News Release
BBQ Holdings, Inc. Reports Results for Fourth Quarter and Fiscal Year 2021; Announces Acquisition of Barrio Queen, Corporate Name Change and Provides 2022 Guidance
Fourth Quarter Highlights:
Fourth Quarter | ||||||||||||||
(dollars in thousands, except per share data) | 2021 | 2020 | 2019 | |||||||||||
Total revenue | $ | 68,395 | $ | 34,258 | $ | 23,613 | ||||||||
Net income (loss) | $ | 2,602 | $ | (2,836 | ) | $ | (1,788 | ) | ||||||
Earnings (loss) per diluted share | $ | 0.25 | $ | (0.31 | ) | $ | (0.20 | ) | ||||||
Adjusted net income (loss) | $ | 2,820 | $ | (1,538 | ) | $ | (1,210 | ) | ||||||
Adjusted earnings (loss) per diluted share | $ | 0.27 | $ | (0.17 | ) | $ | (0.13 | ) | ||||||
Cash EBITDA | $ | 4,550 | $ | 85 | $ | (692 | ) | |||||||
Restaurant-level margins | 7.6 | % | 2.1 | % | (3.0 | ) | % | |||||||
Prime costs | 62.3 | % | 63.6 | % | 67.9 | % | ||||||||
Free cash flow | $ | 3,140 | $ | (743 | ) | $ | (3,655 | ) |
Fourth Quarter Same Store Sales | ||||||
2021 vs. 2020 | 2021 vs. 2019 | |||||
Famous Dave's Company-owned | 22.8 | % | 15.5 | % | ||
Famous Dave's Franchise-operated* | 26.5 | % | 18.8 | % | ||
63.8 | % | (2.4 | ) | % | ||
54.5 | % | (9.2 | ) | % | ||
51.7 | % | NA | % | |||
50.4 | % | (12.7 | ) | % | ||
17.0 | % | NA | % | |||
Real Urban BBQ** | 8.9 | % | 2.7 | % | ||
* as reported by franchisees | ||||||
** includes sales under prior ownership |
Fiscal Year Highlights:
Fiscal Year | ||||||||||||||
(dollars in thousands, except per share data) | 2021 | 2020 | 2019 | |||||||||||
Total revenue | $ | 206,442 | $ | 121,237 | $ | 83,555 | ||||||||
Net income (loss) | $ | 24,021 | $ | 4,947 | $ | (649 | ) | |||||||
Earnings (loss) per diluted share | $ | 2.42 | $ | 0.54 | $ | (0.07 | ) | |||||||
Adjusted net income (loss) | $ | 7,033 | $ | (2,616 | ) | $ | 647 | |||||||
Adjusted earnings (loss) per diluted share | $ | 0.71 | $ | (0.29 | ) | $ | 0.07 | |||||||
Cash EBITDA | $ | 17,450 | $ | 948 | $ | 3,423 | ||||||||
Restaurant-level margins | 9.3 | % | 1.3 | % | (0.1 | ) | % | |||||||
Prime costs | 61.4 | % | 64.9 | % | 67.2 | % | ||||||||
Free cash flow | $ | 13,624 | $ | (2,551 | ) | $ | (3,332 | ) |
Fiscal Year Same Store Sales | ||||||
2021 vs. 2020 | 2021 vs. 2019 | |||||
Famous Dave's Company-owned | 23.7 | % | 13.7 | % | ||
Famous Dave's Franchise-operated* | 25.9 | % | 6.6 | % | ||
50.0 | % | (8.6 | ) | % | ||
42.0 | % | (13.0 | ) | % | ||
49.1 | % | NA | % | |||
29.9 | % | (21.5 | ) | % | ||
17.3 | % | NA | % | |||
Real Urban BBQ** | 11.5 | % | 0.8 | % | ||
