FAT Brands Inc (FATAV) 2023 Q4 法說會逐字稿

Good afternoon, ladies and gentlemen, and thank you for standing by, and welcome to the FAT Brands Inc. fourth quarter and fiscal year 2023 earnings conference call.

女士們、先生們，下午好，感謝大家的支持，歡迎參加 FAT Brands Inc. 第四季和 2023 財年財報電話會議。

At this time, all participants have been placed in a listen only mode.

此時，所有參與者均已置於僅聽模式。

Please note that this conference is being recorded today, March seventh, 2024 on the call from FAT Brands are Chairman of the Board, Andy Wiederhorn, and Co-Chief Executive Officer and Chief Financial Officer.

請注意，本次會議是在 FAT Brands 董事會主席 Andy Wiederhorn 以及聯合執行長兼財務長的電話會議上於今天（2024 年 3 月 7 日）錄製的。

Ken kick this afternoon.

今天下午肯踢球。

The Company has made its fourth quarter and fiscal year 2023 financial results publicly available, please refer to the earnings release and earnings supplement, both of which are available in the Investors section of the company's website.

本公司已公開其第四季度和 2023 財年的財務業績，請參閱收益發布和收益補充，兩者均可在公司網站的投資者部分獲取。

At w. w. w. dot FAT Brands.com. Each contains additional details about the fourth quarter and fiscal year, which closed on December 31st, 2023.

在 w。 w。 w。點 FAT Brands.com。每份報告都包含有關截至 2023 年 12 月 31 日的第四季度和財年的更多詳細資訊。

But before we begin today, I must remind everyone that part of the discussion today will include forward-looking statements and these forward-looking statements are not guarantees of future performance and therefore, undue reliance should not be placed upon them.

但在今天開始之前，我必須提醒大家，今天討論的部分內容將包括前瞻性陳述，這些前瞻性陳述並不能保證未來的業績，因此，不應過分依賴它們。

Actual results may differ materially from those indicated by these forward-looking statements due to a number of risks and uncertainties.

由於存在許多風險和不確定性，實際結果可能與這些前瞻性陳述所示的結果有重大差異。

The Company does not undertake any does not undertake to update these forward-looking statements at a later date.

該公司不承擔任何責任，也不承諾日後更新這些前瞻性陳述。

For a more detailed discussion of the risks that could impact future operating results and financial condition, please see today's earnings release and recent SEC filings.

有關可能影響未來經營業績和財務狀況的風險的更詳細討論，請參閱今天的收益報告和最近向 SEC 提交的文件。

During today's call, the company will also discuss non-GAAP financial measures, which it believes can be useful in evaluating its performance in the presentation of this additional information should not be considered in isolation nor as a substitute for results prepared in accordance with GAAP and reconciliations to comparable GAAP measures are available in today's earnings release.

在今天的電話會議上，該公司還將討論非公認會計原則財務指標，該公司認為這些指標有助於評估其業績，在介紹這些附加資訊時不應孤立地考慮，也不應將其視為根據公認會計原則和準備的結果的替代品。

I would now like to turn the conference over to Mr. Andy Wiederhorn, Chairman of the Board.

我現在將會議交給董事會主席 Andy Wiederhorn 先生。

You may begin, sir.

您可以開始了，先生。

Good afternoon, and thank you for joining us.

下午好，感謝您加入我們。

I would like to express my gratitude to our teams, franchisees and their employees for their dedication and hard work.

我要對我們的團隊、加盟商及其員工的奉獻和辛勤工作表示感謝。

In 2023, their collective efforts have been key in that brand's continued growth.

2023 年，他們的集體努力是品牌持續成長的關鍵。

The Company has expanded tenfold over the last three years by assembling a portfolio of 18 concepts with over 2,300 locations across more than 40 countries and 49 states coming off a record 2022.

到 2022 年，該公司在 40 多個國家和 49 個州的 2,300 多個地點組成了由 18 個概念組成的產品組合，規模擴大了十倍。

We are proud to have generated another year of strong growth.

我們很自豪又實現了強勁成長的一年。

During 2023, we grew total revenue over 18% to 480.5 million from 407.2 million in the prior year.

2023 年，我們的總收入成長了 18% 以上，從去年的 4.072 億美元增至 4.805 億美元。

System-wide sales increased 6.9% to 2.3 billion.

全系統銷售額成長 6.9%，達到 23 億美元。

We leveraged this strong top line growth into a nearly 3% increase in adjusted EBITDA ending 2023 with $91.2 million in adjusted EBITDA, up from 88.9 million in 2022.

我們利用這一強勁的營收成長，使 2023 年末調整後 EBITDA 成長了近 3%，調整後 EBITDA 達到 9,120 萬美元，高於 2022 年的 8,890 萬美元。

Looking specifically to our fourth quarter, we grew total revenue 52.8% to 158.6 million compared to $103.8 million in the prior year fourth quarter.

具體來看第四季度，我們的總營收成長了 52.8%，達到 1.586 億美元，而去年第四季的總營收為 1.038 億美元。

The increase was driven by a 10.4% increase in royalties, an 80.5% increase in company-owned restaurant revenues and a 10% increase in revenues from our manufacturing facility.

這一增長是由特許權使用費增長 10.4%、公司自有餐廳收入增長 80.5% 以及製造工廠收入增長 10% 推動的。

System-wide sales in the fourth quarter grew to $626.7 million, a 16.5% increase when compared to the prior year quarter.

第四季全系統銷售額成長至 6.267 億美元，比去年同期成長 16.5%。

On profitability, fourth quarter adjusted EBITDA was $27 million compared to 19.6 million in last year's quarter throughout 2023, we focused on moving forward our three strategic pillars, organic growth growth by acquisition and increasing the capacity utilization of our Georgia based manufacturing facility.

