FAT Brands Inc (FATAV) 2024 Q1 法說會逐字稿

Good afternoon, ladies and gentlemen, and thank you for standing by.

下午好，女士們先生們，感謝你們的支持。

Welcome to the FAT Brands first-quarter 2024 earnings conference call.

歡迎參加 FAT Brands 2024 年第一季財報電話會議。

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, May 1, 2024.

請注意，本次會議的錄製日期為今天，即 2024 年 5 月 1 日。

On the call from FAT Brands are the Chairman of the Board, Andy Wiederhorn; and Co-Chief Executive Officer and Chief Financial Officer, Ken Kuick.

FAT Brands 董事會主席 Andy Wiederhorn 接聽了電話；聯合執行長兼財務長肯庫克 (Ken Kuick)。

This afternoon, the company made its first-quarter 2024 financial results publicly available.

今天下午，該公司公開發布了2024年第一季財務業績。

Please refer to the earnings release and earnings supplement, both which are available in the Investors section of the Company's website at www.fatbrands.com.

請參閱收益發布和收益補充，均可在本公司網站 www.fatbrands.com 的投資者部分取得。

Each contain additional details about the first quarter.

每項都包含有關第一季的更多詳細資訊。

But before we begin, I must remind everyone that part of the discussion today will be including forward looking statements.

但在我們開始之前，我必須提醒大家，今天討論的一部分將包括前瞻性陳述。

These forward-looking statements are not guarantees of future performance and therefore, undue reliance should not be placed upon them.

這些前瞻性陳述並不是對未來績效的保證，因此，不應過度依賴它們。

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

該公司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.

在今天的電話會議上，該公司還將討論非公認會計準則財務指標，該公司認為這些指標有助於評估其表現。

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.

這些附加資訊的呈現不應被孤立地考慮，也不應作為根據 GAAP 準備的結果的替代品，並且可在今天的收益報告中找到與可比較 GAAP 指標的調整表。

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

我現在想將電話轉給董事會主席安迪·維德霍恩 (Andy Wiederhorn)。

Please go ahead.

請繼續。

Thank you, operator.

謝謝你，接線生。

I'd like to begin this afternoon by thanking all of our team members, franchisees and their dedicated employees across our portfolio of brands.

首先，我想在今天下午感謝我們品牌組合中的所有團隊成員、特許經營商及其敬業的員工。

Their unwavering commitment and strong execution have been the driving forces behind FAT Brands, continued strong performance and growth.

他們堅定不移的承諾和強大的執行力一直是 FAT 品牌持續強勁業績和成長的驅動力。

Our trajectory over the last three years has been truly remarkable.

我們過去三年的發展軌跡確實非常出色。

We have expanded our footprint tenfold by strategically building a diverse portfolio that now includes 18 iconic concepts spanning over 2,300 locations worldwide across more than 40 countries and 49 US states or US territories.

透過策略性地建立多樣化的產品組合，我們的業務範圍擴大了十倍，目前包括 18 個標誌性概念，遍布全球 40 多個國家和 49 個美國州或美國領地的 2,300 多個地點。

The results we'll discuss today underscore the vast potential of our multi-brand strategy and ability to drive long-term sustainable growth by leveraging our scale, shared services model and deep franchising experience.

我們今天討論的結果凸顯了我們多品牌策略的巨大潛力，以及透過利用我們的規模、共享服務模式和深厚的特許經營經驗來推動長期可持續增長的能力。

During the first quarter, we grew total revenue 43.8% to $152 million compared to $105.7 million in the prior year quarter.

第一季度，我們的總營收成長了 43.8%，達到 1.52 億美元，而去年同期為 1.057 億美元。

The increase was driven by the acquisition of Smokey Bones in September of 2023 system wide sales in the first quarter grew $581.8 million, a 4.8% increase when compared to the prior year quarter.

這一增長是由 2023 年 9 月收購 Smokey Bones 推動的，第一季全系統銷售額增長了 5.818 億美元，與去年同期相比增長了 4.8%。

Turning to profitability, first quarter EBITDA was $9.4 million compared to $7.7 million in the first quarter of 2023, a quarterly increase of $1.7 million, and adjusted EBITDA was $18.2 million compared to $19.2 million in last year's first quarter.

轉向獲利能力，第一季的 EBITDA 為 940 萬美元，較 2023 年第一季的 770 萬美元，季增 170 萬美元；調整後 EBITDA 為 1,820 萬美元，較去年第一季的 1,920 萬美元。

We remain focused on already in our three strategic pillars.

我們仍然專注於我們的三個策略支柱。

One organic growth, two growth by acquisition and three, increasing keto and dry mix production at our Georgia based manufacturing facility.

一是有機成長，二是收購成長，三是增加我們位於喬治亞州的製造工廠的酮類和乾混料產量。

Let me now provide updates on each of these pillars.

現在讓我提供有關每個支柱的最新資訊。

First, organic growth our development momentum continued in the first quarter with the opening of 16 new units across our brand.

首先，有機成長我們的發展勢頭在第一季延續，我們品牌開設了 16 個新單位。

We should open another 44 this quarter, keeping us on track to achieve our growth targets for 2024.

本季我們應該再開設 44 家，以確保我們能夠實現 2024 年的成長目標。

In total, we project to open between 125 and 150 new units this year, a potential 20% increase from 2023 to further fuel this growth.

總的來說，我們預計今年將開設 125 至 150 個新單位，較 2023 年可能增加 20%，以進一步推動這一成長。

Just two weeks ago, we hosted our biannual SoftBrands franchise Summit in Las Vegas with our franchisees, suppliers and key stakeholders.

