Chanticleer Holdings, Inc. (NASDAQ: BURG) (“Chanticleer,” or the
“Company”), owner, operator and franchisor of multiple branded
restaurants in the U.S. and abroad, today announced financial
results for the quarter ended September 30, 2019.
Financial Highlights for the Quarter
Ended September 30, 2019 and for the first nine months of
2019
- Revenue was $9.7 million in the
third quarter of 2019 compared with $10.1 million in the third
quarter of 2018. Revenue was $30.6 million in the first nine months
of 2019 compared with $30.5 million in the first nine months of
2018.
- Cost of sales as a percentage of
restaurant sales increased to 33.6% in the third quarter of 2019
compared to 33.1% in the third quarter of 2018. Cost of sales as a
percentage of restaurant sales was 33.5% in the first nine months
of 2019 compared with 33.3% in the first nine months of
2018.
- Operating loss was $4.2 million in
the third quarter of 2019 compared to $670,000 in the third quarter
of 2018. Operating loss was $8.9 million in the first nine months
of 2019 compared to $3.5 million in the first nine months of 2018.
These operating losses were primarily driven by non-cash impairment
charges related to closing underperforming ABC, BGR and one
domestic Hooters units in sub premium locations and selling assets,
eliminating deep discounting across all brands, streamlining
delivery processes while greatly reducing delivery costs, improving
employee benefits for all team members, partnering with legal and
other consulting costs to win a hard fought union campaign and
ramping up marketing spend around our new loyalty
platforms. The Company expects its investment in these
initiatives to drive operational improvements in the fourth quarter
of 2019 and 2020.
- Net loss attributable to Common
Shareholders was $3.9 million ($0.39 per share) in the third
quarter of 2019, compared to net loss of $1.3 million ($0.34 per
share) in the third quarter of 2018. For the first nine months of
2019, net loss attributable to Common Shareholders was $9.1 million
($1.54 per share) compared to $4.7 million ($1.35 per share) in the
first nine months of 2018.
- Non-GAAP Restaurant EBITDA was
$835,000 in the third quarter of 2019 compared to $919,000 in the
third quarter of 2018. Non-GAAP Restaurant EBITDA was $2.2 million
in the first nine months of 2019 compared to $3.2 million in the
first nine months of 2018. Non-GAAP Restaurant EBITDA improved over
10% in the third quarter of 2019 compared to the second quarter of
2019.
- During the first nine months of
2019, the Company opened three new Little Big Burger locations
along with the opening of a Little Big Burger in the concession
area of the Charlotte Motor Speedway. The Company plans on opening
another Little Big Burger location in late 2019 or early 2020
depending on construction timeframes.
Other Important Financial and
Operational Highlights post-September 30, 2019:
- On October 10, 2019, the Company
entered into a definitive Agreement and Plan of Merger (the “Merger
Agreement”) with Sonnet BioTherapeutics, Inc., a New Jersey
corporation (“Sonnet”), and Biosub Inc., a Delaware corporation and
wholly-owned subsidiary of Chanticleer (“Merger Sub”). Upon the
terms and subject to the satisfaction of the conditions described
in the Merger Agreement, including approval of the transaction by
Chanticleer’s shareholders and Sonnet’s shareholders, Merger Sub
will be merged with and into Sonnet (the “Merger”), with Sonnet
surviving the Merger as a wholly-owned subsidiary of Chanticleer.
