ONE Group Hospitality (STKS) Reports Q3 Revenues Beat

ONE Group Hospitality (NASDAQ: STKS) reported Q3 EPS of ($0.01), versus $0.00 reported last year. Revenue for the quarter came in at $19.6 million versus the consensus estimate of $18.9 million.

• Total GAAP revenue increased 12.1% to $20.0 million compared to $17.8 million in the same period last year;
• Domestic comparable sales* at owned and managed STK restaurants rose 6.9%, consisting of a 7.7% increase in domestic owned restaurants and a 5.4% in domestic managed restaurants;
• GAAP income from continuing operations was $0.3 million compared to GAAP net loss of $0.5 million for the same period last year;
• GAAP net loss attributable to The ONE Group Hospitality, Inc. was $0.3 million compared to GAAP net loss of $1.2 million or for the same period last year;
• Adjusted EBITDA** increased 41.1% to $2.0 million compared to $1.4 million the same period last year;
• Total owned restaurant expenses decreased 330 basis points to 90.3% from 93.6% as a percentage of owned net restaurant revenues; and
• Opened one Company-owned STK and two international licensed STKs.

Emanuel “Manny” Hilario, President and Chief Executive Officer, said, “We are making remarkable progress executing our four point strategy during the third quarter, as demonstrated by our 6.9% comparable sales growth, 12.1% increase in total revenue growth, and 41.1% increase in adjusted EBITDA , while setting ourselves up for long-term success. We have a very deep pipeline of development, management and licensed opportunities, which is a reflection of the unique guest dining, and hospitality experiences that we are able to create. We are back in growth mode as we have identified significant global opportunities to create unique vibe-dining experiences through company owned restaurants as well as managed and licensed restaurants and venues.”

Hilario added, “We are executing against our development pipeline as demonstrated by the three new locations opened during the third quarter. Openings included a second licensed location in Dubai, a company-owned restaurant in San Diego, CA, and a licensed location in Mexico City. All of these units are meeting or exceeding their preliminary targets which is very encouraging. We now plan to open one domestic managed STK, one international licensed STK, and one food and a beverage hospitality venue before year-end.”

For earnings history and earnings-related data on ONE Group Hospitality (STKS) click here.

You May Also Be Interested In

• Gilead Sciences (GILD) Misses Q1 EPS by 288c
• AptarGroup (ATR) Tops Q1 EPS by 11c
• World Kinect Corporation (WKC) Misses Q1 EPS by 2c, Misses on Revenue