DEERFIELD, Ill., April 06, 2023 (GLOBE NEWSWIRE) -- BAB, Inc. (OTCQB: BABB), announced its financial results for the first quarter ended February 28, 2023.
For the quarter ended February 28, 2023, BAB had revenues of $746,000 and net income of $35,000, or $0.00 per share, versus revenues $738,000 and net income of $63,000, or earnings of $0.01 per share, for the same quarter last year.
Total operating expenses for the quarter ended February 28, 2023, were $696,000, versus $650,000, in same period 2022. Employees received a Holiday bonus in December 2022, increasing fiscal 2023 payroll expense by $36,000 and there was no employee Holiday bonus in the same period 2022. For February 28, 2023 there was a $14,000 income tax provision versus a $26,000 income tax provision for same period 2022.
BAB, Inc. franchises and licenses Big Apple Bagels®, My Favorite Muffin®, SweetDuet® frozen yogurt and Brewster’s® Coffee. The Company’s stock is traded on the OTCQB under the symbol BABB and its website can be visited at www.babcorp.com.
Certain statements in this press release constitute forward-looking statements or statements which may be deemed or construed to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words “forecast,” “estimate,” “project,” “intend,” “expect,” “should,” “would,” “believe” and similar expressions and all statements which are not historical facts are intended to identify forward-looking statements. These forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors which could cause the company’s actual results, performance (financial or operating), or achievements to differ from the future results, performance (financial or operating), or achievements expressed or implied by such forward-looking statements. The above factors are more fully discussed in the company’s SEC filings.
(TABLE FOLLOWS)
BAB, INC.
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
Fiscal Quarter Ended
02/28/23
02/28/22
% Change
REVENUES
Royalty fees from franchised stores
$
442,608
$
414,221
6.9
%
Franchise fees
4,347
8,977
-51.6
%
Licensing fees and other income
60,320
70,343
-14.2
%
Marketing fund revenue
238,318
244,735
-2.6
%
Total Revenue
745,593
738,276
1.0
%
OPERATING COSTS AND EXPENSES
Selling, general and administrative
695,271
648,398
7.2
%
Depreciation and amortization
923
1,310
-29.5
%
Total Operating Expense
696,194
649,708
7.2
%
Income before interest, other and taxes
49,399
88,568
-44.2
%
Interest income
121
71
70.4
%
Income tax expense
(14,200
)
(25,750
)
-44.9
%
Net Income
$
35,320
$
62,889
-43.8
%
Earnings per share - basic and diluted
$
0.00
$
0.01
Average number of shares outstanding
7,263,508
7,263,508
Contact: BAB, Inc. Michael K. Murtaugh (847) 948-7520 Fax: (847) 405-8140 www.babcorp.com
BAB, Inc. franchises and licenses bagel and muffin retail units under the BAB, MFM and SweetDuet (SD) trade names. The Company has approximately 63 franchise units and four licensed units in operation in 20 states. The BAB franchised brand consists of units operating as Big Apple Bagels, featuring daily baked bagels, flavored cream cheeses, premium coffees, gourmet bagel sandwiches and other related products. BAB units are concentrated in the Midwest and Western United States. The MFM brand consists of units operating as My Favorite Muffin Gourmet Muffin Bakery (MFM Bakery), featuring a variety of freshly baked muffins and coffees and units operating as My Favorite Muffin Your All Day Bakery Cafe, featuring these products and a variety of specialty bagel sandwiches and related products. The SweetDuet is a branded self-serve frozen yogurt that can be added as an additional brand in a BAB location. Its subsidiaries include BAB Systems, Inc., BAB Operations, Inc. and BAB Investments, Inc.