Ark Restaurants Q3 2026 Earnings Report

Ark Restaurants EPS Results

• Actual EPS: -$0.10
• Consensus EPS: N/A
• Beat/Miss: N/A
• One Year Ago EPS: N/A

Ark Restaurants Revenue Results

• Actual Revenue: $40.88 million
• Expected Revenue: N/A
• Beat/Miss: N/A
• YoY Revenue Growth: N/A

Ark Restaurants Announcement Details

• Quarter: Q3 2026
• Date: 8/10/2026
• Time: After Market Closes
• Conference Call Date: Tuesday, August 11, 2026
• Conference Call Time: 11:00AM ET

Ark Restaurants (NASDAQ:ARKR), traded on NASDAQ under the ticker ARKR, is a Boca Raton, Florida–based restaurant operator. The company owns and manages a portfolio of casual and upscale dining venues that feature Cuban-inspired menus, full-service bars and live entertainment. Its concepts emphasize traditional Latin flavors paired with modern culinary techniques to appeal to a broad range of diners.

Ark Restaurants serves both on-premise and off-premise customers, offering dine-in seating, take-out, delivery and catering services. Many locations also host private events, weddings and corporate gatherings, leveraging dedicated event spaces and custom menu offerings to support special occasions. The company’s bars highlight craft cocktails, premium spirits and curated wine lists designed to complement its food programs.

Founded in the late 1970s, Ark Restaurants has expanded alongside Florida’s hospitality industry, building a regional footprint primarily across South Florida. In 2017, the company completed a public listing through a reverse merger, positioning itself for further growth and selective franchising opportunities. Today, Ark Restaurants continues to explore new markets and partnerships to extend its Cuban-themed concepts beyond its core territory.

Ark Restaurants Q3 2026 Earnings Call Transcript

Key Takeaways

• Negative Sentiment: Third-quarter performance weakened: Sales declined approximately 6% overall, while EBITDA fell $1.4 million year over year as gross margin decreased about 6.5% and payroll costs remained elevated.
• Negative Sentiment: Las Vegas sales fell 11% amid lower traffic and the partial closure of America, while Florida sales declined 10% due to a challenging local economic environment and lower customer headcounts.
• Positive Sentiment: Management said cash flow at New York-New York improved despite a 10%–11% sales decline, and a new MGM bar is expected to open in early 2027; the company is also negotiating two additional potential Las Vegas venues.
• Positive Sentiment: A two-year lease restructuring at Sequoia is expected to save approximately $200,000–$300,000 annually, while the company believes litigation over Bryant Park could result in significant monetary damages, although a new lease is not assured.
• Negative Sentiment: The New Jersey casino referendum needed for the Meadowlands project was not placed on this year’s ballot, delaying progress, though management remains hopeful it will receive gubernatorial support next year.

Presentation

[Operator]

Please note this conference is being recorded. I will now turn the conference over to Christopher Love, Secretary. Thank you. You may begin.

[Christopher Love, Secretary at Ark Restaurants]

Thank you, operator. Good morning, and thank you for joining us on our conference call for the Q3 ended June 27, 2026. My name is Christopher Love, and I am the Secretary of Ark Restaurants. With me on the call today is Michael Weinstein, our Chairman and CEO, and Anthony Sirica, our President and CFO. For those of you who have not yet obtained a copy of our press release, it was issued over the Newswire yesterday and is available on our website. To review the full text of that press release, along with the associated financial tables, please go to our homepage at www.arkrestaurants.com. Before we begin, however, I'd like to read the Safe Harbor statement.

[Christopher Love, Secretary at Ark Restaurants]

I need to remind everyone that part of our discussion this morning will include forward-looking statements and that these statements are not guarantees of future performance, and therefore undue reliance should not be placed on them. We refer everyone to our filings with the Securities and Exchange Commission for a more detailed discussion of the risks that may have a direct bearing on our operating results, performance, and financial condition. I'll now turn the call over to Anthony.