就在兩週前，我們在拉斯維加斯舉辦了一年兩次的 SoftBrands 特許經營峰會，與我們的特許經營商、供應商和主要利益相關者一起。

We hosted over 1,660 corporate team members, franchisees and partners and celebrated our extraordinary growth and shared what's next for our business.

我們接待了超過 1,660 名企業團隊成員、特許經營商和合作夥伴，慶祝我們的非凡發展並分享了我們業務的下一步發展。

At the event we honed in on the Summit theme, all systems go, which encapsulates our commitment to moving forward together, navigating industry challenges and maximizing the synergies within our brand family, the energy level and the enthusiasm more contagious.

在這次活動中，我們圍繞著峰會主題“所有系統運轉”，這體現了我們共同前進、應對行業挑戰、最大限度地發揮我們品牌家族內的協同效應、更具感染力的活力和熱情的承諾。

And we again thank all who participated at the FAT Brands 2020 for Summit.

我們再次感謝所有參加 FAT Brands 2020 高峰會的人。

We also offered incentives for franchisees to buy additional units and signed or plan to finish signing development deals representing over 100 new restaurants.

我們也激勵特許經營商購買更多單位，並簽署或計劃完成簽署代表 100 多家新餐廳的開發協議。

Our pipeline in total remains in excess of 1,100 additional units to be opened in the coming years.

未來幾年，我們的管道總數仍將超過 1,100 個。

We estimate this robust future unit growth will ultimately translate to approximately $50 million to $60 million of incremental adjusted EBITDA, which will enable us to naturally delever our balance sheet as we scale the business over time.

我們估計，未來強勁的單位成長最終將轉化為約 5,000 萬至 6,000 萬美元的調整後 EBITDA 增量，這將使我們能夠隨著時間的推移擴大業務規模，自然地降低資產負債表的槓桿率。

And while the Summit itself was a meaningful financial investment for us, we expect to see a significant payback due to the large number of new development deals or actual franchise agreements signed as a result of this event, which in turn will lead to incremental royalty revenue each year going forward.

雖然高峰會本身對我們來說是一項有意義的財務投資，但由於活動導致簽署了大量新的開發協議或實際的特許經營協議，我們預計將看到顯著的回報，這反過來又會帶來特許權使用費收入的增加未來的每一年。

Once these new stores open, as we've said before, a key area of strategic focus for us this year is driving accelerated growth within our polished casual segment, which consists of our Twin Peaks and Smokey Bones brands beginning with 26 this sports lodge concept continues to produce industry-leading average.

一旦這些新店開業，正如我們之前所說，我們今年戰略重點的一個關鍵領域是推動我們精緻休閒細分市場的加速增長，其中包括我們的 Twin Peaks 和 Smokey Bones 品牌，從 26 這個運動小屋概念開始繼續創造行業領先的平均水準。

Unit volumes of around $6 million with some of our highest volume locations in Florida, generating AUVs between $9 million and $14 million during Q1, we opened three new lodges in Guadalajara, Mexico, Boardman, Ohio, and throughout Florida with two more lodges in Naples, Florida, and Rock Hill, South Carolina planned for Q2.

單位銷售量約為600 萬美元，我們在佛羅裡達州的一些銷量最高的地點，在第一季產生了900 萬至1,400 萬美元的AUV，我們在墨西哥瓜達拉哈拉、俄亥俄州博德曼和整個佛羅裡達州開設了三間新旅館，在那不勒斯又開設了兩家旅館、佛羅裡達州和南卡羅來納州羅克希爾計劃在第二季進行。

We anticipate opening 15 to 18 new Twin Peaks in all of 2024, closing the year with approximately 125 lodges.

我們預計 2024 年將全年開設 15 至 18 家新的 Twin Peaks 旅館，到年底將開設約 125 家旅館。

This will represent approximately a 51% growth in unit count in just three years since our acquisition of Twin Peaks, 26 growth pipeline is healthy with over 125 new franchise deals signed paid and committed to be built over the next five years.

這意味著自我們收購 Twin Peaks 以來的短短三年內，單位數量增長了約 51%，26 個增長管道健康發展，超過 125 個新的特許經營協議已簽署並承諾在未來五年內建立。

The planned unit expansion is expected to grow 26 system wide sales to approximately $1 billion and increased the mix of franchise locations to between 75% and 80% of total unit count.

計畫中的單位擴張預計將使 26 個系統範圍內的銷售額增長至約 10 億美元，並將特許經營地點的組合增加至單位總數的 75% 至 80%。

The excitement we are seeing from new and existing franchisees to open additional 20 locations reinforces the concept, strong consumer appeal and compelling unit economics.

我們看到新的和現有的特許經營商對開設另外 20 個門市感到興奮，這強化了這一理念、強大的消費者吸引力和引人注​​目的單位經濟效益。

In Q4 of last year, we expanded our polished casual segment with the acquisition of Smokey Bones, a full service restaurant chain that delivers great barbecue award-winning ribs and perfectly suited sticks.

去年第四季度，我們收購了 Smokey Bones，擴大了我們的精緻休閒細分市場。

We expect Smokey Bones to increase average annual adjusted EBITDA by approximately 10 million net of any conversions to Twin Peak restaurants.

我們預計 Smokey Bones 扣除向 Twin Peak 餐廳的轉換後，年平均調整後 EBITDA 將增加約 1000 萬美元。

We plan to use the existing Smokey Bones portfolio of restaurants to help fuel the expansion of our 26 brands out of the 61 existing Smokey Bones locations, we have identified more than half of the units to be converted into 20 locations.

