Muscle Maker, Inc.(GRIL), a leading health-focused restaurant chain, has released its financial statements for the first quarter of 2023. The company reported a net loss of $1.1 million during this period. However, the revenue figures for Q1 2023 show a strong performance, reaching $213 million.
Net Income/Loss
Muscle Maker, Inc. faced a challenging first quarter in 2023, reporting a net loss of $1.1 million. The company's financial statements revealed a decline in profitability compared to the same period last year.
Revenue
Despite the net loss, Muscle Maker, Inc. demonstrated robust revenue generation during the first quarter of 2023. The company's total revenues stood at an impressive $213 million. This strong revenue figure reflects the company's continued focus on expanding its customer base and offerings.
Financial Performance Overview
The financial statements for Q1 2023 show a mixed performance for Muscle Maker, Inc. While the company achieved substantial revenue of $213 million, it also recorded a net loss of $1.1 million. This suggests that the company faced significant operating costs and expenses during the quarter, impacting its bottom line.
Financial Statements Overview
The Condensed Consolidated Balance Sheets for Muscle Maker, Inc. indicate that the company's total assets increased substantially from $27.2 million as of December 31, 2022, to $62.6 million as of March 31, 2023. This increase can be attributed to significant growth in current assets, including cash, accounts receivable, and inventory.
The Condensed Consolidated Statement of Operations reveals that the company's total revenues for Q1 2023 reached $213 million. These revenues came from various sources, including commodity sales, company restaurant sales, franchise royalties, and fees. However, the company also faced substantial operating costs and expenses, resulting in a loss from operations of $1.6 million.
Looking at the Condensed Consolidated Statement of Changes in Stockholders' Equity, it is evident that the company's stockholders' equity increased from $16.6 million as of December 31, 2022, to $18.6 million as of March 31, 2023. This change in equity can be attributed to stock-based compensation, common stock issuances, and net loss.
The Condensed Consolidated Statements of Cash Flows reveal that Muscle Maker, Inc. used cash primarily for operating activities, with a net cash outflow of $3.3 million during the first quarter of 2023. The company also made investments in property and equipment, leading to a net cash outflow of $196,000 in investing activities. Additionally, the company made small repayments of notes payable, resulting in a net cash outflow of $34,000 in financing activities.
Muscle Maker, Inc. faced both challenges and successes in the first quarter of 2023. Despite reporting a net loss of $1.1 million, the company achieved substantial revenue of $213 million, indicating its resilience and potential for future growth. The management is likely to focus on cost management and revenue enhancement strategies to improve profitability and shareholder value in the coming quarters.