[Anthony Sirica, President and CFO at Ark Restaurants]

Morning, everyone. A couple of things I want to go over before we turn it over to Michael. Our cash is $9.4 million. Our debt is $7.1 million, which is up about $4.5 million from the prior quarter. We drew down $5 million in April, I believe it was, to finance the construction of America in Las Vegas. Our EBITDA for 13 weeks ended June compared to the prior year was down $1.4 million. That's the result primarily of a decrease in sales and gross margin of about 6.5% without a corresponding decrease in payrolls for the quarter, which have been stubborn. A decrease in sales is generally related to two markets. Las Vegas was off 11%.

[Anthony Sirica, President and CFO at Ark Restaurants]

That is due to lower traffic, as we all read in the news, as well as the partial closure of America, which should be fully reopening by September sometime. Florida was off 10% as well in the quarter. It continues to be a challenging local economic climate, which is resulting in lower headcounts. Excluding updates to Bryant Park and the Meadowlands situation, which Michael will speak to, the only other item of note in the quarter is that we finalized a two-year lease restructure at Sequoia in early July, and we expect that to provide savings of somewhere $200,000-$300,000 a year. I'll turn it over to Michael.

[Michael Weinstein, Chairman and CEO at Ark Restaurants]

Several comments before I get into Bryant Park situation and the Meadowlands. Despite the fact that sales are off 10% or 11% at New York-New York, our cash flow has improved from last year. We have great management there. They've really become more efficient, and we just look forward to sales returning and the efficiencies to yield even better cash flow. At New York-New York, we've reached a deal with MGM Management to build a new bar. Construction on that will begin in about two or three months and should be open the early part of next year. In addition to in Las Vegas, we have two potential new venues that we have been negotiating for. I think they're likely to happen, but we'll see. I'll update you next quarter. The situation in Bryant Park, we think the litigation is going kind of well for us.

[Michael Weinstein, Chairman and CEO at Ark Restaurants]

There's not necessarily certainty about us regenerating a new lease, but the judge in the last hearing did award us the right to monetary damages on a breach of lease by Bryant Park Corporation. There is a hearing to set a trial date in September. I would imagine that trial would take place the early part of next year. Monetary damages on that could be significant. That does not mean that we're necessarily going to get a new lease. That's going to be a negotiation at some point, we hope with the Parks Department and the proper people at Bryant Park Corporation. But those monetary damages could be significant and hopefully give us an opening for a negotiation.

[Michael Weinstein, Chairman and CEO at Ark Restaurants]

As far as the Meadowlands is concerned, the legislators in New Jersey did not put the referendum that we need to get voted on for a casino license on the ballot this year. The governor was not behind it, although she promised that next year she'll be behind it. She just said her agenda for this year complicated her getting behind this referendum. We're still hopeful. We think it makes a lot of sense. There were legislators who were very much in favor of it, but not enough to get the vote. Our business in general remains the same, down overall sales 6% this quarter. Cash flows sort of mirroring what they were this quarter as well. We think we're efficient at most of our places. If you look at the percentages of payroll to sales and cost of goods to sales and occupancy, they're pretty much in line.

[Michael Weinstein, Chairman and CEO at Ark Restaurants]

We're just focusing on trying to be more efficient as best we can and make sure the product that we're serving to the customer on the plate and service is excellent. We think we're achieving that. With that, I'll take any questions.

[Operator]

Thank you. If you would like to ask a question, please press star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star two if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. Once again, it is star one on your telephone keypad if you would like to ask a question, and we'll just pause for a brief moment to see if any questions come in. There are no questions at this time. I would like to turn the floor back over to Michael for closing remarks.

[Michael Weinstein, Chairman and CEO at Ark Restaurants]

Thank you all. Speak to you next quarter. Appreciate your attendance.

[Anthony Sirica, President and CFO at Ark Restaurants]

Thank you.

[Christopher Love, Secretary at Ark Restaurants]

Thank you.

[Operator]

Thank you. This will conclude today's conference. You may disconnect at this time, and thank you for your participation.

Participants

Executives

• Christopher Love, Secretary
• Anthony Sirica, President and CFO
• Michael Weinstein, Chairman and CEO