在獲利能力方面，第四季度調整後的EBITDA 為2,700 萬美元，而去年同期為1,960 萬美元，整個2023 年我們專注於推進三大戰略支柱，即透過收購實現有機成長，並提高喬治亞州製造工廠的產能利用率。

Let me give you some specifics, beginning with the organic growth in 2023, we opened a total of 125 new units, including 29 that opened in Q4 looking ahead, we project to open at least another 125 new units in 2024 throughout 2023.

讓我給你一些具體細節，從2023 年的有機成長開始，我們總共開設了125 個新單位，其中包括第四季度開設的29 個，展望未來，我們預計在2024 年整個2023 年將至少再開設125 個新單位。

We also signed development deals representing over 225 new franchise locations, which brings our total development pipeline to more than 1,100 unit once opened.

我們還簽署了代表超過 225 個新特許經營地點的開發協議，這使得我們的開發項目總數在開業後達到 1,100 多個。

This pipeline is estimated to increase our adjusted EBITDA by approximately 60 million, which will naturally delever our balance sheet over time.

該管道預計將使我們的調整後 EBITDA 增加約 6000 萬美元，隨著時間的推移，這自然會降低我們的資產負債表。

Throughout the year, we celebrated many significant milestones within our portfolio of brands, including the one hundredth location of our fastest growing brand 20 x 400 location of Great American Cookies, bringing our iconic brands to new and strategic growth markets, including round table pizzas, first location in Houston, Twin Peaks first locations in Jacksonville, Florida, Columbus, Ohio and Chattanooga, Tennessee, Great American Cookies, first locations in Arizona, Alaska and Illinois for, as always, highly anticipated return to the Phoenix and Orlando markets and fabric has returned to Tampa and Chicago.

在這一年裡，我們慶祝了品牌組合中的許多重要里程碑，包括我們成長最快的品牌20 x 400 Great American Cookies 開設了第一百家門市，將我們的標誌性品牌帶入新的策略成長市場，包括圓桌披薩、休士頓、雙峰的第一家分店佛羅裡達州傑克遜維爾、俄亥俄州哥倫布和田納西州查塔努加的第一家分店Great American Cookies、亞利桑那州、阿拉斯加州和伊利諾伊州的第一家分店，一如既往地備受期待地重返鳳凰城和奧蘭多市場和布料已返回坦帕和芝加哥。

When looking at our organic growth, we are particularly focused on our polished casual segment, which consists of our 20s and Smokey Bones concepts, Wendy's restaurants produce category leading AUVs of around 6 million, some of our highest volume locations in Florida, generating AUVs between nine and 13 million.

在考慮我們的有機成長時，我們特別關注我們的精緻休閒細分市場，其中包括我們的20 年代和Smokey Bones 概念，Wendy's 餐廳生產約600 萬個同類領先的AUV，這是我們在佛羅裡達州產量最高的一些地點，在九和一千三百萬。

They're highly profitable restaurants with an elevated food and beverage program that far surpasses anything else in its category.

他們是利潤豐厚的餐廳，其食品和飲料計劃遠遠超過同類餐廳。

During 2023, Twin Peaks opened 14 new lodges, ending the year with 109 locations across the United States and Mexico.

2023 年期間，Twin Peaks 新開設了 14 家旅館，到年底在美國和墨西哥開設了 109 家旅館。

Looking ahead, Twin Peaks is focused on opening its next 100 plus restaurants with 20 plus locations tentatively set to open in 2024 year to date we have opened three new restaurants, including one coming up this Monday, bringing the total to 112 up from 83 units.

展望未來，Twin Peaks 的重點是開設接下來的100 多家餐廳，其中20 多家餐廳暫定於2024 年開業。使餐廳總數從83 家增加到112 家。

We purchased the brand just 2.5 years ago, 26 new unit pipeline is healthy with over 125 new franchise deals signed, paid and committed to be built in the next five years the planned unit expansion is expected to grow Twin Peaks system-wide sales to approximately $1 billion and increase the mix of franchise locations to between 75% and 80% as you may recall, we acquired Smokey Bones last October to help capitalize on the rapid growth of Twin Peaks.

我們僅在2.5 年前購買了該品牌，26 個新單位管道狀況良好，簽署、支付並承諾在未來五年內建造超過125 個新特許經營協議，計劃中的單位擴建預計將使Twin Peaks 系統範圍內的銷售額成長到約您可能還記得，我們​​斥資 10 億美元將特許經營地點組合增加到 75% 到 80%，去年 10 月收購了 Smokey Bones，以幫助利用 Twin Peaks 的快速成長。

We've identified a number of current Smokey Bones units to convert to Twin Peaks.

我們已經確定了一些目前的煙熏骨頭單位可以轉換為雙峰單位。

This conversion process allows us to open restaurants much quicker compared to the 2.5 years needed to build a new Twin Peaks from the ground up and which produces higher unit sales volumes as a twin peaks compared to smoking.

與從頭開始建造新的雙峰餐廳所需的 2.5 年相比，這一轉變過程使我們能夠更快地開設餐廳，並且與吸煙相比，雙峰餐廳的單位銷量更高。

Several of these converted units will open this year with the majority of them opening in 2025 and 2026 as both franchised and corporate locations. 26 has a strong management team, led by CEO.

其中一些經過改造的單位將於今年開業，其中大多數將於 2025 年和 2026 年作為特許經營店和企業店開業。 26擁有一支由執行長領導的強大管理團隊。

J O Hambro as a result of the concepts, industry-leading economics and strong pipeline of profitable growth.

J O Hambro 憑藉其理念、領先業界的經濟性和強勁的獲利成長管道。

And as we have previously announced last year, we plan to take 26 pubs, the timing and the size of the transaction subject to market conditions and other factors.

正如我們之前在去年宣布的那樣，我們計劃收購26家酒吧，交易的時間和規模要視市場情況和其他因素而定。

We view an IPO or any alternative transaction as an opportunity to monetize the business for the benefit of that shareholders.

