10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

_________________________________________

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 29, 2025

or

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________ to __________

Commission file number 1-09453

ARK RESTAURANTS CORP.

(Exact name of registrant as specified in its charter)

New York	13-3156768
(State or Other Jurisdiction of Incorporation or Organization)	(IRS Employer Identification No.)

85 Fifth Avenue,	New York,	NY	10003
(Address of Principal Executive Offices)			(Zip Code)

Registrant’s telephone number, including area code:   (212) 206-8800  

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading symbol(s)	Name of each exchange on which registered
Common Stock, par value $.01 per share	ARKR	The NASDAQ Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒    No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒    No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated filer	☒	Smaller Reporting Company	☒
Emerging Growth Company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Yes ☐    No ☐

Indicate by check mark whether the registrant is a shell company (as defined in Exchange Act Rule 12b-2). Yes ☐    No ý

As of May 9, 2025, there were 3,606,157 shares of the registrant's common stock outstanding.

SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS

On one or more occasions, we may make statements in this Quarterly Report on Form 10-Q regarding our assumptions, projections, expectations, targets, intentions or beliefs about future events. All statements, other than statements of historical facts, included or incorporated by reference herein relating to management’s current expectations of future financial performance, continued growth and changes in economic conditions or capital markets are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.

Words or phrases such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “plans,” “predicts,” “projects,” “targets,” “will likely result,” “hopes,” “will continue” or similar expressions identify forward-looking statements. Forward-looking statements involve risks and uncertainties which could cause actual results or outcomes to differ materially from those expressed. We caution that while we make such statements in good faith and we believe such statements are based on reasonable assumptions, including without limitation, management’s examination of historical operating trends, data contained in records and other data available from third parties, we cannot assure you that our projections will be achieved. Factors that may cause such differences include: economic conditions generally and in each of the markets in which we are located, the amount of sales contributed by new and existing restaurants, labor costs for our personnel, fluctuations in the cost of food products, adverse weather conditions, changes in consumer preferences and the level of competition from existing or new competitors.

While we believe that our assumptions are reasonable, we caution that it is very difficult to predict the impact of unknown factors, and it is impossible for us to anticipate all factors that could affect our actual results. All forward-looking statements are expressly qualified in their entirety by these cautionary statements. You should evaluate all forward-looking statements made in this report in the context of the factors that could cause outcomes to differ materially from our expectations. These factors include, but are not limited to:

•the adverse impact of the current political climate and current and future economic conditions, including inflation, on our: (i) operating results, cash flows and financial condition, (ii) ability to comply with the terms and covenants of our debt agreements, (iii) ability to pay or refinance our existing debt or to obtain additional financing, and (iv) projected cash flows used in assessing assets for impairment;

•increases in food, beverage and supply costs, especially for seafood, shellfish, chicken and beef;

•increases in wages and benefit costs, including the cost of group medical and workers' compensation insurance;

•our ability to open new restaurants in new and existing markets, including difficulty in finding sites and in negotiating acceptable leases;

•vulnerability to changes in consumer preferences and economic conditions;

•vulnerability to conditions in the cities in which we operate;

•vulnerability to adverse weather conditions and natural disasters given the geographic concentration and real estate intensive nature of our business and obtaining related property and liability insurance at acceptable premiums;

•our ability to extend existing leases on favorable terms, if at all;

•our ability to renew expired leases on favorable terms, if at all, including our Bryant Park Grill & Cafe which expired on April 30, 2025 and for The Porch at Bryant Park which expired on March 31, 2025 (see Note 8 - Commitments and Contingencies to the Consolidated Condensed Financial Statements);

•negative publicity, whether or not valid, and our ability to respond to and effectively manage the accelerated impact of social media;

•concerns about food safety and quality and about food-borne illnesses;

•the reliance of the Company on the continued service of its executive officers;

•the impact of any security breaches of confidential customer information in connection with our electronic process of credit and debit card transactions; and

•the impact of any failure of our information technology system or any breach of our network security.

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We caution you that the important factors referenced above may not contain all of the factors that are important to you. In addition, we cannot assure you that we will realize the results or developments we expect or anticipate or, even if substantially realized, that they will result in the consequences we anticipate or affect us or our operations in the ways that we expect. The forward-looking statements included in this report are made only as of the date hereof. We undertake no obligation to publicly update or revise any forward-looking statement as a result of new information, future events or otherwise, except as required by law. If we do update one or more forward-looking statements, no inference should be made that we will make additional updates with respect to those or other forward-looking statements. We qualify all of our forward-looking statements by these cautionary statements.

From time to time, oral or written forward-looking statements are also included in our reports on Forms 10-K, 10-Q, and 8-K, our Schedule 14A, our press releases and other materials released to the public. Although we believe that at the time made, the expectations reflected in all of these forward-looking statements are and will be reasonable, any or all of the forward-looking statements may prove to be incorrect. This may occur as a result of inaccurate assumptions or as a consequence of known or unknown risks and uncertainties. Many factors discussed in this Quarterly Report on Form 10-Q, certain of which are beyond our control, will be important in determining our future performance. Consequently, actual results may differ materially from those that might be anticipated from forward-looking statements. In light of these and other uncertainties, you should not regard the inclusion of a forward-looking statement in this Quarterly Report on Form 10-Q or other public communications that we might make as a representation by us that our plans and objectives will be achieved, and you should not place undue reliance on such forward-looking statements.

We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. However, your attention is directed to any further disclosures made on related subjects in our subsequent periodic reports filed with the Securities and Exchange Commission on Forms 10-Q, 10-K, 8-K and Schedule 14A.

Unless the context requires otherwise, references to “we,” “us,” “our,” “ARKR” and the “Company” refer specifically to Ark Restaurants Corp., and its subsidiaries, partnerships, variable interest entities and predecessor entities.

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Part I. Financial Information

Item 1. Consolidated Condensed Financial Statements

ARK RESTAURANTS CORP. AND SUBSIDIARIES

CONSOLIDATED CONDENSED BALANCE SHEETS

(In Thousands, Except Per Share Amounts)

	March 29, 2025		September 28, 2024
	(unaudited)		(Note 1)
ASSETS
CURRENT ASSETS:
Cash and cash equivalents	$	11,124	$	10,273
Accounts receivable	3,226		3,516
Employee receivables	176		255
Inventories	2,073		2,289
Prepaid and refundable income taxes	292		294
Prepaid expenses and other current assets	1,607		1,598
Total current assets	18,498		18,225
FIXED ASSETS - Net	30,918		31,569
OPERATING LEASE RIGHT-OF-USE ASSETS - Net	79,456		84,977
GOODWILL	—		3,440
TRADEMARKS	4,220		4,220
INTANGIBLE ASSETS - Net	56		98
DEFERRED INCOME TAXES	—		4,799
INVESTMENT IN AND RECEIVABLE FROM NEW MEADOWLANDS RACETRACK	6,573		6,550
OTHER ASSETS	2,170		2,163
TOTAL ASSETS	$	141,891	$	156,041
LIABILITIES AND EQUITY
CURRENT LIABILITIES:
Accounts payable - trade	$	4,663	$	4,547
Accrued expenses and other current liabilities	10,086		12,045
Current portion of operating lease liabilities	6,256		7,099
Notes payable	4,280		5,193
Total current liabilities	25,285		28,884
OPERATING LEASE LIABILITIES, LESS CURRENT PORTION	79,055		83,516
TOTAL LIABILITIES	104,340		112,400
COMMITMENTS AND CONTINGENCIES
EQUITY:
Common stock, par value $0.01 per share - authorized, 10,000 shares; issued and outstanding,     3,606 shares and 3,604 shares at March 29, 2025 and September 28, 2024, respectively	36		36
Additional paid-in capital	14,036		13,934
Retained earnings	24,073		30,167
Total Ark Restaurants Corp. shareholders’ equity	38,145		44,137
NON-CONTROLLING INTERESTS	(594)		(496)
TOTAL EQUITY	37,551		43,641
TOTAL LIABILITIES AND EQUITY	$	141,891	$	156,041

See notes to consolidated condensed financial statements.

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ARK RESTAURANTS CORP. AND SUBSIDIARIES

CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS (Unaudited)

(In Thousands, Except Per Share Amounts)

	13 Weeks Ended				26 Weeks Ended
	March 29, 2025		March 30, 2024		March 29, 2025		March 30, 2024
REVENUES:
Food and beverage sales	$	39,123	$	41,188	$	83,566	$	87,818
Other revenue	602		1,069		1,148		1,925
Total revenues	39,725		42,257		84,714		89,743
COSTS AND EXPENSES:
Food and beverage cost of sales	11,484		12,138		23,591		24,209
Payroll expenses	14,415		15,512		30,823		32,488
Occupancy expenses	5,536		5,775		11,684		12,107
Other operating costs and expenses	5,584		5,836		11,384		11,928
General and administrative expenses	3,322		3,141		6,470		6,461
Depreciation and amortization	701		1,057		1,479		2,149
(Gain) loss on closure of El Rio Grande	(140)		—		5		—
Gain on termination of Tampa Food Court   lease	—		—		(5,235)		—
Goodwill impairment	3,440		—		3,440		—
Total costs and expenses	44,342		43,459		83,641		89,342
OPERATING INCOME (LOSS)	(4,617)		(1,202)		1,073		401
OTHER (INCOME) EXPENSE:
Interest expense	104		161		226		332
Interest income	(11)		(11)		(22)		(22)
Other income	—		—		—		(26)
Gain on forgiveness of PPP Loans	—		—		—		(285)
Total other (income) expense, net	93		150		204		(1)
INCOME (LOSS) BEFORE PROVISION (BENEFIT) FOR INCOME TAXES	(4,710)		(1,352)		869		402
Provision (benefit) for income taxes	4,434		(147)		4,938		11
CONSOLIDATED NET INCOME (LOSS)	(9,144)		(1,205)		(4,069)		391
Net income attributable to non-controlling interests	(114)		(244)		(2,025)		(470)
NET LOSS ATTRIBUTABLE TO ARK RESTAURANTS CORP.	$	(9,258)	$	(1,449)	$	(6,094)	$	(79)
NET LOSS ATTRIBUTABLE TO ARK RESTAURANTS CORP. PER COMMON SHARE:
Basic	$	(2.57)	$	(0.40)	$	(1.69)	$	(0.02)
Diluted	$	(2.57)	$	(0.40)	$	(1.69)	$	(0.02)
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:
Basic	3,605		3,604		3,604		3,604
Diluted	3,605		3,604		3,604		3,604

See notes to consolidated condensed financial statements.

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ARK RESTAURANTS CORP. AND SUBSIDIARIES

CONSOLIDATED CONDENSED STATEMENTS OF CHANGES IN EQUITY (unaudited)

(In Thousands, Except Per Share Amounts)

For the 13 weeks ended March 29, 2025
	Common Stock			Additional Paid-In Capital		Retained Earnings		Total Ark Restaurants Corp. Shareholders’ Equity		Non- controlling Interests		Total Equity
	Shares	Amount
BALANCE - December 28, 2024	3,604	$	36	$	13,976	$	33,331	$	47,343	$	1,198	$	48,541
Net income (loss)	—	—		—		(9,258)		(9,258)		114		(9,144)
Exercise of stock options	2	—		21		—		21		—		21
Stock-based compensation activity	—	—		39		—		39		—		39
Distributions to non-controlling interests	—	—		—		—		—		(1,906)		(1,906)
BALANCE - March 29, 2025	3,606	$	36	$	14,036	$	24,073	$	38,145	$	(594)	$	37,551
For the 26 weeks ended March 29, 2025
	Common Stock			Additional Paid-In Capital		Retained Earnings		Total Ark Restaurants Corp. Shareholders’ Equity		Non- controlling Interests		Total Equity
	Shares	Amount
BALANCE - September 28, 2024	3,604	$	36	$	13,934	$	30,167	$	44,137	$	(496)	$	43,641
Net income (loss)	—	—		—		(6,094)		(6,094)		2,025		(4,069)
Exercise of stock options	2	—		21		—		21		—		21
Stock-based compensation activity	—	—		81		—		81		—		81
Distributions to non-controlling interests	—	—		—		—		—		(2,123)		(2,123)
BALANCE - March 29, 2025	3,606	$	36	$	14,036	$	24,073	$	38,145	$	(594)	$	37,551

See notes to consolidated condensed financial statements.

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ARK RESTAURANTS CORP. AND SUBSIDIARIES

CONSOLIDATED CONDENSED STATEMENTS OF CHANGES IN EQUITY (unaudited)

(In Thousands, Except Per Share Amounts)

For the 13 weeks ended March 30, 2024
	Common Stock			Additional Paid-In Capital		Retained Earnings		Total Ark Restaurants Corp. Shareholders’ Equity		Non- controlling Interests		Total Equity
	Shares	Amount
BALANCE - December 30, 2023	3,604	$	36	$	14,930	$	36,785	$	51,751	$	527	$	52,278
Net income (loss)	—	—		—		(1,449)		(1,449)		244		(1,205)
Stock-based compensation activity	—	—		68		—		68		—		68
Distributions to non-controlling interests	—	—		—		—		—		(399)		(399)
Dividends paid - $0.1875 per share	—	—		—		(676)		(676)		—		(676)
BALANCE - March 30, 2024	3,604	$	36	$	14,998	$	34,660	$	49,694	$	372	$	50,066
For the 26 weeks ended March 30, 2024
	Common Stock			Additional Paid-In Capital		Retained Earnings		Total Ark Restaurants Corp. Shareholders’ Equity		Non- controlling Interests		Total Equity
	Shares	Amount
BALANCE - September 30, 2023	3,604	$	36	$	14,161	$	36,091	$	50,288	$	1,434	$	51,722
Net income (loss)	—	—		—		(79)		(79)		470		391
Elimination of non-controlling interest upon      dissolution of subsidiary	—	—		692		—		692		(692)		—
Stock-based compensation activity	—	—		145		—		145		—		145
Distributions to non-controlling interests	—	—		—		—		—		(840)		(840)
Dividends paid - $0.3750 per share	—	—		—		(1,352)		(1,352)		—		(1,352)
BALANCE - March 30, 2024	3,604	$	36	$	14,998	$	34,660	$	49,694	$	372	$	50,066

See notes to consolidated condensed financial statements.

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ARK RESTAURANTS CORP. AND SUBSIDIARIES

CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (Unaudited)

(In Thousands)

	26 Weeks Ended
	March 29, 2025		March 30, 2024
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	$	(4,069)	$	391
Adjustments to reconcile consolidated net income (loss) to net cash provided by (used in) operating activities:
Stock-based compensation activity	81		145
Deferred income taxes	4,799		(146)
Accrued interest on note receivable from NMR	(23)		(21)
Loss on closure of El Rio Grande	5		—
Gain on termination of Tampa Food Court lease	(5,235)		—
Goodwill impairment	3,440		—
Depreciation and amortization	1,479		2,149
Amortization of operating lease assets	199		214
Amortization of deferred financing costs	26		27
Changes in operating assets and liabilities:
Accounts receivable	290		(729)
Inventories	195		731
Prepaid, refundable and accrued income taxes	2		(35)
Prepaid expenses and other current assets	(9)		(1,079)
Other assets	(7)		—
Accounts payable - trade	116		480
Accrued expenses and other current liabilities	(2,023)		(1,361)
Net cash provided by (used in) operating activities	(734)		766
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of fixed assets	(953)		(632)
Loans and advances made to employees	(8)		(26)
Payments received on employee receivables	87		62
Payment received in connection with termination of Tampa Food Court lease	5,500		—
Net cash provided by (used in) investing activities	4,626		(596)
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal payments on notes payable	(939)		(981)
Dividends paid	—		(1,352)
Proceeds from issuance of stock upon exercise of stock options	21		—
Distributions to non-controlling interests	(2,123)		(840)
Net cash used in financing activities	(3,041)		(3,173)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	851		(3,003)
CASH AND CASH EQUIVALENTS, Beginning of period	10,273		13,415
CASH AND CASH EQUIVALENTS, End of period	$	11,124	$	10,412
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid during the period for:
Interest	$	203	$	303
Income taxes	$	136	$	191
Non-cash financing activities:
Elimination of non-controlling interest upon dissolution of subsidiary	$	—	$	692

See notes to consolidated condensed financial statements.

