- Aug 18, 2021
- 69 min read

Financials - August 2021

J. Alexander’s Holdings, Inc. Reports Results for Second Quarter Ended July 4, 2021; Sales for the Quarter Exceed 2019 Levels by Nearly 10%

August 17, 2021 07:26 AM Eastern Daylight Time

NASHVILLE, Tenn.--(BUSINESS WIRE)--J. Alexander’s Holdings, Inc. (NYSE: JAX) (the “Company”), owner and operator of J. Alexander’s, Redlands Grill, Stoney River Steakhouse and Grill and other restaurants, today provided a business update and reported results for the second quarter ended July 4, 2021.

Mark A. Parkey, Chief Executive Officer of the Company, stated, “Our sales momentum in 2021 continues to be impressive, with sales for the second quarter of 2021 representing nearly 110% of sales in the second quarter of 2019. Further, our profit margins continue to be solid despite recent pressure on input costs. We’re optimistic at this point that we’ve managed through the worst of the supply chain uncertainty and continue to expect strong demand for the dining experience that we provide daily to our loyal guests.”

Second Quarter 2021 Highlights Compared To The Second Quarter Of 2020

Cash provided by operating activities for the first half of 2021 was $15,280,000 as compared to cash used in operating activities in the first half of 2020 of $3,764,000.
Average weekly same store sales per restaurant(1) for the second quarter of 2021 were $121,600 for the J. Alexander’s/Grill restaurants, up 135.7% as compared to $51,600 for the second quarter of 2020. For the Stoney River restaurants average weekly same store sales per restaurant were $88,000 for the second quarter of 2021 as compared to $34,300 for the second quarter of 2020, for an increase of 156.6%.
Net sales for the second quarter of 2021 were $68,101,000, up from $27,602,000 reported in the second quarter of 2020. The second quarter of 2020 saw the COVID-19 pandemic at its peak, and dining room closures and capacity restrictions were pervasive throughout the Company’s restaurants. In the second quarter of 2021, the majority of the Company’s locations were operating at full capacity for the entire quarter, while a limited number of locations (primarily those in Michigan and Illinois) continued to have some level of capacity restrictions into late June 2021. However, all restaurants were fully reopened as of the end of the second quarter of 2021.
Income from continuing operations before income taxes totaled $2,232,000 for the second quarter of 2021. This compares to a loss from continuing operations before income taxes of $11,352,000 in the second quarter of 2020, which included the impact of approximately $1,100,000 in expenses related to emergency and other vacation and sick leave benefits related to the COVID-19 pandemic and approximately $321,000 related to severance and other restaurant closing costs. The second quarter of 2021 was impacted by approximately $1,888,000 of transaction costs related to the Company’s evaluation of strategic alternatives and the merger agreement entered into on July 2, 2021, as further discussed below.
Results for the second quarter of 2021 included income tax benefit of $24,000 compared to an income tax benefit of $4,419,000 in the second quarter of 2020.
Net income for the second quarter of 2021 totaled $2,253,000 compared to a net loss of $6,988,000 in the second quarter of 2020.
Basic and diluted earnings per share were $0.15 for the second quarter of 2021 compared to basic and diluted loss per share of $0.48 for the second quarter of 2020.
Adjusted EBITDA (2) was $7,788,000 in the second quarter of 2021 compared to $(7,363,000) in the second quarter of 2020.
Restaurant Operating Profit (Loss) Margin (3) was 14.2% in the second quarter of 2021 compared to (25.4)% for the second quarter of 2020.
Food and beverage costs as a percentage of net sales in the second quarter of 2021 were 33.6% compared to 37.9% in the second quarter of 2020.

The Company has seen positive trends in its sales recovery throughout 2021. Net sales in April, May and June 2021 reached approximately 106%, 107% and 115%, respectively, of sales experienced in the comparable periods of 2019, which was partially due to the new restaurant opening in La Cantera at the end of March 2021. On a 2-year comparative basis, average weekly same store sales were up 6.2% for the J. Alexander’s / Grills restaurants and up 10.6% for the Stoney River restaurants for the second quarter of 2021 as compared to the second quarter of 2019. Off-premise net sales for the second quarter of 2021 represented approximately 10.5% of total net sales for the quarter. Sales results for the second quarter of 2021 were aided by a price increase of approximately 3% taken during June 2021, as well as the continuing benefit of the price increase and packaging fee that were implemented in the second half of 2020.

Chief Executive Officer’s Comments

“We continue to be extremely encouraged by the resilience and pace of recovery of our restaurants as they each returned to full operating capacity over the course of the first half of 2021,” stated Parkey. “Further, our newest restaurant in the La Cantera Heights development in San Antonio has performed well above our original expectations during its first full quarter of operations, generating $105,800 in average weekly sales for the quarter. While the second quarter presented us with challenges on both the commodity cost front as well as from a labor sourcing and retention standpoint, we were able to navigate through those challenges and turn in strong operating results for the quarter.”

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BBQ Holdings, Inc. Reports Results for Second Quarter 2021; Updates Revenue and Earnings Guidance for 2021

August 16, 2021 09:00 ET | Source: BBQ Holdings, Inc.

MINNEAPOLIS, Aug. 16, 2021 (GLOBE NEWSWIRE) -- BBQ Holdings, Inc. (NASDAQ: BBQ) (the “Company”), an innovating global owner and operator of restaurants, today reported financial results for the second fiscal quarter ended July 4, 2021.

Second Quarter 2021 Highlights:

Financial:

Net income of $15.8mm, which includes loan forgiveness of $14.1mm.
Adjusted EBITDA, a non-GAAP measure, was $5.1mm vs. a loss of $1.1mm second quarter 2020.
Combined brands restaurant level margins of 12.7% vs 0.4% last year.

Growth:

Purchased Village Inn, 114 franchise and 21 corporate restaurants, and 12 Bakers Square corporate restaurants.
Purchased 4 Famous Dave’s franchise restaurants in Nashville and Kentucky.
Famous Dave’s franchisee opened its first line-serve restaurant in Las Vegas, NV in August 2021.

Sales:

Company-owned Famous Dave’s 2021 second quarter SSS increased 35.2% compared to second quarter of 2020.
Company-owned Famous Dave’s 2021 second quarter SSS increased 14.5% compared to second quarter of 2019.
Franchise-operated Famous Dave’s SSS increased 42.7% in the second quarter 2021 compared to second quarter 2020.
Franchise-operated Famous Dave’s SSS increased 4.4% in the second quarter 2021 compared to second quarter 2019.
Granite City second quarter SSS increased 138.6% compared to second quarter 2020.
Granite City second quarter SSS decreased 10.4% compared to second quarter 2019.

Updated 2021 Guidance:

Based on the results to date through the second quarter 2021, and including the uncertainty related to COVID-19, the Company has updated its 2021 guidance as follows:

Net Revenue from $180 - $185mm to $183 - $188mm
Net Income from $5.1 - $5.5mm to $20.6 - $21.0mm
Cash EBITDA from $13.5 - $14mm to $14.5 - $15mm

Executive Comments

Jeff Crivello, CEO, commented, “This quarter was marked by some momentous events that have positioned the Company for tremendous growth. Without question we saw our team execute at a high level to drive our four growth initiatives; operational improvements, organic new units, filling the latent capacity of our current restaurants, and accretive M&A. With the recently completed acquisition of Village Inn and Bakers Square, we look forward to working collaboratively to improve, reinvigorate, and leverage our infrastructure as a launch pad for growth. Our ability to drive cash flow throughout the year has been a huge step towards building a very strong balance sheet.

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Ark Restaurants Announces Financial Results for the Third Quarter of 2021

August 16, 2021 04:05 PM Eastern Daylight Time

NEW YORK--(BUSINESS WIRE)--Ark Restaurants Corp. (NASDAQ:ARKR) today reported financial results for the third quarter ended July 3, 2021.

Financial Results

Total revenues for the 13 weeks ended July 3, 2021 were $42,965,000 versus $7,199,000 for the 13 weeks ended June 27, 2020. The 13 weeks ended July 3, 2021 includes revenues of $2,141,000 related to Blue Moon Fish Company, which was acquired on December 1, 2020.

Total revenues for the 39 weeks ended July 3, 2021 were $89,031,000 versus $84,716,000 for the 39 weeks ended June 27, 2020. The 39 weeks ended July 3, 2021 includes revenues of $4,582,000 related to Blue Moon Fish Company, which was acquired on December 1, 2020. The 39 weeks ended June 27, 2020 includes revenues of $2,935,000 related to Thunder Grill in Washington, D.C., which was closed March 20, 2020 and Gallagher's Steakhouse and Gallagher's Burger Bar in Atlantic City, NJ, which was closed on January 2, 2021.

Company-wide same store sales increased 455.0% for the 13 weeks ended July 3, 2021 compared to the same period of the prior year. The increase in same-store sales for the 13-week period ended July 3, 2021 as compared to the same period of the prior year, are the result of all of our properties operating with no capacity restrictions in the current period combined with the fact that all of our properties were closed for the majority of the prior period and operated at limited capacity when they reopened as a result of government mandates in connection with the COVID-19 pandemic.

Company-wide same store sales decreased 7.1% for the 13 weeks ended July 3, 2021 as compared to the 13 weeks ended June 29, 2019 (the comparable pre-pandemic quarter). Note that total revenues for the 13 weeks ended June 29, 2019 were $44,807,000, which includes revenues of $1,239,000 related to JB’s on the Beach in Deerfield Beach, FL, which was acquired on May 15, 2019.

The Company’s EBITDA, which includes a gain on the forgiveness of Paycheck Protection Program Loans and related accrued interest in the aggregate amount of $3,195,000 ("PPP Loan Forgiveness"), for the 13 weeks ended July 3, 2021 was $9,390,000 versus $(4,642,000) for the 13-week period ended June 27, 2020. The Company’s EBITDA, excluding PPP Loan Forgiveness and adjusted for other items as set out below, for the 13 weeks ended July 3, 2021 was $5,610,000 versus $(4,351,000) for the 13-week period ended June 27, 2020. Net income attributable to Ark Restaurants Corp. for the 13-weeks ended July 3, 2021 was $2,670,000 or $0.76 per basic share, $0.73 per diluted share, compared to a net loss of $(2,526,000) or $(0.72) per basic and diluted share, for the 13-week period ended June 27, 2020.

The Company’s EBITDA, which includes PPP Loan Forgiveness in the amount of $7,318,000, for the 39 weeks ended July 3, 2021 was $10,672,000 versus $(1,935,000) for the 39-week period ended June 27, 2020. The Company’s EBITDA, excluding PPP Loan Forgiveness and adjusted for other items as set out below, for the 39 weeks ended July 3, 2021 was $2,745,000 versus $(1,397,000) for the 39-week period ended June 27, 2020. Net income attributable to Ark Restaurants Corp. for the 39-weeks ended July 3, 2021 was $6,067,000 or $1.73 per basic share, $1.68 per diluted share, compared to a net loss of $(2,791,000) or $(0.80) per basic and diluted share, for the 39-week period ended June 27, 2020.

COVID-19 Update

The COVID-19 pandemic has adversely affected, and is expected to continue to adversely affect, our operations and financial results for the foreseeable future. As of July 3, 2021, all of our restaurants have re-opened and currently, national, state and local jurisdictions have removed their capacity restrictions on businesses and therefore our restaurants are serving customers in our dining rooms without social distancing requirements. However, we cannot predict whether we will be required to limit capacity or close again in the future, as these decisions will depend primarily on the actions of a number of governmental bodies over which we have no control. It is possible additional outbreaks could require us to reduce our capacity, implement social distancing or further suspend our in-restaurant dining operations, and there is no guarantee that state and local jurisdictions, that have currently eased restrictions, will not reverse or roll-back the restrictions, as many have done in the past. Additionally, our restaurant operations have been and could continue to be disrupted by employee staffing issues because of illness, fear of contracting COVID-19 or caring for family members due to COVID-19, or for other reasons. Furthermore, we remain in regular contact with our major suppliers and while to date we have not experienced significant disruptions in our supply chain due to COVID-19, we could see significant future disruptions should the impacts of COVID-19 extend for a considerable amount of time.

On August 3, 2021, New York City became the first U.S. city to require proof of at least one dose of a COVID-19 vaccine for a variety of activities for workers and customers, including indoor dining. The requirements are effective starting on August 16, 2021 with enforcement to begin on September 13, 2021.

Other Matters

On January 26, 2021, the Company exercised its right-of-first-refusal to acquire the land, building and parking lot associated with JB’s on the Beach and immediately contributed such rights and interest to an unrelated entity ("Newco") that purchased the properties on March 22, 2021. In exchange, the Company received a 5% interest in Newco, which plans future development of the sites. In addition, all rights and privileges under the current lease were assigned to Newco, as landlord and the lease terms remain unchanged.

During the 39 weeks ended July 3, 2021, $7,318,000 of PPP Loans (including $63,000 of accrued interest) were forgiven. To the extent, if any, that any or all of the remaining PPP Loans are not forgiven, beginning one month following expiration of the Deferral Period, and continuing monthly until 24 months from the date of each applicable Note (the “Maturity Date”), each respective Borrower is obligated to make monthly payments of principal and interest to the Lender with respect to any unforgiven portion of the Notes, in such equal amounts required to fully amortize the principal amount outstanding on such Notes as of the last day of the applicable Deferral Period by the applicable Maturity Date.

About Ark Restaurants Corp.

Ark Restaurants owns and operates 18 restaurants and bars, 17 fast food concepts and catering operations primarily in New York City, Florida, Washington, D.C, Las Vegas, Nevada and the gulf coast of Alabama. Five restaurants are located in New York City, one is located in Washington, D.C., five are located in Las Vegas, Nevada, one is located in Atlantic City, New Jersey, four are located on the east coast of Florida and two are located on the Gulf Coast of Alabama. The Las Vegas operations include four restaurants within the New York-New York Hotel & Casino Resort and operation of the hotel's room service, banquet facilities, employee dining room and six food court concepts and one restaurant within the Planet Hollywood Resort and Casino. In Atlantic City, New Jersey, the Company operates a restaurant in the Tropicana Hotel and Casino. The operation at the Foxwoods Resort Casino consists of one fast food concept. The Florida operations include the Rustic Inn in Dania Beach, Shuckers in Jensen Beach, JB’s on the Beach in Deerfield Beach, Blue Moon Fish Company in Lauderdale-by-the-Sea and the operation of four fast food facilities in Tampa and six fast food facilities in Hollywood, each at a Hard Rock Hotel and Casino operated by the Seminole Indian Tribe at these locations. In Alabama, the Company operates two Original Oyster Houses, one in Gulf Shores and one in Spanish Fort.

