Document_And_Entity_Informatio
Document And Entity Information | 6 Months Ended | |
Mar. 28, 2015 | 6-May-15 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | ARK RESTAURANTS CORP | |
Document Type | 10-Q | |
Current Fiscal Year End Date | -17 | |
Entity Common Stock, Shares Outstanding | 3,394,028 | |
Amendment Flag | FALSE | |
Entity Central Index Key | 779544 | |
Entity Filer Category | Smaller Reporting Company | |
Document Period End Date | 28-Mar-15 | |
Document Fiscal Year Focus | 2015 | |
Document Fiscal Period Focus | Q2 |
CONSOLIDATED_CONDENSED_BALANCE
CONSOLIDATED CONDENSED BALANCE SHEETS (USD $) | Mar. 28, 2015 | Sep. 27, 2014 |
In Thousands, unless otherwise specified | ||
CURRENT ASSETS: | ||
Cash and cash equivalents (includes $419 at March 28, 2015 and $584 at September 27, 2014 related to VIEs) | $6,203 | $8,662 |
Accounts receivable (includes $395 at March 28, 2015 and $440 at September 27, 2014 related to VIEs) | 2,737 | 3,016 |
Employee receivables | 394 | 399 |
Inventories (includes $17 at March 28, 2015 and $19 at September 27, 2014 related to VIEs) | 1,841 | 1,832 |
Prepaid expenses and other current assets (includes $166 at March 28, 2015 and $173 at September 27, 2014 related to VIEs) | 1,747 | 1,491 |
Current portion of note receivable | 25 | |
Total current assets | 12,922 | 15,425 |
FIXED ASSETS - Net (includes $54 at March 28, 2015 and $59 at September 27, 2014 related to VIEs) | 28,164 | 29,019 |
NOTE RECEIVABLE, LESS CURRENT PORTION | 228 | |
INTANGIBLE ASSETS - Net | 108 | 95 |
GOODWILL | 6,813 | 6,813 |
TRADEMARKS | 1,221 | 1,221 |
DEFERRED INCOME TAXES | 5,217 | 5,214 |
OTHER ASSETS (includes $71 at March 28, 2015 and September 27, 2014 related to VIEs) | 7,440 | 7,348 |
TOTAL ASSETS | 61,885 | 65,363 |
CURRENT LIABILITIES: | ||
Accounts payable - trade (includes $72 at March 28, 2015 and $58 at September 27, 2014 related to VIEs) | 2,412 | 2,592 |
Accrued expenses and other current liabilities (includes $238 at March 28, 2015 and $179 at September 27, 2014 related to VIEs) | 10,196 | 10,336 |
Accrued income taxes | 415 | 1,162 |
Dividend payable | 847 | 844 |
Current portion of notes payable | 1,617 | 1,794 |
Total current liabilities | 15,487 | 16,728 |
OPERATING LEASE DEFERRED CREDIT (includes $78 at March 28, 2015 and $75 at September 27, 2014 related to VIEs) | 4,008 | 4,219 |
NOTES PAYABLE, LESS CURRENT PORTION | 4,715 | 5,524 |
TOTAL LIABILITIES | 24,210 | 26,471 |
COMMITMENTS AND CONTINGENCIES | ||
EQUITY: | ||
Common stock, par value $.01 per share - authorized, 10,000 shares; issued, 4,750 shares at March 28, 2015 and 4,733 shares at September 27, 2014; outstanding, 3,394 shares at March 28, 2015 and 3,377 shares at September 27, 2014 | 48 | 47 |
Additional paid-in capital | 25,646 | 25,167 |
Retained earnings | 23,002 | 24,554 |
48,696 | 49,768 | |
Less treasury stock, at cost, of 1,356 shares at March 28, 2015 and September 27, 2014 | -13,220 | -13,220 |
Total Ark Restaurants Corp. shareholders’ equity | 35,476 | 36,548 |
NON-CONTROLLING INTERESTS | 2,199 | 2,344 |
TOTAL EQUITY | 37,675 | 38,892 |
TOTAL LIABILITIES AND EQUITY | $61,885 | $65,363 |
CONSOLIDATED_CONDENSED_BALANCE1
CONSOLIDATED CONDENSED BALANCE SHEETS (Parentheticals) (USD $) | Mar. 28, 2015 | Sep. 27, 2014 |
In Thousands, except Per Share data, unless otherwise specified | ||
VIEs, Cash and cash equivalents | $419 | $584 |
VIEs, Accounts receivable | 395 | 440 |
VIEs, Inventories | 17 | 19 |
VIEs, Prepaid expenses and other current assets | 166 | 173 |
VIEs, Fixed assets | 54 | 59 |
VIEs, Other assets | 71 | 71 |
VIEs, Accounts payable trade | 72 | 58 |
VIEs, Accrued expenses and other current liabilities | 238 | 179 |
VIEs, Operating lease deferred credit | $78 | $75 |
Common stock, par value (in Dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized (in Shares) | 10,000 | 10,000 |
Common stock, shares issued (in Shares) | 4,750 | 4,733 |
Common stock, shares outstanding (in Shares) | 3,394 | 3,377 |
Treasury stock, shares (in Shares) | 1,356 | 1,356 |
CONSOLIDATED_CONDENSED_STATEME
CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 |
REVENUES: | ||||
Food and beverage sales | $31,213 | $30,680 | $64,262 | $62,437 |
Other revenue | 335 | 357 | 644 | 739 |
Total revenues | 31,548 | 31,037 | 64,906 | 63,176 |
COSTS AND EXPENSES: | ||||
Food and beverage cost of sales | 9,171 | 8,373 | 17,918 | 16,227 |
Payroll expenses | 11,285 | 10,559 | 22,139 | 21,038 |
Occupancy expenses | 3,823 | 4,154 | 8,016 | 8,555 |
Other operating costs and expenses | 4,374 | 4,322 | 8,614 | 8,529 |
General and administrative expenses | 2,431 | 2,374 | 5,431 | 5,223 |
Depreciation and amortization | 1,098 | 1,106 | 2,203 | 2,253 |
Total costs and expenses | 32,182 | 30,888 | 64,321 | 61,825 |
OPERATING INCOME (LOSS) | -634 | 149 | 585 | 1,351 |
OTHER (INCOME) EXPENSE: | ||||
Interest expense | 57 | 39 | 125 | 59 |
Interest income | -12 | -6 | -23 | -13 |
Other income, net | -64 | -115 | -121 | -181 |
Total other income, net | -19 | -82 | -19 | -135 |
INCOME (LOSS) BEFORE PROVISION (BENEFIT) FOR INCOME TAXES | -615 | 231 | 604 | 1,486 |
Provision (benefit) for income taxes | -173 | 81 | 168 | 480 |
CONSOLIDATED NET INCOME (LOSS) | -442 | 150 | 436 | 1,006 |
Net income attributable to non-controlling interests | -141 | -324 | -296 | -617 |
NET INCOME (LOSS) ATTRIBUTABLE TO ARK RESTAURANTS CORP. | ($583) | ($174) | $140 | $389 |
NET INCOME (LOSS) PER ARK RESTAURANTS CORP. COMMON SHARE: | ||||
Basic (in Dollars per share) | ($0.17) | ($0.05) | $0.04 | $0.12 |
Diluted (in Dollars per share) | ($0.17) | ($0.05) | $0.04 | $0.11 |
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | ||||
Basic (in Shares) | 3,382 | 3,262 | 3,380 | 3,259 |
Diluted (in Shares) | 3,382 | 3,262 | 3,490 | 3,405 |
CONSOLIDATED_CONDENSED_STATEME1
CONSOLIDATED CONDENSED STATEMENTS OF CHANGES IN EQUITY (USD $) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Parent [Member] | Noncontrolling Interest [Member] | Total |
In Thousands, except Share data | |||||||
BALANCE at Sep. 28, 2013 | $46 | $22,978 | $22,950 | ($13,220) | $32,754 | $2,594 | $35,348 |
BALANCE (in Shares) at Sep. 28, 2013 | 4,610,000 | ||||||
Net income | 389 | 389 | 617 | 1,006 | |||
Exercise of stock options | 192 | 192 | 192 | ||||
Exercise of stock options (in Shares) | 15,000 | ||||||
Tax benefit on exercise of stock options | 34 | 34 | 34 | ||||
Stock-based compensation | 157 | 157 | 157 | ||||
Distributions to non-controlling interests | -760 | -760 | |||||
Accrued and paid dividends - $0.50 per share | -1,632 | -1,632 | -1,632 | ||||
BALANCE at Mar. 29, 2014 | 46 | 23,361 | 21,707 | -13,220 | 31,894 | 2,451 | 34,345 |
BALANCE (in Shares) at Mar. 29, 2014 | 4,625,000 | ||||||
BALANCE at Sep. 27, 2014 | 47 | 25,167 | 24,554 | -13,220 | 36,548 | 2,344 | 38,892 |
BALANCE (in Shares) at Sep. 27, 2014 | 4,733,000 | ||||||
Net income | 140 | 140 | 296 | 436 | |||
Exercise of stock options | 1 | 217 | 218 | 218 | |||
Exercise of stock options (in Shares) | 17,000 | 16,861 | |||||
Tax benefit on exercise of stock options | 54 | 54 | 54 | ||||
Stock-based compensation | 208 | 208 | 208 | ||||
Distributions to non-controlling interests | -441 | -441 | |||||
Accrued and paid dividends - $0.50 per share | -1,692 | -1,692 | -1,692 | ||||
BALANCE at Mar. 28, 2015 | $48 | $25,646 | $23,002 | ($13,220) | $35,476 | $2,199 | $37,675 |
BALANCE (in Shares) at Mar. 28, 2015 | 4,750,000 |
CONSOLIDATED_CONDENSED_STATEME2
CONSOLIDATED CONDENSED STATEMENTS OF CHANGES IN EQUITY (Parentheticals) (USD $) | 6 Months Ended | |
Mar. 28, 2015 | Mar. 29, 2014 | |
Dividends, per share | $0.50 | $0.50 |
Retained Earnings [Member] | ||
Dividends, per share | $0.50 | $0.50 |
Parent [Member] | ||
Dividends, per share | $0.50 | $0.50 |
CONSOLIDATED_CONDENSED_STATEME3
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (USD $) | 6 Months Ended | |
Mar. 28, 2015 | Mar. 29, 2014 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Consolidated net income | $436,000 | $1,006,000 |
