Good Times Restaurants Inc. · NASDAQ:GTIM
Good Times Restaurants — Investor Presentation (September 2016)
26 slides from Good Times Restaurants's investor presentation, Sep 28, 2016
Slide 1: Investor Presentation September 2016
Good Times Restaurants Inc. (Nasdaq Capital Market: GTIM)Investor PresentationSeptember 2016
Slide 2: Disclaimer: Forward-Looking Information
Disclaimer Forward-Looking InformationThis presentation contains forward-looking statements. All statements other than statements of historical facts contained in this presentation may be forward-looking statements. The words “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “could,” “inte
Slide 3: Company Highlights
Company Highlights 2015 acquisition of high-growth platform companyTwo differentiated and complementary concepts Successful refresh and updating of Good Times yielding strong financial resultsStrong recent growth in new Bad Daddy’s stores Excellent cash-on-cash return modelsSubstantial growth potent
Slide 4: Two Complementary & Differentiated Concepts
Two Complementary & Differentiated Concepts 4 Good Times Restaurants Inc. Only QSR with steroid-free, hormone-free, vegetarian-fed, humanely-raised beef and chicken“Fresh, Handcrafted, All-Natural” positionOperates and franchises 37 restaurants located primarily in the front-range communities of Col
Slide 5: "You brought Cool to the suburbs"
Good Times Restaurants Inc. 5 “You brought Cool to the suburbs”
Slide 6: Bad Daddy's Burger Bar
Bad Daddy’s Burger Bar Full Service, Full Bar Gourmet Burger Concept founded in Charlotte, NC in 2008Current TTM sales for the ten (10) company-owned stores open all year = $2.6MIn-line and end-cap restaurants; 3,500-4,000 sf.$18 Per Person Average Check including alcohol60% Dinner / 40% Lunch 6 Goo
Slide 7: Bad Daddy's Burger Bar Locations
Bad Daddy’s Burger Bar 7 Good Times Restaurants Inc. Nineteen (19) restaurants currently open in eight metropolitan markets:Denver (7)Colorado Springs (1)Ft. Collins (1)Charlotte (5)Raleigh (2)Winston-Salem (1)Greenville (1)Knoxville (1)
Slide 8: The Non-Chain Chain
The Non-Chain Chain 8 Good Times Restaurants Inc. Unique look, feel and format to each store
Slide 9: The Non-Chain Chain
The Non-Chain Chain 9 Good Times Restaurants Inc. Menu with local ingredients, brand partners and micro local craft beers
Slide 10: Bad Daddy's Burger Bar – Concept Overview
Bad Daddy’s Burger Bar – Concept Overview Upscale restaurant concept featuring a chef-driven menu of gourmet signature burgers, chopped salads, appetizers and sandwiches Simple, high-quality ingredients executed at a high levelHousemade sauces and dressings“Create Your Own” burgers and saladsMonthly
Slide 11: Bad Daddy's Model
Bad Daddy’s Model 11 Source: SEC Filings, Company Information Good Times Restaurants Inc. Average Sales per Square Foot Targeted Cash on Cash Returns Casual Dining Avg.
Slide 12: Bad Daddy's Average Check
Bad Daddy’s Average Check 12 Source: SEC Filings, Company Information Good Times Restaurants Inc. Average Check
Slide 13: Bad Daddy's Strong Momentum
Bad Daddy’s Strong Momentum Year-to-date comparable store sales through Q3 fiscal 2016 of +3.8%Six new units opened in fiscal 20169-11 additional restaurants planned for fiscal 2017 including the development of two new markets. Seven leases signed and several more in final negotiation. 13 Good Times
Slide 14: Good Times Restaurants Inc. 14
Good Times Restaurants Inc. 14
Slide 15: Good Times - Concept Overview
Good Times - Concept Overview QSR Burger chain founded in Boulder, CO in 198727 Company-owned stores, 10 Franchise stores$1.1M AUV; $1.2M new store model; Fiscal 2015 system-wide sales of $39 million$6.50 Average per person check – upper end of national QSR competitorsFree-standing restaurants, 880
Slide 16: A Highly Differentiated Concept in QSR
A Highly Differentiated Concept in QSR Multi-dimensional brand refresh initiated 5 years agoThe only “Fresh, All-Natural, Handcrafted” brand story at a QSR price pointMade to order quality with QSR speed of serviceRemodeling and reimaging program to upgrade facilitiesNew store model with upscale, fa
Slide 17: Strong Growth Platform
Strong Growth Platform Good Times growth in Colorado with company-owned storesContinued same store sales growth through menu innovation, remodels and product elevationBad Daddy’s – 2 markets with infrastructure to support concentric growth:Opened 6 stores in fiscal 2016 off of a base of 10 company-o
Slide 18: Financial Highlights
Financial Highlights conte @ | SS BURGER BAR ee
Slide 19: Bad Daddy's Projected New Unit Economics
Bad Daddy’s Projected New Unit Economics Assumptions:3,600 sq. ft. 125 seat designEstimated cash investment = $900K to $1M net of landlord contribution Cash preopening costs = $265K-$280K expensed in Year 1 Year 2 Estimate Sales $2,500,000 Restaurant Operating Profit: 15% (CO min wage) to 18% (Fed m
Slide 20: Brand Refresh Producing Sales Momentum
Brand Refresh Producing Sales Momentum Good Times Restaurants Inc. 20 Robust 3-Year Same Store Sales Growth Trend at Good Times
Slide 21: Increasing Sales Has Increased Profits
Increasing Sales Has Increased Profits Good Times Restaurants Inc. 21 Average Unit Sales Volumes (000s) Average Restaurant Level Operating Profit (000s) Note: Restaurant Level Operating Profit is defined as Net Sales less all restaurant level operating, occupancy and advertising expenses but does no
Slide 22: Demonstrated Unit and Sales Growth
Demonstrated Unit and Sales Growth Good Times Restaurants Inc. 22 Total Company-Owned Restaurants Total Company Revenue (000s) Note: Fiscal years 2016E and 2017E restaurant count and total company revenue represent the low end of the Company’s guidance, per the most recent earnings release filed Aug
Slide 23: Demonstrated Profit Growth
Demonstrated Profit Growth Good Times Restaurants Inc. 23 Restaurant-level EBITDA (000s) Adjusted EBITDA (000s) Note: See appendix for reconciliation to prior years’ Adjusted EBITDA and Restaurant-level EBITDA. Fiscal years 2016E and 2017E represent the low end of the Company’s guidance, per the mos
Slide 24: Highly Experienced Management Team
Highly Experienced Management Team Boyd Hoback – President, CEO40 years in the restaurant business; with Good Times since inceptionImplemented sophisticated operating and management systems across all functional areasScott Lefever – Chief Operating Officer, Good Times35 years in the restaurant busin
Slide 25: Highly Experienced Management Team
Highly Experienced Management Team Mike Maloney – Director of Operations, Bad Daddy’s Former VP Ops Paragon Steakhouses, Regional VP Lonestar Steakhouse Executive & operational positions with Jimmy John’sTimothy Kast – Executive Chef, Bad Daddy’sFormer Executive Chef Partner – Seasons 52 (Darden)Cul
Slide 26: The Investment Opportunity
The Investment Opportunity Financial Highlights 23 out of last 24 quarters of SSS growth for Good TimesFiscal 2013-2015 SSS stack of 33% for Good TimesTwo proven economic models with attractive returnsBad Daddy’s top tier sales per sq. ft., economic model @ $2.5M in salesStrong balance sheet with li
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