Financial Data and Key Metrics Changes - In Q2 2025, total revenue declined by 3.6%, with EBITDA and net profit decreasing by 1.6% and 3.8% respectively [27][28][33] - The EBITDA margin for Q2 was 41.6%, while the net profit margin was 30.4% [27][33] - For the first half of 2025, total revenue was down 4.6%, with a 5.3% decline in hospital operation revenue [30][33] Business Line Data and Key Metrics Changes - Revenue from non-Thai patients decreased by 6.6%, while Thai patient revenue slightly declined by 0.2% [27][30] - The outpatient service revenue contribution increased to 51% in the first half of 2025, up from 49% in the same period last year [31] - The government third-party contribution dropped to 14% from 18% in the first half of last year due to lower Middle East revenue [31] Market Data and Key Metrics Changes - Middle Eastern business showed strong growth, with Qatar up 18%, UAE up 46%, Oman up 28%, and Saudi Arabia up 54% [6][7] - The company experienced a decline in revenue from the Indo-China segment, particularly from Cambodia, which was offset by growth in Myanmar and Bangladesh [29][30] - The Chinese market saw a significant reduction in patient arrivals, down by over 30% to 40% year over year due to safety concerns [65][66] Company Strategy and Development Direction - The company is focusing on expanding its cancer care services and enhancing patient experience through new facilities and advanced technologies [88][92] - There is an emphasis on strengthening relationships with key stakeholders and third-party payers to drive growth [84] - The company aims to improve its market position by addressing governance issues and enhancing service quality for Kuwaiti patients [42][56] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for Q3 2025, expecting stronger performance compared to the first half of the year [18][26] - The company is cautiously optimistic about the return of Kuwaiti patients and the resolution of past payment issues [46][56] - Management highlighted the importance of addressing safety concerns to regain Chinese patient trust and increase medical tourism [66][70] Other Important Information - The company achieved recognition as one of the best specialized hospitals in Thailand across multiple specialties [77][78] - A successful disease screening campaign generated nearly 96 million baht in revenue within two months [80] - The company is actively investing excess cash into financial assets to capture higher interest income [34][35] Q&A Session Summary Question: What are the expectations for the Kuwaiti market? - Management indicated that discussions with Kuwaiti officials are ongoing, and there is cautious optimism about future collaborations and patient flow [46][56] Question: How is the company addressing the decline in Chinese patient arrivals? - The company is expanding its presence in China and engaging in targeted outreach to rebuild trust and increase referrals [66][70] Question: What are the key initiatives for cancer care expansion? - The company is focusing on comprehensive cancer care, integrating advanced technologies, and enhancing patient experience through new facilities [88][92]

Financial Data and Key Metrics Changes - The total revenue for Q2 2025 was 6,000 million baht, representing a decline of 3.6% year-over-year [26][27] - EBITDA margin reached a record high of 41.6%, while net profit margin was 30.4%, slightly up from 30.5% in the previous year [9][33] - EPS was reported at 40 baht, with a dividend payout ratio of 44% for the interim dividend, up from 41% the previous year [13] Business Line Data and Key Metrics Changes - Revenue from non-Thai patients decreased by 6.6%, while Thai patient revenue slightly declined by 0.2% [26][28] - The outpatient service revenue contribution increased to 51% from 49% in the first half of the previous year, while inpatient service revenue remained at 50% [31] - The MDA segment saw a significant decline of 12.4%, primarily from Qatar, Kuwait, and Oman, while the Indo-China segment increased by 0.4% [29][30] Market Data and Key Metrics Changes - Middle Eastern business showed strong growth, with Qatar up 18%, UAE up 46%, Oman up 28%, and Saudi Arabia up 54% [5][6] - The company experienced a decline in revenue from Chinese patients, with a drop of over 30% to 40% year-over-year due to safety concerns [65] - The Cambodian market is expected to stabilize, which could improve OPD footfalls and admissions in the future [66] Company Strategy and Development Direction - The company is focusing on expanding its cancer care services, recognizing the growing global cancer crisis and the need for