| Segments of Business |
12.
SEGMENTS OF BUSINESS
The
Company is in the business of operating restaurants and its operations are organized by geographic region and by brand within
each region. Further each restaurant location produces monthly financial statements at the individual store level. The Company’s
chief operating decision maker reviews revenues and profitability at the individual restaurant location level, as well as for
Full-Service Hooters, Better Burger Fast Casual and Just Fresh Fast Casual level, and corporate as a group.
The
following are revenues and operating income (loss) from continuing operations by segment for the three and nine months ended September
30, 2019 and 2018. The Company does not aggregate or review non-current assets at the segment level.
| |
|
Three Months Ended |
|
|
Nine Months Ended |
|
| |
|
September 30, 2019 |
|
|
September 30, 2018 |
|
|
September 30, 2019 |
|
|
September 30, 2018 |
|
| Revenue: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Hooters Full Service |
|
$ |
2,886,269 |
|
|
$ |
3,392,300 |
|
|
$ |
9,576,854 |
|
|
$ |
10,436,597 |
|
| Better Burgers Fast Casual |
|
|
5,823,650 |
|
|
|
5,692,004 |
|
|
|
18,010,835 |
|
|
|
16,854,025 |
|
| Just Fresh Fast Casual |
|
|
943,521 |
|
|
|
989,097 |
|
|
|
2,924,294 |
|
|
|
3,128,220 |
|
| Corporate and Other |
|
|
- |
|
|
|
24,999 |
|
|
|
50,000 |
|
|
|
74,997 |
|
| |
|
$ |
9,653,440 |
|
|
$ |
10,098,400 |
|
|
$ |
30,561,983 |
|
|
$ |
30,493,839 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating Income (Loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Hooters Full Service |
|
$ |
(1,270,738 |
) |
|
|
87,444 |
|
|
|
(1,860,995 |
) |
|
$ |
(1,174,320 |
) |
| Better Burgers Fast Casual |
|
|
(1,082,494 |
) |
|
|
(133,466 |
) |
|
|
(3,056,296 |
) |
|
|
(253,997 |
) |
| Just Fresh Fast Casual |
|
|
(706,332 |
) |
|
|
(21,280 |
) |
|
|
(768,918 |
) |
|
|
(64,057 |
) |
| Corporate and Other |
|
|
(1,173,878 |
) |
|
|
(604,014 |
) |
|
|
(3,239,817 |
) |
|
|
(1,980,129 |
) |
| |
|
$ |
(4,233,442 |
) |
|
$ |
(671,316 |
) |
|
$ |
(8,926,026 |
) |
|
$ |
(3,472,503 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Depreciation and Amortization |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Hooters Full Service |
|
$ |
76,189 |
|
|
|
95,509 |
|
|
$ |
259,624 |
|
|
$ |
303,682 |
|
| Better Burgers Fast Casual |
|
|
408,941 |
|
|
|
382,802 |
|
|
|
1,229,656 |
|
|
|
1,154,885 |
|
| Just Fresh Fast Casual |
|
|
45,148 |
|
|
|
44,525 |
|
|
|
135,442 |
|
|
|
133,575 |
|
| Corporate and Other |
|
|
987 |
|
|
|
844 |
|
|
|
2,960 |
|
|
|
2,531 |
|
| |
|
$ |
531,265 |
|
|
$ |
523,680 |
|
|
$ |
1,627,682 |
|
|
$ |
1,594,673 |
|
The
following are revenues and operating income (loss) from continuing operations by geographic region for the three and nine months
ended September 30, 2019 and 2018:
| |
|
Three Months Ended |
|
|
Nine Months Ended |
|
| |
|
September 30, 2019 |
|
|
September 30, 2018 |
|
|
September 30, 2019 |
|
|
September 30, 2018 |
|
| Revenue: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| United States |
|
$ |
7,635,120 |
|
|
$ |
8,038,545 |
|
|
$ |
24,441,959 |
|
|
$ |
23,984,963 |
|
| South Africa |
|
|
1,383,906 |
|
|
|
1,352,340 |
|
|
|
4,123,148 |
|
|
|
4,321,668 |
|
| Europe |
|
|
634,414 |
|
|
|
707,515 |
|
|
|
1,996,876 |
|
|
|
2,187,208 |
|
| |
|
$ |
9,653,440 |
|
|
$ |
10,098,400 |
|
|
$ |
30,561,983 |
|
|
$ |
30,493,839 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating Income (Loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| United States |
|
$ |
(4,380,394 |
) |
|
$ |
(711,846 |
) |
|
$ |
(9,080,259 |
) |
|
$ |
(2,179,967 |
) |
| South Africa |
|
|
110,956 |
|
|
|
29,485 |
|
|
|
77,682 |
|
|
|
50,680 |
|
| Europe |
|
|
35,996 |
|
|
|
11,045 |
|
|
|
76,551 |
|
|
|
(1,343,216 |
) |
| |
|
$ |
(4,233,442 |
) |
|
$ |
(671,316 |
) |
|
$ |
(8,926,026 |
) |
|
$ |
(3,472,503 |
) |
The
following are non-current assets by geographic region as of September 30, 2019 and December 31, 2018:
| |
|
September 30, 2019 (1) |
|
|
December 31, 2018 |
|
| United States |
|
$ |
35,825,711 |
|
|
$ |
24,795,368 |
|
| South Africa* |
|
|
- |
|
|
|
909,514 |
|
| Europe |
|
|
2,561,043 |
|
|
|
2,413,222 |
|
| |
|
$ |
38,386,754 |
|
|
$ |
28,118,104 |
|
*Amounts
are included in assets held for sale at September 30, 2019.
| (1) |
Non-current
assets increased due to the adoption of ASC 842 effective January 1, 2019. |
|