我們將首次公開募股或任何替代交易視為將業務貨幣化以造福股東的機會。

Our priority is to use some of the proceeds from any transaction we might pursue to pay down debt.

我們的首要任務是使用我們可能尋求的任何交易的部分收益來償還債務。

Additionally, we plan to refinance our 20 securitization facility later this year, as well as our facilities and native Grill & Wings facility.

此外，我們計劃在今年稍後為我們的 20 項證券化設施以及我們的設施和本地 Grill & Wings 設施進行再融資。

Next co-branding that remains another vehicle for organic growth for us.

下一個聯合品牌仍然是我們有機成長的另一個工具。

We began co-branding over 10 years ago when we first paired Fabrica and Buffalo's Express.

十多年前，當我們第一次將 Fabrica 和 Buffalo's Express 配對時，我們就開始了聯合品牌。

Today, there are over 200 co-branded locations in our portfolio with the majority of them being fat Burger and Buffalo's Express on one hand and Marble Slab creamy and Great American Cookies on the other in 2023, we debuted our first co-branded fat Burger and round table pizza in Texas with many more expected to open across the US.

如今，我們的產品組合中有超過 200 家聯名店，其中大部分是 Fat Burger 和 Buffalo's Express，另外還有 Marble Slab Creamy 和 Great American Cookies。斯州的圓桌披薩店預計將在美國各地開幕。

Co-branding is a great model from both a menu and margin perspective and produces an incremental sales lift of 10% to 20% from the franchisees' perspective, adding another concept in the same space cost significantly less than what it would be to open on its own.

從菜單和利潤的角度來看，聯合品牌是一個很好的模式，從特許經營商的角度來看，它可以帶來10% 到20% 的增量銷售提升，在相同的空間中添加另一個概念的成本大大低於開設的成本它自己的。

As a result, our franchisees see great return with co-branding, and we will continue to roll out new options in the years to come.

因此，我們的特許經營商透過聯名品牌獲得了巨大的回報，我們將在未來幾年繼續推出新的選擇。

We also announced a slew of new development deals in Texas, which continues to be a key growth market for the FAT Brands.

我們還在德克薩斯州宣布了一系列新的開發交易，該州仍然是 FAT 品牌的主要成長市場。

Portfolio deals will bring 10 co-branded Great American Cookies and Marble Slab Creamery to Texas and six additional fabrication locations across the state over the next five years.

未來五年，投資組合交易將在德州開設 10 家 Great American Cookies 和 Marble Slab Creamery 聯名工廠，並在全州新增 6 個生產基地。

Moving on to our second strategic pillar growth through acquisitions in Q4 we acquired Smokey Bones, which is now that second strongest concept by AV with a current NAV of 3 million to date, Smokey Bones operates 61 company-owned locations across 16 states we expect smoking bans to increase annual adjusted EBITDA by approximately $10 million net of conversion, adding a strong player in the barbecue space to our portfolio like Smokey Bones gives our sales team more options to offer franchise partners so they can further their new unit growth.

透過第四季度的收購繼續實現我們的第二個策略支柱成長，我們收購了Smokey Bones，這是目前AV 的第二大概念，目前的資產淨值為300 萬美元，Smokey Bones 在16 個州經營著61 個公司擁有的地點，我們預計吸煙禁止將每年調整後的EBITDA 增加約1000 萬美元（扣除轉換後），在我們的產品組合中添加燒烤領域的強大參與者（如Smokey Bones），為我們的銷售團隊提供更多選擇，為特許經營合作夥伴提供更多選擇，以便他們能夠進一步推動新單位的成長。

A number of franchisees have already expressed interest in acquiring existing Smokey Bones, corporate stores as franchisees so that they can grow their portfolio of restaurants all under the FAT Brands umbrella.

許多特許經營商已經表示有興趣作為特許經營商收購現有的 Smokey Bones 企業商店，以便他們能夠在 FAT Brands 的保護下擴大其餐廳組合。

While we are on track to convert some of the 61 Smokey Bones locations to Twin Peaks.

我們正計劃將 61 個 Smokey Bones 地點中的一些地點改建為 Twin Peaks。

Our development team is also working hard to grow the concept through our franchisee model.

我們的開發團隊也在努力透過我們的特許經營模式來發展這個概念。

We ultimately plan to build Smokey Bones back to the location count it once had, which was roughly 120 units.

我們最終計劃將 Smokey Bones 恢復到原來的位置數量，大約 120 個單元。

Looking ahead, as we continue to assess potential targets for acquisition, our focus remains on identifying strategic and EBITDA accretive opportunities with brands that have demonstrated long-term sustainability and robust profitability.

展望未來，隨著我們繼續評估潛在收購目標，我們的重點仍然是尋找具有長期可持續性和強勁盈利能力的品牌的策略和 EBITDA 增值機會。

We are also interested in categories we currently do not operate in to round out our portfolio such as salads, sandwich or coffee brands acquisition targets must be both scalable and synergistic with our existing platform, including leveraging our existing manufacturing capacity when possible.

我們也對目前不經營的類別感興趣，以完善我們的產品組合，例如沙拉、三明治或咖啡品牌，收購目標必須既可擴展又與我們現有的平台具有協同作用，包括盡可能利用我們現有的製造能力。

Our third strategic priority is increasing utilization of our Georgia based manufacturing facility, which produces pretzel mix and cookie dough for several brands.

我們的第三個策略重點是提高喬治亞州製造工廠的利用率，該工廠為多個品牌生產椒鹽捲餅混合物和餅乾麵團。

During 2023, our manufacturing facility generated $38 million in sales.

2023 年，我們的製造工廠銷售額達 3,800 萬美元。

It's 13% increase over the prior year.

比上年增長 13%。

And our factory is only operating at about 45% of its capacity, up from 33% two years ago.