View source version at Ark Restaurants

Carrols Restaurant Group, Inc. Reports Financial Results for the Second Quarter 2021

Board of Directors Declares Special Cash Dividend of $0.41 per share, returning $25 Million of Capital to Stockholders

August 12, 2021 07:00 ET

SYRACUSE, N.Y., Aug. 12, 2021 (GLOBE NEWSWIRE) -- Carrols Restaurant Group, Inc. (“Carrols” or the “Company”) (Nasdaq: TAST) today reported its financial results for the second quarter ended July 4, 2021

Highlights for the Second Quarter of 2021 versus the Second Quarter of 2020 Include:

Total restaurant sales increased 15.2% to $424.5 million compared to $368.4 million in the second quarter of 2020;
Comparable restaurant sales for the Company's Burger King® restaurants increased 12.6%;
Comparable restaurant sales for the Company’s Popeyes® restaurants decreased 5.3%;
Adjusted EBITDA(1) decreased to $29.3 million from $38.0 million in the prior year quarter;
Adjusted Restaurant-Level EBITDA(1) decreased to $47.9 million from $54.1 million in the prior year quarter;
Net Loss was $(9.6) million, or $(0.19) per diluted share, and includes a non-cash extinguishment of debt charge of $8.5 million, compared to Net Income of $7.8 million, or $0.13 per diluted share, in the prior year quarter;
Adjusted Net Income(1) was $16,000, or $0.00 per diluted share, compared to Adjusted Net Income of $9.6 million, or $0.16 per diluted share, in the prior year quarter;
Free Cash Flow(2) of $4.2 million compared to $48.6 million in the prior year quarter; and
Adjusted Leverage Ratio which compares Total Net Debt of the Company, including Unsecured Senior Notes, to Covenant EBITDA (as defined under the senior credit facility) improved to 3.82 times compared to 4.18 times a year ago.

(1)Adjusted EBITDA, Adjusted Restaurant-Level EBITDA and Adjusted Net Income (Loss) are non-GAAP financial measures. Refer to the definitions and reconciliation of these measures to net income (loss) or to income (loss) from operations in the tables at the end of this release. (2)Free Cash flow is a non-GAAP financial measure. Refer to the definition and reconciliation of this measure in the tables at the end of this release.

Management Commentary

Daniel T. Accordino, Chairman and Chief Executive Officer of Carrols, commented, “Our revenue growth of 15.2% reflects comparable Burger King restaurant sales growth of 12.6% as well as growth from increased contributions from our Burger King restaurants that were temporarily closed last year due to the COVID-19 pandemic. As compared to the same respective weeks of 2019, our Burger King comparable sales in the second quarter of 2021 increased 7.8% driven by 20.9% higher average checks which were partially offset by traffic remaining at 89% of 2019 levels. While all of our Burger King restaurant dayparts improved in the second quarter of 2021 and our delivery sales mix reached 5.0% in June, trends slowed sequentially as we began to lap tougher comparisons from last year. The customer response to Burger King’s new chicken sandwich, which was officially launched in June, was positive, doubling our crispy chicken sandwich daily unit sales compared to year-earlier levels. Sales of the new chicken sandwich have been stronger in our Northeast and Midwest regions than in our Southcentral and Southeast regions, which we believe is due to the concentration of entrenched chicken QSR brands in southern markets.”

Accordino continued, “Inflationary challenges weighed on our Adjusted Restaurant-Level EBITDA margins during the second quarter as we faced unprecedented cost pressures across nearly all inputs in May and June as the economy shifted into high gear in a very short time period. In particular, labor cost margins reverted to just below second quarter 2019 levels as operating hours normalized and team member average hourly wages increased nearly 12% compared to the same period in 2020 due to market-driven labor constraints. Commodity costs in most categories other than beef also were elevated during the quarter. To help offset these unexpected headwinds, we increased menu prices by about 2% in late July and plan to implement other price increases through the remainder of the year as we deem necessary.”

Accordino concluded, “We remain confident in our business model and its profitability prospects despite the evolving and unpredictable course of the pandemic. We are committed to allocating capital in a disciplined manner, while maintaining substantial liquidity and keeping leverage in check. We therefore view our announcement of a $0.41 per share special cash dividend as representing a tangible action we are taking to enhance shareholder value. We expect that any additional free cash flow generated this year beyond what we will be returning to stockholders through the special cash dividend will be used to reduce our net debt and improve our liquidity.”

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BurgerFi Reports Second Quarter 2021 Results

August 12, 2021 06:30 ET

Total Revenue Increased 65% Year-Over-Year, System-wide Sales Up 63% and Same Store Sales Up 39% in Corporate Owned Restaurants

Corporate-Owned Restaurant Same Store Sales Exceed 2019 Levels

Digital Channel Sales Increase 12% Year-Over-Year

Conference Call today, August 12, at 8:30 a.m. ET

PALM BEACH, Fla., Aug. 12, 2021 (GLOBE NEWSWIRE) -- BurgerFi International Inc. (Nasdaq: BFI, BFIIW) (“BurgerFi” or the “Company”), one of the nation’s fastest-growing premium fast-casual concepts, Fast Casuals’ #1 Brand of the Year for 2021 in the Top 100 Movers and Shakers list and the top fast casual better burger chain in USA Today’s 10 Best Readers’ Choice award winner for 2021 today reported financial results for the second quarter ended June 30, 2021.

Second Quarter 2021 Key Metrics1 Summary

(in thousands, except for percentage data)Three Months Ended June 30, 2021Systemwide Restaurant Sales$44,194Systemwide Restaurant Sales YOY Growth63%Systemwide Restaurant Same Store Sales YOY Growth44%Corporate Restaurant Sales$8,730Corporate Restaurant Sales YOY Growth65%Corporate Restaurant Same Store Sales YOY Growth39%Digital Channel Systemwide Sales$17,299Digital Channel Sales YOY Growth12%Digital Channel Orders 666Digital Channel Orders % of Systemwide Sales39%

1 Refer to “Key Metrics Definitions” and “About Non-GAAP Financial Measures” sections below.

Management Commentary

Ophir Sternberg, Executive Chairman of BurgerFi, stated “The second quarter continued our trend of positive sales growth, driven by increases in same store sales, unit growth, and unit re-openings in both our corporate owned and franchised restaurants. We are particularly impressed with the performance of our corporate owned restaurants, whose sales have outperformed our 2019 levels despite a challenging operating environment. Our top-line growth reflects the continued momentum we are seeing in the Covid-19 recovery, as well as our new store openings and the successful execution of our marketing strategy and programs. Further, we are pleased that careful management of food and beverage costs and our leverage on occupancy costs more than fully offset significant wage pressure and scarcity costs.”

Julio Ramirez, CEO of BurgerFi added “We continue to execute on our restaurant development plan as we expect to open between 25 and 30 new restaurants in existing and new markets primarily along the Eastern seaboard in 2021. During the second quarter, we opened 3 new company-owned locations and 1 franchised location, representing 8 new restaurants year-to-date. Further, we have over 18 additional new locations currently under various stages of construction and development. We are encouraged by the performance of our Ghost Kitchens and through our partnership with Reef and Epic Kitchens, we continue to expect the opening of 15 to 20 new Ghost Kitchen locations by the end of 2021.”

“In late June, we implemented a price increase of approximately 4%, which we believe will help offset ongoing labor and other cost pressures in our stores and improve restaurant operating margins by approximately 300 basis points. We are committed to continuing to work on our restaurant operating efficiencies with the goal of improving store operating margins.”

“Our innovation pipeline remains strong. We continued to enjoy the strong performance of the SWAG burger first introduced in March of this year which has doubled our premium wagyu burger sales and due to its continued success we have made it a permanent menu item beginning in July. To start the third quarter, in July we rolled out new chef-inspired sauces to accompany our Fresh-Cut Sides and Cage-Free Fried Chicken Tenders. Our innovative sauces include Truffle Aioli, Bacon Jalapeño Ranch made with fresh jalapeños and Garlic Aioli, which is infused with roasted garlic and our fan favorite, Ghost Pepper Honey.”

"We are excited by our strong top-line growth and are proud of our team for achieving second quarter system-wide same-store sales which are comparable to 2019.”

View full version at BurgerFi

Fiesta Restaurant Group, Inc. Reports Second Quarter 2021 Results

Taco Cabana Divestiture Expected to Close During Third Quarter of 2021

Sequential Improvement in Pollo Tropical Second Quarter 2021 Comparable Restaurant Sales from First Quarter 2021

Income from Continuing Operations was $2.7 Million for the Second Quarter of 2021 Compared to a Loss in the Prior Year

August 12, 2021 04:05 PM Eastern Daylight Time

DALLAS--(BUSINESS WIRE)--Fiesta Restaurant Group, Inc. ("Fiesta" or the "Company") (NASDAQ: FRGI), parent company of the Pollo Tropical® and Taco Cabana® restaurant brands, today reported results for the 13-week second quarter, which ended on July 4, 2021, and provided a business update related to current operations.

On July 1, 2021 the Company announced the entry into an agreement to sell the Taco Cabana business to an affiliate of Yadav Enterprises, Inc. Additional details regarding the transaction are referenced in the Company's Form 8-K filed on July 7, 2021. The divestiture transaction is expected to close in the third quarter of 2021, subject to the satisfactory completion of customary closing conditions.

Fiesta President and Chief Executive Officer Richard Stockinger said, "We were pleased with Pollo Tropical’s performance in the second quarter, characterized by comparable restaurant sales improving to near 2019 levels and strong margins, despite hourly staffing challenges over the quarter. We believe that workforce availability challenges had an increasingly negative impact on sales through the quarter. We took a number of steps to improve recruiting and retention of our hourly workforce, which resulted in improved staffing levels in July compared to the second quarter of 2021."

Stockinger added, "We delivered strong margin performance in the second quarter, which resulted in second quarter 2021 income from continuing operations of $2.7 million and income from continuing operations before income taxes of $1.8 million, compared to a loss for both measures in the second quarter of 2020. Continuing Operations Adjusted EBITDA, a non-GAAP measure(1), was $9.1 million or 10.0% of total revenues compared to $2.6 million and 4.2% of revenue in the second quarter of 2020. Pollo Tropical increased restaurant-level Adjusted EBITDA margin, a non-GAAP measure(1), from 16.3% in the second quarter of 2020 to 20.4% in the second quarter of 2021. In addition, our total cash balance continued to grow, reaching $69.9 million at the end of the second quarter."

Stockinger continued, "We made strong progress on Pollo Tropical’s strategic growth initiatives during the second quarter, including our ongoing brand positioning research that will inform our digital, brand expansion and existing unit remodel efforts. The design phase of our digital drive thru customer experience is advancing, and we intend to begin the pilot of this greatly enhanced drive thru platform in select units later this year. We are also testing key restaurant design elements and operating platform improvements in remodels during the balance of 2021, and initial consumer feedback on our first remodel completed in the second quarter has been very positive."

Stockinger concluded, "We expect that the Taco Cabana divestiture will allow us to create a more effective, efficient and focused organization, applying appropriate resources to accelerate the exciting growth potential we believe we have in our Pollo Tropical brand. This will include our ongoing efforts to drive an upgraded customer experience across all service channels, continuing to invest in expanding our growing digital platform and finalizing our new unit expansion plans targeted for 2022."

View full version at Fiesta Restaurant Group

The Wendy's Company Reports Second Quarter 2021 Results

Aug 11, 2021, 07:00 ET

DUBLIN, Ohio, Aug. 11, 2021 /PRNewswire/ -- The Wendy's Company (Nasdaq: WEN) today reported unaudited results for the second quarter ended July 4, 2021.

"We are thrilled to once again increase our 2021 financial outlook across all key financial metrics, driven by a transformative quarter that showcased our continued momentum and the overall strength of our business," President and Chief Executive Officer Todd Penegor said. "Our robust growth continued in the second quarter, as sales significantly exceeded our expectations, leading to restaurant level margins of more than 20 percent and record profits, fueling our restaurant economic model. We are also excited to meaningfully increase our 2025 Global restaurant target to 8,500 to 9,000, driven by a development commitment with REEF Kitchens, a new build to suit development fund, and incremental commitments through our latest new restaurant incentive program. Our business momentum, strong partnership and health of our franchisees, and the dedication of our restaurant crew and support center teams reaffirms our confidence that we will achieve our vision of becoming the world's most thriving and beloved restaurant brand."

Second Quarter 2021 Summary

See "Disclosure Regarding Non-GAAP Financial Measures" and the reconciliation tables that accompany this release for a discussion and reconciliation of certain non-GAAP financial measures included in this release.

Operational Highlights

Second Quarter

Year-to-Date

2021

2020

2021

2020

Systemwide Sales Growth(1)

U.S.

20.6%

(4.0)%

16.9%

(1.6)%

International(2)

48.2%

(24.5)%

25.6%

(12.4)%

Global

22.9%

(6.2)%

17.7%

(2.7)%

Same-Restaurant Sales Growth(1)

U.S.

16.1%

(4.4)%

14.9%

(2.3)%

International(2)

31.4%

(18.4)%

19.0%

(10.1)%

Global

17.4%

(5.8)%

15.2%

(3.1)%

Systemwide Sales (In US$ Millions)(3)

U.S.

$2,897

$2,403

$5,545

$4,744

International(2)

$354

$220

$657

$493

Global

$3,251

$2,624

$6,202

$5,237

Restaurant Openings

U.S. - Total / Net

22 / 10

19 / 1

42 / 14

46 / 10

International - Total / Net

21 / 18

3 / 0

39 / 24

17 / 8

Global - Total / Net

43 / 28

22 / 1

81 / 38

63 / 18

Global Reimaging Completion Percentage

68%

61%

(1) Systemwide sales growth and same-restaurant sales growth are calculated on a constant currency basis and include sales by both Company-operated and franchise restaurants.

(2) Excludes Venezuela and Argentina.

(3) Systemwide sales include sales at both Company-operated and franchise restaurants.