comprehensive care [89][90] - Plans for a new cancer care facility are underway, aimed at enhancing patient experience and integrating advanced technologies [95] - The company is actively negotiating with the Kuwaiti government regarding patient payments and potential future collaborations [39][46] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for Q3 2025, expecting stronger performance compared to the first half of the year [16][25] - The company is cautiously optimistic about the return of Kuwaiti patients, emphasizing the importance of quality care and governance [46][60] - The geopolitical situation in Cambodia and China is impacting patient flow, but management is hopeful for recovery in these markets [66][70] Other Important Information - The company received recognition from Newsweek as one of the best specialized hospitals in Thailand, ranking number one in six out of nine specialties [79] - A successful disease screening campaign generated nearly 96 million baht in revenue within two months [82] - The company upgraded its robotic surgery capabilities, expanding to more specialties and training additional surgeons [84] Q&A Session Summary Question: What is the outlook for the Kuwaiti market? - Management indicated that discussions with Kuwaiti officials are ongoing, and there is cautious optimism about future patient flow and payments [39][46] Question: How is the company addressing the decline in Chinese patients? - The company is expanding its presence in China and engaging in online outreach to improve connections with potential patients [67][68] Question: What are the expectations for the second half of 2025? - Management expects stronger performance in the second half compared to the first half, driven by recovery in key markets [16][25]

Financial Performance - Bumrungrad Hospital Public Company Limited's total revenues decreased by 3.6% in 2Q25 compared to 2Q24 and decreased by 4.6% in 1H25 compared to 1H24 [26, 27] - Net profit also experienced a decrease of 3.8% in 2Q25 compared to 2Q24 and a decrease of 8.3% in 1H25 compared to 1H24 [26, 36] - The EBITDA margin reached a company record of 41.6% in 2Q25 [5, 26, 34] - Non-Thai patient revenue decreased by 6.6% in 2Q25 and 8.2% in 1H25 compared to the same periods in the previous year [14, 21, 46, 50] Revenue Analysis - Middle East market share revenue increased by 23% compared to Q1 2025, with notable growth in Qatar (18%), UAE (46%), Oman (28%), and Saudi Arabia (54%) [5] - Non-Thai revenue has shown a CAGR of +5.8% from Y2018 to Y2024 [7] - Middle East non-Thai revenue increased by 56.2% from Y2018 to Y2024, while non-Middle East non-Thai revenue increased by 31.7% during the same period [10] - Inpatient and outpatient services contributed roughly equally to revenues, with inpatient services accounting for 50% in 2Q25 and 49% in 1H25 [29] Business Updates and Developments - Bumrungrad International Hospital has been recognized in Newsweek's Best Specialized Hospitals Asia Pacific 2025 ranking across all 9 specialty fields [52] - The hospital has been approved for renewal of its Advanced Hospital Accreditation (Advanced HA) under the Hospital and Healthcare Standards, with a certification period from May 23, 2025 – May 22, 2029 [55, 56] - A new Bumrungrad Comprehensive Cancer Center is under development, expected to be completed in 2027, with the aim of expanding capacity and enhancing patient experience [78, 80, 105]

[Filing Information](index=1&type=section&id=Filing%20Information) This section details the registrant, report date, and registered common stock classes for the Form 8-K filing [Registrant and Filing Details](index=1&type=section&id=Registrant%20and%20Filing%20Details) This section provides the administrative details of the Form 8-K filing, identifying BIGLARI HOLDINGS INC. as the registrant, the report date, and the classes of common stock registered on the New York Stock Exchange - The registrant is **BIGLARI HOLDINGS INC.**, incorporated in Indiana[1](index=1&type=chunk) - The report date for the earliest event reported is **May 9, 2025**[1](index=1&type=chunk) Registered Common Stock Classes | Title of Each Class | Trading Symbol(s) | Name of Each Exchange on Which Registered | | :------------------ | :---------------- | :---------------------------------------- | | Class A common stock | BH.A | New York Stock Exchange | | Class B common stock | BH | New York Stock Exchange | [Current Report Items](index=2&type=section&id=Current%20Report%20Items) This section details the company's first-quarter financial results announcement and lists the accompanying exhibits [Item 2.02. Results of Operations and Financial Condition](index=2&type=section&id=Item%202.02.