我們計劃利用現有的 Smokey Bones 餐廳組合來幫助推動我們在 61 個現有 Smokey Bones 門市中的 26 個品牌的擴張，我們已經確定將一半以上的單位改建為 20 個門市。

This strategy allows us to rapidly scale Twin Peaks footprint, leveraging existing restaurants rather than having to build new restaurants from the ground up which can take more than two years.

這項策略使我們能夠利用現有餐廳快速擴大 Twin Peaks 的足跡，而不必從頭開始建造新餐廳，而這可能需要兩年以上的時間。

Several of these conversions are slated to take place in 2024 with the majority occurring throughout 2025 and 2026 recently, we started our first conversion in Lakeland, Florida.

其中幾項改造計劃於 2024 年進行，其中大部分在 2025 年和 2026 年進行，最近，我們在佛羅裡達州萊克蘭開始了第一次改造。

Additionally, we are working closely with the Smokey Bones leadership team on plan to reignite brand growth through our proven franchise model.

此外，我們正在與 Smokey Bones 領導團隊密切合作，計劃透過我們成熟的特許經營模式重新激發品牌成長。

Our goal is to rebuild Smokey Bones footprint to the approximately 120 units that it had at its peak.

我們的目標是將 Smokey Bones 的足跡重建至鼎盛時期的約 120 家。

We continue to work on our previously announced plans to take 26 public.

我們繼續致力於先前宣布的 26 項公開計劃。

While the timing and the size of the transaction is subject to market conditions and other factors, we are working diligently to expedite a successful transaction.

雖然交易的時間和規模取決於市場狀況和其他因素，但我們正在努力加快交易的成功。

Twin Peaks continues to produce industry-leading economics and has a deep pipeline of profitable growth, making us a strong move for both the brand and Sapiens as a whole, we view an IPO or any alternative transactions as opportunities to monetize the business for the benefit of FAT shareholders.

Twin Peaks 繼續創造業界領先的經濟效益，並擁有深厚的獲利成長管道，使我們對品牌和Sapiens 整體而言都是強有力的舉措，我們將IPO 或任何替代交易視為將業務貨幣化以獲取利益的機會FAT 股東。

Our priority is to use the proceeds from any transaction to deleverage the balance sheet.

我們的首要任務是利用任何交易的收益來降低資產負債表的槓桿率。

We are also planning to refinance our 20 securitization debt prior to the IPO.

我們也計劃在 IPO 之前為 20 筆證券化債務進行再融資。

Looking to our other segments, earlier this month, we signed our first international development deal for our facilities brand with three when restaurants to bring 25 locations to Canada over the next 10 years.

至於我們的其他細分市場，本月早些時候，我們與 3 家餐廳簽署了第一份設施品牌國際開發協議，將在未來 10 年內將 25 家分店帶到加拿大。

And the first units are expected to open in 2025 in the province of Alberta.

第一批單位預計將於 2025 年在阿爾伯塔省開業。

We have a strong network of international franchisees that span across nearly all our restaurant concepts.

我們擁有強大的國際特許經營商網絡，幾乎涵蓋我們所有的餐廳理念。

This experience operator, Brewin restaurants, comes from within our Fabrica franchise system and is committed to launching and developing additional FAT Brands concepts in Canada.

這家體驗營運商 Brewin 餐廳來自我們的 Fabrica 特許經營系統，致力於在加拿大推出和開發更多 FAT 品牌概念。

We are confident that expanding Canada is in natural first step for facilities and becoming a leader.

我們相信，擴張加拿大是設施和成為領導者的自然第一步。

A leading global chain has always currently operates 26 in 26 states and over 200 locations.

一家領先的全球連鎖店目前在 26 個州和 200 多個地點經營 26 家連鎖店。

We've signed a development agreement for 40 new Marble Slab Creamery franchise locations throughout Canada, in partnership with our longtime partner Canadian Ice Cream Company, Inc. The Marble Slab premium patients are set to open over the next 10 years with the first of the new locations slated to open by the end of 2024.

我們與我們的長期合作夥伴Canadian Ice Cream Company, Inc. 合作，簽署了一份在加拿大各地開設40 個新Marble Slab Creamery 特許經營店的開發協議。一家新地點預計於 2024 年底開幕。

This will bolster the brand's presence to 140 locations in the country and underscores our commitment to long-term fruitful franchisee relationships.

這將使該品牌在該國的影響力擴大到 140 個地點，並強調我們對長期富有成效的特許經營商關係的承諾。

Round Table Pizza also signed a new development deal with franchisee AF.

圓桌披薩還與加盟商 AF 簽署了新的開發協議。

Ventures LLC to bring a total of 10 Round Table Pizza franchise restaurants to Oklahoma, and an additional six franchise locations to Arkansas over the next six years.

Ventures LLC 將在未來六年內在俄克拉荷馬州開設總共 10 家圓桌披薩特許經營餐廳，並在阿肯色州開設另外 6 家特許經營店。

Both are new states for the brand.

兩者都是該品牌的新狀態。

Finally, Fabrizio made its long-awaited debut in Orlando with lines wrapping around the restaurant opening day.

最後，Fabrizio 在奧蘭多迎來了期待已久的首次亮相，餐廳開幕當天就排起了長隊。

This follows our well-received entrance into the state last year with a new location in Tampa.

繼去年我們進入該州並在坦帕開設新辦事處後，廣受好評。

Both locations are part of the 14 store development agreement in Orlando and western Florida.

這兩個地點都是奧蘭多和佛​​羅裡達州西部 14 家商店開發協議的一部分。

We also continue our expansion with the use of our co-branding strategy.

