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Good Times Restaurants Inc. Reports Operating Results (10-Q/A)

February 15, 2012 | About:
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10qk

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Good Times Restaurants Inc. (GTIM) filed Amended Quarterly Report for the period ended 2011-12-31.

Good Times Restaurants Inc. has a market cap of $3.1 million; its shares were traded at around $1.4001 with and P/S ratio of 0.2.

Highlight of Business Operations:

Net revenues for the three months ended December 31, 2011 decreased $239,000 (4.7%) to $4,846,000 from $5,085,000 for the three months ended December 31, 2010. Same store restaurant sales increased $140,000 (3.4%) during the three months ended December 31, 2011 for the restaurants that were open for the full three month periods ending December 31, 2011 and December 31, 2010. Restaurants are included in same store sales after they have been open a full fifteen months and only Good Times restaurants are included with dual branded restaurants excluded. Restaurant sales decreased $342,000 due to two company-owned stores sold in fiscal 2011 and one company-owned store sold in December, 2011. Restaurant sales decreased $8,000 due to one company-owned dual branded restaurants not included in same store sales. Restaurant sales also decreased $25,000 due to one non-traditional company-owned restaurant not included in same store sales.

Franchise revenues for the three months ended December 31, 2011 decreased $4,000 to $99,000 from $103,000 for the three months ended December 31, 2010 due to a decrease in franchise fees and royalties. Same store Good Times franchise restaurant sales increased 2.2% during the three months ended December 31, 2011 for the franchise restaurants that were open for the full periods ending December 31, 2011 and December 31, 2010. Dual branded franchise restaurant sales remained constant during the three months ended December 31, 2011, compared to the same prior year period. In September 2011 the company terminated a franchise agreement with a franchisee operating a Good Times restaurant in Longmont, Colorado.

For the three months ended December 31, 2011 our food and paper costs decreased $96,000 to $1,662,000 (35.0% of restaurant sales) from $1,758,000 (35.3% of restaurant sales) compared to the same prior year period. The $96,000 decrease is due to lower sales compared to the same prior year period.

For the three months ended December 31, 2011 our payroll and other employee benefit costs decreased $75,000 to $1,684,000 (35.5% of restaurant sales) from $1,759,000 (35.3% of restaurant sales) compared to the same prior year period. Payroll and other employee benefits decreased $113,000 in the three months ending December 31, 2011 due to the sale of two company-owned restaurants in February and May of 2011. The $113,000 decrease was offset by a $38,000 increase in payroll and employee benefit costs in the remaining restaurants due to increased sales compared to the same prior year period.

For the three months ended December 31, 2011 advertising costs decreased $6,000 to $211,000 (4.4% of restaurant sales) from $217,000 (4.3% of restaurant sales) for the same prior year period. The decrease is due to lower total restaurant sales in the current period compared to the same prior year period from the closure of restaurants.

Read the The complete Report

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10qk
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