BUENA PARK, Calif., Aug. 19, 2024 (GLOBE NEWSWIRE) -- Yoshiharu Global Co. (NASDAQ:YOSH) ("Yoshiharu" or the "Company"), a California-based restaurant operator specializing in authentic Japanese ramen, reported results for the second quarter ended June 30, 2024.
Second Quarter 2024 and Recent Operational Highlights
Closed the acquisition of three Las Vegas restaurants, boosting the Company's annual revenues by $6 million
Announced auditor transition away from BF Borgers CPA
Six months 2024 revenue increased 30.9% to $6.1 million
YoY improvements across operating loss, adjusted EBITDA, and net loss as the Company continues to efficiently manage general administration expenses
Restaurant-level contribution increased to $668,000 for the six-months ended June 30, 2024 from $616,000 in the same period last year
Management Commentary"We are pleased with the top-line growth and improvement in our bottom-line as we remain keen on hitting profitability in the near future," said James Chae, Yoshiharu's President, CEO and Chairman of the Board. "Although the food and beverage markets are facing challenges such as increased input costs, consumer price sensitivity, and higher cost of capital, Yoshiharu has been able to improve operating expenses and has maintained a competitive AUV comparable to prior periods. We are also working to add kiosks across our stores and utilize cooking robots to reduce labor costs to further manage our expenses. The timely acquisition of the three Las Vegas restaurants this past April has played a crucial role in executing our growth strategy. These locations benefit from a strong residential customer base and a history of profitability, and we are focused on seamlessly integrating the Yoshiharu brand into this vibrant market. We are also making significant strides to open another California restaurant and look forward to announcing the grand opening in the near future. With 14 restaurants now under our operating belt and a dedicated approach to cost management, we are well-positioned to expand the Yoshiharu brand across California and Las Vegas, driving positive results and efficiency for the remainder of the year."
Second Quarter 2024 Financial ResultsRevenues increased 50.5% to $3.3 million compared to $2.2 million in the prior year period. The increase was primarily driven by the three new Las Vegas restaurants acquired in April 2024.
Restaurant-level contribution margin was 12.1% and remained relatively constant period to period through challenging food and beverage market conditions.
Total restaurant operating expenses were $3.1 million compared to $2.0 million in the prior year period. The increase was due to increases in food, beverages and supplies, labor, rent and utilities, and depreciation.
Operating loss improved to $0.9 million compared to a loss of $1.0 million in the prior year period. Adjusted EBITDA, a non-GAAP measure defined below, was $(0.7) million compared to $(0.7) million in the prior year period. Net loss was $1.1 million compared to a net loss of $1.0 million in the prior year period. The slight decrease was primarily due to a slight decrease in revenues of existing ramen restaurants.
Six Month 2024 Financial ResultsRevenues increased 30.9% to $6.1 million compared to $4.7 million in the prior year period. The increase was primarily ...