The shareholders of Sonnet will become the majority owners of
Chanticleer’s outstanding common stock upon the closing of the
Merger. Additionally, as part of this transaction, Chanticleer will
spin-off its current restaurant operations, including all assets
and liabilities, into a newly created entity (the “Spin-Off
Entity”), the equity of which will be distributed out to the
current stockholders of Chanticleer. Terms of the Merger include a
payment of $6,000,000 to Chanticleer from Sonnet, a portion of
which is intended to repay certain of Chanticleer’s outstanding
indebtedness in conjunction with the spin-off of the existing
Chanticleer assets and liabilities. Although the spin-off entity
intends to eventually apply for listing of its shares on the Nasdaq
Stock Market, the new entity expects that it will need to initially
trade its shares on the OTC Market following the spin-off.Pursuant
to the Merger Agreement, each share of common stock of Sonnet, no
par value per share (other than Cancelled Shares (as defined in the
Merger Agreement) and Dissenting Shares (as defined in the Merger
Agreement)), issued and outstanding immediately prior to the
effective time of the Merger (the “Effective Time”) shall be
automatically converted into the right to receive an amount of
shares of common stock, par value $0.0001 per share, of Chanticleer
(“Chanticleer Common Stock”) equal to the Common Stock Exchange
Ratio (as defined in the Merger Agreement) (the “Merger
Consideration”). As a result, immediately following the Effective
Time, the former Sonnet shareholders will hold approximately 94% of
the outstanding shares of Chanticleer Common Stock and the
shareholders of Chanticleer will retain ownership of approximately
6% of the outstanding shares of Chanticleer Common Stock. In
addition, at the closing of the Merger, Chanticleer will issue to
the Spin-Off Entity a warrant to purchase that number of shares of
Chanticleer Common Stock equal to two percent (2%) of the
number of shares of issued and outstanding Chanticleer Common Stock
of Chanticleer at Closing. The Warrant will be a five-year warrant,
will have an exercise price of $0.01 per share and will not be
exercisable for 180 days following the Closing. Upon completion of
the Merger, Chanticleer will change its name to Sonnet
BioTherapeutics Holdings, Inc.
- On October 31, 2019, the Company
entered into a sale of business agreement for three of its South
Africa Hooters locations. The total purchase price was R5,700,000
(approximately $385,000). The net proceeds received by the Company
was approximately $170,000. The Company anticipates closing on the
sale of the remaining two South Africa Hooters locations by the end
of November 2019.
- On November 6, 2019, the Company
sold Just Fresh through the sale of 100% of the membership interest
of JF Restaurants, LLC. The purchase price was $500,000 with
$125,000 due at closing and the remaining $375,000 in the form of a
promissory note to be paid in full by December 31, 2019. The sale
agreement included the assumption of trade payables at the closing
date. The Company also entered into a Management Services Agreement
whereby the Company will continue to act as the manager of JF
Restaurants, LLC until the note is repaid in full. As manager, the
Company will be entitled to a management fee of 5% of the monthly
net cash flow from the operation of the restaurants.
Fred Glick, President of Chanticleer commented,
“During the third quarter, we streamlined operations to focus on
our core burger brand segments by selling off non-burger brand
locations and closing several unprofitable locations. As a result,
we incurred substantial impairment charges which impacted the third
quarter financial results. Several strategic initiatives, and the
accompanying ROI, were launched toward the end of the third quarter
and beginning of the fourth quarter instead of the original plan to
roll out in the early third quarter, which impacted operating
results. However, in the third quarter, we launched our loyalty app
for LBB and acquired over 30,000 loyalty members, helping drive
positive same store sales of 1.67% in October. We launched
loyalty apps for BGR and ABC brands in the early fourth
quarter. Other ongoing strategic initiatives include our
exclusive partnership with door dash, which continues to drive
off-premise volume. By year-end, we will offset delivery costs with
higher delivery menu pricing. We believe our Beyond burger
partnership is strong, as we sold over 50,000 Beyond burgers in
just over 4 months, representing over 5% of food sales at our
burger concepts.”
Glick continued, “Based on our marketing
segmentation results, our BGR and ABC brands have greatly enhanced
their menu offerings in the fourth quarter with the launch of three
new exclusive, sustainably raised, never ever burgers including:
Chipotle infused Bison Burger, Harissa infused Lamb Burger and
Truffle infused Wagyu Beef Burger, as well as upgrading several
quality cues, and a menu hike of approximately 5%. Initial
results and guest feedback have been extremely encouraging, as the
three burgers represent over 10% of BGR’s sales mix. Finally, we
are actively testing toast kiosks in all brands as we look for
technology accelerators to help offset increasing labor costs.”
Forward-Looking Statements
This press release contains forward-looking
statements based upon Chanticleer’s current expectations. This
communication contains “forward-looking statements” within the
meaning of the Private Securities Litigation Reform Act of 1995.
Chanticleer generally identifies forward-looking statements by
terminology such “may,” “should,” “expects,” “plans,”
“anticipates,” “could,” “intends,” “target,” “projects,”
“contemplates,” “believes,” “estimates,” “predicts,” “potential” or
“continue” or the negative of these terms or other similar words.
These statements are only predictions. Chanticleer has based these
forward-looking statements largely on their then-current
expectations and projections about future events and financial
trends as well as the beliefs and assumptions of management.