* as reported by franchisees **includes sales under prior ownership |
Subsequent Events:
On
On
Current and Projected (“PF”) Portfolio:
FAMOUS DAVE’S |
VILLAGE INN |
GRANITE CITY |
BAKERS SQUARE |
REAL URBAN BBQ |
BBQ |
TAHOE JOE’S | BARRIO QUEEN | BAR CONCEPTS | TOTAL | |||||||||||
2021 | 2022 PF | 2021 | 2022 PF | 2021 | 2022 PF | 2021 | 2022 PF | 2021 | 2022 PF | 2021 | 2022 PF | 2021 | 2022 PF | 2021 | 2022 PF | 2021 | 2022 PF | 2021 | 2022 PF | |
Corporate Locations | 39 | 41 | 21 | 22 | 18 | 18 | 14 | 14 | 2 | 2 | 1 | 1 | 5 | 4 | 8 | 3 | 100 | 113 | ||
Brick & Mortar | 30 | 31 | 21 | 21 | 18 | 17 | 11 | 11 | 2 | 2 | 1 | 1 | 5 | 4 | 8 | 3 | 88 | 98 | ||
Dual Concept | 1 | 1 | 1 | 1 | 1 | 3 | ||||||||||||||
8 | 9 | 3 | 3 | 11 | 12 | |||||||||||||||
Franchise/License Locations | 104 | 107 | 108 | 111 | 4 | 4 | 1 | 216 | 223 | |||||||||||
Brick & Mortar | 85 | 87 | 108 | 111 | 193 | 198 | ||||||||||||||
Dual Concept | 1 | 1 | 0 | 2 | ||||||||||||||||
19 | 19 | 4 | 4 | 23 | 23 | |||||||||||||||
Total Locations | 143 | 148 | 129 | 133 | 18 | 18 | 18 | 18 | 2 | 2 | 1 | 1 | 5 | 5 | 8 | 3 | 316 | 336 | ||
Growth Plan | New line serve / drive thru and Ghost locations | New trendy breakfast prototype | Dual concept with new breakfast brand | Sell pies in retail, kiosk and other restaurants | New line serve locations and CPGs | CPGs | Dual Concept with FDs | Franchise and Corporate | Corporate | |||||||||||
# Opening in 2022 | Q1: 3 | Q1: 1 | n/a | n/a | n/a | n/a | Q1: - | Q1: - | n/a | Total: | 13 | |||||||||
Q2: 1 | Q2: 1 | Q2: - | Q2: - | |||||||||||||||||
Q3: 1 | Q3: 1 | Q3: - | Q3: 1 | |||||||||||||||||
Q4: 1 | Q4: 2 | Q4: 1 | Q4: - |
Filling Latent Capacity:
- Dual concept
Granite City/Village Inn opened inMaple Grove, MN inMarch 2022 . - Famous Dave’s ghost kitchen to open in
Granite City inFargo, ND inMarch 2022 .
Organic Unit Growth:
- Famous Dave’s franchisee opened a line-serve restaurant in
Coon Rapids, MN inOctober 2021 . - Opened a Real Urban Barbeque restaurant in
Chicago, IL inOctober 2021 . - Famous Dave’s Drive thru in
Salt Lake City, UT opened inMarch 2022 . - Famous Dave’s franchisee opened an additional restaurant in the
United Arab Emirates inFebruary 2022 . New Village Inn prototype expected to open inOmaha, NE in the second quarter of 2022.
Mergers and Acquisitions:
- Purchased Tahoe Joe’s Steakhouse brand in
October 2021 . - Signed an Asset Purchase Agreement to acquire Barrio Queen in
March 2022 . - Closed the purchase of three bar-centric company-owned locations in
March 2022 .