我們也利用聯合品牌策略繼續擴張。

During Q1, we announced the grand opening of our first West Coast, Johnny Rockets and hurricane wings co-branded restaurants.

第一季期間，我們宣布第一家西海岸約翰尼火箭隊和颶風之翼聯名餐廳盛大開幕。

Following the resounding success of our first, Johnny Rockets and hurricane winds co-branded restaurant in Washington, D.C. last year.

繼去年我們在華盛頓特區開設的第一家 Johnny Rockets 和颶風風聯名餐廳取得巨大成功之後。

Similarly to Fabrica and Buffalo's Express, Johnny Rockets and hurricane winds have a great synergy together as they're both family oriented restaurant brands with loyal followings.

與 Fabrica 和 Buffalo's Express 類似，Johnny Rockets 和颶風風有著巨大的協同作用，因為它們都是面向家庭的餐廳品牌，擁有忠實的追隨者。

Additionally, in April, we announced a new development yield to open 40 new franchised fabric locations in Northern California inside 40 existing round table Pizza locations over the next 10 years with the first location set to open in 2024 since opening our first co-branded Fabrica Round Table Pizza in the Dallas area last year, we have seen significant interest in this pairing from our franchisee base strategy is not similar to the success we have had experienced with our over 100 co-branded locations and fabricator and Buffalo's Express and separately at or more than 100 Marble Slab Creamery and Great American Cookies co-branded locations worldwide.

此外，4 月，我們宣布了新的開發收益，未來10 年內將在北加州40 家現有圓桌披薩店內開設40 家新的面料特許經營店，自開設第一家聯合品牌Fabrica 以來，第一家店將於2024 年開業去年達拉斯地區的圓桌披薩，我們從我們的加盟商基礎戰略中看到了對這種配對的濃厚興趣，這與我們在100 多個聯合品牌地點和製造商以及Buffalo's Express 以及分別在或的地方所經歷的成功並不相似。

Also, I'd like to mention our continued success in the growth of nontraditional units across our brands in locations like airports, cruise lines, amusement parks, universities, casinos, et cetera.

另外，我想提一下我們在機場、遊輪公司、遊樂園、大學、賭場等地的品牌非傳統單位成長方面的持續成功。

For example, we are now operating Johnny Rockets on approximately 15 Royal Caribbean cruise liners, both operators and Johnny Rockets and multiple Six Flags theme parks as well as partnering with several prime operators in a number of airports and universities.

例如，我們現在在大約 15 艘皇家加勒比遊輪上運營約翰尼火箭隊，包括運營商和約翰尼火箭隊以及多個六旗主題公園，並與一些機場和大學的幾家主要運營商合作。

Moving on to our strategic pillar number two, growth through acquisitions.

接下來是我們的第二個策略支柱，即透過收購實現成長。

We are assessing several new potential acquisitions at this time.

我們目前正在評估幾項新的潛在收購。

Currently, we're looking at opportunities that adds significant strategic value similar to how we bought Smokey Bones to fuel growth of 26 and how we bought Nestle Toll House Café to boost our manufacturing facilities utilization.

目前，我們正在尋找能夠增加重大策略價值的機會，類似於我們如何購買 Smokey Bones 以推動 26 的成長，以及如何購買 Nestle Toll House Café 以提高我們的製造設施利用率。

When evaluating acquisition targets, we must ensure the brand is both scalable and synergistic with our existing platform and when possible, leverage our existing manufacturing capacity, which brings us to our third strategic priority, our Georgia based manufacturing facility, our manufacturing plant produces pretzel mix and cookie DO. four brands within our portfolio.

在評估收購目標時，我們必須確保品牌既具有可擴展性，又與我們現有的平台具有協同作用，並在可能的情況下，利用我們現有的製造能力，這使我們實現了第三個策略重點，即我們位於喬治亞州的製造工廠，我們的製造工廠生產椒鹽捲餅混合物和餅乾做。我們的產品組合中有四個品牌。

During Q1, our manufacturing facility generated $9.5 million in sales, a 3.4% increase over the prior year, additionally contributed $3.7 million to adjusted EBITDA.

第一季度，我們的製造工廠實現了 950 萬美元的銷售額，比上年增長 3.4%，另外還為調整後的 EBITDA 貢獻了 370 萬美元。

Currently, our factory business is operating at about 45% of its capacity, up from 33%, almost three years ago when we purchased the assets, not included in that percentage is the 3.5 acres of excess real estate that factory sits on, which can be expanded on onto also we can further double the factory output capability if we have demand making a modest $1.5 million capital expenditure.

目前，我們工廠業務的產能利用率約為 45%，高於三年前我們購買資產時的 33%，不包括在該百分比中的是工廠坐落的 3.5 英畝多餘房地產，這可以如果我們需要進行150萬美元的適度資本支出，我們還可以將工廠的產能進一步擴大一倍。

As a result, we see significant whitespace opportunity within our factory business to increase utilization.

因此，我們在工廠業務中看到了巨大的空白機會來提高利用率。

We have leveraged our portfolio of brands by enhancing our dessert offerings, selling cookies and other products made at the facility within these restaurants.

我們透過增強我們的甜點產品、銷售餅乾和在這些餐廳內的設施生產的其他產品來利用我們的品牌組合。

Additionally, we are actively involved in several RFPs for various third parties to use our facilities to produce their cookie dough and dry mix type products and utilize our excess capacity.

此外，我們也積極參與多個第三方徵求建議書，以使用我們的設施來生產他們的餅乾麵團和乾混型產品，並利用我們的過剩產能。

Lastly, I would like to provide an update on the growth and the work of the FAT Brands foundation.

