Carrols Restaurant Group shaves net loss in first quarter

SYRACUSE, N.Y. — Carrols Restaurant Group, Inc. (NASDAQ: TAST), the nation’s largest Burger King franchisee, on Thursday reported a net loss of $7.2 million, or 14 cents a share, in the first quarter.

That’s an improvement from a net loss of more than $22 million, or 44 cents, during the first quarter of 2020.

Carrols also reported total restaurant sales of $390 million, up about 11 percent from $351.5 million in the first quarter of 2020.

Comparable restaurant sales for the company’s Burger King restaurants increased nearly 15 percent, while same-store restaurant sales for the company’s Popeyes restaurants edged up 0.5 percent, Carrols said.

The company’s first-quarter sales growth was “extremely strong,” Daniel Accordino, chairman and CEO of Carrols Restaurant Group, said in the earnings report.

“We attribute some of our sales traction to recent government stimulus but are also encouraged by the significant increases in our breakfast, evening, and late-night daypart trends as we lapped the initial COVID-related declines from last year,” Accordino said. “As vaccinations are further rolled out and conditions continue to normalize, the resumption of pre-pandemic behaviors and activities should create a strong business tailwind which we expect to be enhanced by the launch of Burger King’s new loyalty program and … chicken sandwich offering that Burger King is rolling out with the support of national advertising in the near future.”

Syracuse–based Carrols is one of the largest restaurant franchisees in North America. It is currently operating 1,010 Burger King restaurants and 65 Popeyes restaurants.