Good Times Restaurants Inc. posted QQ3 2024 total revenues of $37.94 million, up approximately 6.5% year-over-year and about 7% quarter-over-quarter, driven by both brands: Bad Daddy’s (SSS +1.2%) and Good Times (SSS +5.8%). The period benefited from the Madison, Alabama Bad Daddy’s store opening, remodels, and price increases implemented across menus, offset by ongoing cost pressures on proteins (notably beef) and elevated labor costs. On a consolidated basis, gross profit was $4.874 million with a gross margin of 12.8%, and operating income of $1.445 million (operating margin ~3.8%). EBITDA reached $2.212 million (EBITDA margin ~5.8%), while net income was $1.321 million and diluted EPS $0.12. Cash flow remained positive with $3.221 million of net cash from operating activities and free cash flow of $2.002 million, while capital expenditure reflected continued remodeling activity (CAPEX of $1.219 million) and acquisitions including the Parker, Colorado Good Times location.
Management emphasized ongoing initiatives to strengthen guest experience and franchise performance, including a near-complete Toast POS rollout, greater staff investment at Bad Daddy’s to improve hospitality, and elevated GT Rewards engagement. The company repurchased 92,240 shares in the quarter plus privately negotiated ~171,000 shares at an average price of $2.60, signaling confidence in the underlying value of GTIM. Looking ahead, management cautioned that beef and other protein costs are likely to stay elevated into the fourth fiscal quarter, and indicated a planned price review targeting the end of fiscal Q1 2025, with a continued emphasis on selective promotions rather than broad discounting. They also signaled potential store closures for underperforming units to optimize the real estate portfolio and reiterated plans to pursue additional development (e.g., a near-term Charlotte-area lease) while maintaining a disciplined capex trajectory. Overall, the QQ3 results reflect solid brand momentum and a prudent, real-estate–focused optimization path, albeit with meaningful commodity and labor-cost headwinds.)