WTRH - Earnings call transcript Q2 2022

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Operator

Good afternoon, everyone. I would like to welcome all of you to the Waitr Holdings, Inc.

Second Quarter 2022 Conference Call. With us today are Waitr's Chief Executive Officer; Carl Grimstad; and Chief Financial Officer, Armen Yeghyazarians. By now, you should have access to the company's earnings press release. be investors.waitrapp.com. sec.gov may Relations their it at website not, found or at Investor If

report turn call and and I results on remind call Before management's the future constitute you like I in Please about and materially Form statements that to annual forward-looking actual would current statements. projected statements. certain are and vary business to risk statements those statements. a business differ for projections cause of on These this forward-looking over in financial forward-looking to from based that see management, results the expectations, market factors discussion contained could the in the from may these company's results XX-K risks actual

call non-GAAP operating earnings Please quarter financial like XXXX. over of Finally, GAAP of Yeghyazarians, Waitr's the measures. second for financial release provide developments measures of quarter Grimstad, to comparable second financial please to of give would that to call turn refer for I the over measures. results. to today's note refer its XXXX on full call, a conference now reconciliation management company's activities most an will non-GAAP turn the Carl to company's to the will business the the Armen Waitr's will and and then CEO, He financial who an overview overview who may

for call Carl? Q&A. open the We will then

Carl Grimstad

anything In consumers, July more. apparel, line parts from in entered type to alcohol, everyone, welcome retailers is luxury, products quarter we and earnings to to XXXX, our Hello, electrical of vision and goods, you. day call. agreements second [ph], sporting Thank as deliver with delivering in to ASAP the into such any same industries business. from This begin XXXX

fourth agreements X-Eleven our addition an to level the our We with customers. locations Extra quarter of platform. start This X-Eleven in with Burke volume convenience will parties new the XXXX. of created making XXXX Elite mid-June, for and added order in impact into third quarter a We third also like late and these believe to of

looking are now working they order which ensure are customers forward that they with these and historically items our present We can to could to past not. aware

to can addition MetLife York also into deliver, Jets the sponsorship and New agreement, entered the multi-year to place mobile Fans a items of mobile at with ASAP Stadium. into platform games we home our the throughout we partnering stands In experience team's seamless stadium. concession for each the platform ordering Giants, the mobile as and giants from all MetLife with variety orders a at platform expanding MetLife app New use York jets integrated exclusive Stadium ordering

other our be proprietary mobile Ordering ordering application. will through directly ASAP done events Stadium ASAP For

at Our Saint New active Stadium application of and University Ordering Super. currently the University Orleans technology the State Louisiana Alabama, is

to across add plans have time. We over the new nation venues

stadium our the change to to processing use of markets delivery to partnerships merchants marked mile of transition will technology also the and all the and ASAP. payment rebrand company enter solutions of July, XXXX, We new types. official name last and for our start both for

additional provide should feature and streamlining of and and the allow enhancements to platform further completed once shift cost a one which various platform, should service on savings. one to for shifting focus resource are levels. We Moreover, application

and built continue this of for intend contractor verticals. to other rollout to to our pay technology instant provide technology potentially to and the We partners commercialize our drivers all independent restaurant

in with pleased to the providers, merchants see with in our payment growth business this are third progress access we to facilitating future. party expect Additionally, and continue to

company's XX, now into to pursuant debt July, dis over reinforces for compared debt this $XX.X XX, the with future beneficially XX, their we This are quarter XX% million stock the $XX pay-down second common of approximately addition or XXXX, XXXX. currently million commitment August negotiated term to in recent $XX warrants. the converted approximately in beneficial totaled underlying of of and conversion the XX, has notes million approximately of debt by entered the most ownership $X.X notes approximately an long the their company's I of management and $XX December foundation of of to our XXXX to we team term company. XX.X% since May am Outstanding proud million which they convertible strategy. XXXX. the maturity own at we debt decreased and During of our million approximately XXXX. of building as extending January future the team XXXX, while With agreement conversion, the the In lenders long to