Adjustments to reconcile consolidated net income to net cash provided by operating activities: | ||
Deferred income taxes | -3,000 | -3,000 |
Stock-based compensation | 208,000 | 157,000 |
Depreciation and amortization | 2,203,000 | 2,253,000 |
Operating lease deferred credit | -211,000 | -191,000 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 279,000 | 24,000 |
Inventories | -9,000 | -46,000 |
Prepaid, refundable and accrued income taxes | -747,000 | -97,000 |
Prepaid expenses and other current assets | -256,000 | -335,000 |
Other assets | -92,000 | -209,000 |
Accounts payable - trade | -180,000 | 266,000 |
Accrued expenses and other current liabilities | -140,000 | 620,000 |
Net cash provided by operating activities | 1,488,000 | 3,445,000 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchases of fixed assets | -1,361,000 | -1,476,000 |
Loans and advances made to employees | -87,000 | -168,000 |
Payments received on employee receivables | 92,000 | 79,000 |
Payments received on note receivable | 253,000 | 277,000 |
Net cash used in investing activities | -1,103,000 | -3,462,000 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Principal payments on notes payable | -986,000 | -1,000,000 |
Dividends paid | -1,689,000 | -1,630,000 |
Proceeds from issuance of stock upon exercise of stock options | 218,000 | 192,000 |
Excess tax benefits related to stock-based compensation | 54,000 | 34,000 |
Distributions to non-controlling interests | -441,000 | -760,000 |
Net cash used in financing activities | -2,844,000 | -3,164,000 |
NET DECREASE IN CASH AND CASH EQUIVALENTS | -2,459,000 | -3,181,000 |
CASH AND CASH EQUIVALENTS, Beginning of period | 8,662,000 | 8,748,000 |
CASH AND CASH EQUIVALENTS, End of period | 6,203,000 | 5,567,000 |
Cash paid during the period for: | ||
Interest | 125,000 | 59,000 |
Income taxes | 866,000 | 547,000 |
Non-cash financing activity: | ||
Accrued dividend | 847,000 | 816,000 |
Note payable in connection with the purchase of The Rustic Inn | 6,000,000 | |
Meadowlands Newmark LLC [Member] | ||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of member interest in Meadowlands Newmark LLC | -464,000 | |
The Rustic Inn [Member] | ||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of The Rustic Inn | ($1,710,000) |
CONSOLIDATED_CONDENSED_FINANCI
CONSOLIDATED CONDENSED FINANCIAL STATEMENTS | 6 Months Ended |
Mar. 28, 2015 | |
Consolidated Condensed Financial Statements [Abstract] | |
Consolidated Condensed Financial Statements [Text Block] | 1. CONSOLIDATED CONDENSED FINANCIAL STATEMENTS |
The consolidated condensed balance sheet as of September 27, 2014, which has been derived from audited financial statements included in the Form 10-K, and the unaudited interim consolidated condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. All adjustments that, in the opinion of management are necessary for a fair presentation for the periods presented, have been reflected as required by Regulation S-X, Rule 10-01. Such adjustments are of a normal, recurring nature. These consolidated condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s annual report on Form 10-K for the year ended September 27, 2014. The results of operations for interim periods are not necessarily indicative of the operating results to be expected for the full year or any other interim period. | |
The Company identified an immaterial error in previously issued financial statements related to an overstatement of its gift card liability in the amount of $224,000 ($161,000 net of tax or $0.05 per basic and diluted share for the 13 and 26-weeks ended March 28, 2015). The Company reviewed this accounting error utilizing SEC Staff Accounting Bulletin No. 99, “Materiality” (“SAB 99”) and SEC Staff Accounting Bulletin No. 108, “Effects of Prior Year Misstatements on Current Year Financial Statements” (“SAB 108”) and determined the impact of the error to be immaterial to any prior period’s presentation. The accompanying consolidated financial statements as of March 28, 2015 reflects the correction of the aforementioned immaterial error. | |
PRINCIPLES OF CONSOLIDATION — The consolidated condensed interim financial statements include the accounts of Ark Restaurants Corp. and all of its wholly-owned subsidiaries, partnerships and other entities in which it has a controlling interest, collectively herein referred to as the “Company”. Also included in the consolidated condensed interim financial statements are certain variable interest entities (“VIEs”). All significant intercompany balances and transactions have been eliminated in consolidation. | |
SEASONALITY — The Company has substantial fixed costs that do not decline proportionally with sales. The first and second fiscal quarters, which include the winter months, usually reflect lower customer traffic than in the third and fourth fiscal quarters. In addition, sales in the third and fourth fiscal quarters can be adversely affected by inclement weather due to the significant amount of outdoor seating at the Company’s restaurants. | |
FAIR VALUE OF FINANCIAL INSTRUMENTS — The carrying amount of cash and cash equivalents, receivables, accounts payable and accrued expenses approximate fair value due to the immediate or short-term maturity of these financial instruments. The fair values of notes receivable and payable are determined using current applicable rates for similar instruments as of the balance sheet date and approximate the carrying value of such debt. | |
CASH AND CASH EQUIVALENTS — Cash and cash equivalents include cash on hand, deposits with banks and highly liquid investments generally with original maturities of three months or less. Outstanding checks in excess of account balances, typically vendor payments, payroll and other contractual obligations disbursed after the last day of a reporting period are reported as a current liability in the accompanying consolidated condensed balance sheets. | |
CONCENTRATIONS OF CREDIT RISK — Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. The Company reduces credit risk by placing its cash and cash equivalents with major financial institutions with high credit ratings. At times, such amounts may exceed Federally insured limits. The concentration of credit risk with respect to accounts receivable is generally limited due to the short payment terms extended by the Company and the number of customers comprising the Company’s customer base. | |
For the 26-week period ended March 28, 2015, the Company did not make purchases from any one vendor that accounted for 10% or greater of total purchases. For the 26-week period ended March 29, 2014, the Company made purchases from two vendors that accounted for approximately 21% of total purchases. For the 13-week period ended March 28, 2015, the Company made purchases from one vendor that accounted for approximately 10% of total purchases. For the 13-week period ended March 29, 2014, the Company made purchases from two vendors that accounted for approximately 22% of total purchases. | |
SEGMENT REPORTING — As of March 28, 2015, the Company owned and operated 21 restaurants and bars, 19 fast food concepts and catering operations, exclusively in the United States, that have similar economic characteristics, nature of products and service, class of customers and distribution methods. The Company believes it meets the criteria for aggregating its operating segments into a single reporting segment in accordance with applicable accounting guidance. | |
RECENTLY ADOPTED ACCOUNTING STANDARDS — In April 2014, the FASB issued new accounting guidance that changes the definition of a discontinued operation to include only those disposals of components of an entity that represent a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. This guidance became effective for annual reporting periods beginning on or after December 15, 2014 and is to be applied prospectively. The adoption of this guidance did not have a material impact on the Company’s consolidated condensed financial statements. | |
