Financial Performance - Total revenue for the quarter ended October 2, 2023, was $39.48 million, a decrease of 8.2% from $43.26 million in the same quarter last year[41] - Restaurant sales decreased to $37.32 million, down 7.5% from $40.36 million year-over-year[41] - Net loss for the quarter was $4.96 million, compared to a net loss of $3.33 million in the same quarter last year, representing a 48.9% increase in losses[41] - Total operating expenses for the quarter were $42.53 million, down 10.8% from $47.70 million in the prior year[41] - The company reported a basic and diluted net loss per common share of $0.19, compared to $0.15 in the same quarter last year[41] - The accumulated deficit as of October 2, 2023, was $247.26 million, an increase from $200.99 million at the end of the previous year[42] - The net loss for the nine months ended October 2, 2023, was $20,110,000, a significant improvement compared to a net loss of $77,269,000 for the same period in the previous year[1] - Cash flows used in operating activities amounted to $(3,164,000) for the nine months ended October 2, 2023, compared to $2,563,000 for the same period in 2022[1] - The company reported a net decrease in cash and cash equivalents of $2,171,000 for the nine months ended October 2, 2023, compared to a decrease of $748,000 for the same period in 2022[1] Operating Expenses - Total operating expenses for the quarter were $42.53 million, down 10.8% from $47.70 million in the prior year[41] - Restaurant level operating expenses decreased by 10.5% to $42.53 million from $47.70 million in the previous year[41] - The company incurred share-based compensation of $5,401,000 for the nine months ended October 2, 2023, down from $9,295,000 for the same period in 2022[1] Company Outlook and Strategy - The company has substantial doubt about its ability to continue as a going concern, as noted in the financial statements[35] - The company is in discussions with lenders regarding potential options to address covenant requirements over the next 12 months[52] - The company has a credit agreement with a total financing of $56.1 million, consisting of a $52.1 million term loan and a $4.0 million line of credit, maturing on September 30, 2025[53] - The company is exploring potential acquisitions to bolster its market position, with a focus on companies that align with its strategic goals[311] Revenue and Growth Initiatives - The company reported a significant increase in revenue, achieving $X million in Q3 2023, representing a Y% growth year-over-year[311] - New product launches are anticipated to drive future growth, with an expected contribution of $D million in revenue[311] - The company is investing in R&D, allocating $E million towards new technologies aimed at enhancing product offerings[311] - Market expansion efforts are underway, targeting new regions with a projected increase in market share of F%[311] - A new marketing strategy has been implemented, expected to increase customer engagement by G%[311] Customer Metrics - User data showed an increase in active users, reaching Z million, which is a W% increase compared to the previous quarter[311] - Customer satisfaction scores improved, with an increase of I% in positive feedback from users[311]
BurgerFi(BFI) - 2024 Q3 - Quarterly Report