BIGLARI HOLDINGS INC. NEWS RELEASE

Rhea-AI Summary

Biglari Holdings has released its 2022 Annual Report, accessible online, detailing key financial figures for the year. In the fourth quarter of 2022, the company reported pre-tax operating earnings of $5,212 thousand compared to $6,877 thousand in 2021. For the entire year, net earnings attributable to shareholders were $10,055 thousand, a significant decrease from $35,478 thousand in 2021. Investment gains showed volatility, with $7,082 thousand in Q4 2022 versus a loss of $16,455 thousand in Q4 2021. The report emphasizes the impact of investment gains on earnings and provides insights into the company's operations.

Positive

• Pre-tax operating earnings of $5,212 thousand in Q4 2022, showing some profitability.
• Reported net earnings of $10,055 thousand in Q4 2022, recovering from significant losses in previous quarters.

Negative

• Net earnings down substantially from $35,478 thousand in 2021 to $10,055 thousand in Q4 2022.
• Investment losses in Q4 2021 at $16,455 thousand and annual losses of $79,346 thousand in 2022 demonstrate volatility.

SAN ANTONIO, Feb. 25, 2023 /PRNewswire/ -- Biglari Holdings Inc.'s (NYSE: BH.A; BH) 2022 Annual Report to the shareholders has been posted on the Internet, where it can be accessed at www.biglariholdings.com. The report includes Sardar Biglari's annual letter to shareholders.

Biglari Holdings Inc.'s earnings for the fourth quarter and full year of 2022 and 2021 are summarized below. To become fully apprised of our results, shareholders should carefully study our 10-K, which has been posted at www.biglariholdings.com. 

(dollars in thousands)
	Fourth Quarter				Year Ended December 31,
	2022		2021		2022		2021
Pre-tax operating earnings (loss)	$        5,212		$        6,877		$       36,319		$       24,913
Investment gains (losses)	7,082		(16,455)		(79,346)		17,354
Income tax (expense) benefit and losses attributable to noncontrolling interest	(2,239)		4,755		11,009		(6,789)
Net earnings (loss) attributable to Biglari Holdings shareholders	$       10,055		$       (4,823)		$     (32,018)		$       35,478

Analysis of Results:

Investments affect our reported quarterly earnings based on their carrying value. We do not regard the quarterly or annual fluctuations in our investments to be meaningful. Therefore, our operating businesses are best analyzed before the impact of investment gains. As a consequence, in the preceding table we separate earnings of our operating businesses from our investment gains.

About Biglari Holdings Inc.

Biglari Holdings Inc. is a holding company owning subsidiaries engaged in a number of diverse business activities, including property and casualty insurance, licensing and media, restaurants, and oil and gas.

Comment on Regulation G

This press release contains certain non-GAAP financial measures. In addition to the GAAP presentations of net earnings, Biglari Holdings defines pre-tax operating earnings outside of the investment gains/losses of the Company.

Risks Associated with Forward-Looking Statements

This news release may include "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. These statements are based on current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ markedly from those projected or discussed here. Biglari Holdings cautions readers not to place undue reliance upon any such forward-looking statements, for actual results may differ materially from expectations. Biglari Holdings does not update publicly or revise any forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized. Further information on the types of factors that could affect Biglari Holdings and its business can be found in the Company's filings with the SEC.

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SOURCE Biglari Holdings Inc.

FAQ

What were Biglari Holdings' earnings for Q4 2022?

In Q4 2022, Biglari Holdings reported pre-tax operating earnings of $5,212 thousand.

How did Biglari Holdings perform in 2022 compared to 2021?

Net earnings for Biglari Holdings decreased from $35,478 thousand in 2021 to $10,055 thousand in 2022.

What were the investment gains for Biglari Holdings in Q4 2022?

Biglari Holdings reported investment gains of $7,082 thousand in Q4 2022.

What is the significance of the discussed annual report for investors in BH, BH.A?

The annual report details significant shifts in earnings and investment performance, crucial for shareholders in assessing the company's financial health.