Financial Highlights

Second Quarter

Year-to-Date

2021

2020

B / (W)

2021

2020

B / (W)

(In Millions Except Per Share Amounts)

(Unaudited)

Total Revenues

493.3

402.3

22.6

953.5

807.3

18.1

Adjusted Revenues(1)

391.1

324.2

20.6

761.8

650.6

17.1

Company-Operated Restaurant Margin

20.3%

14.4%

5.9

18.7%

12.2%

6.5

General and Administrative Expense

63.1

48.6

(29.9)

115.7

100.2

(15.5)

Operating Profit

126.7

60.7

108.9

209.9

109.4

91.9

Net Income

65.7

24.9

163.9

107.1

39.3

172.5

Adjusted EBITDA

131.1

97.4

34.5

252.1

186.8

35.0

Reported Diluted Earnings Per Share

0.29

0.11

163.6

0.47

0.17

176.5

Adjusted Earnings Per Share

0.27

0.12

125.0

0.47

0.21

123.8

Cash Flows from Operations

158.8

30.6

Capital Expenditures

(24.1)

(29.4)

18.0

Free Cash Flow(2)

185.8

12.7

(1) Total revenues less advertising funds revenue.

(2) Cash flows from operations minus capital expenditures, the impact of our advertising funds and cash paid for taxes related to the disposition of the New York market in Q2 2021.

View full version at Wendy's

Good Times Restaurants Reports Results for the Third Quarter Ended June 29, 2021

August 10, 2021 04:05 PM Eastern Daylight Time

GOLDEN, Colo.--(BUSINESS WIRE)--Good Times Restaurants Inc. (Nasdaq: GTIM), operator of Bad Daddy’s Burger Bar and Good Times Burgers & Frozen Custard, today reported financial results for the fiscal third quarter ended June 29, 2021.

Key highlights of the Company’s financial results include:

Total Revenues increased 39.4% to $33.9 million for the quarter compared to the same prior-year quarter
Total Restaurant Sales for Bad Daddy’s restaurants increased $9.5 million to $24.4 million for the quarter
Compared to the third quarter of 2019, sales during the quarter increased by 14.3% at Good times and by 0.7% at Bad Daddy’s among restaurants that were open for the full quarter in both years
Same Store Sales1 for company-owned Bad Daddy’s restaurants increased 61.4% for the quarter
Total Restaurant Sales for Good Times restaurants were $9.3 million for the quarter
Same Store Sales for company-owned Good Times restaurants increased 2.9% for the quarter
Net Income Attributable to Common Shareholders was $13.6 million for the quarter including approximately $11.8 million in forgiveness of principal and interest amounts on Paycheck Protection Program (“PPP”) loans
Adjusted EBITDA2 (a non-GAAP measure) for the quarter was $3.1 million
The Company ended the quarter with $10.3 million in cash and no borrowings outstanding under its senior credit facility

Ryan M. Zink, the Company’s President and Chief Executive Officer, said, “Our strong same store sales at both brands, as well as attaining 2019 sales levels beginning in July at Bad Daddy’s, are the results of the commitment and dedication of our restaurant leaders and team members who embrace our mission to serve our guests and operate great restaurants despite the pressures and challenges arising from a difficult hiring environment.”

Mr. Zink continued, “As many other restaurant companies have expressed, we have seen cost pressures, both in commodities and in the labor market. We expect those pressures to continue through the balance of this fiscal year and likely at least through the end of the calendar year. We expect to be able to manage commodity cost increases through targeted menu price adjustments, however, we believe that overall labor costs will be pressured until there is greater slack in the labor market.”

View full version at Good Times Restaurants

The ONE Group Reports Second Quarter 2021 Financial Results

The Company Reports All-Time Record for Quarterly Revenue

Domestic Same Store Sales Increase 38.0% vs. 2019 for the Second Quarter and 59.5% vs. 2019 for the month of July

August 10, 2021 04:05 PM Eastern Daylight Time

DENVER--(BUSINESS WIRE)--The ONE Group Hospitality, Inc. (“The ONE Group” or the “Company”) (Nasdaq: STKS) today reported its financial results for the second quarter ended June 30, 2021.

Financial highlights for the second quarter compared to the same period last year are as follows:

Total GAAP revenues increased 324.6% to $70.8 million from $16.7 million.
GAAP net income attributable to The ONE Group was $13.8 million or $0.41 net income per share ($0.19 adjusted net income per share)****, compared to GAAP net loss of $2.9 million, or $0.10 net loss per share ($0.08 adjusted net loss per share)****. GAAP net income attributable to The ONE Group during the second quarter 2021 included $1.1 million of incremental costs related to COVID-19.
Adjusted EBITDA** increased to $12.9 million, a quarterly record, from a loss of $0.8 million.

Sales highlights for the second quarter and July 2021 compared to the same periods in 2019 are as follows:

Consolidated comparable sales* increased 38.0% for the quarter and 59.5% for the month of July.
Comparable sales* for STK increased 54.3% for the quarter and 92.8% for the month of July.
Comparable sales* for Kona Grill increased 23.0% for the quarter and 31.9% for the month of July.

“We strengthened our leadership position in the high-end and polished casual segments by delivering another quarter of outstanding financial results for our shareholders. During the second quarter, we experienced a significant sales increase compared to both 2020 and 2019. Guests were eager to join us for VIBE dining experiences and drove our average weekly volumes in the quarter to $288,000 and $103,000 for STK and Kona Grill respectively. We leveraged our top-line momentum into record restaurant level operating profit and adjusted EBITDA. The combination of our strong underlying business fundamentals, level of execution and robust pipeline of development opportunities, including new Kona Grill locations, drive our continued confidence in our growth going forward,” said Emanuel “Manny” Hilario, President and CEO of The ONE Group.

Hilario continued, “We are pleased to have opened six exciting new venues so far this year and they are performing at or above expectations. We intend to open a total of 13 new STK and F&B venues in 2021 and 2022, and we view ourselves as having a long-term addressable market of at least 200 STK restaurants globally and at least 200 Kona Grill restaurants domestically with an initial growth target of three to five Kona Grills per year.”

View full version at The ONE Group

Freshii Inc. Announces Second Quarter 2021 Results

August 09, 2021 22:00 ET

Strong sales recovery, with 46% year over year increase in same store sales1 in Q2 2021 Continued digital sales momentum, with Freshii mobile app sales up 105% vs Q2 2020 6 more locations open and operating at end of Q2 2021 vs Q1 2021 with 95% of total locations now open Maintains strong liquidity position while continuing NCIB purchases Announces additional funds to support franchise partners to accelerate restaurant sales and profitability recovery Sees strong CPG sales trends and increasing adoption of beverage and snacking options

TORONTO, Aug. 09, 2021 (GLOBE NEWSWIRE) -- Omnichannel health and wellness brand, Freshii Inc. (TSX: FRII) (“Freshii”, the “Company” or “we”), today announced financial results for the second quarter ended June 27, 2021 (“Q2 2021”).

“In Q2, we were pleased with the sales recovery and location reopening trends experienced in our core restaurant business,” said Matthew Corrin, Chairman and Chief Executive Officer of Freshii. “In Q2, restaurant same store sales were up 46% year over year, with our traditional restaurant locations in North America improving sequentially despite a challenging start to the quarter that continued to feature strict government restrictions in key Canadian markets. The positive sales trends on the digital side of our business are also continuing, with Freshii app sales up 105% vs. Q2 2020. Our new app remains at the forefront of our digital innovation efforts and this summer, Freshii launched its first ever ‘app only’ menu item, with our ‘energii bite smoothie’ LTO made available exclusively to guests ordering through the Freshii app. We continue to work with our franchise partners to navigate the ongoing impacts of the pandemic and have made additional investments in sales driving and profitability focused store level initiatives, primarily by way of increased marketing investments and operating cost offsets. As the impacts of the COVID-19 pandemic abate, and temporarily closed locations continue to reopen, we expect our restaurant network to continue to strengthen its position.

Our CPG division continues to expand, with summer sales trends at our most significant retail partners trending positively. In particular, we have been pleased with the growth of the CPG snacking and beverage sales mix, as these longer shelf-life products help broaden the product assortment and appeal of the division overall. For example, our three flavours of energii bites, available in individual and multi-pack format, continue to perform well as CPG retailers and customers embrace this Freshii-restaurant favourite. Our nutritional supplements business line also remains an area of focus, with additional new products expected soon, adding to our current ACV gummies offering.”

View full version at Freshii

Nathan's Famous, Inc. Reports First Quarter Results

And Declares Quarterly Cash Dividend of $0.35 Per Share

August 06, 2021 08:30 ET

JERICHO, N.Y., Aug. 06, 2021 (GLOBE NEWSWIRE) -- Nathan's Famous, Inc. (“Nathan’s”, the “Company”, “we”, “us” or “our”) (NASDAQ:NATH) today reported results for its first fiscal quarter ended June 27, 2021.

For the thirteen-week period ended June 27, 2021 (“first quarter fiscal 2022”):

Revenues were $31,319,000, as compared to $17,686,000 during the thirteen weeks ended June 28, 2020;
Income from operations was $10,702,000, as compared to $8,094,000 during the thirteen weeks ended June 28, 2020;
Adjusted EBITDA1, a non-GAAP financial measure, was $11,061,000 as compared to $8,550,000 during the thirteen weeks ended June 28, 2020;
Income before provision for income taxes was $8,104,000, as compared to $5,561,000 during the thirteen weeks ended June 28, 2020;
Net income was $5,763,000, as compared to $4,000,000 during the thirteen weeks ended June 28, 2020; and
Earnings per diluted share was $1.40 per share, as compared to $0.97 per share during the thirteen weeks ended June 28, 2020.

The Company also reported the following:

License royalties increased to $10,682,000 during the first quarter fiscal 2022, as compared to $10,523,000 during the thirteen weeks ended June 28, 2020. During the first quarter fiscal 2022, royalties earned under the retail agreement, including the foodservice program, with John Morrell & Co., increased 1.4% to $9,880,000, as compared to $9,744,000 of royalties earned during the thirteen weeks ended June 28, 2020.
In the Branded Product Program, which features the sale of Nathan’s hot dogs to the foodservice industry, income from operations increased by approximately $1,982,000 to $2,254,000 during the first quarter fiscal 2022, as compared to $272,000 for the thirteen weeks ended June 28, 2020. Sales were $15,996,000 in the first quarter fiscal 2022, compared to sales of $4,749,000 during the prior-year period, while the volume of hot dogs sold by the Company increased 232%. Sales and income from operations for the Branded Product Program have increased as certain government mandated restrictions associated with the COVID-19 pandemic have begun to ease with approved vaccines being more widely distributed and administered. As a result, many of our Branded Product Program customers have reopened adhering to state and local guidelines, such as professional sports venues, amusement parks, shopping malls and movie theaters. Our average selling price, which is partially correlated to the beef markets, decreased by approximately 4.5% compared to the prior year period.

______________ 1 EBITDA and Adjusted EBITDA are non-GAAP financial measures. Please see the definitions of EBITDA and Adjusted EBITDA on page 2 of this release and the reconciliation of EBITDA and Adjusted EBITDA to net income in the table at the end of this release.

Sales from Company-operated restaurants were $3,329,000 during the first quarter fiscal 2022 as compared to $1,934,000 during the thirteen weeks ended June 28, 2020. The increase was primarily due to an increase in customer traffic especially at our two Coney Island locations as a result of the easing of certain government mandated restrictions.
Revenues from franchise operations were $907,000 ,during the first quarter fiscal 2022 as compared to $191,000 during the thirteen weeks ended June 28, 2020. Total royalties were $800,000 in the first quarter fiscal 2022 period as compared to $110,000 during the thirteen weeks ended June 28, 2020. Total franchise fee income was $107,000 during the first quarter fiscal 2022 as compared to $81,000 during the thirteen weeks ended June 28, 2020. The increase in franchise fees and royalties during the first quarter fiscal 2022 was primarily due to an increase in franchise restaurant sales of $10,767,000 to $12,985,000 as compared to $2,218,000 for the thirteen weeks ended June 28, 2020 as we begin to lap the significant impact of COVID-19.2 One new franchised outlet and seven new branded menu program outlets opened during the thirteen weeks ended June 27, 2021.
During the first quarter fiscal 2022, we recorded Advertising Fund revenue and expense in the amount of $405,000 as compared to $289,000 during the thirteen weeks ended June 28, 2020.
On June 25, 2021, we paid the $0.35 per share regular cash dividend that was declared by the Board of Directors on June 11, 2021 to shareholders of record at the close of business on June 21, 2021.
Effective August 6, 2021, the Board of Directors declared its quarterly cash dividend of $0.35 per share payable on September 3, 2021 to shareholders of record at the close of business on August 23, 2021.

Certain Non-GAAP Financial Information:

In addition to disclosing results that are determined in accordance with Generally Accepted Accounting Principles in the United States of America ("US GAAP"), the Company is disclosing EBITDA, a non-GAAP financial measure which is defined as net income, excluding (i) interest expense; (ii) provision for income taxes and (iii) depreciation and amortization expense. The Company is also disclosing Adjusted EBITDA, a non-GAAP financial measure which is defined as EBITDA, excluding (i) stock-based compensation that the Company believes will impact the comparability of its results of operations.

The Company believes that EBITDA and Adjusted EBITDA are useful to investors to assist in assessing and understanding the Company's operating performance and underlying trends in the Company's business because EBITDA and Adjusted EBITDA are (i) among the measures used by management in evaluating performance and (ii) are frequently used by securities analysts, investors and other interested parties as a common performance measure.

______________ 2 Franchise restaurant sales are not revenues of the Company and are not included in the Company’s Consolidated Financial Statements.

EBITDA and Adjusted EBITDA are not recognized terms under US GAAP and should not be viewed as alternatives to net income or other measures of financial performance or liquidity in conformity with US GAAP. Additionally, our definitions of EBITDA and Adjusted EBITDA may differ from other companies. Analysis of results and outlook on a non-US GAAP basis should be used as a complement to, and in conjunction with, data presented in accordance with US GAAP. Please see the table at the end of this press release for a reconciliation of EBITDA and Adjusted EBITDA to net income.

About Nathan’s Famous

Nathan’s is a Russell 2000 Company that currently distributes its products in 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, and eighteen foreign countries through its restaurant system, foodservice sales programs and product licensing activities. For additional information about Nathan’s please visit our website at www.nathansfamous.com.

View source version at Nathan's Famous

Ruth’s Hospitality Group, Inc. Reports Second Quarter 2021 Financial Results

- Revenue $110.9 Million - Earnings Per Share $0.36

August 06, 2021 07:00 AM Eastern Daylight Time

WINTER PARK, Fla.--(BUSINESS WIRE)--Ruth’s Hospitality Group, Inc. (the “Company”) (Nasdaq: RUTH) today reported unaudited financial results for its second quarter ended June 27, 2021 and provided a business update.

CEO Comments

Cheryl Henry, President, Chief Executive Officer and Chairperson of the Board of Ruth’s Hospitality Group, Inc., commented, “I’m pleased to report that we posted strong operating results in the second quarter with sequential growth in comparable sales each month and continued margin improvement. We are excited about this momentum and our renewed commitment to unit growth as we expect to open seven new Company-owned or managed restaurants by the end of 2022.”