我們工廠的產能利用率僅為 45% 左右，而兩年前為 33%。

So there's still a lot of potential upside there we also have additional capacity that we can create both through a modest CapEx equipment upgrade as well as expanding across the 3.5 acres of excess real estate that our plant sits on both of which can more than double the existing capacity in the factory.

因此，那裡仍然有很多潛在的上升空間，我們還擁有額外的產能，我們可以透過適度的資本支出設備升級以及擴大我們工廠所在的3.5 英畝的多餘房地產來創造這些產能，這兩者都可以使產能增加一倍以上工廠現有產能。

Last year, we acquired the Nestle Toll House Café chip franchise business, and we have converted 50 locations to a Great American Cookies platform, which enabled us to rapidly increase our footprint for Great American Cookies.

去年，我們收購了 Nestle Toll House Café 晶片特許經營業務，並將 50 個地點轉變為 Great American Cookies 平台，這使我們能夠迅速擴大 Great American Cookies 的足跡。

As I mentioned earlier, we reached our 400 location milestone last year and now have a presence in new states recently debuting in Alaska, Arizona and Illinois.

正如我之前提到的，我們去年達到了 400 個門市的里程碑，現在又在阿拉斯加州、亞利桑那州和伊利諾伊州等新州開展了業務。

Additionally, our own brands that help fill the capacity of our manufacturing facility by strategically introducing cookie offerings throughout our burger portfolio, Topper, Johnny Rockets and Elevation Burger.

此外，我們的自有品牌透過策略性地在我們的漢堡產品組合 Topper、Johnny Rockets 和 Elevation Burger 中引入餅乾產品，幫助填補我們製造工廠的產能。

We see these additions as a way to further build and enhance our dessert programs.

我們將這些添加視為進一步構建和增強我們的甜點計劃的一種方式。

This year, we plan to add cookie offerings at our remaining brands, including our casual dining concepts, plus as always, Twin Peaks and Smokey Bones.

今年，我們計劃在其餘品牌中添加餅乾產品，包括我們的休閒餐飲概念，以及一如既往的 Twin Peaks 和 Smokey Bones。

Now I would like to provide an update on the incredible growth and work of the FAT Brands Foundation, which was founded in 2022 during last year 2023, which was our inaugural year of giving we awarded over $250,000 to 43 local nonprofits across across 19 states and Washington, D.C. Foundation's impact was widespread standing behind causes, such as food insecurity, health education used developments, the arts and more notably, the foundation supported the critical work of nonprofits in various FAT Brands, communities, including organizations tied to the fires in Maui and travel and the tragedy in Allen Texas.

現在，我想介紹一下FAT 品牌基金會令人難以置信的發展和工作的最新情況，該基金會成立於2022 年，去年2023 年是我們第一年向19 個州的43 個當地非營利組織提供了超過25 萬美元的捐贈，華盛頓特區基金會的影響廣泛，支持糧食不安全、健康教育發展、藝術等事業，更值得注意的是，該基金會支持各個FAT 品牌、社區的非營利組織的關鍵工作，包括與毛伊島火災有關的組織以及旅行和德克薩斯州艾倫的悲劇。

Looking into 2024, the foundation is committed to continuing its work, supporting local nonprofits in markets where we have restaurants that provide essential programs to help communities and families thrive.

展望 2024 年，基金會致力於繼續開展工作，為我們設有餐廳的市場中的當地非營利組織提供支持，以提供必要的計劃來幫助社區和家庭蓬勃發展。

I'd like to also share that we are hosting our biannual FAT Brands Summit in Las Vegas in April, where we expect to host more than 2000 corporate team members franchisees and partners.

我還想告訴大家，我們將於 4 月在拉斯維加斯舉辦一年兩次的 FAT 品牌高峰會，預計將接待 2,000 多名企業團隊成員、加盟商和合作夥伴。

The group will gather to celebrate our extraordinary growth.

集團將齊聚一堂，慶祝我們非凡的成長。

In addition to honing in on our Summit theme, all systems go, which encapsulates our commitment to moving forward together navigating industry challenges and maximizing synergies within our apartments family.

除了堅持我們的峰會主題外，所有系統都在運行，這體現了我們共同前進、應對行業挑戰並最大限度地發揮公寓家族協同效應的承諾。

I would like to reiterate 2023 was a great year and 2024 is off to a solid start we've already signed two significant development deals driving forward our strategic expansion efforts, one for 40 Marble Slab Creamery units in Canada, which will increase our foothold in the country to 100, 40 locations in addition to a 10 unit round table pizza deal in Oklahoma and a six unit roundtable deal in Arkansas.

我想重申2023 年是偉大的一年，2024 年是一個堅實的開端，我們已經簽署了兩項重大開發協議，推動我們的戰略擴張工作，其中一項是在加拿大建立40 個Marble Slab Creamery 工廠，這將增強我們在除了俄克拉荷馬州的 10 單位圓桌披薩交易和阿肯色州的 6 單位圓桌披薩交易外，該國還開設了 100 家 40 家分店。

Additionally, after made its highly anticipated debut in Orlando in summary, franchise interest remains strong.

此外，總而言之，在奧蘭多備受期待的首秀之後，特許經營權的興趣仍然強勁。

We have an experienced management team in place and a robust platform that supports expansion of our existing brands and accretive acquisitions that can be efficiently integrated with minimal overhead.

我們擁有經驗豐富的管理團隊和強大的平台，支援現有品牌的擴張和增值收購，並且可以以最小的開銷進行有效整合。

Our pipeline for organic growth is healthy, ensuring our sustained growth for years to come, which will naturally de-lever our balance sheet.

我們的有機成長管道是健康的，確保我們未來幾年的持續成長，這自然會降低我們的資產負債表的槓桿率。

We look forward to updating you on our progress on future calls.

我們期待在未來的通話中向您通報我們的最新進展。

We sincerely appreciate you joining us today for you and for your interest in our brands.

