MINNETONKA, Minn., August 19, 2025--(BUSINESS WIRE)--BT Brands, Inc. (Nasdaq: BTBD and BTBDW), today reported its financial results, which reflect a return to profitability for the second quarter, the thirteen weeks ending June 29, 2025.
Including its 40.7% ownership interest in Bagger Dave’s Burger Tavern, which operates five locations (OTCMarkets: BDVB), BT Brands currently operates a total of fourteen restaurants comprising the following:
Six Burger Time fast-food restaurants, located in the North Central region of the United States ("BTND");
Bagger Dave’s Burger Tavern, Inc., a 40.7% owned affiliate, operating five restaurants in Michigan, Ohio, and Indiana ("Bagger Dave’s");
Keegan’s Seafood Grille in Indian Rocks Beach, Florida ("Keegan’s");
Pie In The Sky Coffee and Bakery in Woods Hole, Massachusetts ("PIE");
Schnitzel Haus, a fine-dining German-themed restaurant located in Hobe Sound, near Stuart, Florida.
Second Quarter 2025 Highlights and Recent Developments
Net income of $55,000, or $0.01 per share, compared to a net loss of $70,000 in 2024.
Revenues of $3.8 million, compared to $4.1 million for the prior-year quarter, reflecting the impact of two fewer operating locations year-over-year.
Operating loss narrowed significantly to $75,000 from $189,000 in the second quarter of 2024.
Restaurant-level adjusted EBITDA (a non-GAAP measure) increased by 51% over the prior year to $661,000 from $438,00 in 2024
Equity in the second quarter loss of our Bagger Dave’s was $70,400, compared to a loss of $81,000 in the prior year quarter.
The quarter ended with $3.5 million in total cash and short-term investments.
We completed the sale of our Richmond, Indiana, property following the end of the second quarter, resulting in a gain of approximately $250,000 to be reported during our third quarter.
Management Commentary
Gary Copperud, the Company’s Chief Executive Officer, stated: "We are pleased to report a profitable second quarter of 2025. The second quarter profit reflects the results of cost-reduction initiatives and operational improvements. While industry headwinds remain, including consumer price sensitivity and inflationary pressures, our results demonstrate progress in aligning expenses with revenue. As we previously announced, we are continuing to work with our investment banker in evaluating merger opportunities. Based on our review of opportunities available, we believe that completing a transaction accretive to shareholder value by the end of the year is a realistic target." Kenneth Brimmer, Chief Financial Officer, added: "The second quarter marked a return to profitability for BT Brands. We are continuing to improve restaurant-level performance and consider strategic asset sales contributing to overall profitability, and a favorable earnings trend that we expect to continue through the end of the year."
Fiscal 2025 Outlook
We anticipate maintaining profitability throughout the remainder of 2025. The outcome of merger discussions and possible asset sales cannot be assured. The Company, at this time, is not providing a detailed fiscal 2025 financial forecast.
About BT Brands, Inc.
BT Brands, Inc. (Nasdaq: BTBD and BTBDW) owns and operates a fast-food restaurant chain called Burger Time in North Dakota, South Dakota, and Minnesota. In addition, the Company owns and operates Pie In The Sky Coffee and Bakery in Woods Hole, Massachusetts, Keegan’s Seafood Grille near Clearwater, Florida, and Schnitzel Haus in Hobe Sound, Florida. The Company also owns a 40.7% interest in Bagger Dave’s Burger Tavern, Inc. (OTCMarkets: BDVB), which own six and operates five casual dining restaurants in Michigan, Indiana, and Ohio.
