Company: BTBDW
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001477932-25-002248
Chunk: 509

Company: BT Brands, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 6
Chunk 509
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 inflationary pressure during 2024. Beef and egg costs continued to increase in 2024, and we expect costs to continue to be volatile in 2024. Given the competitive nature of the restaurant industry, it may be challenging to raise menu prices to fully cover cost increases. Future margin improvements may be difficult to achieve. Margin improvement will be achieved through operational enhancements, equipment advances, and increased volumes offsetting food cost increases.

Labor is a critical factor in operating our stores. Securing staff to run our locations has been more challenging in most areas where we operate our restaurants. The current labor market has resulted in higher wages as the competition for employees intensifies, not only in the restaurant industry but in practically all retail and service industries. We must develop and retain quality employees.

We cannot determine the future effects of any public health matters on our operations and financial results. We have and could continue to experience the impact of recent events, including but not limited to commodity inflation, disruption in our supply chain, and labor availability challenges at certain shops. We have increased and plan to continue raising prices to offset additional costs due to a higher inflationary economic environment in the U.S. These price increases may not be sufficient to mitigate higher costs, and further increases may negatively impact consumer behavior.

Results of operations for the 52 weeks ending December 29, 2024, compared to the 52 weeks ending December 31, 2024.

The following table sets forth, for the years indicated, our Consolidated Statements of Operations expressed as a percentage of total revenues. The percentages below may not reconcile because of rounding.

  52 weeks ended,December 29, 2024  52 weeks ended,December 31, 2023   Amount  %  Amount  % SALES $14,823,472   100.0% $14,076,653   100.0%COSTS AND EXPENSES                Restaurant operating expenses                Food and paper costs  5,605,579   37.8   5,597,167   39.8 Labor costs  6,128,574   41.3   5,458,351   38.8 Occupancy costs  1,403,204   9.5   1,312,717   9.3 Other operating expenses  962,287   6.5   841,894   6.