2022 Guidance:
- Net restaurant revenue of $265mm to $280mm
- Net income and adjusted net income range from
$12 .5mm to$15 .5mm - We expect to exhaust our deferred tax assets mid-2022
- Diluted earnings per share and adjusted earnings per diluted share of
$1.15 to$1.45 - Cash EBITDA range from $23mm to $25mm***
- Free cash flow range from
$13 .5mm to$15 .5mm***
12-Month Run Rate Guidance:
- Net restaurant revenue of $280mm to $295mm
- Net income and adjusted net income range from
$14 .0mm to$17 .0mm - Diluted earnings per share and adjusted earnings per diluted share of
$1.30 to$1.60 - Cash EBITDA range from
$25 .5mm to$27 .5mm*** - Free cash flow range from
$15 .5mm to$17 .5mm***
*** assumes completion of Barrio Queen and Bar Concepts acquisitions
Executive Comments
In
As we have continued to diversify our portfolio of restaurant brands, we will be changing the name of our parent company from
Key Operating Metrics
Three Months Ended | Year Ended | |||||||||||||||
Restaurant count: | ||||||||||||||||
Franchise-operated | 216 | 98 | 216 | 98 | ||||||||||||
Company-owned | 100 | 47 | 100 | 47 | ||||||||||||
Total | 316 | 145 | 316 | 145 | ||||||||||||
Same store net restaurant sales %: | ||||||||||||||||
Franchise-operated | 26.5 | % | (13.6 | ) | % | 25.9 | % | (17.0 | ) | % | ||||||
Company-owned | 37.8 | % | (5.5 | ) | % | 36.7 | % | (8.5 | ) | % | ||||||
Total | 30.8 | % | (11.6 | ) | % | 29.8 | % | (15.3 | ) | % | ||||||
(in thousands, expect per share data) | ||||||||||||||||
System-wide restaurant sales(1) | $ | 171,086 | $ | 78,894 | $ | 507,882 | $ | 301,743 | ||||||||
Net income attributable to shareholders | $ | 2,602 | $ | (2,836 | ) | $ | 24,021 | $ | 4,947 | |||||||
Net income attributable to shareholders, per diluted share | $ | 0.25 | $ | (0.31 | ) | $ | 2.42 | $ | 0.54 | |||||||
Cash EBITDA(2) | $ | 4,550 | $ | 85 | $ | 17,450 | $ | 948 |
(1) System-wide restaurant sales include sales for all Company-owned and franchise-operated restaurants, as reported by franchisees. Restaurant sales for franchise-operated restaurants are not revenues of the Company and are not included in the Company’s consolidated financial statements.
(2) Cash EBITDA is a non-GAAP measure. A reconciliation of all non-GAAP measures to the most directly comparable GAAP measure is included in the accompanying financial tables. See “Non-GAAP Reconciliation.”
Fourth Quarter and Fiscal Year 2021 Review
Total revenue for the fourth quarter of 2021 was
Net income attributable to shareholders was approximately
Restaurant-level operating margin as a percentage of restaurant net sales, a non-GAAP measure, was 7.6% and 9.3% for Company-owned restaurants in the fourth quarter and fiscal year 2021, respectively, compared to 2.1% and 1.3% in the fourth quarter and fiscal year 2020, respectively. This increase in restaurant-level operating margin as a percentage of net restaurant sales was due primarily to leverage on our fixed operating costs from the increased revenue resulting from the reduction of dine-in restrictions and restrictions on large gatherings which were put in place in 2020 due to COVID-19 concerns, as well as the acquisition of the Village Inn and Bakers Square brands, four additional Famous Dave’s restaurants, and the Tahoe Joe’s Steakhouse brand. A reconciliation of restaurant sales to restaurant-level margin is included in the accompanying financial tables. General and administrative expenses for the quarter ended
About
Non-GAAP Financial Measures
To supplement its condensed consolidated financial statements, which are prepared and presented in accordance with accounting principles generally accepted in
Cash EBITDA is net income plus asset impairment, estimated lease termination charges and other closing costs, depreciation and amortization, net interest expense, net (gain) loss on disposal of equipment, stock-based compensation, acquisition costs, pre-opening costs, severance, gain on debt forgiveness, gain on bargain purchase, provision (benefit) for income taxes, and non-cash rent.
