Nathan's Famous, Inc. Reports Third Quarter Results
Nathan's Famous (NASDAQ:NATH) reported strong financial results for its third fiscal quarter ended December 29, 2024. Quarterly revenues increased to $31.5 million from $28.9 million year-over-year, while net income rose to $4.5 million from $2.6 million. Earnings per diluted share improved to $1.10 from $0.64.
For the first 39 weeks of fiscal 2025, revenues reached $117.4 million, up from $109.6 million in the previous year. License royalties grew to $29.5 million, with Smithfield Foods royalties increasing 13% to $26.8 million. The Branded Product Program saw sales rise to $71.8 million, with hot dog volume up 1.5% and average selling prices increasing 3.5%.
The company declared a quarterly cash dividend of $0.50 per share, payable on February 28, 2025.
Nathan's Famous (NASDAQ:NATH) ha riportato risultati finanziari solidi per il terzo trimestre fiscale concluso il 29 dicembre 2024. I ricavi trimestrali sono aumentati a 31,5 milioni di dollari rispetto ai 28,9 milioni dell’anno precedente, mentre l’utile netto è salito a 4,5 milioni di dollari da 2,6 milioni. Gli utili per azione diluiti sono migliorati a 1,10 dollari da 0,64.
Per le prime 39 settimane del fiscale 2025, i ricavi hanno raggiunto 117,4 milioni di dollari, in aumento rispetto a 109,6 milioni dell’anno precedente. Le royalties per licenze sono cresciute a 29,5 milioni di dollari, con le royalties di Smithfield Foods in aumento del 13% a 26,8 milioni. Il Programma Prodotti a Marchio ha visto le vendite salire a 71,8 milioni, con un incremento del volume dei hot dog dello 1,5% e un aumento dei prezzi medi di vendita del 3,5%.
L’azienda ha dichiarato un dividendo in contante trimestrale di 0,50 dollari per azione, pagabile il 28 febbraio 2025.
Nathan's Famous (NASDAQ:NATH) reportó resultados financieros sólidos para su tercer trimestre fiscal finalizado el 29 de diciembre de 2024. Los ingresos trimestrales aumentaron a 31,5 millones de dólares desde 28,9 millones del año anterior, mientras que las ganancias netas aumentaron a 4,5 millones de dólares desde 2,6 millones. Las ganancias por acción diluidas mejoraron a 1,10 dólares desde 0,64.
Durante las primeras 39 semanas del fiscal 2025, los ingresos alcanzaron 117,4 millones de dólares, en comparación con 109,6 millones del año anterior. Las regalías por licencias crecieron a 29,5 millones de dólares, con un aumento del 13% en las regalías de Smithfield Foods a 26,8 millones. El Programa de Productos de Marca vio aumentar las ventas a 71,8 millones, con un incremento del volumen de hot dogs del 1,5% y un aumento en los precios de venta promedio del 3,5%.
La empresa declaró un dividendo en efectivo trimestral de 0,50 dólares por acción, pagadero el 28 de febrero de 2025.
네이선스 파머스 (NASDAQ:NATH)는 2024년 12월 29일 종료된 회계 연도 3분기에 대한 강력한 재무 결과를 보고했습니다. 분기 매출이 지난해 2890만 달러에서 3150만 달러로 증가했으며, 순이익은 260만 달러에서 450만 달러로 상승했습니다. 희석 주당 순이익은 0.64달러에서 1.10달러로 개선되었습니다.
2025 회계 연도 첫 39주 동안 매출은 1억 1740만 달러에 도달하며, 전년 대비 1억 960만 달러에서 증가했습니다. 라이센스 로열티는 2950만 달러로 증가하였으며, 스미스필드 푸드 로열티는 13% 증가하여 2680만 달러에 이릅니다. 브랜드 제품 프로그램은 판매가 7180만 달러로 증가하며, 핫도그 판매량은 1.5% 증가하고 평균 판매 가격은 3.5% 증가했습니다.
회사는 주당 0.50달러의 분기 현금 배당금을 선언하였으며, 지급일은 2025년 2월 28일입니다.