我們衷心感謝您今天加入我們以及您對我們品牌的興趣。

And with that, I would like to hand the call over to Ken to talk about our financial highlights from the quarter.

說到這裡，我想將電話轉交給肯，談談我們本季的財務亮點。

Sandy total revenue during the quarter increased 52.8% to $158.6 million, driven by a 10.4% increase in royalties, an 80.5% increase in company-owned restaurant revenues driven by new restaurant openings and the acquisition of Smokey Bones during the fourth quarter of 2023 and a 10% increase in revenues from our manufacturing facility.

Sandy 本季總營收成長52.8%，達到1.586 億美元，這主要得益於特許權使用費成長10.4%、新餐廳開業以及2023 年第四季收購Smokey Bones 推動的公司自有餐廳營收成長80.5%，以及我們的製造工廠的收入增加了 10%。

Costs and expenses increased $25.4 million or 18.6% in the fourth quarter included in cost and expenses.

第四季成本和費用增加了 2,540 萬美元，即 18.6%（計入成本和費用）。

General and administrative expense decreased to $30.3 million in the fourth quarter from $39.1 million in the prior year period, primarily due to a 16.6 million noncash reserve unclaimed employee retention tax credits recorded during the fourth quarter of 2022 and the recognition of 3.4 million employee retention credits during the fourth quarter of 2023, partially offset by general and administrative expenses related to Smokey Bones again acquired in the fourth quarter of 2023 and higher professional fees related to certain litigation matters.

第四季的一般及管理費用從上年同期的3,910 萬美元減少至3,030 萬美元，主要是由於2022 年第四季記錄了1,660 萬個非現金儲備無人認領的員工保留稅收抵免，以及確認了340 萬個員工保留抵免2023 年第四季度期間的費用，部分被 2023 年第四季度再次收購的 Smokey Bones 相關的一般和管理費用以及與某些訴訟事項相關的較高專業費用所抵消。

Cost of restaurant and factory revenues increased to 105.1 million in the fourth quarter of 2023 compared to 61.7 million in the prior year quarter, primarily due to the acquisition of Smokey Bones during the fourth quarter of 23.

2023 年第四季度，餐廳和工廠收入成本增至 1.051 億美元，而去年同期為 6,170 萬美元，這主要是由於 23 年第四季度收購了 Smokey Bones。

Depreciation and amortization expense increased 3 million to 9.9 million in the fourth quarter from $6.9 million in the year-ago quarter, again primarily due to the acquisition of Smokey Bones in the fourth quarter of 2023 and depreciation of new company-owned restaurant property and equipment advertising expense increased to 13.8 million in the fourth quarter of this year from 11.6 million in the year ago period.

第四季折舊和攤銷費用從去年同期的 690 萬美元增加 300 萬美元至 990 萬美元，這同樣主要是由於 2023 年第四季度收購 Smokey Bones 以及公司新擁有的餐廳財產和設備的折舊今年第第四季廣告費用從去年同期的1,160萬增至1,380萬。

And these expenses vary in relation to our advertising revenues.

這些費用與我們的廣告收入有關。

Total other expense net for the fourth quarter of 2023 and 2022 was $31.9 million and $24.2 million, respectively, which is inclusive of interest expense of $28.9 million and $20.9 million, respectively.

2023 年和 2022 年第四季的其他費用淨額總額分別為 3,190 萬美元和 2,420 萬美元，其中包括分別為 2,890 萬美元和 2,090 萬美元的利息費用。

Additionally, total other expense net for the fourth quarter of 2023 included a $300,000 gain on extinguishment of debt related to the repurchase of 14.6 million in aggregate principal amount of outstanding securitized notes, which will be held pending resale to third party investors in total at the end of 2023, we had $196.8 million of retained securitization notes on our balance sheet available for sale with third-party investors.

此外，2023 年第四季的其他費用淨額總額包括與回購本金總額為1,460 萬美元的未償還證券化票據相關的債務清償帶來的30 萬美元收益，這些票據將在2023 年第四季轉售給第三方投資者。

Net loss for the quarter was $26.2 million or $1.68 per diluted share compared to a net loss of $70.8 million or $4.39 per diluted share in the prior year quarter.

本季淨虧損為 2,620 萬美元，即稀釋後每股 1.68 美元，去年同期淨虧損為 7,080 萬美元，即稀釋後每股 4.39 美元。

On an as-adjusted basis, our net loss was 17.3 million or $1.15 per diluted share compared to a net loss of $43 million or $2.70 per diluted share in the prior year quarter.

在調整後的基礎上，我們的淨虧損為 1,730 萬美元，即稀釋後每股 1.15 美元，而去年同期的淨虧損為 4,300 萬美元，即稀釋後每股 2.70 美元。

And lastly, adjusted EBITDA for the quarter was $27 million, a $7.4 million increase compared to 19.6 million in the year-ago quarter and includes a $6.2 million favorable legal settlement in the fourth quarter of 2023.

最後，本季調整後的 EBITDA 為 2,700 萬美元，比去年同期的 1,960 萬美元增加了 740 萬美元，其中包括 2023 年第四季 620 萬美元的有利法律和解。

For the full year, adjusted EBITDA was $91.2 million, a $2.4 million increase compared to $88.8 million in 2022.

全年調整後 EBITDA 為 9,120 萬美元，比 2022 年的 8,880 萬美元增加了 240 萬美元。

And I'll note that 2020 three's adjusted EBITDA included the $6.2 million legal settlement I just mentioned, and 2020 two's adjusted EBITDA included 22 million of employee retention tax credits.

我要指出的是，2020 年三人調整後的 EBITDA 包括我剛才提到的 620 萬美元的法律和解，2020 年二人調整後的 EBITDA 包括 2200 萬美元的員工保留稅收抵免。

And with that, Chris, please open the line for questions.

克里斯，請打開提問線路。

Thank you.

謝謝。

We will now begin the question and answer session.

