Good Times Restaurants (GTIM) investor relations material

Executive summary

• Total revenues for the quarter decreased 10% year-over-year to $32.7 million, primarily due to a shorter fiscal quarter and restaurant closures, partially offset by menu price increases.

• Net income attributable to common shareholders was $0.2 million ($0.02 per share), up from $164,000 in the prior year quarter.

• Adjusted EBITDA remained steady at $1.3 million year-over-year.

• Same-store sales at both brands remained negative but improved sequentially from the previous quarter.

• Management emphasized improved cost containment and operational controls, leading to increased profitability.

Financial highlights

• Restaurant sales were $32.4 million, down from $36.0 million year-over-year.

• Bad Daddy's same-store sales decreased 1.2%, and Good Times same-store sales decreased 3.1%, both showing improvement over the prior quarter.

• Restaurant-level operating profit was $4.3 million (13.1% of total revenues), up from 12.2% in the prior year.

• General and administrative expenses were $2.1 million, or 6.3% of total revenues.

• Net cash provided by operating activities was $1.4 million, a $1.9 million improvement year-over-year.

Outlook and guidance

• Menu prices are expected to increase by approximately 1.1% in April at Bad Daddy's, with further benefit from rolling over the $8 margarita promotion in May.

• Good Times will continue a surgical approach to menu pricing, with multiple smaller adjustments planned throughout the year.

• Management expects continued inflationary pressures on food and labor, especially beef and wages, and plans to use menu price increases cautiously to offset costs.

• Sufficient capital is anticipated to meet working capital and capital expenditure needs for fiscal 2026.

• Management is optimistic about sales projections for both brands and expects meaningful improvement in profit measures for the fiscal year.