Bedrijfsoverzicht
FAT Brands Inc. operates as a multi-brand restaurant franchising entity focused on acquiring, developing, marketing, and managing concepts across the quick service, fast casual, casual dining, and polished casual dining segments in the United States, Canada, and international markets. The company functions within the Consumer Cyclical sector, specifically the Restaurants industry, which positions its performance directly against consumer discretionary spending power and broader economic cycles. In terms of scale, the company reports an annual revenue of $574.14M and employs a workforce of 2089 individuals, while its market capitalization is not publicly disclosed in the available data. The absence of a disclosed market cap figure, combined with the reported revenue, suggests that traditional valuation benchmarks based on equity value are currently unavailable or not applicable under the specific reporting standards used for this entity.
Financiële gezondheid
The company reported a trailing twelve-month revenue of $574.14M alongside a net income loss of $-234.69M and an EBITDA of $-12.45M, revealing a significant disparity where operating costs and expenses substantially exceed gross profits. This gap between revenue and net income indicates a highly leveraged cost structure where interest expenses or other non-operating charges are eroding profitability to a severe degree. Despite the negative net income, the company generated positive free cash flow of $37.84M, which provides a degree of financial flexibility to fund operations or reduce debt despite the accounting losses. Profitability analysis shows a gross margin of 24.7%, an operating margin of -11.4%, and a profit margin of -39.3%, illustrating that while the core business retains nearly a quarter of sales as gross profit, structural costs or financing burdens destroy operating and final profitability. The balance sheet shows $2.05M in cash against $1.57B in total debt, creating a scenario where liabilities vastly outweigh liquid assets, and the debt-to-equity ratio is not calculable due to the absence of positive equity data. Short-term liquidity is critically constrained, evidenced by a current ratio of 0.03, which indicates that the company possesses significantly less in current assets than it owes in current liabilities. Return on equity and return on assets are not applicable in the traditional sense due to the negative equity position, but the return on assets metric stands at -2.4%, further confirming that the company's assets are currently generating negative returns for the entity.
Waarderingsbeoordeling
The trailing twelve-month P/E ratio and forward P/E ratio are not available, primarily because the company is reporting a net loss rather than earnings, which precludes the use of standard earnings-based valuation metrics. The price-to-book ratio is reported as -0.00, indicating that the company's market valuation is effectively zero or negative relative to its book value, a situation common for distressed or loss-making entities where the market price does not exceed the accounting book value. Alternative valuation metrics provide a clearer picture, with a price-to-sales ratio not available and an enterprise value to EBITDA of -128.71, suggesting that the enterprise value is heavily distorted by negative EBITDA and high debt loads. The stock's recent trading range is defined by a 52-week high of $10.00 and a 52-week low of $0.06, highlighting an extreme volatility and a wide spread between the highest and lowest trading points over the last year. The beta of 1.22 indicates that the stock's price volatility is 22% higher than the broader market, reflecting the inherent risks associated with the distressed financial condition and the cyclical nature of the restaurant industry.
Growth & Income
The company experienced a year-over-year revenue decline of -2.3%, while earnings growth is not applicable due to the negative earnings baseline, implying that the business is currently contracting rather than expanding. As the company reports a net loss and lacks positive earnings, it does not generate the profits necessary to sustain a standard dividend payout, rendering the reported dividend yield of 1547.3% a mathematical anomaly rather than a sustainable income stream. The payout ratio is not available, confirming that the company cannot distribute dividends from earnings and likely relies on cash reserves or other financing to maintain any declared distributions, which is not a sustainable long-term strategy. Consequently, the overall growth and income profile is characterized by revenue contraction, negative profitability, and an inability to generate genuine dividend income for shareholders through retained earnings.