NEW ACCOUNTING STANDARDS NOT YET ADOPTED — In January 2015, the FASB issued guidance simplifying the income statement presentation by eliminating the concept of extraordinary items. Extraordinary items are events and transactions that are distinguished by their unusual nature and by the infrequency of their occurrence. Eliminating the extraordinary classification simplifies income statement presentation by altogether removing the concept of extraordinary items from consideration. The amendments are effective for annual reporting periods, including interim periods within those reporting periods, beginning after December 15, 2015. Early adoption is permitted provided that the guidance is applied from the beginning of the annual reporting period. The Company does not believe this guidance will have a material impact on its Consolidated Financial Statements. | |
In February 2015, the FASB amended the consolidation standards for reporting entities that are required to evaluate whether they should consolidate certain legal entities. Under the new guidance, all legal entities are subject to reevaluation under the revised consolidation model. Specifically, the guidance (i) modifies the evaluation of whether limited partnerships and similar legal entities are variable interest entities (VIEs) or voting interest entities; (ii) eliminates the presumption that a general partner should consolidate a limited partnership; (iii) affects the consolidation analysis of reporting entities that are involved with VIEs, particularly those that have fee arrangements and related party relationships; and (iv) provides a scope exception from consolidation guidance for reporting entities with interests in legal entities that are required to comply with or operate in accordance with requirements that are similar to those in Rule 2a-7 of the Investment Company Act for registered money market funds. The amendments are effective for annual reporting periods, beginning after December 15, 2015. Early adoption is permitted, including adoption in an interim period. The Company is currently evaluating the impact of this guidance on its Consolidated Financial Statements. |
VARIABLE_INTEREST_ENTITIES
VARIABLE INTEREST ENTITIES | 6 Months Ended | ||||||||
Mar. 28, 2015 | |||||||||
Variable Interest Entities [Abstract] | |||||||||
Variable Interest Entities [Text Block] | 2. VARIABLE INTEREST ENTITIES | ||||||||
The Company consolidates any variable interest entities in which it holds a variable interest and is the primary beneficiary. Generally, a variable interest entity, or VIE, is an entity with one or more of the following characteristics: (a) the total equity investment at risk is not sufficient to permit the entity to finance its activities without additional subordinated financial support; (b) as a group the holders of the equity investment at risk lack (i) the ability to make decisions about an entity’s activities through voting or similar rights, (ii) the obligation to absorb the expected losses of the entity, or (iii) the right to receive the expected residual returns of the entity; or (c) the equity investors have voting rights that are not proportional to their economic interests and substantially all of the entity’s activities either involve, or are conducted on behalf of, an investor that has disproportionately few voting rights. The primary beneficiary of a VIE is generally the entity that has (a) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance, and (b) the obligation to absorb losses or the right to receive benefits that could potentially be significant to the VIE. | |||||||||
The Company has determined that it is the primary beneficiary of three VIEs and, accordingly, consolidates the financial results of these entities. Following are the required disclosures associated with the Company’s consolidated VIEs: | |||||||||
March 28, | September 27, | ||||||||
2015 | 2014 | ||||||||
(in thousands) | |||||||||
Cash and cash equivalents | $ | 419 | $ | 584 | |||||
Accounts receivable | 395 | 440 | |||||||
Inventories | 17 | 19 | |||||||
Prepaid expenses and other current assets | 166 | 173 | |||||||
Due from Ark Restaurants Corp. and affiliates (1) | 92 | 105 | |||||||
Fixed assets - net | 54 | 59 | |||||||
Other assets | 71 | 71 | |||||||
Total assets | $ | 1,214 | $ | 1,451 | |||||
Accounts payable - trade | $ | 72 | $ | 58 | |||||
Accrued expenses and other current liabilities | 238 | 179 | |||||||
Operating lease deferred credit | 78 | 75 | |||||||
Total liabilities | 388 | 312 | |||||||
Equity of variable interest entities | 826 | 1,139 | |||||||
Total liabilities and equity | $ | 1,214 | $ | 1,451 | |||||
-1 | Amounts Due from Ark Restaurants Corp. and affiliates are eliminated upon consolidation. | ||||||||
The liabilities recognized as a result of consolidating these VIEs do not represent additional claims on our general assets; rather, they represent claims against the specific assets of the consolidated VIEs. Conversely, assets recognized as a result of consolidating these VIEs do not represent additional assets that could be used to satisfy claims against our general assets. |
RECENT_RESTAURANT_EXPANSION
RECENT RESTAURANT EXPANSION | 6 Months Ended | ||||||||
Mar. 28, 2015 | |||||||||
Recent Restaurant Expansion [Abstract] | |||||||||
Recent Restaurant Expansion [Text Block] | 3. RECENT RESTAURANT EXPANSION | ||||||||
On February 24, 2014, the Company, through a wholly-owned subsidiary, Ark Rustic Inn LLC, completed its acquisition of the assets of The Rustic Inn Crab House (“The Rustic Inn”), a restaurant and bar located in Dania Beach, Florida, for a total purchase price of approximately $7,710,000. The acquisition is accounted for as a business combination and was financed with a bank loan in the amount of $6,000,000 and cash from operations. The fair values of the assets acquired were allocated as follows: | |||||||||
Inventory | $ | 210,000 | |||||||
Land | 2,000,000 | ||||||||
Building | 2,800,000 | ||||||||
Furniture, fixtures and equipment | 200,000 | ||||||||
Trademarks | 500,000 | ||||||||
Goodwill | 2,000,000 | ||||||||
$ | 7,710,000 | ||||||||
The Consolidated Condensed Statements of Operations for the 13-weeks ended March 28, 2015 include revenues and earnings of approximately $4,608,000 and $1,133,000, respectively, related to The Rustic Inn. The Consolidated Condensed Statements of Operations for the 26-weeks ended March 28, 2015 include revenues and earnings of approximately $7,800,000 and $1,569,000, respectively, related to The Rustic Inn. The unaudited pro forma financial information set forth below is based upon the Company’s historical Consolidated Condensed Statements of Operations for the 13 and 26-weeks ended March 29, 2014. The unaudited pro forma financial information is presented for informational purposes only and may not be indicative of what actual results of operations would have been had the acquisition of The Rustic Inn occurred on the dates indicated, nor does it purport to represent the results of operations for future periods. | |||||||||
13 Weeks Ended | 26 Weeks Ended | ||||||||
March 29, | March 29, | ||||||||
2014 | 2014 | ||||||||
(in thousands, except per share amounts) | |||||||||
Total revenues | $ | 33,124 | $ | 68,249 | |||||
Net income | $ | 131 | $ | 728 | |||||
Net income per share - basic | $ | 0.04 | $ | 0.22 | |||||
Net income per share - diluted | $ | 0.04 | $ | 0.21 | |||||
On July 18, 2014, the Company, through a wholly-owned subsidiary, Ark Jupiter RI, LLC, entered into an agreement with Crab House, Inc., and acquired certain assets and the related lease for a restaurant and bar located in Jupiter, Florida for approximately $250,000. In connection with this transaction, the Company entered into an amended lease for an initial period expiring through December 31, 2015. The Company has the option to extend the lease through 2033. Renovations to the property totaled approximately $750,000. The restaurant opened in the last week of January 2015 and, as a result, the Consolidated Condensed Statements of Operations for the 13 and 26-weeks ended March 28, 2015 include approximately $498,000 and $667,000 of pre-opening and early operating losses, respectively. |
