Benzinga | Nov 10, 2021 03:17PM EST

Carrols Restaurant Reports Mixed Q3 Results As Inflation Weighs

* Carrols Restaurant Group Inc (NASDAQ:TAST) reported third-quarter FY21 restaurant sales growth of 3.6% year-on-year, to $421.70 million, beating the analyst consensus of $417.99 million.

* Comparable restaurant sales for Burger King restaurants increased 2.7%, and Popeyes restaurants decreased 3.2%.

* Total costs and expenses rose 7.2% Y/Y to $425.4 million. The company recorded an operating loss of $(3.6) million for the quarter.

* Adjusted Restaurant-Level EBITDA of $35.4 million fell 32.9% Y/Y, and adjusted Restaurant-Level EBITDA margin declined 460 basis points to 8.4%.

* Adjusted EPS loss of $(0.16) missed the analyst consensus of $(0.15).

* The company held $89.4 million in cash and equivalents as of October 3, 2021. Net cash provided by operating activities amounted to $23.6 million with a free cash flow of $13.5 million.

* "Inflationary challenges continued to weigh heavily on our profitability metrics," said CEO Daniel T. Accordino.

* Price Action: TAST shares are trading lower by 3.26% at $3.70 on the last check Wednesday.