%20Results%20of%20Operations%20and%20Financial%20Condition) Biglari Holdings Inc. announced first-quarter financial results for the period ended March 31, 2025, through a furnished press release (Exhibit 99.1) incorporated by reference - **Biglari Holdings Inc.** issued a press release on **May 9, 2025**, announcing financial results for the first quarter ended **March 31, 2025**[4](index=4&type=chunk) - The press release (**Exhibit 99.1**) is incorporated by reference into this report[4](index=4&type=chunk) - The information in this Current Report, including the exhibit, is furnished and not deemed 'filed' for purposes of Section 18 of the Securities Exchange Act of 1934[5](index=5&type=chunk) [Item 9.01. Financial Statements and Exhibits](index=2&type=section&id=Item%209.01.%20Financial%20Statements%20and%20Exhibits) This section lists the exhibits included with the Form 8-K filing, specifically the press release detailing the first-quarter financial results and the interactive data file for the cover page Exhibits Included | Exhibit No. | Description | | :------------ | :---------------------------------------------------------- | | 99.1 | Press Release issued by the Company on May 9, 2025 | | 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | [SIGNATURE](index=3&type=section&id=SIGNATURE) This section confirms the formal signing of the Current Report on Form 8-K by the company's Controller [Report Signature](index=3&type=section&id=Report%20Signature) The Current Report on Form 8-K was formally signed on May 9, 2025, by **Bruce Lewis**, Controller of **BIGLARI HOLDINGS INC.**, confirming compliance with the Securities Exchange Act of 1934 - The Current Report was signed on **May 9, 2025**, by **Bruce Lewis**, Controller of **BIGLARI HOLDINGS INC.**[10](index=10&type=chunk) - The signing confirms compliance with the requirements of the Securities Exchange Act of 1934[9](index=9&type=chunk)

[Part I – Financial Information](index=4&type=section&id=Part%20I%20%E2%80%93%20Financial%20Information) [Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) Q1 2025 saw a net loss, reversing prior-year earnings, driven by investment partnership losses and a decline in total assets [Consolidated Balance Sheets](index=4&type=section&id=Consolidated%20Balance%20Sheets) Total assets decreased to **$829.1 million** in Q1 2025, primarily due to lower investment partnerships and shareholders' equity Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2025 | December 31, 2024 | Change | | :--- | :--- | :--- | :--- | | **Total Assets** | **$829,060** | **$866,133** | **($37,073)** | | Cash and cash equivalents | $28,664 | $30,709 | ($2,045) | | Investment partnerships | $169,135 | $201,727 | ($32,592) | | **Total Liabilities** | **$289,224** | **$293,172** | **($3,948)** | | **Total Shareholders' Equity** | **$539,836** | **$572,961** | **($33,125)** | [Consolidated Statements of Earnings](index=6&type=section&id=Consolidated%20Statements%20of%20Earnings) Q1 2025 net loss of **$33.3 million** reversed prior-year earnings, driven by a **$49.6 million** loss from investment partnerships Q1 2025 vs Q1 2024 Earnings (in thousands) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Total Revenues | $95,035 | $89,451 | | Investment partnership gains (losses) | $(49,592) | $21,985 | | Earnings (loss) before income taxes | $(41,183) | $29,395 | | **Net Earnings (Loss)** | **$(33,275)** | **$22,579** | | Net Earnings (Loss) per Class A share | $(126.40) | $79.56 | [Consolidated Statements of Cash Flows](index=8&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations decreased in Q1 2025, while investing activities used more cash, leading to a **$2.1 million** overall cash decrease Q1 Cash Flow Summary (in thousands) | Activity | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $15,795 | $19,125 | | Net cash used in investing activities | $(19,894) | $(11,242) | | Net cash provided by (used in) financing activities | $2,002 | $(1,403) | | **Increase (decrease) in cash** | **$(2,057)** | **$6,470** | [Notes to Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) Notes detail diverse business segments, the significant impact of investment partnerships, and the CEO's controlling voting interest - Biglari Holdings is a diversified holding company whose major investment and capital allocation decisions are centralized under its Chairman and CEO, Sardar Biglari[21](index=21&type=chunk)[22](index=22&type=chunk) - As of March 31, 2025, CEO Sardar Biglari beneficially owns shares representing approximately **74.3%** of the company's