News

Good Times continues double-digit sales growth

July 8, 2014

Good Times Restaurants Inc. today announced that its Good Times’ same-store sales increased 12.5-percent in its Q3 ending June 30. This is compared to the prior year’s increase of 15.2 percent.

According to a news release, same-store sales in the month of June increased 10.6 percent over the prior year’s increase of 17.8 percent.

 “We are maintaining our two year trend of double-digit sales growth on top of double-digit growth and are only 50 percent of the way through our remodeling process of older stores. We believe that as we bring all stores to our current brand standards through fiscal 2015 complemented by continued product innovation and brand level marketing we will continue to reap additional sales growth, but the pace of growth may begin to moderate,” CEO Boyd Hoback said in the release.

Hoback added that the company has had to navigate historic beef, bacon and dairy costs, which will continue to have “some” impact on gross profit margin for the balance of the year.

“However, we have taken a series of smaller price increases to mitigate the impact and the flow-through on our incremental sales to restaurant operating profits so far this year has been approximately 50 percent which has overshadowed the small margin hit from the commodity costs,” he said.

Good Times anticipates accelerating operating profit margin for Q3 and Q4.

The company also expects to open one or two additional Good Times restaurants this calendar year and its second Bad Daddy’s Burger Bar restaurant in Colorado in late July. A third Bad Daddy’s is expected to open prior to the end of this calendar year as well.