ET
Firm Continues to Invest Across the Restaurant & Foodservice Industry with Four Investments Already Completed From Fund VI
NASHVILLE, Tenn., April 11, 2022 /PRNewswire/ — (BUSINESS WIRE)–CapitalSpring, a leading multi-strategy investment firm focused on the restaurant and foodservice industries and other multi-unit business models, today announced the final closing of CapitalSpring Investment Partners VI, L.P. and parallel funds (“Fund VI” or the “Fund”) with $950 million of capital commitments. Fund VI was substantially oversubscribed and exceeded its target of $750 million. The Fund attracted backing from a diverse group of existing and new limited partners in the US and internationally, including public and private pensions, endowments, foundations, funds of funds and family offices.
“We are pleased to have received strong demand from high quality limited partners for Fund VI, and our team remains confident that our differentiated investment strategy and industry focus will continue to generate attractive risk-adjusted returns for our investors,” said Richard Fitzgerald, Co-Founder and Managing Partner of CapitalSpring. “We would like to thank all of our investors for their ongoing trust and support.”
Fund VI’s investment strategy focuses on providing structured loans and private equity solutions in support of buyouts, add-on acquisitions, organic growth, recapitalization and other complex financing needs. The Fund will target investments ranging from $10 million to $150 million across the restaurant and foodservice industries as well as in related businesses across the business services, technology and manufacturing sectors. CapitalSpring seeks to be a capital partner of choice to proven management teams by leveraging its deep sector expertise, in-house strategic operations resources and broad network of industry relationships to support its portfolio companies.
“Fund VI is a continuation of our longstanding flagship strategy, and we look forward to partnering with leading management teams to support their business expansion over the coming years,” said Erik Herrmann, Partner and Head of the Investment Group at CapitalSpring.
Since the initial close, CapitalSpring has already completed four investments in Fund VI, representing over $200 million of invested capital.
Schulte Roth & Zabel LLP served as legal advisor to CapitalSpring on this fundraise.
CapitalSpring is a leading private investment firm with deep experience in the restaurant, foodservice and multi-unit industries, including franchisors and franchisees, independent chains, companies connected to the foodservice end market and related real estate opportunities. Since its launch 17 years ago, CapitalSpring has raised over $2.5 billion in committed capital and completed investments in more than 75 different restaurant brands and other multi-unit businesses, making it one of the more active and longstanding private equity/debt investors in its sector. The firm seeks opportunities where its deep industry expertise, in-house strategic and operational resources and proprietary data analytics can support companies in realizing their full potential. CapitalSpring is headquartered in Nashville and has offices in Los Angeles, Atlanta, and New York.
View source version at CapitalSpring
Company Completes Restructuring of its Financial Indebtedness and Emerges from Chapter 15 Proceedings
Positioned for Long-Term Sustainable Growth and Profitability
BEIJING, April 11, 2022 (GLOBE NEWSWIRE) — Luckin Coffee Inc. (“Luckin Coffee” or the “Company”) (OTC: LKNCY) today announced the successful completion of the restructuring of its financial indebtedness and its emergence from the bankruptcy proceeding commenced with respect to the Company as debtor under chapter 15 of title 11 of the United States Code (the “Chapter 15 Case”).
“Today marks a new beginning for Luckin Coffee,” said Dr. Jinyi Guo, Chairman and Chief Executive Officer of the Company. “Luckin Coffee utilized the Chapter 15 process to effectuate the restructuring of its financial indebtedness in the United States. As we have emerged from this process successfully with the support of our creditors, we are confident that Luckin Coffee is well positioned for long term growth and creation of stakeholder value.”
Dr. Guo continued, “We are thankful to all of our stakeholders for helping us achieve this positive outcome and become a stronger company. In particular, I would like to express my sincere gratitude to our leadership and management team for their unwavering commitment, even during challenging times, and to our employees and retail partners for their hard work and dedication. We will endeavor to continuously enhance our governance and internal controls and improve our product and service offerings.”
As previously announced, a final report was filed with the United States Bankruptcy Court for the Southern District of New York (the “Bankruptcy Court”) on March 4, 2022 requesting the entry of an order to close the Chapter 15 Case. As detailed in the final report, the Company previously obtained recognition and enforcement of its Cayman Islands scheme of arrangement under chapter 15 of title 11 of the United States Code and successfully restructured its financial indebtedness pursuant to such scheme.1 No objections were filed to the motion to close the Chapter 15 Case, and the Bankruptcy Court entered an order granting this request on April 8, 2022.
