Nevada
|
000-18590
|
84-1133368
|
(State or other jurisdiction
of incorporation)
|
(Commission
File Number)
|
(IRS Employer
Identification No.)
|
☐
|
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
☐
|
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
☐
|
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
☐
|
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
Exhibit Number
|
Description
|
99.1
|
GOOD TIMES RESTAURANTS INC.
|
|||
Date: May10, 2018
|
By:
|
||
Boyd E. Hoback
|
|||
President and Chief Executive Officer
|
Exhibit Number
|
Description
|
99.1
|
May 10, 2018
|
Nasdaq Capital Markets - GTIM
|
· |
Same store sales for company-owned Good Times restaurants increased 7.1% for the quarter
|
· |
Same store sales for company-owned Bad Daddy’s restaurants increased 0.2% for the quarter on top of last year’s increase of 3.2%
|
· |
Total revenues increased 29% to $23,509,000 for the quarter from the prior year
|
· |
The Company opened one new Bad Daddy’s restaurant during the quarter, the fourth of the year
|
· |
Restaurant Sales for the Bad Daddy’s restaurants for the quarter increased 42.6% to $15,953,000 from the prior year with Bad Daddy’s Restaurant Level Operating Profit* (a non-GAAP measure) increasing to 16.9% of sales for the quarter
|
· |
Adjusted EBITDA* (a non-GAAP measure) for the quarter increased 88.5% to $1,167,000 from $619,000 for the same quarter last year and increased 89.8% year to date over the prior year
|
· |
The Company ended the quarter with $3.9 million in cash and $5.1 million drawn against its senior credit facility, with approximately $6.9MM of availability on the facility
|
· |
Total revenues of approximately $99 million to $101 million with a year-end revenue run rate of approximately $108 million to $110 million
|
· |
Total revenue estimates assume same store sales of approximately +3.5% for Good Times for the balance of the year, and approximately 5.0% for FY2018 in total. We expect same store sales of 0.5% - 1.0% in the remaining two quarters of the year for Bad Daddy’s, excluding the impact of the two and a half weeks closure of the original Bad Daddy’s for building renovations.
|
· |
General and administrative expenses of approximately $7.7 million to $7.9 million, including approximately $600,000 of non-cash equity compensation expense
|
· |
The opening of 6 new Bad Daddy’s restaurants during Q3 and Q4 (one being a joint venture unit)
|
· |
Total Adjusted EBITDA* of approximately $5.2 million to $5.5 million
|
· |
Restaurant pre-opening expenses of approximately $2.6 – $2.7 million
|
· |
Capital expenditures (net of tenant improvement allowances) of approximately $9.0 – $9.5 million including approximately $1.2 million related to fiscal 2019 development
|
· |
Fiscal year end long term debt of approximately $10.0 to $10.5 million
|
13-Weeks Ended
|
26-Weeks Ended | |||||||||||||||
Statement of Operations
|
Mar 27, 2018
|
Mar 28, 2017
|
Mar 27, 2018
|
Mar 28, 2017
|
||||||||||||
Net revenues:
|
||||||||||||||||
