Earnings call transcript Q1 2023

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Operator

Greetings, and welcome to The ONE Group First Quarter 2023 Earnings Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] Please also note this event is being recorded.

And now, I would like to turn the conference over to Tyler Loy.

Tyler Loy

hello, and operator, you, everyone. Thank

these not also our opinion Before date also cause forward-looking to we place more you risks Please operating statements. a undue differ our let performance as of subject recent future are any remind statements to reliance only could on statements this publicly numerous remarks, of part or we These discussion you conditions. that of We obligation that could are and detailed expect. impact information forward-looking not revisions statements forward-looking to events. or our reflect SEC begin no in that that include our refer statements me will filings our risks actual what future uncertainties new to results These future the of financial light of formal note results these discussion should for call. of the We revise from of guarantees them. materially forward-looking release and undertake you today and

will we our discuss performance. non-GAAP which we financial call, believe in can today’s During evaluating measures be useful certain

income, managed and measures earnings why to our sales of or in The not information or measures considered in restaurant these measures, total of useful, today. sales units and owned food licensed comparable issued results see profit, and measures, beverage release please operating these a along and GAAP be consider of reconciliations EBITDA, we isolation However, other discussion net with at accordance adjusted presentation as the adjusted for these substitute GAAP. a should prepared with as such

over to Hilario. like Manny I’d to that, turn the call With

Emanuel Hilario

today your and you joining Tyler, in ONE and sincerely appreciate The you, hello, We group. Thank for interest everyone. us

with their capital. providing portfolio restaurants hard Let our by operations members build we strong all of world-class of return work, a on industry-leading as thanking for team me begin invested

million with on to an in for comparable in increase a level of sales; first year-over-year and of XX% inflation over revenues driving restaurant despite X.X% best-in-class such and $XX.X a margin include: beverage. quarter chain innovation driven EBITDA, a growth supply executing in and total headwinds XX.X% as basis; sold stoppings, the STK continued consolidated sales and increase adjusted our goods mix by flexible initiatives highlights and Key sites of year-over-year XX% of margins management, menu cost

STK which be the we a significantly newest than finally, our outperform and flexible investment to and average And X-year $XX.X future of funding to venues continue returning allow our quarter us model value restaurants. pipeline including in finished robust our have should rapidly payback. cash, in to with Our million expanding less our shareholders,

Our our execution, resonate culinary focus to strategy. are on our on operational we growth continues and and Vibe guests, plan with innovation with strong Dining

of special continue strength brands, the also events we coincides and quarter, private values return This and happy $X the This weekend at $X, in more with some believe country. business the to price particularly and our points, both more with we most as as program strengthen occasion industry. in strength hour our $X to are well as see around the which for our compelling in offices people demand

and estate environment, X year. development and an our established the power quality to profit XX have plan our business, and the an are confidence business. venues pipeline hour along of into tremendous energy real underlying construction us restaurants, in by vibrant our strength a guest development high of pipeline. created our new the new converting continued with Importantly, teams happy active The open to in challenging this revenue of gives our incredible dinner Despite performance we

Columbus, of a Ohio, for kicked in Importantly, with the Grill we model in off the year and performed average January. unit Town Grill the redesigned have platform our above and and growth. above profit Eastern We system This scalable Kona the investment an Center opening in established Kona for revenue quarter. new long-term newly the

We and forward looking start in the are season patio this encouraged are Ohio. of to new by restaurant the

a in Scottsdale domestic the in great also STK in a rooftop location. portfolio Scottsdale addition our fourth at We February. new the is to strong opened already and our Rooftop This STK

licensed to For company-owned Henderson, to new cities: or Ridge, Lake the Charlotte, Kona and open Carolina; Nevada; Florida; Massachusetts; we And the open plan X and Desert Salt additional North plan X STKs D.C.; X to cities: in following remainder Aventura, Tigard, Boston, finally, of Arizona; Utah. Utah; we Washington, to following in the year, Riverton, X STK. Oregon. City, Grills managed X the And

a As XXX long foresee we have We restaurants least including of globally story at Kona market least total begun. has at growth Grills XXX just restaurants, and XXX addressable domestically. stated, STK our

focusing conclude, by job is To our team and a operations fantastic doing day-to-day execution.

to are our and powerfully grow value sustainable building revenue our the pipeline executing and of significant build EBITDA We over long-term. and plan our to development shareholder existing strengthening business