Henry added, “All in all, we are a stronger and more nimble enterprise with a balance sheet that affords us flexibility as we navigate the ever-changing environment. I am extremely proud of our team members and franchise partners and their continued efforts to deliver impressive results, while ensuring that the guest experience in our restaurants is reflective of the hospitality and amazing food that Ruth’s Chris Steak House has been known for over 56 years.”

Second Quarter 2021 Financial Highlights (1)

During the second quarter of 2021, 75 of 76 Company-owned or managed Ruth’s Chris Steak House restaurants were open with dining service.
As of the end of the second quarter of 2021, 68 of the Company’s 72 franchisee-owned restaurants were open, including 63 restaurants offering dining service, two restaurants offering outdoor seating only and three restaurants offering to-go and delivery service only.
Restaurant sales in the second quarter of 2021 were $104.2 million compared to $27.0 million in the second quarter of 2020. By period, second quarter comparable restaurant sales and average weekly sales for Company-owned restaurants were as follows:

(dollar amounts in thousands)

April

May

June

Q2 2021

Comparable Restaurant Sales vs. 2020

611.7%

384.6%

124.8%

286.6%

Comparable Restaurant Sales vs. 2019

2.1%

6.0%

7.4%

5.0%

Average Weekly Sales (all restaurants)(2)

$103.1

$113.9

$114.0

$109.8

Second quarter comparable restaurant sales compared to 2019 would have increased 11.1% absent the impact of three markets (Boston, Hawaii and Manhattan), which continued to be challenged by local restrictions and market conditions.
Franchise income in the second quarter of 2021 was $4.5 million compared to $1.0 million in the second quarter of 2020. Second quarter 2021 comparable restaurant sales at franchisee-owned restaurants increased 200.9% compared to 2020 and 7.5% compared to the second quarter of 2019.
Food and beverage costs, as a percentage of restaurant sales, increased 60 basis points to 30.3% compared to the second quarter of 2020. Total beef costs increased 27% compared to the second quarter of 2020 and 34% compared to the second quarter of 2019.
Operating income in the second quarter was $16.3 million compared to an operating loss of $24.1 million in the second quarter of 2020 and operating income of $11.6 million in the second quarter of 2019. As a percentage of total revenues, operating income in the second quarter of 2021 increased to 14.7% compared to 10.6% in the second quarter of 2019.
Net income in the second quarter of 2021 was $12.4 million, or $0.36 per diluted share, compared to net loss of $17.6 million, or ($0.59) per diluted share, in the second quarter of 2020.

- Net income in the second quarter of 2021 included a $65 thousand employee retention payroll tax credit, which reduced restaurant operating expenses, a $394 thousand impairment loss and a $26 thousand income tax benefit related to the impact of discrete income tax items. Net income in the second quarter of 2020 included $330 thousand in severance payments, $488 thousand in gains related to lease modifications, a $4.3 million impairment loss and a $175 thousand income tax expense related to the impact of discrete income tax items.

- Excluding these items, non-GAAP diluted earnings per common share was $0.36 in the second quarter of 2021, compared to a non-GAAP diluted loss per share of ($0.48) in the second quarter of 2020. The Company believes that non-GAAP diluted earnings (loss) per common share provides a useful alternative measure of financial performance to improve comparability of diluted earnings per common share between periods. Investors are advised to see the attached Reconciliation of Non-GAAP Financial Measure table for additional information.

(1)

In order to assist with the review of our quarterly results, we have provided an additional comparison to the same period in 2019 for some of our financial measures as many of the 2020 financial measures were impacted by COVID-related restaurant closures.(2)

Average Weekly Sales is an average of restaurant sales for all Company-owned restaurants.

Business and Development Update

Quarter to date through July 25, 2021, Company-owned comparable restaurant sales increased 17.5% compared to 2019, and average weekly sales were $103.8 thousand.
We expect to open a total of seven new Company-owned or managed restaurants by the end of 2022: two to three new restaurants in 2021 and four to five new restaurants in 2022.
We expect to open three new franchisee-owned restaurants by the end of 2022 with one to two openings in 2021.
As of August 4, 2021, the Company’s cash balance was approximately $95.5 million, with $70.0 million of debt outstanding under its senior credit facility and $4.7 million of outstanding letters of credit.

Financial Outlook

Based on current information and its most recent projections, Ruth’s Hospitality Group, Inc. is providing its updated full year 2021 outlook for the following operating measures based on a 52-week year ending December 26, 2021:

Restaurant labor efficiency of 250-300 basis points compared to 2019
Marketing and advertising costs of $12 million to $14 million
General and administrative expenses of $32 million to $33.5 million
Effective income tax rate of 17% to 19%
Total capital expenditures of $20 million to $25 million

The foregoing statements are not guarantees of future performance, and therefore, undue reliance should not be placed upon them. We refer you to the “Cautionary Note Regarding Forward-Looking Statements” section in this earnings press release and to our recent filings with the Securities and Exchange Commission for more detailed discussions of the risks that could impact our financial outlook and our future operating results and financial condition.

View full version at Ruth's Hospitality

Fat Brands Inc. Reports Second Quarter 2021 Financial Results

August 05, 2021 16:05 ET

Conference call and webcast today at 5:00 p.m. ET

LOS ANGELES, Aug. 05, 2021 (GLOBE NEWSWIRE) -- FAT (Fresh. Authentic. Tasty.) Brands Inc. (NASDAQ: FAT) (“FAT Brands” or the “Company”) today reported fiscal second quarter 2021 financial results for the 13-week period ending June 27, 2021.

Andy Wiederhorn, President and CEO of FAT Brands, commented, “We want to thank our franchise partners and employees who have continued to deliver exceptional results as we emerge from the difficult operating environment of the past year.”

“This is an historic time for FAT Brands as we successfully closed the acquisition of Global Franchise Group for $442.5 million, the largest deal we have completed to date. This acquisition marks a further diversification of our restaurant portfolio by introducing five new restaurant concepts in new restaurant segments and categories and expanding our store base from approximately 700 to more than 2,000 units worldwide. We are particularly excited about the accretive synergies we foresee in integrating these restaurants with our strong platform. Based on current projections and assumptions, including realization of expected synergies and return to pre-COVID restaurant sales, we expect company-wide EBITDA to rise by approximately $40 million to $55-$60 million.”

“The second quarter marked a further progression in sales improvements and we saw excellent results, particularly from Johnny Rockets, Hurricane and Fatburger. We are very excited for the second half of this year where we expect a continued uptick in sales as the country eases back towards pre-COVID normalcy with the lifting of restrictions and growing vaccine distribution. With the newly added five restaurant concepts, we anticipate unit growth to accelerate over the coming months with plans to open 32 additional stores under our legacy brands by the end of the year and approximately an additional 50 units including Global Franchise Group.”

Fiscal Second Quarter 2021 Highlights

●Total revenue improved 167% to $8.3 million compared to $3.1 million the second quarter of 2020○System-wide sales growth of 201.9% Q2 2021/Q2 2020 and 44.5% Q2 2021/Q2 2019■United States sales growth of 182.2% Q2 2021/Q2 2020 and 40.8% Q2 2021/Q2 2019■Rest of world sales growth of 269.8% Q2 2021/Q2 2020 and 55.0% Q2 2021/Q2 2019○System-wide same-store sales growth of 55.3% Q2 2021/Q2 2020■United States same-store sales growth of 54.6% Q2 2021/Q2 2020■Rest of world sales growth of 57.6% Q2 2021/Q2 2020○10 new franchised store openings during the second quarter of 2021■Store count as of June 27, 2021: 628 stores system-wide plus 32 locations to open in 2021●Net loss of $5.9 million or $0.48 per diluted share compared to net loss of $4.3 million or $0.36 per diluted share in the second quarter of 2020●Adjusted net loss (1) of $1.1 million, or $0.09 per diluted share, compared to an adjusted net loss of $3.4 million, or $0.28 per diluted share in the second quarter of 2020.●EBITDA(1) loss of $4.9 million compared to an EBITDA loss of $4.3 million in the second quarter of 2020●Adjusted EBITDA(1) of $2.1 million compared to an adjusted EBITDA loss of $0.4 million in the second quarter of 2020.

(1) EBITDA, Adjusted EBITDA and adjusted net loss are non-GAAP measures defined below, under “Non-GAAP Measures”. Reconciliation of GAAP net income to EBITDA, adjusted EBITDA and adjusted net loss are included in the accompanying financial tables.

Summary of Second Quarter 2021 Financial Results

Total revenue was $8.3 million in the second quarter of 2021 compared to $3.1 million in the second quarter of 2020, reflecting revenue from Johnny Rockets, which was acquired during the third quarter of 2020, and the recovery from the negative effects of the COVID-19 pandemic on royalties from restaurant sales.

Costs and expenses decreased to $6.2 million in the second quarter of 2021 compared to $8.9 million in the second quarter of 2020. General and administrative expenses increased $1.4 million primarily due to higher compensation as we filled out the management team and increased professional fees.

Advertising expense increased to $1.4 million in the second quarter of 2021 compared to $0.6 million in the second quarter of 2020, reflecting advertising expenses from Johnny Rockets and the increase in customer activity as the recovery from recovery from COVID continues.

Refranchising gains of $0.9 million in the second quarter consisted of $1.1 million in net gains related to refranchised restaurants, partially offset by restaurant operating costs, net of food sales of $0.2 million. Refranchising losses of $1.0 million in the second quarter of 2020 were comprised of restaurant operating costs, net of food sales.

Other expense of $10.0 million in the second quarter of 2021 was comprised primarily of interest expense of $2.7 million and a $6.4 million net loss on the extinguishment of debt. Other income of $0.5 million in the second quarter of 2020 consisted primarily of a $1.3 million decrease in fair value of derivative liability relating to the conversion feature of Series A Preferred Stock, partially offset by net interest expense of $0.8 million.

Adjusted net loss was $1.1 million, or $0.09 per diluted share, in the second quarter of 2021 compared to adjusted net loss of $3.4 million, or $0.28 per diluted share, in the second quarter of 2020.

View full version at FAT Brands

Potbelly Corporation Reports Results for Second Fiscal Quarter 2021

August 05, 2021 06:00 ET

Sales momentum accelerated throughout the second quarter, driven by ongoing recovery in the operating environment and impact from strategic initiatives

Second consecutive quarter of shop-level profitability

Improved volume across all channels, led by Dine-In which had a 5% increase in sales sequentially

CHICAGO, Aug. 05, 2021 (GLOBE NEWSWIRE) -- Potbelly Corporation (NASDAQ: PBPB) (“Potbelly” or the “Company”), the iconic neighborhood sandwich shop concept, today reported financial results for the second fiscal quarter ended June 27, 2021.

Second Quarter Strategic Successes:

Same-store sales (SSS) trends continued to show sequential improvement, ending the second quarter at +70.0% vs (3.1%) in the first quarter of 2021; SSS approached 2019 levels, at (-0.7%) compared to the second quarter of 2019.
Second consecutive quarter of shop-level profitability and 23.8% growth in Average Unit Volume (AUV) compared to the first quarter 2021.
Suburban shops, approximately 60% of units, continued to show strength with shop-level margin of 15.2%, slightly exceeding the 2019 average level across all shop types.
Continued traction in the ‘Traffic-Driven Profitability’ strategic plan, pivoting toward growth-driving actions, with new menu rollout scheduled in the coming weeks.
Strong results for Potbelly Perks loyalty program, adding 142,000 new members during the quarter, with Perks sales representing nearly 18% of total sales.
Further strengthened leadership team with appointment of Larry Strain as Chief Development Officer.
Subsequent to the quarter end, upgraded the tech stack with new mobile app, website, digital order and Perks loyalty program integration.

Key highlights for the thirteen weeks ended June 27, 2021 compared to March 28, 2021:

Total revenues increased by 24.9% to $97.5 million compared to $78.1 million.
GAAP net loss attributable to Potbelly was ($3.9) million, compared to a GAAP net loss of ($14.5) million. GAAP diluted loss per share was ($0.14) compared to a GAAP diluted loss per share of ($0.56).
Adjusted net loss1 attributable to Potbelly was ($2.9) million compared to an adjusted net loss of ($8.5) million. Adjusted diluted EPS1 was a loss of ($0.10) compared to an adjusted diluted EPS loss of ($0.33).
EBITDA1 improved significantly to $1.0 million from an EBITDA loss of ($10.0) million.
Adjusted EBITDA1 improved meaningfully to $1.9 million compared to Adjusted EBITDA loss of ($6.6) million.
Company paid approximately $2.5 million of $11.3 million of 2020 deferred cash payments in the quarter, bringing the cumulative amount paid to approximately $6.0 million.
Based on the progress made during the second quarter, the Company expects positive cash flow from operations to continue through the second half of the year.
At June 27, 2021, the Company had $11.8 million of cash on hand and $23.5 million available under the revolving credit facility, for total liquidity of $35.3 million.

Bob Wright, President and Chief Executive Officer of Potbelly, commented, “Our performance in the second quarter once again exceeded our expectations. Our significant top line growth reflects strengthening of our unit level economics across our portfolio. To be sure, the ongoing strength in the macro-economic environment and the restaurant sector contributed to sales growth. During the quarter, we experienced a significant increase in Dine-In as well as continued resilience in our Digital channels. We are also enjoying early benefits from our strategic initiatives that are evident in our results, namely the benefits of our third-party delivery differential pricing and our targeted scaled media outreach.”

View full version at Potbelly

El Pollo Loco Holdings, Inc. Announces Second Quarter 2021 Financial Results

August 05, 2021 19:54 ET

COSTA MESA, Calif., Aug. 05, 2021 (GLOBE NEWSWIRE) -- In a release issued under the same headline earlier today by El Pollo Loco Holdings, Inc. (Nasdaq: LOCO) please note that the third table table titled UNAUDITED RECONCILIATION OF SYSTEM-WIDE SALES TO COMPANY-OPERATED RESTAURANT REVENUE AND TOTAL REVENUE had incorrect figures in the last two rows. The corrected release follows:

El Pollo Loco Holdings, Inc. (Nasdaq: LOCO) today announced financial results for the 13-week period ended June 30, 2021.