Forward-looking statements are subject to a
number of risks and uncertainties, many of which involve factors or
circumstances that are beyond Chanticleer’s control. Chanticleer’s
actual results could differ materially from those stated or implied
in forward-looking statements due to a number of factors, including
but not limited to: (i) risks associated with Chanticleer’s ability
to obtain the shareholder approval required to consummate the
proposed merger transaction and the timing of the closing of the
proposed merger transaction, including the risks that a condition
to closing would not be satisfied within the expected timeframe or
at all or that the closing of the proposed merger transaction will
not occur; (ii) the outcome of any legal proceedings that may be
instituted against the parties and others related to the Merger
Agreement; (iii) the occurrence of any event, change or other
circumstance or condition that could give rise to the termination
of the Merger Agreement, (iv) unanticipated difficulties or
expenditures relating to the proposed merger transaction, the
response of business partners and competitors to the announcement
of the proposed merger transaction, and/or potential difficulties
in employee retention as a result of the announcement and pendency
of the proposed merger transaction; and (v) those risks detailed in
Chanticleer’s most recent Annual Report on Form 10-K and subsequent
reports filed with the SEC, as well as other documents that may be
filed by Chanticleer from time to time with the SEC.
Accordingly, you should not rely upon
forward-looking statements as predictions of future events.
Chanticleer cannot assure you that the events and circumstances
reflected in the forward-looking statements will be achieved or
occur, and actual results could differ materially from those
projected in the forward-looking statements. The forward-looking
statements made in this communication relate only to events as of
the date on which the statements are made. Except as required by
applicable law or regulation, Chanticleer undertakes no obligation
to update any forward-looking statement to reflect events or
circumstances after the date on which the statement is made or to
reflect the occurrence of unanticipated events.
Additional Information about the Proposed Merger and
Where to Find It
In connection with the proposed Merger,
Chanticleer and Sonnet intend to file relevant materials with the
Securities and Exchange Commission, or the SEC, including a
registration statement on Form S-4 that will contain a prospectus
and a proxy statement. INVESTORS AND SECURITY HOLDERS OF
CHANTICLEER AND SONNET ARE URGED TO READ THESE MATERIALS WHEN THEY
BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION
ABOUT CHANTICLEER, SONNET AND THE PROPOSED MERGER. The proxy
statement, prospectus and other relevant materials (when they
become available), and any other documents filed by Chanticleer
with the SEC, may be obtained free of charge at the SEC website at
www.sec.gov. In addition, investors and security holders may obtain
free copies of the documents filed with the SEC by Chanticleer by
directing a written request to: Chanticleer Holdings, c/o Michael
D. Pruitt, Chief Executive Officer, 7621 Little Avenue, Suite 414,
Charlotte, NC 28226. Investors and security holders are urged to
read the proxy statement, prospectus and the other relevant
materials when they become available before making any voting or
investment decision with respect to the proposed Merger.
This press release shall not constitute an offer
to sell or the solicitation of an offer to sell or the solicitation
of an offer to buy any securities, nor shall there be any sale of
securities in any jurisdiction in which such offer, solicitation or
sale would be unlawful prior to registration or qualification under
the securities laws of any such jurisdiction. No offering of
securities in connection with the proposed Merger shall be made
except by means of a prospectus meeting the requirements of Section
10 of the Securities Act of 1933, as amended.
Participants in the Solicitation
Chanticleer and its directors and executive
officers and Sonnet and its directors and executive officers may be
deemed to be participants in the solicitation of proxies from the
shareholders of Chanticleer in connection with the proposed
transaction under the rules of the SEC. Information about the
directors and executive officers of Chanticleer and their ownership
of shares of Chanticleer’s Common Stock is set forth in its Annual
Report on Form 10-K for the year ended December 31, 2018, which was
filed with the SEC on April 1, 2019, and in subsequent documents
filed with the SEC, including the joint proxy statement/prospectus
referred to above. Additional information regarding the persons who
may be deemed participants in the proxy solicitations and a
description of their direct and indirect interests in the proposed
merger, by security holdings or otherwise, will also be included in
the joint prospectus/proxy statement and other relevant materials
to be filed with the SEC when they become available. These
documents are available free of charge at the SEC web site
(www.sec.gov) and from the Chief Executive Officer at Chanticleer
at the address described above.