Now, call Tyler. over I’ll turn the to

Tyler Loy

Manny. Thank you,

our last increasing million million, before Let million revenue Total me from start full of increased net greater XX.X% financials quarter by from discussing XX.X% GAAP $XX.X our year. our is owned restaurant for same for quarter our the revenues same revenue Included guidance. $XX.X reiterating last year were $XX.X in year. total quarter which the first detail in $XX.X million,

to in The quarter, opening of attributable XXXX and of increase Domestic primarily STK opening opening for consolidated Grill Kona Dallas XXXX. to comparable Columbus STK in the the of the increased XXXX, of San Francisco November January revenue XXXX. sales is of of the in compared August in X.X%

are we first of the XXXX. of As the versus consolidated quarter XXXX in of a first XX% quarter over comparable sales reminder, lapping

million increase were to in November in fee of STK million, increasing X.X% our opening quarter XXXX. revenues the attributable $X.X at North Management from and $X along performance license strong XXXX. restaurants with primarily incentive America, STK This in first of the of was Stratford

restaurant of XX% of net net basis basis decreased points initiatives. restaurant XXXX pricing consolidated year, XXXX, primarily to and first in first quarter operating to last increases of expense prior management, operational of in a of Owned owned due to compared the This and revenue percentage a pricing was the taken due XXX average restaurant quarter expenses owned XX.X% from XXX wage in inflation. XXXX, the quarter cost offset of as revenue to the single-digit percentage points operating restaurant to menu cost mix in XX.X% primarily Owned first half the year. of sales as reduction increased back by partially in XX.X%

decreased as and XXX pricing in revenue compare We for to the additional points owned power quarter our operating of those quarter lap second we prices believe first in have beginning prior cost for we expenses first The both as percentage should quarter the of operating as Restaurant in operating that XX.X% of inflation the compared normalize XXXX. year. restaurant begin the to net wage owned increase a to competitors. basis our to XXXX in brands of XX.X% profit we

operating robust a Grill X.X% profit was Restaurant and profit was for quarter. XX.X% STK at the operating Kona

guidance a quarter our are reminder, revenue first comfortable typically which the quarter year. why operating the owned restaurants, As is reiterating for cost for is a total low our we seasonally

was $X.X the and first administrative $X general and adjusted million the and administrative year. compensation million When stock-based for million were of basis, in attributable increase adjusting expense. million reported quarter expenses year. expenses $X.X to to total general The quarter a in compared increase $X.X stock-based last XXXX the prior in On were compensation, same

for first prior were Grill are The driven and non-cash that and of first increases rates flat to other Columbus, our and by of to million first expenses compared increase related the first was cash $X.X Interest million outstanding and benchmark million to the venues Kona quarter compared under Pre-opening XXXX. of training XXXX. was rent pre-opening was for million Income $X.X in increase in the opened year. year-over-year. XXXX primarily at expense $X.X January which quarter construction. in of quarter expense balance and in $X.X of currently the million XXXX This in tax in payroll, was $X.X XXXX the quarter

share, XXXX per $X.XX Adjusted net income adjusted share. to of income net income $X.XX or per Group in per quarter income $X.X Net was attributable or Hospitality, was Inc. share. $X.XX to $X.X The a net million net first income million ONE compared $X.X of the net or million income

for The Hospitality, EBITDA to of Group first the in Inc. million the $XX.X to first ONE quarter quarter attributable compared was Adjusted $XX.X XXXX. million

have adjusted first per included on reconciliation income EBITDA, earnings adjusted We of a adjusted income net tables net share quarter release. XXXX the and our in

our repurchased we shares. shares During of X.X the we of stock. total, of approximately X.X million XXXX, have And, shares our outstanding purchased X% or in common approximately quarter million first

approximately share has Board repurchases, $X.X In share repurchases. in additional have million authorized addition, so $X an million our in we

under conditions to the will if from to time, use may all. at determining in discretion be We shares purchased time continue which

and some a timing and landlords, regulatory provide openings associated with outside the commentary of conditions investors subject and Now, authorities. factors actual filings. of licensing and any and to to including This period We, I’d to commentary control regarding number our restaurant SEC statements business. is the given control, risks remind is forward-looking uncertainties of our weather factors new contractors, our company’s for under as licensees in always, like numbers discussed as forward-looking subject

$XXX to we million, the expectations GAAP with we information project be the XXXX. and revenues Based revenues, targets reiterating financial between on today, the available managed including $XXX total for license following million fee $XX of between million. are $XX.X and revenues and million now as Beginning incentive our