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ARK RESTAURANTS CORP. AND SUBSIDIARIES

NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS

March 30, 2025

(Unaudited)

1.    BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

The consolidated condensed balance sheet as of September 28, 2024, which has been derived from the audited consolidated financial statements included in the Company’s annual report on Form 10-K for the year ended September 28, 2024 (“Form 10-K”), and the unaudited interim consolidated condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted. All adjustments of a normal, recurring nature that, in the opinion of management are necessary for a fair presentation for the periods presented, have been reflected as required by Article 10 of Regulation S-X. These consolidated condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Form 10-K.

INFLATION — In recent years, our operating results were impacted by geopolitical and other macroeconomic events, causing supply chain challenges and significantly increased commodity and wage inflation. While we have seen improvements in many of these areas, some of these factors continued to impact our operating results in fiscal 2025. The ongoing impact of these events could lead to further shifts in consumer behavior, wage inflation, staffing challenges, product and services cost inflation, disruptions in our supply chain and delays in opening and acquiring new restaurants. If these factors significantly impact our cash flow in the future, we may again implement mitigation actions such as suspension of dividends, increasing borrowings or modifying our operating strategies. Some of these measures may have an adverse impact on our business, including possible impairments of assets.

PRINCIPLES OF CONSOLIDATION — The consolidated condensed financial statements include the accounts of Ark Restaurants Corp. and all of its wholly-owned subsidiaries, partnerships and other entities in which it has a controlling interest, collectively herein referred to as the “Company”.

USE OF ESTIMATES — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities, at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates are used for, but are not limited to: (i) projected cash flows related to asset impairments, including goodwill and intangibles, (ii) income tax valuation allowances for deferred tax assets, (iii) allowances for potential credit losses on receivables, (iv) assumptions regarding discount rates related to lease accounting, (v) the useful lives and recoverability of our long-lived assets, such as fixed assets and intangibles, (vi) fair values of financial instruments, (vii) share-based compensation, (viii) estimates made in connection with acquisition purchase price allocations, (ix) uncertain tax positions, and (x) determining when investment impairments are other-than-temporary. The Company’s accounting estimates require the use of judgment as future events and the effect of these events cannot be predicted with certainty. The accounting estimates may change as new events occur, as more experience is acquired and as more information is obtained. The Company evaluates and updates assumptions and estimates on an ongoing basis and may use outside experts to assist in the Company’s evaluation, as considered necessary. Because of the uncertainty in such estimates, actual results may differ from these estimates. The results of operations for the 13 and 26 weeks ended March 29, 2025 are not necessarily indicative of the results to be expected for any other interim period or for the year ending September 27, 2025.

NON-CONTROLLING INTERESTS — Non-controlling interests represent capital contributions from, distributions to and income and loss attributable to the shareholders of less than wholly-owned and consolidated entities.

SEASONALITY — The Company has substantial fixed costs that do not decline proportionally with sales. Although our business is highly seasonal, our broader geographical reach as a result of prior acquisitions mitigates some of this risk. For instance, the second quarter of our fiscal year, consisting of the non-holiday portion of the cold weather season in New York and Washington D.C. (January, February and March), is the poorest performing quarter; however, in recent years this has been partially offset by our locations in Florida as they experience increased results in the winter months. We generally achieve our best results during the warmer weather, attributable to our extensive outdoor dining availability, particularly at Bryant Park in New York and Sequoia in Washington, D.C. (our largest restaurants) and our outdoor cafes. However, even during summer months these facilities can be adversely affected by unusually cool or rainy weather conditions. Our facilities in Las Vegas are indoor and generally operate on a more consistent basis throughout the year, although in recent years the summer months have seen lower traffic.

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FAIR VALUE OF FINANCIAL INSTRUMENTS — The carrying amount of cash and cash equivalents, receivables and accounts payable approximate fair value due to the immediate or short-term maturity of these financial instruments. The fair values of notes receivable and payable are determined using current applicable rates for similar instruments as of the consolidated condensed balance sheet date and approximate the carrying value of such debt instruments.

CASH AND CASH EQUIVALENTS — Cash and cash equivalents include cash on hand, deposits with banks and highly-liquid investments generally with original maturities of three months or less. Outstanding checks in excess of account balances, typically vendor payments, payroll and other contractual obligations disbursed after the last day of a reporting period are reported as a current liability in the accompanying consolidated condensed balance sheets.

CONCENTRATIONS OF CREDIT RISK — Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. The Company reduces credit risk by placing its cash and cash equivalents with major financial institutions with high credit ratings. At times, such amounts may exceed federally insured limits. Accounts receivable is primarily comprised of normal business receivables such as credit card receivables that are paid in a short period of time and other receivables from hotel operators where the Company has a location and are recorded upon satisfaction of the performance obligation. The Company reviews the collectability of its receivables on an ongoing basis, and has not provided for an allowance as it considers all of the counterparties will be able to meet their obligations. The concentration of credit risk with respect to accounts receivable is generally limited due to the short payment terms extended by the Company and the number of customers comprising the Company’s customer base.

As of March 29, 2025 and September 28, 2024, the Company had accounts receivable balances due from one hotel operator totaling 49% and 52% of total accounts receivable, respectively.

For the 13-week periods ended March 29, 2025 and March 30, 2024, the Company made purchases from one vendor that accounted for 12% and 13% of total purchases, respectively.

For the 26-week periods ended March 29, 2025 and March 30, 2024, the Company made purchases from one vendor that accounted for 11% and 12% of total purchases, respectively.

As of March 29, 2025 all debt outstanding is with one lender (see Note 7 – Notes Payable).

GOODWILL AND TRADEMARKS — Goodwill and trademarks are not amortized, but are subject to impairment analysis. We assess the potential impairment of goodwill and trademarks annually (at the end of our fourth quarter) and on an interim basis whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If we determine through the impairment review process that goodwill or trademarks are impaired, we record an impairment charge in our consolidated condensed statements of operations.

During the three months ended March 29, 2025, the Company identified a triggering event in accordance with the Financial Accounting Standards Board (“FASB”), Accounting Standards Update ("ASU") 350-20, “Intangibles—Goodwill and Other,” primarily related to a decline in the Company's stock price in the second quarter of fiscal 2025 and the continued uncertainty related to the expiration of the Bryant Park Grill & Cafe and The Porch at Bryant Park leases (see Note 8 - Commitments and Contingencies). As a result, the Company performed an interim quantitative impairment test and based on the results of the assessment, the fair value of our equity was determined to be less than its carrying amount. Accordingly, the Company recognized a non-cash impairment charge of the remaining balance of its goodwill in the amount of $3,440,000 in our consolidated condensed statements of operations for the 13 and 26 weeks ended March 29, 2025. The Company did not record any impairment to its goodwill during the 13 and 26 weeks ended March 30, 2024.

Our impairment analysis for trademarks consists of a comparison of the fair value to the carrying value of the assets. This comparison is made based on a review of historical, current and forecasted sales and profit levels, as well as a review of any factors that may indicate potential impairment. During the 13 and 26 weeks ended March 29, 2025 and March 30, 2024, the Company did not record any impairment charges related to its trademarks.

LONG-LIVED AND RIGHT-OF-USE ASSETS — Long-lived assets, such as property, plant and equipment, purchased intangibles subject to amortization, and right-of-use assets ("ROU assets") are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. In the evaluation of the fair value and future benefits of long-lived assets, the Company performs an analysis of the anticipated undiscounted future net cash flows of the related long-lived assets. If the carrying value of the related asset exceeds the undiscounted cash flows, the carrying value is reduced to its fair value. Various factors including estimated future sales growth and estimated profit margins are included in this analysis.

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Based on the results of this evaluation, no impairment charges were recognized related to long-lived assets or ROU assets during the 13 and 26 weeks ended March 29, 2025 and March 30, 2024. Given the inherent uncertainty in projecting results of restaurants under the current circumstances, the Company is monitoring the recoverability of the carrying value of the assets of several restaurants on an ongoing basis. For these restaurants, if expected performance is not realized, an impairment charge may be recognized in future periods, and such charge could be material.

REVENUE RECOGNITION — We recognize revenue upon the satisfaction of our performance obligation by transferring control over a product or service to a restaurant guest or other customer. Revenues from restaurant operations are presented net of discounts, coupons, employee meals and complimentary meals and recognized when food, beverage and retail products are sold. Sales tax collected from customers is excluded from sales and the obligation is included in sales tax payable until the taxes are remitted to the appropriate taxing authorities. Catering service revenue is generated through contracts with customers whereby the customer agrees to pay a contract rate for the service. Revenues from catered events are recognized in income upon satisfaction of the performance obligation (the date the event is held) and all customer payments, including nonrefundable upfront deposits, are deferred as a contract liability until such time. We recognized $1,812,000 and $2,203,000 in catering services revenue for the 13-week periods ended March 29, 2025 and March 30, 2024, respectively, and $7,718,000 and $8,617,000 for the 26-week periods ended March 29, 2025 and March 30, 2024, respectively. Unearned revenue, which is included in accrued expenses and other current liabilities on the consolidated condensed balance sheets, as of March 29, 2025 and September 28, 2024 was $3,310,000 and $4,382,000, respectively.

Revenues from gift cards are deferred and recognized upon redemption. Deferrals are not reduced for potential non-use as we generally have a legal obligation to remit the value of unredeemed gift cards to the relevant jurisdictions in which they are sold. As of March 29, 2025 and September 28, 2024, the total liability for gift cards in the amounts of approximately $468,000 and $401,000, respectively, are included in accrued expenses and other current liabilities in the consolidated condensed balance sheets.

Other revenues include merchandise sales, rental income, property management fees and other rentals as well as, in 2024, purchase service fees which represent commissions earned for providing services to other restaurant groups.

LEASES — We determine if an arrangement contains a lease at inception. An arrangement contains a lease if it implicitly or explicitly identifies an asset to be used and conveys the right to control the use of the identified asset in exchange for consideration. As a lessee, we include operating leases in Operating lease ROU assets and Operating lease liabilities in our consolidated condensed balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized upon commencement of the lease based on the present value of the lease payments over the lease term. As most of our leases do not provide an implicit interest rate, we use our incremental borrowing rate based on the information available at commencement date to determine the present value of lease payments. Our lease terms may include options to extend or terminate the lease.  Options are included when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Amendments or modifications to lease terms are accounted for as variable lease payments. Leases with a lease term of 12 months or less are accounted for using the practical expedient which allows for straight-line rent expense over the remaining term of the lease. 

SEGMENT REPORTING — As of March 29, 2025, the Company owned and operated 16 restaurants and bars, 12 fast food concepts and catering operations, exclusively in the United States, that have similar economic characteristics, nature of products and services, class of customers and distribution methods. The Company believes it meets the criteria for aggregating its operating components into a single operating segment in accordance with applicable accounting guidance.

RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS — In November 2024, the FASB issued Accounting Standards Update (“ASU”) No. 2024-03 Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (“ASU 2024-03”) to expand expense disclosures by requiring disaggregated disclosure of certain income statement expense line items, including those that contain purchases of inventory, employee compensation, depreciation and amortization. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, or our fiscal 2028, and subsequent interim periods, with early adoption permitted. The amendments should be applied prospectively, but retrospective application is permitted. We are currently assessing the impact of the requirements on our consolidated financial statements and disclosures.

In December 2023, the FASB issued ASU No. 2023-09 Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”) which enhances transparency about income tax information through improvements to income tax disclosures primarily related to the rate reconciliation and income taxes paid and to improve the effectiveness of income tax disclosures. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, which is for fiscal year 2026 and interim periods beginning in the first quarter of fiscal 2027, with early adoption permitted. The amendments may be applied prospectively or

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retrospectively with early adoption permitted. We are currently assessing the impact of the requirements on our consolidated financial statements and disclosures.

In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The amendments in this update are intended to improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. ASU 2023-07 is effective for public entities for fiscal years beginning after December 15, 2023, which is for fiscal year 2025 and interim periods beginning in the first quarter of fiscal 2026, with early adoption permitted. The adoption of this guidance is not expected to have a material impact to our consolidated financial statements and disclosures.

In October 2023, the FASB issued ASU 2023-06, Disclosure Improvements: Codification Amendment in Response to the SEC’s Disclosure Update and Simplification Initiative. The ASU incorporates several disclosure and presentation requirements currently residing in the SEC Regulations S-X and S-K. The amendments will be applied prospectively and are effective when the SEC removes the related requirements from Regulations S-X or S-K. Any amendments the SEC does not remove by June 30, 2027 will not be effective. As we are currently subject to these SEC requirements, this ASU is not expected to have a material impact on our consolidated financial statements or related disclosures.

No other new accounting pronouncements issued or effective as of March 29, 2025 have had or are expected to have a material impact on our consolidated financial statements.

2.    RECENT RESTAURANT EXPANSION AND OTHER DEVELOPMENTS

On June 24, 2022, the Company extended its lease for America at the New York-New York Hotel and Casino in Las Vegas, NV through December 31, 2033. In connection with the extension, the Company has agreed to spend a minimum of $4,000,000 to materially refresh the premises by December 31, 2025, subject to further extensions as set out in the agreement. To date approximately $175,000 has been spent on this refresh.

On July 21, 2022, the Company extended its lease for the Village Eateries at the New York-New York Hotel and Casino in Las Vegas, NV through December 31, 2034. As part of this extension, the Broadway Burger Bar and Grill and Gonzalez y Gonzalez, were carved out of the Village Eateries footprint and the extended date for those two locations is December 31, 2033. In connection with the extension, the Company has agreed to spend a minimum of $3,500,000 to materially refresh all three of these premises by December 31, 2025, as extended. As part of this refresh, on November 11, 2024, the Company opened a new concept called Lucky Pig in the Village Eateries at a cost of approximately $700,000. To date the Company has spent an additional $650,000 on refreshing Broadway Burger Bar and Grill, Gonzalez y Gonzalez and other areas of the Village Eateries.

Each of the above refresh obligations are to be consistent with designs approved by the landlord which shall not be unreasonably withheld. We will continue to pay all rent as required by the leases without abatement during construction. Note that our substantial completion of work set forth in plans approved by the landlord shall constitute our compliance with the requirements of the completion deadlines, regardless of whether or not the amount actually expended in connection therewith is less than the minimum. In connection with the above renovations, the Company made payments totaling $0 and $34,000 to the mother of Samuel Weinstein, the Co-Chief Operating Officer, for design services during the 13 and 26 weeks ended March 29, 2025, respectively.

3.    RECENT RESTAURANT DISPOSITIONS AND OTHER DEVELOPMENTS

In October 2024, the Company advised the landlord of El Rio Grande we would be terminating the lease and closing the property permanently. In connection with this notification, the Company recorded a loss of $876,000 during the year ended September 28, 2024. The property closed permanently on January 3, 2025 and was vacated and delivered to the landlord on April 30, 2025. During the 13 weeks ended March 29, 2025, the Company recognized a gain of $140,000 as a result of refinements of estimates related to final negotiations with the landlord. During the 26 weeks ended March 29, 2025, the Company recognized a loss in the amount of $5,000 as a result of additional operating losses during the 13 weeks ended December 28, 2024 in the amount of $145,000 offset by the above refinements of estimates related to final negotiations with the landlord.