Nathan's Famous (NASDAQ:NATH) a rapporté de solides résultats financiers pour son troisième trimestre fiscal clos le 29 décembre 2024. Les revenus trimestriels ont augmenté à 31,5 millions de dollars contre 28,9 millions l'année précédente, tandis que le bénéfice net a grimpé à 4,5 millions de dollars contre 2,6 millions. Le bénéfice par action diluée a progressé à 1,10 dollar contre 0,64.
Pour les 39 premières semaines de l'exercice 2025, les revenus ont atteint 117,4 millions de dollars, en hausse par rapport à 109,6 millions l'année précédente. Les redevances de licence ont augmenté à 29,5 millions de dollars, avec les redevances de Smithfield Foods augmentant de 13% à 26,8 millions. Le programme de produits de marque a vu les ventes augmenter à 71,8 millions, avec un volume de hot dogs en hausse de 1,5% et des prix de vente moyens augmentant de 3,5%.
L'entreprise a déclaré un dividende en espèces trimestriel de 0,50 dollar par action, payable le 28 février 2025.
Nathan's Famous (NASDAQ:NATH) hat starke finanzielle Ergebnisse für das dritte Quartal des Geschäftsjahres zum 29. Dezember 2024 gemeldet. Die Quartalsumsätze stiegen im Jahresvergleich von 28,9 Millionen auf 31,5 Millionen Dollar, während der Nettogewinn von 2,6 Millionen auf 4,5 Millionen Dollar anstieg. Der Gewinn pro verwässerter Aktie verbesserte sich von 0,64 auf 1,10 Dollar.
In den ersten 39 Wochen des Geschäftsjahres 2025 erreichten die Umsätze 117,4 Millionen Dollar, ein Anstieg von 109,6 Millionen Dollar im Vorjahr. Die Lizenzgebühren wuchsen auf 29,5 Millionen Dollar, wobei die Gebühren von Smithfield Foods um 13% auf 26,8 Millionen Dollar anstiegen. Das Markenproduktprogramm verzeichnete einen Anstieg des Umsatzes auf 71,8 Millionen Dollar, wobei das Verkaufsvolumen von Hot Dogs um 1,5% und der durchschnittliche Verkaufspreis um 3,5% stieg.
Das Unternehmen erklärte eine vierteljährliche Bardividende von 0,50 Dollar pro Aktie, zahlbar am 28. Februar 2025.
- Revenue increased 9.1% to $31.5M in Q3 FY2025
- Net income grew 72% to $4.5M in Q3 FY2025
- EPS increased 71.9% to $1.10 in Q3 FY2025
- License royalties from Smithfield Foods up 13% to $26.8M
- Hot dog sales volume increased 1.5% with 3.5% higher selling prices
- Income from operations in Branded Product Program decreased $363,000 due to 4% higher beef costs
- Franchise fees and royalties declined from $3,321,000 to $3,238,000
Insights
Nathan's Famous delivered an exceptionally strong quarter, demonstrating robust operational execution and pricing power. The standout metric is the earnings per share surge of
The company's multi-channel strategy is proving effective:
- The licensing business, particularly with Smithfield Foods, shows strong pricing power with a
13% royalty increase to$26.8M - The Branded Product Program successfully navigated a
4% increase in beef costs through strategic pricing, maintaining profitability despite input cost pressures - Company-owned restaurant operations benefited from higher average checks, suggesting successful menu optimization
The expansion of 24 new franchised locations during the period indicates healthy brand demand, though slightly lower franchise royalties suggest some maturation in existing locations. The maintained quarterly dividend of
The company's adjusted EBITDA growth of
Declares Quarterly Cash Dividend Of
JERICHO, N.Y., Feb. 06, 2025 (GLOBE NEWSWIRE) -- Nathan's Famous, Inc. (“Nathan’s”, the “Company”, “we”, “us” or “our”) (NASDAQ:NATH) today reported results for its third fiscal quarter ended December 29, 2024.
For the thirteen-week period ended December 29, 2024 (“third quarter fiscal 2025”):
- Revenues were
$31,519,000 as compared to$28,890,000 during the thirteen weeks ended December 24, 2023; - Income from operations was
$6,752,000 as compared to$5,137,000 during the thirteen weeks ended December 24, 2023; - Adjusted EBITDA1, a non-GAAP financial measure, was
$7,479,000 as compared to$5,751,000 during the thirteen weeks ended December 24, 2023; - Income before provision for income taxes was
$6,059,000 as compared to$3,735,000 during the thirteen weeks ended December 24, 2023; - Net income was
$4,484,000 as compared to$2,607,000 during the thirteen weeks ended December 24, 2023; and - Earnings per diluted share was
$1.10 per share as compared to$0.64 per share during the thirteen weeks ended December 24, 2023.