RECENT_RESTAURANT_DISPOSITIONS
RECENT RESTAURANT DISPOSITIONS | 6 Months Ended |
Mar. 28, 2015 | |
Recent Restaurant Dispositions [Abstract] | |
Recent Restaurant Dispositions [Text Block] | 4. RECENT RESTAURANT DISPOSITIONS |
Lease Expirations – The Company was advised by the landlord that it would have to vacate The Sporting House property located in New York-New York Hotel and Casino in Las Vegas, NV which was on a month-to-month lease. The closure of this property occurred in June 2014 and did not result in a material charge. | |
On May 31, 2014, the Company’s lease at the Rialto Deli located at the Venetian Casino Resort in Las Vegas, NV expired. The closure of this property did not result in a material charge. | |
On October 31, 2014, the Company’s lease at the Towers Deli located at the Venetian Casino Resort in Las Vegas, NV expired. The closure of this property did not result in a material charge. | |
On November 30, 2014, the Company’s lease at the Shake & Burger located at the Venetian Casino Resort in Las Vegas, NV expired. The closure of this property did not result in a material charge. |
NOTE_RECEIVABLE
NOTE RECEIVABLE | 6 Months Ended |
Mar. 28, 2015 | |
Receivables [Abstract] | |
Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 5. NOTE RECEIVABLE |
On June 7, 2011, the Company entered into a 10-year exclusive agreement to manage a yet to be constructed restaurant and catering service at Basketball City in New York City in exchange for a fee of $1,000,000. Under the terms of the agreement, the owner of the property was to construct the facility at their expense and the Company was to pay the owner an annual fee based on sales, as defined in the agreement. Since the owner had not delivered the facility to the Company within the specified timeframe, the parties executed a promissory note for repayment of the $1,000,000 exclusivity fee. The note bears interest at 4.0% per annum and the remaining principal balance is payable in 38 equal monthly installments of approximately $9,000. As of March 28, 2015 the note had been repaid in full. |
INVESTMENT_IN_NEW_MEADOWLANDS_
INVESTMENT IN NEW MEADOWLANDS RACETRACK | 6 Months Ended |
Mar. 28, 2015 | |
Disclosure Text Block Supplement [Abstract] | |
Cost and Equity Method Investments Disclosure [Text Block] | 6. INVESTMENT IN NEW MEADOWLANDS RACETRACK |
On March 12, 2013, the Company made a $4,200,000 investment in the New Meadowlands Racetrack LLC (“NMR”) through its purchase of a membership interest in Meadowlands Newmark, LLC, an existing member of NMR. On November 19, 2013, the Company invested an additional $464,000 in NMR through a purchase of an additional membership interest in Meadowlands Newmark, LLC resulting in a total ownership of 11.6% of Meadowlands Newmark, LLC. In addition to the Company’s ownership interest in NMR through Meadowlands Newmark, LLC, if casino gaming is approved at the Meadowlands and NMR is granted the right to conduct said gaming, neither of which can be assured, the Company shall be granted the exclusive right to operate the food and beverage concessions in the gaming facility with the exception of one restaurant. This investment has been accounted for based on the cost method and is included in Other Assets in the accompanying Consolidated Condensed Balance Sheets at March 28, 2015 and September 27, 2014. The Company periodically reviews its investments for impairment. If the Company determines that an other-than-temporary impairment has occurred, it will write-down the investment to its fair value. No indication of impairment was noted as of March 28, 2015. | |
In conjunction with this investment, the Company, through a 97% owned subsidiary, Ark Meadowlands LLC (“AM VIE”), also entered into a long-term agreement with NMR for the exclusive right to operate food and beverage concessions serving the new raceway facilities (the “Racing F&B Concessions”) located in the new raceway grandstand constructed at the Meadowlands Racetrack in northern New Jersey. Under the agreement, NMR is responsible to pay for the costs and expenses incurred in the operation of the Racing F&B Concessions, and all revenues and profits thereof inure to the benefit of NMR. AM VIE receives an annual fee equal to 5% of the net profits received by NMR from the Racing F&B Concessions during each calendar year. At March 28, 2015, it was determined that AM VIE is a variable interest entity. However, based on qualitative consideration of the contracts with AM VIE, the operating structure of AM VIE, the Company’s role with AM VIE, and that the Company is not obligated to absorb any expected losses of AM VIE, the Company has concluded that it is not the primary beneficiary and not required to consolidate the operations of AM VIE. | |
The Company’s maximum exposure to loss as a result of its involvement with AM VIE is limited to a receivable from AM VIE’s primary beneficiary (NMR, a related party) which aggregated approximately $267,000 and $266,000 at March 28, 2015 and September 27, 2014, respectively, and are included in Prepaid Expenses and Other Current Assets in the Consolidated Condensed Balance Sheets. | |
On April 25, 2014, the Company loaned $1,500,000 to Meadowlands Newmark, LLC. The note bears interest at 3%, compounded monthly and added to the principal, and is due in its entirety on January 31, 2024. The note may be prepaid, in whole or in part, at any time without penalty or premium. The principal and accrued interest related to this note in the amount of $1,522,954 is included in Other Assets in the Consolidated Condensed Balance Sheets at March 28, 2015 and September 27, 2014. |
NOTES_PAYABLE
NOTES PAYABLE | 6 Months Ended |
Mar. 28, 2015 | |
Notes Payable For Treasury Stock Repurchase [Abstract] | |
Notes Payable For Treasury Stock Repurchase [Text Block] | 7. NOTES PAYABLE |
Treasury Stock Repurchase – On December 12, 2011, the Company, in a private transaction, purchased 250,000 shares of its common stock at a price of $12.50 per share, for a total of $3,125,000. Upon the closing of the purchase, the Company paid the seller $1,000,000 in cash and issued an unsecured promissory note to the seller for $2,125,000. The note, which was repaid in full in November 2014, bore interest at 0.19% per annum, and was payable in 24 equal monthly installments of $88,541, commencing on December 1, 2012. | |
Bank – On February 25, 2013, the Company issued a promissory note, secured by all assets of the Company, to a bank for $3,000,000. The note bore interest at LIBOR plus 3.5% per annum, and was payable in 36 equal monthly installments of $83,333, commencing on March 25, 2013. On February 24, 2014, in connection with the acquisition of The Rustic Inn, the Company borrowed an additional $6,000,000 from this bank under the same terms and conditions as the original loan which was consolidated with the remaining principal balance from the original borrowing at that date. The new loan is payable in 60 equal monthly installments of $134,722, which commenced on March 25, 2014. As of March 28, 2015, the outstanding balance of this note payable was approximately $6,332,000. | |
The loan agreement provides, among other things, that the Company meet minimum quarterly tangible net worth amounts, as defined, and minimum annual net income amounts, and contains customary representations, warranties and affirmative covenants. The agreement also contains customary negative covenants, subject to negotiated exceptions, on liens, relating to other indebtedness, capital expenditures, liens, affiliate transactions, disposal of assets and certain changes in ownership. The Company was in compliance with all debt covenants as of March 28, 2015. |
ACCRUED_EXPENSES_AND_OTHER_CUR
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | 6 Months Ended | ||||||||
Mar. 28, 2015 | |||||||||
Disclosure Text Block Supplement [Abstract] | |||||||||
