Crumbs Bake Shop, Inc. (“Crumbs”) (NASDAQ: CRMB), the largest cupcake specialty store chain in the U.S., today reported financial results for the second quarter ended June 30, 2013.
Highlights of the Second Quarter 2013 Compared to the Second Quarter 2012:
See financial tables for a reconciliation of adjusted EBITDA (earnings before interest, taxes, depreciation and amortization), a non-GAAP measure, to GAAP results.
- Net sales increased 11.5% to $12.4 million from $11.1 million.
- Store operating weeks increased 38.2% to 916 from 663.
- Gross profit increased 6.2% to $6.7 million from $6.3 million.
- Net loss attributable to stockholders was $(2.8) million or $(0.23) per share compared to $(0.4) million or $(0.08) per share.
- Adjusted EBITDA 1, a non GAAP measure, was $(2.1) million compared to $(0.5) million.
Julian R. Geiger, President and Chief Executive Officer, said, “While we are not pleased with our performance, we remain focused on the initiatives and strategies that we have discussed in the past and which we still believe will be the vehicles that will ultimately change the trajectory and vitality of our business in the future.”
Second Quarter 2013 Financial Results
Net sales increased 11.5% to $12.4 million from $11.1 million in the second quarter of 2012. The increase was primarily attributable to $2.9 million in sales from the 32 stores not in the same store sales base offset by a $1.7 million decrease in sales from the 49 stores in the same store sales base. Same store sales represent the change in sales for stores after their 15
full calendar month of operation. Four stores moved into the same store sales base during the quarter itself. Store operating weeks increased 38.2% to 916 from 663 in the second quarter last year.
Cost of sales was $5.7 million compared to $4.8 million in the second quarter of 2012 and increased 270 basis points to 45.8% as a percentage of net sales. Gross profit increased 6.2% to $6.7 million from $6.3 million in the second quarter of last year.