For the thirty-nine weeks ended December 29, 2024 (“fiscal 2025”):
- Revenues were
$117,395,000 as compared to$109,619,000 during the thirty-nine weeks ended December 24, 2023; - Income from operations was
$30,129,000 as compared to$25,704,000 during the thirty-nine weeks ended December 24, 2023; - Adjusted EBITDA1, a non-GAAP financial measure, was
$32,110,000 as compared to$27,561,000 during the thirty-nine weeks ended December 24, 2023; - Income before provision for income taxes was
$26,942,000 as compared to$21,731,000 during the thirty-nine weeks ended December 24, 2023; - Net income was
$19,791,000 as compared to$15,706,000 during the thirty-nine weeks ended December 24, 2023; and - Earnings per diluted share was
$4.84 per share as compared to$3.84 per share during the thirty-nine weeks ended December 24, 2023.
The Company also reported the following:
- License royalties increased to
$29,517,000 during the thirty-nine weeks ended December 29, 2024, (“fiscal 2025 period”) as compared to$26,075,000 during the thirty-nine weeks ended December 24, 2023. During the fiscal 2025 period, royalties earned under the retail agreement, including the foodservice program, from Smithfield Foods, Inc., increased13% to$26,751,000 as compared to$23,582,000 of royalties earned during the thirty-nine weeks ended December 24, 2023. - In the Branded Product Program, which features the sale of Nathan’s hot dogs to the foodservice industry, sales increased by
$3,571,000 t o$71,781,000 during the fiscal 2025 period as compared to$68,210,000 during the thirty-nine weeks ended December 24, 2023. The volume of hot dogs sold by the Company increased by1.5% . Our average selling price, which is partially correlated to the beef markets, increased by approximately3.5% compared to the prior year period. Income from operations decreased by$363,000 t o$5,406,000 during the fiscal 2025 period as compared to$5,769,000 for the thirty-nine weeks ended December 24, 2023, due primarily to a4% increase in the cost of beef and beef trimmings. - Sales from Company-owned restaurants were
$11,351,000 during the fiscal 2025 period as compared to$10,512,000 during the thirty-nine weeks ended December 24, 2023. Restaurant sales were primarily impacted by higher sales at our Coney Island locations due to an increase in our average check. - Franchise fees and royalties were
$3,238,000 during the fiscal 2025 period as compared to$3,321,000 during the thirty-nine weeks ended December 24, 2023. Total royalties were$2,944,000 during the fiscal 2025 period as compared to$2,996,000 during the thirty-nine weeks ended December 24, 2023. Total franchise fee income, including cancellation fees, was$294,000 during the fiscal 2025 period as compared to$325,000 during the thirty-nine weeks ended December 24, 2023. Twenty-four franchised locations opened during the fiscal 2025 period. - During the fiscal 2025 period, we recorded Advertising Fund revenue and expense of
$1,508,000 as compared to$1,501,000 during the thirty-nine weeks ended December 24, 2023. - During the fiscal 2025 period, the Board of Directors declared and paid three quarterly cash dividends of
$0.50 per share totaling$6,127,000.
- Effective February 6, 2025, the Board of Directors declared its quarterly cash dividend of
$0.50 per share payable on February 28, 2025 to shareholders of record at the close of business on February 18, 2025.
Certain Non-GAAP Financial Information:
In addition to disclosing results that are determined in accordance with Generally Accepted Accounting Principles in the United States of America ("US GAAP"), the Company is disclosing EBITDA, a non-GAAP financial measure which is defined as net income, excluding (i) interest expense; (ii) provision for income taxes and (iii) depreciation and amortization expense. The Company is also disclosing Adjusted EBITDA, a non-GAAP financial measure which is defined as EBITDA, excluding (i) the loss on debt extinguishment and (ii) share-based compensation that the Company believes will impact the comparability of its results of operations.