On November 26, 2024, the Company agreed to terminate its lease for the food court at The Hard Rock Hotel and Casino in Tampa, FL and, accordingly, vacated the premises on December 15, 2024. In connection with this, Ark Hollywood/Tampa Investment LLC, a subsidiary of the Company, (in which we own a 65% interest) received a termination payment in the amount of $5,500,000, all obligations under the lease ceased and we recorded a gain, net of expenses in the amount of $5,235,000 during the 13 weeks ended December 28, 2024. During the 13 weeks ended March 29, 2025, Ark Hollywood/Tampa Investment LLC distributed approximately $1,710,000 of the net proceeds, after expenses, to the other equity holders of Ark Hollywood/Tampa Investment LLC.

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4.    INVESTMENT IN AND RECEIVABLE FROM NEW MEADOWLANDS RACETRACK

On March 12, 2013, the Company made a $4,200,000 investment in the New Meadowlands Racetrack LLC (“NMR”) through its purchase of a membership interest in Meadowlands Newmark, LLC, an existing member of NMR with a then 63.7% ownership interest. On November 19, 2013, the Company invested an additional $464,000 in NMR through the purchase of an additional membership interest in Meadowlands Newmark, LLC resulting in a total ownership of 11.6% of Meadowlands Newmark, LLC, and an effective ownership interest in NMR of 7.4%, subject to dilution. In 2015, the Company invested an additional $222,000 in NMR and in February 2017, the Company invested an additional $222,000 in NMR, both as a result of capital calls with no change in ownership, bringing its total investment to $5,108,000. The Company accounts for this investment at cost, less impairment, adjusted for subsequent observable price changes in accordance with ASU No. 2016-01. There are no observable prices for this investment.

During the 13 and 26 weeks ended March 29, 2025, the Company did not receive any distributions from NMR. During the 13 and 26 weeks ended March 30, 2024, the Company received distributions of $0 and $26,000, respectively, from NMR which have been recorded as other income in the consolidated condensed statements of operations.

The Company evaluated its investment in NMR for impairment and concluded that its fair value exceeds the carrying value. Accordingly, the Company did not record any impairments during the 13 and 26 weeks ended March 29, 2025 and March 30, 2024. Any future changes in the carrying value of our investment in NMR will be reflected in earnings.

In addition to the Company’s ownership interest in NMR through Meadowlands Newmark, LLC, if casino gaming is approved at the Meadowlands and NMR is granted the right to conduct said gaming, neither of which can be assured, the Company shall be granted the exclusive right to operate the food and beverage concessions in the gaming facility with the exception of one restaurant.

In conjunction with this investment, the Company, through a 97% owned subsidiary, Ark Meadowlands LLC (“AM VIE”), also entered into a long-term agreement with NMR for the exclusive right to operate food and beverage concessions serving the new raceway facilities (the “Racing F&B Concessions”) located in the new raceway grandstand constructed at the Meadowlands Racetrack in northern New Jersey. Under the agreement, NMR is responsible to pay for the costs and expenses incurred in the operation of the Racing F&B Concessions, and all revenues and profits thereof inure to the benefit of NMR. AM VIE receives an annual fee equal to 5% of the net profits received by NMR from the Racing F&B Concessions during each calendar year. AM VIE is a variable interest entity; however, based on qualitative consideration of the contracts with AM VIE, the operating structure of AM VIE, the Company’s role with AM VIE, and that the Company is not obligated to absorb expected losses of AM VIE, the Company has concluded that it is not the primary beneficiary and not required to consolidate the operations of AM VIE.

The Company’s maximum exposure to loss as a result of its involvement with AM VIE is limited to any receivable from AM VIE’s primary beneficiary. As of March 29, 2025 and September 28, 2024, $13,000 and $16,000 were due to AM VIE by NMR, respectively.

On April 25, 2014, the Company loaned $1,500,000 to Meadowlands Newmark, LLC. The note bears interest at 3%, compounded monthly and added to the principal, and is due in its entirety on June 30, 2029. The note may be prepaid, in whole or in part, at any time without penalty or premium. The principal and accrued interest related to this note in the amounts of $1,464,000 and $1,442,000 are included in Investment in and Receivable from New Meadowlands Racetrack in the consolidated condensed balance sheets at March 29, 2025 and September 28, 2024, respectively.

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5.    ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

Accrued expenses and other current liabilities consist of the following:

	March 29, 2025		September 28, 2024
	(In thousands)
Sales tax payable	$	874	$	761
Accrued wages and payroll related costs	3,125		4,548
Customer advance deposits	3,310		4,382
Accrued occupancy and other operating expenses	2,777		2,354
	$	10,086	$	12,045

6.    LEASES

Other than locations where we own the underlying property, we lease our restaurant locations as well as our corporate office under various non-cancelable real estate lease agreements that expire on various dates through 2046. We evaluate whether we control the use of the asset, which is determined by assessing whether we obtain substantially all economic benefits from the use of the asset, and whether we have the right to direct the use of the asset. If these criteria are met and we have identified a lease, we account for the contract under the requirements of Accounting Standards Codification (“ASC”) Topic 842.

Upon taking possession of a leased asset, we determine its classification as an operating or finance lease. All of our real estate leases are classified as operating leases. We do not have any finance leases as of March 29, 2025. Generally, our real estate leases have initial terms ranging from 10 to 25 years and typically include renewal options. Renewal options are recognized as part of the ROU assets and lease liabilities if it is reasonably certain at the date of adoption that we would exercise the options to extend the lease. Our real estate leases typically provide for fixed minimum rent payments and/or contingent rent payments based upon sales in excess of specified thresholds. When the achievement of such sales thresholds are deemed to be probable, variable lease expense is accrued in proportion to the sales recognized during the period. For operating leases that include rent holidays and rent escalation clauses, we recognize lease expense on a straight-line basis over the lease term from the date we take possession of the leased property. We record the straight-line lease expense and any contingent rent, if applicable, in occupancy expenses in the consolidated condensed statements of operations.

Many of our real estate leases also require us to pay real estate taxes, common area maintenance costs and other occupancy costs (“non-lease components”) which are included in occupancy related expenses in the consolidated condensed statements of operations. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants.

As there were no explicit rates provided in our leases, we used our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments.

The components of lease expense in the consolidated condensed statements of operations are as follows:

	13 Weeks Ended				26 Weeks Ended
	March 29, 2025		March 30, 2024		March 29, 2025		March 30, 2024
	(In thousands)				(In thousands)
Operating lease expense - occupancy expenses (1)	$	3,293	$	3,469	$	6,675	$	6,923
Occupancy lease expense - general and   administrative expenses	121		122		242		244
Variable lease expense - occupancy expenses	703		747		1,955		2,124
Total lease expense	$	4,117	$	4,338	$	8,872	$	9,291

_________________________________

(1)    Includes short-term leases, which are immaterial.

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Supplemental cash flow information related to leases:

	26 Weeks Ended
	March 29, 2025		March 30, 2024
	(In thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows related to operating leases	$	8,876	$	9,161

The weighted average remaining lease terms and discount rates are as follows:

	March 29, 2025		September 28, 2024
Operating leases:
Weighted average remaining lease term	11.3 years		11.5 years
Weighted average discount rate	6.3	%	6.3	%

The annual maturities of our lease liabilities as of March 29, 2025 are as follows:

	Operating Leases
Fiscal Year Ending	(In thousands)
September 27, 2025	$	5,684
October 3, 2026	11,329
October 2, 2027	11,123
September 30, 2028	11,197
September 29, 2029	11,095
Thereafter	67,864
Total future lease commitments	118,292
Less: imputed interest	(32,981)
Present value of lease liabilities	$	85,311

7.    NOTES PAYABLE

Notes payable consist of the following:

	March 29, 2025		September 28, 2024
	(In thousands)
Promissory Note - Rustic Inn purchase	$	2,474	$	2,617
Promissory Note - JB's on the Beach purchase	1,250		1,750
Promissory Note - Sequoia renovation	571		800
Promissory Note - Blue Moon Fish Company	—		68
	4,295		5,235
Less: Current maturities	(4,280)		(5,193)
Less: Unamortized deferred financing costs	(15)		(42)
Long-term portion	$	—	$	—

Credit Facility

On March 30, 2023, the Company entered into a Second Amended and Restated Credit Agreement (the “Credit Agreement”), with its lender, Bank Hapoalim B.M. (“BHBM”). This facility, which matures on June 1, 2025, replaced our revolving credit facility which was entered into in June 1, 2018 (the “Prior Credit Agreement”). Under the terms of the Credit Agreement: (i) a promissory note under the Prior Credit Agreement in the amount of $6,666,000 was repaid, (ii) BHBM established a new revolving credit facility in the amount of $10,000,000 with a commitment termination date of May 31, 2025, (iii) the Company

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may use the revolving commitments of BHBM to obtain letters of credit up to a sublimit thereunder of $1,000,000, and (iv) the LIBOR rate option for all borrowings was replaced with the secured overnight financing rate for U.S. Government Securities (“SOFR”). Advances under the Credit Agreement bear interest, at the Company's election at the time of the advance, at either BHBM's prime rate of interest plus a 0.45% spread or SOFR plus a 3.65% spread. In addition, there is a 0.30% per annum fee for any unused portion of the $10,000,000 revolving facility. As of March 29, 2025, no advances were outstanding under the Credit Agreement. As of March 29, 2025, the weighted average interest on the outstanding BHBM indebtedness was approximately 8.0%. The Company is currently working with its lender on a new credit agreement; however, there can be no assurances that this agreement will be completed.

The Credit Agreement also requires, among other things, that the Company meet minimum quarterly tangible net worth amounts, maintain a minimum fixed charge coverage ratio and meet minimum annual net income amounts. The Credit Agreement contains customary representations, warranties and affirmative covenants as well as customary negative covenants, subject to negotiated exceptions on liens, relating to other indebtedness, capital expenditures, liens, affiliate transactions, disposal of assets and certain changes in ownership.

Borrowings and all other obligations under the Credit Agreement (including amounts outstanding under the existing term notes (discussed below) are secured by all tangible and intangible personal property (including accounts receivable, inventory, equipment, general intangibles, documents, chattel paper, instruments, letter-of-credit rights, investment property, intellectual property and deposit accounts) and fixtures of the Company.

On March 30, 2023, in connection with entering into the Credit Agreement, the Company amended each of the following promissory notes to replace the interest rate benchmark based on LIBOR and related LIBOR-based mechanics with an interest rate benchmark based on SOFR, with such amendments becoming effective upon the expiration of the then applicable interest period (the “Notes Amendment Effective Date”) and with the following terms:

•Promissory Note – Rustic Inn purchase – The principal amount of $4,400,000, which is secured by a mortgage on the Rustic Inn real estate, is payable in 27 equal quarterly installments of $71,333, commencing on September 1, 2018, with a balloon payment of $2,474,000 on June 1, 2025, and commencing on the Notes Amendment Effective Date, bears interest at SOFR plus 3.65% per annum.

•Promissory Note – JB's on the Beach purchase – On May 15, 2019, the Company issued a promissory note under the Revolving Facility to BHBM for $7,000,000, which is payable in 23 equal quarterly installments of $250,000, commencing on September 1, 2019, with a balloon payment of $1,250,000 on June 1, 2025, and commencing on the Notes Amendment Effective Date, bears interest at SOFR plus 3.65% per annum.

•Promissory Note – Sequoia renovation – Also on May 15, 2019, the Company converted $3,200,000 of Revolving Facility borrowings incurred in connection with the Sequoia renovation to a promissory note which is payable in 23 equal quarterly installments of $114,286, commencing on September 1, 2019, with a balloon payment of $571,429 on June 1, 2025, and commencing on the Notes Amendment Effective Date, bears interest at SOFR plus 3.65% per annum.

Promissory Note - Blue Moon Fish Company

On December 1, 2020, the Company acquired a restaurant and bar named Blue Moon Fish Company located in Lauderdale-by-the-Sea, FL. In connection with the purchase the Company entered into a four-year note held by the sellers in the amount of $1,000,000 payable in monthly installments of $23,029 including interest at 5%. This note was paid off in November 2024.

Deferred Financing Costs

Deferred financing costs incurred in the amount of $304,000 are being amortized over the life of the agreements using the effective interest rate method and included in interest expense. Amortization expense of approximately $13,000 and $14,000 is included in interest expense for the 13 weeks ended March 29, 2025 and March 30, 2024, respectively, and $26,000 and $27,000 for the 26 weeks ended March 29, 2025 and March 30, 2024, respectively.

8.    COMMITMENTS AND CONTINGENCIES

Leases — The Company leases several restaurants, bar facilities, and administrative headquarters through its subsidiaries under terms expiring at various dates through 2046. Most of the leases provide for the payment of base rents plus real estate taxes, insurance and other expenses and, in certain instances, for the payment of a percentage of the restaurant’s sales in excess of

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stipulated amounts at such facility and in one instance based on profits. In connection with one of our leases, the Company obtained and delivered irrevocable letters of credit totaling approximately $324,000 as security deposits under such leases.

Legal Proceedings — In the ordinary course of its business, the Company is a party to various lawsuits arising from accidents at its restaurants and workers’ compensation claims, which are generally handled by the Company’s insurance carriers. The employment by the Company of management personnel, waiters, waitresses and kitchen staff at a number of different restaurants has resulted in the institution, from time to time, of litigation alleging violation by the Company of employment discrimination laws. Management believes, based in part on the advice of counsel, that the ultimate resolution of these matters will not have a material adverse effect on the Company’s consolidated financial position, results of operations or cash flows.

The Company's agreements with the Bryant Park Corporation (the “Landlord”), (a private non-profit corporation that operates and maintains Bryant Park under agreements with the City of New York Department of Parks & Recreation) for the Bryant Park Grill & Cafe expired on April 30, 2025 and for The Porch at Bryant Park expired on March 31, 2025. In July of 2023 (for the Bryant Park Grill & Cafe) and September of 2023 (for The Porch at Bryant Park), the Company received requests for proposals (the "RFPs") from the Landlord to which we responded on October 26, 2023. The agreements offered under the RFPs for both locations were for new 10-year agreements, with one five-year renewal option. In the second quarter of 2025, the Landlord stated publicly that it had selected a new operator for the Bryant Park Grill & Café and The Porch at Bryant Park. However, to the best of our knowledge, no agreements between the Landlord and the selected operator have received the approvals of either the City of New York Department of Parks & Recreation or the New York Public Library, both of which are required before any new lease can become effective.

Management has been working with outside advisors in assisting with our efforts to obtain the extensions by ensuring the RFP awards process was both fair and transparent. On March 28, 2025, we filed a complaint in New York State Supreme Court (the "Court"), alleging among other things, that the bid process conducted by the Landlord was defective, failed to comply with the provisions of the agreements underlying the Landlord’s right to operate Bryant Park and violated applicable law; that, a lease was being awarded to a lower bidder with a limited, unsuccessful track record in the hospitality business; and that the award of the Cafe lease violated our right of first lease under our lease agreements. As part of the relief sought, we are requesting that the Court declare that, under the circumstances presented, the Landlord was required to accept—and should have accepted —our submitted bids. In addition, on March 28, 2025, we also filed a motion for a preliminary injunction in Court to enjoin the Landlord from commencing legal proceedings to evict the Company from the Bryant Park Grill & Café and The Porch at Bryant Park premises. On April 24, 2025, the Court denied the motion. We have filed a notice of appeal of the ruling. On April 29, 2025, we also filed a motion for a preliminary injunction in the New York State Supreme Court, Appellate Division, First Department. That motion is now pending. While the Company has received a “notice to quit” the premises, no lawsuit has been commenced against the Company to terminate its tenancy.

