The restaurant chain reported a loss of $3.95 million, or 67 cents per share, marking a sharp improvement from the $17.6 million loss, or $3.04 per share, recorded during the same period last year. Revenue reached $127 million, a modest 0.5% increase that belies the stronger performance within individual locations. Company-owned restaurants saw sales climb 11.4%, while franchise locations posted a 5.5% increase.

Chief Executive Joe Christina attributed the turnaround to a combination of operational discipline and strategic refinement. He pointed to improved menu offerings, targeted marketing efforts, and the ongoing portfolio-optimization program as the primary drivers of these financial gains. Looking ahead, the company issued optimistic guidance, projecting fiscal 2026 revenue to land between $485 million and $500 million, supported by anticipated comparable-restaurant sales growth of 8% to 11%.