Good Times Restaurants swung to a net income in the fiscal first quarter, thanks to better performance across its two brands.
The company’s attributable net income stood at $164 million as revenue grew 9.6 per cent to $36.3 million.
Bad Daddy’s Burger Bar sales rose 8.1 per cent to $26.1 million, while Good Times Burgers and Frozen Custard sales 12 per cent to $9.9 million.
“Margins at Bad Daddy’s improved due to increased labor productivity and better food and beverage cost driven by sequentially lower beef costs, and menu engineering efforts,” said Ryan M Zink, Good Times Restaurants CEO.
“Margins declined at Good Times, attributable most significantly to higher levels of staffing as the hiring environment has become more favorable.”
Meanwhile, the company noted that unfavorable weather affected both brands in the fiscal second quarter.
The weather events include snow in Colorado and extreme cold impacting the entirety of its Bad Daddy’s system nationwide.
“Nevertheless, the underlying trends at both concepts remain encouraging and our product pipeline is strong,” said Zink.
“Beyond the second quarter, our product development lineup at both brands includes new items and improvements to existing menu items.”