最後，我想介紹一下 FAT Brands 基金會的發展和工作的最新情況。

As mentioned earlier, we hosted our FAT Brands Summit two weeks ago.

如前所述，我們兩週前舉辦了 FAT 品牌高峰會。

The foundation was a key element at the summit hosting our first ever giving back event with three square Southern Nevada's only food bank and the area's largest hunger relief organization.

該基金會是峰會的關鍵要素，它與內華達州南部唯一的三個廣場的唯一食品銀行和該地區最大的飢餓救濟組織一起舉辦了首次回饋活動。

Attendees helped pack nearly 6,000 meals for families.

與會者幫助為家庭準備了近 6,000 份餐點。

Further, the foundation was happy to deliver a $10,000 grant to supply 30,000 meals to the food insecure in the area.

此外，該基金會很高興提供 10,000 美元的贈款，為該地區糧食不安全的地區提供 30,000 份餐點。

The foundation board also hosted several on-site fundraising efforts, including a raffle and silent auction, raising over $75,000 to support nonprofits in FAT Brands communities to recognize this tremendous achievement.

基金會董事會還舉辦了多次現場籌款活動，包括抽獎和無聲拍賣，籌集了超過 75,000 美元來支持 FAT Brands 社區的非營利組織，以表彰這一巨大成就。

Softbrands is donating an additional $50,000 for the further to further the critical work of the foundation.

Softbrands 額外捐贈 50,000 美元，用於進一步推進基金會的關鍵工作。

This will bring the 2024 available Foundation funds for grants to more than $300,000.

這將使 2024 年基金會的可用補助金超過 30 萬美元。

It's worth noting that that Brands Inc. underwrites all SG&A for the foundation so that all money raised 100% of it is spent on gifts to deserving organizations.

值得注意的是，Brands Inc. 為基金會承保所有銷售及管理費用，因此籌集到的所有資金 100% 都用於向值得的組織贈送禮物。

In summary, I have the utmost confidence in our exceptional leadership team and a robust pipeline of growth opportunities that lie ahead, which naturally delever our balance sheet.

總之，我對我們卓越的領導團隊和未來強勁的成長機會充滿信心，這自然會降低我們的資產負債表。

Our long term strategy is create value through the organic expansion of our existing brands, acquire additional brands strategically complement our portfolio, realize value from strategic divestments when appropriate to manage outstanding debt and ultimately increase long-term value for our stakeholders.

我們的長期策略是透過現有品牌的有機擴張創造價值，收購更多品牌策略性地補充我們的產品組合，在適當的時候透過策略撤資實現價值以管理未償債務，並最終為我們的利益相關者增加長期價值。

We look forward to providing updates on our progress during future calls.

我們期待在未來的電話會議中提供最新進展。

We sincerely appreciate your participation today and your ongoing interest in Power Brands and with that, I would now like to hand it over to Ken to discuss our financial highlights from the first quarter.

我們衷心感謝您今天的參與以及您對 Power Brands 的持續關注，因此，我現在想將其交給 Ken，討論我們第一季的財務亮點。

Thanks, Andy.

謝謝，安迪。

Total revenue during the first quarter increased 43.8% to $152 million, driven by the acquisition of Smokey Bones in the fourth quarter of 2023 and revenues from new restaurant openings cost and expenses increased $48 million or 45.6% in the first quarter.

受 2023 年第四季收購 Smokey Bones 的推動，第一季總收入成長 43.8% 至 1.52 億美元，第一季新餐廳開業成本和費用收入成長 4,800 萬美元，即 45.6%。

Included in costs and expenses.

計入成本和費用。

General and administrative expense increased $1.6 million or 5.6% to $30 million in the first quarter from $28.4 million in the prior year period, primarily due to the acquisition of Smokey Bones in the fourth quarter of 2023.

第一季的一般和管理費用從去年同期的 2,840 萬美元增加到 3,000 萬美元，增幅為 160 萬美元，增幅為 5.6%，這主要是由於 2023 年第四季度收購了 Smokey Bones。

Cost of restaurant and factory revenues increased to $99.1 million in the first quarter of 2024 compared to $59.1 million in the prior year quarter, primarily due to the acquisition of Smokey Bones again during the fourth quarter of 2023.

2024 年第一季度，餐廳和工廠收入成本增至 9,910 萬美元，而去年同期為 5,910 萬美元，這主要是由於 2023 年第四季度再次收購了 Smokey Bones。

Depreciation and amortization expense increased $3.1 million to $10.2 million in the first quarter from $7.1 million in the year-ago quarter, primarily due to the acquisition of Smokey Bones again during the fourth quarter of 2023 and depreciation of new company-owned restaurant property and equipment advertising expense varies in relation to advertising revenues and increased to $12.6 million in the first quarter of this year from $10.5 million in the year ago period.

第一季的折舊和攤銷費用從去年同期的 710 萬美元增加到 1,020 萬美元，主要是由於 2023 年第四季再次收購 Smokey Bones 以及公司擁有的新餐廳財產和設備的折舊廣告費用隨廣告收入的變化而變化，今年第一季從去年同期的1,050 萬美元增至1,260 萬美元。

Total other expense net for the first quarter of 2024 and 2023 was $33.4 million and $30 million, respectively, which is inclusive of interest expense of $34 million and $30.1 million, respectively.

2024 年和 2023 年第一季的其他費用淨額總額分別為 3,340 萬美元和 3,000 萬美元，其中分別包括 3,400 萬美元和 3,010 萬美元的利息費用。

Net loss for the quarter was $38.3 million or $2.37 per diluted share, compared to a net loss of $32.1 million or $2.5 per diluted share in the prior year quarter.