$XX percentage increase net million revenue million, G&A, XX% excluding XX% to to approximately of to Total million. of XX%. an to as million which stock-based EBITDA represents owned $XX of a owned Adjusted XXXX. compensation to $XX expenses approximate Total restaurant XX.X% operating compared of $XX

of between of licensed between $X.X income pre-opening new and approximately received for in expenditures, And and net $X.X venue. from revenue allowances an landlords million effective and X including XX%. million or X new to to and Restaurant of we tax million $X.X $X company-owned approximately open expenses XX X% X% company-owned Total capital to STK. venues of XXXX, managed plan million rate finally,

the to will I call turn Manny. back now

Emanuel Hilario

you and Tyler, you, today. your time Thank thank all for

of saying grateful this the mission operate. we guest stages delivering early our Let strategy to with and our day bring high-volume continue we to life do in by me experiences returns time. every teammates, conclude where exceptional compelling best our brands a market Above unforgettable restaurant I by every guest we growth to They build in be to as all, of of long-term every the am who all every shareholders. our portfolio for are to

would joining appreciate Tyler enjoy us and also highly return they on that have. I and so experiences have to the visit can our customers been restaurants I We questions craving. differentiated are like today. to you any answer may everyone happy they Operator? call our that thank continue Dining the Vibe to to

Operator

you. Thank

first the Long And comes Instructions] [Operator Please go session. from Stephens. question-and-answer ahead. Joshua the question begin now will We with

Tyler Prause

the This price us And for traffic great Congrats Josh. much my question another is please? through on for you and Tyler components here. the for on quarter, taking quarter. thanks walk Can so

Emanuel Hilario

So, Tyler, the then plus difference for on brands, on the looking on X% X% average a at on and plus X% price to and mix a is traffic. we’re both

Tyler Prause

Okay. Great. on trends running And an are how update us give you April? can in

Tyler Loy

Tyler, Yes, is this Tyler.

we to the quarter and the the balance guidance. reiterated our relative second So mean, of year, I

with we think comfortable very quarter. the where we second I are through feel

Tyler Prause

Okay.

Sounds then more one question great. here. And just

the but I’m of in willing emerge are a kind new sure pause attractions. out pandemic, the hotels So and bring deals we during of took as license management lot to a of COVID,

little that of a was talk I appetite seeing types to the these if about you going So bit just you’re deals? see for could

Emanuel Hilario

is Yeah, this Tyler, Manny.

The COVID, has up appetite you’re steam. really gone up, So picked pipeline coming has of out correct.

with do We on to have a our relative added exploring this properties. now relationships significant we year. we have that people new amount And one of in coming as guidance, we are

So and I our future think on the getting outlook bright is back asset-light strategy. very growth for and management the to license

Tyler Prause

me. Thanks. Okay. Great. all for That’s

Operator

Wedbush. Next with question comes from Nick Setyan

Nick Setyan

Can with an you the it the update give meeting prototype? us is like your just unit Columbus regard on to economics you. Thank new of expectation Kona the

Emanuel Hilario

for volume think to statements, again. I we our in store. Yeah, average above Nick. is Manny Relative new our units, the Yes, prepared that system mentioned we’re on this

X.X AUV unit. So in we’re in greater than that

us that then without mall take traffic that is which patio achieved So XX to the presence think, on excited property, And allow and patio is, that Saturdays. which that. to the something we’re that is will seats the open, mentioned XX and we I I in adding of advantage Fridays comments about super to having my

in efficient. potential of super functionality really expect the we’re layout we the So excited revenue new the about of restaurant them, the is as because very

the with person So bar. on now of we’re our bars one able to sushi most the operate time only

a be significant that’s think the to I going Grill impact brand. So labor the margin long-term, the of in profile to and Kona

Nick Setyan

think the margin total Kona year? of do comes And for you within guidance, in the where sort consolidated

Emanuel Hilario

of Kona Grill quarters in so think Well, holiday slower earlier, if coming seasonality, I January mentioned the for the brand Tyler of think, month first obviously, I quarter, in the out margin, malls. of one the the the season particularly it’s as into the

kind if quarter last lapping So then we’re last labor, a I as shorter impacting mostly feeling it is, the of term. dealing in start labor. with margin on we’re second the that And we quarter because where significant this first the the inflation will, quarter on factor year on

that positive which on wage, for was significant on the momentum we’re labor, So have finishing a think the I we us. because lap

we’re initiatives then significantly focusing to team, expenses. on operating And we internal have relative do and an

negotiating to the also supplies labor of to some applying that and the relooking looking We’re Columbus all of contracts usage learnings productivity units. back from to from some at paper our of at other legacy and at looking our everything our

