CPG (Retail) Early Traction and Aggressive Growth Plan
Expanded CPG distribution from initial Southern California test to over 800 supermarket locations in early 2026; targeting 1,500–2,000 locations by end of 2026 and 7,000–8,000 by end of 2027. Company projects a potential run rate >$100 million annual retail revenue within ~3 years and estimates retail EBITDA margins in the high teens (after slotting/promotional costs). Management expects retail revenue of roughly $10 million in 2026 and working toward a $20 million run rate by year-end.
Strong Costco Gift Card Performance
Sold approximately $29 million in Costco gift cards during 2025, a 150% increase over the prior year, cited as a major contributor to brand reach and retail momentum.
New Store Openings and Unit Count Growth
Opened 15 restaurants in 2025 (including six in South Korea) for a total of 57 restaurants in operation; opened two additional restaurants in Q1 2026. Several locations (5) under construction with potential for 1–2 more in late 2026/early 2027.
High Average Unit Volume
Reported AUV (average unit volume) remains above $5 million per restaurant, described by management as an elite level in the casual dining space despite same-store traffic softness.
Operational and Strategic Initiatives
Launched GEN loyalty program, new e-commerce site, acceptance of cryptocurrency, tested new beverage SKUs (boba/soju), started digital platform initiative and an AI program to improve corporate efficiencies and reduce overhead; entered joint venture with Chubby Cattle to recapitalize five underperforming restaurants (49%/51% ownership) expected to create profitable units and future EBITDA share.
2026 Financial Targets and Revenue Guidance
Management guided 2026 revenue of $215 million to $225 million and aims for restaurant-level adjusted EBITDA margins of 15% to 15.5%; targeting an annual run rate approaching $250 million by end of 2026.