Free cash flow is the Cash EBITDA less cash paid for property, equipment and leasehold improvements. Adjusted net income (loss) is net income plus asset impairment, estimated lease termination charges and other closing costs, less gain on debt forgiveness and gain on bargain purchase. Adjusted earnings per diluted share equals adjusted net income (loss) divided by the weighted average shares outstanding, assuming dilution.
Restaurant-level operating margins are equal to net restaurant sales, less restaurant-level food and beverage cost, labor and benefit costs, and operating expenses for Company-owned restaurants.
Forward-Looking Statements
Statements in this press release that are not strictly historical, including but not limited to statements regarding the timing of the Company’s restaurant openings, the timing of refreshes and the timing or success of refranchising plans, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown risks, which may cause the Company’s actual results to differ materially from expected results. Although the Company believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectation will be attained. Factors that could cause actual results to differ materially from the Company’s expectation include the impact of the COVID-19 virus pandemic, financial performance, restaurant industry conditions, execution of restaurant development and construction programs, franchisee performance, changes in local or national economic conditions, availability of financing, governmental approvals and other risks detailed from time to time in the Company’s
Contact: | |
jeff.crivello@bbq-holdings.com |
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(Unaudited)
Three Months Ended | Year Ended | |||||||||||||||
Revenue: | ||||||||||||||||
Restaurant sales, net | $ | 62,690 | $ | 31,293 | $ | 187,872 | $ | 109,544 | ||||||||
Franchise royalty and fee revenue | 3,538 | 2,291 | 12,187 | 8,919 | ||||||||||||
Franchisee national advertising fund contributions | 501 | 298 | 1,711 | 1,124 | ||||||||||||
Licensing and other revenue | 1,666 | 376 | 4,672 | 1,650 | ||||||||||||
Total revenue | 68,395 | 34,258 | 206,442 | 121,237 | ||||||||||||
Costs and expenses: | ||||||||||||||||
Food and beverage costs | 19,249 | 9,661 | 55,969 | 33,867 | ||||||||||||
Labor and benefits costs | 19,809 | 10,252 | 59,297 | 37,228 | ||||||||||||
Operating expenses | 18,868 | 10,733 | 55,223 | 36,984 | ||||||||||||
Depreciation and amortization expenses | 2,470 | 1,301 | 7,395 | 5,121 | ||||||||||||
General and administrative expenses | 5,660 | 4,371 | 19,176 | 14,195 | ||||||||||||
National advertising fund expenses | 501 | 298 | 1,711 | 1,124 | ||||||||||||
Asset impairment, estimated lease termination charges and other closing costs, net | 10 | 869 | 116 | 5,683 | ||||||||||||
Pre-opening expenses | 21 | 103 | 204 | 10 | ||||||||||||
Gain on disposal of property, net | (1,113 | ) | (703 | ) | (979 | ) | (1,810 | ) | ||||||||
Total costs and expenses | 65,475 | 36,885 | 198,112 | 132,402 | ||||||||||||
Income (loss) from operations | 2,920 | (2,627 | ) | 8,330 | (11,165 | ) | ||||||||||
Other income (expense): | ||||||||||||||||
Interest expense | (144 | ) | (214 | ) | (583 | ) | (805 | ) | ||||||||
Interest income | 31 | 49 | 178 | 154 | ||||||||||||
Gain on forgiveness of debt | — | — | 14,109 | — | ||||||||||||