The entry of the Bankruptcy Court’s order marks the formal closure of the Company’s U.S. bankruptcy proceedings. As previously announced, the winding up petition (as amended) in respect of the Company has been dismissed and the Company’s provisional liquidation proceedings were also brought to a successful close pursuant to an order of the Grand Court of the Cayman Islands dated February 25, 2022. Accordingly, the Company is no longer subject to bankruptcy or insolvency proceedings in any jurisdiction.
In connection with the Company’s debt restructuring, Luckin Coffee is advised by Davis Polk & Wardwell LLP as legal counsel, Harney Westwood & Riegels as Cayman Islands legal counsel and Houlihan Lokey as financial advisor.
Safe Harbor Statement
This announcement contains forward-looking statements within the meaning of Section 21E of the U.S. Securities Exchange Act of 1934, as amended. These forward-looking statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates,” “potential,” “continue,” “ongoing,” “targets,” “guidance” and similar statements. Luckin Coffee may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Any statements that are not historical facts, including statements about Luckin Coffee’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the expense, timing and outcome of existing or future legal and governmental proceedings, investigations in connection with Luckin Coffee; the outcome and effect of the restructuring of Luckin Coffee’s financial obligations; Luckin Coffee’s growth strategies; its future business development, results of operations and financial condition; the effect of the non-reliance identified in, and the resultant restatement of, certain of Luckin Coffee’s previously issued financial results; the effectiveness of its internal control; its ability to retain and attract its customers; its ability to maintain and enhance the recognition and reputation of its brand; its ability to maintain and improve quality control policies and measures; its ability to establish and maintain relationships with its suppliers and business partners; trends and competition in China’s coffee industry or China’s food and beverage sector in general; changes in its revenues and certain cost or expense items; the expected growth of China’s coffee industry or China’s food and beverage sector in general; PRC governmental policies and regulations relating to Luckin Coffee’s industry; the potential effects of COVID-19; and general economic and business conditions globally and in China and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks, uncertainties or factors is included in Luckin Coffee’s filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and Luckin Coffee undertakes no obligation to update any forward-looking statement, except as required under applicable law.
About Luckin Coffee
Luckin Coffee (OTC:LKNCY) has pioneered a technology-driven retail network to provide coffee and other products of high quality, high convenience, and high affordability to customers. Empowered by proprietary technologies, Luckin Coffee pursues its vision to build a world-class coffee brand and become a part of everyone’s daily life. Luckin Coffee was founded in 2017 and is based in China. For more information, please visit investor.lkcoffee.com.
View source version at Luckin Coffee
Kura Sushi USA Announces Fiscal Second Quarter 2022 Financial Results
IRVINE, Calif., April 07, 2022 (GLOBE NEWSWIRE) — Kura Sushi USA, Inc. (“Kura Sushi” or the “Company”) (NASDAQ: KRUS), a technology-enabled Japanese restaurant concept, today reported fiscal second quarter 2022 financial results for the period ended February 28, 2022.
Fiscal Second Quarter 2022 Highlights
- Total sales were $31.3 million compared to $9.1 million in the second quarter of 2021;
- Comparable restaurant sales increased 183% for the second quarter of 2022 as compared to the second quarter of 2021 and increased 11.3% as compared to the second quarter of 2020;
- Operating loss was $1.9 million, compared to an operating loss of $3.8 million in the second quarter of 2021;
- Net loss was $1.9 million, or ($0.19) per diluted share, compared to net loss of $3.9 million, or ($0.46) per diluted share, in the second quarter of 2021;
- Adjusted net loss* was $1.9 million, or ($0.19) per diluted share, compared to an adjusted net loss* of $6.5 million or ($0.78) per diluted share, in the second quarter of 2021;
- Restaurant-level operating profit* was $5.6 million;
- Adjusted EBITDA* was $0.4 million; and
- Three new restaurants opened during the second quarter of 2022.
* Adjusted net loss, Restaurant-level operating profit and Adjusted EBITDA are non-GAAP measures and are defined below under “Key Financial Definitions.” Please see the reconciliation of non-GAAP measures accompanying this release. See also “Non-GAAP Financial Measures” below.