Accounts Payable, Accrued Liabilities, and Other Liabilities Disclosure, Current [Text Block] | 8. ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ||||||||
Accrued expenses and other current liabilities consist of the following: | |||||||||
March 28, | September 27, | ||||||||
2015 | 2014 | ||||||||
(In thousands) | |||||||||
Sales tax payable | $ | 1,091 | $ | 833 | |||||
Accrued wages and payroll related costs | 1,486 | 1,532 | |||||||
Customer advance deposits | 3,638 | 3,895 | |||||||
Accrued occupancy and other operating expenses | 3,981 | 4,076 | |||||||
$ | 10,196 | $ | 10,336 | ||||||
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Mar. 28, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | 9. COMMITMENTS AND CONTINGENCIES |
Leases — The Company leases its restaurants, bar facilities, and administrative headquarters through its subsidiaries under terms expiring at various dates through 2032. Most of the leases provide for the payment of base rents plus real estate taxes, insurance and other expenses and, in certain instances, for the payment of a percentage of the restaurants sales in excess of stipulated amounts at such facility and in one instance based on profits. | |
Legal Proceedings — In the ordinary course of its business, the Company is a party to various lawsuits arising from accidents at its restaurants and worker’s compensation claims, which are generally handled by the Company’s insurance carriers. The employment by the Company of management personnel, waiters, waitresses and kitchen staff at a number of different restaurants has resulted in the institution, from time to time, of litigation alleging violation by the Company of employment discrimination laws. Management believes, based in part on the advice of counsel, that the ultimate resolution of these matters will not have a material adverse effect on the Company’s consolidated financial position, results of operations or cash flows. |
STOCK_OPTIONS
STOCK OPTIONS | 6 Months Ended | ||||||||||||||
Mar. 28, 2015 | |||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 10. STOCK OPTIONS | ||||||||||||||
The Company has options outstanding under two stock option plans, the 2004 Stock Option Plan (the “2004 Plan”) and the 2010 Stock Option Plan (the “2010 Plan”), which was approved by shareholders in the second quarter of 2010. Effective with this approval, the Company terminated the 2004 Plan. This action terminated the 400 authorized but unissued options under the 2004 Plan, but it did not affect any of the options previously issued under the 2004 Plan. Options granted under the 2004 Plan are exercisable at prices at least equal to the fair market value of such stock on the dates the options were granted. The options expire ten years after the date of grant. | |||||||||||||||
The 2010 Stock Option Plan is the Company’s only equity compensation plan currently in effect. Under the 2010 Stock Option Plan, 500,000 options were authorized for future grant. Options granted under the 2010 Plan are exercisable at prices at least equal to the fair market value of such stock on the dates the options were granted. The options expire ten years after the date of grant. | |||||||||||||||
During the 13-week period ended December 27, 2014, options to purchase 136,500 shares of common stock at an exercise price of $29.60 per share expired unexercised. | |||||||||||||||
A summary of stock option activity is presented below: | |||||||||||||||
2015 | |||||||||||||||
Shares | Weighted | Weighted | Aggregate | ||||||||||||
Average | Average | Intrinsic | |||||||||||||
Exercise | Contractual | Value | |||||||||||||
Price | Term | ||||||||||||||
Outstanding, beginning of period | 704,161 | $ | 21.66 | 5.5 Years | |||||||||||
Options: | |||||||||||||||
Granted | — | ||||||||||||||
Exercised | (16,861 | ) | $ | 12.88 | |||||||||||
Canceled or expired | (136,500 | ) | $ | 29.6 | |||||||||||
Outstanding and expected to vest, end of period (a) | 550,800 | $ | 19.96 | 6.5 Years | $ | 2,098,659 | |||||||||
Exercisable, end of period (a) | 345,300 | $ | 18.44 | 5.0 Years | $ | 2,098,659 | |||||||||
Compensation cost charged to operations for the 26-week periods ended March 28, 2015 and March 29, 2014 was $208,000 and $157,000, respectively, and for the 13-week periods ended March 28, 2015 and March 29, 2014 was $103,000 and $78,000, respectively.. The compensation cost recognized is classified as a general and administrative expense in the Consolidated Condensed Statements of Operations. | |||||||||||||||
As of March 28, 2015, there was approximately $504,000 of unrecognized compensation cost related to unvested stock options, which is expected to be recognized over a period of approximately 1.25 years. |
INCOME_TAXES
INCOME TAXES | 6 Months Ended |
Mar. 28, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | 11. INCOME TAXES |
The Company’s provision for income taxes consists of Federal, state and local taxes in amounts necessary to align the Company’s year-to-date provision for income taxes with the effective tax rate that the Company expects to achieve for the full year. The income tax provision on income from continuing operations for the 26-week periods ended March 28, 2015 and March 29, 2014 reflect effective tax rates of approximately 28% and 32%, respectively. The Company expects its effective tax rate for its current fiscal year to be significantly lower than the statutory rate as a result of the of tax credits, income from lower tax jurisdictions and operating income attributable to the non-controlling interests of the VIEs that is not taxable to the Company. The final annual tax rate cannot be determined until the end of the fiscal year; therefore, the actual tax rate could differ from current estimates. |
INCOME_PER_SHARE_OF_COMMON_STO
INCOME PER SHARE OF COMMON STOCK | 6 Months Ended |
Mar. 28, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | 12. INCOME PER SHARE OF COMMON STOCK |
Net income per share is calculated on the basis of the weighted average number of common shares outstanding during each period plus, for diluted net income per share, the additional dilutive effect of potential common stock. Potential common stock using the treasury stock method consists of dilutive stock options. | |
For the 13-week period ended March 28, 2015, options to purchase 85,500, 169,800, 205,500 and 90,000 shares of common stock at exercise prices of $12.04, $14.40, $22.50 and $32.15 per share, respectively, were not included in diluted earnings per share as their impact was anti-dilutive. | |
For the 26-week period ended March 28, 2015, options to purchase 85,500 shares of common stock at an exercise price of $12.04 per share and options to purchase 169,800 shares of common stock at an exercise price $14.40 per share were included in diluted earnings per share. Options to purchase 205,500 shares of common stock at an exercise price of $22.50 per share and options to purchase 90,000 shares of common stock at an exercise price of $32.15 per share were not included in diluted earnings per share as their impact was anti-dilutive. | |
For the 13-week period ended March 29, 2014, options to purchase 147,800, 233,726, 136,500 and 90,000 shares of common stock at exercise prices of $12.04, $14.40, $29.60 and $32.15 per share, respectively, were not included in diluted earnings per share as their impact was anti-dilutive. | |
For the 26-week period ended March 29, 2014, options to purchase 147,800 shares of common stock at an exercise price of $12.04 per share and options to purchase 233,726 shares of common stock at an exercise price $14.40 per share were included in diluted earnings per share. Options to purchase 136,500 shares of common stock at an exercise price of $29.60 per share and options to purchase 90,000 shares of common stock at an exercise price of $32.15 per share were not included in diluted earnings per share as their impact was anti-dilutive. |
DIVIDENDS
DIVIDENDS | 6 Months Ended |
Mar. 28, 2015 | |
Dividends [Abstract] | |
Dividends [Text Block] | 13. DIVIDENDS |