As of the date of this filing, we continue to operate the above properties as a holdover tenant and intend to do so until we are either awarded the lease extensions or ordered to vacate the premises. The underlying lawsuit filed by the Company to protect its right continues, and we will pursue all available options to protect the Company's interests.

Management, after consultation with legal counsel, is unable to predict the outcome of this matter at this time. While the outcome of these proceedings cannot be predicted with certainty, The Bryant Park Grill & Cafe and The Porch at Bryant Park, collectively, accounted for $12.7 million and $13.6 million of our total revenues for the 26 weeks ended March 28, 2025 and March 29, 2024, respectively, which represented approximately 15.0% and 15.1% of our total revenue for such periods, respectively. The Company’s inability to extend or renew these leases on favorable terms, if at all, could have a material adverse effect on our business, financial condition, and results of operations.

9.    STOCK OPTIONS

The Company has options outstanding under two stock option plans, the 2016 Stock Option Plan and the 2022 Stock Option Plan. Options granted under both plans are exercisable at prices at least equal to the fair market value of such stock on the dates the options were granted and expire 10 years after the date of grant.

On December 2, 2024, options to purchase 10,000 shares of common stock at an exercise price of $9.99 per share were granted to an employee of the Company under the 2022 Stock Option Plan. Such options are exercisable as to 25% of the shares commencing on the first anniversary of the date of grant and as to an additional 25% on each yearly anniversary thereafter. The grant date fair value of these stock options was $2.94 per share and totaled approximately $29,000.

The fair value of stock options is estimated on the date of grant using a Black-Scholes option-pricing model that uses assumptions that relate to the expected volatility of the Company’s common stock, the expected dividend yield of the Company’s stock, the expected life of the options and the risk-free interest rate. The assumptions used for the above include a risk-free interest rate of 4.1%, volatility of 34.1%, a dividend yield of 3.7% and an expected life of 10 years.

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During the 26-week period ended March 30, 2024, no options to purchase shares of common stock were issued by the Company.

The Company also maintains a Section 162(m) Cash Bonus Plan. Under the Company's Section 162(m) Cash Bonus Plan, compensation paid in excess of $1,000,000 to any employee who is the chief executive officer or one of the three highest paid executive officers on the last day of that tax year (other than the chief executive officer or the chief financial officer) is not tax deductible.

A summary of stock option activity is presented below:

	2025
	Shares	Weighted Average Exercise Price	Weighted Average Contractual Term	Aggregate Intrinsic Value
Outstanding, beginning of period	415,750	$17.89	6.3 years
Options:
Granted	10,000	$9.99
Exercised	(2,000)	$10.65
Canceled or expired	—
Outstanding and expected to vest,    end of period	423,750	$17.50	6.0 years	$	—
Exercisable, end of period	336,875	$18.54	5.2 years	$	—
Shares available for future grant	336,875

Compensation cost charged to operations for the 13 weeks ended March 29, 2025 and March 30, 2024 for share-based compensation programs was approximately $39,000 and $68,000, respectively, and for the 26 weeks ended March 29, 2025 and March 30, 2024 was approximately $81,000 and $145,000, respectively. The compensation cost recognized is classified as a general and administrative expense in the consolidated condensed statements of operations.

As of March 29, 2025, there was approximately $411,000 of unrecognized compensation cost related to unvested stock options, which is expected to be recognized over a period of 3.7 years.

10.    INCOME TAXES

We calculate our interim income tax provision in accordance with ASC Topic 270, Interim Reporting and ASC Topic 740, Accounting for Income Taxes. At the end of each interim period, we estimate the annual effective tax rate and apply that rate to our ordinary year to date earnings. In addition, the tax effects of unusual or infrequently occurring items including changes in judgment about valuation allowances and effects of changes in enacted tax laws are recognized discretely in the interim period in which the change occurs. The computation of the annual estimated effective tax rate at each interim period requires certain estimates and significant judgment including the expected operating income for the year, permanent and temporary differences as a result of differences between amounts measured and recognized in accordance with tax laws and financial accounting standards, and the likelihood of recovering deferred tax assets generated in the current fiscal year. The accounting estimates used to compute income tax expense may change as new events occur, additional information is obtained, or the tax environment changes.

The provision for income taxes for the 13- and 26-week periods ended March 29, 2025 was $4,434,000 and $4,938,000, respectively and the effective tax rates were 569.0% and 94%, respectively. The effective tax rates differed from the federal statutory rate of 21% primarily due to a discrete tax provision of $4,799,000 as the Company has now concluded that its net deferred tax assets were no longer realizable on a more-likely-than-not basis as the Company is now in a cumulative loss position due to the goodwill impairment recorded in the current quarter.

The provision (benefit) for income taxes for the 13- and 26-week periods ended March 30, 2024 were ($147,000) and $11,000, respectively and the effective tax rates were (10.9%) and 2.7%, respectively. The effective tax rate differed from the federal statutory rate of 21% primarily as a result of the recognition of certain tax benefits related to the expected generation of FICA tax credits in the current year, operating income attributable to non-controlling interests that is not taxable to the Company, and the discrete tax benefit attributable to income related to the PPP Loan forgiveness which is not taxable for income tax reporting purposes.

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The Company’s overall effective tax rate in the future will be affected by various factors and the final annual tax rate cannot be determined until the end of the fiscal year; therefore, the actual tax rate could differ from current estimates.

11.    INCOME PER SHARE OF COMMON STOCK

Basic earnings per share is computed by dividing net income (loss) attributable to Ark Restaurants Corp. by the weighted average number of common shares outstanding for the period. Our diluted earnings per share is computed similarly to basic earnings per share, except that it reflects the effect of common shares issuable upon exercise of stock options, using the treasury stock method in periods in which they have a dilutive effect.

A reconciliation of shares used in calculating earnings per basic and diluted share follows (amounts in thousands):

	13 Weeks Ended		26 Weeks Ended
	March 29, 2025	March 30, 2024	March 29, 2025	March 30, 2024
Basic	3,605	3,604	3,604	3,604
Effect of dilutive securities:
Stock options	—	—	—	—
Diluted	3,605	3,604	3,604	3,604

For the 13- and 26-week periods ended March 29, 2025, the dilutive effect of 423,750 options was not included in diluted earnings per share as their impact would be anti-dilutive.

For the 13- and 26-week periods ended March 30, 2024, the dilutive effect of 471,250 options was not included in diluted earnings per share as their impact would have been anti-dilutive.

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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

This section and other parts of this Quarterly Report on Form 10-Q ("Form 10-Q") contain forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995 ("PSLRA"), which are subject to known and unknown risks, uncertainties and other important factors that may cause actual results to be materially different from the statements made herein. All statements other than statements of historical fact are forward-looking statements. Forward-looking statements discuss our current expectations and projections relating to our financial position, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to any historical or current facts. These statements may include words such as "aim," "anticipate," "believe," "estimate," "expect," "forecast," "future," "intend," "outlook," "potential," "project," "projection," "plan," "seek," "may," "could," "would," "will," "should," "can," "can have," "likely," the negatives thereof and other similar expressions. All forward-looking statements are expressly qualified in their entirety by these cautionary statements.

The following discussion and analysis should be read in conjunction with our Annual Report on Form 10-K for the year ended September 28, 2024 and the consolidated condensed financial statements and notes thereto included in Part I, Item 1 of this Form 10-Q. All information presented herein is based on our fiscal calendar. Unless otherwise stated, references to particular years, quarters, months or periods refer to our fiscal years and the associated quarters, months and periods of those fiscal years.

Recent Developments

Bryant Park Grill & Cafe and The Porch at Bryant Park

The Company's agreements with the Bryant Park Corporation (the “Landlord”), (a private non-profit corporation that operates and maintains Bryant Park under agreements with the City of New York Department of Parks & Recreation) for the Bryant Park Grill & Cafe expired on April 30, 2025 and for The Porch at Bryant Park expired on March 31, 2025. In July of 2023 (for the Bryant Park Grill & Cafe) and September of 2023 (for The Porch at Bryant Park), the Company received requests for proposals (the "RFPs") from the Landlord to which we responded on October 26, 2023. The agreements offered under the RFPs for both locations were for new 10-year agreements, with one five-year renewal option. In the second quarter of 2025, the Landlord stated publicly that it had selected a new operator for the Bryant Park Grill & Café and The Porch at Bryant Park. However, to the best of our knowledge, no agreements between the Landlord and the selected operator have received the approvals of either the City of New York Department of Parks & Recreation or the New York Public Library, both of which are required before any new lease can become effective.

Management has been working with outside advisors in assisting with our efforts to obtain the extensions by ensuring the RFP awards process was both fair and transparent. On March 28, 2025, we filed a complaint in New York State Supreme Court (the "Court"), alleging among other things, that the bid process conducted by the Landlord was defective, failed to comply with the provisions of the agreements underlying the Landlord’s right to operate Bryant Park and violated applicable law; that, a lease was being awarded to a lower bidder with a limited, unsuccessful track record in the hospitality business; and that the award of the Cafe lease violated our right of first lease under our lease agreements. As part of the relief sought, we are requesting that the Court declare that, under the circumstances presented, the Landlord was required to accept—and should have accepted —our submitted bids. In addition, on March 28, 2025, we also filed a motion for a preliminary injunction in Court to enjoin the Landlord from commencing legal proceedings to evict the Company from the Bryant Park Grill & Café and The Porch at Bryant Park premises. On April 24, 2025, the Court denied the motion. We have filed a notice of appeal of the ruling. On April 29, 2025, we also filed a motion for a preliminary injunction in the New York State Supreme Court, Appellate Division, First Department. That motion is now pending. While the Company has received a “notice to quit” the premises, no lawsuit has been commenced against the Company to terminate its tenancy.

As of the date of this filing, we continue to operate the above properties as a holdover tenant and intend to do so until we are either awarded the lease extensions or ordered to vacate the premises. The underlying lawsuit filed by the Company to protect its right continues, and we will pursue all available options to protect the Company's interests.

Management, after consultation with legal counsel, is unable to predict the outcome of this matter at this time. While the outcome of these proceedings cannot be predicted with certainty, The Bryant Park Grill & Cafe and The Porch at Bryant Park, collectively, accounted for $12.7 million and $13.6 million of our total revenues for the 26 weeks ended March 28, 2025 and March 29, 2024, respectively, which represented approximately 15.0% and 15.1% of our total revenue for such periods, respectively. The Company’s inability to extend or renew these leases on favorable terms, if at all, could have a material adverse effect on our business, financial condition, and results of operations.

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Inflation and Other Matters

Our operating results have been and continue to be impacted by geopolitical and macroeconomic events, causing increased commodity prices, wage inflation and other increased costs. The ongoing impact of these events could lead to further shifts in consumer behavior, wage inflation, staffing challenges, product and services cost inflation, disruptions in the supply chain and delays in opening or acquiring new restaurants. If these factors significantly impact our cash flow in the future, we may again implement mitigation actions such as suspending dividends, increasing borrowings or modifying our operating strategies. Some of these measures may have an adverse impact on our business, including possible impairments of assets.

Overview

As of March 29, 2025, the Company owned and operated 16 restaurants and bars, 12 fast food concepts and catering operations, exclusively in the United States, that have similar economic characteristics, nature of products and service, class of customer and distribution methods. The Company believes it meets the criteria for aggregating its operating components into a single operating segment in accordance with applicable accounting guidance.

Accounting Period

Our fiscal year ends on the Saturday nearest September 30. We report fiscal years under a 52/53-week format. This reporting method is used by many companies in the hospitality industry and is meant to improve year-to-year comparisons of operating results. Under this method certain years will contain 53 weeks. The periods ended March 29, 2025 and March 30, 2024 each included 13 and 26 weeks.

Seasonality

The Company has substantial fixed costs that do not decline proportionally with sales. Although our business is highly seasonal, our broader geographical reach as a result of recent acquisitions mitigates some of the risk. For instance, the second quarter of our fiscal year, consisting of the non-holiday portion of the cold weather season in New York and Washington, D.C. (January, February and March), is the poorest performing quarter; however, in recent years this has been partially offset by our locations in Florida as they experience increased results in the winter months. We generally achieve our best results during the warm weather, attributable to our extensive outdoor dining availability, particularly at Bryant Park in New York and Sequoia in Washington, D.C. (our largest restaurants) and our outdoor cafes. However, even during summer months these facilities can be adversely affected by unusually cool or rainy weather conditions. Our facilities in Las Vegas are indoor and generally operate on a more consistent basis throughout the year.

Results of Operations

The Company's operating loss for the 13 weeks ended March 29, 2025 (which includes a gain on the closure of El Rio Grande of $140,000 and a goodwill impairment charge of $3,440,000) increased 284.1% as compared to an operating loss in the same period of the prior year. Excluding the El Rio Grande closure gain and the goodwill impairment charge, the operating loss of $1,317,000 for the 13 weeks ended March 29, 2025 increased 9.6% as compared to an operating loss in the same period of the prior year.

The Company's operating income for the 26 weeks ended March 29, 2025 (which includes a loss on the closure of El Rio Grande of $5,000, a gain on the termination of our Tampa Food Court lease of $5,235,000, and a goodwill impairment charge of $3,440,000) increased 167.6% as compared to the same period of the prior year. Excluding the El Rio Grande closure loss, the Tampa Food Court lease termination gain, and the goodwill impairment charge, the operating loss of $717,000 for the 26 weeks ended March 29, 2025 compared to operating income of $401,000 for March 30, 2024, decreased of 278.8%.

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The following table summarizes the significant components of the Company’s operating results for the 13- and 26-week periods ended March 29, 2025 and March 30, 2024:

	13 Weeks Ended				Variance				26 Weeks Ended				Variance
	March 29, 2025		March 30, 2024		$		%		March 29, 2025		March 30, 2024		$		%
	(in thousands)								(in thousands)
REVENUES:
Food and beverage sales	$	39,123	$	41,188	$	(2,065)	-5.0	%	$	83,566	$	87,818	$	(4,252)	-4.8	%
Other revenue	602		1,069		(467)		-43.7	%	1,148		1,925		(777)		-40.4	%
Total revenues	39,725		42,257		(2,532)		-6.0	%	84,714		89,743		(5,029)		-5.6	%
COSTS AND EXPENSES:
Food and beverage cost of sales	11,484		12,138		(654)		-5.4	%	23,591		24,209		(618)		-2.6	%
Payroll expenses	14,415		15,512		(1,097)		-7.1	%	30,823		32,488		(1,665)		-5.1	%
Occupancy expenses	5,536		5,775		(239)		-4.1	%	11,684		12,107		(423)		-3.5	%
Other operating costs and   expenses	5,584		5,836		(252)		-4.3	%	11,384		11,928		(544)		-4.6	%
General and administrative   expenses	3,322		3,141		181		5.8	%	6,470		6,461		9		0.1	%
Depreciation and amortization	701		1,057		(356)		-33.7	%	1,479		2,149		(670)		-31.2	%
(Gain) Loss on closure of El Rio Grande	(140)		—		(140)		N/A		5		—		5		N/A
Gain on closure of Tampa Food Court	—		—		—		N/A		(5,235)		—		(5,235)		N/A
Goodwill impairment	3,440		—		3,440		N/A		3,440		—		3,440		N/A
Total costs and expenses	44,342		43,459		883		2.0	%	83,641		89,342		(5,701)		-6.4	%
OPERATING INCOME (LOSS)	$	(4,617)	$	(1,202)	$	(3,415)	284.1	%	$	1,073	$	401	$	672	167.6	%

Revenues

During the 13- and 26-week periods ended March 29, 2025, revenues decreased 6.0% and 5.6%, respectively, as compared to revenues for the 13- and 26-week periods ended March 30, 2024. We attribute this decrease primarily to the decreases in same-store sales discussed below and the closures of El Rio Grande and the Tampa Food Court.

