Amergent Hospitality Issues 2021 First Quarter Update
CHARLOTTE, NC / ACCESSWIRE / May 25, 2021 / Amergent Hospitality Group (OTCQB:AMHG) ("Amergent" or the "Company"), owner, operator and franchisor of multiple nationally-recognized restaurant brands, today provided the following corporate update covering its fiscal year 2021 first quarter performance
Amergent Hospitality Group's President, Fred Glick, stated, "While 2020 was an operationally challenging year, we are very pleased with our first quarter 2021 results, highlights of which include progress on virtually all fronts of our operations. We expect to soon compliment our own organic growth with multiple potential complimentary acquisitions."
CEO Mike Pruitt continued, "Due to Covid-19's effect on the restaurant industry, we found ourselves in a highly unique and opportunistic position of being able seek to acquire additional quality assets at attractive valuations. We are focused on assets whose value can be unlocked inside of our public platform and which will result in greater scale and synergies. In recent weeks, we have entered into multiple preliminary non-binding Letters of Intent ("LOI's) with the assistance of our advisor Mastodon Ventures. We look forward to potentially entering into definitive agreements and announcing our M&A pipeline during the remainder of 2021.
Amergent has created a criteria matrix for acquisitions which includes acquiring restaurant and hospitality assets that are relevant, growing brands, with sustainable EBITDA, at valuations which we anticipate being highly accretive and resulting in meaningful scale."
Select first quarter 2021 restaurant level highlights include:
- Overall same store sales for Q1 2021 were up 8.4% compared to Q1 2020, led by Little Big Burger which was up 14.54%
- April same store sales grew 39.04%
- Cost of goods sold declined 3.14% to 29.6%
- Total personnel expenses declined 5.81%
- Loyalty club membership in Q1 2021 increased by 24K fans now exceeding 255K fans company wide
- Off premise sales in Q1 2021 increased to 54% compared to 19% in 2020
- The company's native app contributed almost 50% of all off-premise orders and Q1 2021 orders increased 45% or $1.25 million
- Delivery was up 25% in Q1 2021 compared to Q1 2020
Amergent' s operations include 36 stores, consisting of 27 company-owned and 9 franchised locations. The Company's brands include Little Big Burger, Burgers Grilled Right, American Burger Company, one Hooters, and the Owls Nest gaming location.
About Amergent Hospitality Group
Headquartered in Charlotte, NC, Amergent Hospitality Group owns, operates, and franchises fast, casual, and full-service restaurant brands, including American Burger Company, BGR - Burgers Grilled Right, Little Big Burger, and Hooters gaming venue . For more information, please visit: www.amergenthg.com
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the closing of the merger and Sonnet's operations following the closing of the merger. All statements pertaining to Amergent Hospitality Group's expectations regarding future financial and/or operating results, potential for our tests and services and future revenues or growth in this press release constitute forward-looking statements. Any statements that are not historical fact (including, but not limited to, statements that contain words such as "will," "believes," "plans," "anticipates," "expects," "estimates") should also be considered to be forward-looking statements. Forward-looking statements involve risks and uncertainties discussed in the Amergent Hospitality Group's Form 10-K for the year ended December 31, 2019, along with other filings with the Securities and Exchange Commission. These forward-looking statements speak only as of the date hereof. Amergent Hospitality Group disclaims any obligation to update these forward-looking statements.
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SOURCE: Amergent Hospitality Group
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Released May 25, 2021