voting interest[23](index=23&type=chunk) Q1 2025 Investment Partnership Impact (in thousands) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Gains (losses) from investment partnerships | $(49,592) | $21,985 | | Contribution to net earnings | $(39,426) | $17,148 | - The oil and gas segment recorded a gain of **$9.3 million** in Q1 2025 from the sale of undeveloped reserves by Abraxas Petroleum, significantly boosting the segment's earnings[49](index=49&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=24&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the Q1 2025 net loss to a **$39.4 million** after-tax loss from investment partnerships, despite operating business earnings Disaggregated Net Earnings (Loss) - After Tax (in thousands) | Category | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Total operating businesses | $7,439 | $4,099 | | Investment partnership gains (losses) | $(39,426) | $17,148 | | Investment gains (losses) | $(1,288) | $1,332 | | **Net earnings (loss)** | **$(33,275)** | **$22,579** | [Restaurants](index=24&type=section&id=MD%26A%20Restaurants) Restaurant segment earnings fell to **$2.2 million** in Q1 2025, impacted by higher food costs and declining traffic despite sales growth - Steak n Shake's same-store sales increased by **3.9%** at company-operated units in Q1 2025, but customer traffic declined[114](index=114&type=chunk) - Cost of food as a percentage of net sales increased from **28.3%** to **30.0%** YoY, primarily because Steak n Shake changed its frying oil to **100%** beef tallow[118](index=118&type=chunk) - The total number of restaurants across all brands decreased by **4** units during Q1 2025, from **458** to **454**[111](index=111&type=chunk) [Insurance](index=27&type=section&id=MD%26A%20Insurance) Insurance segment earnings decreased to **$1.2 million** in Q1 2025, as Southern Pioneer's underwriting loss offset First Guard's gains Pre-tax Underwriting Gain (in thousands) | Segment | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | First Guard | $1,215 | $800 | | Southern Pioneer | $(502) | $59 | | **Total** | **$713** | **$859** | - Southern Pioneer's earned premiums increased by **29.4%** in Q1 2025, but its loss ratio also increased, leading to an underwriting loss[131](index=131&type=chunk) [Oil and Gas](index=29&type=section&id=MD%26A%20Oil%20and%20Gas) Oil and gas segment earnings surged to **$8.3 million** in Q1 2025, primarily due to a **$9.3 million** gain from property sales Oil and Gas Earnings Summary (in thousands) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Oil and gas revenues | $9,930 | $9,510 | | Gain on sale of properties | $9,323 | $481 | | **Contribution to net earnings** | **$8,298** | **$1,149** | - Abraxas Petroleum recorded a gain of **$9.3 million** from selling undeveloped reserves to an unaffiliated party[138](index=138&type=chunk) [Brand Licensing](index=31&type=section&id=MD%26A%20Brand%20Licensing) Brand licensing reported a stable net loss in Q1 2025, despite revenue growth to **$1.4 million** from a new digital contests venture - Licensing and media revenue increased significantly to **$1,407,000** in Q1 2025 from **$212,000** in Q1 2024, primarily due to a new digital contests venture[142](index=142&type=chunk) [Investment Gains and Investment Partnership Gains](index=31&type=section&id=MD%26A%20Investment%20Gains%20and%20Investment%20Partnership%20Gains) The company recorded a **$39.4 million** after-tax loss from investment partnerships in Q1 2025, causing significant earnings volatility Investment Partnership Contribution to Net Earnings (in thousands) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Investment partnership gains (losses) | $(49,592) | $21,985 | | **Contribution to net earnings** | **$(39,426)** | **$17,148** | - Management states that investment gains/losses are generally meaningless for analytical purposes in understanding reported quarterly results due to their volatility[147](index=147&type=chunk) [Financial Condition and Liquidity](index=32&type=section&id=MD%26A%20Financial%20Condition%20and%20Liquidity) The company maintains strong liquidity despite a decrease in cash and investments to **$304.5 million** and increased borrowings Consolidated Cash and Investments (in thousands) | Account | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $28,664 | $30,709 | | Investments | $106,667 | $102,975 | | **Carrying value of cash and investments** | **$304,466** | **$335,411** | - The company had net borrowings of **$3.4 million** on its lines of credit in Q1 2025[157](index=157&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=34&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) This item is not applicable for the current reporting period - Not applicable[164](index=164&type=chunk) [Controls and Procedures](index=34&type=section&id=Item%204.