Financial Performance - Net revenues for fiscal 2024 increased by 142,315,000 from 108,000 for fiscal 2024[33] - Same store sales increased by 2.9% in fiscal 2024 and 3.7% in fiscal 2023, with a compound annual growth rate of 4.4% from fiscal 2015 to 2024[47] - Good Times same store sales increased for fiscal 2024, primarily due to price increases, with a compound annual growth rate of approximately 4.4% over the past ten years[59] - Same store sales decreased by 1.2% at the Bad Daddy's brand during fiscal 2024[17] Cash and Debt Management - The company ended fiscal 2024 with 0.8 million in long-term debt[20] - As of September 24, 2024, the interest rate applicable to borrowings under the Cadence Credit Facility was 8.41%[29] - The Cadence Credit Facility allows for loans up to 7,490,000 of committed funds available under the Cadence Credit Facility, with 4,650,000 as of September 24, 2024[26] Restaurant Operations - Good Times operates 30 restaurants, having acquired one and closed one during fiscal 2024, while Bad Daddy's operates 39 locations, closing one during the same period[72] - The company operates 30 Good Times restaurants, with 28 located in Colorado[13] - The company owns and operates or licenses 40 Bad Daddy's restaurants across seven states[12] - Bad Daddy's Burger Bar offers a customizable menu with over sixty topping options for burgers and salads, enhancing customer experience[75] - Good Times Burgers & Frozen Custard focuses on fresh, all-natural ingredients, including beef from Meyer Natural Foods and chicken from Springer Mountain Farms[79] Growth Strategy - The company plans to pursue disciplined unit growth for Bad Daddy's, focusing on urban and suburban areas with median household incomes over $90,000[65] - The company aims to primarily grow the Bad Daddy's brand, focusing on contiguous expansion from existing restaurants to maximize brand awareness and operational efficiencies[56] - The company has identified potential new restaurant locations in the southeast U.S. market for Bad Daddy's, with a disciplined growth strategy[65] - Good Times does not have explicit plans for new restaurant development but may consider opportunistic growth in Colorado and surrounding states[68] Marketing and Customer Engagement - The marketing strategy for Bad Daddy's focuses on local store marketing and community events rather than traditional advertising, supplemented by social media investments[82] - Good Times focuses on driving same store sales by attracting new customers and increasing visit frequency, utilizing audio advertising and social media for brand awareness[84] - Customer feedback is gathered through various channels, including surveys and social media, to improve service execution[90] Operational Efficiency - The company aims to enhance operational capabilities while managing expenses, particularly in cost of sales and labor[62] - The company utilizes a cloud-based back-office solution for real-time sales, labor, and cash data collection, enhancing operational efficiency[99] - The company has implemented a new cloud-based point of sale system across all company-owned Good Times restaurants, with plans for Bad Daddy's in the next eighteen months[98] - The cloud-based back-office solution provides near real-time data on sales, labor, and inventory, interfacing with financial accounting systems for comprehensive reporting[99] Employee Management - As of September 24, 2024, the company had approximately 2,110 active employees, with 1,879 being hourly team members and 231 salaried managers or professional staff[102] - Managers undergo an eight-week training program and are closely supervised before managing independently, ensuring high standards in service and food preparation[91] - Good Times restaurants employ a general manager and up to four shift managers, with most management positions filled by promoting from within[88] - Bad Daddy's Burger Bar operates with a team of three to four managers per restaurant, each responsible for specific areas and participating in a bonus pool based on sales and operational objectives[86] Compliance and Regulations - The company is subject to various health, sanitation, safety, and fire regulations for its restaurants[108] - The company actively monitors franchise operations to ensure compliance with systems and procedures, advising on menu, management training, and marketing[97]
Good Times(GTIM) - 2024 Q4 - Annual Report