我們現在開始問答環節。

To ask a question, you may press star then one on your touchtone phone.

要提問，您可以按按鍵式電話上的星號，然後按一個。

If you are using a speakerphone, please pick up your handset before pressing the keys If at any time your question has been addressed and you would like to withdraw it, please press star then two.

如果您使用免持電話，請在按鍵之前拿起聽筒。

At this time we will pause momentarily to assemble our roster.

此時我們將暫停片刻以集合我們的名單。

Today's first question comes from Joe Gomes with Noble Capital.

今天的第一個問題來自Noble Capital 的喬·戈麥斯。

Please proceed.

請繼續。

Good afternoon and congrats on the quarter.

下午好，恭喜本季。

Thanks, Jim.

謝謝，吉姆。

Thanks, Joe. So I don't want to start off with the most list question.

謝謝，喬。所以我不想從最常見的問題開始。

You guys did receive a wells notice.

你們確實收到了井通知。

I'm assuming there's not much you can discuss, but maybe Andy can talk about maybe the the timing of how that all plays out here going forward.

我假設你們沒有太多可以討論的，但也許安迪可以談談這一切未來如何發生的時機。

And kind of relatedly litigation costs in the year were $10 million higher year over year.

今年相關的訴訟費用比去年同期增加了 1000 萬美元。

And wondering when you might start to we might start to see those litigation costs start to moderate?

想知道您什麼時候可以開始看到這些訴訟成本開始下降？

Well, I appreciate the question, but there's not much as you indicated that I can say other than what we've published in our eight K or we will publish in our 10 K, which we expect to be filed very shortly here in the next couple of days.

嗯，我很欣賞這個問題，但正如你所指出的，除了我們在8 K 中發布的內容或我們將在10 K 中發布的內容之外，我沒什麼可說的，我們預計很快就會在下一個文件中在這裡提交幾天。

And the timing of these kinds of things is uncertain.

而這些事情發生的時間是不確定的。

They can go on for a while.

他們可以繼續一段時間。

And as it relates to legal expense, same thing, we do have a claim against our insurance carrier that we're pursuing for reimbursement of fees, and that's pretty active.

由於它涉及法律費用，同樣的事情，我們確實向我們的保險公司提出了索賠，我們正在尋求償還費用，而且這非常活躍。

So I expect that something will come of that shortly.

所以我預計很快就會有結果。

But other than that, there's nothing I can really add that is in the public disclosures Okay.

但除此之外，我在公開披露的資訊中沒有什麼可以真正補充的。

Thanks for that, Tom.

謝謝你，湯姆。

One of the things that you talked about in the past, the only thing you really touched on this time was the nontraditional locations.

您過去談到的事情之一，這次您唯一真正觸及的是非傳統地點。

And I was wondering if there's some more growth opportunities available in that segment that you're looking at for 24?

我想知道您正在尋找的 24 細分市場是否還有更多成長機會？

That's a good question.

這是個好問題。

A nontraditional is on fire.

非傳統正在燃燒。

We have new locations coming online left and right, we've just opened in a couple of Great Wolf Lodge locations, the DM waterparks with hotels, we have opened some additional Six Flags locations.

我們有新的地點即將上線，我們剛剛在 Great Wolf Lodge 的幾個地點、帶有酒店的 DM 水上樂園開設了一些地點，我們還開設了一些額外的六旗地點。

We are coming online at Stanford University.

我們即將在史丹佛大學上線。

And there are a number of others, including some airports that are on the drawing board.

還有許多其他機場，包括一些正在規劃中的機場。

So we've had good success getting it nontraditional off the ground.

因此，我們在非傳統化方面取得了巨大成功。

Excellent.

出色的。

Yes.

是的。

When you talked on the call about potentially doing some refinancing of the securitizations for Twin Peaks as always, just trying to get an idea of what do you see as kind of the goals for those that are trying to get interest rate relief on trying to term them out more trying to upsize them based on the success of the businesses.

當您在電話會議上談到可能一如既往地為雙峰證券化進行一些再融資時，只是想了解一下您認為那些試圖在期限內獲得利率減免的人的目標是什麼他們更多地嘗試根據業務的成功來擴大規模。

Just maybe a little bit more insight into what the kind of the goals of the refi would be?

也許只是更深入了解再融資的目標是什麼？

Sure.

當然。

So we can tap those facilities from time to time when we've needed additional liquidity.

因此，當我們需要額外的流動性時，我們可以不時利用這些設施。

And when you read our Q's and K's, you'll be able to see we maintain a fair amount of bonds held available for sale.

當您閱讀我們的 Q 和 K 時，您將能夠看到我們持有相當數量的可供出售的債券。

But that means that we've already but you can tap that securitization facility created additional bonds based on the strong performance of the brands, the cash flow from the brands, and we're holding those bonds, but we can turn them into liquidity, sell them for cash if we need to to fund the operations.

但這意味著我們已經可以利用證券化工具根據品牌的強勁表現、品牌的現金流創建額外的債券，我們持有這些債券，但我們可以將它們轉化為流動性，如果我們需要為營運提供資金，請將它們出售以換取現金。

So that's already in place and the desire to refinance the Twin Peaks facility on the native Grill & Wings.

因此，這已經到位，並希望為當地的 Grill & Wings 的雙峰設施再融資。

And there's always facility stems from two things, first of all.

首先，便利總是源自於兩件事。

But as we've stated, we hope to take Trintech's public later this year in doing so that securitization facility would need to be called and reissued on a stand-alone basis and where if that isn't a 100% owner and hopefully with some debt reduction along the way from the IPO proceeds, we'll have less leverage and as always, is purely just a refinance, not it may it may result in lower leverage if we want to pay it down a little bit.

