Award-Winning Senior Marketing Leader Joins High-Growth Specialty Casual Dining Company DALLAS, Texas, Oct. 08, 2025 (GLOBE NEWSWIRE) -- Twin Hospitality Group Inc. (“Twin Hospitality”) (Nasdaq: TWNP), the parent company of Twin Peaks and Smokey Bones, today announced the appointment of Melissa Fry as Chief Marketing Officer, effective immediately. Fry brings over 25 years of proven marketing expertise across the restaurant and hospitality industries, most recently serving as Senior Director of Marketing fo ...

Core Insights - Twin Hospitality Group Inc. has appointed Andrew Wiederhorn as Chairman of the Board of Directors, effective immediately [1][3] - The company was formed through a strategic spin-out from FAT Brands Inc., which separated the Twin Peaks and Smokey Bones restaurant brands into Twin Hospitality Group [2] - Wiederhorn expressed his commitment to enhancing operations and guest experience while aiming for sustained growth and strong returns for shareholders [3] Company Overview - Twin Hospitality Group Inc. is focused on developing and operating specialty casual dining restaurant concepts, aiming to redefine the casual dining category with experiential-driven brands [4]

Financial Data and Key Metrics Changes - Total revenues for Q2 2025 were $146.8 million, a 3.4% decrease from $152 million in the same quarter last year, primarily due to the closure of underperforming locations and lower same-store sales [25] - General and administrative expenses increased to $44.4 million from $29.6 million, largely due to non-cash share-based compensation related to the public listing of Twin Hospitality Group [25] - Net loss attributable to FAT Brands was $54.2 million or $3.17 per diluted share, compared to a net loss of $39.4 million or $2.43 per diluted share in the prior year quarter [26] Business Line Data and Key Metrics Changes - The closure of five underperforming Smoky Bones locations impacted revenue, while new Twin Peaks Lodges partially offset this decline [25] - Adjusted EBITDA for the quarter remained flat at $15.7 million, comparable to the previous year [26] - The snacks segment, including Great American Cookies and Marble Slab Creamery, showed consistent strength, with digital sales for Great American Cookies increasing to 25% of total sales [13][14] Market Data and Key Metrics Changes - Domestic system-wide sales outperformed international sales, although there were positive signs internationally, particularly for Fatburger locations in Canada [12][13] - The company operates approximately 2,300 locations across 49 states and 35 countries, with 80% in domestic markets and 20% internationally [7] Company Strategy and Development Direction - The growth strategy is anchored by three pillars: organic expansion, targeted acquisitions, and increasing manufacturing capacity, particularly in cookie dough production [14] - The company plans to open 100 new locations in 2025, with a robust development pipeline of approximately 1,000 locations committed by franchisees over the next five to seven years [15] - The company is also focusing on enhancing the guest experience through innovation and menu development, as well as revitalizing existing locations through a Store Refresh program [18][22] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future following the resolution of legal issues, which will save approximately $30 million annually in litigation costs [11][26] - There are encouraging signs of improved consumer confidence, particularly in the snack brands, while QSR brands face challenges [34][54] - The company is working towards achieving cash flow positive status in the coming quarters while continuing strategic deleveraging efforts [12][41] Other Important Information - The company has reached a settlement in the Delaware derivative cases, which is subject to court approval [6] - The Georgia production facility generated $10.3 million in sales with a 37% margin, currently operating at 45% capacity, indicating significant growth potential [21] Q&A Session Summary Question: Update on SEC civil action following DOJ announcement - Management is hopeful the SEC investigation will also conclude favorably following the DOJ case, and they have filed for recovery of legal fees through insurance [29][30] Question: Increase in G&A costs and future expectations - The increase in G&A costs is a one-time event related to the Twin Peaks spin-off, and costs are expected to decrease moving forward [30][31] Question: Timing for the rollout of the new manufacturing contract - The new manufacturing contract is currently in production and is expected to be fully rolled out within the next 30 to 60 days [32][33] Question: Observations on restaurant industry traffic - Different brand categories are experiencing varied performance, with snack brands performing well while QSR brands face challenges [34] Question: Current liquidity situation - The company has retained notes valued between $130 million and $150 million for liquidity, and is focused on identifying further savings across all brands [41][42]