Gain on bargain purchase | (208 | ) | (429 | ) | 2,995 | 13,246 | ||||||||||
Total other income (expense) | (321 | ) | (594 | ) | 16,699 | 12,595 | ||||||||||
Income (loss) before income taxes | 2,599 | (3,221 | ) | 25,029 | 1,430 | |||||||||||
Income tax (expense) benefit | (144 | ) | 318 | (661 | ) | 2,837 | ||||||||||
Net income (loss) | 2,455 | (2,903 | ) | 24,368 | 4,267 | |||||||||||
Net (income) loss attributable to non-controlling interest | 147 | 67 | (347 | ) | 680 | |||||||||||
Net income (loss) attributable to shareholders | $ | 2,602 | $ | (2,836 | ) | $ | 24,021 | $ | 4,947 | |||||||
Income (loss) per common share: | ||||||||||||||||
Basic net income (loss) per share attributable to shareholders | $ | 0.25 | $ | (0.31 | ) | $ | 2.44 | $ | 0.54 | |||||||
Diluted net income (loss) per share attributable to shareholders | $ | 0.25 | $ | (0.31 | ) | $ | 2.42 | $ | 0.54 | |||||||
Weighted average shares outstanding - basic | 10,445 | 9,175 | 9,826 | 9,155 | ||||||||||||
Weighted average shares outstanding - diluted | 10,550 | 9,175 | 9,922 | 9,156 |
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)
(unaudited)
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 40,309 | $ | 18,101 | ||||
Restricted cash | 1,152 | 1,502 | ||||||
Accounts receivable, net of allowance for doubtful accounts of |
5,476 | 4,823 | ||||||
Inventories | 3,316 | 2,271 | ||||||
Prepaid expenses and other current assets | 3,919 | 1,252 | ||||||
Assets held for sale | — | 1,070 | ||||||
Total current assets | 54,172 | 29,019 | ||||||
Property, equipment and leasehold improvements, net | 39,943 | 32,389 | ||||||
Other assets: | ||||||||
Operating lease right-of-use assets | 78,843 | 61,634 | ||||||
3,037 | 601 | |||||||
Intangible assets, net | 23,444 | 9,967 | ||||||
Deferred tax asset, net | 3,692 | 4,934 | ||||||
Other assets | 1,292 | 1,724 | ||||||
Total assets | $ | 204,423 | $ | 140,268 | ||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 7,661 | $ | 6,385 | ||||
Current portion of operating lease liabilities | 11,904 | 6,185 | ||||||
Current portion of long-term debt and finance lease liabilities | 1,621 | 2,111 | ||||||
Accrued compensation and benefits | 7,121 | 2,390 | ||||||
Gift card liability | 11,257 | 6,554 | ||||||
Other current liabilities | 8,510 | 3,212 | ||||||
Total current liabilities | 48,074 | 26,837 | ||||||
Long-term liabilities: | ||||||||
Operating lease liabilities, less current portion | 77,729 | 63,105 | ||||||
Finance lease liabilities, less current portion | 79 | — | ||||||
Long-term debt, less current portion | 13,197 | 22,169 | ||||||
Other liabilities | 997 | 1,224 | ||||||
Total liabilities | 140,076 | 113,335 | ||||||
Shareholders’ equity: | ||||||||
Common stock, |
105 | 93 | ||||||
Additional paid-in capital | 21,782 | 8,748 | ||||||
Retained earnings | 43,391 | 19,370 | ||||||
Total shareholders’ equity | 65,278 | 28,211 | ||||||
Non-controlling interest | (931 | ) | (1,278 | ) | ||||
Total equity | 64,347 | 26,933 | ||||||
Total liabilities and equity | $ | 204,423 | $ | 140,268 |
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
(unaudited)
Year Ended | ||||||||
Cash flows from operating activities: | ||||||||
Net income | $ | 24,368 | $ | 4,267 | ||||
Adjustments to reconcile net income to cash flows provided by operations: | ||||||||
Depreciation and amortization | 7,395 | 5,121 | ||||||
Stock-based compensation | 1,268 | 886 | ||||||