%20Controls%20and%20Procedures) Disclosure controls and procedures were ineffective as of March 31, 2025, due to un-remediated material weaknesses in internal control - The Chief Executive Officer and Principal Financial Officer concluded that disclosure controls and procedures were not effective as of March 31, 2025[165](index=165&type=chunk) - The ineffectiveness is due to material weaknesses previously identified in the Annual Report on Form 10-K for the year ended December 31, 2024[165](index=165&type=chunk) - Remediation efforts are ongoing, but the material weaknesses cannot be considered remediated until controls have operated effectively for a sufficient period[166](index=166&type=chunk) [Part II – Other Information](index=35&type=section&id=Part%20II%20%E2%80%93%20Other%20Information) [Legal Proceedings](index=35&type=section&id=Item%201.%20Legal%20Proceedings) The company believes that the ultimate liability from pending legal matters will not materially affect its financial position or results - The company believes that the ultimate liability from various legal proceedings and unresolved claims is not likely to have a material effect on its results of operations, financial position, or cash flow[87](index=87&type=chunk)[169](index=169&type=chunk) [Risk Factors](index=35&type=section&id=Item%201A.%20Risk%20Factors) No material changes to risk factors previously disclosed in the Form 10-K for the year ended December 31, 2024 - No material changes from the risk factors previously disclosed in the Form 10-K for the year ended December 31, 2024[170](index=170&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=35&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) No unregistered sales of equity securities or use of proceeds were reported during the period - None[171](index=171&type=chunk) [Exhibits](index=35&type=section&id=Item%206.%20Exhibits) The report includes required CEO and Controller certifications and Interactive Data Files (XBRL) - Exhibits filed include CEO and Controller certifications (31.01, 31.02, 32.01) and Interactive Data Files (101, 104)[175](index=175&type=chunk)

[Filing Information](index=1&type=section&id=Filing%20Information) This section provides essential details regarding the registrant, its securities, and regulatory compliance status [Registrant and Filing Details](index=1&type=section&id=Registrant%20and%20Filing%20Details) This section provides the core identification details for Biglari Holdings Inc. as the registrant, outlining its jurisdiction, contact information, and the specific filing date for this Form 8-K - The registrant is **BIGLARI HOLDINGS INC.**, incorporated in Indiana, with its principal executive offices at 19100 Ridgewood Parkway, Suite 1200, San Antonio, TX 78259[1](index=1&type=chunk) - The report date (date of earliest event reported) is **March 1, 2025**[1](index=1&type=chunk) - The registrant's telephone number is **(210) 344-3400**[1](index=1&type=chunk) [Securities and Regulatory Status](index=1&type=section&id=Securities%20and%20Regulatory%20Status) This part details the classes of common stock registered by Biglari Holdings Inc. on the New York Stock Exchange and confirms the company's status regarding emerging growth company regulations Registered Securities | Title of Each Class | Trading Symbol(s) | Name of Each Exchange on Which Registered | | :------------------ | :---------------- | :---------------------------------------- | | Class A common stock | BH.A | New York Stock Exchange | | Class B common stock | BH | New York Stock Exchange | - The registrant is not an emerging growth company[3](index=3&type=chunk) [Current Report Items](index=2&type=section&id=Current%20Report%20Items) This section details the specific events and disclosures reported in this Form 8-K, including financial results and regulatory filings [Item 2.02. Results of Operations and Financial Condition](index=2&type=section&id=Item%202.02.%20Results%20of%20Operations%20and%20Financial%20Condition) Biglari Holdings Inc. announced its financial results for the fourth quarter and full year ended December 31, 2024, through a press release issued on March 1, 2025. This press release is furnished as an exhibit to the Form 8-K, explicitly stating that the information is not deemed 'filed' for Section 18 purposes and will not be incorporated by reference into other filings unless expressly indicated - Biglari Holdings Inc. issued a press release on **March 1, 2025**, announcing its earnings for the fourth quarter and year ended December 31, 2024[4](index=4&type=chunk) - The press release is furnished as an exhibit to this Form 8-K and is not considered 'filed' under Section 18 of the Securities Exchange Act of 1934, nor is it incorporated by reference into other filings unless explicitly stated by the Company[5](index=5&type=chunk) [Item 7.01. Regulation FD Disclosure](index=2&type=section&id=Item%207.01.