Core Viewpoint - Twin Hospitality Group Inc. reported a decrease in total revenue for the fiscal second quarter of 2025, attributed to the closure of underperforming locations and lower same-store sales, while emphasizing a focused strategy for growth and operational improvement [2][6]. Financial Performance - Total revenue decreased by $3.7 million, or 4.1%, to $87.8 million compared to $91.6 million in the same period of 2024 [6][9]. - Loss from operations was $11.6 million, a decline from an income of $1.4 million in the previous year [9]. - Net loss increased to $20.8 million from $10.7 million year-over-year [9]. Cost Management - Food and beverage costs decreased by $1.4 million, or 6.1%, to $21.5 million, representing 27.1% of restaurant sales in 2025, compared to 27.4% in 2024 [7][9]. - Labor and benefits costs decreased by $1.1 million, or 4.3%, to $25.3 million, accounting for 31.8% of restaurant sales in 2025, compared to 31.6% in 2024 [8][9]. Operational Strategy - The company is focused on six priorities to enhance operations, including reducing complexity, improving cost discipline, and streamlining menu offerings [2]. - The development pipeline includes plans for new franchised locations, with a notable conversion from Smokey Bones to Twin Peaks expected to yield higher sales volumes [3]. Key Metrics - Twin Peaks same-store sales declined by 4.4%, while system-wide sales increased by 0.3% [9]. - Adjusted EBITDA for the quarter was $5.2 million, down from $7.0 million in the previous year [9][26].

Company Overview - FAT Brands Inc. is a global restaurant franchising company with a portfolio of 18 restaurant concepts and over 2,300 locations worldwide [2][3] - The company operates well-known brands such as Fatburger, Johnny Rockets, Round Table Pizza, and Twin Peaks [2][3] Legal Developments - The U.S. Attorney for the Central District of California has filed a motion to dismiss all charges against Andrew Wiederhorn and other defendants, asserting that there were no victims, losses, or crimes involved [1][2] - Andy Wiederhorn expressed gratitude towards the U.S. Attorney's Office for reviewing the case and emphasized the company's focus on growth following the dismissal of the indictment [2] Growth Prospects - With the legal matter resolved, FAT Brands is positioned for continued growth, with over 1,000 units in its development pipeline and approximately 120 signed development agreements year-to-date [2] - The company anticipates more than 100 new store openings within the current year, indicating a robust expansion strategy [2]

Group 1 - Twin Hospitality Group Inc. will host a conference call to review its second quarter 2025 financial results on July 30, 2025 at 5:15 PM ET [1] - A press release with the financial results will be issued prior to the conference call [1] - The conference call will be accessible via phone and will also be webcast live from the corporate website [2][3] Group 2 - Twin Hospitality Group Inc. operates the Twin Peaks and Smokey Bones restaurant brands, focusing on redefining the casual dining category [4] - Twin Peaks has 114 locations across 27 states and Mexico, known for its made-from-scratch food and sports bar atmosphere [4] - Smokey Bones operates 51 locations across 16 states, specializing in meat-centric dishes and a full bar [4]

Core Insights - Twin Hospitality Group Inc. reported a 5.4% decrease in total revenue for the fiscal first quarter of 2025, amounting to $87.1 million compared to $92.1 million in the same period of 2024, primarily due to lower same-store sales and the closure of one Smokey Bones location during its conversion to a Twin Peaks lodge [6][8] - The company achieved system-wide sales growth of 5% to $146.3 million, driven by new company-owned restaurants, despite industry-wide challenges [3][8] - Twin Peaks continues to focus on high-margin beverage sales, with alcohol accounting for nearly 50% of restaurant revenue [3] Financial Performance - The company experienced a net loss of $12.1 million in Q1 2025, compared to a net loss of $9.2 million in Q1 2024 [8][26] - Adjusted EBITDA decreased to $5.1 million from $7.1 million year-over-year [8][27] - Restaurant contribution margin fell to 11.2% from 13.6% in the previous year, with Twin Peaks at 16.9% and Smokey Bones at 4.4% [8][29] Operational Highlights - Twin Peaks opened two new lodges, including a second Smokey Bones conversion in Brandon, Florida, and a franchised location in Algonquin, Illinois, bringing the total to 116 locations [3][8] - The company plans to open three to four new units this year, with a robust development pipeline consisting of 100 franchise agreements [3][8] - Labor and benefits costs decreased by 5.1% to $25.3 million, while food and beverage costs decreased by 5.2% to $21.2 million [7][9] Marketing and Advertising - Advertising expenses decreased by 14.9% to $5.1 million, primarily due to lower marketing spend for Smokey Bones [10]

Group 1 - Twin Hospitality Group Inc. will host a conference call to review its first quarter 2025 financial results on May 8, 2025, at 6:00 PM ET [1] - A press release with the financial results will be issued prior to the conference call [1] - The call will be hosted by Ken Kuick, Interim Chief Executive Officer and Chief Financial Officer [2] Group 2 - The conference call can be accessed live via phone or webcast, with a replay available after the call [2][3] - Twin Hospitality operates the Twin Peaks and Smokey Bones restaurant brands, focusing on redefining the casual dining category [4] - Twin Peaks has approximately 116 locations across 27 states and Mexico, known for its made-from-scratch food and sports bar atmosphere [4]