Hajime Uba, President and Chief Executive Officer of Kura Sushi, stated, “The sales momentum of our fiscal first quarter continued through the first half of our fiscal year, as evidenced by our fiscal second quarter comparable sales growth of 11.3% versus pre-Covid fiscal 2020. Our team has done an excellent job of mitigating the omicron-headwinds during the quarter, which were most significant from mid-December through late January, resulting in our fiscal second quarter setting a new company record for quarterly sales.”
Uba added, “We also made progress toward growing our restaurant base, adding three new restaurants during the quarter, plus one additional unit subsequent to the quarter’s end. To date we’ve opened five new restaurants towards our fiscal 2022 plan of eight to ten new restaurants, including the entrance of two new markets. While still early, guest reception for these openings, both in new and existing markets, has exceeded our initial expectations, which continues to give us confidence in the vast white space potential of our brand.”
View full version at Kura Sushi USA
Main Event CEO Chris Morris to be named CEO of the combined entity upon closing
DALLAS, April 6, 2022 /PRNewswire/ — Main Event Entertainment, Inc. (“Main Event” or the “Company”) today announced that Ardent Leisure Group Limited (ASX: ALG) (“Ardent Leisure”) and RedBird Capital Partners (“RedBird”) have entered into an agreement with Dave & Buster’s Entertainment, Inc. (NASDAQ: PLAY) (Dave & Buster’s) to acquire Main Event. Upon closing of the transaction (the “Closing”), Main Event’s current Chief Executive Officer Chris Morris will be named Chief Executive Officer of Dave & Buster’s.
Main Event is one of the fastest-growing family entertainment brands in the country, with 50 operating locations nationwide. Main Event offers the most fun under one roof with state-of-the-art bowling, laser tag, hundreds of arcade games and virtual reality, making it the perfect place for families to partake in shared and memorable experiences.
“We are thrilled to join the Dave & Buster’s family,” said Chris Morris, Main Event’s Chief Executive Officer. “We will undoubtedly benefit from the collective expertise and strong culture of both brands, particularly as we continue to accelerate Main Event’s aggressive expansion plans.”
The transaction represents a total enterprise value of $835 million and is projected to close later this year, with specific timing subject to customary closing conditions, including approval by Ardent Leisure shareholders and the expiration of the waiting period under the HSR Act. The acquisition is a transformational opportunity to merge two thriving brands that target uniquely different demographics and enhance the breadth of offerings and experiences to each brand’s guests. Main Event will continue to operate as a distinct brand serving families of all ages under Dave & Buster’s.
Dr Gary Weiss, Chairman of Ardent Leisure, said “Ardent Leisure has partnered with the Main Event brand since 2006 as the company has grown from its Dallas foundations to 50 locations nationwide today. We are particularly proud of our significant involvement in the rejuvenation of Main Event over the last four years and this transaction reflects the culmination of significant value creation that has been achieved by Ardent Leisure and the Main Event management team over this time.”
Gerry Cardinale, Managing Partner of RedBird, said “The transaction with Dave & Buster’s is a great outcome for Ardent Leisure and for Main Event. We have valued our partnership with Gary Weiss and the Ardent Leisure team as they have worked to create value for shareholders. Our Dallas team worked closely with the Main Event leadership team over the last two years and we are exceptionally pleased that Chris Morris will be appointed CEO of Dave & Buster’s when the transaction is completed. We look forward to their continued growth and success as a combined company.”
Upon Closing, the combined company will be led by Chris Morris and will create enhanced synergy and unique opportunity of growth for both brands. Chris joined Main Event in 2018 and brought more than 20 years of experience with multisite businesses, including over six years in the family entertainment business. Over Morris’ four-year tenure with the brand, Main Event has expanded its center footprint by over 30% and more than doubled EBITDA.
“During my tenure with the brand, I have experienced firsthand the fantastic mission and enormous potential Main Event offers and see this as a transformational opportunity to further strengthen the brand,” said Chris Morris, adding, “I’m looking forward to enhancing the offerings and experiences of each brand and providing even more opportunity for our team members. Main Event is a perfect complement to Dave & Buster’s, and I feel very honored to lead the growth of both brands.”
“As we have come to know Chris Morris, we have been very impressed by his execution capabilities and focus on profitable growth,” said Kevin Sheehan, Dave & Buster’s Board Chair and Interim Chief Executive Officer. “Chris is a proven and successful transformational leader who is capable of taking the combined organization to the next level. It is clear Main Event has a strong culture that shares many values in common with our own. We very much look forward to joining these two great teams together.”
