Business
Noodles & Company Announces First Quarter 2020 Financial Results
Continues to Leverage Strong Off-Premise CapabilitiesStrong Sales First Ten Weeks of Year Offset by COVID-19 Impact In Latter March BROOMFIELD, Colo., May 06,
About this update from Noodles & Company
[{"type":"text","content":"Continues to Leverage Strong Off-Premise CapabilitiesStrong Sales First Ten Weeks of Year Offset by COVID-19 Impact In Latter March\n BROOMFIELD, Colo., May 06, 2020 (GLOBE NEWSWIRE) -- Noodles & Company (Nasdaq: NDLS) today announced financial results for its first quarter ended March 31, 2020. Key highlights for the first quarter of 2020 versus the first quarter of 2019 include: Total revenue decreased 8.8% to $100.3 million from $110.0 million, primarily due to the decrease in comparable restaurant sales as a result of mandated dining room closures in response to COVID-19 as well as the refranchising of fourteen restaurants since the first quarter of 2019.Comparable restaurant sales decreased 7.2% system-wide, comprised of a 7.0% decrease at company-owned restaurants and an 8.9% decrease at franchise restaurants.- Comparable sales growth system-wide increased 5.5% during the first ten weeks of the year through March 10th.- Comparable sales were negatively impacted by COVID-19 during the last three weeks of the fiscal quarter, resulting in a system-wide comparable sales decline of 46.3% from March 11th to March 31st. Strengthened existing off-premise capabilities by: launching curbside pickup in 350 restaurants, expanding delivery options through existing digital channels, adding Uber Eats as a delivery partner to complement existing partnership with Door Dash, and launching direct delivery channel.Digital sales grew 44.2% and accounted for 31.0% of sales; contributed to a 6.0% increase in the total percentage of off-premise sales from 55.7% to 61.7% of all sales.Net loss was $5.8 million, or $0.13 per diluted share, compared to a net loss of $1.9 million, or $0.04 per diluted share.Adjusted net loss(1) was $3.9 million, or $0.09 per diluted share, compared to an adjusted net loss of $1.2 million, or $0.03 per diluted share.Restaurant contribution margin(1) decreased 190 basis points to 10.7%.Opened one new company-owned restaurant and sold nine restaurants to an existing franchisee.Enhanced cash position with precautionary revolving credit draws totaling $47.0 million. (1) Adjusted net loss and restaurant contribution margin are non-GAAP measures. Reconciliations of net loss to adjusted net loss and of operating income (loss) to restaurant contribution margin are included in the accompanying financial data. See “Non-GAAP Fina...