Highlights for the second quarter ended June 30, 2021 compared to the second quarter ended June 24, 2020 were as follows:

Total revenue was $122.0 million compared to $99.6 million.
System-wide comparable restaurant sales(1) increased 21.0%.
Income from operations was $12.7 million compared to $7.4 million.
Restaurant contribution(1) was $22.2 million, or 20.8% of company-operated restaurant revenue, compared to $17.2 million, or 19.6% of company-operated restaurant revenue.
Net income was $8.8 million, or $0.24 per diluted share, compared to net income of $5.5 million, or $0.16 per diluted share.
Pro forma net income(1) was $10.7 million, or $0.29 per diluted share, compared to $6.9 million, or $0.20 per diluted share.
Adjusted EBITDA(1) was $19.9 million, compared to $15.3 million.

(1)System-wide comparable restaurant sales, restaurant contribution, pro forma net income and adjusted EBITDA are not presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and are defined below under “Key Financial Definitions.” A reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measure is included in the accompanying financial data. See also “Non-GAAP Financial Measures.”

Bernard Acoca, President and Chief Executive Officer of El Pollo Loco Holdings, Inc., stated, “Our strong second quarter performance was characterized by the continued sales recovery in both our LA and outer markets, resulting in over 22% top line improvement and strong two-year system-wide comparable restaurant sales growth of 14.8% compared to the second quarter of 2019. We were able to leverage our sales improvement and labor efficiencies to post a 20.8% restaurant contribution margin during the quarter. Our two-year system-wide comparable sales growth continued in the month of July coming in at 14.6% and company weekly average unit volumes have been over $40,000 for 18 straight weeks, demonstrating the strength we are seeing in our business. As we look at the back half of the year, we will work to sustain this sales momentum and work to manage the impact of increasing labor and commodity costs. We will also continue to execute on our acceleration agenda to further scale our brand for rapid and successful growth, especially in new geographies.”

View full version at El Pollo Loco

Papa John’s Announces Second Quarter 2021 Financial Results and Significant Increase in Dividend

August 05, 2021 07:00 AM Eastern Daylight Time

LOUISVILLE, Ky.--(BUSINESS WIRE)--Papa John’s International, Inc. (NASDAQ: PZZA) today announced financial results for the three and six months ended June 27, 2021.

Second quarter 2021 highlights compared to prior year

Total company revenues increased 11.8% to $515.0 million
Comparable sales up 5.2% in North America and 21.2% Internationally; Global system-wide restaurant sales of $1.2 billion, up 12.2% driven by innovation, strong customer retention and accelerating domestic and international unit growth
55 net unit openings driven by International growth
Loss per diluted share of ($2.30), including Special items of $3.23 per share, largely related to repurchase and conversion of Series B Convertible Preferred Stock; Adjusted earnings per diluted share grew to $0.93 from $0.48 a year ago
For first six months of 2021, cash flow from operations of $128.0 million, up from $87.7 million a year ago; free cash flow of $100.1 million up from $67.0 million
Increases return to common shareholders with 56% increase in annual dividend rate to $1.40 per share; declares third quarter dividend of $0.35 per share

“Papa John’s delivered an eighth consecutive quarter of growth, with system-wide sales up 12% in Q2. We extended the record sales results we achieved a year ago, sustaining our industry outperformance as markets continue reopening,” said President & CEO Rob Lynch. “Robust two-year comparable sales results – up 33% in North America and 27% internationally – reflect the impact our multi-faceted innovation strategy has had across every area of our business, powered by the effort of our team members and franchisees.”

Mr. Lynch continued, “Papa John’s strong brand and highly-attractive unit economics are driving accelerated restaurant openings by both new and existing franchisees, resulting in a record 123 net unit openings in the first half of 2021. In addition to growing AUVs, development is now a significant component of rising system-wide sales. With our business firing on all cylinders, we are more confident than ever that Papa John’s strategy and growth model position us solidly for long-term growth, as we build the world’s best pizza delivery company.”

Financial Highlights

Three Months Ended

Six Months EndedIn thousands, except per share amounts

June 27, 2021

June 28, 2020

Increase (Decrease)

June 27, 2021

June 28, 2020

Increase (Decrease)Revenue

515,008

460,623

54,385

1,026,754

870,482

156,272

Operating income

44,637

30,534

14,103

91,499

46,006

45,493

Net income

32,254

20,614

11,640

66,137

29,057

37,080

Diluted (loss) earnings per share

(2.30

)

0.48

(2.78

)

(1.47

)

0.65

(2.12

)Adjusted diluted earnings per share (a)

0.93

0.48

0.45

1.94

0.65

1.29

(a)

Adjusted diluted earnings per share is a non-GAAP measure that excludes “Special items,” which impact comparability. Special items of $112.4 million and $115.4 million for the three and six months ended June 27, 2021 include $109.9 million of a one-time charge in each period associated with the repurchase and conversion of all shares of the company’s Series B Convertible Preferred Stock (“Series B Preferred Stock”) and $3.3 million and $7.2 million for the three and six month ended June 27, 2021, respectively, of strategic corporate reorganization costs associated with the company’s new office in Atlanta, Georgia projected to open in the fall of 2021. The reconciliation of GAAP to non-GAAP financial results is included in “Reconciliation of Non-GAAP Financial Measures” below.

Revenues

Consolidated revenues of $515.0 million increased $54.4 million, or 11.8%, in the second quarter of 2021 compared to the second quarter of 2020 primarily as a result of higher comparable sales of 5.2% for North America restaurants, which benefited from continued menu, delivery and digital innovation as reflected in higher company-owned restaurant revenues, franchise royalties and commissary sales. Higher commodity costs also positively impacted commissary sales. International revenues also increased primarily due to higher royalties from strong comparable sales results of 21.2% for the quarter and higher unit counts.

View full version at Papa John's

Dine Brands Global, Inc. Reports Second Quarter 2021 Results

Significant Improvement in Domestic System-Wide Comparable Same-Restaurant Sales

99% of Domestic Restaurants Open

Ten New Restaurants Opened by Franchisees

Cash Position Remains Strong

Historical Domestic System-Wide Comparable Same-Restaurant Sales Relative to the Prior Year - Quarterly Domestic Same-Restaurant Sales - Applebee's (Graphic: Business Wire)

August 05, 2021 08:00 AM Eastern Daylight Time

GLENDALE, Calif.--(BUSINESS WIRE)--Dine Brands Global, Inc. (NYSE: DIN), the parent company of Applebee's Neighborhood Grill + Bar® and IHOP® restaurants, today announced financial results for the second quarter of 2021.

“Our strong second-quarter results reflect the perseverance of the Dine Brands system as comp sales for both brands improved significantly. I’m thankful to our teams who have worked so hard to serve our guests and enhance the restaurant experience,” said John Peyton, chief executive officer of Dine Brands Global, Inc.

Mr. Peyton added, “Both Applebee’s and IHOP continue to make meaningful progress in a challenging environment. Relative to 2019, Applebee’s posted its best quarterly comp sales performance in over a decade. IHOP’s second-quarter comp sales improved markedly relative to 2019. Our solid fundamentals generated significant adjusted free cash flow and enabled us to maintain a healthy cash position. Our business is built to win thanks to our two iconic brands. Our franchisees are emerging from the pandemic with stable fundamentals. I’m confident we will continue to build on this momentum as we further accelerate innovation, while also focusing on our guests’ needs and accelerating growth.”

Vance Chang, chief financial officer, added, “We are very pleased with the progress we have made in the second quarter. Looking ahead, our optimism is somewhat tempered by continued volatility, which include labor shortages and variants of COVID-19. We remain steadfast in executing our strategy to improve profitability and accelerate sustainable growth.”

View full version at Dine Brands

Chuy’s Holdings, Inc. Announces Second Quarter 2021 Financial Results

August 05, 2021 04:05 PM Eastern Daylight Time

AUSTIN, Texas--(BUSINESS WIRE)--Chuy’s Holdings, Inc. (NASDAQ:CHUY) today announced financial results for the second quarter ended June 27, 2021.

Highlights for the second quarter ended June 27, 2021 were as follows:

Revenue increased 64.7% to $108.2 million compared to $65.7 million in the second quarter of 2020.
Comparable restaurant sales increased 60.0% as compared to fiscal 2020 and decreased approximately 1.4% as compared to fiscal 2019.
Net income increased 156% to $11.5 million, or $0.57 per diluted share, compared to net income of $4.5 million, or $0.26 per diluted share, in the second quarter of 2020.
Adjusted net income(1) increased 215% to $12.6 million, or $0.62 per diluted share, compared to $4.0 million, or $0.23 per diluted share, in the second quarter of 2020.
Restaurant-level operating profit(1) increased 87% to $27.6 million compared to $14.8 million in the second quarter of 2020. Restaurant-level operating margin(1) increased 310 basis points to 25.6% compared to 22.5% in the second quarter of 2020.
$113.5 million in cash and cash equivalents, no debt and $25.0 million available under the revolving credit facility.

(1) Adjusted net income, restaurant-level operating profit and restaurant-level operating margin are non-GAAP measures. For reconciliations of adjusted net income, restaurant-level operating profit and restaurant-level operating margin to the most directly comparable GAAP measures see the accompanying financial tables. For a discussion of why we consider adjusted net income, restaurant-level operating profit and restaurant-level operating margin useful, see “Non-GAAP Measures” below.

Steve Hislop, President and Chief Executive Officer of Chuy’s Holdings, Inc. stated, “Our second quarter results demonstrated continued sales recovery in our restaurants, despite operating under capacity restrictions for most of the quarter. We successfully grew our top line by over 64%, further narrowed our comparable sales gap from 2019, and improved our restaurant-level profitability, both on a dollar and margin basis. As we return to more normalized operations and increase our dining room capacity to 100%, we will ensure that our restaurants are properly staffed and continue to execute on the three key pillars that have resonated well with our guests throughout the pandemic – Safety, Convenience, and Value.”

Hislop continued, “The COVID-19 pandemic gave us an opportunity to reset our business model with continuing restaurant-level operating margin improvement. With positive sales trajectory and improved operating efficiencies, we are optimistic about the health of our business, and we will remain operationally and hospitality focused as we look toward the remainder of the year.”

View full version at Chuy's

Shake Shack Announces Second Quarter 2021 Financial Results

– Total Revenue Increased 104.2%, to $187.5 million, Supported by >300% In-Shack Sales Growth, versus Same Period Last Year

– Same-Shack Sales Up 52.7% Compared to Same Period Last Year

– Average Weekly Sales Showed Significant Improvement, at $72,000 in the Second Quarter and $74,000 in Fiscal July, Supported by Stronger Urban and In-Shack Sales

August 05, 2021 04:05 PM Eastern Daylight Time

NEW YORK--(BUSINESS WIRE)--Shake Shack Inc. (“Shake Shack” or the “Company”) (NYSE: SHAK) today reported its financial results for the second quarter ended June 30, 2021, a period that included 13 weeks.

Randy Garutti, Chief Executive Officer of Shake Shack, stated, “We remain on the path towards full sales recovery, with total revenue up over 104% versus the second quarter of 2020. As restrictions relaxed across the country, in-Shack sales rose more than 300% year on year. The resilience of our business can be seen through the ongoing revenue improvement in our hardest hit urban Shacks, while at the same time we retained the strong business we built in our suburban Shacks. Additionally, even as more of our guests came back to meet us in person, we still grew our digital business double digits and retained approximately 80% of the digital sales versus fiscal January 2021, when digital sales peaked. In terms of profitability, Shack level operating margin improved significantly along with sales, however, we do expect margins to moderate in the coming quarters as we make significant investments in our team. Our Shack team members are at the core of all we do and we have committed an additional $10 million in raises, incentives and leadership development over the next year. We remain focused on the recovery of both sales and profitability across our Shack base and growth over the long term. Our strategic plan centers on the evolution of our Shack formats through physical and digital transformation with the objective of delivering a seamless, elevated guest experience."

Financial Highlights for the Second Quarter of 2021:

Total revenue in the second quarter of 2021 increased 104.2% to $187.5 million versus the same period last year.
Shack sales in the second quarter of 2021 increased 102.7% to $181.5 million versus the same period last year.
Same-Shack sales(1) improved to up 52.7% in the second quarter of 2021 versus the same period last year.
Licensed revenue in the second quarter of 2021 increased 164.2% to $6.0 million versus the same period last year.
Shack system-wide sales in the second quarter of 2021 increased 127.7% to $281.9 million, versus the same period last year.
Operating income in the second quarter of 2021 was $3.3 million compared to an operating loss of $24.1 million in the same period last year.
Shack-level operating profit(2) increased 1,699.7% in the second quarter of 2021 versus the same period last year, to $34.8 million, or 19.2% of Shack sales.
Net income was $2.1 million and adjusted EBITDA(2) was $20.6 million in the second quarter of 2021, compared to a net loss of $18.0 million and adjusted EBITDA of $(8.8) million in the same period last year.
Net income attributable to Shake Shack Inc. was $1.9 million and adjusted pro forma net income(2) was $2.4 million, or $0.05 per fully exchanged and diluted share in the second quarter of 2021, compared to Net loss attributable to Shake Shack Inc. of $16.2 million and adjusted pro forma net loss of $18.3 million, or $(0.45) per fully exchanged and diluted share, in the same period last year.
Net system-wide Shack openings, comprised of eight net domestic Company-operated Shacks and ten net licensed Shacks.
Cash and cash equivalents and marketable securities on hand was $420.2 million as of June 30, 2021.

(1)

In order to compare like-for-like periods for fiscal 2021, same-Shack sales will compare the 52 weeks from December 31, 2020 through December 29, 2021 to the 52 weeks from January 2, 2020 through December 30, 2020. For Q2 2021, same-Shack sales compares the thirteen weeks from April 1, 2021 through June 30, 2021 to the thirteen weeks from April 2, 2020 through July 1, 2020. Refer to the materials included in the Supplemental Financial Information, dated August 5, 2021, for illustrative monthly and quarterly comparative periods.

(2)

Shack-level operating profit, adjusted EBITDA and adjusted pro forma net income (loss) are non-GAAP measures. Reconciliations of Shack-level operating profit to Operating income (loss) and adjusted EBITDA to Net income (loss), and adjusted pro-forma net income (loss) to Net income (loss) attributable to Shake Shack, Inc., the most directly comparable financial measures presented in accordance with GAAP, are set forth in the schedules accompanying this release. See “Non-GAAP Financial Measures.”

Second Quarter 2021 Review

Total revenue, which includes Shack sales and Licensing revenue, increased 104.2% versus the second quarter of 2020, to $187.5 million in the second quarter of 2021. Shack sales for the second quarter of 2021 were $181.5 million compared to $89.5 million in the second quarter of 2020, reflecting an increase of $92.0 million, or 102.7%, due in part to the opening of 29 net new domestic Company-operated Shacks between June 24, 2020 and June 30, 2021, as well as continued sales recovery across Shack markets.