本季淨虧損為 3,830 萬美元，即稀釋後每股虧損 2.37 美元，去年同期淨虧損為 3,210 萬美元，即稀釋後每股虧損 2.5 美元。

On an as-adjusted basis, our net loss was $32.9 million or $2.5 per diluted share compared to a net loss of $23.5 million or $1.53 per diluted share in the prior year quarter.

在調整後的基礎上，我們的淨虧損為 3,290 萬美元，即稀釋後每股 2.5 美元，而去年同期的淨虧損為 2,350 萬美元，即稀釋後每股 1.53 美元。

And lastly, EBITDA for the quarter was $9.4 million compared to $7.7 million in the first quarter of 2023.

最後，本季的 EBITDA 為 940 萬美元，而 2023 年第一季為 770 萬美元。

And adjusted EBITDA for the quarter was $18.2 million compared to $19.2 million in the year-ago quarter.

本季調整後 EBITDA 為 1,820 萬美元，而去年同期為 1,920 萬美元。

And with that, Nick, please open the lines for questions.

尼克，請打開提問線。

(Operator Instructions)

（操作員說明）

Alton Stump, Loop Capital.

奧爾頓·斯坦普（Alton Stump），Loop Capital。

Great.

偉大的。

Thanks for taking my question.

感謝您提出我的問題。

I guess first, I want to ask and I do apologize if I happen to have missed this during your presentation, but utilization at your cookie factory obviously is a big opportunity.

我想首先，我想問一下，如果我在您的演示過程中碰巧錯過了這一點，我深表歉意，但在您的餅乾工廠使用顯然是一個很大的機會。

Could you update us on where the utilization is now say was this time last year and kind of where it could head over the course of the year?

您能否向我們介紹去年此時的使用率以及今年的利用率情況？

Yes, it is roughly 45% today, Elton, and that's before we pull any of the levers to give us even more capacity so it's 45% as built today.

是的，艾爾頓，今天大約是 45%，而且這是在我們拉動任何槓桿以提供更多容量之前，所以今天建成的是 45%。

But of course, it can double in capacity by a small investment in equipment.

當然，透過少量的設備投資就可以將產能提高一倍。

And that's without even using the excess land.

這甚至沒有使用多餘的土地。

We are we have rolled out cookies and dessert items at a number of our brands.

我們已經在多個品牌推出了餅乾和甜點。

We have a few brands left to go that are more in the casual dining and polished casual segment.

我們還剩下一些品牌，更多的是休閒餐飲和精緻休閒領域。

So we expect to get some more traction there that will soak up some more capacity.

因此，我們希望在那裡獲得更多的牽引力，從而吸收更多的產能。

And then we are testing some third party manufacturing relationships right now, which we expect to go well, could really soak up that capacity by the end of the year.

然後我們現在正在測試一些第三方製造關係，我們預計這些關係進展順利，到年底可能會真正吸收這些產能。

So very excited about the progress we've made last year and I mean 12 months ago, capacity was was somewhere in the lower 40s or utilization service, somewhat lower 40s, but now it's moved up a few Qix.

我們對去年取得的進展感到非常興奮，我的意思是 12 個月前，容量處於 40 多歲或利用率服務的較低水平，略低於 40 多歲，但現在它已經上升了幾個 Qix。

Okay, great.

好的，太好了。

Thanks for that color.

謝謝那個顏色。

And then I just want to ask about Twin Peaks.

然後我只想問一下《雙峰》的事。

Obviously, it is an excellent brand growing very rapidly.

顯然，這是一個發展非常迅速的優秀品牌。

Question mentioned the opportunity to Smokey Bones conversions.

問題提到了煙熏骨轉換的機會。

As you kind of look at the $20 million, $25 million, of course, that you have to get and you guys you have for next year, but just know how quickly do you think that the pace of builds could pick up given the fact that you obviously now have this healthy balance here too early to compare?

當然，你會看到明年你必須獲得的 2000 萬美元、2500 萬美元，但只要知道你認為建設速度會加快多少，考慮到以下事實：顯然你現在已經達到這種健康的平衡還為時過早，無法進行比較嗎？

Well, we have this 15 to 18 store target for 2024.

嗯，我們的目標是在 2024 年開設 15 到 18 家商店。

The issue really is that the 2024 locations were already identified and in 2023 by franchisees and by the company for corporate stores.

事實上，問題在於 2024 年的地點已經由特許經營商和公司確定，並在 2023 年確定了企業商店的地點。

So it's not really the conversions, many of them.

所以這不是真正的轉變，很多都是轉變。

There'll be a few that happened this year.

今年會有一些這樣的事情發生。

It's really 25 and 26.

確實是25和26。

But in those years, both franchisees and corporate locations, we will accelerate that opening.

但在那些年裡，無論是特許經營者還是企業地點，我們都會加速開放。

So it should be somewhere in the 20 to 25 units per year or not 15 to 18 years.

所以每年應該在 20 到 25 台之間，而不是 15 到 18 年。

Great.

偉大的。

And then just Utah, as a follow-up to that, I was going to ask you you mentioned that you are building ground up, pick it off a couple of years to build a twin peaks.

然後就是猶他州，作為後續行動，我想問你，你提到你正在建設，用幾年時間建造一座雙峰。

You ballpark.

你大概吧。

How long does it take to convert?

轉換需要多長時間？

I assume, obviously not as long as that, but just given the fact that I just point out, you want bought this business just over six months ago.

我想，顯然沒有那麼長，但考慮到我剛才指出的事實，你想在六個月前購買這家公司。

And so I guess your what would be the timing if you were to decide now to convert a location on average until it could actually be opened as a twin peaks?