I will that will the those I So have year-over-year. would we combination world of that on put, all the say higher elements margins believe, much

As progress, with and in did we operating the of costs. overall guidance developed But specifically good model excited possibilities we the the which is Tyler feel basically that I I’m earlier, for pretty about inverse about just provide Columbus. that, all-in-all, the the new mentioned

Nick Setyan

color brands, weekdays be versus guess the out terms And it terms with just very jump progressed? Any would evening where launch? both you pressure quarter Anything helpful. get worse you see I at the weekends, of then, Did of transactions? in versus do in as

Emanuel Hilario

I Yeah, I markets. softer, then as business particularly I on think weekday is the super robust. business weekend And we’ve mean, previously, reported the suburban think the is

So I would say Friday and Saturday.

trends. positive I think very that seeing we’re

is one of on As advantage number right the which fact, initiative of significant. X.XX is now traffic, to take a X.XX matter the to weekend our really

those have weekdays, a So becomes makeup that, seen on the pattern but seems certainly levels we different of a we patterns. it bit for like weekend little but of the the like

promotion. terms at new PMIX [ph], enough the Wagyu in STK, our unbelievably, ran a version where of our we And In majority just STK. interesting of launched the of we out product of

the say the At items, we higher a the to do the going premium lighter I appetite – products. for Kona there’s for would the more menu. shift, brand, to you less but tremendous end, So what fare call see that Grill people not think a I perhaps on

other changing So I we do say see to entrees the mostly But in from the been a weekday on for little really bit stuff. maybe I would mean, weekend. main of and sandwiches us to people overall, the impact has

STK in which on and on opinion, saw $X, see positive $X, obviously, best to offices. an the offerings. it’s And the me then And being that the have consumer heard we then and seen We about move but opinion, side, a business. obviously, value $X, we the impact of business is speak relative positive the point you traveler business-related our

kind of that’s the like that seen have – good Hopefully, with of we So both And useful. the about really trends that’s so brands. then we feel that. majority

Nick Setyan

you Thank Yeah. much. very

Operator

comes Smith question Street. next from The Lake with Mark

Mark Smith

Hi, guys.

wanted I of being to at looking at the more a squeezed? just the question Kona this a comp just Grill. Or environment, First consumer was the Is function macro ask little Kona there anything happened in us for was info comp? you patio that for on sales? can that that that quarter, maybe more else slowed weather instance, Anything give some the here

Emanuel Hilario

say get first I’d overall, credit of that will for last in did Tyler have a don’t quarter. But performance and year positive say mean types I we those significant things. you the

casual very earlier were one on we the the space. rebounders So of

against look basically, going if baseline we’re you So and is significant. numbers, the at up our that

shoot in up one better we came I look at Kona were super for the So of recovery industry. to same-store the rebounders mean the strong. I Grill, if we

And Grill now very is if when our you as I you the the trailing when less you million lap at So, do think probably But that X-year and look the posted of look get the than we you in XX an that at X year, overall Kona at X at number impressive range impressive. in look are years. AUVs the you a $X.X months. number

be mean, about that AUVs to operated we’ve period really it’s $X months So Kona brand, from $X.X out, [ph] And the of barely, if we’ve take you only really million to difficult XX where the I COVID of brand the moved operations. critical Grill million. super normalized really more in

revenue So I of would say pretty base. we months operations handle have moving AUVs over managing XX% on the signifies XX on that a good

Mark Smith

Okay. That’s fair.

you and kind we other you’re are there easing called labor expenses, As I that’s year. puts still price operating difficult on of are and what is that took level But or anything that at where pressure Tyler, we in takes any know, pressure putting look through you restaurant restaurant margin? some seeing out line the particularly last inflationary anywhere through

Tyler Loy

as I quarter we’re Mark, quarter of inflation see think through quarter ramped half kind year. comments, it and of the up then is discussed that prepared Yeah, kind significant in first in we our kind going last of back the really second as that the the to of last

I so wage be that. R&M. whether well, Anything we’re year-over-year we’re operating on takes And basis. as anything expenses related inflation significant think, seeing to then other I such also people, think that And as seeing seeing that inflation we’re a wages,

the well, of high-single-digit, kind line I goods. operating of of the operating that all seeing line. expense goods across And as operating inflation think on a but basis I of of inflation still so across first outside cost think that there’s low-double-digit of we’re for And expense other cost in quarter, year-over-year kind