但正如我們所說，我們希望今年晚些時候讓 Trintech 的公眾這樣做，以便需要在獨立的基礎上調用和重新發行證券化工具，如果它不是 100% 的所有者，並希望有一些隨著IPO收益的減少，我們的槓桿率將會降低，而且一如既往，這純粹只是再融資，而不是如果我們想稍微償還一點，它可能會導致槓桿率降低。

But and both of those deals have amortization, that starts more significantly next year in 2025.

但是，這兩筆交易都有攤銷，明年 2025 年開始的攤銷將更加顯著。

Right now, they have very, very slight amortization of 2% a year.

現在，他們每年的攤銷率非常非常低，只有 2%。

And so trying to get ahead of heavy amortization, which would start sometime in 2025.

因此，我們要努力提前進行巨額攤銷，該攤銷將於 2025 年某個時候開始。

We want to complete the refinancing 2020 for the rest of our brands don't have amortization of any material amount until 2026, and that's the second half of 2026.

我們希望在 2020 年完成再融資，因為我們的其餘品牌在 2026 年之前沒有任何實質金額的攤銷，即 2026 年下半年。

We have a lot of runway to see interest rates come back down, but we want to be ahead of any amortization between some facilities and it take advantage of refinancing those bonds as part of the IPO.

我們有很長的路要看到利率回落，但我們希望領先於一些設施之間的攤銷，並利用這些債券的再融資作為首次公開募股的一部分。

Okay.

好的。

Thank you.

謝謝。

And you talked about some of the new requirements for deals that you're looking at.

您談到了您正在考慮的交易的一些新要求。

Maybe you could just give us a little update on the deal environment, you know, seeing prices come down the more reasonable or there's more properties coming up?

也許您可以給我們一些有關交易環境的最新信息，您知道，看到價格下降得更加合理，或者有更多的房產出現？

What are you seeing today?

你今天看到了什麼？

Well, to be fair, we've seen quite a few deals in the last two quarters, and I think we still have not seen sellers come into the range of this reality of the interest rate environment, the capital environment, the economy so many deals just haven't met our price tolerance threshold.

好吧，公平地說，我們在過去兩個季度看到了相當多的交易，我認為我們仍然沒有看到賣家進入利率環境、資本環境、經濟的現實範圍。

Also, we're trying to be very strategic right now.

此外，我們現在正在努力變得非常具有戰略意義。

We want to reduce our leverage and pay down debt.

我們希望降低槓桿並償還債務。

And so we're only really looking at things that make sense and strategically like that would grow our Twin Peaks business like Smokey Bones, as an example, grow our manufacturing business like the Nest, we feel that we did.

因此，我們只真正專注於那些有意義且具有戰略意義的事情，例如，可以發展我們的 Twin Peaks 業務，例如 Smokey Bones，發展我們的製造業務，例如 Nest，我們認為我們做到了。

And what does it mean?

這意味著什麼？

That we wouldn't consider another brand and make an acquisition along the way, if it made sense for us that the price would have to be right and it would have to be a delevering event.

如果價格必須合適且必須是去槓桿化事件對我們來說有意義，我們就不會考慮另一個品牌並一路進行收購。

And so there's ways to do that depends on the price that you pay for the brand versus the cash flow you're getting or whether we use some other type of security rather than just straight out borrowed cash to make the acquisition that could be preferred stock common stock and seller notes, you name it, but we want to make sure that anything we do as a delevering event.

因此，有一些方法可以做到這一點，具體取決於您為品牌支付的價格與您獲得的現金流，或者我們是否使用其他類型的證券而不僅僅是直接借入現金來進行可能是優先股的收購普通股和賣方票據，凡是你能想到的，但我們希望確保我們所做的任何事情都是去槓桿化事件。

So those are those are things we have done two or three long term strategic acquisitions that we have been following for some time.

這些就是我們已經進行了一段時間的兩到三項長期策略收購的事情。

And this year, they may come around as as the sellers are sort of ready to make something happen.

今年，他們可能會改變立場，因為賣家已經準備好做點什麼了。

So we'll see how 2024 plays out.

所以我們將看看 2024 年的結果如何。

But there's definitely lots of opportunity out there.

但那裡肯定有很多機會。

We just want to make sure that our balance sheet is well positioned for it and that we deliver on our promise to delever on the debt we have today.

我們只是想確保我們的資產負債表為此做好準備，並兌現我們對當前債務去槓桿化的承諾。

Great.

偉大的。

And one more, if I may, some other factory and one of the goals was to get some third party business in there.

如果可以的話，還有一家其他工廠，目標之一是在那裡獲得一些第三方業務。

Just wanted to see where that effort stands today.

只是想看看今天的努力進展如何。

We are actively involved in RFPs for various third parties and to produce quite a bit of a cookie, though and pretzel mix type products for them right now, we are actually producing yet, but we're in the middle of several RFPs.

我們積極參與各個第三方的 RFP，並為他們生產大量餅乾和椒鹽捲餅混合型產品，我們實際上正在生產，但我們正在幾個 RFP 中。

We've grown the utilization of the capacity by so in cookies and other products across our other restaurants.

我們提高了其他餐廳餅乾和其他產品的產能利用率。

But and we have quite a bit more to go with that.

但是我們還有很多事情要做。

But we want one or two of these RFPs that we're in the middle of to really drop in our lap and that'll soak up quite a bit of capacity at a good margin.

但我們希望我們正在進行的這些 RFP 中的一兩個能夠真正落在我們的腿上，這將以良好的利潤吸收相當多的容量。

The factory has the capacity, as I mentioned earlier, to really really grow on significantly larger because when we say 45%, that's before we spend any CapEx to knock a wall down or increased the size of some of the equipment we have in the factory, which would double the capacity yet again.

正如我之前提到的，工廠有能力真正實現大幅增長，因為當我們說 45% 時，這是在我們花費任何資本支出來推倒工廠牆壁或增加工廠中某些設備的尺寸之前，這將使容量再次增加一倍。

So we had a lot of runway in the factory and it's a very valuable asset.

