Company Reports Q1 Revenue of $32.7M
Reports Q1 revenue $32.7M vs $36.333M last year. Ryan Zink, the Company's Chief Executive Officer, said, "I am pleased with our Same Store Sales this quarter, which marks meaningful improvement over our prior quarter. The first fiscal quarter included a traditional thirteen weeks this year, one fewer than last year's fourteen weeks. I am proud of our ability to generate similar Net Income, in light of the eight percent reduction in restaurant operating weeks resulting from the calendar shift, compared to the prior fiscal quarter. Restaurant level controls, including both cost of sales and cost of labor, have been the result of a heightened sense of cost containment and more aggressive negotiations with our vendor partners which is translating into increased profitability."
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- Financial Overview: Good Times Restaurants reported a Q1 GAAP EPS of $0.01, with revenue of $33.2 million reflecting an 8.6% year-over-year decline, indicating pressure in the competitive market.
- Net Income Status: The net income attributable to common shareholders was $0.1 million for the quarter, demonstrating the company's ability to maintain profitability despite declining revenues, though overall financial performance requires improvement.
- Adjusted EBITDA: The adjusted EBITDA stood at $1.4 million, a non-GAAP measure indicating some operational efficiency improvements, despite the challenges posed by revenue decline.
- Financial Position: At the end of the quarter, the company had $2.7 million in cash and $1.0 million in long-term debt, reflecting a solid liquidity management strategy, although the debt level warrants attention regarding its impact on future operations.
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- CME's Strong Performance: CME's stock has risen 25.3% over the past six months, far exceeding the securities and exchanges industry's -3.2%, with its diverse derivative product lines and stable global presence providing a solid foundation for future growth, despite rising technology costs posing margin pressures.
- Natural Health Trends Challenges: Natural Health Trends' stock has declined 24.3% in the past six months, primarily due to a decrease in active members leading to sales declines, although it maintains a strong gross margin and aims for $1.5 million in annual savings through restructuring efforts, demonstrating resilience in adversity.
- Sales Growth Trend: Despite ongoing negative comps, both Good Times and Bad Daddy's reported sequential improvement in same-store sales, with Ryan Zink noting a slight year-over-year increase in net income, indicating business resilience even with one less week in the fiscal calendar.
- Cost Control Effectiveness: Keri August highlighted that food and beverage costs decreased to 30.2%, a 130 basis point drop from last year, while menu price increases and cost controls improved margins, reflecting the company's adaptability in challenging conditions.
- Loyalty Program Enhancement: The newly launched loyalty program increased attachment rates from 3%-4% to over 7%, with top-performing restaurants exceeding 10%, which not only enhances customer loyalty but also lays a foundation for future sales growth.
- Future Outlook: Management expects continued improvement in same-store sales trends into Q2, planning a 1.1% menu price increase at Bad Daddy's, demonstrating the company's keen responsiveness to market dynamics and flexible pricing strategies.
- Earnings Performance: Good Times Restaurants reported a GAAP EPS of $0.02 for Q1, with revenue at $32.7 million, reflecting a 10% year-over-year decline, indicating resilience amidst market challenges.
- Stock Price Reaction: Following the earnings report, Good Times Restaurants' shares rose by 5.93%, demonstrating investor confidence in the company's future growth potential despite the revenue decline.
- Menu Price Adjustment: The company anticipates an average menu price increase of 1.7% at Bad Daddy's in Q1 2026 while targeting value promotions to attract customers and boost sales.
- Future Outlook: Despite the revenue drop in Q1, Good Times Restaurants is actively adjusting its strategies to respond to market changes, aiming to restore growth through price adjustments and promotional activities.

- Sales Weakness: Good Times Restaurants Inc. reported a net income of only $6 for FY 2025, reflecting a decline from the previous year and indicating overall sales weakness across both Bad Daddy's and Good Times brands, particularly in the Colorado market.
- Same Store Sales Improvement: Despite the overall sales decline, Bad Daddy's demonstrated greater resilience in markets outside Colorado, with same-store sales outperforming consolidated results by nearly 100 basis points for FY 2025, highlighting the brand's potential in other markets.
- Advertising Strategy Adjustment: The company is adjusting its advertising and promotional strategies, including launching a new branding campaign aimed at effectively reaching customers to drive improved traffic and sales at its restaurants.
- Optimistic Future Outlook: CEO Ryan M. Zink expressed optimism for FY 2026 performance despite the challenges faced in FY 2025, planning to enhance brand competitiveness by better understanding customer needs and swiftly adapting to meet them.








