Friday, May 06, 2022

FAT Brands Inc. (FAT)
All Together Now – 1Q22 Results

Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.

Joshua Zoepfel, Research Associate, Noble Capital Markets, Inc.

Refer to the full report for the price target, fundamental analysis, and rating.

1Q22 Results. For the first time, all of FAT Brands’ acquisitions were together for a quarter. The Company reported 1Q22 revenue of $97.4 million up from $74.2 million in the fourth quarter, and compared to $6.6 million in 1Q21. The increased revenue reflects the 2022 acquisitions. FAT reported adjusted EBITDA of $15.1 million in 1Q22. Net loss for the quarter was $23.8 million, or $1.45 per share. We had projected revenue of $83 million and a net loss of $12.3 million, or $0.85 per share.

Solid Performance. The restaurant operations continue to post solid performance. Systemwide sales hit $504.9 million from $114.5 million a year ago, driven by the acquisitions. Notably SSS for concepts owned for a year were up 16.8%, and including all locations, were up 11.8%….

This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).

*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.