Ark Restaurants Announces Declaration of Dividend

Rhea-AI Summary

Ark Restaurants Corp. (NASDAQ:ARKR) has declared a quarterly cash dividend of $0.1875 per share to be paid on March 13, 2024, to shareholders of record of the Company's common stock at the close of business on February 29, 2024. Future dividend decisions are at the discretion of the Board and will depend on the Company's operating performance and other factors.

Insights

Financial Analyst

The declaration of a quarterly cash dividend by Ark Restaurants Corp. reflects a distribution of profits back to shareholders, which is often viewed favorably in the market. This action can signal the company's confidence in its current financial stability and future earnings prospects. Dividends are a key factor in the total return on investment for shareholders and can influence the stock's attractiveness, particularly among income-focused investors.

However, the dividend yield, which is the annual dividend per share divided by the stock's price per share, should be evaluated against industry averages and the company's historical payouts. A sustainable and growing dividend over time is generally seen as a positive indicator, while a high yield that is not supported by strong fundamentals could be a red flag.

It is also important to note that the Board's statement regarding future dividends being discretionary suggests that investors should not assume the current dividend rate is guaranteed indefinitely. Factors such as changes in operating performance, cash flow and the company's strategic priorities could influence future dividend decisions.

Market Research Analyst

Ark Restaurants Corp.'s dividend announcement can also be interpreted within the context of the broader restaurant industry and economic environment. The restaurant sector can be cyclical, with dividends and performance closely tied to consumer spending patterns. In times of economic expansion, discretionary spending increases, which can support and potentially lead to increases in dividend payments.

Conversely, during economic downturns, the industry may face headwinds that could impact the ability of companies to sustain dividends. Therefore, the announcement should be considered alongside macroeconomic indicators and consumer confidence levels, as these can provide insights into the potential for continued dividend payments and the overall health of the sector.

NEW YORK--(BUSINESS WIRE)-- Ark Restaurants Corp. (NASDAQ:ARKR) announced today that the Board of Directors (the "Board") declared a quarterly cash dividend of $0.1875 per share to be paid on March 13, 2024 to shareholders of record of the Company's common stock at the close of business on February 29, 2024. Future decisions to pay dividends, and the amount of any dividend, are at the discretion of the Board and will depend upon the Company's operating performance and other factors.

About Ark Restaurants Corp.

Ark Restaurants owns and operates 17 restaurants and bars, 16 fast food concepts and catering operations primarily in New York City, Florida, Washington, DC, Las Vegas, Nevada and the gulf coast of Alabama. Four restaurants are located in New York City, one is located in Washington, DC, five are located in Las Vegas, Nevada, one is located in Atlantic City, New Jersey, four are located on the east coast of Florida and two are located on the Gulf Coast of Alabama. The Las Vegas operations include four restaurants within the New York-New York Hotel & Casino Resort and operation of the hotel's room service, banquet facilities, employee dining room and six food court concepts and one restaurant within the Planet Hollywood Resort and Casino. In Atlantic City, New Jersey, the Company operates a restaurant in the Tropicana Hotel and Casino. The Florida operations include the Rustic Inn in Dania Beach, Shuckers in Jensen Beach, JB’s on the Beach in Deerfield Beach, Blue Moon Fish Company in Lauderdale-by-the-Sea and the operation of four fast food facilities in Tampa and six fast food facilities in Hollywood, each at a Hard Rock Hotel and Casino operated by the Seminole Indian Tribe at these locations. In Alabama, the Company operates two Original Oyster Houses, one in Gulf Shores and one in Spanish Fort.

Cautionary Note Regarding Forward-Looking Statements

Except for historical information, this news release contains forward-looking statements, within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. These statements involve unknown risks, and uncertainties that may cause the Company's actual results or outcomes to be materially different from those anticipated and discussed herein. Important factors that might cause such differences are discussed in the Company's filings with the Securities and Exchange Commission. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Actual results could differ materially from those anticipated in these forward-looking statements, if new information becomes available in the future.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240206605052/en/

Anthony J. Sirica

(212) 206-8800

ajsirica@arkrestaurants.com

Source: Ark Restaurants Corp.

FAQ

What is the dividend per share declared by Ark Restaurants Corp. (NASDAQ:ARKR)?

The quarterly cash dividend declared by Ark Restaurants Corp. is $0.1875 per share.

When will the dividend be paid to shareholders of Ark Restaurants Corp. (NASDAQ:ARKR)?

The dividend will be paid on March 13, 2024, to shareholders of record at the close of business on February 29, 2024.

Who decides on the payment of dividends for Ark Restaurants Corp. (NASDAQ:ARKR)?

The Board of Directors decides on the payment of dividends for Ark Restaurants Corp.

What factors determine the amount of dividends paid by Ark Restaurants Corp. (NASDAQ:ARKR)?

The amount of dividends paid depends on the Company's operating performance and other factors, as decided by the Board of Directors.