The Company believes that EBITDA and Adjusted EBITDA are useful to investors to assist in assessing and understanding the Company's operating performance and underlying trends in the Company's business because EBITDA and Adjusted EBITDA are (i) among the measures used by management in evaluating performance and (ii) are frequently used by securities analysts, investors and other interested parties as a common performance measure.
EBITDA and Adjusted EBITDA are not recognized terms under US GAAP and should not be viewed as alternatives to net income or other measures of financial performance or liquidity in conformity with US GAAP. Additionally, our definitions of EBITDA and Adjusted EBITDA may differ from other companies. Analysis of results and outlook on a non-US GAAP basis should be used as a complement to, and in conjunction with, data presented in accordance with US GAAP. Please see the table at the end of this press release for a reconciliation of EBITDA and Adjusted EBITDA to net income.
About Nathan’s Famous
Nathan’s is a Russell 2000 Company that currently distributes its products in 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, and twenty foreign countries through its restaurant system, foodservice sales programs and product licensing activities. For additional information about Nathan’s please visit our website at www.nathansfamous.com.
__________________________
1 EBITDA and Adjusted EBITDA are non-GAAP financial measures. Please see the definitions of EBITDA and Adjusted EBITDA on page 3 of this release and the reconciliation of EBITDA and Adjusted EBITDA to net income in the table at the end of this release.
Except for historical information contained in this news release, the matters discussed are 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, that involve risks and uncertainties. Words such as “anticipate”, “believe”, “estimate”, “expect”, “intend”, and similar expressions identify forward-looking statements, which are based on the current belief of the Company’s management, as well as assumptions made by and information currently available to the Company’s management. Among the factors that could cause actual results to differ materially include but are not limited to: the impact of disease epidemics such as the COVID-19 pandemic; increases in the cost of food and paper products; the impact of price increases on customer visits; the status of our licensing and supply agreements, including our licensing revenue and overall profitability being substantially dependent on our agreement with Smithfield Foods, Inc.; the impact of our debt service and repayment obligations under our credit facility, including the effect on our ability to fund working capital, operations and make new investments; economic (including inflationary pressures like those currently being experienced); weather (including the impact on sales at our restaurants particularly during the summer months), and changes in the price of beef and beef trimmings; our ability to pass on the cost of any price increases in beef and beef trimmings; legislative and business conditions; potential changes in U.S. income tax or tariff policies; the collectability of receivables; changes in consumer tastes; the continued viability of Coney Island as a destination location for visitors; the ability to attract franchisees; the impact of the minimum wage legislation on labor costs in New York State or other changes in labor laws, including regulations which could render a franchisor as a “joint employer” or the impact of our union contracts; our ability to attract competent restaurant and managerial personnel; the enforceability of international franchising agreements; the future effects of any food borne illness, such as bovine spongiform encephalopathy, BSE and e coli; and the risk factors reported from time to time in the Company’s SEC reports. The Company does not undertake any obligation to update such forward-looking statements.
| COMPANY | Robert Steinberg, Vice President - Finance and CFO |
| CONTACT: | (516) 338-8500 ext. 229 |
| Nathan's Famous, Inc. and Subsidiaries | ||||||||||||||||||
| (unaudited) | ||||||||||||||||||