Net gain on disposal | (979 | ) | (1,783 | ) | ||||
Asset impairment, estimated lease termination charges and other closing costs, net | — | 5,483 | ||||||
Gain on forgiveness of debt | (14,109 | ) | — | |||||
Gain on bargain purchase | (2,995 | ) | (13,246 | ) | ||||
Amortization of operating right-of-use assets | 8,514 | 5,249 | ||||||
Deferred tax asset | 337 | (2,837 | ) | |||||
Other non-cash items | 905 | 796 | ||||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable, net | (1,570 | ) | (1,011 | ) | ||||
Prepaid expenses and other assets | (2,983 | ) | 1,460 | |||||
Accounts payable | 1,276 | 2,418 | ||||||
Accrued compensation | 4,730 | (244 | ) | |||||
Lease liabilities | (8,278 | ) | (5,152 | ) | ||||
Gift card liability | 3,341 | (2,133 | ) | |||||
Accrued and other liabilities | 3,638 | 2,814 | ||||||
Cash flows provided by operating activities | 24,858 | 2,088 | ||||||
Cash flows from investing activities: | ||||||||
Proceeds from the sale of assets | 2,587 | 2,869 | ||||||
Purchases of property, equipment and leasehold improvements | (3,826 | ) | (3,499 | ) | ||||
Payments for acquired restaurants | (18,808 | ) | (5,381 | ) | ||||
Payments received on note receivable | 785 | 42 | ||||||
Cash flows used for investing activities | (19,262 | ) | (5,969 | ) | ||||
Cash flows from financing activities: | ||||||||
Proceeds from long-term debt | 15,000 | 22,058 | ||||||
Payments for debt issuance costs | (114 | ) | (45 | ) | ||||
Payments on long-term debt | (10,403 | ) | (4,621 | ) | ||||
Tax payments for restricted stock units and stock options exercised | (1,094 | ) | — | |||||
Proceeds from sale of common stock, net of offering costs | 12,428 | — | ||||||
Proceeds from exercise of stock options | 445 | 6 | ||||||
Cash provided by financing activities | 16,262 | 17,398 | ||||||
Increase in cash, cash equivalents and restricted cash | 21,858 | 13,517 | ||||||
Cash, cash equivalents and restricted cash, beginning of period | 19,603 | 6,086 | ||||||
Cash, cash equivalents and restricted cash, end of period | $ | 41,461 | $ | 19,603 | ||||
Supplemental Disclosures | ||||||||
Cash paid for interest, net | $ | 494 | $ | 706 | ||||
Non-cash investing and financing activities: | ||||||||
Operating right-of-use assets acquired | 23,544 | 51,682 | ||||||
Lease liabilities assumed pursuant to acquisitions | 26,166 | 51,682 | ||||||
Gift card liability assumed pursuant to acquisitions | 1,362 | 3,923 | ||||||
Inventory acquired pursuant to acquisitions | 623 | 1,178 |
OPERATING RESULTS
(unaudited)
Three Months Ended | Year Ended | ||||||||||||
Food and beverage costs(1) | 30.7 | % | 30.9 | % | 29.8 | % | 30.9 | % | |||||
Labor and benefits costs(1) | 31.6 | % | 32.8 | % | 31.6 | % | 34.0 | % | |||||
Operating expenses(1) | 30.1 | % | 34.3 | % | 29.4 | % | 33.8 | % | |||||
Restaurant-level operating margin(1)(2) | 7.6 | % | 2.1 | % | 9.3 | % | 1.3 | % | |||||
Depreciation and amortization expenses(3) | 3.6 | % | 3.8 | % | 3.6 | % | 4.2 | % | |||||
General and administrative expenses(3) | 8.3 | % | 12.8 | % | 9.3 | % | 11.7 | % | |||||
Income (loss) from operations(3) | 4.3 | % | (7.7 | ) | % | 4.0 | % | (9.2 | ) | % |
(1) As a percentage of restaurant sales, net
(2) Restaurant-level operating margins are equal to restaurant sales, net, less restaurant-level food and beverage costs, labor and benefit costs, and operating expense.
