Crumbs Bake Shop, Inc. (“Crumbs”) (NASDAQ: CRMB) (formerly known as 57 th Street General Acquisition Corp.), a national neighborhood bakery and the largest U.S.-based cupcake specialty store chain, today reported financial results for the third quarter ended September 30, 2011.
In a separate press release issued today, the Company also announced naming Julian R. Geiger as the Company’s new President and Chief Executive Officer, effective today. Jason Bauer, who co-founded the Company’s operating subsidiary, Crumbs Holdings, LLC (“Crumbs”) and served as its President and Chief Executive Officer since 2003, will become Senior Vice President of Business Development.
Third Quarter Highlights as Compared to Year Ago Period Include:
- Net sales increased 18.3% to $8.9 million; gross profit increased 14.9% to $5.1 million.
- Store operating weeks increased 41% to 468 from 332.
- GAAP net loss attributable to stockholders was $(0.9) million or $(0.17) per diluted share.
- Adjusted EBITDA 1, a non GAAP measure, of $(0.7) million compared to $0.5 million.
- 2 new stores opened in both Illinois and New York.
See financial tables for a reconciliation of adjusted EBITDA (earnings before interest, taxes, depreciation and amortization), a non-GAAP measure, to GAAP results.
Jason Bauer, Co-Founder of Crumbs stated, “Although we were disappointed with our third quarter results, we are taking definitive action to improve performance. To that point, I am very excited that Julian R. Geiger has agreed to become our new President and Chief Executive Officer, given his extensive experience building brands and fostering growth. I believe that his leadership will be an important ingredient in Crumbs’ development and I look forward to working closely with him in building the business over time.”