POTBELLY : June 2025 Investor Presentation William Blair Conference vF
PBPB
Published on 06/04/2025 at 17:17
S A N D W I € H W 0 R K S a
Prime Rib Steak Sandwich
Fo ward Lookin State ents
In addition to historical information, this presentation and our earnings conference call contain forward - looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended and the Private Securities Litigation Reform Act of 1995. Forward-looking statements, written, oral or otherwise ma de, represent the Company's expectation or belief concerning future events. Without limiting the foregoing, the words "believes," "expects," "may," "might," "will," "should," "seeks," "intends," "plans," "strives," "goal," "estimates," "forecasts," "projects" or "anticipates" or the negative of these terms and similar expressions are intended to identify forward -looking statements. forward -looking statements included in this presentation may include, among others, statements relating to our (i] ability to deliver out sized E BITDA, (ii) investments in our existing shops, (iii] future financial position and results of operations, (iv) our shop growth pipeline, business strategy, including our five-pillar strategic plan, (v) growth potential, including Franchise unit growth, (vi) ability to susta in progress made towards our profitability targets and long-term strategic growth, (vii) intentions to leverage sales and control costs, (viii) anticipated revenue and profitability growth in 2025, (ix] expectations and plans for new shop development deals and new shop openings in 2025; (x] expectations regarding digital business growth and opportunities for digital innovation; (xi) plans for food and marketing innovations; (xii) ability to drive demand and value for customers; (xiii] fiscal year 2025 outlook including our projections regarding same -store sales growth, adjusted EBITDA and unit growth; and (xiv) expectations for a 2,0 0 0 shop system.
By nature, forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected or implied by the forward-looking statement, due to reasons including, but not limited to, compliance with covenants in our credit facility; competition; general economic conditions, including any impact from inflation; our ability to successfully implement our business strategy, including the success of our franchising initiatives; changes in commodity, energy and other costs; our ability to attract and retain management and employees and adequately staff our shops; consumer reaction to industry-related public health issues and perceptions of food safety; our ability to manage our growth; reputational and brand issues; price and availability of commodities; consumer confidence and spending patterns; and weather conditions. In addition, there may be other factors of which we are presently unaware or that we currently deem immaterial that could cause our actual results to be materially different from the results referenced in the forward -looking statements. All forward-looking statements contained in this presentation are qualified in their entirety by this cautionary statement. Although we believe that our plans, intentions and expectations are reasonable, we may not achieve our plans, intentions or expectations. forward-looking statements are based on current expectations and assumptions and currently available data and are neither predictions nor guarantees of future events or performance. You should not place undue reliance on forward-looking statements, which speak only as of the date hereof. See "Risk factors" and "Cautionary Statement on Forward- Looking Statements" included in the Company's filings with the U.S. Securities and Exchange Commission, including the Company's most recent annual report on Form 10 - K and other risk factors described from time to time in subsequent quarterly reports on Form 10 - Q or other subsequent filings, all of which are available on our website at https://www.potbelIy.com. The Company undertakes no obligation to publicly update or revise any forward -looking statement as a result of new information, future events or otherwise, except as otherwise required by law.
N te Re
odi
oGAAP Mne su e
We prepare our financial statements in accordance with Generally Accepted Accounting Principles ("GAAP"). Within this presentation, we make reference to EBITDA, adjusted EBITDA, adjusted diluted EPS, adjusted net loss, shop- level profit, shop- level profit margin, and company-operated shop sales which are non- GAAP financial measures, which are non- GAAP financial measures. The Company includes these non-GAAP financial measures because management believes they are useful to investors in that they provide for greater transparency with respect to supplemental information used by management in its financial and operational decision making. Management uses adjusted EBITDA, adjusted net income and adjusted diluted EPS to evaluate the Company's performance and in order to have comparable financial results to analyze changes in our underlying business from quarter to quarter. Adjusted EBITDA, adjusted net income and adjusted diluted EPS exclude the impact of certain non-cash charges and other items that affect the comparability of results in past quarters and which we do not believe are reflective of underlying business performance. Management uses shop-level profit and shop-level profit margin as key metrics to evaluate the profitability of incremental sales at our shops, to evaluate our shop performance across periods and to evaluate our shop financial performance against our competitors. Management believes these adjustments provide better comparability of results to the prior period. Accordingly, the Company believes the presentation of these non- GAAP financial measures, when used in conjunction with GAAP financial measures, is a useful financial analysis tool that can assist investors in assessing the Company's operating performance and underlying prospects. This analysis should not be considered in isolation or as a substitute for analysis of our results as reported under GAAP. This analysis, as well as the other information in this presentation, should be read in conjunction with the Company's financial statements and footnotes contained in the documents that the Company files with the U.S. Securities and Exchange Commission. The non -GAAP financial measures used by the Company in this presentation may be different from the methods used by other companies. For more information on the non -GAAP financial measures, please refer to the tables in Appendix: GAAP To N on -GAAP R econciliations. Information reconciling forward-looking Adjusted EBITDA to GAAP financial measures is unavailable to the Company without unreasonable effort. The Company is not able to provide reconciliations of shop- level profit margins and Adjusted EBITDA to GAAP financial measures because certain items required for such reconciliations are outside of the Company's control and/or cannot be reasonably predicted. These items include but are not limited to impairment charges, gain or loss on asset disposals, shop closure costs, and restructuring costs that are difficult to predict in advance in order to include in a GAAP estimate and may be significant.
Kelcome to Potbelly
Potbelly is the sandwich shop with the craveable quality and good vibes o7a first-classdive.
Strong heritage - founbe9 in a Chicago antique
shop in 1977
444 locations today, including 103 Franchise
stops in the U.S.
Delicious, craveable boob make-to-order with Fresh, high-quality ingredients
Authentic concept with loyal customer base:
inviting neighborhood feel
Fresh, last @ friendly service
Unique brand position
Note: Unit count as of March 30, 2025
<10 Shops 10-50 Shops 50+ Shops
444 Total Shops with 2,0 00 Targeted Shops
3
3-Year Potbelly Trans€ormation
System Sales
Shop Margin
$416.1m
8.5%
$558.9m
15.1%
,
+34•/.
+66Obps
Open + Committed Shops
443
727
Digital Mix (%)
360/
40%
+4•/.
Adjusted EBITDA
I
$0.5m
$32.6m
+$32.1m
Disclaimer
Potbelly Corporation published this content on June 04, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on June 04, 2025 at 21:16 UTC.