GEN Restaurant Group Reports Q3 2024 Earnings Growth

GEN Restaurant Group, Inc. Class A ( (GENK) ) has released its Q3 earnings. Here is a breakdown of the information GEN Restaurant Group, Inc. Class A presented to its investors.

GEN Restaurant Group, Inc., known for its popular GEN Korean BBQ dining concept, operates in the casual dining sector, offering a unique ‘grill at your table’ experience across its 43 locations in the United States. The company recently reported its financial results for the third quarter of 2024, highlighting a revenue increase of 7.8% to $49.1 million compared to the same period last year. The company also introduced gift cards at Costco, bolstering its market presence.

Key performance metrics for GEN included a restaurant-level adjusted EBITDA margin maintaining above 18%, despite a decrease in comparable restaurant sales by 9.6% year-over-year. The net income for the quarter was recorded at $0.2 million, translating to $0.01 per diluted share, while adjusted net income reached $0.9 million or $0.03 per share. The company remains committed to its expansion strategy, having opened one new location in the quarter and two more in October, with plans to launch a total of 10 to 11 new locations by year-end.

GEN’s financial health is supported by $22.1 million in cash and cash equivalents, with no significant long-term debt aside from government-funded loans. The operational expenses increased slightly, influenced by the costs related to new restaurant developments and general administrative expenses rising to $4.5 million. The company’s strategic focus remains on growth and enhancing customer value, leveraging its unique dining experience and premium menu offerings to drive future profitability.

Looking ahead, GEN’s management is optimistic about its growth trajectory, aiming to continue its expansion while maintaining strong operational performance. The company is poised to create sustained value for shareholders as it scales its distinctive Korean BBQ concept into new markets.