(3) As a percentage of total revenue
RESTAURANT-LEVEL PROFIT AND RESTAURANT-LEVEL MARGIN (1)
NON-GAAP RECONCILIATION
(in thousands)
Three Months Ended | Year Ended | ||||||||||||||
Restaurant sales, net | $ | 62,690 | $ | 31,293 | $ | 187,872 | $ | 109,544 | |||||||
Restaurant operating costs (2) | 57,926 | 30,646 | 170,489 | 108,079 | |||||||||||
Restaurant-level profit | $ | 4,764 | $ | 647 | $ | 17,383 | $ | 1,465 | |||||||
Restaurant-level margin | 7.6 | % | 2.1 | % | 9.3 | % | 1.3 | % |
(1)
(2) Restaurant operating costs consist of food and beverage costs, labor and benefits costs and operating expenses.
CASH EBITDA AND FREE CASH FLOW
NON-GAAP RECONCILIATION
(in thousands, except per share data)
(unaudited)
Three Months Ended | Year Ended | |||||||||||||||
(dollars in thousands) | ||||||||||||||||
Net income | $ | 2,455 | $ | (2,903 | ) | $ | 24,368 | $ | 4,267 | |||||||
Asset impairment and estimated lease termination charges and other closing costs | 10 | 869 | 116 | 5,683 | ||||||||||||
Depreciation and amortization | 2,470 | 1,301 | 7,395 | 5,121 | ||||||||||||
Interest expense, net | 113 | 165 | 405 | 651 | ||||||||||||
Net gain on disposal of equipment | (1,113 | ) | (703 | ) | (979 | ) | (1,810 | ) | ||||||||
Stock-based compensation | 336 | 517 | 1,268 | 939 | ||||||||||||
Acquisition costs | 375 | (58 | ) | 925 | (105 | ) | ||||||||||
Pre-opening costs | 21 | 103 | 204 | 10 | ||||||||||||
Severance | - | 35 | - | 86 | ||||||||||||
Gain on debt forgiveness | - | - | (14,109 | ) | - | |||||||||||
Gain on bargain purchase | 208 | 429 | (2,995 | ) | (13,246 | ) | ||||||||||
Provision for income taxes | 144 | (318 | ) | 661 | (2,837 | ) | ||||||||||
Non-cash rent | (469 | ) | 648 | 191 | 2,189 | |||||||||||
Cash EBITDA | $ | 4,550 | $ | 85 | $ | 17,450 | $ | 948 | ||||||||
Less cash paid for property, equipment and leasehold improvements | (1,410 | ) | (828 | ) | (3,826 | ) | (3,499 | ) | ||||||||
Free cash flow | $ | 3,140 | $ | (743 | ) | $ | 13,624 | $ | (2,551 | ) |
ADJUSTED NET INCOME (LOSS) AND EARNINGS (LOSS) PER DILUTED SHARE
NON-GAAP RECONCILIATION
(in thousands, except per share data)
(unaudited)
Three Months Ended | Year Ended | |||||||||||||||
(dollars in thousands) | ||||||||||||||||
Net income (loss) attributable to shareholders | $ | 2,602 | $ | (2,836 | ) | $ | 24,021 | $ | 4,947 | |||||||
Asset impairment, estimated lease termination charges and other closing costs | 10 | 869 | 116 | 5,683 | ||||||||||||
Gain on debt forgiveness | — | — | (14,109 | ) | — | |||||||||||
Gain on bargain purchase | 208 | 429 | (2,995 | ) | (13,246 | ) | ||||||||||
Adjusted net income (loss) | 2,820 | (1,538 | ) | 7,033 | (2,616 | ) | ||||||||||
Weighted average shares outstanding - diluted | 10,550 | 9,175 | 9,922 | 9,155 | ||||||||||||
Adjusted earnings (loss) per diluted share | $ | 0.27 | $ | (0.17 | ) | $ | 0.71 | $ | (0.29 | ) |
A presentation accompanying this announcement is available at: https://www.globenewswire.com/NewsRoom/AttachmentNg/1a29f163-d269-424b-87c1-2f433536eaa0

Source: BBQ Holdings, Inc.