Food and Beverage Same-Store Sales

On a Company-wide basis, same-store sales increased 0.4% during the 13 weeks ended March 29, 2025 as compared to the same period of last year as follows:

	13 Weeks Ended				Variance
	March 29, 2025		March 30, 2024		$		%
	(in thousands)
Las Vegas	$	13,975	$	13,799	$	176	1.3	%
New York	4,040		4,394		(354)		-8.1	%
Washington, D.C.	1,377		1,438		(61)		-4.2	%
Atlantic City, NJ	677		763		(86)		-11.3	%
Alabama	3,453		3,567		(114)		-3.2	%
Florida	15,512		14,936		576		3.9	%
Same-store sales	39,034		38,897		$	137	0.4	%
Other	89		2,291
Food and beverage sales	$	39,123	$	41,188

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Same-store sales in Las Vegas increased 1.3% which we attribute primarily to an increase in our event business at the New York-New York Hotel and Casino. Same-store sales in New York decreased 8.1% which we attribute primarily to a decrease in revenue from our event business. Same-store sales in Washington, D.C. decreased 4.2% which we attribute primarily to lower headcounts. Same-store sales in Atlantic City, NJ decreased 11.3% which we attribute primarily to lower than expected customer traffic at the property where we are located. Same-store sales in Alabama decreased 3.2% which we attribute primarily lower customer traffic as a result of inclement weather. Same-store sales in Florida increased 3.9% which we attribute primarily to increased headcounts. Other food and beverage sales consist of sales related to properties that were closed and other fees.

On a Company-wide basis, same-store sales decreased 1.0% during the 26 weeks ended March 29, 2025 as compared to the same period of last year as follows:

	26 Weeks Ended				Variance
	March 29, 2025		March 30, 2024		$		%
	(in thousands)
Las Vegas	$	28,254	$	28,643	$	(389)	-1.4	%
New York	15,201		15,733		(532)		-3.4	%
Washington, D.C.	3,392		3,901		(509)		-13.0	%
Atlantic City, NJ	1,230		1,318		(88)		-6.7	%
Alabama	6,743		6,644		99		1.5	%
Florida	26,340		25,780		560		2.2	%
Same-store sales	81,160		82,019		$	(859)	-1.0	%
Other	2,406		5,799
Food and beverage sales	$	83,566	$	87,818

Same-store sales in Las Vegas decreased 1.4% which we attribute primarily to lower customer traffic at the New York-New York Hotel and Casino. Same-store sales in New York decreased 3.4% which we attribute primarily to a decrease in revenue from our event business. Same-store sales in Washington, D.C. decreased 13.0% which we attribute primarily to lower headcounts, especially during lunch and after-work hours, which we attribute to continued hybrid work schedules in the first half of the period. Same-store sales in Atlantic City, NJ decreased 6.7% which we attribute primarily to lower than expected customer traffic at the property where we are located. Same-store sales in Alabama increased 1.5% which we attribute primarily to better-than-expected customer traffic combined with targeted menu price increases first half of the period partially offset by lower customer traffic in the second half of the period as a result of inclement weather. Same-store sales in Florida increased 2.2% which we attribute primarily to increased headcounts. Other food and beverage sales consist of sales related to properties that were closed and other fees.

Costs and Expenses

Costs and expenses for the 13 and 26 weeks ended March 29, 2025 and March 30, 2024 were as follows (in thousands):

	13 Weeks Ended March 29, 2025		% to Total Revenues		13 Weeks Ended March 30, 2024		% to Total Revenues		Increase (Decrease)				26 Weeks Ended March 29, 2025		% to Total Revenues		26 Weeks Ended March 30, 2024		% to Total Revenues		Increase (Decrease)
									$		%										$		%
Food and beverage cost of   sales	$	11,484	28.9	%	$	12,138	28.7	%	$	(654)	-5.4	%	$	23,591	27.8	%	$	24,209	27.0	%	$	(618)	-2.6	%
Payroll expenses	14,415		36.3	%	15,512		36.7	%	(1,097)		-7.1	%	30,823		36.4	%	32,488		36.2	%	(1,665)		-5.1	%
Occupancy expenses	5,536		13.9	%	5,775		13.7	%	(239)		-4.1	%	11,684		13.8	%	12,107		13.5	%	(423)		-3.5	%
Other operating costs and   expenses	5,584		14.1	%	5,836		13.8	%	(252)		-4.3	%	11,384		13.4	%	11,928		13.3	%	(544)		-4.6	%
General and administrative   expenses	3,322		8.4	%	3,141		7.4	%	181		5.8	%	6,470		7.6	%	6,461		7.2	%	9		0.1	%
Depreciation and   amortization	701		1.8	%	1,057		2.5	%	(356)		-33.7	%	1,479		1.7	%	2,149		2.4	%	(670)		-31.2	%
(Gain) loss on closure of El Rio Grande	(140)		-0.4	%	—		—	%	(140)		N/A		5		—	%	—		—	%	5		N/A
Gain on termination of Tampa Food Court lease	—		—	%	—		—	%	—		N/A		(5,235)		(6.2)	%	—		—	%	(5,235)		N/A
Goodwill impairment	3,440		8.7	%	—		—	%	3,440		N/A		3,440		4.1	%	—		—	%	3,440		N/A
Total costs and expenses	$	44,342			$	43,459			$	883			$	83,641			$	89,342			$	(5,701)

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Food and beverage costs as a percentage of total revenues for the 13 weeks ended March 29, 2025 as compared with the same period of last year increased marginally. Food and beverage costs as a percentage of total revenues for the 26 weeks ended March 29, 2025 as compared with the same period of last year increased as a result of increases in commodity prices, which had been easing for several quarters, combined with a weaker event business in New York City in the first quarter of the current year compared to the prior year.

Payroll expenses as a percentage of total revenues for the 13 weeks ended March 29, 2025 as compared with the same period of last year decreased as a result of better management of overtime hours. Payroll expense as a percentage of total revenue for the 26 weeks ended March 29, 2025 as compared with the same period of last year increased marginally as a result of increasing minimum wages in the states where we operate partially offset by better management of overtime hours.

Occupancy expenses as a percentage of total revenues for the 13 and 26 weeks ended March 29, 2025 increased marginally as compared with the same period of last year primarily as a result of increases in base rents and increases in property and liability insurance premiums.

Other operating costs and expenses as a percentage of total revenues for the 13 and 26 weeks ended March 29, 2025 as compared to the same period of last year increased marginally primarily as a result of inflation.

General and administrative expenses (which relate solely to the corporate office in New York City) for the 13 and 26 weeks ended March 29, 2025 increased as compared to the same periods of last year primarily as a result of increased legal and consulting fees related to the Bryant Park Grill & Café and The Porch at Bryant Park leases partially offset by lower bonus accruals in the current period.

Depreciation and amortization expense for the 13 and 26 weeks ended March 29, 2025 decreased slightly as compared to the same period of last year primarily as a result of certain assets becoming fully depreciated and the removal of assets associated with El Rio Grande and the Tampa Food Court.

(Gain) Loss on Closure of El Rio Grande

In October 2024, the Company advised the landlord of El Rio Grande we would be terminating the lease and closing the property permanently. In connection with this notification, the Company recorded a loss of $876,000 during the year ended September 28, 2024. The property closed permanently on January 3, 2025 and was vacated and delivered to the landlord on April 30, 2025. During the 13 weeks ended March 29, 2025, the Company recognized a gain of $140,000 as a result of refinements of estimates related to final negotiations with the landlord. During the 26 weeks ended March 29, 2025, the Company recognized a loss in the amount of $5,000 as a result of additional operating losses during the 13 weeks ended December 28, 2024 in the amount of $145,000 offset by the above refinements of estimates related to final negotiations with the landlord.

Gain on Termination of Tampa Food Court Lease

On November 26, 2024, the Company agreed to terminate its lease for the food court at The Hard Rock Hotel and Casino in Tampa, FL and, accordingly, vacated the premises on December 15, 2024. In connection with this, Ark Hollywood/Tampa Investment LLC, a subsidiary of the Company, (in which we own a 65% interest) received a termination payment in the amount of $5,500,000, all obligations under the lease ceased and we recorded a gain, net of expenses in the amount of $5,235,000 during the 13 weeks ended December 28, 2024. During the 13 weeks ended March 29, 2025, Ark Hollywood/Tampa Investment LLC distributed approximately $1,710,000 of the net proceeds, after expenses, to the other equity holders of Ark Hollywood/Tampa Investment LLC.

Goodwill Impairment

Goodwill is the excess of cost over fair market value of tangible and intangible net assets acquired. Goodwill is not presently amortized but tested for impairment annually or when the facts or circumstances indicate a possible impairment of goodwill as a result of a continual decline in performance or as a result of fundamental changes in a market.

During the three months ended March 29, 2025, the Company identified a triggering event in accordance with the Financial Accounting Standards Board (“FASB”), Accounting Standards Update ("ASU") 350-20, “Intangibles—Goodwill and Other,” primarily related to a decline in the Company's stock price in the second quarter of fiscal 2025 and the continued uncertainty related to the expiration of the Bryant Park Grill & Cafe and The Porch at Bryant Park leases (see Note 8 - Commitments and Contingencies). As a result, the Company performed an interim quantitative impairment test and based on the results of the assessment, the fair value of our equity was determined to be less than its carrying amount. Accordingly, the Company recognized a non-cash impairment charge of the remaining balance of its goodwill in the amount of $3,440,000 in our consolidated

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condensed statements of operations for the 13 and 26 weeks ended March 29, 2025. The Company did not record any impairment to its goodwill during the 13 and 26 weeks ended March 30, 2024.

Liquidity and Capital Resources

Our primary source of capital has been cash provided by operations and, in recent years, bank and other borrowings to finance specific transactions, acquisitions and large remodeling projects. We utilize cash generated from operations to fund the cost of developing and opening new restaurants and smaller remodeling projects of existing restaurants we own. Consistent with many other restaurant operators, we typically use operating lease arrangements for our restaurants. In recent years we have been able to acquire the underlying real estate at several locations along with the restaurant operation. We believe that our operating lease arrangements provide appropriate leverage of our capital structure in a financially efficient manner.

As of March 29, 2025, we had a cash and cash equivalents balance of $11,124,000. The Company had a working capital deficit of $6,787,000 at March 29, 2025 as compared with a working capital deficit of $10,659,000 at March 30, 2024. This decrease in the deficit is primarily the result of the payment received in connection with the termination of the Tampa Food Court lease.

Inflation

Our profitability is dependent on, among other things, our ability to anticipate and react to changes in the cost of food and other raw materials, labor, energy and other supplies and services. While we have not had material disruptions in our supply chain, we have experienced some product shortages and higher costs for many commodities. There has also been a general shortage in the availability of restaurant staff and hourly workers in certain geographic areas in which we operate and has caused increases in the costs of recruiting and compensating such employees. In addition, certain operating and other costs, including health benefits, taxes, insurance, and other outside services, continue to increase with the general level of inflation and may also be subject to other cost and supply fluctuations outside of our control.

While we have been able to offset inflation and other changes in the costs of key operating resources by targeted increases in menu prices, coupled with more efficient purchasing practices, there can be no assurance that we will be able to continue to do so in the future. From time to time, competitive conditions will limit our menu pricing flexibility. In addition, macroeconomic conditions that impact consumer discretionary spending for food away from home could make additional menu price increases imprudent. There can be no assurance that all of our future cost increases can be offset by higher menu prices or that higher menu prices will be accepted by our restaurant customers without any resulting changes in their visit frequencies or purchasing patterns.

Cash Flows for 26 Weeks Ended March 29, 2025 and March 30, 2024

Net cash used in operating activities for the 26 weeks ended March 29, 2025 was $734,000 as compared to net cash provided by operating activities of $766,000 in the same period as last year. This decrease resulted primarily from a decrease in operating income, excluding a gain in the amount of $5,235,000 on the termination of our Tampa Food Court lease and a goodwill impairment charge in the amount of $3,440,000.

Net cash provided by investing activities for the 26 weeks ended March 29, 2025 was $4,626,000 as compared to cash used in investing activities of $596,000 in the same period as last year. This increase resulted primarily from the payment received in connection with the termination of our Tampa Food Court lease.

Net cash used in financing activities for the 26 weeks ended March 29, 2025 and March 30, 2024 was $3,041,000 and $3,173,000, respectively, and resulted primarily from principal payments on notes payable and the payment of distributions to non-controlling interests and in the prior year the payment of dividends.

Credit Facility

On March 30, 2023, the Company entered into a Second Amended and Restated Credit Agreement (the “Credit Agreement”), with its lender, Bank Hapoalim B.M. (“BHBM”). This facility, which matures on June 1, 2025, replaced our revolving credit facility which was entered into in June 1, 2018 (the “Prior Credit Agreement”). Under the terms of the Credit Agreement: (i) a promissory note under the Prior Credit Agreement in the amount of $6,666,000 was repaid, (ii) BHBM established a new revolving credit facility in the amount of $10,000,000 with a commitment termination date of May 31, 2025, (iii) the Company may use the revolving commitments of BHBM to obtain letters of credit up to a sublimit thereunder of $1,000,000, and (iv) the LIBOR rate option for all borrowings was replaced with the secured overnight financing rate for U.S. Government Securities (“SOFR”). Advances under the Credit Agreement bear interest, at the Company's election at the time of the advance, at either BHBM's prime rate of interest plus a 0.45% spread or SOFR plus a 3.65% spread. In addition, there is a 0.30% per annum fee for any unused portion of the $10,000,000 revolving facility. As of March 29, 2025, no advances were outstanding under the Credit

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Agreement. As of March 29, 2025, the weighted average interest on the outstanding BHBM indebtedness was approximately 8.0%. The Company is currently working with its lender on a new credit agreement; however, there can be no assurances that this agreement will be completed.

Borrowings and all other obligations under the Credit Agreement, which include the promissory notes as discussed in Note 7 of the consolidated condensed financial statements, are secured by all tangible and intangible personal property (including accounts receivable, inventory, equipment, general intangibles, documents, chattel paper, instruments, letter-of-credit rights, investment property, intellectual property and deposit accounts) and fixtures of the Company. The Credit Agreement also requires, among other things, that the Company meet minimum quarterly tangible net worth amounts, maintain a minimum fixed charge coverage ratio and meet minimum annual net income amounts. The Credit Agreement contains customary representations, warranties and affirmative covenants as well as customary negative covenants, subject to negotiated exceptions on liens, relating to other indebtedness, capital expenditures, liens, affiliate transactions, disposal of assets and certain changes in ownership.

Deferred Tax Asset Valuation Allowance

The Company recognizes deferred tax assets and liabilities based on differences between the financial reporting and tax bases of assets and liabilities using enacted tax rates and laws that are expected to be in effect when the differences are expected to reverse. A valuation allowance is established when, based on an evaluation of all available evidence, it is more likely than not that some portion or all of the deferred tax assets will not be realized.

The determination of the need for a valuation allowance requires significant judgment, including an assessment of the Company’s recent earnings history, future taxable income projections, the nature and expiration period of temporary differences, tax planning strategies, and changes in tax laws and regulations. As of March 29, 2025, the Company concluded that its net deferred tax assets in the amount of $4,799,000 were no longer realizable on a more-likely-than-not basis as the Company is now in a cumulative loss position due to the goodwill impairment recorded in the current quarter and, accordingly, recorded a discrete tax provision for such amount as it can no longer rely on forecasts of future taxable income to support the realization of such deferred tax assets.

Management will continue to evaluate the need for a valuation allowance on a quarterly basis and may adjust the allowance as new information becomes available. If actual results differ from these estimates or if the Company’s assumptions change, the valuation allowance may need to be adjusted in future periods, which could materially affect the Company’s financial condition and results of operations.

