Earnings Conference Call at 4:30 Eastern Today

BT Brands, Inc. (NASDAQ:BTBD), today reported its financial results for the thirteen weeks ending October 1, 2023, and for the 39-week period then ended. The results for 2023 include a full quarter for the three 2022 restaurant acquisitions, and our 41.2% share of Bagger Dave's Burger Tavern results with its six locations. BT Brands operates a total of eighteen restaurants comprising the following:

Eight Burger Time locations and one Dairy Queen franchise; in the North Central region of the United States, collectively ("BTND");
Bagger Dave's Burger Tavern, Inc., a 41.2% owned affiliate, operating six Bagger Dave's restaurants in Michigan, Ohio, and Indiana ("Bagger Dave's");
Keegan's Seafood Grille in Indian Rocks Beach, Florida ("Keegan's");
Pie In The Sky Coffee and Bakery in Woods Hole, Massachusetts ("PIE").
Village Bier Garten, in Cocoa, Florida ("VBG").

Highlights and recent activities include:

Total revenues for the 2023 39-week period increased 15.1% over 2022 to $11.1 million;
Operating income for the 13-week period was $40,614 an increase from $8,992 in 2022;
Net loss attributable to common shareholders was $379,006, or $.06 per share for the 39-week period in 2023:
For the 39-week period, restaurant-level adjusted EBITDA (a non-GAAP measure) for the year declined just 1.4% to $1,469,129 in 2023 from $1,489,488 in the same period in 2022;
Our equity in the second quarter loss of Bagger Dave's was $109,222:
At October 2, 2023, we had $6.9 million in cash and short-term investments.

Gary Copperud, the Company's Chief Executive Officer, said, "The third quarter is seasonally strong at Burger Time, and at Pie in The Sky which has continued to exceed our expectations. Our two Florida locations continued to perform below our expectations during the third quarter of 2023. The disappointing results in Florida are partially the result of unusually warm weather impacting tourist and business activity. Improving the profitability of our Florida businesses continues to be a major focus of our current activity. We incurred approximately $100,000 in non-recurring expenses related to our investment activities, including the contested proxy solicitation at Noble Roman. As a public company, we bear the burden of general and administrative expenses related to compliance and other public company activities; our goal is to spread these expenses over a larger revenue base in the future. We are experiencing some moderation of the 2022 inflationary pressure on our cost of sales inputs; however, we continue to face challenges in staffing even with labor markets trending slightly more favorable. As we consider the balance of 2023, we are focused on achieving profitability consistent with our expectations."

Fiscal 2023 and 2024 Outlook: Because of the evolving character of our Company and because of continuing uncertainty surrounding public health concerns, impacts of supply chain constraints, and the current inflationary environment, the Company is not providing a financial forecast for fiscal 2023 and 2024.

Conference Call: Management will host a conference call to discuss the second quarter financial results today, November 15, 2023, at 4:30 p.m. ET. Hosting the call will be Kenneth Brimmer, Chief Financial Officer and Gary Copperud, Chief Executive Officer.

Dial: 877-344-8082 Secondary, international dial-in: +1-213-992-4618 The conference call can be accessed live over the phone by dialing the access code. In addition, an archive of the call will be available on the Company's corporate website page after the call has concluded. Website www.itsburgertime.com.

About BT Brands Inc.: BT Brands, Inc. (BTBD and BTBDW) owns and operates a fast-food restaurant chain called Burger Time with locations in North and South Dakota and Minnesota and Pie In The Sky Coffee and Bakery in Woods Hole, Massachusetts, the Village Bier Garten in Cocoa, Florida, and Keegan's Seafood Grille near Clearwater, Florida. BT Brands is seeking acquisitions within the restaurant industry.

Cautionary Note Regarding Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future periods. Examples of forward-looking statements include, among others, statements we make regarding guidance relating to net income and net income per share, expected operating results, such as revenue growth and earnings, anticipated levels of capital expenditures for the 2023 fiscal year, current or future volatility in the credit markets and future market conditions, our belief that we have sufficient liquidity to fund our business operations during the next fiscal year, market position, financial results and reserves, and strategy for risk management.

Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: the disruption to our business from public health emergencies, the impact on our results of operations, and our financial condition; the uncertain nature of the restaurant industry; our ability to integrate acquired restaurants, delays in developing and opening new restaurants because of weather, local permitting or other reasons, increased competition, cost increases or shortages in raw food products, staffing shortages and the effect of inflation on key supplies and inputs.

Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

BT BRANDS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
*(Unaudited)*

		39 Weeks Ended			39 Weeks Ended,			13 Weeks Ended,			13 Weeks Ended,
		October 1, 2023			October 2, 2022			October 1, 2023			October 2, 2022
SALES	$	11,078,419		$	9,621,996		$	4,007,656		$	4,023,920
COSTS AND EXPENSES
Restaurant operating expenses
Food and paper costs		4,348,294			3,637,814			1,449,796			1,604,858
Labor costs		4,124,857			3,122,867			1,509,721			1,336,039
Occupancy costs		845,863			803,792			340,002			367,872
Other operating expenses		603,964			577,035			209,721			248,383
Depreciation and amortization		470,801			351,084			114,774			168,855
General and administrative		1,288,019			1,035,639			343,027			288,921
Gain on sale of assets		(313,688	)		-			-			-
Total costs and expenses		11,368,110			9,528,231			3,967,041			4,014,928
Income (loss) from operations		(289,691	)		93,765			40,615			8,992
GAIN (LOSS) ON MARKETABLE SECURITIES		33,184			(155,220	)		56,248			(74,982	)
INTEREST AND OTHER INCOME		123,630			55,836			32,821			46,364
INTEREST EXPENSE		(73,857	)		(88,099	)		(23,948	)		(33,638	)
EQUITY NET LOSS OF AFFILIATE		(254,272	)		(135,813	)		(109,222	)		(121,641	)
LOSS BEFORE TAXES		(461,006	)		(229,531	)		(3,486	)		(174,906	)
INCOME TAX BENEFIT		82,000			5,000			-			-
NET LOSS	$	(379,006	)	$	(224,531	)	$	(3,486	)	$	(174,906	)
NET LOSS PER COMMON SHARE -	$	(0.06	)	$	(0.03	)	$	(0.00	)	$	(0.04	)

WEIGHTED AVERAGE SHARES		6,257,652			6,459,223			6,246,118			6,461,118

BT BRANDS, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS

	(Unaudited)
	October 1, 2023				January 1, 2023
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	5,546,874		$	2,150,578
Marketable securities		1,366,973			5,994,295
Receivables		55,200			76,948
Inventory		192,991			158,351
Prepaid expenses and other current assets		37,445			37,397
Assets held for sale		258,751			446,524
Total current assets		7,458,234			8,864,093

PROPERTY, EQUIPMENT AND LEASEHOLD IMPROVEMENTS, NET		3,238,310			3,294,644
OPERATING LEASES RIGHT-OF-USE ASSETS		1,834,408			2,004,673
INVESTMENTS		1,115,615			1,369,186
DEFERRED INCOME TAXES		143,000			61,000
GOODWILL		671,220			671,220
INTANGIBLE ASSETS, NET		400,766			453,978
OTHER ASSETS, NET		49,627			50,903
Total assets	$	14,911,180		$	16,769,697
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable	$	431,187		$	448,605
Broker margin loan					791,370
Current maturities of long-term debt		164,866			167,616
Current operating lease obligations		215,326			193,430
Accrued expenses		476,035			532,520
Total current liabilities		1,287,414			2,133,541
LONG-TERM DEBT, LESS CURRENT PORTION		2,332,014			2,658,477
NONCURRENT LEASE OBLIGATIONS		1,650,361			1,825,057
Total liabilities		5,269,789			6,617,075
SHAREHOLDERS' EQUITY
Common stock		12,492			12,792
Less cost of Treasury shares		(356,807	)		(106,882	)
Additional paid-in capital		11,527,235			11,409,235
Accumulated deficit		(1,541,529	)		(1,162,523	)
Total shareholders' equity		9,641,391			10,152,622
Total liabilities and shareholders' equity	$	14,911,180		$	16,769,697

Category: Financial

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BT Brands Reports Third Quarter 2023 Results