LAFAYETTE, La., Nov. 15, 2016 /PRNewswire/ -- ARC Group, Inc. (OTCQB: ARCK), the owner, operator and franchisor of the award-winning Dick's Wings & Grill® concept, announced its financial results for the third quarter of 2016.
The Company achieved the following financial results for its fiscal quarter ended September 30, 2016:
- Revenue increased 10% to $791,407 for the nine months ended September 30, 2016, from $717,369 for the corresponding period in 2015.
- The Company generated net income of $245,939, or $0.04 per share, for the nine months ended September 30, 2016, compared to $39,722, or $0.01 per share, for the corresponding period in 2015.
- Stockholders' deficit decreased to $93,157 at September 30, 2016 from $396,079 at December 31, 2015, an improvement of $302,922.
- Net cash provided by operating activities was $152,279 during the nine months ended September 30, 2016, compared to cash used by operating activities of $(21,050) for the corresponding period in 2015.
"We are very pleased with the results for our third fiscal quarter of 2016," commented Richard W. Akam, Chief Executive Officer of ARC Group, Inc. "Our financial metrics continue to improve as the royalties from our existing franchisees and pipeline of future Dick's Wings restaurants remain strong. We generated more than $150,000 in positive cash flow from operating activities for the first nine months of 2016, a significant achievement for the company. We also tightened up our balance sheet by settling out a contract dispute that had been sitting in our payables for years. Each of these items contributed toward a significant reduction in our stockholders' deficit."
"We are very excited about our near- and long-term strategic opportunities," stated Akam. "We expect to complete the acquisition of the Dick's Wings® located at 6055 Youngerman Circle in Argyle Village in Jacksonville, Fla., and the Dick's Wings located at 100 Marketside Avenue in the Nocatee development in Ponte Vedra, Fla., before the end of this year. These acquisitions are expected to add more than $3 million in annual revenue to our top line and be accretive to earnings."
"We are currently pursuing some additional strategic acquisitions that we hope to complete during the next 12 months," added Akam. "We anticipate that each of these prospective acquisitions will contribute to our revenue and profitability. We are in various stages of performing due diligence reviews on the acquisition targets and will provided additional commentary as key transaction milestones are achieved."
"We also successfully launched our first proprietary microbrew, Victory Lane Amber Ale, earlier this month at our Dick's Wings located at 6055 Youngerman Circle in Jacksonville," continued Akam. "It is a one-of-a-kind ale specially formulated by ARC Group and Ancient City Brewing to perfectly complement Dick's Wings mouth-watering chicken wings and Dick's Blingz® boneless chicken wings. We will be introducing this ale to customers at our other Dick's Wings locations during the next three to four weeks."
Dick's Wings restaurants are family fun fooderys® where both families and sports fans can go to enjoy a unique restaurant experience from first bite to last call®. Dick's Wings offers a variety of boldly-flavored menu items highlighted by its award-winning, Buffalo, New York-style chicken wings and hog wings, and its Dick's Blingz boneless chicken wings, for which it boasts 365 mouth-watering flavors. It also offers customers a variety of fresh sandwiches, burgers, wraps, salads and signature waffle fries. Guests enjoy these menu items in an elevated sports-themed environment that includes flat screen TVs located throughout each restaurant and children's areas filled with video games and other forms of children's entertainment.
Dick's Wings is actively offering franchise opportunities in the Orlando, Tampa, Gainesville and Mobile/Pensacola metropolitan areas. For more information about Dick's Wings exciting menu offering and locations, and for additional franchising information, please visit www.dickswingsandgrill.com.
About ARC Group, Inc.
ARC Group, Inc., headquartered in Lafayette, Louisiana, is the owner, operator and franchisor of the Dick's Wings & Grill concept and the co-owner of the owner, operator and franchisor of the Wing Nutz® concept. Now in its 22nd year of operation, Dick's Wings prides itself on its award-winning chicken wings and hog wings spun in its signature sauces and seasonings. Wing Nutz offers a large selection of premium baked chicken wings and other baked products. Wing Nutz also offers its own proprietary line of craft beers under the name "Nut Job Beers". Dick's Wings has 18 restaurants in Florida and six restaurants in Georgia. It also has two concession stands at EverBank Field, home of the NFL's Jacksonville Jaguars. Wing Nutz has nine restaurants in Utah, two restaurants in Texas, one restaurant in Nevada and one restaurant in Idaho.
Safe Harbor Provision
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, that are intended to be covered by the safe harbor created thereby. All statements other than statements of historical fact contained herein, including, without limitation, statements regarding the Company's future financial position, business strategy, plans and objectives, are forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may," "will," "expects," "intends," "plans," "projects," "estimates," "anticipates," or "believes" or the negative thereof or any variation thereon or similar terminology or expressions. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from results proposed in such statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can provide no assurance that such expectations will prove to have been correct. Important factors that could cause actual results to differ materially from the Company's expectations include, but are not limited to, those factors set forth in the Company's Annual Report on Form 10-K for the year ended December 31, 2015 and its other filings and submissions with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. Except as required by law, the Company assumes no obligation to update or revise any forward-looking statements.
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SOURCE ARC Group, Inc.