Use of Non-GAAP Measures
Chanticleer Holdings, Inc. prepares its
condensed consolidated financial statements in accordance with
accounting principles generally accepted in the United States
(”GAAP”). In addition to disclosing financial results prepared in
accordance with GAAP, the Company discloses information regarding
Restaurant EBITDA, which differs from the term EBITDA, as it is
commonly used, which excludes taxes, interest, and depreciation and
amortization.
Restaurant EBITDA also excludes pre-opening and
closing costs of our restaurants, non-cash expenses, transaction
and severance related expenses, operating results of restaurants
closed during the period, other income and expenses, management fee
income, franchise revenue and general and administrative expenses.
Restaurant EBITDA is not a measure of performance defined in
accordance with GAAP. However, restaurant EBITDA is used internally
in planning and evaluating the company's operating performance and
by the Company’s creditors. Accordingly, management believes that
disclosure of this metric offers investors, bankers and other
stakeholders an additional view of the company's operations that,
when coupled with the GAAP results, provides a more complete
understanding of the Company's financial results.
Restaurant EBITDA should not be considered as an
alternative to net loss or to net cash flows from operating
activities as a measure of operating results or of liquidity. It
may not be comparable to similarly titled measures used by other
companies, and it excludes financial information that some may
consider important in evaluating the company's performance. A
reconciliation of GAAP operating income (loss) to Restaurant EBITDA
is included in the accompanying financial schedules.
For further information, please refer to
Chanticleer’s Quarterly Report on Form 10-Q to be filed with the
SEC on or about November 14, 2019, available online at
www.sec.gov.
About Chanticleer Holdings,
Inc.
Headquartered in Charlotte, NC, Chanticleer
Holdings (BURG), owns, operates and franchises fast casual and
full-service restaurant brands, including American Burger Company,
BGR – Burgers Grilled Right, Little Big Burger, Just Fresh and
Hooters.
Contact:
Investor Relations Jason
Assad678-570-6791Ja@chanticleerholdings.com
|
Chanticleer
Holdings, Inc. and Subsidiaries |
Condensed Consolidated Balance Sheets |
|
|
|
|
|
(Unaudited) |
|
|
|
September 30, 2019 |
|
December 31, 2018 |
ASSETS |
|
|
|
Current
assets: |
|
|
|
Cash |
$ |
637,291 |
|
|
$ |
629,871 |
|
Restricted cash |
|
336 |
|
|
|
335 |
|
Accounts and other receivables, net |
|
223,959 |
|
|
|
387,239 |
|
Inventories |
|
354,339 |
|
|
|
478,314 |
|
Prepaid expenses and other current assets |
|
342,960 |
|
|
|
179,377 |
|
Assets held for sale, net |
|
1,901,376 |
|
|
|
- |
|
TOTAL CURRENT ASSETS |
|
3,460,261 |
|
|
|
1,675,136 |
|
Property and equipment, net |
|
8,159,832 |
|
|
|
10,467,841 |
|
Operating lease assets |
|
14,524,463 |
|
|
|
- |
|
Goodwill |
|
10,498,631 |
|
|
|
11,280,465 |
|
Intangible assets, net |
|
4,479,905 |
|
|
|
5,123,159 |
|
Investments |
|
373,198 |
|
|
|
800,000 |
|
Deposits and other assets |
