Company: BTBDW
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001477932-25-006037
Chunk: 9

Company: BT Brands, Inc.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 9
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. We do not believe there is a significant risk related to cash. Investments  Our equity investment in an unconsolidated subsidiary of $99,734 and $304,439 is our investment in Bagger Dave’s as of June 29, 2025, and December 29, 2024, respectively, and is determined under the “Equity Method” of accounting.  Investment in equity and notes receivable from a related company is $996,357. This amount includes a $359,221 in the form of a senior secured promissory note, and other loans to NGI Corporation. (“NGI”). BT Brands has also acquired $292,372 of Disney-licensed water bottles, which are expected to be sold in the second half of 2025. See Note 9 for further details regarding the NGI investment. See Note 9 for further details regarding our NGI investment. Bagger Dave’s common stock is traded on the OTC Pink Sheets market and files quarterly and annual financial reports with OTCMarkets, Inc. under the Alternative Reporting Standard. The listing with OTC Markets does not require financial information to be audited. For the 26 weeks ending June 29, 2025, Bagger Dave’s had sales of $2,636,973 and a net loss of $502,959. For the 26 weeks, our 40.7% equity share in the loss was approximately $204,705, which is included in the accompanying statement of operations. The Company classifies its investments in debt securities, such as convertible notes receivable, as available-for-sale when they are not classified as either held-to-maturity or trading securities. These securities are carried at fair value, with unrealized gains and losses, net of deferred taxes, reported as a component of accumulated other comprehensive income in stockholders' equity. The fair value of available-for-sale debt securities is determined using quoted market prices when available. In the absence of quoted market prices, fair value is determined using observable inputs such as interest rates and yield curves. Realized gains and losses on the sale of available-for-sale debt securities are determined using the specific identification method and are recognized in earnings. Interest income on available-for-sale debt securities is recognized when earned and is included in interest income on the Consolidated Statements of Operations. The Company evaluates available-for-sale debt securities for impairment in accordance with ASC 326-30 to determine whether an allowance for credit losses is needed. The Company