You can set your calendar reminder because Ignite Restaurant Group Inc. (NASDAQ: IRG) has a major announcement coming up in the weeks ahead. The company that helps people manage their hunger has said that it will release its 2Q2016 financial results toward the sunset on August 3.
The management of Ignite Restaurant Group Inc. (NASDAQ: IRG) will host a conference call to discuss the results and field questions from analysts and investors. The company’s CEO Robert S. Merritt and CFO Brad Leist will lead the call.
But Ignite didn’t provide any hint about what shareholders should expect in the 2Q results. In the last quarterly report the company showed that it was still struggling to remove losses. The management also said that Ignite was doing menu adjustments to streamline operations at its outlets. It is not clear how those efforts have played out over the last three months. Hopefully they are taking the restaurant operator closer to its goal of generating growth and profits.
What happened in 1Q?
If you look at what Ignite Restaurant Group Inc (NASDAQ:IRG) reported in 1Q, you see that investors will be expecting improved results in 2Q.
Ignite posted consolidated revenue of $117.9 million in 1Q2016, which decreased 3.5% relative to the same period a year ago.
At Ignite’s Joe’s Crab Shack restaurant brand, revenue came in at $96.2 million, down from $103.1 million in the like quarter last year. Comparable sales at Joe’s Crab Shack contracted 1.3%.
But Brick House Tavern + Tap bucked that trend as revenue at the brand restaurant rose to $21.7 million from $19.1 million in the like quarter in the prior year. But comparable sales at Brick House Tavern + Tap also pulled back 4.5% YoY.
Companywide, comparable restaurant sales decreased 1.8% in 1Q2016.
Coming to the bottom-line, Ignite posted adjusted EPS loss of $0.04, which was at the exact same mark as a year ago quarter. But on GAAP basis, EPS loss narrowed to $0.06 from $0.12.
Ignite Restaurant Group Inc (NASDAQ:IRG) said that it converted three Joe’s restaurant to Brick House restaurants during 1Q2016.
What about the Ignite Restaurant Group Inc. (NASDAQ: IRG)’s liquidity
Ignite doesn’t seem to have much cash problem as the company finished the last quarter with cash balance of $7.5 million and with access to about $25.9 million in credit revolver.