|
350,725 |
|
|
|
446,639 |
|
TOTAL ASSETS |
$ |
41,847,015 |
|
|
$ |
29,793,240 |
|
|
|
|
|
LIABILITIES AND EQUITY |
|
|
|
Current
liabilities: |
|
|
|
Accounts payable and accrued expenses |
$ |
7,431,723 |
|
|
$ |
7,386,506 |
|
Current maturities of long-term debt and notes payable |
|
6,682,365 |
|
|
|
3,740,101 |
|
Current maturities of convertible notes payable |
|
- |
|
|
|
3,000,000 |
|
Current operating lease liabilities |
|
3,240,833 |
|
|
|
- |
|
Due to related parties |
|
- |
|
|
|
185,726 |
|
Liabilities held for sale, net |
|
1,645,253 |
|
|
|
- |
|
TOTAL CURRENT LIABILITIES |
|
19,000,174 |
|
|
|
14,312,333 |
|
Long-term debt |
|
- |
|
|
|
3,000,000 |
|
Redeemable preferred stock: no par value, 62,876 shares issued and
outstanding, net of discount of $147,827 and $173,914,
respectively |
|
700,999 |
|
|
|
674,912 |
|
Deferred rent |
|
- |
|
|
|
2,297,199 |
|
Long-term operating lease liabilities |
|
15,909,551 |
|
|
|
- |
|
Deferred revenue |
|
983,488 |
|
|
|
1,174,506 |
|
Deferred tax liabilities |
|
119,915 |
|
|
|
76,765 |
|
TOTAL LIABILITIES |
|
36,714,127 |
|
|
|
21,535,715 |
|
Commitments
and contingencies (see Note 13) |
|
|
|
Equity: |
|
|
|
Preferred stock: no par value; authorized 5,000,000 shares; 62,876
issued and outstanding |
|
- |
|
|
|
- |
|
Common stock: $0.0001 par value; authorized 45,000,000 |
|
|
|
shares; issued and outstanding 10,043,143 and 3,715,444 |
|
|
|
shares, respectively |
|
1,005 |
|
|
|
373 |
|
Additional paid in capital |
|
71,222,012 |
|
|
|
64,756,903 |
|
Accumulated other comprehensive loss |
|
(391,869 |
) |
|
|
(202,115 |
) |
Accumulated deficit |
|
(66,183,302 |
) |
|
|
(57,124,673 |
) |
Total Chanticleer Holdings, Inc, Stockholders'
Equity |
|
4,647,846 |
|
|
|
7,430,488 |
|
Non-Controlling Interests |
|
485,042 |
|
|
|
827,037 |
|
TOTAL EQUITY |
|
5,132,888 |
|
|
|
8,257,525 |
|
TOTAL LIABILITIES AND EQUITY |
$ |
41,847,015 |
|
|
$ |
29,793,240 |
|
|
|
|
|
Chanticleer
Holdings, Inc. and Subsidiaries |
Condensed
Consolidated Statements of Operations (Unaudited) |
|
|
Three Months
Ended |
|
Nine Months
Ended |
|
September 30, 2019 |
|
September 30, 2018 |
|
September 30, 2019 |
|
September 30, 2018 |
Revenue: |
|
|
|
|
|
|
|
Restaurant sales, net |
$ |
9,414,626 |
|
|
$ |
9,848,302 |
|
|
$ |
29,703,172 |
|
|
$ |
29,802,969 |
|
Gaming income, net |
|
121,453 |
|
|
|
111,301 |
|
|
|
347,074 |
|
|
|
285,578 |
|
Management fee income |
|
- |
|
|
|
24,999 |
|
|
|
50,000 |
|
|
|
74,997 |
|
Franchise income |
|
117,361 |
|
|
|
113,798 |
|
|
|
461,737 |
|
|
|
330,295 |
|
Total revenue |
|
9,653,440 |
|
|
|
10,098,400 |
|
|
|
30,561,983 |
|
|
|
30,493,839 |
|
Expenses: |
|
|
|
|
|
|
|
Restaurant cost of sales |
|
3,161,379 |
|
|
|
3,259,223 |
|
|
|
9,954,144 |
|
|
|
9,912,091 |
|
Restaurant operating expenses |
|
5,858,495 |
|
|
|
5,781,284 |
|
|
|
18,846,454 |
|
|
|
17,008,047 |
|
Restaurant pre-opening and closing expenses |
|
125,000 |
|
|
|
113,000 |
|
|
|
267,888 |
|
|
|
312,652 |
|
General and administrative expenses |
|
1,572,774 |
|
|
|
1,092,529 |
|
|
|
4,784,791 |
|
|
|
3,407,612 |
|
Asset impairment charge |
|
2,637,969 |
|
|
|
- |
|
|
|
4,007,050 |