Restaurant sales
|
$
|
23,342
|
$
|
18,077
|
$
|
45,939
|
$
|
34,463
|
||||||||
Franchise revenues
|
167
|
162
|
330
|
331
|
||||||||||||
Total net revenues
|
23,509
|
18,239
|
46,269
|
34,794
|
||||||||||||
Restaurant Operating Costs:
|
||||||||||||||||
Food and packaging costs
|
7,118
|
5,614
|
14,321
|
10,769
|
||||||||||||
Payroll and other employee benefit costs
|
8,642
|
6,675
|
16,921
|
12,670
|
||||||||||||
Restaurant occupancy costs
|
1,788
|
1,429
|
3,428
|
2,723
|
||||||||||||
Other restaurant operating costs
|
2,137
|
1,579
|
4,253
|
3,107
|
||||||||||||
Preopening costs
|
496
|
567
|
1,073
|
918
|
||||||||||||
Depreciation and amortization
|
882
|
703
|
1,728
|
1,333
|
||||||||||||
Total restaurant operating costs
|
21,063
|
16,567
|
41,724
|
31,520
|
||||||||||||
General and administrative costs
|
1,898
|
1,746
|
3,815
|
3,391
|
||||||||||||
Advertising costs
|
515
|
431
|
1,022
|
843
|
||||||||||||
Franchise costs
|
11
|
28
|
21
|
52
|
||||||||||||
Asset impairment charge
|
72
|
0
|
72
|
0
|
||||||||||||
Gain on disposal of restaurants and equipment
|
(9
|
)
|
(5
|
)
|
(17
|
)
|
(11
|
)
|
||||||||
Loss from operations
|
(41
|
)
|
(528
|
)
|
(368
|
)
|
(1,001
|
)
|
||||||||
Other income (expense):
|
||||||||||||||||
Interest income (expense), net
|
(91
|
)
|
(36
|
)
|
(174
|
)
|
(56
|
)
|
||||||||
Total other income (expense), net
|
(91
|
)
|
(36
|
)
|
(174
|
)
|
(56
|
)
|
||||||||
Net loss
|
(132
|
)
|
(564
|
)
|
(542
|
)
|
(1,057
|
)
|
||||||||
Income attributable to non-controlling interests
|
(299
|
)
|
(147
|
)
|
(472
|
)
|
(287
|
)
|
||||||||
Net loss attributable to common shareholders
|
$
|
(431
|
)
|
$
|
(711
|
)
|
$
|
(1,014
|
)
|
$
|
(1,344
|
)
|
||||
Basic and diluted loss per share
|
$
|
(0.03
|
)
|
$
|
(0.06
|
)
|
$
|
(0.08
|
)
|
$
|
(0.11
|
)
|
||||
Basic and diluted weighted average common shares outstanding
|
12,468
|
12,297
|
12,456
|
12,293
|
Mar 27, 2018
|
Sept 26, 2017
|
|||||||
Balance Sheet Data
|
||||||||
Cash & cash equivalents
|
$
|
3,875
|
$
|
4,337
|
||||
Current assets
|
5,633
|
6,066
|
||||||
Property and Equipment, net
|
30,372
|
29,690
|
||||||
Other assets
|
19,344
|
19,397
|
||||||
Total assets
|
$
|
55,349
|
$
|
55,153
|
||||
Current liabilities, including capital lease obligations and long-term
debt due within one year |
$
|
7,236
|
$
|
6,916
|
||||
Long-term debt due after one year
|
5,131
|
5,339
|
||||||
Other liabilities
|
6,506
|
5,614
|
||||||
Total liabilities
|
18,873
|
17,869
|
||||||
Stockholders’ equity
|
$
|
36,476
|
$
|
37,284
|
Good Times Burgers & Frozen Custard
|
Bad Daddy’s Burger Bar
|
|||||||||||||||||||||||||||||||
13-Weeks Ended
|
26-Weeks Ended
|
13-Weeks Ended
|
26-Weeks Ended
|
|||||||||||||||||||||||||||||
2018
|
2017
|
2018
|
2017
|
2018
|
2017
|
2018
|
2017
|
|||||||||||||||||||||||||
Restaurant Sales (in thousands)
|
$
|
7,388
|
$
|
6,890
|
$
|
14,998
|
$
|
13,765
|
$
|
15,954
|
$
|
11,187
|
$
|
30,941
|
$
|
20,698
|
||||||||||||||||
Restaurants opened during period
|
0
|
1
|
1
|
1
|
1
|
1
|
3
|
2
|
