BT Brands, Inc. (BTBD) has seen a push of 78.28% in the premarket despite any latest news. However, the last trading session concluded at $2.468 with a decrease of 13.4%.
About BTBD
BT Brands, Inc. owns and operates the Burger Time fast-food restaurant business (BTBD). Following its recent IPO, the company intends to seek acquisitions in the restaurant business. Moreover, the firm also operates one unit in Minnesota as a franchisee of International Dairy Queen. In Minnesota, there are three Burger Time locations, four in North Dakota, and two in South Dakota.
Third Quarter 2021 Results – How was the quarter?
On 17th November 2021, BTBD reported third-quarter 2021 results. The company reported that it had $2 million cash in hand at the end of the quarter. Moreover, restaurant sales boosted to $6.6 million and store sales increased by 8.7%. Not only this but the net income was $236,000, less than that of $254,000 the year before.
So what?
BTBD is pleased to announce the successful completion of the recent first public offering. The company is well-positioned to pursue the objective of developing through acquisitions in the restaurant business. This has been possible because of the money from the sale and sustained great performance at the Burger Time locations.
As with other restaurant companies, the company has encountered cost challenges, both in commodities and in the labor market. Those pressures are expected to persist through the rest of this fiscal year and into 2022. Lastly, BTBD anticipates being able to control commodity cost increases through targeted menu pricing modifications, but the executives expect overall labor costs to remain under pressure.
$12 Million Initial Public Offering – What’s up?
On 12th November 2021, BTBD stated the updates on the $12 million initial public offerings. The company reported that the warrants are supposed to have an exercise price of $5.50 per share. Moreover, they will expire five years from the date of issuance. Not only this but to address over-allotments, the Company has given the underwriters a 45-day option to buy up to an additional 360,000 shares of common stock.
