Ark Restaurants Corp. Q4 FY2025 earnings call

• Balance sheet: Cash $11.3M, debt $3.6M. - Full year adjusted EBITDA decreased due to Bryant Park legal fees and Catering impact. - Current quarter EBITDA negative due to Bryant Park; tax provision due to naked tax credits. - Meadowlands: Casino licenses issued in NY, NJ legislature passed bill for referendum on casino at Meadowlands Racetrack, Meadowlands has advantage of no residential around. - Bryant Park: Litigation ongoing, corporate events starting to flow, positive cash flow covers litigation and consultant costs. - Vegas: Improved cash flows with new manager; headcount down but numbers better. - Florida properties: Revenue down 5-7%; Sequoia affected by DC events. - Looking at two letters of intent, due diligence on acquisitions, and brand negotiation.

For the full year, adjusted EBITDA was $1.4 million compared to $6.1 million last year, primarily due to Bryant Park with increased legal fees and Catering business impact. Current quarter EBITDA was negative $1 million vs $500,000 same quarter last year, again due to Bryant Park. Florida properties down 5-7% in revenue. Vegas, Alabama, and Robert in NY are solid. Bryant Park has legal fees and affected Catering. Sequoia had a bad year due to DC events affecting Event business. Cash is $11.3 million, debt $3.6 million.

• Meadowlands: Pending NJ referendum on casino at Meadowlands Racetrack, potential for new operator. - Bryant Park: Litigation ongoing but positive cash flow covering costs. - Actively seeking acquisitions with two letters of intent and due diligence on another brand.

• Uncertainty with NJ Meadowlands casino referendum. - Litigation at Bryant Park with unknown resolution. - Deteriorating revenues in Florida properties. - Difficulties in closing acquisitions due to deteriorating targets or landlord issues in lease negotiations.

Q: What is the strategy going forward to turn the core business around?

A: Michael Weinstein discussed Meadowlands potential, efforts in regular business like being more efficient, looking at properties with two letters of intent and a brand negotiation, but challenges in closing deals due to deteriorating targets or landlord issues. Also mentioned Vegas turnaround with new manager and ongoing litigation at Bryant Park.

Q: Where is the insider buying?

A: Michael Weinstein stated the stock is illiquid, and insider buying decisions are personal, but he believes the stock doesn't represent the true value even without Meadowlands or other factors.