Fat Brands Stock Price, News & Analysis

FAT Brands reported a 50% increase in total revenues to $6.6 million for Q1 2021, compared to Q1 2020. The company showed system-wide sales growth of 35.3%, with strong performance from Fatburger and Buffalo’s. Despite these gains, FAT Brands recorded a net loss of $2.4 million or ($0.20) per share, unchanged from the prior year. EBITDA improved to $585,000, and adjusted EBITDA rose to $1.1 million. The recent $144.5 million securitization transaction significantly lowers costs and enhances liquidity for future growth.

FAT Brands Inc. announces new plant-based menu items at Johnny Rockets, including the Impossible Burger, Craig’s Vegan Shakes, and Daiya Cheddar Style Slices. This initiative aims to enhance customer options while keeping the brand's nostalgic Americana theme intact. The plant-based offerings are expected to perform well, continuing the trend seen at other FAT Brands concepts. Customers can order these items at participating locations or through the Johnny Rockets app. FAT Brands operates nine restaurant brands, including Johnny Rockets and Fatburger, with over 700 units globally.

FAT Brands Inc. (NASDAQ: FAT) will host a conference call on May 11, 2021, at 5:00 PM ET to discuss its first quarter 2021 financial results. A press release with these results will precede the call. The live conference call can be accessed by dialing 1-877-705-6003, with a replay available until May 18. The call will be led by President and CEO Andy Wiederhorn and streamed on the corporate website.

FAT Brands operates nine global restaurant brands, including Fatburger and Johnny Rockets, and franchises over 675 units worldwide.

On April 26, 2021, Percent announced the closure of a $144 million whole business securitization for FAT Brands Inc. (NASDAQ: FAT), marking their third such offering within thirteen months. This transaction refinances previous $40 million securitizations from 2020, reducing FAT's marginal cost of capital to 5.92%. The proceeds will support FAT's acquisition growth strategy, particularly following its acquisition of Johnny Rockets. Percent has established a strong relationship with FAT, enabling access to institutional ABS markets.

FAT Brands Inc. (NASDAQ: FAT) announced a quarterly cash dividend of $0.13 per share, declared on April 20, 2021. This dividend is payable on May 7, 2021 to stockholders on record as of May 3, 2021. The future of dividends is uncertain and will depend on the company's financial performance, capital levels, and cash requirements.

FAT Brands operates diverse restaurant concepts including Fatburger and Johnny Rockets, with over 700 franchises worldwide.

FAT Brands Inc. (NASDAQ: FAT) has successfully completed a $144,472,000 offering of Series 2021-1 Fixed Rate Asset-Backed Notes. This transaction significantly reduces the cost of capital compared to previous securitizations, providing excess capital for future acquisitions. The fixed interest rate for the issued notes is 5.92% per annum. CEO Andy Wiederhorn highlighted strong investor demand and the company's recovery in sales, with year-to-date figures exceeding 2019 and 2020 sales. The company plans to use the new capital to target high-growth acquisitions in a robust market.

FAT Brands announces a master franchise deal to develop 40 co-branded Fatburger and Buffalo’s Express locations throughout France, marking its first expansion into the country. This collaboration with BGH Investments follows the plan to open two Fatburger locations in Paris within 18 months. The CEO, Andy Wiederhorn, emphasized the importance of expansion and the demand for American cuisine in France. The deal will also introduce Buffalo’s Express wings to local consumers, further broadening their market presence.

FAT Brands Inc. has announced the opening of two new Johnny Rockets locations in Brazil and Chile, expanding its presence in South America. CEO Andy Wiederhorn highlighted the strong demand for their offerings as a reason for the expansion. The new locations are situated in São José, Brazil, and Patio Copiapo, Chile, with the latter focusing on delivery and takeout. Since its inception in 1986, Johnny Rockets has established a global presence with over 325 locations in 26 countries. The brand is known for its classic American fare and excellent guest experience.

FAT Brands reported Q4 and full-year 2020 financial results, highlighting a 24% revenue increase to $6.5 million compared to Q4 2019. However, excluding Johnny Rockets, revenue declined 19%. The company faced a net loss of $7.7 million or $0.64 per share, significantly worse than the $1.0 million loss in Q4 2019. System-wide sales growth was notable at 46.0% quarter-over-quarter, with 29 new franchised store openings. The company plans further acquisitions and expansion, leveraging its whole business securitization facility.