Sheehan will return to his role as Board Chair following the completion of the acquisition.
View full version at Dave & Buster’s
Papa John’s International, Inc. (NASDAQ: PZZA) today announced that it has refranchised its majority stake in a joint venture between Papa Johns and Blue and Silver Ventures, Ltd. Sun Holdings, a leading multi-brand franchisee operator and one of Papa Johns largest domestic franchise partners, has assumed control of 90 Papa Johns restaurants in Texas. Blue and Silver Ventures continues to be a limited partner in the venture and their share of ownership remains unchanged. Financial terms of the transaction were not disclosed.
The strategic refranchising deal between Papa Johns and Sun Holdings builds upon the historic development agreement signed by the two parties in September 2021, under which Sun Holdings will open 100 new restaurants across high-growth markets, including in Texas, by 2029, in addition to the restaurants it has acquired. Now with significant operational scale with the brand, Sun Holdings is strongly positioned to accelerate its development plans and Papa John’s domestic growth.
“Sun Holdings is a proven, well-capitalized operator who understands our ambitious goals to expand the footprint of our brand,” said Amanda Clark, Papa John’s Chief Development Officer. “We will continue to build new corporate restaurants as well as refranchise when we can provide our franchisees strategic scale to support the brand’s long-term growth, with this deal as a great example.”
“We are excited to partner on an even larger scale with Papa Johns, an innovative brand that is well-positioned in the QSR industry and has already begun to deliver a high return on our investment,” said Guillermo Perales, President and CEO of Sun Holdings. “We look forward to growing together and are thankful to the team at Papa Johns for the trust they are placing in Sun Holdings.”
The agreement continues a rapid acceleration of unit growth and development activity by Papa Johns in the U.S. and across the globe. In January, Papa Johns announced its biggest franchisee development agreement in the company’s history – a partnership with FountainVest Partners to open more than 1,350 new stores across South China by 2040.
View source version at Papa John’s
Darden Restaurants Reports Fiscal 2022 Third Quarter Results; Declares Quarterly Dividend; And Updates Fiscal 2022 Outlook
Mar 24, 2022, 07:00 ET
ORLANDO, Fla., March 24, 2022 /PRNewswire/ — Darden Restaurants, Inc., (NYSE:DRI) today reported its financial results for the third quarter ended February 27, 2022.
Third Quarter 2022 Financial Highlights
- Total sales increased 41.3% from last year to $2.45 billion driven by a blended same-restaurant sales increase of 38.1% and the addition of 33 net new restaurants
- Same-restaurant sales by segment:
- Diluted net earnings per share from continuing operations was $1.93 as compared to diluted net earnings per share from continuing operations of $0.98 last year
- Net earnings from continuing operations were $247 million
- EBITDA of $395 million1
- The Company repurchased $382 million of its outstanding common stock
1 See the “Non-GAAP Information” below for more details.
“This was a quarter of stark contrasts and I’m pleased with our performance in this highly volatile environment,” said Chairman and CEO Gene Lee. “It began with record sales in December. However, the Omicron variant significantly impacted guest demand, restaurant staffing and operating expenses in January. I am proud of the job our restaurant teams did managing through a difficult operating environment. They remained focused on executing at the highest level and delivered strong sales in February as the environment improved.”
“Darden is well positioned to compete effectively,” Lee continued. “We have a strong balance sheet and the right strategy in place, driven by our four competitive advantages of significant scale, extensive data and insights, rigorous strategic planning and our results-oriented culture. And, our brands are relentlessly focused on executing our back-to-basics operating philosophy anchored in food, service and atmosphere.”
View full version at Darden Restaurants
- Total revenues of $601.2 million and system-wide sales of $750.7 million
- 31 system-wide restaurants opened in 12 states
- Q4 2021 same-restaurant sales growth of 36.7% vs. Q4 2020 and 20.6% vs. Q4 2019
- Q4 2021 same-restaurant traffic growth of 31.9% vs. Q4 2020 and 6.1% vs. Q4 2019
BRADENTON, Fla., March 23, 2022 (GLOBE NEWSWIRE) — First Watch Restaurant Group, Inc. (NASDAQ: FWRG), (“First Watch” or the “Company”) the Daytime Dining concept serving breakfast, brunch and lunch, today reported financial results for the thirteen weeks ended December 26, 2021 (“Q4 2021”) and fiscal year ended December 26, 2021 (“2021”) compared to thirteen weeks ended December 27, 2020 (“Q4 2020”) and fiscal year ended December 27, 2020 (“2020”) and provided an outlook for the fiscal year ending December 25, 2022 (“2022”).
