Ark Restaurants: Announces Q4-2023 Financial Results

New York City / NY. (arc) Ark Restaurants Corporation reported financial results for the fourth quarter and fiscal year ended September 30, 2023. The Company’s fiscal year ends on the Saturday nearest September 30. The fiscal years ended September 30, 2023 and October 01, 2022 both included 52 weeks and the quarters ended September 30, 2023 and October 01, 2022 both included 13 weeks.

Total revenues for the 13 weeks ended September 30, 2023 were USD 44,400,000 versus USD 46,884,000 for the 13 weeks ended October 01, 2022.

Total revenues for the year ended September 30, 2023 were USD 184,793,000 versus USD 183,674,000 for the year ended October 01, 2022. As required by our lease, Gallagher’s Steakhouse at the New York-New York Hotel and Casino in Las Vegas, NV was substantially closed for renovation for the period from February 5, 2023 through April 27, 2023. Revenues for the period of closure were USD 1,026,000 as compared to USD 3,251,000 for the comparable prior period.

Company-wide same store sales decreased 4.7 percent for the 13-weeks ended September 30, 2023 as compared to the same period of last year. For the year ended September 30, 2023, company-wide same store sales, excluding Gallagher’s Steakhouse which was closed for part of the year, increased 1.4 percent as compared to last year.

The Company’s Ebitda, excluding a non-cash goodwill impairment charge in the amount of USD 10,000,000 (as explained below) and adjusted for other items all as set out in the table below, for the 13 weeks ended September 30, 2023 was USD 585,000 versus USD 2,352,000 for the 13 weeks ended October 01, 2022. Net loss attributable to Ark Restaurant Corp. for the 13 weeks ended September 30, 2023, which includes the goodwill impairment charge and related tax benefit, was USD (10,364,000) or USD (2.88) per basic and diluted share compared to net income of USD 762,000 or USD 0.21 per basic and diluted share, for the 13 weeks ended October 01, 2022. Ebitda is a Non-GAAP Financial Measure. Please see “Non-GAAP Financial Information” at the end of this news release.

The Company’s Ebitda, excluding the non-cash goodwill impairment charge of USD 10,000,000, gains on the forgiveness of Paycheck Protection Program Loans (the “PPP Loan Forgiveness”) and adjusted for other items all as set out in the table below, for the year ended September 30, 2023 was USD 9,266,000 versus USD 13,987,000 for the year ended October 01, 2022. Net loss attributable to Ark Restaurant Corp. for the year ended September 30, 2023, which includes the goodwill impairment charge and related tax benefit and PPP Loan Forgiveness of USD 272,000, was USD (5,928,000), or USD (1.65) per basic and diluted share, compared to net income of USD 9,281,000, which includes PPP Loan Forgiveness of USD 2,420,000, or USD 2.61 and USD 2.58 per basic and diluted share, respectively, for the year ended October 01, 2022. Ebitda is a Non-GAAP Financial Measure. Please see “Non-GAAP Financial Information” at the end of this news release.

As of September 30, 2023, the Company had cash and cash equivalents of USD 13,415,000 and total outstanding debt of USD 7,222,000.