On March 3, 2015, the Board of Directors declared a quarterly dividend of $0.25 per share on the Company’s common stock to be paid on April 2, 2015 to shareholders of record at the close of business on March 16, 2015. The Company intends to continue to pay such quarterly cash dividends for the foreseeable future, however, the payment of future dividends is at the discretion of the Company’s Board of Directors and is based on future earnings, cash flow, financial condition, capital requirements, changes in U.S. taxation and other relevant factors. |
Accounting_Policies_by_Policy_
Accounting Policies, by Policy (Policies) | 6 Months Ended |
Mar. 28, 2015 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | PRINCIPLES OF CONSOLIDATION — The consolidated condensed interim financial statements include the accounts of Ark Restaurants Corp. and all of its wholly-owned subsidiaries, partnerships and other entities in which it has a controlling interest, collectively herein referred to as the “Company”. Also included in the consolidated condensed interim financial statements are certain variable interest entities (“VIEs”). All significant intercompany balances and transactions have been eliminated in consolidation. |
Seasonality [Policy Text Block] | SEASONALITY — The Company has substantial fixed costs that do not decline proportionally with sales. The first and second fiscal quarters, which include the winter months, usually reflect lower customer traffic than in the third and fourth fiscal quarters. In addition, sales in the third and fourth fiscal quarters can be adversely affected by inclement weather due to the significant amount of outdoor seating at the Company’s restaurants. |
Fair Value of Financial Instruments, Policy [Policy Text Block] | FAIR VALUE OF FINANCIAL INSTRUMENTS — The carrying amount of cash and cash equivalents, receivables, accounts payable and accrued expenses approximate fair value due to the immediate or short-term maturity of these financial instruments. The fair values of notes receivable and payable are determined using current applicable rates for similar instruments as of the balance sheet date and approximate the carrying value of such debt. |
Cash and Cash Equivalents, Policy [Policy Text Block] | CASH AND CASH EQUIVALENTS — Cash and cash equivalents include cash on hand, deposits with banks and highly liquid investments generally with original maturities of three months or less. Outstanding checks in excess of account balances, typically vendor payments, payroll and other contractual obligations disbursed after the last day of a reporting period are reported as a current liability in the accompanying consolidated condensed balance sheets. |
Supplier Concentration [Policy Text Block] | CONCENTRATIONS OF CREDIT RISK — Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. The Company reduces credit risk by placing its cash and cash equivalents with major financial institutions with high credit ratings. At times, such amounts may exceed Federally insured limits. The concentration of credit risk with respect to accounts receivable is generally limited due to the short payment terms extended by the Company and the number of customers comprising the Company’s customer base. |
For the 26-week period ended March 28, 2015, the Company did not make purchases from any one vendor that accounted for 10% or greater of total purchases. For the 26-week period ended March 29, 2014, the Company made purchases from two vendors that accounted for approximately 21% of total purchases. For the 13-week period ended March 28, 2015, the Company made purchases from one vendor that accounted for approximately 10% of total purchases. For the 13-week period ended March 29, 2014, the Company made purchases from two vendors that accounted for approximately 22% of total purchases. | |
Segment Reporting, Policy [Policy Text Block] | SEGMENT REPORTING — As of March 28, 2015, the Company owned and operated 21 restaurants and bars, 19 fast food concepts and catering operations, exclusively in the United States, that have similar economic characteristics, nature of products and service, class of customers and distribution methods. The Company believes it meets the criteria for aggregating its operating segments into a single reporting segment in accordance with applicable accounting guidance. |
Recently Adopted Accounting Standards [Policy Text Block] | RECENTLY ADOPTED ACCOUNTING STANDARDS — In April 2014, the FASB issued new accounting guidance that changes the definition of a discontinued operation to include only those disposals of components of an entity that represent a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. This guidance became effective for annual reporting periods beginning on or after December 15, 2014 and is to be applied prospectively. The adoption of this guidance did not have a material impact on the Company’s consolidated condensed financial statements. |
New Accounting Pronouncements, Policy [Policy Text Block] | NEW ACCOUNTING STANDARDS NOT YET ADOPTED — In January 2015, the FASB issued guidance simplifying the income statement presentation by eliminating the concept of extraordinary items. Extraordinary items are events and transactions that are distinguished by their unusual nature and by the infrequency of their occurrence. Eliminating the extraordinary classification simplifies income statement presentation by altogether removing the concept of extraordinary items from consideration. The amendments are effective for annual reporting periods, including interim periods within those reporting periods, beginning after December 15, 2015. Early adoption is permitted provided that the guidance is applied from the beginning of the annual reporting period. The Company does not believe this guidance will have a material impact on its Consolidated Financial Statements. |
In February 2015, the FASB amended the consolidation standards for reporting entities that are required to evaluate whether they should consolidate certain legal entities. Under the new guidance, all legal entities are subject to reevaluation under the revised consolidation model. Specifically, the guidance (i) modifies the evaluation of whether limited partnerships and similar legal entities are variable interest entities (VIEs) or voting interest entities; (ii) eliminates the presumption that a general partner should consolidate a limited partnership; (iii) affects the consolidation analysis of reporting entities that are involved with VIEs, particularly those that have fee arrangements and related party relationships; and (iv) provides a scope exception from consolidation guidance for reporting entities with interests in legal entities that are required to comply with or operate in accordance with requirements that are similar to those in Rule 2a-7 of the Investment Company Act for registered money market funds. The amendments are effective for annual reporting periods, beginning after December 15, 2015. Early adoption is permitted, including adoption in an interim period. The Company is currently evaluating the impact of this guidance on its Consolidated Financial Statements. |
VARIABLE_INTEREST_ENTITIES_Tab
VARIABLE INTEREST ENTITIES (Tables) | 6 Months Ended | ||||||||
Mar. 28, 2015 | |||||||||
Variable Interest Entities [Abstract] | |||||||||
Schedule of Variable Interest Entities [Table Text Block] | Following are the required disclosures associated with the Company’s consolidated VIEs: | ||||||||
March 28, | September 27, | ||||||||
2015 | 2014 | ||||||||
(in thousands) | |||||||||
Cash and cash equivalents | $ | 419 | $ | 584 | |||||
Accounts receivable | 395 | 440 | |||||||
Inventories | 17 | 19 | |||||||
Prepaid expenses and other current assets | 166 | 173 | |||||||
Due from Ark Restaurants Corp. and affiliates (1) | 92 | 105 | |||||||
Fixed assets - net | 54 | 59 | |||||||
Other assets | 71 | 71 | |||||||
Total assets | $ | 1,214 | $ | 1,451 | |||||
Accounts payable - trade | $ | 72 | $ | 58 | |||||
