December 07, 2012 // Franchising.com // GOLDEN, CO - Good Times Restaurants Inc. (GTIM) today announced its same store sales increased 6.8% for the month of November. Same store sales decreased .9% for its fourth fiscal quarter ended September 30, 2012, however road construction materially impacted two restaurants and without those disruptions, same stores sales would have increased 1.3% in the fourth quarter, the ninth consecutive quarter of same store sales increases.
Commenting on the sales trends, President & CEO, Boyd Hoback said “While our sales increase from prior year trend softened up a bit due to tougher prior year comps in the fourth quarter, we are very pleased with our continued progress and are really excited about our recent results, particularly given competitive trends in the industry.” Regarding November’s larger sales trend increase, he added, “We completed the rollout of our new Hatch Valley Green Chile $2 Breakfast Burritos in the month of November and sales have already hit our initial target. We have come to market with a highly differentiated, unique offering that is simple to execute and very labor efficient, yielding a low breakeven point and significant upside in profitability, even at current sales mix levels.”
The company reported that initial sales in its new breakfast daypart is exceeding its initial target of approximately 6% of total sales mix with several restaurants approaching 10% of sales. Mr. Hoback added, “We’ve not seen any cannibalization of our core business with all of the breakfast sales being incremental. We are reaching sales levels that have taken many quick service chains months if not years to achieve and we expect it to be very profitable for us after we get through the initial 90 day launch period.”
The Breakfast Menu consists of four green chile burritos available as Egg & Cheese only or with Chorizo, Sausage or Bacon and also includes Daz Bog coffee and fresh orange juice. Daz Bog is a premium Colorado coffee available in retail stores and restaurants.
Good Times is a regional chain of quick service restaurants located primarily in Colorado providing a menu of high quality all natural hamburgers, 100% breast of chicken sandwiches, fresh frozen custard, fresh squeezed lemonades and other unique offerings. Good Times currently operates and franchises 41 restaurants.
This press release contains forward looking statements within the meaning of federal securities laws. The words “intend,” “may,” “believe,” “will,” “should,” “anticipate,” “expect,” “seek” and similar expressions are intended to identify forward looking statements. These statements involve known and unknown risks, which may cause Good Times’ actual results to differ materially from results expressed or implied by the forward looking statements. These risks include such factors as the uncertain nature of current restaurant development plans and the ability to implement those plans, 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, and other matters discussed under the “Risk Factors” section of Good Times’ Annual Report on Form 10-K for the fiscal year ended September 30, 2011 filed with the SEC. Although Good Times may from time to time voluntarily update its forward looking statements, it disclaims any commitment to do so except as required by securities laws.
Boyd E. Hoback
President and CEO