Company: FWRG
Filing Date: 2025-11-04
Form Type: 10-Q
Source: 0001789940-25-000086
Chunk: 75

Company: First Watch Restaurant Group, Inc.
Filing Date: 2025-11-04
Form: 10-Q
Item: Part I, Item 2
Chunk 75
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 compared to the same period in the prior year primarily due to the increase in general and administrative expenses partially offset by the increase in restaurant level operating profit.

Adjusted EBITDA margin decreased during the thirty-nine weeks ended September 28, 2025 as compared to the same period in the prior year primarily due to the decrease in restaurant level operating profit margin partially offset by the decrease in general and administrative expenses as a percentage of revenues.

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Non-GAAP Financial Measures Reconciliations

Adjusted EBITDA and Adjusted EBITDA margin - The following table reconciles Net income and Net income margin, the most directly comparable GAAP measures to Adjusted EBITDA and Adjusted EBITDA margin, for the periods indicated:

THIRTEEN WEEKS ENDEDTHIRTY-NINE WEEKS ENDED(in thousands)SEPTEMBER 28, 2025SEPTEMBER 29, 2024SEPTEMBER 28, 2025SEPTEMBER 29, 2024Net income $2,991 $2,112 $4,268 $18,226 Depreciation and amortization19,662 15,153 54,355 41,960 Interest expense4,567 3,441 11,904 9,421 Income tax expense2,683 1,384 3,445 9,062 EBITDA29,903 22,090 73,972 78,669 Strategic costs (1)715 558 2,748 954 Loss on extinguishment and modification of debt— — — 428 Stock-based compensation, net of amounts capitalized (2)2,877 2,076 7,926 6,394 Delaware Voluntary Disclosure Agreement Program (3)1 26 54 101 Transaction expenses, net (4)428 375 2,220 1,769 Impairments and loss on disposal of assets (5)175 114 311 386 Recruiting and relocation costs (6)— 359 — 634 Severance costs (7)— 26 — 204 Adjusted EBITDA$34,099 $25,624 $87,231 $89,539 Total revenues$316,022 $251,609 $906,149 $752,619 Net income margin0.9 %0.8 %0.5