Checker's Balance Sheet improves Substantially...........
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements (Unaudited)
CHECKERS DRIVE-IN RESTAURANTS, INC.
AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
ASSETS
(Unaudited)
September 8, December 30,
1997 1996
------------------------------
Current Assets:
Cash and cash equivalents:
Restricted $ 2,557 $ 1,505
Unrestricted 1,164 1,551
Accounts receivable 1,810 1,544
Notes receivable 617 214
Inventory 2,045 2,261
Property and equipment held for sale 5,860 7,608
Income taxes receivable -- 3,514
Deferred loan costs 1,625 2,452
Prepaid expenses and other current assets 1,046 306
------------------------------
Total current assets 16,724 20,955
Property and equipment, at cost, net of accumulated depreciation
and amortization 89,964 98,188
Intangibles, net of accumulated amortization 12,278 12,284
Deferred loan costs - less current portion 1,671 3,900
Deposits and other non-current assets 663 783
------------------------------
$121,300 $136,110
==============================
See Notes to Condensed Consolidated Financial Statements
3
CHECKERS DRIVE-IN RESTAURANTS, INC.
AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Dollars in thousands)
LIABILITIES AND STOCKHOLDERS' EQUITY
(Unaudited)
September 8, December 30,
1997 1996
----------------------------
Current Liabilities:
Short term debt $ -- $ 2,500
Current installments of long-term debt 7,274 9,589
Accounts payable 8,741 15,142
Accrued wages, salaries and benefits 2,286 2,528
Reserves for restaurant relocations and abandoned sites 2,412 3,800
Other accrued liabilities 10,130 13,784
Deferred income 391 337
-----------------------------
Total current liabilities 31,234 47,680
Long-term debt, less current installments 30,136 39,906
Deferred franchise fee income 421 466
Minority interests in joint ventures 1,021 1,455
Other long-term liabilities 7,118 6,263
-----------------------------
Total liabilities 69,930 95,770
Stockholders' Equity:
Preferred stock, $.001 par value, authorized 2,000,000 shares, no
shares outstanding -- --
Common stock, $.001 par value, authorized 150,000,000 shares, issued
and outstanding 70,132,472 at September 8, 1997 and 51,768,480 at
December 30, 1996 70 52
Additional paid-in capital 110,435 90,339
Warrants 9,463 9,463
Retained earnings (68,198) (59,114)
-----------------------------
51,770 40,740
Less treasury stock, at cost, 578,904 shares 400 400
-----------------------------
Net stockholders' equity 51,370 40,340
-----------------------------
$121,300 $136,110
=============================
See Notes to Condensed Consolidated Financial Statements
4
CHECKERS DRIVE-IN RESTAURANTS, INC.
AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands except per share amounts)
(UNAUDITED)
Quarter Ended Three Quarters Ended
Sept. 8, 1997 Sept. 9, 1996 Sept. 8, 1997 Sept. 9, 1996
----------------------------------------------------------------
REVENUES:
Net restaurant sales $ 30,786 $ 34,875 $ 94,987 $ 107,193
Franchise revenues and fees 1,797 1,966 5,122 6,075
Modular restaurant packages 150 247 494 893
---------------------------------------------------------------
Total revenues 32,733 37,088 100,603 114,161
---------------------------------------------------------------
COSTS AND EXPENSES:
Restaurant food and paper costs 9,715 12,417 31,223 37,080
Restaurant labor costs 9,887 13,139 31,017 38,341
Restaurant occupancy expense 2,798 3,171 8,029 8,827
Restaurant depreciation and amortization 1,904 2,064 5,732 6,023
Advertising expense 1,588 1,490 4,828 3,597
Other restaurant operating expense 3,100 3,716 9,533 9,954
Costs of modular restaurant package revenues 150 382 439 1,380
Other depreciation and amortization 518 1,053 1,546 2,720
General and administrative expenses 3,377 6,289 10,276 13,585
Impairment of long-lived assets -- 8,468 -- 8,468
Losses on assets to be disposed of -- 5,702 -- 5,702
Loss provisions -- 500 -- 500
---------------------------------------------------------------
Total costs and expenses 33,037 58,391 102,623 136,177
---------------------------------------------------------------
Operating (loss) income (304) (21,303) (2,020) (22,016)
---------------------------------------------------------------
OTHER INCOME (EXPENSE):
Interest income 57 126 238 622
Interest expense (1,046) (1,338) (3,566) (3,854)
Interest - loan cost amortization (445) (69) (3,100) (159)
---------------------------------------------------------------
Loss before minority interests and income
tax expense (1,738) (22,584) (8,448) (25,407)
Minority interests (0) (56) (60) 10
---------------------------------------------------------------
Loss before income tax expense (1,738) (22,528) (8,388) (25,417)
Income tax expense -- 1,715 -- 626
---------------------------------------------------------------
Net loss $ (1,738) $ (24,243) $ (8,388) $ (26,043)
===============================================================
Preferred dividends 696 -- 696 --
---------------------------------------------------------------
Net loss to common shareholders ($2,434) ($24,243) ($9,084) ($26,043)
===============================================================
Net loss per common share $(0.04) $(0.47) $(0.15) $(0.50)
===============================================================
Weighted average number of common shares
outstanding 65,548 51,768 60,163 51,722
===============================================================
See how our stockholder's equity increased, current and long term
liaibilities decreased, and the company was able to lower operating
cost Substantially from the previously posted period. We are in
the process of further decreasing current debts and going forward
we have hired a great advertising agency to drive the top line . We
posted a -.04 small loss this quarter and are within spitting
distance of posting a PROFIT . At $1.25 we are UNDERVALUED
In regards to your questions
After a merger I believe they would only use one name and it wont
be done unless "goodwill" would be completly eliminated . Just my
thoughts... |
