Company: BTBDW
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001477932-25-003689
Chunk: 1

Company: BT Brands, Inc.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 2
Chunk 1
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 across our restaurant base by utilizing the efficiencies of a central management team.

Notable Recent Events

During the first quarter this year, we closed our Village Bier Garden restaurant in Cocoa, Florida, and our Ham Lake, Minnesota location. In the first quarter of 2024, the two closed locations contributed $507,458 in revenue and recorded an operating loss of approximately $94,000.  We entered into an assignment of the Village Bier Garten lease to an unrelated party and are currently assessing alternatives for the Ham Lake location, including the sale of the property, which we believe would result in a gain on the sale of assets. 

Material Trends and Uncertainties

Industry trends have a direct impact on our business. Current trends include difficulties attracting food service workers and rapid inflation in the cost of input items. Recent trends also include the rapidly changing area of technology and food delivery. The major companies in the restaurant industry have rapidly adopted and developed smartphone and mobile delivery applications, aggressively expanded drive-through operations, and developed loyalty programs and database marketing supported by a robust technology platform. We expect these trends to continue as restaurants aggressively compete for customers. Competitors will continue to discount prices through aggressive promotions.

 Page 17 of 24Table of Contents

Results of Operations for the Thirteen Weeks Ended March 30, 2025, and the Thirteen Weeks Ended March 31, 2024

The following table sets forth our Condensed Statements of Income and percentages of total sales for the thirteen-week fiscal periods. The percentages below may not reconcile because of rounding.

    13 weeks ended,March 30, 2025   13 weeks ended, March 31, 2024   Amount  %  Amount  % SALES $3,231,073   100.0% $3,190,147   100.0%COSTS AND EXPENSES                Restaurant operating expenses                Food and paper costs  1,200,329   37.1   1,278,958   40.1 Labor costs  1,217,897   37.7   1,386,686   43.5 Occupancy costs  309,694   9.6   336,275   10.5 Other operating expenses  187,920   5.8   203,900   6.4 Depreciation and amortization  156,