Accrued expenses and other current liabilities | 238 | 179 | |||||||
Operating lease deferred credit | 78 | 75 | |||||||
Total liabilities | 388 | 312 | |||||||
Equity of variable interest entities | 826 | 1,139 | |||||||
Total liabilities and equity | $ | 1,214 | $ | 1,451 | |||||
-1 | Amounts Due from Ark Restaurants Corp. and affiliates are eliminated upon consolidation. |
RECENT_RESTAURANT_EXPANSION_Ta
RECENT RESTAURANT EXPANSION (Tables) | 6 Months Ended | ||||||||
Mar. 28, 2015 | |||||||||
Recent Restaurant Expansion [Abstract] | |||||||||
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The fair values of the assets acquired were allocated as follows: | ||||||||
Inventory | $ | 210,000 | |||||||
Land | 2,000,000 | ||||||||
Building | 2,800,000 | ||||||||
Furniture, fixtures and equipment | 200,000 | ||||||||
Trademarks | 500,000 | ||||||||
Goodwill | 2,000,000 | ||||||||
$ | 7,710,000 | ||||||||
Schedule of Annual Financial Information [Table Text Block] | The unaudited pro forma financial information set forth below is based upon the Company’s historical Consolidated Condensed Statements of Operations for the 13 and 26-weeks ended March 29, 2014. | ||||||||
13 Weeks Ended | 26 Weeks Ended | ||||||||
March 29, | March 29, | ||||||||
2014 | 2014 | ||||||||
(in thousands, except per share amounts) | |||||||||
Total revenues | $ | 33,124 | $ | 68,249 | |||||
Net income | $ | 131 | $ | 728 | |||||
Net income per share - basic | $ | 0.04 | $ | 0.22 | |||||
Net income per share - diluted | $ | 0.04 | $ | 0.21 |
ACCRUED_EXPENSES_AND_OTHER_CUR1
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables) | 6 Months Ended | ||||||||
Mar. 28, 2015 | |||||||||
Disclosure Text Block Supplement [Abstract] | |||||||||
Schedule of Accrued Expenses And Other Current Liabilities [Table Text Block] | Accrued expenses and other current liabilities consist of the following: | ||||||||
March 28, | September 27, | ||||||||
2015 | 2014 | ||||||||
(In thousands) | |||||||||
Sales tax payable | $ | 1,091 | $ | 833 | |||||
Accrued wages and payroll related costs | 1,486 | 1,532 | |||||||
Customer advance deposits | 3,638 | 3,895 | |||||||
Accrued occupancy and other operating expenses | 3,981 | 4,076 | |||||||
$ | 10,196 | $ | 10,336 |
STOCK_OPTIONS_Tables
STOCK OPTIONS (Tables) | 6 Months Ended | ||||||||||||||
Mar. 28, 2015 | |||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | A summary of stock option activity is presented below: | ||||||||||||||
2015 | |||||||||||||||
Shares | Weighted | Weighted | Aggregate | ||||||||||||
Average | Average | Intrinsic | |||||||||||||
Exercise | Contractual | Value | |||||||||||||
Price | Term | ||||||||||||||
Outstanding, beginning of period | 704,161 | $ | 21.66 | 5.5 Years | |||||||||||
Options: | |||||||||||||||
Granted | — | ||||||||||||||
Exercised | (16,861 | ) | $ | 12.88 | |||||||||||
Canceled or expired | (136,500 | ) | $ | 29.6 | |||||||||||
Outstanding and expected to vest, end of period (a) | 550,800 | $ | 19.96 | 6.5 Years | $ | 2,098,659 | |||||||||
Exercisable, end of period (a) | 345,300 | $ | 18.44 | 5.0 Years | $ | 2,098,659 |
CONSOLIDATED_CONDENSED_FINANCI1
CONSOLIDATED CONDENSED FINANCIAL STATEMENTS (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 | |
CONSOLIDATED CONDENSED FINANCIAL STATEMENTS (Details) [Line Items] | ||||
Gift Card Liability, Current (in Dollars) | $224,000 | $224,000 | ||
Liabilities for Gift Cards Net of tax (in Dollars) | $161,000 | $161,000 | ||
Liabilities for Unredeemed Gift Cards Per Share Amount (in Dollars per share) | $0.05 | $0.05 | ||
Number of Significant Vendors | 1 | 2 | 1 | 2 |
Restaurants and Bars [Member] | ||||
CONSOLIDATED CONDENSED FINANCIAL STATEMENTS (Details) [Line Items] | ||||
Number of Operating Segments | 21 | |||
Fast Food Concepts and Catering Operations [Member] | ||||
CONSOLIDATED CONDENSED FINANCIAL STATEMENTS (Details) [Line Items] | ||||
Number of Operating Segments | 19 | |||
Supplier Concentration Risk [Member] | ||||
CONSOLIDATED CONDENSED FINANCIAL STATEMENTS (Details) [Line Items] | ||||
Supplier Concentration Risk Description | the Company made purchases from one vendor that accounted for approximately 10% of total purchases. | the Company made purchases from two vendors that accounted for approximately 22% of total purchases. | the Company did not make purchases from any one vendor that accounted for 10% or greater of total purchases. | the Company made purchases from two vendors that accounted for approximately 21% of total purchases. |
Concentration Risk, Percentage | 10.00% | 22.00% | 10.00% | 21.00% |
VARIABLE_INTEREST_ENTITIES_Det
VARIABLE INTEREST ENTITIES (Details) | Mar. 28, 2015 |
Variable Interest Entities [Abstract] | |
Number of VIEs with Primary Benefits | 3 |
VARIABLE_INTEREST_ENTITIES_Det1
VARIABLE INTEREST ENTITIES (Details) - Schedule of variable interest entities (USD $) | Mar. 28, 2015 | Sep. 27, 2014 | ||
In Thousands, unless otherwise specified | ||||
Schedule of variable interest entities [Abstract] | ||||
Cash and cash equivalents | $419 | $584 | ||
Accounts receivable | 395 | 440 | ||
Inventories | 17 | 19 | ||
Prepaid expenses and other current assets | 166 | 173 | ||
Due from Ark Restaurants Corp. and affiliates (1) | 92 | [1] | 105 | [1] |
Fixed assets - net | 54 | 59 | ||
Other assets | 71 | 71 | ||
Total assets | 1,214 | 1,451 | ||
Accounts payable - trade | 72 | 58 | ||
Accrued expenses and other current liabilities | 238 | 179 | ||
Operating lease deferred credit | 78 | 75 | ||
Total liabilities | 388 | 312 | ||
Equity of variable interest entities | 826 | 1,139 | ||
Total liabilities and equity | $1,214 | $1,451 | ||
[1] | Amounts Due from Ark Restaurants Corp. and affiliates are eliminated upon consolidation. |
RECENT_RESTAURANT_EXPANSION_De
RECENT RESTAURANT EXPANSION (Details) (USD $) | 3 Months Ended | 6 Months Ended | 1 Months Ended | ||
Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 | Feb. 28, 2014 | |
RECENT RESTAURANT EXPANSION (Details) [Line Items] | |||||
Net Income (Loss) Attributable to Parent | ($583,000) | ($174,000) | $140,000 | $389,000 | |
Lease Expiration Year | 2032 | ||||
The Rustic Inn [Member] | |||||
RECENT RESTAURANT EXPANSION (Details) [Line Items] | |||||
Business Combination, Consideration Transferred | 7,710,000 | ||||
Bank Loan Related to Acquisition | 6,000,000 | ||||
Sales Revenue, Services, Net | 4,608,000 | 7,800,000 | |||
Net Income (Loss) Attributable to Parent | 1,133,000 | 1,569,000 | |||
Crab House [Member] | |||||
RECENT RESTAURANT EXPANSION (Details) [Line Items] | |||||
Proceeds from Sale of Property, Plant, and Equipment | 250,000 | ||||
Lease Expiration Date | 31-Dec-15 | ||||
Lease Expiration Year | 2033 | ||||
Investment Owned, at Cost | 750,000 | 750,000 | |||
Pre-opening and early operating loss | $498,000 | $667,000 |
RECENT_RESTAURANT_EXPANSION_De1
RECENT RESTAURANT EXPANSION (Details) - Schedule of fair value assets acquired (USD $) | Mar. 28, 2015 | Sep. 27, 2014 |
RECENT RESTAURANT EXPANSION (Details) - Schedule of fair value assets acquired [Line Items] | ||
Goodwill | $6,813,000 | $6,813,000 |
The Rustic Inn [Member] | ||
RECENT RESTAURANT EXPANSION (Details) - Schedule of fair value assets acquired [Line Items] | ||
Inventory | 210,000 | |
Land | 2,000,000 | |
Building | 2,800,000 | |
Furniture, fixtures and equipment | 200,000 | |
Trademarks | 500,000 | |
Goodwill | 2,000,000 | |
$7,710,000 |
RECENT_RESTAURANT_EXPANSION_De2
RECENT RESTAURANT EXPANSION (Details) - Schedule of unaudited pro forma financial information (USD $) | 3 Months Ended | 6 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Mar. 29, 2014 | Mar. 29, 2014 |
Schedule of unaudited pro forma financial information [Abstract] | ||
Total revenues | $33,124 | $68,249 |
Net income | $131 | $728 |
Net income per share - basic | $0.04 | $0.22 |
Net income per share - diluted | $0.04 | $0.21 |
NOTE_RECEIVABLE_Details
NOTE RECEIVABLE (Details) (USD $) | 1 Months Ended | 6 Months Ended |
Jun. 07, 2011 | Mar. 28, 2015 | |
Receivables [Abstract] | ||