Same-Shack sales grew 52.7% year-on-year in the second quarter of 2021, compared to up 5.7% in the first quarter of 2021. Sales improved across all regions, and was led by strength of in-Shack dining as well as healthy retention of our digital sales. These trends continued in fiscal July as we saw same-Shack sales up 38% compared to the same period last year. Although suburban Shacks are performing closer to pre-pandemic levels than urban, we saw encouraging momentum across urban Shacks throughout the second quarter. We also reached a milestone in our urban recovery, with the reopening of the Union Station, DC and Grand Central Station, NYC Shacks in late June and early July, respectively. In the Southeast region, notably Texas, same-Shack sales are now above pre-pandemic levels; these markets continue to represent growth opportunities for the business across a variety of formats.

View full version at Shake Shack

Panera Bread, Caribou Coffee and Einstein Bros. Bagels Unite as Panera Brands, Creating a Best-in-Class, Market Leading Fast Casual Platform

August 5, 2021

St. Louis, MO (RestaurantNews.com) Today, Panera Bread, Caribou Coffee and Einstein Bros. Bagels are proud to announce the formation of Panera Brands, a new powerhouse platform in fast casual, the fastest growing segment of the industry. Panera Brands brings together three iconic brands in fast casual: Panera Bread, the pioneer and market leader in fast casual, Caribou Coffee, a beloved regional coffeehouse, and Einstein Bros. Bagels, the industry leader in bagels and bagel sandwiches. With nearly 4,000 locations and 110,000 employees across 10 countries, Panera Brands is one of the largest and most vibrant fast casual companies in the world.

Niren Chaudhary has been appointed as the Group CEO of Panera Brands and will continue to lead as CEO of Panera Bread. José Alberto Dueñas, CEO of Einstein Bros. Bagels, and John Butcher, CEO of Caribou Coffee, will report into Chaudhary while continuing as CEOs of their respective companies. Anchored in Panera Bread’s distinctive competencies including its broad omnichannel retail network, strong digital infrastructure, industry leading loyalty program, robust food innovation pipeline, world class supply chain and access to extremely well capitalized franchise owners, Panera Brands will be in a unique position to turbocharge the growth in Caribou Coffee and Einstein Bros. Bagels alongside Panera Bread.

“Together as Panera Brands, we are united by our common values and shared belief that we can be force multipliers for good. We exist to provide exceptional experiences for our guests, and to positively impact our communities, the planet and our shareholders while unlocking the dreams of our teams.” said Niren Chaudhary, Group CEO of Panera Brands and CEO, Panera Bread. “We believe Panera Bread, Caribou Coffee and Einstein Bros. Bagels together will leverage each company’s unique expertise and services to build an unrivaled fast casual platform with a tremendous runway for growth.”

Panera Bread, with more than 2,100 bakery-cafes is a pioneer and market leader in fast casual with leadership in the quality of its clean, transparent, sustainable ingredients, and in omnichannel access, digital convenience (45% of sales are e-commerce) and engagement (44MM MyPanera loyalty members). During the pandemic Panera Bread successfully pivoted to more off-premise and digital access and has rapidly innovated with new offerings such as its disruptive coffee subscription program and the exciting Flatbread Pizza launch, demonstrating the power of its highly leverageable best-in-class asset base. As a result, the business has recovered to above 2019 levels, the brand has emerged stronger and is gaining momentum, delivering consistently positive one and two-year comparable restaurant sales throughout May, June and July.

Caribou Coffee, founded in 1992, is the #1 coffee brand in the Upper Midwest and has one of the most passionate and loyal customer bases of any coffeehouse. With 713 stores in 10 countries, Caribou Coffee also has a sizeable presence outside the U.S. Caribou Coffee’s omnichannel capabilities and investment in smaller format restaurant models have expanded its reach, enabling the company to further expand its business throughout the U.S. A market leader in bagels and bagel sandwiches, Einstein Bros. Bagels operates 1,005 stores consisting of Einstein Bros.® Bagels, Bruegger’s Bagels®, Noah’s New York Bagels® and Manhattan Bagel®.

“Caribou Coffee is proud to be closing out the first half of 2021 stronger than ever,” said John Butcher, CEO of Caribou Coffee. “Our purpose at Caribou Coffee is to create day-making experiences that spark a chain reaction of GOOD. The creation of Panera Brands enables us to work smarter together, and drive greater impact for our teams, guests and communities.”

“At Einstein Bros. Bagels, our relentless focus on delivering the most craveable breakfast experience for our guests and our efforts to transform the business during 2020 allowed us to come out of the pandemic as a stronger, more profitable, and more nimble company,” said José Alberto Dueñas, CEO of Einstein Bros. Bagels. “I’m looking forward to seeing our powerful brand portfolio, executed with a simplified retail model and optimized for a great digital experience, continue to gain momentum.”

With world-class dedicated executive teams for each company, strong core businesses focused on craveability and high-quality ingredients, and improving efficiencies, Panera Brands has a tremendous runway for continued growth.

About Panera Brands

Panera Brands is one of the world’s largest fast casual restaurant companies, with nearly 4,000 locations and 110,000 employees across 10 countries. A portfolio of complementary brands bound by common values and tremendous runway for growth, Panera Brands is comprised of Panera Bread®, Caribou Coffee® and Einstein Bros.® Bagels. Panera Brands companies are independently operated and underpinned by industry leading technology, loyalty, craveability, and high-quality ingredients. Panera Brands companies are united in their mission to be force multipliers for good for their guests, communities, the planet, and the shareholders they serve.

Panera Bread is a pioneer and market leader in fast casual, with leadership in the quality of its clean, transparent, sustainable ingredients, and in omnichannel access, digital convenience (45% of sales are e-commerce) and engagement (44MM MyPanera loyalty members). As of June 30, 2021, there were 2,120 Panera Bread bakery-cafes in 48 states and in Ontario, Canada, operating under the Panera Bread® or Saint Louis Bread Co.® names. Caribou Coffee provides high-quality handcrafted beverages and food options, with 713 stores in 10 countries. Einstein Bros. Bagels, consisting of Einstein Bros.® Bagels, Bruegger’s Bagels®, Noah’s New York Bagels® and Manhattan Bagel® is a market leader in bagels and bagel sandwiches operating more than 1,000 company-owned and licensed units across the US.

View source version at Panera Bread

Jack in the Box Inc. Reports Third Quarter 2021 Earnings

Systemwide sales growth of +10.6%

Same store sales growth +10.2%

Net units down -1.1%

Diluted EPS up +26.1% to $1.79

Company provides updates to 2021 guidance measures

Company provides CapEx & Other Investments guidance range for 2022

August 04, 2021 04:05 PM Eastern Daylight Time

SAN DIEGO--(BUSINESS WIRE)--Jack in the Box Inc. (NASDAQ: JACK) announced financial results for the third quarter ended July 4, 2021, comprised of growth in systemwide sales, system same store sales and earnings per share.

"I am very pleased with our third quarter results, and proud of the continued momentum and execution from our franchisees and operators,” said Darin Harris, Jack in the Box Chief Executive Officer. “Comps on a two-year basis of +16.8%, coupled with solid earnings performance, are all part of creating the store-level profitability that will help us maximize our growth and expansion opportunities going forward.”

Systemwide sales increased 10.6% in the third quarter, comprised of positive results in same store sales and a slight decline in net unit growth. The company had a third quarter net store decline of 9 stores, comprised of 4 store openings and 13 closures – with 7 closings that include future offsetting locations, and the remainder related to agreement expirations. In the third quarter, there were development agreements signed for 60 future restaurants, bringing the year-to-date total to 64 future restaurants.

Company-operated same-store sales grew 9.0% in the third quarter, with evenly-balanced contribution from both transactions and average check. Franchise same-store sales grew 10.3%, with similar trends in both average check and transactions.

View full version at Jack in the Box

Noodles & Company Announces Second Quarter 2021 Financial Results

Company-Owned Comparable Restaurant Sales Growth of 56%, Record Average Unit Volumes of $1.35M and Highest Restaurant Contribution Margin Since 2014

August 03, 2021 16:05 ET

BROOMFIELD, Colo., Aug. 03, 2021 (GLOBE NEWSWIRE) -- Noodles & Company (Nasdaq: NDLS) today announced financial results for its second quarter ended June 29, 2021.

Key highlights for the second quarter of 2021 versus the second quarter of 2020 include:

Total revenue increased 57% to $125.6 million.
Comparable restaurant sales increased 56.8% system-wide, comprised of a 55.7% increase at company-owned restaurants and a 63.8% increase at franchise restaurants.
Record Company Average Unit Volumes of $1.35 million represented a 51.5% increase compared to the second quarter of 2020 and a 12.3% increase versus the second quarter of 2019.
Digital sales grew 15% and accounted for 56% of sales.
Restaurant contribution margin(1) was 18.9%, the highest since Q4 2014 and an increase of 1,220 basis points.
Net income was $5.7 million, or $0.12 per diluted share, compared to net loss of $13.5 million, or $0.30 per diluted share.
Adjusted EBITDA(1) was $13.8 million, an increase of $17.1 million.
Net debt(1) decreased to $19.9 million compared to $34.2 million at the end of the fourth quarter 2020.

_____________________(1)Restaurant contribution margin, EBITDA, adjusted EBITDA and net debt are non-GAAP measures. Reconciliations of operating income (loss) to restaurant contribution margin, net income (loss) to EBITDA and adjusted EBITDA, and debt to net debt are included in the accompanying financial data. See “Non-GAAP Financial Measures.”

“We are very pleased with our second quarter results which reflect the strong momentum and the resiliency in our concept despite volatility in market conditions. Our second quarter results are further proof of the strength of the Noodles & Company brand, with continued sales acceleration and strong restaurant contribution margins. Our average unit volumes reached a new record level of $1.35 million, representing 12.3% growth relative to the second quarter of 2019 and we achieved our highest restaurant contribution margin of 18.9% in nearly seven years, despite an inflationary environment. Our results in the second quarter reflect strength across all channels, as digital sales continued to grow as in-restaurant sales returned to 70% of pre-pandemic levels. The launch of Tortelloni in June was extremely well received by guests and our early read from our marketing analytics is showing an increase in both frequency and repurchase rates. Most importantly, we continue to be proud of our dedicated team of high performers with strong tenure and better than industry average retention and turnover.”

Boennighausen continued, “I am pleased to report that we continued to see strong sales momentum into the third quarter. With our AUVs at an all-time high and consistent margin expansion, there is no better time for us to grow our brand. We are making strong progress in building our pipeline of both company-owned and franchise restaurant development units to achieve 7% annual system-wide unit growth in 2022 and at least 10% shortly thereafter.”

View full version at Noodles & Company

Denny’s Corporation Reports Results For Second Quarter 2021

August 03, 2021 16:05 ET

SPARTANBURG, S.C., Aug. 03, 2021 (GLOBE NEWSWIRE) -- Denny’s Corporation (NASDAQ: DENN), franchisor and operator of one of America's largest franchised full-service restaurant chains, today reported results for its second quarter ended June 30, 2021 and provided a business update on the Company’s operations.

John Miller, Chief Executive Officer, stated, “We are simply delighted to welcome guests back now that all of our operating domestic dining rooms are open while still providing them with the convenience of our off-premise options. With the easing of restrictions, the rollout of our two new virtual brands, The Burger Den and The Meltdown, along with the perseverance of our entire organization, both June and July domestic system-wide same-store sales** surpassed 2019 pre-pandemic levels. We are encouraged by the potential for additional sales growth as we overcome staffing challenges and return to 24/7 operations across our system."

Second Quarter 2021 Highlights

Total operating revenue increased 164.3% to $106.2 million, primarily due to the COVID-19 recovery.
Domestic system-wide same-store sales** decreased 1.2% compared to the equivalent fiscal period in 2019, including a 1.5% decrease at domestic franchised restaurants and a 1.9% increase at company restaurants.
Domestic system-wide same-store sales** increased 117.0% compared to the equivalent fiscal period in 2020.
Opened three franchised restaurants, including one international location.
Operating income (loss) was $18.3 million compared to ($13.5) million in the prior year quarter.
Franchise Operating Margin* was $29.9 million, or 51.0% of franchise and license revenue, and Company Restaurant Operating Margin* was $9.8 million, or 20.5% of company restaurant sales.
Net loss was $0.8 million, or $0.01 per diluted share.
Adjusted Net Income* was $11.6 million, or $0.18 per share.
Adjusted EBITDA* was $25.3 million compared to ($5.1) million in the prior year quarter.
Cash provided by (used in) operating, investing, and financing activities was $33.1 million, ($1.2) million, and ($35.6) million, respectively.
Adjusted Free Cash Flow* was $17.8 million compared to ($11.5) million in the prior year quarter.
Provided guidance for the fiscal third quarter 2021.

Current Trends

Domestic system-wide same-store sales** for the second quarter ended June 30, 2021, continued to trend toward pre-pandemic levels. Fiscal periods June and July surpassed 2019 sales levels at both company and domestic franchise restaurants. With all operating dining rooms open, off-premise sales, inclusive of virtual brands, have remained strong at approximately 24% of total sales compared to 12% pre-pandemic.

Additionally, during the second quarter the Company substantially completed the rollout of its first virtual brand, The Burger Den, to over 1,100 domestic locations and began a phased rollout of its second virtual brand, The Meltdown, to approximately half of the domestic system. Transactions for these two virtual brands are highly incremental and leverage labor during underutilized dayparts.

In an effort to provide greater transparency due to the COVID-19 pandemic, Denny's is providing the following tables that present monthly results for 2021 compared to the equivalent fiscal periods in 2019:

View full version at Denny's

Church’s Chicken® To Be Acquired by High Bluff Capital Partners and Investment Funds Managed by FS Investments

Owners of Quiznos and Taco Del Mar Will Leverage Extensive Restaurant and Consumer Expertise to Propel Further International and Domestic Growth of One of the World’s Largest Quick Service Chicken Restaurant Chains

August 02, 2021 10:09 AM Eastern Daylight Time

SAN DIEGO--(BUSINESS WIRE)--High Bluff Capital Partners (“High Bluff”), supported by various alternative investment funds managed by FS Investments, announced it has entered into a definitive agreement to acquire Church's Chicken®, one of the world’s largest quick service chicken restaurant chains, from FFL Partners. Subject to customary closing conditions, the transaction is expected to be completed during Q3 of 2021.