| Thirteen weeks ended | Thirty-nine weeks ended | |||||||||||||||||
| Dec. 29, 2024 | Dec. 24, 2023 | Dec. 29, 2024 | Dec. 24, 2023 | |||||||||||||||
| Financial Highlights | ||||||||||||||||||
| Total revenues | $ | 31,519,000 | $ | 28,890,000 | $ | 117,395,000 | $ | 109,619,000 | ||||||||||
| Income from operations (a) | $ | 6,752,000 | $ | 5,137,000 | $ | 30,129,000 | $ | 25,704,000 | ||||||||||
| Net income | $ | 4,484,000 | $ | 2,607,000 | $ | 19,791,000 | $ | 15,706,000 | ||||||||||
| Net income per share: | ||||||||||||||||||
| Basic | $ | 1.10 | $ | 0.64 | $ | 4.84 | $ | 3.85 | ||||||||||
| Diluted | $ | 1.10 | $ | 0.64 | $ | 4.84 | $ | 3.84 | ||||||||||
| Weighted-average shares used in | ||||||||||||||||||
| Computing net income per share: | ||||||||||||||||||
| Basic | 4,086,000 | 4,080,000 | 4,085,000 | 4,080,000 | ||||||||||||||
| Diluted | 4,093,000 | 4,080,000 | 4,092,000 | 4,087,000 | ||||||||||||||
Select Segment Information Revenues | ||||||||||||||||||
| Branded product program | $ | 21,099,000 | $ | 19,688,000 | $ | 71,781,000 | $ | 68,210,000 | ||||||||||
| Product licensing | 7,105,000 | 6,078,000 | 29,517,000 | 26,075,000 | ||||||||||||||
| Restaurant operations | 2,795,000 | 2,616,000 | 14,589,000 | 13,833,000 | ||||||||||||||
| Advertising fund revenue | 520,000 | 508,000 | 1,508,000 | 1,501,000 | ||||||||||||||
| Total Revenues | $ | 31,519,000 | $ | 28,890,000 | $ | 117,395,000 | $ | 109,619,000 | ||||||||||
| Income from operations (b) | ||||||||||||||||||
| Branded product program | $ | 2,209,000 | $ | 2,421,000 | $ | 5,406,000 | $ | 5,769,000 | ||||||||||
| Product licensing | 7,059,000 | 6,033,000 | 29,380,000 | 25,939,000 | ||||||||||||||
| Restaurant operations | (86,000) | (308,000) | 2,741,000 | 2,000,000 | ||||||||||||||
| Corporate (c) | (2,430,000) | (3,009,000) | (7,398,000) | (8,004,000) | ||||||||||||||
| Income from operations (b) | $ | 6,752,000 | $ | 5,137,000 | $ | 30,129,000 | $ | 25,704,000 | ||||||||||
- Excludes loss on debt extinguishment, interest expense, interest and dividend income, and other income, net.
- Excludes loss on debt extinguishment, interest expense, interest and dividend income and other income, net which are managed centrally at the corporate level, and, accordingly, such items are not presented by segment since they are excluded from the measure of profitability reviewed by the Chief Operating Decision Maker.
- Consists principally of administrative expenses not allocated to the operating segments such as executive management, finance, information technology, legal, insurance, corporate office costs, incentive compensation, compliance costs and the operating results of the Advertising Fund.
| Nathan's Famous, Inc. and Subsidiaries | ||||||||||||||||||
| Reconciliation of Net Income to EBITDA and Adjusted EBITDA | ||||||||||||||||||
| (unaudited) | ||||||||||||||||||
| Thirteen weeks ended | Thirty-nine weeks ended | |||||||||||||||||
| Dec. 29, 2024 | Dec. 24, 2023 | Dec. 29, 2024 | Dec. 24, 2023 | |||||||||||||||
| EBITDA | ||||||||||||||||||
| Net Income | $ | 4,484,000 | $ | 2,607,000 | $ | 19,791,000 | $ | 15,706,000 | ||||||||||
| Interest Expense | 842,000 | 1,392,000 | 3,343,000 | 4,219,000 | ||||||||||||||
| Provision for income taxes | 1,575,000 | 1,128,000 | 7,151,000 | 6,025,000 | ||||||||||||||
| Depreciation and amortization | 235,000 | 268,000 | 731,000 | 896,000 | ||||||||||||||
| EBITDA | $ | 7,136,000 | $ | 5,395,000 | $ | 31,016,000 | $ | 26,846,000 | ||||||||||
| Adjusted EBITDA | ||||||||||||||||||
| EBITDA | $ | 7,136,000 | $ | 5,395,000 | $ | 31,016,000 | $ | 26,846,000 | ||||||||||
| Loss on debt extinguishment | 55,000 | 169,000 | 389,000 | 169,000 | ||||||||||||||
| Share-based compensation | 288,000 | 187,000 | 705,000 | 546,000 | ||||||||||||||
| Adjusted EBITDA | $ | 7,479,000 | $ | 5,751,000 | $ | 32,110,000 | $ | 27,561,000 | ||||||||||
FAQ
What was Nathan's Famous (NATH) earnings per share in Q3 2025?
How much is Nathan's Famous (NATH) quarterly dividend in 2025?
What was NATH's revenue growth in Q3 2025?
How did Nathan's Famous (NATH) Smithfield Foods royalties perform in fiscal 2025?
How many new Nathan's Famous franchises opened in fiscal 2025?