Cash Flow Outlook

As discussed above, the Company's agreements with the Bryant Park Corporation (the “Landlord”), (a private non-profit corporation that operates and maintains Bryant Park under agreements with the City of New York Department of Parks & Recreation) for the Bryant Park Grill & Cafe expired on April 30, 2025 and for The Porch at Bryant Park expired on March 31, 2025.

As of the date of this filing, we continue to operate the above properties as a holdover tenant and intend to do so until we are either awarded the lease extensions or ordered to vacate the premises. The underlying lawsuit filed by the Company to protect its right continues, and we will pursue all available options to protect the Company's interests.

Management, after consultation with legal counsel, is unable to predict the outcome of this matter at this time. While the outcome of these proceedings cannot be predicted with certainty, The Bryant Park Grill & Cafe and The Porch at Bryant Park, collectively, accounted for $12.7 million and $13.6 million of our total revenues for the 26 weeks ended March 28, 2025 and March 29, 2024, respectively, which represented approximately 15.0% and 15.1% of our total revenue for such periods, respectively. The Company’s inability to extend or renew these leases on favorable terms, if at all, could have a material adverse effect on our business, financial condition, and results of operations.

Other than the status of the above property, we are not aware of any other trends or events that would materially affect our capital requirements or liquidity. We believe that our existing cash balances, internal cash-generating capabilities, current banking facilities and ability to secure additional financing, if necessary, are sufficient to finance our capital expenditures, debt maturities and other operating activities for at least the next 12 months.

Critical Accounting Estimates

The preparation of financial statements requires the Company to make estimates and assumptions of future events. In the process of preparing its consolidated condensed financial statements, the Company estimates the appropriate carrying value of certain assets and liabilities, which are not readily apparent from other sources. The critical accounting estimates underlying the Company’s consolidated condensed financial statements include projected cash flows for fixed asset impairments, allowances for

- 26 -

potential bad debts on accounts and notes receivable, assumptions regarding discount rates related to lease accounting, the useful lives and recoverability of its long-lived assets, such as property and intangibles, fair values of financial instruments, the realizable value of its tax assets and other matters. Management bases its estimates on certain assumptions, which it believes are reasonable in the circumstances, and actual results could differ from those estimates. Although management does not believe that any change in those assumptions in the near term would have a material effect on the Company’s consolidated condensed financial position or the results of operations, differences in actual results could be material to the consolidated condensed financial statements.

There have been no material changes in our critical accounting policies and estimates from those disclosed in Item 7 of our Annual Report on Form 10-K for the year ended September 28, 2024.

Item 3. Quantitative and Qualitative Disclosures about Market Risk

Not Applicable.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Under the supervision and with the participation of management, including our principal executive officer and principal financial officer, we evaluated the effectiveness of the design and operation of our disclosure controls and procedures as of the end of the period covered by this quarterly report as such term is defined in Rules 13a-15(e) and 15d-15(e) promulgated under the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Based on this evaluation, our management, including our principal executive officer and principal financial officer, concluded that our disclosure controls and procedures were effective as of March 29, 2025 to ensure that all material information required to be disclosed by us in reports that we file or submit under the Exchange Act is accumulated and communicated to them as appropriate to allow timely decisions regarding required disclosure and that all such information is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms.

Changes in Internal Control over Financial Reporting

There have been no changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) of the Exchange Act) that occurred during the second quarter of fiscal 2025 that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.

Limitations of the Effectiveness of Internal Control

A control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the internal control system are met. Because of the inherent limitations of any internal control system, no evaluation of controls can provide absolute assurance that all control issues, if any, within a company have been detected.

- 27 -

PART II

OTHER INFORMATION

Item 1. Legal Proceedings

Information with respect to this Item may be found in Note 8 - Commitments and Contingencies to the Consolidated Condensed Financial Statements in this Quarterly Report on Form 10-Q, which information is incorporated herein by reference.

Item 1A. Risk Factors

Not Applicable.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3. Defaults upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not Applicable.

Item 5. Other Information

Insider Trading Arrangements and Policies

During the second quarter of 2025, none of our directors or executive officers adopted Rule 10b5-1 trading plans and none of our directors or executive officers terminated a Rule 10b5-1 trading plan or adopted or terminated a non-Rule 10b5-1 trading arrangement (as defined in Item 408(c) of Regulation S-K).

Item 6.    Exhibits

31.1* Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

31.2* Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.

32** Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101.INS*  XBRL Instance Document

101.SCH* XBRL Taxonomy Extension Schema Document

101.CAL* XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF* XBRL Taxonomy Extension Definition Linkbase Document

101.LAB* XBRL Taxonomy Extension Label Linkbase Document

101.PRE* XBRL Taxonomy Extension Presentation Linkbase Document

104 Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).

__________________________

* Filed herewith.

** Furnished herewith.

- 28 -

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Date:	May 13, 2025
	ARK RESTAURANTS CORP.
By:	/s/ Michael Weinstein
	Michael Weinstein
	Chairman of the Board and Chief Executive Officer
	(Principal Executive Officer)
By:	/s/ Anthony J. Sirica
	Anthony J. Sirica
	President, Chief Financial Officer and Director
	(Principal Financial and Accounting Officer)

- 29 -

EX-31.1

EXHIBIT 31.1

CERTIFICATION PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Michael Weinstein, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Ark Restaurants Corp.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated: May 13, 2025

/s/ Michael Weinstein

Michael Weinstein

Chief Executive Officer

(Principal Executive Officer)

EX-31.2

EXHIBIT 31.2

CERTIFICATION PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Anthony J. Sirica, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Ark Restaurants Corp.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5.The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated: May 13, 2025

/s/ Anthony J. Sirica

Anthony J. Sirica

Chief Financial Officer

(Principal Financial Officer)

EX-32

Exhibit 32

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report on Form 10-Q for the quarter ended March 29, 2025 of Ark Restaurants Corp. (the “Registrant”) as filed with the Securities and Exchange Commission on the date hereof (the “Report”), we, Michael Weinstein, Chief Executive Officer and Anthony J. Sirica, Chief Financial Officer, of the Registrant, certify, pursuant to 18 U.S.C. § 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to our knowledge:

(i)this Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended (15 U.S.C. 78m or 78o(d)); and

(ii)the information contained in this Report fairly presents, in all material respects, the financial condition and results of operations of the Registrant.

Dated as of this 13th day of May 2025

/s/ Michael Weinstein	/s/ Anthony J. Sirica
Michael Weinstein	Anthony J. Sirica
Chief Executive Officer	Chief Financial Officer
(Principal Executive Officer)	(Principal Financial Officer)

A signed original of this written statement required by Section 906 of the Sarbanes-Oxley act of 2002 has been provided to Ark Restaurants Corp. and will be retained by Ark Restaurants Corp. and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Cover - shares	6 Months Ended
	Mar. 29, 2025	May 09, 2025
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 29, 2025
Document Transition Report	false
Entity File Number	1-09453
Entity Registrant Name	ARK RESTAURANTS CORP.
Entity Incorporation, State or Country Code	NY
Entity Tax Identification Number	13-3156768
Entity Address, Address Line One	85 Fifth Avenue,
Entity Address, City or Town	New York,
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10003
City Area Code	212
Local Phone Number	206-8800
Title of 12(b) Security	Common Stock, par value $.01 per share
Trading Symbol	ARKR
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		3,606,157
Amendment Flag	false
Entity Central Index Key	0000779544
Current Fiscal Year End Date	--09-27
Document Fiscal Year Focus	2025
Document Fiscal Period Focus	Q2

XML

CONSOLIDATED CONDENSED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 29, 2025	Sep. 28, 2024
CURRENT ASSETS:
Cash and cash equivalents	$ 11,124	$ 10,273
Accounts receivable	3,226	3,516
Employee receivables	176	255
Inventories	2,073	2,289
Prepaid and refundable income taxes	292	294
Prepaid expenses and other current assets	1,607	1,598
Total current assets	18,498	18,225
FIXED ASSETS - Net	30,918	31,569
OPERATING LEASE RIGHT-OF-USE ASSETS - Net	79,456	84,977
GOODWILL	0	3,440
TRADEMARKS	4,220	4,220
INTANGIBLE ASSETS - Net	56	98
DEFERRED INCOME TAXES	0	4,799
INVESTMENT IN AND RECEIVABLE FROM NEW MEADOWLANDS RACETRACK	6,573	6,550
OTHER ASSETS	2,170	2,163
TOTAL ASSETS	141,891	156,041
CURRENT LIABILITIES:
Accounts payable - trade	4,663	4,547
Accrued expenses and other current liabilities	10,086	12,045
Current portion of operating lease liabilities	6,256	7,099
Notes payable	4,280	5,193
Total current liabilities	25,285	28,884
OPERATING LEASE LIABILITIES, LESS CURRENT PORTION	79,055	83,516
TOTAL LIABILITIES	104,340	112,400
COMMITMENTS AND CONTINGENCIES
EQUITY:
Common stock, par value $0.01 per share - authorized, 10,000 shares; issued and outstanding, 3,606 shares and 3,604 shares at March 29, 2025 and September 28, 2024, respectively	36	36
Additional paid-in capital	14,036	13,934
Retained earnings	24,073	30,167
Total Ark Restaurants Corp. shareholders’ equity	38,145	44,137
NON-CONTROLLING INTERESTS	(594)	(496)
TOTAL EQUITY	37,551	43,641
TOTAL LIABILITIES AND EQUITY	$ 141,891	$ 156,041

XML

CONSOLIDATED CONDENSED BALANCE SHEETS (Parentheticals) - $ / shares shares in Thousands	Mar. 29, 2025	Sep. 28, 2024
Statement of Financial Position [Abstract]
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, authorized (in shares)	10,000	10,000
Common stock, outstanding (in shares)	3,606	3,604
Common stock, issued (in shares)	3,606	3,604

XML

CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 29, 2025	Mar. 30, 2024	Mar. 29, 2025	Mar. 30, 2024
REVENUES:
Total revenues	$ 39,725	$ 42,257	$ 84,714	$ 89,743
COSTS AND EXPENSES:
Payroll expenses	14,415	15,512	30,823	32,488
Other operating costs and expenses	5,584	5,836	11,384	11,928
General and administrative expenses	3,322	3,141	6,470	6,461
Depreciation and amortization	701	1,057	1,479	2,149
(Gain) loss on closure of El Rio Grande	(140)	0	5	0
Gain on termination of Tampa Food Court lease	0	0	(5,235)	0
Goodwill impairment	3,440	0	3,440	0
Total costs and expenses	44,342	43,459	83,641	89,342
OPERATING INCOME (LOSS)	(4,617)	(1,202)	1,073	401
OTHER (INCOME) EXPENSE:
Interest expense	104	161	226	332
Interest income	(11)	(11)	(22)	(22)
Other income	0	0	0	(26)
Gain on forgiveness of PPP Loans	0	0	0	(285)
Total other (income) expense, net	93	150	204	(1)
INCOME (LOSS) BEFORE PROVISION (BENEFIT) FOR INCOME TAXES	(4,710)	(1,352)	869	402
Provision (benefit) for income taxes	4,434	(147)	4,938	11
CONSOLIDATED NET INCOME (LOSS)	(9,144)	(1,205)	(4,069)	391
Net income attributable to non-controlling interests	(114)	(244)	(2,025)	(470)
NET LOSS ATTRIBUTABLE TO ARK RESTAURANTS CORP.	$ (9,258)	$ (1,449)	$ (6,094)	$ (79)
NET LOSS ATTRIBUTABLE TO ARK RESTAURANTS CORP. PER COMMON SHARE:
Basic (in dollars per share)	$ (2.57)	$ (0.40)	$ (1.69)	$ (0.02)
Diluted (in dollars per share)	$ (2.57)	$ (0.40)	$ (1.69)	$ (0.02)
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:
Basic (in shares)	3,605	3,604	3,604	3,604
Diluted (in shares)	3,605	3,604	3,604	3,604
Food and beverage sales
REVENUES:
Total revenues	$ 39,123	$ 41,188	$ 83,566	$ 87,818
COSTS AND EXPENSES:
Cost of goods and services sold	11,484	12,138	23,591	24,209
Other revenue
REVENUES:
Total revenues	602	1,069	1,148	1,925
Occupancy expenses
COSTS AND EXPENSES:
Cost of goods and services sold	$ 5,536	$ 5,775	$ 11,684	$ 12,107

XML

CONSOLIDATED CONDENSED STATEMENTS OF CHANGES IN EQUITY (Unaudited) - USD ($) $ in Thousands	Total	Total Ark Restaurants Corp. Shareholders’ Equity	Common Stock	Additional Paid-In Capital	Retained Earnings	Non- controlling Interests
Beginning balance (in shares) at Sep. 30, 2023			3,604,000
Beginning balance at Sep. 30, 2023	$ 51,722	$ 50,288	$ 36	$ 14,161	$ 36,091	$ 1,434
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	391	(79)			(79)	470
Elimination of non-controlling interest upon dissolution of subsidiary	0	692		692		(692)
Stock-based compensation activity	145	145		145
Distributions to non-controlling interests	(840)					(840)
Dividends paid	(1,352)	(1,352)			(1,352)
Ending balance (in shares) at Mar. 30, 2024			3,604,000
Ending balance at Mar. 30, 2024	50,066	49,694	$ 36	14,998	34,660	372
Beginning balance (in shares) at Dec. 30, 2023			3,604,000
Beginning balance at Dec. 30, 2023	52,278	51,751	$ 36	14,930	36,785	527
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	(1,205)	(1,449)			(1,449)	244
Stock-based compensation activity	68	68		68
Distributions to non-controlling interests	(399)					(399)
Dividends paid	(676)	(676)			(676)
Ending balance (in shares) at Mar. 30, 2024			3,604,000
Ending balance at Mar. 30, 2024	$ 50,066	49,694	$ 36	14,998	34,660	372
Beginning balance (in shares) at Sep. 28, 2024	3,604,000		3,604,000
Beginning balance at Sep. 28, 2024	$ 43,641	44,137	$ 36	13,934	30,167	(496)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	$ (4,069)	(6,094)			(6,094)	2,025
Exercise of stock options (in shares)	2,000		2,000
Exercise of stock options	$ 21	21		21
Stock-based compensation activity	81	81		81
Distributions to non-controlling interests	$ (2,123)					(2,123)
Ending balance (in shares) at Mar. 29, 2025	3,606,000		3,606,000
Ending balance at Mar. 29, 2025	$ 37,551	38,145	$ 36	14,036	24,073	(594)
Beginning balance (in shares) at Dec. 28, 2024			3,604,000
Beginning balance at Dec. 28, 2024	48,541	47,343	$ 36	13,976	33,331	1,198
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	(9,144)	(9,258)			(9,258)	114
Exercise of stock options (in shares)			2,000
Exercise of stock options	21	21		21
Stock-based compensation activity	39	39		39
Distributions to non-controlling interests	$ (1,906)					(1,906)
Ending balance (in shares) at Mar. 29, 2025	3,606,000		3,606,000
Ending balance at Mar. 29, 2025	$ 37,551	$ 38,145	$ 36	$ 14,036	$ 24,073	$ (594)

XML

CONSOLIDATED CONDENSED STATEMENTS OF CHANGES IN EQUITY (Unaudited) (Parentheticals) - $ / shares	3 Months Ended	6 Months Ended
	Mar. 30, 2024	Mar. 30, 2024
Statement of Stockholders' Equity [Abstract]
Dividends paid (in dollars per share)	$ 0.1875	$ 0.3750