Cautionary Note Regarding Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will," and similar references to future periods. Examples of forward-looking statements include, among others, statements regarding guidance relating to net income and net income per share, expected operating results, such as revenue growth and earnings, and anticipated capital expenditures for fiscal 2025. Because of the uncertain nature of restaurant performance and the evolving character of our Company, and because of continuing uncertainty surrounding the overall economy, as consumers have become more price sensitive, and inflationary pressures relating to many aspects of our business, the Company is not at this point providing a financial forecast for fiscal 2025. Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
FINANCIAL RESULTS FOLLOW:
BT BRANDS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) | ||||||||||||||||
26 Weeks | 26 Weeks | 13 Weeks | 13 Weeks | |||||||||||||
June 29, | June 30, | June 29, | June 30, | |||||||||||||
SALES | $ | 7,010,763 | $ | 7,300,786 | $ | 3,779,690 | $ | 4,110,639 | ||||||||
COSTS AND EXPENSES | ||||||||||||||||
Restaurant operating expenses | ||||||||||||||||
Food and paper costs | 2,449,549 | 2,844,028 | 1,249,220 | 1,565,070 | ||||||||||||
Labor costs | 2,592,500 | 2,938,448 | 1,374,603 | 1,551,762 | ||||||||||||
Occupancy costs | 611,715 | 680,631 | 302,021 | 344,356 | ||||||||||||
Other operating expenses | 441,105 | 415,738 | 253,185 | 211,838 | ||||||||||||
Depreciation and amortization expenses | 301,120 | 331,893 | 144,725 | 171,351 | ||||||||||||
General and administrative expenses | 982,091 | 909,420 | 531,057 | 454,805 | ||||||||||||
Total costs and expenses | 7,378,080 | 8,120,158 | 3,854,811 | 4,299,182 | ||||||||||||
Loss from operations | (367,317 | ) | (819,372 | ) | (75,121 | ) | (188,543 | ) | ||||||||
UNREALIZED GAIN ON MARKETABLE SECURITIES | 38,104 | 232,947 | 82,128 | 118,184 | ||||||||||||
REALIZED INVESTMENT GAIN | 174,064 | 29,562 | 79,026 | 29,562 | ||||||||||||
INTEREST AND DIVIDEND INCOME | 80,967 | 136,750 | 40,367 | 61,896 | ||||||||||||
INTEREST EXPENSE | (41,104 | ) | (50,039 | ) | (19,550 | ) | (22,551 | ) | ||||||||
OTHER INCOME | 45,173 | - | 18,586 | - | ||||||||||||
EQUITY IN NET LOSS OF AFFILIATE | (204,705 | ) | (175,500 | ) | (70,405 | ) | (81,000 | ) | ||||||||
INCOME (LOSS) BEFORE TAXES | (274,818 | ) | (645,652 | ) | 55,031 | (82,452 | ) | |||||||||
INCOME TAX BENEFIT | - | 130,000 | - | 12,500 | ||||||||||||
NET INCOME (LOSS) | $ | (274,818 | ) | $ | (515,652 | ) | $ | 55,031 | $ | (69,952 | ) | |||||
NET INCOME (LOSS) PER COMMON SHARE | $ | (0.04 | ) | $ | (0.08 | ) | $ | 0.01 | $ | (0.01 | ) | |||||
SHARES USED IN PER SHARE AMOUNTS | 6,154,724 | 6,240,953 | 6,154,724 | 6,235,788 | ||||||||||||
BT BRANDS, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
(Unaudited) | ||||||||
June 29, | December 29, | |||||||
ASSETS | ||||||||
CURRENT ASSETS | ||||||||
Cash and cash equivalents | $ | 560,068 | $ | 1,951,415 | ||||
Marketable securities | 2,970,284 | 2,319,555 | ||||||
Receivables | 33,193 | 69,459 | ||||||
Demand notes receivable from related company | 692,357 | 120,000 | ||||||
Inventory | 539,475 | 272,603 | ||||||
Prepaid expenses and other current assets | 74,746 | 127,621 | ||||||
Assets held for sale | 682,894 | 258,751 | ||||||
Total current assets | 5,553,017 | 5,119,404 | ||||||
PROPERTY, EQUIPMENT AND LEASEHOLD IMPROVEMENTS, NET | 2,728,924 | 3,343,340 | ||||||
OPERATING LEASES RIGHT-OF-USE ASSETS | 1,383,235 | 1,724,052 | ||||||
EQUITY INVESTMENT IN UNCONSOLIDATED SUBSIDIARY | 99,734 | 304,439 | ||||||
EQUITY INVESTMENT IN RELATED COMPANY | 304,000 | 304,000 | ||||||
GOODWILL | 796,220 | 796,220 | ||||||
INTANGIBLE ASSETS, NET | 331,708 | 367,799 | ||||||
OTHER ASSETS, NET | 19,433 | 37,543 | ||||||
Total assets | $ | 11,216,271 | $ | 11,996,797 | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
CURRENT LIABILITIES | ||||||||
Accounts payable | $ | 434,375 | $ | 612,059 | ||||
Current maturities of long-term debt | 191,435 | 185,009 | ||||||
Current operating lease obligations | 186,607 | 274,511 | ||||||
Accrued expenses | 377,034 | 371,356 | ||||||
Total current liabilities | 1,189,451 | 1,442,935 | ||||||
LONG-TERM DEBT, LESS CURRENT PORTION | 1,992,334 | 2,091,335 | ||||||
NONCURRENT OPERATING LEASE OBLIGATIONS | 1,250,342 | 1,497,300 | ||||||
Total liabilities | 4,432,127 | 5,031,570 | ||||||
SHAREHOLDERS' EQUITY | ||||||||
Preferred stock, $.001 par value, no shares outstanding | - | - | ||||||
Common stock, $.002 par value, 50,000,000 authorized, 6,461,118 issued and 6,154,724 outstanding at June 29, 2025, 2025 and December 29, 2024 | 12,309 | 12,309 | ||||||
Less cost of shares held in Treasury | (499,718 | ) | (499,718 | ) | ||||
Additional paid-in capital | 11,907,470 | 11,813,735 | ||||||
Accumulated deficit | (4,635,917 | ) | (4,361,099 | ) | ||||
Total shareholders' equity | 6,784,144 | 6,965,227 | ||||||
Total liabilities and shareholders' equity | $ | 11,216,271 | $ | 11,996,797 | ||||
Category: Financial Category
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Contacts
KENNETH BRIMMER 612-229-8811