所以我想，如果您現在決定平均轉換一個位置，直到它實際上可以作為雙峰開放，那麼時機是什麼？

Yes.

是的。

So we have the first one underway now in Lakeland, Florida, it's 122 hundred and 50 days for the first one.

第一個項目現在正在佛羅裡達州萊克蘭進行，距離第一個項目已經 12200 50 天了。

But we think going forward, knock on wood will be 120 days to convert them.

但我們認為，展望未來，將需要 120 天的時間來轉換它們。

So very quick compared to all the other things that you do Now to be fair, when you identify a site, maybe it takes nine months from start to finish because of permitting and all those things that have to go on.

與您現在所做的所有其他事情相比，速度非常快，公平地說，當您確定一個站點時，由於許可和所有必須進行的事情，從開始到完成可能需要九個月的時間。

But once you break the construction hammer and you close the restaurants start to conversion, it's somewhere around 120 days, so very quick.

但是，一旦你敲碎了施工錘子，關閉了餐館，就開始進行改造，大約需要 120 天，所以非常快。

Great.

偉大的。

Thanks so much for the color.

非常感謝你的顏色。

I will hop back in the queue.

我會跳回到隊列中。

You bet.

你打賭。

Thank you.

謝謝。

Next question comes from Joe Gomes with NOBLE Capital.

下一個問題來自 NOBLE Capital 的 Joe Gomes。

Please go ahead.

請繼續。

Good afternoon.

午安.

Thanks for taking my questions.

感謝您回答我的問題。

So just on the same-store sale drop, I mean, you've seen it headlines and some of the other restaurants seeing the same thing.

因此，我的意思是，就同店銷售額下降而言，您已經看到了頭條新聞，其他一些餐廳也看到了同樣的情況。

I don't know if you guys break this out or it's possible to kind of get a feel, but how much of that same-store sale decline is due to traffic and is or maybe price reductions at some of the franchisees?

我不知道你們是否能把這個問題分解出來，或者是否有可能感覺到，但同店銷售下降有多少是由於客流量造成的，或者是某些特許經營商的降價造成的？

Well, I think the way to think about I mean, there is some difference between our QSR segment or fast casual segment or a casual dining and polished in all the segments have different numbers.

嗯，我認為思考的方式我的意思是，我們的 QSR 細分市場或快速休閒細分市場或休閒餐飲和拋光細分市場之間存在一些差異，所有細分市場都有不同的數字。

We don't report or break them out that way.

我們不會以這種方式報告或分解它們。

But just as a as just to give you a little color like our snack brands like cookies and ice cream pretzels and things like that.

但就像給你一點顏色一樣，就像我們的零食品牌一樣，像是餅乾和冰淇淋椒鹽捲餅之類的東西。

They're trending in a pretty good direction here.

他們在這裡正朝著一個非常好的方向發展。

And they're just not off by much at all anymore if you did not, but you look at our casual dining where you could look at Ponderosa and Bonanza the steakhouse chains and they're up over somewhere between 5% and 6% right now year to date.

如果你不這樣做的話，它們就不再相差太多了，但是你看看我們的休閒餐飲，你可以看看 Ponderosa 和 Bonanza 牛排連鎖店，它們現在的漲幅在 5% 到 6% 之間今年迄今為止。

And that's a value trade, right?

這就是價值交易，對嗎？

That's a that's customers finding value that are pressured by dollars to spend.

這是客戶在美元壓力下發現價值的原因。

And we started the year like everyone else, you know, really tough January sales were off significantly because of the weather everywhere, and they've been coming back some period after period so here we are for periods and the negative numbers are much less so than they were to start with if you add everything up.

我們和其他人一樣開始了這一年，你知道，由於各地天氣的原因，一月份的銷售情況非常艱難，而且他們已經在一個又一個時期回來了，所以我們在這裡經歷了一段時期，負數要少很多。

And so we're encouraged that things are improving.

因此，我們對事情正在改善感到鼓舞。

It is a little bit different and where you are in the value spectrum of price.

它有點不同，以及您在價格價值範圍內的位置。

Okay, thanks for that.

好的，謝謝。

And on the the Twin Peaks, Palm, I know you talked about it was kind of market conditions, but we have seen some other restaurant IPOs.

在雙峰棕櫚酒店，我知道你談到了這是一種市場狀況，但我們也看到了其他一些餐廳的首次公開募股。

Is there something that you kind of you're waiting for or that is unique to Twin Peaks that Tom knows, it's not a growth.

有沒有什麼是你正在等待的，或是雙峰獨有的，湯姆知道，這不是成長。

It's not a go yet for an IPO.

目前還不是首次公開募股的最佳時機。

So we are working very hard, very diligently on this IPO.

所以我們正在非常努力、非常努力地進行這次IPO。

We hope to be on file very soon, and we will announce that we confidentially filed when we when we do file.

我們希望盡快歸檔，當我們歸檔時，我們會宣布我們是秘密歸檔的。

So everyone will be in the dark, don't know that we filed it will be a confidential filing, but everyone will know.

所以每個人都會蒙在鼓裡，不知道我們提交的文件會是機密文件，但每個人都會知道。

And we have to be because we're putting Smokey Bones together with Twin Peaks in terms of one organizational entity so that when the stores are converted.

我們必須這樣做，因為我們將 Smokey Bones 與 Twin Peaks 合併為一個組織實體，以便在商店轉型時這樣做。

It's easy inside the same entity.

在同一個實體內部很容易。

We had to get a new additive of Smokey Bones for all of 2023.