business our industry volume future. to with to to will the out the of EBITDA and company positive the grow towards by We the rebrand. the order cost stable believe profitably allow view broader company in of third close respect end should taking our Our quarter, be strategy the assuming the adjusted

a any deliver products set to from diverse Our is focus of vendor. able to be

our right to our our strides. done application, believe can on any that are the making believe preferred vendor. become still also migration systems, help one is be expand we technology our provider This but in proprietary we is There us and payment work best-in-class our path. I the operations. to with strategically along to great should We the enhancing implementing rebrand team stadium all of

business further requirements, in acquisitions. split listing maintain grow and why is shareholder order resulting in structure still from done. is to the effectuate which will work through stock the we NASDAQ of to be a in reverse capital vote the This importance is future XXXX perspective, having a opportunity to there be flexibility with fall However, of new a company's financial the compliance continued the to

Financial Now quarter a over results. Officer, the for of I second to recap our turn will Armen, Chief

Armen Yeghyazarians

quarter Thank you, Carl. the million results. compared quarter XXXX second $XX.X of to I quarter was would Revenue million second now review of our to financial second like for the XXXX. XXXX $XX.X in

June million $XXX.X month the compared ended a months the ended to six revenue XXXX, $XX.X for six end was For XXXX. June XX, million XX,

million in the in revenue volumes, payments for of unlike stimulus order concludes Approximately contributed second quarter XXXX. second of first distributed month XXXX, macroeconomic quarter decline for the quarter Net In also a the $X of of XXXX XXXX the lack the those increase loss in our second six of cents to financial factors late first addition or end of to on of to affecting of XXXX. reserve. million XXXX. $X.X an results. adjusted million $X.X of quarter the was quarter from recap net or Cash compared $X.XX quarter loss XX, XXXX. hand, million Adjusted to to share IBNR was as per $X.X June loss second in is the $XX.X six the of $X.XX loss XXXX June million in EBITDA the months June share XX, XX, insurance the compared million second a end of compared That totalled EBITDA XXXX, for XXXX net of the second quarter quarter $XX.X to per of XXXX

We will a short session. Q&A into now go

Operator

instructions] our Company. [Operator question is Benchmark Dan, of line please. now We'll ahead. take Go Kurnos your from open, Dan The

Dan Kurnos

the level out Thanks. throughout way. have macro actually perfunctory backdrop, here. But the there view a decent to been of the just you Good this at point, get afternoon. level high let's are order managing Great. remain is guys think just this seeing see inflation, just to sustainable like basis? environment, but amount volumes, Carl I feels sort first, uneven of of the travel, Obviously Do kind the AOB talk about how going continues obviously stabilization with volumes it's how rise that you're food inflation? long know go-forward are on elevated how you you order don't is it term. to over starting a seeing you the your short and to -- that term, in a

So if you. about first, just factors you please. talk those Thank

Carl Grimstad

Dan. Thanks

through You as as we and that business back of diversify in orders I itself the I more fall, the business I cost will am into is do what third up needs The school volume the slightly why number further have continue that of you seen specifically but, trends comments, think this to just the in given heard my to payments driver the the years. revenue, positive softer than we've think delivery; to by see quarter. to We you order with hit the start that of this be are trends will the tend that quarter, head. But, into stage our prepared backing which that the thinking the nail food the diversify end we one-time the break until out fourth if one past to the not the sort and period. rebrand that on that in P&L? currently EBITDA, go even pick further at to we is in

Dan Kurnos

costs, I to which Got remarks, that puts there there prepared nature. you giving a historically the you're simplify and were don't running and on and stuff But brands an sort to to in how handicap it. obviously the tandem of that this, backend know rebrand rebrand one as know bunch two unify he's mentioned, time start there's I'm platform. we'll sure of just working been one helpful. alternatively, That's then sort unify. opportunity We in you the the are of Maybe takes

streamlining we So the think tailed longer services? cost savings how could come that do sort of from about of the

