Noodles & Company · NASDAQ:NDLS

Noodles & — Investor Presentation (February 2017)

13 slides from Noodles &'s investor presentation, February 2017

  1. Slide 1: Investor Presentation February 2017

    Investor Presentation February 2017

  2. Slide 2: Forward Looking Statements

    Forward Looking Statements Forward-Looking Statements This presentation contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. In some cases, you can identify forward-looking statements by terms such as "

  3. Slide 3: A World of Flavors Under One Roof

    A World of Flavors Under One Roof Differentiated Restaurant Concept Globally-Inspired Flavors From Near to Far Attractive Value Proposition in Fast Casual Warm and Inviting Dining Experience Unique Product Offering Resonates with Consumers Engaging Team Members Deliver a Personal Touch 2

  4. Slide 4: Financial Update

    Financial Update • Key highlights for the fourth quarter of 2016(1) include: ‒ Total revenue increased 10.0% - 11.0% to $129.0 - $130.0 million ‒ Comparable restaurant sales decreased approximately 1.3% systemwide, including a 1.8% decline at company-owned restaurants and a 2.0% increase at franchis

  5. Slide 5: Recent Momentum

    Recent Momentum Corporate Reorganization Comparable Restaurant Sales Improvement Expected to generate ~$2.5 million in annual G&A savings Performance improved relative to industry average and franchise restaurants recorded positive comparable restaurant sales in Q3 and Q4 Continued Strength in Core

  6. Slide 6: Enhancing the Customer Experience

    Enhancing the Customer Experience • Our focus on improving execution, increasing labor SMG Guest Satisfaction Top-Box productivity and regaining the brand’s culinary prowess has resonated with customers 71% • Guest satisfaction scores have increased by 500 bps since 66% August ‒ Includes a 400 bps e

  7. Slide 7: Our Path Forward

    Our Path Forward • Our operating performance has been challenged by a small subset of restaurants that has significantly underperformed systemwide averages, as measured by AUV, Restaurant Contribution margin and cash flow • Many of these underperforming restaurants opened recently in newer markets,

  8. Slide 8: Closing Underperforming Restaurants

    Closing Underperforming Restaurants Closure Strategy Key Closure Stats(1) • We intend to close approximately 55 restaurants, the majority of which are located in newer markets with lower brand awareness • Closures anticipated to occur in Q1 and Q2 2017 • We currently anticipate taking a non-cash imp

  9. Slide 9: Optimize Go-Forward Restaurant Portfolio

    Optimize Go-Forward Restaurant Portfolio Reduce Company-Owned Restaurant Growth • We plan on opening 12 to 15 company-owned restaurants in 2017 ‒ Front-loaded, with eight openings anticipated in Q1 • Most new restaurant openings are in well-established markets with existing brand awareness and above

  10. Slide 10: Restaurant Initiatives

    Restaurant Initiatives Streamline and Upgrade Menu Taking bold, deliberate steps to strengthen culinary relevance and create fresher, more on-trend offerings Increase Guest Check Including protein in entrees increases per person spend and reduces customer “sticker shock” Introduce Equipment and Labo

  11. Slide 11: Funding the Plan

    Funding the Plan Private Placement of Preferred Stock and Warrants $18.5 million issued to L Catterton on February 8, 2017 Amendment to the Company’s Credit Agreement Increases financial and operational flexibility Additional Capital Raise We are currently pursuing additional paths to raise funding

  12. Slide 12: Our Goals for Repositioning the Business

    Our Goals for Repositioning the Business Improving Restaurant-Level Cash Flow and Profitability Refocusing Management’s Attention on the Core Restaurant Base Building a Stronger Unit Base in Core Markets Realizing Superior Restaurant-Level Execution with Significant Labor Savings Increasing Average

  13. Slide 13: Slide 13

Noodles & Company — Investor Presentation (February 2017) on 6ix