FAMOUS DAVES OF AMERICA INC

CIK:0001021270|SEC Filings

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021	Jul. 03, 2022	Jul. 04, 2021
Revenue:
Revenue	$ 79,938	$ 45,520	$ 144,122	$ 82,839
Costs and expenses:
Food and beverage costs	22,820	11,932	41,177	21,989
Labor and benefits costs	24,348	12,429	43,734	22,683
Operating expenses	19,675	11,594	36,914	21,843
Depreciation and amortization expenses	2,238	1,433	4,661	2,985
General and administrative expenses	5,745	4,544	11,036	8,582
National advertising fund expenses	547	421	1,037	749
Asset impairment, estimated lease termination charges and other closing costs, net	16	25	425	37
Pre-opening expenses	86	92	151	120
Loss (gain) on disposal of property, net	(30)	143	14	135
Total costs and expenses	75,445	42,613	139,149	79,123
Income from operations	4,493	2,907	4,973	3,716
Other income (expense):
Interest expense	(167)	(261)	(287)	(315)
Interest income	2	74	10	98
Gain upon debt extinguishment	0	14,109	0	14,109
Gain on bargain purchase	159	0	197	0
Other gain	667	0	667	0
Total other income	661	13,922	587	13,892
Income before income taxes	5,154	16,829	5,560	17,608
Income tax expense	(985)	(399)	(744)	(481)
Net income	4,169	16,430	4,816	17,127
Net (income) loss attributable to non-controlling interest	10	(644)	130	(542)
Net income attributable to shareholders	$ 4,179	$ 15,786	$ 4,946	$ 16,585
Income per common share:
Basic net income per share (dollars per share)	$ 0.39	$ 1.70	$ 0.46	$ 1.79
Diluted net income per share (dollars per share)	$ 0.39	$ 1.64	$ 0.46	$ 1.73
Basic weighted average shares outstanding (shares)	10,756	9,304	10,654	9,256
Diluted weighted average shares outstanding (shares)	10,853	9,615	10,755	9,567
Restaurant sales, net
Revenue:
Revenue	$ 74,625	$ 41,205	$ 133,356	$ 74,808
Deferred franchise fees
Revenue:
Revenue	3,900	2,946	7,507	5,320
Franchisee national advertising fund contributions
Revenue:
Revenue	547	421	1,037	749
Licensing and other revenue
Revenue:
Revenue	$ 866	$ 948	$ 2,222	$ 1,962

Condensed Consolidated Statements of Cash Flows - USD ($)	6 Months Ended
	Jul. 03, 2022	Jul. 04, 2021
Cash flows from operating activities:
Net income attributable to shareholders	$ 4,946,000	$ 16,585,000
Net income	4,816,000	17,127,000
Adjustments to reconcile net income to cash flows provided by operations:
Depreciation and amortization	4,661,000	2,985,000
Stock-based compensation	1,020,000	638,000
Loss on disposal of property, net	14,000	135,000
Asset impairment, estimated lease termination charges and other closing costs, net	425,000	0
Gain upon debt extinguishment	0	(14,109,000)
Gain on bargain purchase	(197,000)	0
Amortization of operating right-of-use assets	5,998,000	3,732,000
Deferred tax asset	811,000	481,000
Other gain	(851,000)	0
Other non-cash items	35,000	168,000
Changes in operating assets and liabilities:
Accounts receivable, net	1,609,000	(188,000)
Prepaid expenses and other assets	100,000	(2,479,000)
Accounts payable	(1,980,000)	665,000
Accrued compensation and benefits	400,000	3,923,000
Lease liabilities	(6,698,000)	(4,265,000)
Gift card liability	(3,457,000)	(970,000)
Accrued and other liabilities	(612,000)	1,041,000
Cash flows provided by operating activities	6,224,000	8,884,000
Cash flows from investing activities:
Purchases of property, equipment and leasehold improvements	(2,297,000)	(1,114,000)
Payments for acquired restaurants	(37,675,000)	0
Proceeds from disposal of minority investment	4,168,000	0
Transfer from HFS	0	46,000
Payments received on note receivable	0	23,000
Cash flows used for investing activities	(35,804,000)	(1,045,000)
Cash flows from financing activities:
Proceeds from long-term debt	10,509,000	0
Payments on long-term debt	(1,070,000)	(1,032,000)
Tax payments for restricted stock units and stock options exercised	(142,000)	0
Proceeds from sale of common stock, net of offering costs	0	12,462,000
Proceeds from exercise of stock options	125,000	310,000
Cash flows provided by financing activities	9,422,000	11,740,000
Increase (decrease) in cash, cash equivalents and restricted cash	(20,158,000)	19,579,000
Cash, cash equivalents and restricted cash, beginning of period	41,461,000	19,603,000
Cash, cash equivalents and restricted cash, end of period	21,303,000	39,182,000
Supplemental Disclosures
Cash paid for interest, net	283,000	587,000
Non-cash investing and financing activities:
Operating right-of-use assets acquired	24,616,000	0
Lease liabilities assumed pursuant to acquisitions	24,647,000	0
Gift card liability assumed pursuant to acquisitions	287,000	0
Inventory acquired pursuant to acquisitions	$ 561,000	$ 0

Condensed Consolidated Balance Sheets - USD ($)	Jul. 03, 2022	Jan. 02, 2022
Current assets:
Cash and cash equivalents	$ 20,624,000	$ 40,309,000
Restricted cash	679,000	1,152,000
Accounts receivable, net of allowance for doubtful accounts of $336,000 and $270,000, respectively	3,816,000	5,476,000
Inventories	4,322,000	3,316,000
Prepaid expenses and other current assets	3,939,000	3,919,000
Total current assets	33,380,000	54,172,000
Property, equipment and leasehold improvements, net	47,621,000	39,943,000
Other assets:
Operating lease right-of-use assets	97,696,000	78,843,000
Goodwill	21,184,000	3,037,000
Intangible assets, net	30,383,000	23,444,000
Deferred tax asset, net	2,881,000	3,692,000
Other assets	1,460,000	1,292,000
Total assets	234,605,000	204,423,000
Current liabilities:
Accounts payable	5,681,000	7,661,000
Current portion of operating lease liabilities	14,344,000	11,904,000
Current portion of long-term debt and finance lease liabilities	1,957,000	1,621,000
Accrued compensation and benefits	7,418,000	7,121,000
Gift card liability	8,087,000	11,257,000
Other current liabilities	8,248,000	8,510,000
Total current liabilities	45,735,000	48,074,000
Long-term liabilities:
Operating lease liabilities, less current portion	93,531,000	77,729,000
Finance lease liabilities, less current portion	261,000	79,000
Long-term debt, less current portion	22,419,000	13,197,000
Other liabilities	1,314,000	997,000
Total liabilities	163,260,000	140,076,000
Shareholders’ equity:
#REF!	108,000	105,000
Additional paid-in capital	22,900,000	21,782,000
Retained earnings	48,337,000	43,391,000
Total shareholders’ equity	71,345,000	65,278,000
Non-controlling interest	0	(931,000)
Total equity	71,345,000	64,347,000
Total liabilities and equity	$ 234,605,000	$ 204,423,000