所以我們工廠裡有很多跑道，這是非常寶貴的資產。

And if you put that together with Twin Peaks between those two assets alone, you have enough value to retire.

如果你把它與雙峰放在這兩項資產之間，你就有足夠的價值退休了。

And most likely all of this happens that.

而這一切很可能都發生了。

So we've looked at it as we really want to maximize the value.

因此，我們確實希望實現價值最大化，因此我們對此進行了研究。

We extract from those assets as we look to retiring debt.

當我們尋求償還債務時，我們會從這些資產中提取資金。

Okay.

好的。

Thanks, Andy.

謝謝，安迪。

Appreciate the answers.

感謝您的回答。

Thank you, Jim.

謝謝你，吉姆。

Operator, next question?

接線員，下一個問題？

The next question comes from Roger Lipton with Lipton Financial Please proceed.

下一個問題來自 Lipton Financial 的 Roger Lipton，請繼續。

Yes, hi, Andy and Ken, can you tell us anything a little more specifically as far as the timing of the of the Twin Peaks offering, the guests at all times when it might move ahead?

是的，嗨，安迪和肯，你們能更具體地告訴我們一些關於雙峰產品的時間安排嗎？

I think it is I hope it depends on market conditions, but hopefully it will be something it will be a Q three that I don't have something Q. three events of Q3.

我認為我希望這取決於市場狀況，但希望這將是第三季的事情，我沒有第三季的第三個事件。

Okay, thank you.

好的謝謝。

And when we finally file, when we file the IPO documents the S-1, we will file it on a confidential basis, but we'll put out a statement that it was filed confidentially.

當我們最終提交 IPO 文件 S-1 時，我們將在保密的基礎上提交，但我們會發表聲明，表明它是保密提交的。

So we know that it's been filed and then we have to go through the SEC process.

所以我們知道它已經提交，然後我們必須通過 SEC 流程。

And then then we'll see how the market is.

然後我們再看看市場狀況如何。

Okay and keeps growing.

好的，並且不斷增長。

So a little delay only makes it a little longer cycle time is on our side.

因此，一點點的延遲只會讓我們的週期時間更長。

Yes, absolutely.

是的，一點沒錯。

The time is on our side Brent EBITDA just outgrown.

時間對我們來說是有利的，布倫特 EBITDA 已經無法滿足需求了。

Right.

正確的。

And the Smokey Bones stores or restaurants, how many of those do you think are conversion possibilities to 20?

至於 Smokey Bones 商店或餐館，您認為其中有多少家有可能轉變為 20 家？

What's a fair number of them that a fair number of them.

他們的數量相當多，他們的數量相當多。

And I'm not going to get into specifics because we're negotiating with landlords today about the conversions, but we've identified a fair number of them that that make a lot of sense to convert.

我不打算透露具體細節，因為我們今天正在與房東就改造事宜進行談判，但我們已經確定了其中相當多的改造項目，這些改造非常有意義。

And there's a few on the fringe that we'll see how those go.

還有一些處於邊緣的項目，我們將拭​​目以待。

And that's notwithstanding Smoky Mountains.

儘管如此，還是有大煙山。

Right.

正確的。

And what can you tell us about the general tone of business in the multi-branded system at least domestically.

您能告訴我們至少在國內多品牌系統的整體業務基調嗎？

So I would say a couple of things.

所以我想說幾件事。

One, and this is solid.

一，這是堅實的。

The commodity costs have come down significantly which is good.

商品成本大幅下降，這是好事。

I think consumers are sort of at their limits in terms of how much price they're willing to take.

我認為消費者在願意接受多少價格方面已經達到了極限。

So operators have taken price to maintain their margin, but there's definitely traffic pushback on that across the entire industry, not just within fascinating brands.

因此，營運商採取價格來維持利潤，但整個行業肯定會出現流量阻力，而不僅僅是在令人著迷的品牌內部。

And we have the new increased minimum wage coming in California in just a few weeks to $20 and you're going to see prices go up again.

幾週後，加州將把最低工資提高到 20 美元，你會看到物價再次上漲。

So it will be interesting to see how California response is good news as it applies to everybody, not just FAT Brands.

因此，看看加州的反應是個好消息，因為它適用於每個人，而不僅僅是 FAT 品牌，這將是一件很有趣的事情。

And right now, I don't see that anywhere around that.

現在，我在任何地方都看不到這一點。

And of course, voters, most of know what they're getting into and elected everybody to rates raise these wages from the 20 or soon to be $25.

當然，選民們，大多數人都知道他們將面臨什麼，並選舉每個人將工資從 20 美元或很快提高到 25 美元。

Right, right.

是的是的。

Right.

正確的。

That's all I need for now.

這就是我現在所需要的。

Thank you very much.

非常感謝。

All right, Roger.

好吧，羅傑。

Thank you.

謝謝。

As a reminder, if you do have a question, please press star then one.

提醒一下，如果您確實有疑問，請先按星號，然後再按一個。

And at this time we are showing no further questioners in the queue.

目前，我們在隊列中沒有顯示更多提問者。

And this does conclude our question and answer session.

我們的問答環節到此結束。

At this time, I would like to turn the conference back over to Andy Wiederhorn for any closing remarks.

此時，我想將會議轉回安迪·維德霍恩 (Andy Wiederhorn) 進行閉幕致詞。

Thank you, operator.

謝謝你，接線生。

I want to thank everyone for joining us today.

我要感謝大家今天加入我們。

This concludes our call.

我們的通話到此結束。

The conference has now concluded.

會議現已結束。

Thank you for attending today's presentation, and you may now disconnect.

感謝您參加今天的演示，您現在可以斷開連接了。

No, no, not at all at all.

不，不，一點也不。

No, no, no.

不不不。

And none of that.

而這些都不是。

Anything any and sorry.

任何事情，抱歉。

Okay.

好的。

It's all minor.

都是小事。