Emanuel Hilario

just would that. maybe Yeah. a snippets I add to couple

year, last which think came COGS I from XX%. now think our mentioned that is we XX.X% significant. that’s Tyler down I And

COGS a inflationary the restaurant few have that very markets highest achieved there’s and lower probably think on actually companies number I yet.

we of good our day-to-day the the way COGS able is you significant wouldn’t and achieve that we tells really business. Otherwise, COGS been that line to manage the for that So decreases. very have

our mentioned, like I or model employees. the think staffed in a is challenge fully that, it were Tyler we as Russian company business big not, with

to guest not the experience we not the So cut cut in service, past. chose

plenty And employees. of so did we have

kind got to that blessed that earlier, restaurants. of quarter the last that. on a inflation the of mentioned in where wage, think, the have worked And first year. one we’re So earlier as pressure the my had I quarter is full we’ve in I we second, mentioned third, the our Tyler responses, through fourth workforce significant a year last as we majority this pressure labor in all in then quarter, so of And was

So to as our to I I just P&L, on the went continue look working ability relative the I the indicators at future that is through. think bright

Mark Smith

Okay. Right.

Just and at same how kind trending? speak have chains sales can those real change? any in vein, you been both that Or alcohol to of

Emanuel Hilario

Yeah, question. fantastic

the wine So little coming focus out during of of and period to because COVID, if and will the table space tables just we selling we COVID over. deemphasized on a liquor turning and take advantage wanted we bit, the

And at to so table time is us. important

now emphasis everything and added with with a the lot bottle we the service putting check, wine are on else. more per I particularly – extra think

I normal expect So days, our perspective, I to go think incidents now service that will, we’re do you more up. a if operating liquor from

history. that’s really So our

of good to table. little like aggressive at I at for gone back of of the more to being practices think selling now normalized it from more getting relaxing we’re kind exchange and bit the a turns, we’ve table extremely bar

Mark Smith

you. Thank Excellent.

Emanuel Hilario

Thank you, Mark.

Operator

ahead. comes next The Financial. from with question Lipton Please go Roger Lipton

Roger Lipton

Hi, Manny. Tyler. Hi, Yes.

margin comp first referred lot you information. the in Thank And a the your for taking I negative Kona you was it longer? to to You question. some margin. will going of finding the you or to it on going do thank in my to But about some take and the begin put to is and quarter happen Can second operating How you. have quarter efficiencies. improvement? emphasis think to ask see provided long little the take in begin it team you a

Emanuel Hilario

of timing are Again, would see the – significant the wage quarter, on think think the see is the the significant we it it, see because coming think really But I online margin This I I more profile say we’ll Columbus we the I that also that second a off lap. relative lots of fourth think that do more Roger. the to lift quarters well, third brand. Hi, coming quarter, would I of Manny. help on also would of that impact. and will

that that And have also that. we’re will adding again, we units several new do

with over in still those of we I the think with one units, time So, addition models Grill high believe is I most the that that of economic think, Kona attractive million that But XXXX million, back greater of rebuilding and up, volumes type year the be think the margins. than really of labor. lapping will through XX% again, plus I $X.X $X casual

the for Grills, again, improve brand to that then continue kind pace be add units And next on new we at. is we are, think XX% will at that obviously we of the we margins XX% the the as margins think to where reminding, year, significantly I Kona will

think So overall debt the I will the really brand. help

Roger Lipton

of space what’s months terms near-term schedule each In next in in few openings, [ph]? the the

Emanuel Hilario

Yeah.

So another very good question.

at I with of have be just do our modeling I the that I would them think will say, timing, X want of will know say that’s out obviously, restaurants now, expect chute. regularity answer. we look October that I X open I me to the year for right coming and X, ask But plan to a everyone we development about all tell kind

Kona made then Charlotte impact Riverton that in Washington, STK will right D.C. have Grill is and and Ridge, Riverton Charlotte. STK. Desert significant and be coming after We and Grill Kona

nice the we would back and safe up through to we how But forward running still than coming getting very this that get that, But on restaurants as the say, through cycle. the before, other unknown the of look lineup obviously, and everybody of pipeline phenomenal, in restaurant terms things these is And in So we weeks. with October in interesting get very become has X. process permitting talked and start permitting couple next looks of a have just big today’s back. about do construction is I to so we’ve environment here the modeling,