|
|
|
1,731,267 |
|
Depreciation and amortization |
|
531,265 |
|
|
|
523,680 |
|
|
|
1,627,682 |
|
|
|
1,594,673 |
|
Total expenses |
|
13,886,882 |
|
|
|
10,769,716 |
|
|
|
39,488,009 |
|
|
|
33,966,342 |
|
Operating loss |
|
(4,233,442 |
) |
|
|
(671,316 |
) |
|
|
(8,926,026 |
) |
|
|
(3,472,503 |
) |
Other expense |
|
|
|
|
|
|
|
Interest expense |
|
(162,845 |
) |
|
|
(630,223 |
) |
|
|
(542,135 |
) |
|
|
(1,895,162 |
) |
Other income (expense) |
|
109,805 |
|
|
|
(223,439 |
) |
|
|
(86,240 |
) |
|
|
(217,949 |
) |
Total other expense |
|
(53,040 |
) |
|
|
(853,662 |
) |
|
|
(628,375 |
) |
|
|
(2,113,111 |
) |
Loss before
income taxes |
|
(4,286,482 |
) |
|
|
(1,524,978 |
) |
|
|
(9,554,401 |
) |
|
|
(5,585,614 |
) |
Income tax benefit (expense) |
|
(4,803 |
) |
|
|
206,366 |
|
|
|
(61,213 |
) |
|
|
779,361 |
|
Consolidated net loss |
|
(4,291,285 |
) |
|
|
(1,318,612 |
) |
|
|
(9,615,614 |
) |
|
|
(4,806,253 |
) |
Less: Net loss attributable to non-controlling
interests |
|
406,544 |
|
|
|
80,737 |
|
|
|
641,002 |
|
|
|
210,484 |
|
Net
loss attributable to Chanticleer Holdings, Inc. |
$ |
(3,884,741 |
) |
|
$ |
(1,237,875 |
) |
|
$ |
(8,974,612 |
) |
|
$ |
(4,595,769 |
) |
Dividends on redeemable preferred stock |
|
(28,219 |
) |
|
|
(28,219 |
) |
|
|
(84,019 |
) |
|
|
(84,020 |
) |
Net loss attributable to common shareholders of Chanticleer
Holdings, Inc. |
$ |
(3,912,960 |
) |
|
$ |
(1,266,094 |
) |
|
$ |
(9,058,631 |
) |
|
$ |
(4,679,789 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
loss attributable to Chanticleer Holdings, Inc. per
common |
|
|
|
|
|
|
|
share, basic and diluted: |
$ |
(0.39 |
) |
|
$ |
(0.34 |
) |
|
$ |
(1.54 |
) |
|
$ |
(1.35 |
) |
Weighted
average shares outstanding, basic and diluted |
|
9,939,521 |
|
|
|
3,704,800 |
|
|
|
5,892,639 |
|
|
|
3,457,145 |
|
Chanticleer
Holdings, Inc. and Subsidiaries |
Condensed
Consolidated Statements of Cash Flows (Unaudited) |
|
|
Nine Months
Ended |
|
September 30, 2019 |
|
September 30, 2018 |
Cash
flows from operating activities: |
|
|
|
Net loss |
$ |
(9,615,614 |
) |
|
$ |
(4,806,253 |
) |
Adjustments
to reconcile net loss to net cash flows from operating
activities: |
|
|
|
Depreciation and amortization |
|
1,627,682 |
|
|
|
1,594,673 |
|
Amortization of operating lease assets |
|
1,330,137 |
|
|
|
- |
|
Asset impairment charges |
|
4,007,050 |
|
|
|
1,731,267 |
|
Write-off investment in HOA |
|
435,000 |
|
|
|
- |
|
Common stock and warrants issued for services |
|
24,507 |
|
|
|
129,767 |
|
Stock based compensation |
|
118,120 |
|
|
|
- |
|
(Gain) loss on investments |
|
(11,142 |
) |
|
|
45,932 |
|
Gain on tax settlements |
|
(265,996 |
) |
|
|
- |
|
Amortization of debt discount and discount on preferred stock |
|
26,087 |
|
|
|
893,873 |
|
Change in assets and liabilities: |
|
|
|
Accounts and other receivables |
|
104,357 |
|
|
|
114,007 |
|
Prepaid and other assets |
|
(177,591 |
) |
|
|
2,767 |
|
Inventory |
|
17,389 |
|
|
|
72,802 |
|
Accounts payable and accrued liabilities |
|
1,012,935 |
|
|
|
1,346,910 |
|
Change in amounts payable to related parties |
|
(185,726 |
) |
|
|
(624 |
) |
Deferred income taxes |
|