%20Regulation%20FD%20Disclosure) In compliance with Regulation FD, Biglari Holdings Inc. disclosed that its 2024 Annual Report to shareholders, which includes Sardar Biglari's annual letter, has been made publicly available on the company's website - The **2024 Annual Report** to shareholders, including Sardar Biglari's annual letter, has been posted on www.biglariholdings.com[6](index=6&type=chunk) [Item 9.01. Financial Statements and Exhibits](index=2&type=section&id=Item%209.01.%20Financial%20Statements%20and%20Exhibits) This section lists the specific exhibits accompanying the Form 8-K filing, which include the press release detailing the company's earnings and the interactive data file for the cover page Form 8-K Exhibits | Exhibit No. | Description | | :---------- | :---------- | | 99.1 | Press Release issued by the Company on March 1, 2025 | | 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | [SIGNATURE](index=3&type=section&id=SIGNATURE) This section formally authenticates the Form 8-K filing through the authorized signatory and date [Authorization and Signatory](index=3&type=section&id=Authorization%20and%20Signatory) The Current Report on Form 8-K was officially signed on March 1, 2025, by Bruce Lewis, Controller of Biglari Holdings Inc., affirming its compliance with the requirements of the Securities Exchange Act of 1934 - The Current Report on Form 8-K was signed on behalf of **BIGLARI HOLDINGS INC.** by **Bruce Lewis, Controller**, on **March 1, 2025**[10](index=10&type=chunk)[11](index=11&type=chunk)

Financial Performance - Net earnings attributable to Biglari Holdings Inc. shareholders for 2024 were $(3,759) thousand, a decrease from $54,948 thousand in 2023 [100]. - Total revenues for Biglari Holdings Inc. in 2024 were $362,114,000, a decrease of 0.6% from $365,318,000 in 2023 [198]. - The company reported a comprehensive loss of $4,113,000 in 2024, compared to a comprehensive income of $55,811,000 in 2023 [202]. - Net loss attributable to Biglari Holdings Inc. shareholders for 2024 was $3,759,000, compared to a net income of $54,948,000 in 2023 [198]. - The total operating businesses reported a net loss of $(3,759) thousand in 2024, compared to a profit of $39,162 thousand in 2023 [100]. Revenue Breakdown - Total revenue for the restaurant segment in 2024 was $251,447 thousand, slightly up from $250,857 thousand in 2023 [108]. - Net sales for the restaurant segment increased to $159,213 thousand in 2024, compared to $152,545 thousand in 2023, with same-store sales for Steak n Shake increasing by 6.4% [109]. - Restaurant operations generated revenues of $251,447,000 in 2024, slightly up from $250,857,000 in 2023 [198]. - Oil and gas revenue decreased to $36,945 million in 2024, down 18.1% from $45,071 million in 2023 [131]. - Licensing and media revenue fell to $1,029 million in 2024, a decrease of $1,089 million compared to $2,118 million in 2023 [141]. Expenses and Costs - The cost of food at company-operated units was $47,891 thousand, representing 30.1% of net sales in 2024, up from 29.5% in 2023 [114]. - General and administrative expenses increased to $47,130 thousand, or 18.7% of total revenue in 2024, compared to $44,120 thousand, or 17.6% in 2023 [115]. - The company recorded impairments to restaurant long-lived assets of $107 in 2024, down from $3,947 in 2023, showing a substantial decrease in impairment losses [272]. - The company recorded investment partnership gains of $41,058 thousand in 2024, a significant recovery from losses of $(19,440) thousand in 2023 [205]. Investments and Acquisitions - The company acquired the remaining 10% of Abraxas Petroleum for $5,387 thousand in 2023, following a 90% acquisition for $80,000 thousand in 2022 [98]. - The company made purchases of interests in limited partnerships totaling $(75,938) thousand in 2024, compared to $(45,030) thousand in 2023 [205]. - Investments increased to $102,975 in 2024 from $91,879 in 2023, marking a growth of approximately 12.9% [252]. Cash Flow and Liquidity - Total cash and investments increased to $789,950 in 2024 from $592,717 in 2023, with cash and cash equivalents rising to $30,709 from $28,066 [154]. - Net