Company: BTBDW
Filing Date: 2025-11-17
Form Type: 10-Q
Source: 0001477932-25-008407
Chunk: 28

Company: BT Brands, Inc.
Filing Date: 2025-11-17
Form: 10-Q
Item: Part I, Item 1
Chunk 28
---
 include difficulties attracting food service workers and rapid inflation in input costs. Recent trends also include the rapidly changing area of technology and food delivery. Major companies in the restaurant industry have adopted and developed smartphone and mobile delivery applications, aggressively expanded drive-through operations, and established loyalty programs and database marketing, all supported by robust technology platforms. We expect these trends to persist as restaurants continue to compete aggressively for customers. Competitors will continue to discount prices through aggressive promotions. 

Recent performance

The following are key highlights from the Company’s performance for the 13-week and 39-week periods ending September 28, 2025:

 ·Net sales for the 13 weeks were approximately $3.9 million, a 11.4% decrease from 2024, mainly due to two store closures. ·Net income for the 13 weeks improved to $914,975 from a loss of $219,479 in 2024. ·Restaurant-level EBITDA for the quarter improved to 21.3% of revenues from 10.9% in 2024. ·Labor costs for the 39 weeks fell to 35.7% of sales from 39.8% in 2024, reflecting improved staffing efficiency and store closures. ·Total costs and expenses decreased significantly due to disciplined cost control, offsetting a decline in sales. ·For the 39 weeks, income from operations, excluding the asset sales, improved to $125,494 from a loss of $863,695 in 2024, driven by operational efficiencies and the closing of two underperforming locations. ·The sale of the Richmond property resulted in a $288,731 gain during the third quarter, which is included in the gain on sale of assets. ·Strong focus on cost control, improved pricing strategies, and the impact of strategic closures contributed to improved margins. ·The Company plans to continue leveraging seasonal strength, cost reductions, and targeted sales initiatives.

Results of Operations for the Thirteen Weeks Ended September 28, 2025, and the Thirteen Weeks Ended September 29, 2024

Summary

The Company’s focus on operational efficiencies, disciplined expense management, and strategic closures of underperforming locations has resulted in improved margins and improved results despite lower sales volumes. Continued cost management and leveraging seasonal strengths are expected to be a central focus of management in future quarters. For the thirteen weeks ending September 28, 2025, net sales were $3.36 million, a decrease of $