Carl Grimstad

platforms at effort resources platforms three very we actually, to this more allocate point, not definitely a duplicative had mention to not quantify lot to forward. very moving two Yeah. it, of you but describe different than and, difficult as on

to able on cost when the So, across side. re-evaluate only not developmental the project we'll service structure but be the complete, this board, side, also on hopefully is

which think of what the upcoming be exposure driver and of are doing area, with super tri-state excited the we And, thing. about be We're a that I'm super relationship to order the in of growth through this to both going MetLife. Jets positive receive going the will in hopeful I the we're giants a winning that's quarters. positive with coinciding

into looking concert whatnot, have the consumer game world market that the time at a great application in being or can isn't every youXX,XXX, area. is a a XX,XXX biggest there it You people access the tri-state arguably entree we your or

Dan Kurnos

just you from guys. willing footprint the about period a out to are should that. obviously have multiple payback did to into your process space right. you're big A little before. on there of how the top. coming think not clearly New about of, and are ask here you It's right, you point, you economics fascinating, talk bit or on spread, win was could weights It's a either whereas witness, because to now just York, entry the the benefit there really And or going if Carl, about curious theoretically which in an the heavy that. leading have I I'm we for

on we one. that think of So not knock to effect ourselves get any benefiting about, just here, from kind expansion but ahead as of market

Carl Grimstad

and in-stadium the it at in as, things of in see I expect best technology right a we're our multiple a didn't or looking and our the at in, have won hot a we these of got to product developed we're that approach had future. help is We to dog, of there them more I system say and it's we functioning team How breed. we and sell it this see to out We that took house other piece number nail whether business, venues, t-shirt. a there beer because it

company. us brands, goes not just or we because tier sports of but venue that it's business beyond with that, in operators, multifaceted meaning second a think brand announcing we beer from brands, players, nationwide perspective. is expand in that since gotten might They food I just brands, the regional arena exposure, just have much think a So to be certain that third the great, inbounds how in. but a just food strategy that national that our they city now, technology And of as a think service don't

processing I merchants delivery as entree not our all So this see but it of solutions in to into only services, provide merchant tri-state also. those the area, an case, in our

services that there in my it's value the of merchant. and all You about he based almost basically with salesperson a approval stamp folder to to have that empowering walk of provide can

the of don't if could we do more level markets' but and exposure some scrape of in we quote doing. well I to orders volume we're us unquote, in be higher think 'higher market, it'll there greater the that leader where you'll have there's that off for other here have consumer, bode and see everything -- to this So a

Dan Kurnos

sounds to maybe point, to going Carl, what is there penetration have how wrap think three a to an commercialize know just don't about like more sort do tech just last know, of offering? further but, the to SaaS update sort growth plus relatively and you you next, I and small baseline a payment and grow for it over And, portfolio said, you versus up just that the it's how I on of years, we SaaS percentage, still traditional plan

Carl Grimstad

to an it's company break big not enough but individually offers just always quite yet Obviously I've integrated mile as this delivery. Yeah. payments also out last business seen Dan, that

things are Maybe Consumers though. more their our a does slightly to of at last instead consumer looking our think at in to more community you, just a it about a saying mile that also company from are same financial I side, the like merchant different have I go consistent Merchants tricky. that is we're decision going it, bit little I financial So future competitors from listen like the big -- making. technology of what talk in or kind side. the delivery. the

application packaged and can together but winner. delivery. manner. what to offer over stay. of be are when and 'the be stay, see the in Payment stay but app, to is we I over simple think proposition consumers time'. more competitive to So financial more a does merchants here a a at collection their I a think business to need as I that technology great super mile, think we're is may company similar going value in to a unquote, the solutions don't and delivery that's to Last it for quote offer service, And, things, with here they us into coming time also technology and I it

Dan Kurnos

Super sticking it. helpful. Got with it. Thanks Carl. for me, Appreciate

Operator

you. Thank

back I'd like turn the to remark. We Carl, for closing re to conference more questions. have no

Carl Grimstad

evening next Well, thank nice again attended to we'll have everyone to our you you call. a again and that talk Please quarter.

Operator

Thank our joining today. This conference. you us for concludes

You may not now disconnect.

Waitr (ASAPQ) 8 Aug 222022 Q2 Earnings call transcript