||||||||||||||||||||||||
Restaurants closed during period
|
1
|
0
|
1
|
0
|
0
|
0
|
0
|
0
|
||||||||||||||||||||||||
Restaurants open at period end
|
27
|
28
|
27
|
28
|
25
|
18
|
25
|
18
|
||||||||||||||||||||||||
Restaurant operating weeks
|
356.0
|
353.3
|
720.0
|
704.3
|
323.3
|
231.3
|
632.9
|
441.3
|
||||||||||||||||||||||||
Average weekly sales per
restaurant (in thousands) |
$
|
20.8
|
$
|
19.5
|
$
|
20.8
|
$
|
19.5
|
$
|
49.3
|
$
|
48.4
|
$
|
48.9
|
$
|
46.9
|
Good Times Burgers & Frozen Custard
|
Bad Daddy’s Burger Bar
|
Good Times
Restaurants Inc. |
||||||||||||||||||||||||||||||||||||||
---------------------------------------------------------------------Thirteen Weeks Ended-------------------------------------------------------------------
|
||||||||||||||||||||||||||||||||||||||||
Mar 27, 2018
|
Mar 28, 2017
|
Mar 27, 2018
|
Mar 28, 2017
|
Mar 27,
2018 |
Mar 28,
2017 |
|||||||||||||||||||||||||||||||||||
Restaurant Sales
|
$
|
7,389
|
100.0
|
%
|
$
|
6,890
|
100.0
|
%
|
$
|
15,953
|
100.0
|
%
|
$
|
11,187
|
100.0
|
%
|
$
|
23,342
|
$
|
18,077
|
||||||||||||||||||||
Restaurant Operating Costs (exclusive of
depreciation and amortization shown separately below): |
||||||||||||||||||||||||||||||||||||||||
Food and packaging costs
|
2,391
|
32.4
|
%
|
2,187
|
31.7
|
%
|
4,727
|
29.6
|
%
|
3,427
|
30.6
|
%
|
7,118
|
5,614
|
||||||||||||||||||||||||||
Payroll and other employee benefit costs
|
2,673
|
36.2
|
%
|
2,462
|
35.7
|
%
|
5,969
|
37.4
|
%
|
4,213
|
37.7
|
%
|
8,642
|
6,675
|
||||||||||||||||||||||||||
Restaurant occupancy costs
|
770
|
10.4
|
%
|
716
|
10.4
|
%
|
1,018
|
6.4
|
%
|
713
|
6.4
|
%
|
1,788
|
1,429
|
||||||||||||||||||||||||||
Other restaurant operating costs
|
596
|
8.1
|
%
|
548
|
8.0
|
%
|
1,541
|
9.7
|
%
|
1,031
|
9.2
|
%
|
2,137
|
1,579
|
||||||||||||||||||||||||||
Restaurant-level operating profit
|
$
|
959
|
13.0
|
%
|
$
|
977
|
14.2
|
%
|
$
|
2,698
|
16.9
|
%
|
$
|
1,803
|
16.1
|
%
|
3,657
|
2,780
|
||||||||||||||||||||||
Franchise royalty income, net
|
167
|
162
|
||||||||||||||||||||||||||||||||||||||
Deduct - Other operating:
|
||||||||||||||||||||||||||||||||||||||||
Depreciation and amortization
|
882
|
703
|
||||||||||||||||||||||||||||||||||||||
General and administrative
|
1,898
|
1,746
|
||||||||||||||||||||||||||||||||||||||
Advertising costs
|
515
|
431
|
||||||||||||||||||||||||||||||||||||||
Franchise costs
|
11
|
28
|
||||||||||||||||||||||||||||||||||||||
Gain on restaurant asset sale
|
(9
|
)
|
(5
|
)
|
||||||||||||||||||||||||||||||||||||
Asset impairment charge
|
72
|
0
|
||||||||||||||||||||||||||||||||||||||
Preopening costs
|
496
|
567
|
||||||||||||||||||||||||||||||||||||||
Total other operating
|
3,865
|
3,470
|
||||||||||||||||||||||||||||||||||||||
Loss from Operations
|
$
|
(41
|
)
|
$
|
(528
|
)
|
Good Times Burgers & Frozen Custard
|
Bad Daddy’s Burger Bar
|
Good Times
Restaurants Inc. |
||||||||||||||||||||||||||||||||||||||
---------------------------------------------------------------------Twenty-Six Weeks Ended-------------------------------------------------------------------
