Noodles & Company Announces Second Quarter 2023 Financial Results

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[{"type":"text","content":"Additionally Announces Share Repurchase Authorization\nBROOMFIELD, Colo., Aug. 09, 2023 (GLOBE NEWSWIRE) -- Noodles & Company (Nasdaq: NDLS) today announced financial results for its second quarter ended July 4, 2023. Key highlights for the second quarter of 2023 versus the second quarter of 2022 include: Total revenue decreased 4.5% to $125.2 million from $131.1 million in the second quarter of 2022.Comparable restaurant sales decreased 5.5% system-wide, comprised of a 5.9% decrease at company-owned restaurants and a 3.4% decrease at franchise restaurants.Net loss was $1.3 million, or $0.03 loss per diluted share, compared to net income of $1.3 million, or $0.03 per diluted share, in the second quarter of 2022.Operating margin was (0.2)% compared to 1.4% in the second quarter of 2022.Restaurant contribution margin(1) was 14.8% compared to 15.5% in the second quarter of 2022.Adjusted EBITDA(1) was $9.3 million, a decrease of $1.9 million compared to the second quarter of 2022.Adjusted net loss(1) was $0.8 million, or a $0.02 loss per diluted share, compared to adjusted net income of $2.4 million, or $0.05 per diluted share, in the second quarter of 2022.Six new company-owned restaurants opened in the second quarter of 2023. _____________________ (1)Restaurant contribution margin, EBITDA, adjusted EBITDA, and adjusted net income (loss) are non-GAAP measures. Reconciliations of operating income (loss) to restaurant contribution margin, net income (loss) to EBITDA and adjusted EBITDA and net income (loss) to adjusted net income (loss) are included in the accompanying financial data. See “Non-GAAP Financial Measures.” “During the beginning of the second quarter 2023, we saw meaningful softness in our guest trends. We attribute this in large part to being too aggressive on our pricing strategy, which included an incremental 5% increase in February of this year,” said Dave Boennighausen, Chief Executive Officer of Noodles & Company. “We have gained traction from our performance early in the second quarter as we pivoted to value messaging, with comparable restaurant sales improving from a 7.7% system-wide decline in May to a 3.8% decline in July, the first month of the third quarter.” “We are aggressively executing strategies to further drive comparable restaurant sales growth,” Boennighausen continued. “We are particularly focused on ...

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