XML

CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended		12 Months Ended
	Mar. 29, 2025	Dec. 28, 2024	Mar. 30, 2024	Mar. 29, 2025	Mar. 30, 2024	Sep. 28, 2024
CASH FLOWS FROM OPERATING ACTIVITIES:
Consolidated net income (loss)	$ (9,144)		$ (1,205)	$ (4,069)	$ 391
Adjustments to reconcile consolidated net income (loss) to net cash provided by (used in) operating activities:
Stock-based compensation activity				81	145
Deferred income taxes				4,799	(146)
Accrued interest on note receivable from NMR				(23)	(21)
Loss on closure of El Rio Grande	(140)		0	5	0
Gain on termination of Tampa Food Court lease	0	$ (5,235)	0	(5,235)	0
Goodwill impairment	3,440		0	3,440	0
Depreciation and amortization	701		1,057	1,479	2,149
Amortization of operating lease assets				199	214
Amortization of deferred financing costs				26	27
Changes in operating assets and liabilities:
Accounts receivable				290	(729)
Inventories				195	731
Prepaid, refundable and accrued income taxes				2	(35)
Prepaid expenses and other current assets				(9)	(1,079)
Other assets				(7)	0
Accounts payable - trade				116	480
Accrued expenses and other current liabilities				(2,023)	(1,361)
Net cash provided by (used in) operating activities				(734)	766
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchases of fixed assets				(953)	(632)
Loans and advances made to employees				(8)	(26)
Payments received on employee receivables				87	62
Payment received in connection with termination of Tampa Food Court lease		5,500		5,500	0
Net cash provided by (used in) investing activities				4,626	(596)
CASH FLOWS FROM FINANCING ACTIVITIES:
Principal payments on notes payable				(939)	(981)
Dividends paid				0	(1,352)
Proceeds from issuance of stock upon exercise of stock options				21	0
Distributions to non-controlling interests				(2,123)	(840)
Net cash used in financing activities				(3,041)	(3,173)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS				851	(3,003)
CASH AND CASH EQUIVALENTS, Beginning of period		$ 10,273		10,273	13,415	$ 13,415
CASH AND CASH EQUIVALENTS, End of period	$ 11,124		$ 10,412	11,124	10,412	$ 10,273
Cash paid during the period for:
Interest				203	303
Income taxes				136	191
Non-cash financing activities:
Elimination of non-controlling interest upon dissolution of subsidiary				$ 0	$ 692

XML

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

6 Months Ended

Mar. 29, 2025

Accounting Policies [Abstract]

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES

The consolidated condensed balance sheet as of September 28, 2024, which has been derived from the audited consolidated financial statements included in the Company’s annual report on Form 10-K for the year ended September 28, 2024 (“Form 10-K”), and the unaudited interim consolidated condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted. All adjustments of a normal, recurring nature that, in the opinion of management are necessary for a fair presentation for the periods presented, have been reflected as required by Article 10 of Regulation S-X. These consolidated condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Form 10-K.

INFLATION — In recent years, our operating results were impacted by geopolitical and other macroeconomic events, causing supply chain challenges and significantly increased commodity and wage inflation. While we have seen improvements in many of these areas, some of these factors continued to impact our operating results in fiscal 2025. The ongoing impact of these events could lead to further shifts in consumer behavior, wage inflation, staffing challenges, product and services cost inflation, disruptions in our supply chain and delays in opening and acquiring new restaurants. If these factors significantly impact our cash flow in the future, we may again implement mitigation actions such as suspension of dividends, increasing borrowings or modifying our operating strategies. Some of these measures may have an adverse impact on our business, including possible impairments of assets.

PRINCIPLES OF CONSOLIDATION — The consolidated condensed financial statements include the accounts of Ark Restaurants Corp. and all of its wholly-owned subsidiaries, partnerships and other entities in which it has a controlling interest, collectively herein referred to as the “Company”.

USE OF ESTIMATES — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities, at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates are used for, but are not limited to: (i) projected cash flows related to asset impairments, including goodwill and intangibles, (ii) income tax valuation allowances for deferred tax assets, (iii) allowances for potential credit losses on receivables, (iv) assumptions regarding discount rates related to lease accounting, (v) the useful lives and recoverability of our long-lived assets, such as fixed assets and intangibles, (vi) fair values of financial instruments, (vii) share-based compensation, (viii) estimates made in connection with acquisition purchase price allocations, (ix) uncertain tax positions, and (x) determining when investment impairments are other-than-temporary. The Company’s accounting estimates require the use of judgment as future events and the effect of these events cannot be predicted with certainty. The accounting estimates may change as new events occur, as more experience is acquired and as more information is obtained. The Company evaluates and updates assumptions and estimates on an ongoing basis and may use outside experts to assist in the Company’s evaluation, as considered necessary. Because of the uncertainty in such estimates, actual results may differ from these estimates. The results of operations for the 13 and 26 weeks ended March 29, 2025 are not necessarily indicative of the results to be expected for any other interim period or for the year ending September 27, 2025.

NON-CONTROLLING INTERESTS — Non-controlling interests represent capital contributions from, distributions to and income and loss attributable to the shareholders of less than wholly-owned and consolidated entities.

SEASONALITY — The Company has substantial fixed costs that do not decline proportionally with sales. Although our business is highly seasonal, our broader geographical reach as a result of prior acquisitions mitigates some of this risk. For instance, the second quarter of our fiscal year, consisting of the non-holiday portion of the cold weather season in New York and Washington D.C. (January, February and March), is the poorest performing quarter; however, in recent years this has been partially offset by our locations in Florida as they experience increased results in the winter months. We generally achieve our best results during the warmer weather, attributable to our extensive outdoor dining availability, particularly at Bryant Park in New York and Sequoia in Washington, D.C. (our largest restaurants) and our outdoor cafes. However, even during summer months these facilities can be adversely affected by unusually cool or rainy weather conditions. Our facilities in Las Vegas are indoor and generally operate on a more consistent basis throughout the year, although in recent years the summer months have seen lower traffic.

FAIR VALUE OF FINANCIAL INSTRUMENTS — The carrying amount of cash and cash equivalents, receivables and accounts payable approximate fair value due to the immediate or short-term maturity of these financial instruments. The fair values of notes receivable and payable are determined using current applicable rates for similar instruments as of the consolidated condensed balance sheet date and approximate the carrying value of such debt instruments.

CASH AND CASH EQUIVALENTS — Cash and cash equivalents include cash on hand, deposits with banks and highly-liquid investments generally with original maturities of three months or less. Outstanding checks in excess of account balances, typically vendor payments, payroll and other contractual obligations disbursed after the last day of a reporting period are reported as a current liability in the accompanying consolidated condensed balance sheets.

CONCENTRATIONS OF CREDIT RISK — Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. The Company reduces credit risk by placing its cash and cash equivalents with major financial institutions with high credit ratings. At times, such amounts may exceed federally insured limits. Accounts receivable is primarily comprised of normal business receivables such as credit card receivables that are paid in a short period of time and other receivables from hotel operators where the Company has a location and are recorded upon satisfaction of the performance obligation. The Company reviews the collectability of its receivables on an ongoing basis, and has not provided for an allowance as it considers all of the counterparties will be able to meet their obligations. The concentration of credit risk with respect to accounts receivable is generally limited due to the short payment terms extended by the Company and the number of customers comprising the Company’s customer base.

As of March 29, 2025 and September 28, 2024, the Company had accounts receivable balances due from one hotel operator totaling 49% and 52% of total accounts receivable, respectively.

For the 13-week periods ended March 29, 2025 and March 30, 2024, the Company made purchases from one vendor that accounted for 12% and 13% of total purchases, respectively.

For the 26-week periods ended March 29, 2025 and March 30, 2024, the Company made purchases from one vendor that accounted for 11% and 12% of total purchases, respectively.

As of March 29, 2025 all debt outstanding is with one lender (see Note 7 – Notes Payable).

GOODWILL AND TRADEMARKS — Goodwill and trademarks are not amortized, but are subject to impairment analysis. We assess the potential impairment of goodwill and trademarks annually (at the end of our fourth quarter) and on an interim basis whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If we determine through the impairment review process that goodwill or trademarks are impaired, we record an impairment charge in our consolidated condensed statements of operations.

During the three months ended March 29, 2025, the Company identified a triggering event in accordance with the Financial Accounting Standards Board (“FASB”), Accounting Standards Update ("ASU") 350-20, “Intangibles—Goodwill and Other,” primarily related to a decline in the Company's stock price in the second quarter of fiscal 2025 and the continued uncertainty related to the expiration of the Bryant Park Grill & Cafe and The Porch at Bryant Park leases (see Note 8 - Commitments and Contingencies). As a result, the Company performed an interim quantitative impairment test and based on the results of the assessment, the fair value of our equity was determined to be less than its carrying amount. Accordingly, the Company recognized a non-cash impairment charge of the remaining balance of its goodwill in the amount of $3,440,000 in our consolidated condensed statements of operations for the 13 and 26 weeks ended March 29, 2025. The Company did not record any impairment to its goodwill during the 13 and 26 weeks ended March 30, 2024.

Our impairment analysis for trademarks consists of a comparison of the fair value to the carrying value of the assets. This comparison is made based on a review of historical, current and forecasted sales and profit levels, as well as a review of any factors that may indicate potential impairment. During the 13 and 26 weeks ended March 29, 2025 and March 30, 2024, the Company did not record any impairment charges related to its trademarks.

LONG-LIVED AND RIGHT-OF-USE ASSETS — Long-lived assets, such as property, plant and equipment, purchased intangibles subject to amortization, and right-of-use assets ("ROU assets") are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. In the evaluation of the fair value and future benefits of long-lived assets, the Company performs an analysis of the anticipated undiscounted future net cash flows of the related long-lived assets. If the carrying value of the related asset exceeds the undiscounted cash flows, the carrying value is reduced to its fair value. Various factors including estimated future sales growth and estimated profit margins are included in this analysis.

Based on the results of this evaluation, no impairment charges were recognized related to long-lived assets or ROU assets during the 13 and 26 weeks ended March 29, 2025 and March 30, 2024. Given the inherent uncertainty in projecting results of restaurants under the current circumstances, the Company is monitoring the recoverability of the carrying value of the assets of several restaurants on an ongoing basis. For these restaurants, if expected performance is not realized, an impairment charge may be recognized in future periods, and such charge could be material.

REVENUE RECOGNITION — We recognize revenue upon the satisfaction of our performance obligation by transferring control over a product or service to a restaurant guest or other customer. Revenues from restaurant operations are presented net of discounts, coupons, employee meals and complimentary meals and recognized when food, beverage and retail products are sold. Sales tax collected from customers is excluded from sales and the obligation is included in sales tax payable until the taxes are remitted to the appropriate taxing authorities. Catering service revenue is generated through contracts with customers whereby the customer agrees to pay a contract rate for the service. Revenues from catered events are recognized in income upon satisfaction of the performance obligation (the date the event is held) and all customer payments, including nonrefundable upfront deposits, are deferred as a contract liability until such time. We recognized $1,812,000 and $2,203,000 in catering services revenue for the 13-week periods ended March 29, 2025 and March 30, 2024, respectively, and $7,718,000 and $8,617,000 for the 26-week periods ended March 29, 2025 and March 30, 2024, respectively. Unearned revenue, which is included in accrued expenses and other current liabilities on the consolidated condensed balance sheets, as of March 29, 2025 and September 28, 2024 was $3,310,000 and $4,382,000, respectively.

Revenues from gift cards are deferred and recognized upon redemption. Deferrals are not reduced for potential non-use as we generally have a legal obligation to remit the value of unredeemed gift cards to the relevant jurisdictions in which they are sold. As of March 29, 2025 and September 28, 2024, the total liability for gift cards in the amounts of approximately $468,000 and $401,000, respectively, are included in accrued expenses and other current liabilities in the consolidated condensed balance sheets.

Other revenues include merchandise sales, rental income, property management fees and other rentals as well as, in 2024, purchase service fees which represent commissions earned for providing services to other restaurant groups.

LEASES — We determine if an arrangement contains a lease at inception. An arrangement contains a lease if it implicitly or explicitly identifies an asset to be used and conveys the right to control the use of the identified asset in exchange for consideration. As a lessee, we include operating leases in Operating lease ROU assets and Operating lease liabilities in our consolidated condensed balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized upon commencement of the lease based on the present value of the lease payments over the lease term. As most of our leases do not provide an implicit interest rate, we use our incremental borrowing rate based on the information available at commencement date to determine the present value of lease payments. Our lease terms may include options to extend or terminate the lease.  Options are included when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Amendments or modifications to lease terms are accounted for as variable lease payments. Leases with a lease term of 12 months or less are accounted for using the practical expedient which allows for straight-line rent expense over the remaining term of the lease. 

SEGMENT REPORTING — As of March 29, 2025, the Company owned and operated 16 restaurants and bars, 12 fast food concepts and catering operations, exclusively in the United States, that have similar economic characteristics, nature of products and services, class of customers and distribution methods. The Company believes it meets the criteria for aggregating its operating components into a single operating segment in accordance with applicable accounting guidance.

RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS — In November 2024, the FASB issued Accounting Standards Update (“ASU”) No. 2024-03 Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (“ASU 2024-03”) to expand expense disclosures by requiring disaggregated disclosure of certain income statement expense line items, including those that contain purchases of inventory, employee compensation, depreciation and amortization. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, or our fiscal 2028, and subsequent interim periods, with early adoption permitted. The amendments should be applied prospectively, but retrospective application is permitted. We are currently assessing the impact of the requirements on our consolidated financial statements and disclosures.

In December 2023, the FASB issued ASU No. 2023-09 Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”) which enhances transparency about income tax information through improvements to income tax disclosures primarily related to the rate reconciliation and income taxes paid and to improve the effectiveness of income tax disclosures. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, which is for fiscal year 2026 and interim periods beginning in the first quarter of fiscal 2027, with early adoption permitted. The amendments may be applied prospectively or

retrospectively with early adoption permitted. We are currently assessing the impact of the requirements on our consolidated financial statements and disclosures.

In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The amendments in this update are intended to improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. ASU 2023-07 is effective for public entities for fiscal years beginning after December 15, 2023, which is for fiscal year 2025 and interim periods beginning in the first quarter of fiscal 2026, with early adoption permitted. The adoption of this guidance is not expected to have a material impact to our consolidated financial statements and disclosures.

In October 2023, the FASB issued ASU 2023-06, Disclosure Improvements: Codification Amendment in Response to the SEC’s Disclosure Update and Simplification Initiative. The ASU incorporates several disclosure and presentation requirements currently residing in the SEC Regulations S-X and S-K. The amendments will be applied prospectively and are effective when the SEC removes the related requirements from Regulations S-X or S-K. Any amendments the SEC does not remove by June 30, 2027 will not be effective. As we are currently subject to these SEC requirements, this ASU is not expected to have a material impact on our consolidated financial statements or related disclosures.

No other new accounting pronouncements issued or effective as of March 29, 2025 have had or are expected to have a material impact on our consolidated financial statements.

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RECENT RESTAURANT EXPANSION AND OTHER DEVELOPMENTS

6 Months Ended

Mar. 29, 2025

Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]

RECENT RESTAURANT EXPANSION AND OTHER DEVELOPMENTS

RECENT RESTAURANT EXPANSION AND OTHER DEVELOPMENTS

On June 24, 2022, the Company extended its lease for America at the New York-New York Hotel and Casino in Las Vegas, NV through December 31, 2033. In connection with the extension, the Company has agreed to spend a minimum of $4,000,000 to materially refresh the premises by December 31, 2025, subject to further extensions as set out in the agreement. To date approximately $175,000 has been spent on this refresh.