“I am proud to share our results for 2021. This was a momentous year for First Watch as we built upon our long-standing track record of delivering positive results and ended the year with continued momentum. We successfully completed our initial public offering in October, and we also reached a significant milestone in surpassing three-quarters of a billion dollars in system-wide sales,” said Chris Tomasso, Chief Executive Officer and President of First Watch. “We continued our strong unit growth, opening 31 system-wide restaurants across 12 states – with our new restaurants opening at higher annualized average unit volumes than our existing company-owned restaurant average unit volumes. Q4 2021 represented one of our strongest quarters of same-restaurant traffic growth yet, increasing 31.9% versus Q4 2020 and 6.1% versus Q4 2019. I am humbled by what our teams throughout this organization have accomplished together – a true testament to the one-of-a-kind culture we’ve created through decades of shared passion and partnership. As I have said before, we are just getting started.”
View full version at First Watch
Newk’s Eatery Sees Comp Sales Increase of 21.7% in Q4 2021
For the full year, popular fast-casual restaurant’s average unit volumes hit $2 million
Jackson, MS (RestaurantNews.com) Newk’s Eatery today reported a fourth quarter 2021 same-store sales increase of 21.7% compared to 2020 and an over 10% increase over 2019.
“We’re pleased to see the strong sales surge in the fourth quarter driven by new menu innovation,” said Newk’s CEO Frank Paci. “In October, we launched our New at Newk’s menu featuring nine new menu items including our Salmon Caesar Salad, Newk’s Cheesesteak and Portobella Veggie Pizza. These premium items helped us grow our average check while continuing to offer great value. So far, we’ve seen continued strong sales momentum into Q1 of 2022.”
In addition to launching new premium menu items, Newk’s also re-emphasized its pairings menu by adding a new “Pick a Pair” option allowing guests to pair a full sandwich, salad or pizza with a cup of soup, half classic salad or a half mac & cheese. As a result, pairings increased from 30% of Newk’s menu mix to nearly 38%.
For the full year, Newk’s saw its average unit volume increase from $1.5 million in 2020 to over $2 million in 2021. The sales increase was driven by a strong recovery from the pandemic with significant growth in off-premise business, increased digital sales, the expansion of delivery and the launch of the New at Newk’s premium menu. Newk’s has maintained its off-premise sales gains as dine-in sales have begun to recover.
Newk’s is continuing to make significant enhancements to its business in 2022. In January, Newk’s launched its new app and loyalty program through Punchh’s advanced platform and has already added 110,000 members. The brand also introduced a “Skip the Line” program, allowing guests to order directly from their table in-restaurant using their phone and have the food delivered to their table. It’s just another way Newk’s is improving the overall guest experience and increasing efficiency. Finally, Newk’s opened its newest prototype in Fort Smith, Arkansas in February. The approximately 3,200-square-foot model offers a full drive-thru that takes advantage of its increase in off-premise business.
To learn more about Newk’s, visit newks.com.
About Newk’s Eatery
Based in Jackson, Mississippi, Newk’s Eatery is a fast-casual chain that operates and franchises more than 100 units in 16 states. Founded in 2004 and named after Co-Founder Chris “Newk” Newcomb, Newk’s hand-preps more than 30 fresh ingredients daily for salads, sandwiches, soups and pizzas, all made in-house without fryers or microwaves. Its Signature Cakes are baked in Newk’s own bakery. Fresh grab-and-go options are also available, and Newk’s new mobile app, now available on Google Play and the App Store, offers mobile ordering for curbside, in-store pickup or delivery. In 2020, Newk’s ranked in Nation’s Restaurant News’ “Top 200 Countdown” and Restaurant Business‘ Top 250 Chains. Newk’s has also been selected as a Top Food Franchise by Entrepreneur. In 2021, Newk’s was recognized in Nation’s Restaurant’s News as a “Top Scorer in Takeout Food Quality” and ranked among the highest “True Loyalty” scores – the percentages of respondents who said they visit because of a real desire to experience the brand, as opposed to convenience. For more information, visit Newks.com, join the e-Club or follow Newk’s on Instagram, LinkedIn, Facebook and Twitter. For franchise information, visit newksfranchise.com.