Based in Atlanta and founded in 1952, Church’s® has more than 1,500 locations in 26 countries and international territories. Demonstrating considerable resiliency in the face of a devastating global pandemic, the brand in 2020 leveraged its strengths in family meals, digital offerings, delivery and to-go orders to post a strong year of performance, generating system-wide sales of nearly $1.2 billion. Over the next year, the brand expects to expand its already sizable domestic and international presence with the opening of more than 100 new locations, including the roll-out of its highly successful Blaze Image restaurant concept.

Specializing in equity investments in restaurants and iconic consumer-facing brands, High Bluff established its restaurant platform, REGO Restaurant Group, in 2018 with the acquisitions of toasted sub pioneer Quiznos and Taco Del Mar, a fast-casual restaurant chain offering coastal Mexican cuisine. Since then, the firm has had a transformative impact on both brands – driving significant menu innovation, modernizing marketing and branding, enhancing the guest experience, and delivering best-in-class opportunities to franchisees.

“At a time when the entire restaurant industry has faced unprecedented challenges, Church’s has stood out as a notable bright spot, having emerged from the pandemic with considerable tailwinds that strongly position the brand for tremendous growth geographically as well as in the overall chicken category,” said Anand Gowda, who, prior to founding High Bluff Capital Partners served as President and Managing Partner of Metropoulos & Co.

“Our investment strategy continues to center on identifying brands with long-term connections with consumers that can be energized and propelled to greater success through targeted industry expertise, operational efficiencies, innovation and creative brand management,” Gowda added. “Church’s fits squarely within this wheelhouse. We look forward to leveraging our robust platform and working closely with the management team and franchisees to accelerate Church’s positive trajectory.”

“In addition to becoming a premier global franchisor, Church’s has long dominated the value-oriented market in the chicken category, with a highly recognizable brand, consistent quality and delicious offerings,” said Rushabh Vora, Managing Director at FS Investments, which led a structured capital investment in support of the acquisition out of its FS Tactical Opportunities Fund along with other affiliated investment funds. “With the global chicken QSR market forecasted to grow meaningfully over the next few years, and major geographies such as China and Australia still yet to be tapped by Church’s, we see exciting growth potential for this beloved brand.”

“The past few years have been all about growth for the brand and its franchisees,” shared Joe Christina, Chief Executive Officer for Church’s. “Our focus will be to deliver against our strategic plan with new locations in the U.S. and internationally and continued profitable sales growth.”

“I am proud to continue leading the brand with High Bluff and the solid backing of FS Investments, which will give us the added momentum to truly realize our Vision to be the Global Franchisor of Choice,” Christina said. “I thank our teams and franchisees around the world for their ability to deliver and establish a framework to expand what we’re capable of accomplishing as a team.”

About Church’s Chicken®

Founded in San Antonio, Texas, in 1952 by George W. Church, Church’s Chicken® is one of the world’s largest quick-service restaurant chicken chains. Church’s® specializes in Original and Spicy Chicken freshly prepared throughout the day in small batches that are hand-battered and double-breaded, Tender Strips®, Honey-Butter Biscuits™ made from scratch and freshly baked, and classic, homestyle sides all for a great value. Church’s® (along with its sister brand Texas Chicken® outside the Americas) has more than 1,500 locations in 26 countries and international territories, and experienced system-wide sales of nearly $1.2 billion in 2020. During two national media windows, the brand drove sales performance that outpaced the broader QSR category. Church's international presence also continues to impress as it achieved record-breaking growth for the second consecutive year in 2020 - despite a global pandemic. For more information, visit www.churchs.com. Follow Church’s® on Facebook at www.facebook.com/churchschicken and Twitter at www.twitter.com/churchschicken.

About High Bluff Capital Partners

Based in San Diego, California, High Bluff Capital Partners is a private investment firm that specializes in making control-oriented equity investments in iconic consumer-facing companies. The firm's team has more than 30 years of experience managing, investing, leading and transforming consumer businesses across the restaurant, entertainment, food, beverage and retail markets.

More information can be found at www.highbluffcap.com.

About FS Investments

FS Investments is a leading asset manager dedicated to helping individuals, financial professionals and institutions design better portfolios. The firm provides access to alternative sources of income and growth, and focuses on setting industry standards for investor protection, education and transparency. FS Investments is headquartered in Philadelphia, PA with offices in New York, NY, Orlando, FL and Leawood, KS. Visit www.fsinvestments.com to learn more.

Deal Advisors

Moelis & Company LLC served as the M&A advisor to High Bluff and FS Investments, and exclusive placement agent to High Bluff; Paul, Weiss, Rifkind, Wharton & Garrison LLP and Dentons US LLP served as legal advisors to High Bluff and REGO Restaurant Group; Orrick, Herrington & Sutcliffe LLP served as legal advisor to FS Investments.

View source version at Church's Chicken

Restaurant Brands International Inc. Reports Second Quarter 2021 Results

Jul 30, 2021, 06:30 ET

Continued improvement in global system-wide sales growth, accelerating to +4% compared to 2019 Unit growth returns to pre-pandemic levels with 378 net new restaurants opened in the 1st half Digital sales in home markets scale up by nearly +60% year over year and +15% sequentially Liquidity expands to $2.8 billion, net leverage declines significantly and Board authorizes $1 billion buyback program

TORONTO, July 30, 2021 /PRNewswire/ - Restaurant Brands International Inc. (TSX: QSR) (NYSE: QSR) (TSX: QSP) today reported financial results for the second quarter ended June 30, 2021.

José E. Cil, Chief Executive Officer of Restaurant Brands International Inc. ("RBI") commented, "We are encouraged by the momentum across our business – including sales increases driven by quality menu items, rapid adoption of our digital channels by our guests and an acceleration in new restaurant openings around the world by our franchisees who believe strongly in our brands and business model."

Cil continued, "We also announced an increase in our share buyback authorization to $1 billion over the next two years, demonstrating our confidence in the value creation opportunity we have ahead of us with our three iconic brands, scalable business model, expanding digital strength and dedicated franchise partners. We believe we are well positioned to drive sustainable, long-term sales growth across the business and to continue enhancing shareholder returns with significant returns of capital through our industry-leading dividend and opportunistic share buybacks under our newly expanded authorization."

Consolidated Operational Highlights

Three Months Ended June 30,

2021

2020

(Unaudited)

System-wide Sales Growth

33.0%

(33.4)%

37.9%

(25.2)%

PLK

10.5%

24.0%

Consolidated

31.9%

(20.9)%

System-wide Sales (in US$ millions)

1,637

1,108

5,883

4,127

PLK

1,386

1,247

Consolidated

8,906

6,482

Net Restaurant Growth

2.7%

1.3%

0.1%

4.2%

PLK

5.7%

6.7%

Consolidated

1.3%

3.9%

System Restaurant Count at Period End

5,065

4,934

18,776

18,756

PLK

3,562

3,369

Consolidated

27,403

27,059

Comparable Sales

27.6%

(29.3)%

18.2%

(13.4)%

PLK

(0.3)%

24.8%

Note: System-wide sales growth and comparable sales are calculated on a constant currency basis and include sales at franchise restaurants and company-owned restaurants. System-wide sales are driven by sales at franchise restaurants, as approximately 100% of current restaurants are franchised. We do not record franchise sales as revenues; however, our royalty revenues and advertising fund contributions are calculated based on a percentage of franchise sales. Additionally, if a restaurant is closed for a significant portion of a month, the restaurant is excluded from the monthly comparable sales calculation.

View full version at RBI

Bloomin’ Brands Announces 2021 Q2 Financial Results and Strong Operating Margin Expansion

Q2 Diluted EPS of $0.75 and Adjusted Diluted EPS of $0.81

Q2 Comparable Restaurant Sales Growth of 65.8% at Outback Steakhouse and 84.6% Combined U.S.

Strengthening Third Quarter-to-Date U.S. Comp Sales Trends on a 2-Year Basis

July 30, 2021 07:00 AM Eastern Daylight Time

TAMPA, Fla.--(BUSINESS WIRE)--Bloomin’ Brands, Inc. (Nasdaq: BLMN) today reported results for the second quarter 2021 (“Q2 2021”) compared to the second quarter 2020 (“Q2 2020”).

CEO Comments

“Q2 represented another quarter of strong results. We are well positioned to grow sales and capture additional market share,” said David Deno, Chief Executive Officer. “We are making great progress improving margins, increasing cash flow and retaining off-premises sales as dining rooms have reopened. Our sales momentum has continued through the first four weeks of the third quarter with U.S. comp sales up 15.2% on a two-year basis versus 2019.”

Diluted EPS and Adjusted Diluted EPS

The following table reconciles Diluted earnings (loss) per share attributable to common stockholders to Adjusted diluted earnings (loss) per share for the periods indicated:

2021

2020

CHANGE

Q2 2019 (1)

Diluted earnings (loss) per share attributable to common stockholders

0.75

(1.05)

1.80

0.32

Adjustments (2)

0.06

0.31

(0.25)

0.04

Adjusted diluted earnings (loss) per share (2)

0.81

(0.74)

1.55

0.36

___________________ (1) Presented for improved comparability. (2) See Non-GAAP Measures later in this release.

Second Quarter Financial Results

(dollars in millions)

Q2 2021

Q2 2020

CHANGE

Q2 2019 (1)

Total revenues

1,077.4

578.5

86.2

1,021.9

Restaurant-level operating margin

20.3

2.1

18.2

15.0

Adjusted restaurant-level operating margin (2)

20.3

2.7

17.6

15.0

GAAP operating income (loss) margin

11.6

(19.3)

30.9

4.3

Adjusted operating income (loss) margin (2)

11.0

(13.7)

24.7

4.6

%___________________ (1) Presented for improved comparability. (2) See Non-GAAP Measures later in this release.

View full version at Bloomin' Brands

Yum! Brands Reports Second-Quarter Results; Record 603 Net-New Units; Digital System Sales of Over $5 Billion; Same-Store Sales Growth of 23%; Reinstates Long-Term Growth Algorithm with Raised Unit Guidance

July 29, 2021 07:00 AM Eastern Daylight Time

LOUISVILLE, Ky.--(BUSINESS WIRE)--Yum! Brands, Inc. (NYSE: YUM) today reported results for the second-quarter ended June 30, 2021. Worldwide system sales excluding foreign currency translation grew 26%, with 23% same-store sales and 2% unit growth. Second-quarter GAAP EPS was $1.29, an increase of 91% over the prior year quarter. Second-quarter EPS excluding Special Items was $1.16, an increase of 41% over the prior year quarter.

DAVID GIBBS COMMENTS

David Gibbs, CEO, said “Our strong second-quarter results, led by record unit development and 23% same-store sales growth are a testament to our iconic brands, world-class talent, and best-in-class franchisees. I’m proud that each of our divisions reported positive same-store sales growth on a 2-year basis, a step up from first-quarter trends. This sustained momentum was underpinned by our investments in digital and off-premise and the agility of our brands to meet the needs of consumers in an ever-changing environment. I'm thrilled to say that unit development has accelerated driven by strong unit-level economics. On the basis of these strong results, we're reinstating our long-term growth algorithm and revising the unit growth component of this algorithm from 4% unit growth to between 4% and 5% unit growth. The resilience of our diversified global business positions us perfectly to drive growth and maximize value creation for all our stakeholders for years to come.”

SECOND-QUARTER HIGHLIGHTS

Worldwide system sales excluding foreign currency translation grew 26%, with KFC at 35%, Taco Bell at 24% and Pizza Hut at 10%.
We reported 2% unit growth year-over-year and record second-quarter net new unit growth of 603.
Foreign currency translation favorably impacted divisional operating profit by $27 million.

% Change

System Sales Ex F/X

Same-Store Sales

Units

GAAP Operating Profit

Core Operating Profit1

KFC Division

+35

+30

+108

+93

Pizza Hut Division

+10

(3)

+18

+14

Taco Bell Division

+24

+21

+29

Worldwide

+26

+23

+89

+53

Second-Quarter

Year-to-Date

2021

2020

% Change

2021

2020

% Change

GAAP EPS

$1.29

$0.67

+91

$2.35

$0.94

+150

Special Items EPS1

$0.13

$(0.15)

$0.13

$(0.52)

EPS Excluding Special Items

$1.16

$0.82

+41

$2.22

$1.46

+52

1 See reconciliation of Non-GAAP Measurements to GAAP Results within this release for further detail of Core Operating Profit and Special Items.

All comparisons are versus the same period a year ago.

System sales growth figures exclude foreign currency translation ("F/X") and core operating profit growth figures exclude F/X and Special Items. Special Items are not allocated to any segment and therefore only impact worldwide GAAP results. See reconciliation of Non-GAAP Measurements to GAAP Results within this release for further details.

Digital system sales includes all transactions where consumers at system restaurants utilize ordering interaction that is primarily facilitated by automated technology.

View full version at Yum! Brands

McDonald's Reports Second Quarter 2021 Results

- Global comparable sales were up 40.5% in the second quarter and increased 6.9% on a 2-year basis, reflecting sequential acceleration and continued broad-based business momentum

- Comparable sales increased across all segments on a 2-year basis

- Year-to-date Systemwide sales* from digital channels across our top 6 markets were nearly $8 billion - a 70% increase versus the prior year

Jul 28, 2021, 07:00 ET

CHICAGO, July 28, 2021 /PRNewswire/ -- McDonald's Corporation today announced results for the second quarter ended June 30, 2021.

"Our performance is a continued demonstration of the broad-based strength and resiliency of our business as global comp sales in the second quarter increased nearly 7% over 2019. For 65 years, we've created iconic experiences for billions of people around the world. Along the way, we've always focused on following our customers' needs, finding the most convenient and engaging ways for them to enjoy McDonald's. It's clear that our next chapter will be driven by our leadership in digital," said McDonald's President and Chief Executive Officer Chris Kempczinski. "As we build on our momentum and embed our digital capabilities through the customer experience, I'm thrilled that Manu Steijaert will be taking on the newly created role of Chief Customer Officer. His team will deliver the seamless omnichannel experience that our customers want and McDonald's can provide."

Second quarter financial performance:

Global comparable sales increased 40.5% (6.9% on a 2-year basis), reflecting positive comparable sales across all segments:
U.S. increased 25.9% (14.9% on a 2-year basis)
International Operated Markets segment increased 75.1% (2.6% on a 2-year basis)
International Developmental Licensed Markets segment increased 32.3% (0.3% on a 2-year basis)
Consolidated revenues increased 57% (49% in constant currencies) to $5,888 million.
Systemwide sales increased 48% (42% in constant currencies) to $28,281 million.
Consolidated operating income increased $1,730 million and included $98 million of strategic gains primarily related to the sale of McDonald's Japan stock.
Diluted earnings per share for the quarter was $2.95, or $2.37 excluding $0.48 per share of income tax benefits as a result of a change in the U.K. statutory income tax rate and $0.10 per share of strategic gains.

