Core Insights - BurgerFi International, Inc. reported a challenging first quarter for 2024, with a decrease in revenue and profitability attributed to a tough consumer environment and adverse weather conditions in key markets [3][6][8] - The company is focused on long-term growth and operational efficiency, implementing strategic initiatives to improve sales and margins [4][19] - Management anticipates a gradual recovery, with signs of improvement noted in March 2024 [3][4] Financial Performance - Total revenue for Q1 2024 was $42.9 million, down 6% from $45.7 million in Q1 2023 [6][8] - Systemwide restaurant sales decreased to $66.0 million, a 10% decline from $73.4 million in the prior year [5][6] - Same-store sales for Anthony's fell by 2%, while BurgerFi experienced a 12% decline in franchised locations and a 16% decline in corporate-owned locations [6][8] Operational Metrics - The company opened one new franchised location and one corporate-owned flagship restaurant in New York City during the first quarter [12][13] - As of April 1, 2024, BurgerFi operated a total of 162 restaurants, with 102 being BurgerFi and 60 being Anthony's [12][24] - The net loss for the quarter was $6.5 million, an improvement from a net loss of $9.2 million in the same quarter last year [10][36] Cost Management - Restaurant-level operating expenses for Q1 2024 were $35.9 million, slightly down from $36.1 million in Q1 2023 [9][39] - Operating expenses as a percentage of sales increased significantly for both brands, with Anthony's up 360 basis points and BurgerFi up 850 basis points compared to the previous year [9][41][42] Strategic Initiatives - The company is rolling out new inventory control systems and a new point-of-sale platform to enhance operational efficiency [4][19] - Management is committed to achieving low-single digit same-store sales growth for corporate-owned locations and plans to open 10-15 new restaurants in 2024 [19][24]
BurgerFi Reports First Quarter 2024 Results