View source version at Newk’s Eatery
Conference call and webcast today at 5:00 p.m. EDT
LOS ANGELES, March 21, 2022 (GLOBE NEWSWIRE) — FAT (Fresh. Authentic. Tasty.) Brands Inc. (NASDAQ: FAT) (“FAT Brands,” “we,” “our” or the “Company”) today reported fiscal fourth quarter 2021 financial results for the 13-week period ending December 26, 2021.
Andy Wiederhorn, President and CEO of FAT Brands, commented, “We want to thank our franchise partners and employees for their hard work and dedication in the challenging operating environment of the past year.”
“We are proud to report that 2021 was a transformational year for FAT Brands as we successfully executed on our two primary growth pillars, acquisitions and organic growth. We closed on three accretive acquisitions in the fourth quarter for a total of four acquisitions in 2021 involving eight new restaurant brands. On October 1, 2021 we acquired Twin Peaks sports lodge for $300 million from Garnett Station Partners. On December 15, 2021 we acquired Fazoli’s, the largest premium QSR Italian chain in the U.S., from Sentinel Capital Partners for $130 million and Native Grill & Wings from Cybeck Capital Partners for $20 million. We are pleased to report the integration of these acquisitions is going smoothly and we estimate the transactions will result in approximately $45 million to $50 million in incremental normalized post-COVID EBITDA in 2022.”
“In addition to our acquisition strategy, we continue to develop our powerful engine for organic growth with approximately 850 locations in our pipeline, with development agreements in a number of new territories, providing for projected 33% unit growth and 50% EBITDA growth over the next several years. We also have received strong demand from existing franchise partners to develop other brands within the FAT portfolio.”
“The fourth quarter marked another strong quarter for FAT Brands as revenues increased by 1,042% and adjusted EBITDA rose 500% over the prior year quarter. We are also excited to report 5.6% same-store sales growth and a system-wide sales increase of 353% for the fourth quarter of 2021 compared to 2019. Further, we are extremely pleased with the performance of the brands we acquired in 2021 which, if we were to include them, would have brought our same-store sales growth to 8.5% for the fourth quarter of 2021 compared to 2019.”
“For 2022 we are well positioned to continue our growth trajectory with the estimated addition of 120 new locations. Further, we expect system-wide sales will rise to over $2.3 billion resulting in an estimated normalized post-COVID EBITDA run rate of approximately $90 million to $95 million for 2022.”
View full version at FAT Brands
BRENTWOOD, Tenn., March 21, 2022 /PRNewswire/ — CORE© (Children of Restaurant Employees), a national non-profit organization that provides financial help to food and beverage employees with children, is shining the spotlight on their partners who helped further their mission in 2021. The nonprofit will be hosting a virtual recognition event to honor key donors and supporters. Last year, CORE was able to grant more than $700,000 to families in the industry who were facing a crisis.
“We rely on the generosity of our donors and partners to help us continue our programs that provide critical assistance to restaurant employees and their families in their time of need,” stated Sheila Bennett, Executive Director of CORE. “We are delighted to be able to honor them and share the impact of their support. The past two years have been especially challenging for the food and beverage industry and we were ready to answer the call for those who needed that extra lift when they face a qualifying circumstance during these difficult times thanks to our donors.”
During the year, donors are able to show their support through signature fundraising initiatives hosted by CORE, including their Summer of Hope, Inspiring Hope, and Serving Up Hope campaigns. Individuals may step up to the plate by donating cash or volunteering. The organization also offers corporate and restaurant partnership opportunities. There are a variety of ways that supporters can help raise critical funds and awareness for CORE.
When families are awarded CORE grants, the funds may cover rent or mortgage, utilities, childcare, prescriptions, medical supplies, and more. With over half of grantees being single parents – a CORE grant can provide stability for a family.
CORE awards grants throughout the year to families that face a health crisis or natural disaster, in all 50 U.S. States, with the average grant amount being $2,600. To donate to CORE, visit www.COREgives.org.