*Refer to page 4 for a definition of Systemwide sales.

COMPARABLE SALES

Increase/(Decrease)

Quarters Ended June 30,

2021

2020

U.S.

25.9%

(8.7)%

International Operated Markets

75.1

(41.4)

International Developmental Licensed Markets & Corporate

32.3

(24.2)

Total

40.5%

(23.9)%

COVID-19 resurgences throughout the quarter and six months have resulted in instances of government restrictions on restaurant operating hours, limited dine-in capacity and, in some cases, dining room closures. The Company has continued to follow the guidance of expert health authorities to apply the appropriate precautionary measures to protect the health and safety of our people and our customers and expects some operating restrictions in various markets so long as the COVID-19 pandemic continues.

View full version at McDonald's

Wingstop Inc. Reports Fiscal Second Quarter Financial Results

Delivers Over 200 New Restaurants Over Last 12 Months, Resulting in 13.1% Unit Growth

Jul 28, 2021, 07:32 ET

DALLAS, July 28, 2021 /PRNewswire/ -- Wingstop Inc. ("Wingstop" or the "Company") (NASDAQ: WING) today announced financial results for the fiscal second quarter ended June 26, 2021.

Highlights for the fiscal second quarter 2021 compared to the fiscal second quarter 2020:

System-wide sales increased 15.8% to $589.7 million
45 net new openings in the fiscal second quarter 2021, an increase of 13.1%
Domestic same-store sales increased 2.1%
Domestic restaurant AUV increased to approximately $1.6 million, compared to $1.4 million in the prior fiscal second quarter
Digital sales increased to 64.5% of sales, compared to 63.7% in the prior fiscal second quarter
Total revenue increased 11.9% to $74.0 million
Net income was $11.3 million, or $0.38 per diluted share, compared to net income of $11.5 million, or $0.39 per diluted share in the prior fiscal second quarter. Adjusted net income* and adjusted earnings per diluted share*, both non-GAAP measures, increased 13.1% to $11.3 million and $0.38 per diluted share, compared to $10.0 million and $0.34 per diluted share in the prior fiscal second quarter
Adjusted EBITDA*, a non-GAAP measure, increased 9.5% to $22.9 million

* Adjusted EBITDA, adjusted net income, and adjusted diluted earnings per share are non-GAAP measures. Reconciliations of adjusted EBITDA, adjusted net income, and adjusted earnings per diluted share to the most directly comparable financial measure presented in accordance with accounting principles generally accepted in the United States ("GAAP") are set forth in the schedule accompanying this release. See "Non-GAAP Financial Measures."

"Our results in the second quarter continue to prove the strength of our brand and our growth strategies. We successfully lapped last year's outstanding results and generated domestic same-store sales growth of 2.1% during this year's fiscal second quarter, or 34.0% on a two-year basis, an acceleration from the 30.6% we saw in the first quarter," commented Charlie Morrison, Chairman and Chief Executive Officer of Wingstop. "Despite the challenging commodity environment, we had another record quarter for development and have now opened more than 200 restaurants during the last 12 months, highlighting our brand partners' continued excitement to grow with our brand. We believe we are well positioned to execute against our strategic long-term growth drivers."

View full version at Wingstop

The Cheesecake Factory Reports Record Revenues in the Second Quarter of Fiscal 2021 and Provides Business Update

Generated $109 million in cash flow from operations

Third quarter-to-date through July 26th comparable sales at The Cheesecake Factory restaurants increased 10% over 2019 levels

July 27, 2021 04:15 PM Eastern Daylight Time

CALABASAS HILLS, Calif.--(BUSINESS WIRE)--The Cheesecake Factory Incorporated (NASDAQ: CAKE) today reported financial results for the second quarter of fiscal 2021, which ended on June 29, 2021.

Total revenues were $769.0 million in the second quarter of fiscal 2021 compared to $295.9 million in the second quarter of fiscal 2020. Net income available to common stockholders and diluted net income per common share were $17.1 million and $0.37, respectively, in the second quarter of fiscal 2021.

During the second quarter of fiscal 2021, the Company recorded $11.4 million in non-cash acquisition-related contingent consideration and amortization expense primarily associated with the amendment to the Fox Restaurant Concepts (“FRC”) acquisition agreement, including the extension of the earn-out period through 2026. Excluding the after-tax impact of this item, the termination of the Company’s interest rate swap agreement and reflecting the then potential impact of the conversion of the Company’s convertible preferred stock into common stock for the period that it was outstanding during the quarter prior to the repurchase and conversion on June 15, 2021, adjusted net income and adjusted net income per share for the second quarter of fiscal 2021 were $43.9 million and $0.80, respectively. Please see the Company’s reconciliation of non-GAAP financial measures at the end of this press release.

Comparable restaurant sales at The Cheesecake Factory restaurants increased 150.0% year-over-year in the second quarter of fiscal 2021. Relative to the second quarter of fiscal 2019, comparable restaurant sales at The Cheesecake Factory restaurants increased 7.8%.

As of today, nearly all of the Company’s restaurants across its concepts are operating with no indoor dining restrictions. Fiscal 2021 third quarter-to-date through July 26th comparable sales for The Cheesecake Factory restaurants increased approximately 61% year-over-year and 10% relative to the same period in fiscal 2019, supported by approximately 27% off-premise sales mix. Based on average weekly sales quarter-to-date of approximately $230,000, this equates to nearly $12 million on average, per unit on an annualized basis. Off-premise average weekly sales are about double the level seen during the same period in fiscal 2019.

“We had a tremendous second quarter, driving record revenues and strong cash flow,” said David Overton, Chairman and Chief Executive Officer. “When we reflect on where we were a year ago during the depths of COVID-19, we are so proud of our team’s accomplishments that have driven our recovery. Comparable sales at The Cheesecake Factory restaurants far outpaced pre-COVID levels during the second quarter and we leveraged the sales to drive solid bottom line performance. Sales across our concepts further strengthened early in the third quarter as nearly all of our restaurants are now operating with no indoor dining restrictions. Additionally, we opened three new restaurants during the second quarter and with our most recent opening last week, we are on track to meet our development objective to open as many as 14 new restaurants across our concepts this year.”

View full version at The Cheesecake Factory

Domino's Pizza® Announces Second Quarter 2021 Financial Results

Global retail sales growth (excluding foreign currency impact) of 17.1%

U.S. same store sales growth of 3.5%

International same store sales growth of 13.9%

Global net store growth of 238

Diluted EPS up 2.3% to $3.06

Completed $1.0 billion accelerated share repurchase transaction in July 2021

Jul 22, 2021, 07:30 ET

ANN ARBOR, Mich., July 22, 2021 /PRNewswire/ -- Domino's Pizza, Inc. (NYSE: DPZ), the largest pizza company in the world based on global retail sales, announced results for the second quarter. Global retail sales increased 21.6% in the second quarter, or 17.1% excluding foreign currency impact. U.S. same store sales grew 3.5% during the quarter versus the year-ago period, continuing the positive sales momentum in the Company's U.S. stores business. The international business also posted strong results, with same store sales growth of 13.9% during the quarter. The second quarter marked the 110th consecutive quarter of international same store sales growth and the 41st consecutive quarter of U.S. same store sales growth. The Company had second quarter global net store growth of 238 stores, comprised of 35 net U.S. store openings and 203 net international store openings.

"I am very pleased with our strong global retail sales and store growth momentum during the second quarter, which demonstrated the power of our investments in innovation, our focus on food quality and superior service, and our dynamic franchisees who are dedicated to serving their local neighborhoods," said Ritch Allison, Domino's Chief Executive Officer. "Given our current operating environment, we are watching our two-year sales trends anchored to pre-Covid fiscal 2019 results. I am pleased that in the second quarter our cumulative two-year same stores sales were up 19.6% domestically and 15.2% internationally, signifying meaningful and sustained growth."

Diluted EPS for the second quarter was $3.06, an increase of 2.3% over the prior year quarter. Second quarter diluted EPS, as adjusted, was $3.12, an increase of 4.3% over the prior year quarter. Refer to the Financial Results Comparability and the Comments on Regulation G sections below for additional information.

In connection with the Company's recapitalization transaction, as further discussed below, the Company borrowed $1.85 billion, and used a portion of the proceeds to repay its remaining debt under its 2017 five-year fixed rate and 2017 five-year floating rate notes. The Company also entered into a $1.0 billion accelerated share repurchase agreement (the "ASR Agreement") with a counterparty, which was completed subsequent to the end of the second quarter. In connection with the ASR Agreement, the Company received and retired a total of 2,250,786 shares of its common stock at an average price of $444.29, including 2,012,596 shares of its common stock received and retired during the second quarter.

Subsequent to the end of the second quarter, on July 20, 2021, the Company's Board of Directors authorized a new share repurchase program to repurchase up to $1.0 billion of the Company's common stock. This repurchase program replaces the Company's previously approved $1.0 billion share repurchase program, which was fully utilized in connection with the ASR Agreement.

Also on July 20, 2021, the Company's Board of Directors declared a $0.94 per share quarterly dividend on its outstanding common stock for shareholders of record as of September 15, 2021 to be paid on September 30, 2021.

View full version at Domino's

Del Taco Restaurants, Inc. Reports Fiscal Second Quarter 2021 Financial Results

System-Wide Comparable Restaurant Sales Increased 17.8% Compared to the Prior-Year Fiscal Quarter

Income from Operations Growth of 148.5% Compared to Last Year

Signs New Franchise Development Agreement for 12 New Florida Panhandle Restaurants

Expects System-wide New Unit Growth to Achieve 5% in 2023 Led by Franchising

July 22, 2021 04:05 PM Eastern Daylight Time

LAKE FOREST, Calif.--(BUSINESS WIRE)--Del Taco Restaurants, Inc. (“Del Taco” or the “Company”), (NASDAQ: TACO), the second largest Mexican-American quick service restaurant chain by units in the United States, today reported fiscal second quarter 2021 financial results for the 12-week period ended June 15, 2021 and provided a business update.

Management Commentary

John D. Cappasola, Jr., President and Chief Executive Officer of Del Taco, commented, “We generated outstanding revenue and profitability growth during the second quarter as we leveraged our top-line momentum across all key cost inputs. Top-line growth was characterized by system-wide comparable restaurant sales growth versus 2020 in the high teens, representing mid-single digit growth versus 2019. Importantly, compared to 2019 all day parts were positive during the second quarter except for breakfast, which has since improved to flat in the third quarter, while late snack and graveyard were our top performing dayparts compared to 2019, aided by a strong delivery mix that again reached approximately 7% of sales.”

Cappasola continued, “Looking ahead, our focus on driving sales includes plans to introduce innovative new products and platforms along with the launch of our new Del App and loyalty program this September. In fact, just today we introduced a new breakfast platform centered on Double Cheese Breakfast Tacos that is aimed at capitalizing on the continued normalization of morning routines and strong breakfast seasonality as we head into Fall. Later this summer, we will follow this up with yet another exciting platform launch, Stuffed Quesadilla Tacos, which puts us in a great position to generate guest excitement and momentum in the back half of 2021 and entering 2022.”

Cappasola concluded, “We are very encouraged that Del Taco’s franchise led system growth is gaining momentum as we now expect to open thirteen system-wide restaurants in 2021. We recently announced an agreement with a seasoned multi-concept QSR franchise group for 12 restaurants across the Florida panhandle, representing our third franchise development agreement signed this year for a total of 30 future restaurants. We believe these agreements, plus our expanding backlog and other late-stage agreements we are finalizing, put us in a position to deliver system-wide new unit growth of 5% starting in 2023.”

View full version at Del Taco

Chipotle Announces Second Quarter 2021 Results

Comparable Restaurant Sales Accelerate To 31.2%, Resulting In Record Operating Profitability

Jul 20, 2021, 16:10 ET

NEWPORT BEACH, Calif., July 20, 2021 /PRNewswire/ -- Chipotle Mexican Grill, Inc. (NYSE: CMG) today reported financial results for its second quarter ended June 30, 2021.

Second quarter highlights, year over year:

Revenue increased 38.7% to $1.9 billion
Comparable restaurant sales increased 31.2%
Digital sales grew 10.5% and accounted for 48.5% of sales
Operating margin was 13.0%, an increase from -0.4%
Restaurant level operating margin was 24.5%1, the highest since Q3, 2015, and an increase of 1,230 basis points
Diluted earnings per share was $6.60, a 2,175.9% increase from $0.29. Excluding an $0.86 after-tax impact from expenses related to the 2018 performance share ("PSU") modification to account for the unplanned effects of COVID-19, restaurant asset impairment and closure costs, corporate restructuring, legal proceedings as well as other costs, adjusted diluted earnings per share was $7.46, a 1,765.0% increase from $0.40 1
Opened 56 new restaurants including one relocation, and closed five

1 Restaurant level operating margin, adjusted net income and adjusted diluted earnings per share are non-GAAP financial measures. Reconciliations to GAAP measures and further information are set forth in the table at the end of this press release.

"Chipotle's second quarter results highlight the strength of our brand and our people, as we demonstrated growing momentum in the business," said Brian Niccol, Chairman and CEO, Chipotle. "We remain confident in our key growth strategies and believe they will help us achieve our next goal of $3 million average unit volumes with industry leading returns on invested capital that improve as we continue to add Chipotlanes. Strong restaurant level economics combined with significant restaurant growth should allow us to optimize earnings power for many years to come."

COVID-19 and Liquidity Update:

The health and well-being of our employees and guests continues to be our top priority. Beyond the investments made in our people, restaurants, and supply chain, we are closely following the recommendations of the CDC and local health departments. We have implemented and enhanced numerous protocols that give our employees and guests confidence that Chipotle remains steadfast in our commitment to keep them safe as capacity restrictions ease and in-restaurant ordering and dining increases.

As of June 30, 2021, Chipotle continues to maintain a strong financial position with nearly $1.2 billion in cash, investments and restricted cash, and no debt. We also have access to a $500 million untapped credit facility. Our financial strength gives us the opportunity to make on-going strategic investments in our people, business, and communities, which we believe will benefit us for years to come.

View full version at Chipotle

Call Us Today: 888-875-9993

Financials - August 2021

Board of Directors Declares Special Cash Dividend of $0.41 per share, returning $25 Million of Capital to Stockholders

And Declares Quarterly Cash Dividend of $0.35 Per Share

Company-Owned Comparable Restaurant Sales Growth of 56%, Record Average Unit Volumes of $1.35M and Highest Restaurant Contribution Margin Since 2014

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