|
||||||||||||||||||||||||||||||||||||||||
Mar 27, 2018
|
Mar 28, 2017
|
Mar 27, 2018
|
Mar 28, 2017
|
Mar 27,
2018 |
Mar 28,
2017 |
|||||||||||||||||||||||||||||||||||
Restaurant Sales
|
$
|
14,998
|
100.0
|
%
|
$
|
13,764
|
100.0
|
%
|
$
|
30,941
|
100.0
|
%
|
$
|
20,699
|
100.0
|
%
|
$
|
45,939
|
$
|
34,463
|
||||||||||||||||||||
Restaurant Operating Costs (exclusive of
depreciation and amortization shown separately below): |
||||||||||||||||||||||||||||||||||||||||
Food and packaging costs
|
4,961
|
33.1
|
%
|
4,398
|
32.0
|
%
|
9,360
|
30.2
|
%
|
6,371
|
30.8
|
%
|
14,321
|
10.769
|
||||||||||||||||||||||||||
Payroll and other employee benefit costs
|
5,358
|
35.7
|
%
|
4,860
|
35.3
|
%
|
11,563
|
37.4
|
%
|
7,810
|
37.7
|
%
|
16,921
|
12,670
|
||||||||||||||||||||||||||
Restaurant occupancy costs
|
1,470
|
9.8
|
%
|
1,382
|
10.0
|
%
|
1,958
|
6.3
|
%
|
1,341
|
6.5
|
%
|
3,428
|
2,723
|
||||||||||||||||||||||||||
Other restaurant operating costs
|
1,245
|
8.3
|
%
|
1,153
|
8.4
|
%
|
3,008
|
9.7
|
%
|
1,954
|
9.4
|
%
|
4,253
|
3,107
|
||||||||||||||||||||||||||
Restaurant-level operating profit
|
$
|
1,964
|
13.1
|
%
|
$
|
1,971
|
14.3
|
%
|
$
|
5,052
|
16.3
|
%
|
$
|
3,223
|
15.6
|
%
|
7,016
|
5,194
|
||||||||||||||||||||||
Franchise royalty income, net
|
330
|
331
|
||||||||||||||||||||||||||||||||||||||
Deduct - Other operating:
|
||||||||||||||||||||||||||||||||||||||||
Depreciation and amortization
|
1,728
|
1,333
|
||||||||||||||||||||||||||||||||||||||
General and administrative
|
3,815
|
3,391
|
||||||||||||||||||||||||||||||||||||||
Advertising costs
|
1,022
|
843
|
||||||||||||||||||||||||||||||||||||||
Franchise costs
|
21
|
52
|
||||||||||||||||||||||||||||||||||||||
Gain on restaurant asset sale
|
(17
|
)
|
(11
|
)
|
||||||||||||||||||||||||||||||||||||
Asset impairment charge
|
72
|
0
|
||||||||||||||||||||||||||||||||||||||
Preopening costs
|
1,073
|
918
|
||||||||||||||||||||||||||||||||||||||
Total other operating
|
7.714
|
6,526
|
||||||||||||||||||||||||||||||||||||||
Loss from Operations
|
$
|
(368
|
)
|
$
|
(1,001
|
)
|
Thirteen-Weeks Ended
|
Twenty-Six Weeks Ended
|
|||||||||||||||
Mar 27,
2018 |
Mar 28,
2017 |
Mar 27,
2018 |
Mar 28,
2017 |
|||||||||||||
Net loss as reported
|
$
|
(431
|
)
|
$
|
(711
|
)
|
$
|
(1,014
|
)
|
$
|
(1,344
|
)
|
||||
Adjustments to net loss:
|
||||||||||||||||
Depreciation and amortization
|
845
|
672
|
1,653
|
1,274
|
||||||||||||
Interest expense
|
91
|
37
|
175
|
57
|
||||||||||||
EBITDA
|
$
|
505
|
$
|
(2
|
)
|
$
|
814
|
$
|
(13
|
)
|
||||||
Preopening costs
|
491
|
431
|
976
|
713
|
||||||||||||
Non-cash stock based compensation
|
97
|
205
|
215
|
404
|
||||||||||||
GAAP rent in excess of cash rent
|
11
|
(11
|
)
|
(16
|
)
|
(16
|
)
|
|||||||||
Non-cash disposal of assets
|
(9
|
)
|
(4
|
)
|
(17
|
)
|
(11
|
)
|
||||||||
Asset impairment charge
|
72
|
0
|
72
|
0
|
||||||||||||
Adjusted EBITDA
|
$
|
1,167
|
$
|
619
|
$
|
2,044
|
$
|
1,077
|