Roger Lipton

last, opening opening Do a higher quite going got. year pre-opening sounds you’re like much obviously that’s the to program level continue to you’ve of run than this the balance with your That few of stores? that for think at year kind you because the was

Emanuel Hilario

Yeah. I and that. plan just we’re scale getting for would gaining year because that this scale on

bring assume that we as future teams to been years, we get and preopening levels to big for been with down the ready it’s the learning pre-opening. talking out that safe reason about And our curve we’ve think go. But to year, running there’s I this we’ve is a getting comes will it.

our are the So going But I we be I think in that teams new through will units. that process think I at right these term, super-efficient think opening now. longer

And think so existing proper assume would I to you on that right in safe it. about that’s I just how levels would type now, do But pre-opening. be anything of and

Roger Lipton

Thanks much. very Okay.

Emanuel Hilario

Thank Roger. you,

Operator

Stephens. go Joshua The ahead. is next with follow-up Long Please question a from

Tyler Prause

Hey, one guys, Josh, Tyler time. for on more

came So quarter. than little the in expense expected interest this a we higher

Just going good model of to see going if that $X.X run million forward? was to a kind rate

Tyler Loy

Yeah, Tyler.

for and throughout quarter end the saw you we as the just increase think so term last I from year. know, of So

$X.X to that yes, is million run think, I so to million $X.X use. rate And a fine

Tyler Prause

I it, guys. appreciated Okay.

Emanuel Hilario

Thank you, Tyler.

Operator

ahead. Instructions] with Please Investment Jake We question from Patterson Group. have [Operator Talanta go a

Jake Patterson

I Hey, this, but guys, if STK for have for do curious, sales I don’t the you weekly quarter. guys thanks average was for taking and Kona just missed my question. know I

Tyler Loy

Jake, Hi, Tyler. this is

We a do don’t on – do just that. have we just… Let’s follow-up them can

Emanuel Hilario

post actually usually when decks on we we them posting. do our investor Yeah, our

So what that’s typically finding. we’re

quarter, for what AUVs yet we put that’s the deck typically done haven’t our but to We in. investor

Jake Patterson

maybe the or traffic I in of are that quarters? brunch then, noticed any that trends And that from guess past there different too, anything steady? Cool. kind you couple of is was Or Okay.

Emanuel Hilario

going so that category. day one se I mean, I capturing a as there’s brunch I lot seen for a have people brunch economic us, other on impact think nor we’re on anything that per seen any part haven’t brunch the the the in think day But we or more part. category to we early general, way

look lunch for brunch at part day huge brands. our So is both opportunity a we still

year brunch continue to than the and bring to product it, frankly, focus a this to and we’re both offering We happy good it. But that, brands. brunch. have with And menu other continue with we’ll grow is the very to on some on on evolve innovation

Jake Patterson

Got to that? one me. out like or Anything on like call you. beef costs or last for anything I And, fish guess, food

Emanuel Hilario

Yeah. this well I beef, is mean and published. I pretty think

picked has but spiked up of Beef recently, pricing. our think through I – still we’re a contracted bit up running some little

to really couple months a ago. of So or weeks we relative haven’t significantly seen anything

fact, the matter a best of probably our is ever earlier, cost I been. goods mentioned as As of it’s

I think historically, the we’re we XX% at for said COGS quarter. range XX to for and XX

So range of we did achieve the our low COGS. historical on end

very of menu. things some help butters for we sides profile the like COGS and thoughtful So our on in that mix, being overall looking brand you and is COGS, initiatives value of the least continue and just to profitability the internally, managing focus into I and think items with our that about at the overall have bring that at menu with items the the that help

Jake Patterson

Got forward. questions, luck going All those you. for Well, answering thanks Cool. good right.

Emanuel Hilario

It’s okay.

Operator

question-and-answer Manny back closing our remarks. I’ll over to concludes conference session. Hilario for This any turn the

Emanuel Hilario

Group today. your you Thank for all ONE you. interest thank And on The

life the our teammates, I mission As execution who support would our of comments, in always possible day. this be for great none bring concluding of every without do fantastic of my

So for you is restaurants. that, to I’ll thank in reach out be my you. the final And out

look I day. So to you. forward seeing Thank a great in all the Everybody, have you restaurants.

Operator

The you presentation. Thank again for attending conference is concluded. today’s now

may now disconnect. You

The ONE Group Hospitality, Inc. (STKS) 4 May 232023 Q1 Earnings call transcript