我們必須在 2023 年全年使用煙熏骨頭的新添加劑。

And we didn't own Smokey Bones for all of 2023.

而 2023 年我們都沒有擁有 Smokey Bones。

So it's taken a little bit of time that's actually expected to be completed by the end of this week.

因此，這需要一點時間，實際上預計將在本週末完成。

And so and we're hopeful that will be on file here very shortly.

因此，我們希望很快就會在這裡歸檔。

Okay.

好的。

And then on the Smokey Bones that you're talking about converting here, do you expect them to maintain them as company stores or do you think they would be refranchised?

然後，關於您在這裡談論的轉換的 Smokey Bones，您是否希望他們將其維持為公司商店，或者您認為他們會重新特許經營？

Yes, that's a good question.

是的，這是一個好問題。

And so somewhere between two-thirds and three-quarters of them will be franchised.

因此，其中三分之二到四分之三的人將獲得特許經營權。

The balance will be company-owned.

餘額將歸公司所有。

It's really depends on the geography.

這確實取決於地理位置。

So if it's already in a franchisee territory, we expect one of the existing franchisees to take on that conversion.

因此，如果它已經在特許經營商的範圍內，我們預計現有的特許經營商之一將承擔這一轉變。

And if it's in a market that's a corporate market like Texas or part of Florida, the Mid-Atlantic or something like that, then we would operate as a corporate store.

如果它所在的市場是企業市場，例如德克薩斯州或佛羅裡達州的一部分、大西洋中部或類似地區，那麼我們將作為企業商店運營。

And if it's in a market where we don't have a franchisee yet, we'll either get a franchisee to reach into that market or we'll do it as of in-store.

如果我們所在的市場還沒有特許經營商，我們要么讓特許經營商進入該市場，要么在店內進行。

So either way, we've identified the stores that can be converted and things that restrict which stores can be converted or not.

因此，無論哪種方式，我們都已經確定了可以轉換的商店以及限制哪些商店可以轉換或不可以轉換的因素。

There may be landlord restrictions on a percentage of alcohol that can be sold and it could be some other lease provision and that restricts and other things about the business so that we may already have a twin peaks nearby.

房東可能對可出售的酒精百分比有限制，也可能是其他一些租賃條款，限制了有關業務的其他事項，因此我們附近可能已經有雙峰了。

So it makes sense to have the second one.

因此，擁有第二個是有道理的。

So Smokey Bones is our second highest AUV concept with more than a 3 million AUV, and we really want to grow that brand.

所以 Smokey Bones 是我們第二高的 AUV 概念，擁有超過 300 萬個 AUV，我們真的很想發展這個品牌。

It's a great brand, great food.

這是一個偉大的品牌，美味的食物。

It used to be 120 units and our franchise sales team is in the thick of it to get that brand ready for franchising, whether we refranchise existing company-owned stores that we retain or whether we just sell new stores all of that is in the works.

過去有120 個單位，我們的特許經營銷售團隊正忙於讓該品牌為特許經營做好準備，無論我們是重新特許經營我們保留的現有公司自有商店，還是只是出售新商店，所有這些都在進行中。

Okay.

好的。

And one more, if I may.

如果可以的話，再來一張。

So the number of new store openings in the first quarter were a little bit lighter than I would have expected.

因此，第一季新開店的數量比我預期的要少一些。

You did mention you think you're going to get 44 our so open in the second quarter.

你確實提到你認為你會在第二季度得到 44 分。

How confident are you?

你有多少信心？

That's a pretty big jump from the 16 that were in the first quarter.

與第一季的 16 個相比，這是一個相當大的跳躍。

Was there something particular to the first quarter that kind of slowed down the opening growth?

第一季是否有什麼特殊因素導致開盤成長放緩？

No question.

沒有問題。

It's heavily back-ended here for Q2, but what you see in Q1, we had just ridiculous weather in January.

第二季的情況嚴重滯後，但你在第一季看到的情況是，一月份的天氣很荒謬。

So many markets that slowed down people on their opening schedules and training and just everything you can see delivery of equipment, everything you can think have happened.

如此多的市場放慢了人們的開放時間表和培訓速度，以及您能看到的設備交付的一切，您能想到的一切都發生了。

So here we are with a number of additional stores that have already opened in Q2.

因此，我們在第二季已經開設了一些額外的商店。

I don't think we released that number, but very made substantial progress towards additional units through the month of April.

我認為我們沒有公佈這個數字，但截至 4 月份，我們在增加單位方面取得了實質進展。

And so we feel pretty good that we'll get to that 44 unit number by the end of June Great.

因此，我們感覺非常好，我們將在 6 月底之前達到 44 個單位的數量，這太棒了。

Thanks and I'll get back in queue.

謝謝，我會重新排隊。

Thank you.

謝謝。

This concludes our question and answer session.

我們的問答環節到此結束。

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

我想將會議轉回給安迪·維德霍恩 (Andy Wiederhorn) 發表閉幕詞。

Maybe I would just make sure that no one else has any other questions before we end the call.

也許我會在結束通話之前確保其他人沒有任何其他問題。

Okay.

好的。

(Operator Instructions)

（操作員說明）

So right, back to you, Andy.

那麼，回到你身邊，安迪。

I'm sorry, Victoria, I'd like to thank everyone for joining the call today.

抱歉，維多利亞，我要感謝大家今天加入電話會議。

And this concludes our Q1 recap.

我們第一季的回顧到此結束。

Thank you.

謝謝。

Have a good day.

祝你有美好的一天。

The conference has now concluded.

會議現已結束。

Thank you for attending today's presentation.

感謝您參加今天的演講。

You may now disconnect.

您現在可以斷開連線。