About Children of Restaurant Employees (CORE)
CORE: Children of Restaurant Employees, a national 501(c)3, is dedicated to serving food and beverage service employees with children when either the working parent or child is navigating through medical diagnosis, illness, injury, a death, or impacted by a natural disaster. Founded by food and beverage service industry veterans, CORE helps hospitality service employees with children bridge the financial gap when either the parent or child deals with a health crisis or natural disaster. Since 2013, the organization has grown into a nationally recognized non-profit that has helped over 1600 families in 50 states, including DC and Puerto Rico. For grant qualification, to apply or to refer a family for grant consideration, please visit COREgives.org.
View source version at CORE
Muscle Maker, Inc. Posts 154% Restaurant Sales Growth and Improving Financial Results for Fiscal 2021
Net Losses Narrow, Overall Revenue Rises, Operating Expenses and G&A Improves
LEAGUE CITY, TX, March 17, 2022 (GLOBE NEWSWIRE) — via NewMediaWire — Muscle Maker, Inc. (Nasdaq: GRIL), the parent company of Muscle Maker Grill restaurants, Pokemoto Hawaiian Poke and SuperFit Foods meal prep, today announced the posting of its fiscal year 2021 financial results on March 17th for the full year ending December 31, 2021.
Michael Roper, CEO of Muscle Maker, Inc., commented, “The recently posted 2021 financial results show an increase in restaurant sales growth of 154% and an increase in net system-wide operating restaurants by 28%. Not only have we experienced a top line revenue increase, we are also seeing our operating metrics improve year over year as the new entities are integrated into the overall Muscle Maker Inc., portfolio of companies. We are seeing improvements in our operating expenses across all major categories, as a percentage of restaurant sales:
- food/paper costs improved by 2.1%
- labor costs improved by 31.4%
- rent improved by 5.3%
- other operating expenses improved by 5.9%
In addition, our overall G&A improved by 5.6% compared to prior year even after integrating our acquisitions of Pokemoto and Superfit Foods in 2021.”
Roper continued, “We are very excited to finally be able to fully execute against our growth strategy while improving our liquidity position. Over the last year, we had multiple growth-oriented announcements, including: acquisition of SuperFit Foods, acquisition of Pokemoto, launching our Pokemoto franchising strategy which has already resulted in 31 franchise agreements signed and signing a 40-unit Muscle Maker Grill development deal in Saudi Arabia. During this period, we have also increased our liquidity position. As of December 31, 2021, we had a cash balance of $15,766,703. We believe that our existing cash on hand and future cash flows from our operations and franchise growth strategy will be sufficient to fund our operations, anticipated capital expenditures and repayment obligations over the next twelve months. As a result, the recent audit allowed the removal of the Going Concern for 2022.”
“Our strategy focuses on growing the Pokemoto brand through franchising and strategically placed company-owned and operated locations seeding key markets for future franchise expansion. We currently have roughly $15 million in working capital to deploy against this strategy and have begun executing against this plan. We have already signed 31 franchise agreements and opened six new locations over the last few months with three additional locations under construction. We are sharpening our pencils to reduce costs in the Muscle Maker Grill restaurant division while exploring opportunities to co-brand these locations with the Pokemoto brand or convert fully to Pokemoto eateries. SuperFit Foods remains an important part of our portfolio of companies, and we will focus on expanding our presence in the Jacksonville Florida market by increasing the total number of pick-up locations while looking at ways to expand the concept overall. We expect that the full growth engine will come from franchising and expanding Pokemoto.”
About Muscle Maker, Inc.
Muscle Maker, Inc. is the parent company of “healthier for you” brands delivering high-quality healthy food options to consumers through traditional and non-traditional locations such as military bases, universities, ghost kitchens, delivery and direct to consumer ready-made meal prep options. Brands include Muscle Maker Grill restaurants, Pokemoto Hawaiian Poke, SuperFit Foods meal prep and multiple ghost kitchen brands such as Meal Plan AF, Wrap it up Wraps, Bowls Deep, Burger Joe’s, MMG Smoothies, Mr. Tea’s House of Boba, Gourmet Sandwich Co and Salad Vibes. Our menus highlight healthier versions of traditional and non-traditional dishes and feature grass fed steak, lean turkey, chicken breast, Ahi tuna, salmon, shrimp, tofu and plant-based options. For more information on Muscle Maker, Inc., visit www.musclemakergrill.com, for more information on Pokemoto visit www.pokemoto.com or for more information on SuperFit Foods visit www.superfitfoods.com.
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