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BAB Inc Q1 revenue falls on lower licensing and marketing income

Overview

U.S. franchise operator's fiscal Q1 revenue fell 4.4% yr/yr, mainly from lower licensing and marketing income

Fiscal Q1 net income rose slightly, EPS unchanged at $0.02

Operating expenses declined, mainly due to lower payroll and marketing costs

Outlook

Company did not provide specific guidance or outlook for upcoming periods in the press release

Result Drivers

LOWER LICENSING AND MARKETING REVENUE - Declines in licensing fees, other income, and marketing fund revenue weighed on total revenue

REDUCED NON-TRADITIONAL REVENUE - Temporary reduction in vendor rebate and timing of franchisee purchases led to $15,000 decline in non-traditional revenue

LOWER OPERATING EXPENSES - Operating expenses fell mainly due to decreased payroll after an employee retirement and reduced marketing spending

Company press release: ID:nGNX73DRDr

Key Details

MetricBeat/MissActualConsensus Estimate
Q1 Basic EPS$0.02
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com. (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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