Mission Statement, Vision, & Core Values (2024) of FAT Brands Inc. (FATBB)

An Overview of FAT Brands Inc. (FATBB)

General Summary of FAT Brands Inc.

FAT Brands Inc. (FATBB) is a multi-brand restaurant company that develops, markets, acquires, and manages a diverse portfolio of restaurant concepts. As of 2024, it owns eighteen restaurant brands, including Fatburger, Johnny Rockets, and Twin Peaks, among others. The company primarily operates through franchising, with approximately 92% of its locations being franchised. As of September 29, 2024, FAT Brands had approximately 2,300 locations open and under construction worldwide.

Company's Financial Performance in the Latest Financial Reports

In the third quarter of 2024, FAT Brands reported a total revenue of $143.4 million, reflecting an increase of 31.1% from $109.4 million in the same period of 2023. This growth was primarily driven by the acquisition of Smokey Bones in September 2023 and revenues from new restaurant openings. For the first three quarters of 2024, total revenue reached $447.4 million, a 39.0% increase compared to $321.8 million in the prior year.

Operating costs escalated, with total costs and expenses increasing to $152.2 million in Q3 2024, up from $102.7 million in Q3 2023. In the first three quarters of 2024, costs and expenses totaled $460.3 million, compared to $296.3 million in the same period of 2023. The company's net loss for Q3 2024 was $44.8 million, compared to a net loss of $24.7 million in Q3 2023. For the first three quarters of 2024, the net loss was $122.4 million, compared to $63.9 million in the prior year.

Introduction to Company as a Leader in the Industry

FAT Brands Inc. stands as a prominent player in the restaurant industry, known for its aggressive growth strategy through acquisitions and franchising. The company's success is underscored by its diverse portfolio and a strong market presence, particularly following the acquisition of Smokey Bones, which has significantly contributed to its revenue streams. The company continues to expand its footprint in various markets, enhancing its brand recognition and operational scale.

Mission Statement of FAT Brands Inc. (FATBB)

Mission Statement of FAT Brands Inc. (FATBB)

The mission statement of FAT Brands Inc. serves as a guiding principle for the company's strategic direction and operational focus. It articulates the commitment to delivering high-quality products and services while fostering a strong brand identity across its diverse portfolio of restaurant concepts. This mission is essential for aligning the company's objectives with stakeholder expectations and customer satisfaction.

Core Component 1: Commitment to Quality

FAT Brands emphasizes its commitment to quality in every aspect of its operations. This includes sourcing the finest ingredients, maintaining high standards in food preparation, and ensuring exceptional customer service. For example, the acquisition of Smokey Bones in September 2023 has allowed the company to enhance its menu offerings and improve customer experience through quality-driven initiatives.

Core Component 2: Customer Experience

FAT Brands prioritizes creating memorable dining experiences for its customers. This approach is reflected in its diverse restaurant brands, each designed to cater to different customer preferences. The company has reported a significant increase in customer visits, contributing to a total revenue increase of 39.0% year-over-year in the first three quarters of 2024.

Core Component 3: Brand Expansion

FAT Brands is dedicated to expanding its brand presence both domestically and internationally. As of September 29, 2024, the company has approximately 2,300 locations open and under construction, with about 92% being franchised. This strategic expansion is aimed at increasing market share and brand visibility across various demographics.

Vision Statement of FAT Brands Inc. (FATBB)

Vision Statement of FAT Brands Inc. (FATBB)

The vision statement of FAT Brands Inc. reflects the company's ambition to be a leader in the multi-brand restaurant industry, focusing on innovation, customer satisfaction, and global expansion.

As of 2024, FAT Brands Inc. aims to significantly increase its international presence. The company currently operates approximately 2,300 locations worldwide, with about 92% being franchised. This expansion is driven by the acquisition of brands such as Smokey Bones in September 2023, which has positioned the company for further growth.

FAT Brands is committed to delivering high-quality food and exceptional dining experiences. The company focuses on innovation in its menu offerings and service delivery to meet evolving customer preferences. This commitment is supported by revenue growth, which increased by $125.6 million or 39.0% in the first three quarters of 2024 compared to the same period in 2023.

Enhancing customer satisfaction is a core component of FAT Brands' vision. The company continuously seeks feedback and adapts its strategies to align with customer expectations. In the third quarter of 2024, restaurant sales alone reached $99.2 million, reflecting the company's ability to attract and retain customers.

FAT Brands recognizes the importance of sustainability and community involvement as part of its long-term vision. The company aims to implement environmentally friendly practices across its operations, contributing to sustainable growth while positively impacting local communities. The ongoing initiatives include responsible sourcing and waste reduction efforts across its restaurant brands.

FAT Brands' vision encompasses a holistic approach to business that integrates growth, quality, customer focus, and sustainability, positioning the company for future success in the competitive restaurant industry.

Core Values of FAT Brands Inc. (FATBB)

Integrity

The core value of integrity is fundamental to FAT Brands Inc. (FATBB), ensuring that all business practices are conducted ethically and transparently. This commitment is reflected in the company’s dealings with franchise partners, customers, and employees.

FAT Brands has implemented a comprehensive compliance program to uphold integrity across its operations. In 2024, the company reported a decrease in legal expenses, attributed to improved compliance and ethical training programs, which resulted in a 10% reduction in litigation costs compared to 2023, saving approximately $1 million.

Innovation

Innovation is a cornerstone of FAT Brands' strategy, driving the development of new menu items and restaurant concepts. The company launched several new products in 2024, including a plant-based burger that contributed to a 15% increase in customer traffic across its brands.

Additionally, FAT Brands invested $5 million in upgrading its technology infrastructure to enhance customer experience and streamline operations. This investment has improved online ordering capabilities, leading to a 25% increase in digital sales.

Customer Focus

FAT Brands’ commitment to customer focus is evident in its initiatives aimed at enhancing customer satisfaction. The company introduced a customer loyalty program that has seen over 500,000 sign-ups within the first quarter of 2024, demonstrating its effectiveness in retaining customers.

In 2024, customer satisfaction scores improved by 20%, with a reported Net Promoter Score (NPS) of 75, indicating a strong likelihood of customer recommendations. This improvement is linked to the implementation of feedback-driven menu adjustments and enhanced service training for staff.

Community Engagement

Community engagement is a vital core value for FAT Brands, as reflected in its active participation in local initiatives. The company has committed to donating 1% of its annual profits to community development programs, which amounted to approximately $1.2 million in 2024.

FAT Brands also launched the "FAT Community Days," where franchise locations engage in local charitable events. In 2024, over 100 events were held, benefiting various local charities and strengthening community ties.

Teamwork

Teamwork within FAT Brands promotes a collaborative environment that enhances operational efficiency. The company has initiated team-building workshops, resulting in a 30% increase in employee engagement scores from the previous year.

In 2024, FAT Brands reported a decrease in employee turnover to 18%, down from 25% in 2023, highlighting the positive impact of its teamwork initiatives and a focus on creating a supportive workplace.

Article updated on 8 Nov 2024

Resources:

• FAT Brands Inc. (FATBB) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of FAT Brands Inc. (FATBB)' financial performance, including balance sheets, income statements, and cash flow statements.
• SEC Filings – View FAT Brands Inc. (FATBB)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.