cash provided by operating activities decreased by $23,342 to $49,660 in 2024, attributed to a $15,511 decrease in cash from business operations [156]. - The company had net borrowings of $45,000 on its lines of credit in 2024, compared to net repayments of $10,000 in 2023 [158]. - The company continues to maintain significant liquidity, with a carrying value of cash and investments on the balance sheet of $335,411 as of December 31, 2024 [154]. Shareholder Equity and Liabilities - Consolidated shareholders' equity decreased by $26,369 to $572,961 as of December 31, 2024, primarily due to a net loss of $3,759 and a change in treasury stock of $22,256 [152]. - Total liabilities rose to $293,172,000 in 2024, up from $250,092,000 in 2023, indicating an increase of 17.3% [196]. - The company's total shareholders' equity at the end of 2024 was $572,961 thousand, down from $599,330 thousand at the end of 2023 [208]. Insurance and Underwriting - Underwriting gain for First Guard was $4,038 thousand in 2024, down from $9,492 thousand in 2023 [121]. - Insurance losses rose to $43,643 million in 2024, compared to $35,668 million in 2023, reflecting an increase of 22.4% [122]. - Pre-tax underwriting gain decreased to $4,438 million in 2024, down 47.5% from $8,454 million in 2023 [122]. Operational Metrics - The company operated 458 restaurants as of December 31, 2024, down from 492 in 2023 [105]. - Franchise partner fees decreased to $70,616 thousand in 2024 from $72,552 thousand in 2023, with a reduction in franchise partner units from 181 to 173 [111]. - The equivalent Class A common stock for earnings per share in 2024 was 279,381, down from 289,986 in 2023, reflecting a decline of approximately 3.7% [227].

Group 1 - Biglari Holdings has scheduled its 2025 Annual Shareholders Meeting for April 16, 2025, at 1:00 p.m. Central Time in San Antonio [1] - The meeting will take place at the Majestic Theatre [1] Group 2 - Biglari Holdings Inc. operates as a holding company with subsidiaries involved in various sectors, including property and casualty insurance, licensing and media, restaurants, and oil and gas [2]

Core Viewpoint - Cracker Barrel Old Country Store, Inc. is facing scrutiny regarding its capital spending plans, with conflicting statements from the company and Sardar Biglari, leading to concerns about transparency and oversight [1][2][3]. Financial Plans and Statements - Cracker Barrel claims it will spend $225 million to $325 million in incremental capital over the next three years, contrary to Biglari's assertion of a $600 million to $700 million plan [2]. - The company previously indicated a capital expenditure of approximately $600 million to $700 million for fiscal years 2025 to 2027, with annual breakdowns of $160 million to $180 million in fiscal 2025, $180 million to $220 million in fiscal 2026, and $260 million to $300 million in fiscal 2027 [2]. Historical Context - Cracker Barrel has mentioned investments in technology and tablets in its strategic plans since 2017, raising questions about the execution of these initiatives [2]. - The company has consistently projected capital expenditures to support its strategic plan, with a notable increase in spending anticipated in 2017 [2]. Board Oversight and Accountability - The current board members, Carl Berquist and Meg Crofton, are described as sources of stability, despite overseeing a nearly 70% decline in the company's stock value [3][4]. - There is a call for stockholders to choose between the incumbents and new candidates who may better facilitate a turnaround and ensure accountability [4]. Voting Recommendation - Stockholders are encouraged to vote for Milena Alberti-Perez and Sardar Biglari as they are viewed as better suited to drive the necessary changes within the company [5].

Core Insights - Cracker Barrel's preliminary Q1 2025 earnings announcement raises concerns about the company's direction and performance [1] - The adjusted EBITDA margin for Q1 2025 was 5.4%, which is 70 basis points lower than Q1 2023 and similar to Q1 2024, indicating that the transformation plan may not be effective [2] - Management did not change its FY 2025 guidance, expecting revenue and adjusted EBITDA to be similar to or lower than FY 2024, despite significant capital expenditures [3] - The Board's attempt to present a positive outlook contrasts with the unchanged guidance, reflecting a lack of confidence from analysts and investors regarding the $700 million transformation plan [3] - The Q1 2025 results highlight ongoing concerns and the urgent need for change, with shareholders urged to take action to protect their investments [4]