Period of Agreement | 10 years | |
Fees Amount Of Constructed Restaurant And Catering Service | $1,000,000 | |
Financing Receivable, Net | 1,000,000 | |
Notes Receivable Interest Rate Stated Percentage | 4.00% | |
Notes Receivable Number Of Equal Periodic Installments | 38 | |
Notes Receivable Amount of Equal Periodic Installments | $9,000 |
INVESTMENT_IN_NEW_MEADOWLANDS_1
INVESTMENT IN NEW MEADOWLANDS RACETRACK (Details) (USD $) | 6 Months Ended | 12 Months Ended | 6 Months Ended | |
Mar. 28, 2015 | Sep. 28, 2013 | Mar. 29, 2014 | Sep. 27, 2014 | |
INVESTMENT IN NEW MEADOWLANDS RACETRACK (Details) [Line Items] | ||||
Profit Participation Percentage | 5.00% | |||
New Meadowlands Racetrack LLC [Member] | ||||
INVESTMENT IN NEW MEADOWLANDS RACETRACK (Details) [Line Items] | ||||
Payments to Acquire Businesses and Interest in Affiliates | $4,200,000 | |||
Payments to Acquire Additional Interest in Subsidiaries | 464,000 | |||
Cost Method Investments Ownership Percentage | 11.60% | |||
Ark Meadowlands LLC [Member] | ||||
INVESTMENT IN NEW MEADOWLANDS RACETRACK (Details) [Line Items] | ||||
Noncontrolling Interest, Ownership Percentage by Parent | 97.00% | |||
Maximum Loss Relating to V I E Included In Other Current Assets | 267,000 | 266,000 | ||
Meadowlands Newmark LLC [Member] | ||||
INVESTMENT IN NEW MEADOWLANDS RACETRACK (Details) [Line Items] | ||||
Payments to Acquire Businesses and Interest in Affiliates | 464,000 | |||
Loans And Advances to Related Party | 1,500,000 | |||
Interest Rate on Loan | 3.00% | |||
Loan Maturity Date | 31-Jan-24 | |||
Principal and Accrued Interest Included in Other Assets | 1,522,954 | $1,522,954 |
NOTES_PAYABLE_Details
NOTES PAYABLE (Details) (USD $) | 6 Months Ended |
Mar. 28, 2015 | |
NOTES PAYABLE (Details) [Line Items] | |
Treasury Stock, Shares, Acquired (in Shares) | 250,000 |
Treasury Stock Acquired, Average Cost Per Share (in Dollars per share) | $12.50 |
Treasury Stock, Value, Acquired, Cost Method | $3,125,000 |
Payments for Repurchase of Common Stock | 1,000,000 |
Note Payable In Connection With Purchase Of Treasury Shares | 2,125,000 |
Long-term Debt, Percentage Bearing Fixed Interest, Percentage Rate | 0.19% |
Debt Instrument, Periodic Payment | 88,541 |
Debt Instrument, Date of First Required Payment | 1-Dec-12 |
Notes Payable to Banks [Member] | |
NOTES PAYABLE (Details) [Line Items] | |
Number of Installments | 36 |
Debt Instrument, Periodic Payment | 83,333 |
Debt Instrument, Date of First Required Payment | 25-Mar-13 |
Debt Instrument, Face Amount | 3,000,000 |
Debt Instrument, Interest Rate Terms | LIBOR plus 3.5% per annum |
Debt Instrument, Basis Spread on Variable Rate | 3.50% |
Note Payable to Bank Balance Outstanding | 6,332,000 |
The Rustic Inn [Member] | |
NOTES PAYABLE (Details) [Line Items] | |
Number of Installments | 60 |
Debt Instrument, Date of First Required Payment | 25-Mar-14 |
Bank Loan Related to Acquisition | 6,000,000 |
Bank Loan Periodic Payment | $134,722 |
Unsecured Promissory Note [Member] | |
NOTES PAYABLE (Details) [Line Items] | |
Number of Installments | 24 |
ACCRUED_EXPENSES_AND_OTHER_CUR2
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - Schedule of accrued expenses and other current liabilities (USD $) | Mar. 28, 2015 | Sep. 27, 2014 |
In Thousands, unless otherwise specified | ||
Schedule of accrued expenses and other current liabilities [Abstract] | ||
Sales tax payable | $1,091 | $833 |
Accrued wages and payroll related costs | 1,486 | 1,532 |
Customer advance deposits | 3,638 | 3,895 |
Accrued occupancy and other operating expenses | 3,981 | 4,076 |
$10,196 | $10,336 |
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Details) | 6 Months Ended |
Mar. 28, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Lease Expiration Year | 2032 |
STOCK_OPTIONS_Details
STOCK OPTIONS (Details) (USD $) | 3 Months Ended | 6 Months Ended | |||
Mar. 28, 2015 | Dec. 27, 2014 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 | |
STOCK OPTIONS (Details) [Line Items] | |||||
Number of Stock Option Plans | 2 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period (in Shares) | 136,500 | 136,500 | |||
Share-based Compensation Arrangements by Share-based Payment Award, Options, Forfeitures in Period, Weighted Average Exercise Price (in Dollars per share) | $29.60 | $29.60 | |||
Share-based Compensation | $103,000 | $78,000 | $208,000 | $157,000 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Not yet Recognized, Stock Options | $504,000 | $504,000 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 3 months | ||||
Stock Option 2004 Plan [Member] | |||||
STOCK OPTIONS (Details) [Line Items] | |||||
Terminated Unissued Options (in Shares) | 400 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | ||||
Stock Option 2010 Plan [Member] | |||||
STOCK OPTIONS (Details) [Line Items] | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized (in Shares) | 500,000 | 500,000 |
STOCK_OPTIONS_Details_Schedule
STOCK OPTIONS (Details) - Schedule of stock options, activity (USD $) | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Dec. 27, 2014 | Mar. 28, 2015 | Sep. 27, 2014 | |
Schedule of stock options, activity [Abstract] | |||
Outstanding, beginning of period | 704,161 | ||
Outstanding, beginning of period | $21.66 | ||
Outstanding, beginning of period | 6 years 6 months | 5 years 6 months | |
Options: | |||
Exercised | -16,861 | ||
Exercised | $12.88 | ||
Canceled or expired | -136,500 | -136,500 | |
Canceled or expired | $29.60 | $29.60 | |
Outstanding and expected to vest, end of period (a) | 550,800 | ||
Outstanding and expected to vest, end of period (a) | $19.96 | ||
Outstanding and expected to vest, end of period (a) | 6 years 6 months | 5 years 6 months | |
Outstanding and expected to vest, end of period (a) | $2,098,659 | ||
Exercisable, end of period (a) | 345,300 | ||
Exercisable, end of period (a) | $18.44 | ||
Exercisable, end of period (a) | 5 years | ||
Exercisable, end of period (a) | $2,098,659 |
INCOME_TAXES_Details
INCOME TAXES (Details) | 6 Months Ended | |
Mar. 28, 2015 | Mar. 29, 2014 | |
Income Tax Disclosure [Abstract] | ||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 28.00% | 32.00% |
INCOME_PER_SHARE_OF_COMMON_STO1
INCOME PER SHARE OF COMMON STOCK (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||
Mar. 28, 2015 | Mar. 29, 2014 | Mar. 28, 2015 | Mar. 29, 2014 | |
Exercise Price One [Member] | ||||
INCOME PER SHARE OF COMMON STOCK (Details) [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 85,500 | 147,800 | ||
Exercise Price Of Common Stock Options Excluded From Computation Of Earnings Per Share | $12.04 | $12.04 | ||
Dilutive Securities Included In Computation Of Earnings Per Share Amount | 85,500 | 147,800 | ||
Exercise Price Of Common Stock Options Included In Computation Of Earnings Per Share | $12.04 | $12.04 | ||
Exercise Price Two [Member] | ||||
INCOME PER SHARE OF COMMON STOCK (Details) [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 169,800 | 233,726 | ||
Exercise Price Of Common Stock Options Excluded From Computation Of Earnings Per Share | $14.40 | $14.40 | ||
Dilutive Securities Included In Computation Of Earnings Per Share Amount | 169,800 | 233,726 | ||
Exercise Price Of Common Stock Options Included In Computation Of Earnings Per Share | $14.40 | $14.40 | ||
Exercise Price Three [Member] | ||||
INCOME PER SHARE OF COMMON STOCK (Details) [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 205,500 | 136,500 | 205,500 | 136,500 |
Exercise Price Of Common Stock Options Excluded From Computation Of Earnings Per Share | $22.50 | $29.60 | $22.50 | $29.60 |
Exercise Price Four [Member] | ||||
INCOME PER SHARE OF COMMON STOCK (Details) [Line Items] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 90,000 | 90,000 | 90,000 | 90,000 |
Exercise Price Of Common Stock Options Excluded From Computation Of Earnings Per Share | $32.15 | $32.15 | $32.15 | $32.15 |
DIVIDENDS_Details
DIVIDENDS (Details) (USD $) | Mar. 28, 2015 |
Dividends [Abstract] | |
Dividends Payable, Amount Per Share | $0.25 |