43,150 |
|
|
|
(779,359 |
) |
Operating lease liabilities |
|
(1,348,376 |
) |
|
|
- |
|
Deferred revenue |
|
(191,018 |
) |
|
|
(22,130 |
) |
Deferred rent |
|
- |
|
|
|
(54,307 |
) |
Net cash flows from operating activities |
|
(3,049,049 |
) |
|
|
269,325 |
|
|
|
|
|
Cash
flows from investing activities: |
|
|
|
Purchase of property and equipment |
|
(476,082 |
) |
|
|
(1,698,747 |
) |
Proceeds from tenant improvement allowances |
|
335,075 |
|
|
|
- |
|
Cash paid for acquisitions |
|
- |
|
|
|
(30,000 |
) |
Proceeds from rights offering, net |
|
2,694,530 |
|
|
|
- |
|
Proceeds from sale of assets |
|
173,977 |
|
|
|
- |
|
Net cash flows from investing activities |
|
2,727,500 |
|
|
|
(1,728,747 |
) |
|
|
|
|
Cash
flows from financing activities: |
|
|
|
Proceeds from sale of common stock and warrants |
|
- |
|
|
|
1,687,184 |
|
Loan proceeds |
|
386,051 |
|
|
|
- |
|
Loan repayments |
|
(547,036 |
) |
|
|
(270,579 |
) |
Distributions to non-controlling interest |
|
(61,186 |
) |
|
|
(101,163 |
) |
Contributions from non-controlling interest |
|
575,000 |
|
|
|
800,000 |
|
Net cash flows from financing activities |
|
352,829 |
|
|
|
2,115,442 |
|
Effect of exchange rate changes on cash |
|
(2,666 |
) |
|
|
3,091 |
|
Net
increase (decrease) in cash and restricted cash, including cash
classified within assets held for sale |
|
28,614 |
|
|
|
659,111 |
|
Less: Net increase in cash and restricted cash classified
within assets held for sale |
|
(21,193 |
) |
|
|
- |
|
Net
increase (decrease) in cash and restricted cash |
|
7,421 |
|
|
|
659,111 |
|
Cash
and restricted cash, beginning of period |
|
630,206 |
|
|
|
438,493 |
|
Cash
and restricted cash, end of period |
$ |
637,627 |
|
|
$ |
1,097,604 |
|
Chanticleer
Holdings, Inc. and Subsidiaries |
Reconciliation of Net Loss to EBITDA |
(Unaudited) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended |
|
Nine Months
Ended |
|
September 30, 2019 |
|
September 30, 2018 |
|
September 30, 2019 |
|
September 30, 2018 |
|
|
|
|
|
|
|
|
Operating loss |
$ |
(4,233,442 |
) |
|
$ |
(671,316 |
) |
|
$ |
(8,926,026 |
) |
|
$ |
(3,472,503 |
) |
General and administrative expenses |
|
1,572,774 |
|
|
|
1,092,529 |
|
|
|
4,784,791 |
|
|
|
3,407,612 |
|
Franchise revenues |
|
(117,361 |
) |
|
|
(113,798 |
) |
|
|
(461,737 |
) |
|
|
(330,295 |
) |
Management fee revenue |
|
- |
|
|
|
(24,999 |
) |
|
|
(50,000 |
) |
|
|
(74,997 |
) |
Depreciation and amortization |
|
531,265 |
|
|
|
523,680 |
|
|
|
1,627,682 |
|
|
|
1,594,673 |
|
Restaurant pre-opening and closing expenses |
|
125,000 |
|
|
|
113,000 |
|
|
|
267,888 |
|
|
|
312,652 |
|
Operating results of restaurants closed in period |
|
276,985 |
|
|
|
- |
|
|
|
705,841 |
|
|
|
- |
|
Additional non-cash expenses impacting operating results |
|
41,958 |
|
|
|
- |
|
|
|
233,083 |
|
|
|
- |
|
Asset impairment charge |
|
2,637,969 |
|
|
|
- |
|
|
|
4,007,050 |
|
|
|
1,731,267 |
|
Restaurant EBITDA |
$ |
835,148 |
|
|
$ |
919,096 |
|
|
$ |
2,188,572 |
|
|
$ |
3,168,409 |
|
|
|
|
|
|
|
|
|
Grafico Azioni Chanticleer (NASDAQ:BURG)
Storico
Da Mag 2024 a Giu 2024
Grafico Azioni Chanticleer (NASDAQ:BURG)
Storico
Da Giu 2023 a Giu 2024