On July 21, 2022, the Company extended its lease for the Village Eateries at the New York-New York Hotel and Casino in Las Vegas, NV through December 31, 2034. As part of this extension, the Broadway Burger Bar and Grill and Gonzalez y Gonzalez, were carved out of the Village Eateries footprint and the extended date for those two locations is December 31, 2033. In connection with the extension, the Company has agreed to spend a minimum of $3,500,000 to materially refresh all three of these premises by December 31, 2025, as extended. As part of this refresh, on November 11, 2024, the Company opened a new concept called Lucky Pig in the Village Eateries at a cost of approximately $700,000. To date the Company has spent an additional $650,000 on refreshing Broadway Burger Bar and Grill, Gonzalez y Gonzalez and other areas of the Village Eateries.

Each of the above refresh obligations are to be consistent with designs approved by the landlord which shall not be unreasonably withheld. We will continue to pay all rent as required by the leases without abatement during construction. Note that our substantial completion of work set forth in plans approved by the landlord shall constitute our compliance with the requirements of the completion deadlines, regardless of whether or not the amount actually expended in connection therewith is less than the minimum. In connection with the above renovations, the Company made payments totaling $0 and $34,000 to the mother of Samuel Weinstein, the Co-Chief Operating Officer, for design services during the 13 and 26 weeks ended March 29, 2025, respectively.

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RECENT RESTAURANT DISPOSITIONS AND OTHER DEVELOPMENTS

6 Months Ended

Mar. 29, 2025

Recent Restaurant Dispositions [Abstract]

RECENT RESTAURANT DISPOSITIONS AND OTHER DEVELOPMENTS

RECENT RESTAURANT DISPOSITIONS AND OTHER DEVELOPMENTS

In October 2024, the Company advised the landlord of El Rio Grande we would be terminating the lease and closing the property permanently. In connection with this notification, the Company recorded a loss of $876,000 during the year ended September 28, 2024. The property closed permanently on January 3, 2025 and was vacated and delivered to the landlord on April 30, 2025. During the 13 weeks ended March 29, 2025, the Company recognized a gain of $140,000 as a result of refinements of estimates related to final negotiations with the landlord. During the 26 weeks ended March 29, 2025, the Company recognized a loss in the amount of $5,000 as a result of additional operating losses during the 13 weeks ended December 28, 2024 in the amount of $145,000 offset by the above refinements of estimates related to final negotiations with the landlord.

On November 26, 2024, the Company agreed to terminate its lease for the food court at The Hard Rock Hotel and Casino in Tampa, FL and, accordingly, vacated the premises on December 15, 2024. In connection with this, Ark Hollywood/Tampa Investment LLC, a subsidiary of the Company, (in which we own a 65% interest) received a termination payment in the amount of $5,500,000, all obligations under the lease ceased and we recorded a gain, net of expenses in the amount of $5,235,000 during the 13 weeks ended December 28, 2024. During the 13 weeks ended March 29, 2025, Ark Hollywood/Tampa Investment LLC distributed approximately $1,710,000 of the net proceeds, after expenses, to the other equity holders of Ark Hollywood/Tampa Investment LLC.

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INVESTMENT IN AND RECEIVABLE FROM NEW MEADOWLANDS RACETRACK

6 Months Ended

Mar. 29, 2025

Equity Method Investments and Joint Ventures [Abstract]

INVESTMENT IN AND RECEIVABLE FROM NEW MEADOWLANDS RACETRACK

INVESTMENT IN AND RECEIVABLE FROM NEW MEADOWLANDS RACETRACK

On March 12, 2013, the Company made a $4,200,000 investment in the New Meadowlands Racetrack LLC (“NMR”) through its purchase of a membership interest in Meadowlands Newmark, LLC, an existing member of NMR with a then 63.7% ownership interest. On November 19, 2013, the Company invested an additional $464,000 in NMR through the purchase of an additional membership interest in Meadowlands Newmark, LLC resulting in a total ownership of 11.6% of Meadowlands Newmark, LLC, and an effective ownership interest in NMR of 7.4%, subject to dilution. In 2015, the Company invested an additional $222,000 in NMR and in February 2017, the Company invested an additional $222,000 in NMR, both as a result of capital calls with no change in ownership, bringing its total investment to $5,108,000. The Company accounts for this investment at cost, less impairment, adjusted for subsequent observable price changes in accordance with ASU No. 2016-01. There are no observable prices for this investment.

During the 13 and 26 weeks ended March 29, 2025, the Company did not receive any distributions from NMR. During the 13 and 26 weeks ended March 30, 2024, the Company received distributions of $0 and $26,000, respectively, from NMR which have been recorded as other income in the consolidated condensed statements of operations.

The Company evaluated its investment in NMR for impairment and concluded that its fair value exceeds the carrying value. Accordingly, the Company did not record any impairments during the 13 and 26 weeks ended March 29, 2025 and March 30, 2024. Any future changes in the carrying value of our investment in NMR will be reflected in earnings.

In addition to the Company’s ownership interest in NMR through Meadowlands Newmark, LLC, if casino gaming is approved at the Meadowlands and NMR is granted the right to conduct said gaming, neither of which can be assured, the Company shall be granted the exclusive right to operate the food and beverage concessions in the gaming facility with the exception of one restaurant.

In conjunction with this investment, the Company, through a 97% owned subsidiary, Ark Meadowlands LLC (“AM VIE”), also entered into a long-term agreement with NMR for the exclusive right to operate food and beverage concessions serving the new raceway facilities (the “Racing F&B Concessions”) located in the new raceway grandstand constructed at the Meadowlands Racetrack in northern New Jersey. Under the agreement, NMR is responsible to pay for the costs and expenses incurred in the operation of the Racing F&B Concessions, and all revenues and profits thereof inure to the benefit of NMR. AM VIE receives an annual fee equal to 5% of the net profits received by NMR from the Racing F&B Concessions during each calendar year. AM VIE is a variable interest entity; however, based on qualitative consideration of the contracts with AM VIE, the operating structure of AM VIE, the Company’s role with AM VIE, and that the Company is not obligated to absorb expected losses of AM VIE, the Company has concluded that it is not the primary beneficiary and not required to consolidate the operations of AM VIE.

The Company’s maximum exposure to loss as a result of its involvement with AM VIE is limited to any receivable from AM VIE’s primary beneficiary. As of March 29, 2025 and September 28, 2024, $13,000 and $16,000 were due to AM VIE by NMR, respectively.

On April 25, 2014, the Company loaned $1,500,000 to Meadowlands Newmark, LLC. The note bears interest at 3%, compounded monthly and added to the principal, and is due in its entirety on June 30, 2029. The note may be prepaid, in whole or in part, at any time without penalty or premium. The principal and accrued interest related to this note in the amounts of $1,464,000 and $1,442,000 are included in Investment in and Receivable from New Meadowlands Racetrack in the consolidated condensed balance sheets at March 29, 2025 and September 28, 2024, respectively.

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ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

6 Months Ended

Mar. 29, 2025

Payables and Accruals [Abstract]

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

Accrued expenses and other current liabilities consist of the following:

	March 29, 2025		September 28, 2024
	(In thousands)
Sales tax payable	$	874	$	761
Accrued wages and payroll related costs	3,125		4,548
Customer advance deposits	3,310		4,382
Accrued occupancy and other operating expenses	2,777		2,354
	$	10,086	$	12,045

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LEASES

6 Months Ended

Mar. 29, 2025

Leases [Abstract]

LEASES

LEASES

Other than locations where we own the underlying property, we lease our restaurant locations as well as our corporate office under various non-cancelable real estate lease agreements that expire on various dates through 2046. We evaluate whether we control the use of the asset, which is determined by assessing whether we obtain substantially all economic benefits from the use of the asset, and whether we have the right to direct the use of the asset. If these criteria are met and we have identified a lease, we account for the contract under the requirements of Accounting Standards Codification (“ASC”) Topic 842.

Upon taking possession of a leased asset, we determine its classification as an operating or finance lease. All of our real estate leases are classified as operating leases. We do not have any finance leases as of March 29, 2025. Generally, our real estate leases have initial terms ranging from 10 to 25 years and typically include renewal options. Renewal options are recognized as part of the ROU assets and lease liabilities if it is reasonably certain at the date of adoption that we would exercise the options to extend the lease. Our real estate leases typically provide for fixed minimum rent payments and/or contingent rent payments based upon sales in excess of specified thresholds. When the achievement of such sales thresholds are deemed to be probable, variable lease expense is accrued in proportion to the sales recognized during the period. For operating leases that include rent holidays and rent escalation clauses, we recognize lease expense on a straight-line basis over the lease term from the date we take possession of the leased property. We record the straight-line lease expense and any contingent rent, if applicable, in occupancy expenses in the consolidated condensed statements of operations.

Many of our real estate leases also require us to pay real estate taxes, common area maintenance costs and other occupancy costs (“non-lease components”) which are included in occupancy related expenses in the consolidated condensed statements of operations. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants.

As there were no explicit rates provided in our leases, we used our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments.

The components of lease expense in the consolidated condensed statements of operations are as follows:

	13 Weeks Ended				26 Weeks Ended
	March 29, 2025		March 30, 2024		March 29, 2025		March 30, 2024
	(In thousands)				(In thousands)
Operating lease expense - occupancy expenses (1)	$	3,293	$	3,469	$	6,675	$	6,923
Occupancy lease expense - general and   administrative expenses	121		122		242		244
Variable lease expense - occupancy expenses	703		747		1,955		2,124
Total lease expense	$	4,117	$	4,338	$	8,872	$	9,291

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(1)    Includes short-term leases, which are immaterial.

Supplemental cash flow information related to leases:

	26 Weeks Ended
	March 29, 2025		March 30, 2024
	(In thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows related to operating leases	$	8,876	$	9,161

The weighted average remaining lease terms and discount rates are as follows:

	March 29, 2025		September 28, 2024
Operating leases:
Weighted average remaining lease term	11.3 years		11.5 years
Weighted average discount rate	6.3	%	6.3	%

The annual maturities of our lease liabilities as of March 29, 2025 are as follows:

	Operating Leases
Fiscal Year Ending	(In thousands)
September 27, 2025	$	5,684
October 3, 2026	11,329
October 2, 2027	11,123
September 30, 2028	11,197
September 29, 2029	11,095
Thereafter	67,864
Total future lease commitments	118,292
Less: imputed interest	(32,981)
Present value of lease liabilities	$	85,311

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NOTES PAYABLE

6 Months Ended

Mar. 29, 2025

Debt Disclosure [Abstract]

NOTES PAYABLE

NOTES PAYABLE

Notes payable consist of the following:

	March 29, 2025		September 28, 2024
	(In thousands)
Promissory Note - Rustic Inn purchase	$	2,474	$	2,617
Promissory Note - JB's on the Beach purchase	1,250		1,750
Promissory Note - Sequoia renovation	571		800
Promissory Note - Blue Moon Fish Company	—		68
	4,295		5,235
Less: Current maturities	(4,280)		(5,193)
Less: Unamortized deferred financing costs	(15)		(42)
Long-term portion	$	—	$	—

Credit Facility

On March 30, 2023, the Company entered into a Second Amended and Restated Credit Agreement (the “Credit Agreement”), with its lender, Bank Hapoalim B.M. (“BHBM”). This facility, which matures on June 1, 2025, replaced our revolving credit facility which was entered into in June 1, 2018 (the “Prior Credit Agreement”). Under the terms of the Credit Agreement: (i) a promissory note under the Prior Credit Agreement in the amount of $6,666,000 was repaid, (ii) BHBM established a new revolving credit facility in the amount of $10,000,000 with a commitment termination date of May 31, 2025, (iii) the Company

may use the revolving commitments of BHBM to obtain letters of credit up to a sublimit thereunder of $1,000,000, and (iv) the LIBOR rate option for all borrowings was replaced with the secured overnight financing rate for U.S. Government Securities (“SOFR”). Advances under the Credit Agreement bear interest, at the Company's election at the time of the advance, at either BHBM's prime rate of interest plus a 0.45% spread or SOFR plus a 3.65% spread. In addition, there is a 0.30% per annum fee for any unused portion of the $10,000,000 revolving facility. As of March 29, 2025, no advances were outstanding under the Credit Agreement. As of March 29, 2025, the weighted average interest on the outstanding BHBM indebtedness was approximately 8.0%. The Company is currently working with its lender on a new credit agreement; however, there can be no assurances that this agreement will be completed.

The Credit Agreement also requires, among other things, that the Company meet minimum quarterly tangible net worth amounts, maintain a minimum fixed charge coverage ratio and meet minimum annual net income amounts. The Credit Agreement contains customary representations, warranties and affirmative covenants as well as customary negative covenants, subject to negotiated exceptions on liens, relating to other indebtedness, capital expenditures, liens, affiliate transactions, disposal of assets and certain changes in ownership.

Borrowings and all other obligations under the Credit Agreement (including amounts outstanding under the existing term notes (discussed below) are secured by all tangible and intangible personal property (including accounts receivable, inventory, equipment, general intangibles, documents, chattel paper, instruments, letter-of-credit rights, investment property, intellectual property and deposit accounts) and fixtures of the Company.

On March 30, 2023, in connection with entering into the Credit Agreement, the Company amended each of the following promissory notes to replace the interest rate benchmark based on LIBOR and related LIBOR-based mechanics with an interest rate benchmark based on SOFR, with such amendments becoming effective upon the expiration of the then applicable interest period (the “Notes Amendment Effective Date”) and with the following terms:

•Promissory Note – Rustic Inn purchase – The principal amount of $4,400,000, which is secured by a mortgage on the Rustic Inn real estate, is payable in 27 equal quarterly installments of $71,333, commencing on September 1, 2018, with a balloon payment of $2,474,000 on June 1, 2025, and commencing on the Notes Amendment Effective Date, bears interest at SOFR plus 3.65% per annum.

•Promissory Note – JB's on the Beach purchase – On May 15, 2019, the Company issued a promissory note under the Revolving Facility to BHBM for $7,000,000, which is payable in 23 equal quarterly installments of $250,000, commencing on September 1, 2019, with a balloon payment of $1,250,000 on June 1, 2025, and commencing on the Notes Amendment Effective Date, bears interest at SOFR plus 3.65% per annum.

•Promissory Note – Sequoia renovation – Also on May 15, 2019, the Company converted $3,200,000 of Revolving Facility borrowings incurred in connection with the Sequoia renovation to a promissory note which is payable in 23 equal quarterly installments of $114,286, commencing on September 1, 2019, with a balloon payment of $571,429 on June 1, 2025, and commencing on the Notes Amendment Effective Date, bears interest at SOFR plus 3.65% per annum.

Promissory Note - Blue Moon Fish Company

On December 1, 2020, the Company acquired a restaurant and bar named Blue Moon Fish Company located in Lauderdale-by-the-Sea, FL. In connection with the purchase the Company entered into a four-year note held by the sellers in the amount of $1,000,000 payable in monthly installments of $23,029 including interest at 5%. This note was paid off in November 2024.

Deferred Financing Costs

Deferred financing costs incurred in the amount of $304,000 are being amortized over the life of the agreements using the effective interest rate method and included in interest expense. Amortization expense of approximately $13,000 and $14,000 is included in interest expense for the 13 weeks ended March 29, 2025 and March 30, 2024, respectively, and $26,000 and $27,000 for the 26 weeks ended March 29, 2025 and March 30, 2024, respectively.

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COMMITMENTS AND CONTINGENCIES

6 Months Ended

Mar. 29, 2025

Commitments and Contingencies Disclosure [Abstract]

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES

Leases — The Company leases several restaurants, bar facilities, and administrative headquarters through its subsidiaries under terms expiring at various dates through 2046. Most of the leases provide for the payment of base rents plus real estate taxes, insurance and other expenses and, in certain instances, for the payment of a percentage of the restaurant’s sales in excess of

stipulated amounts at such facility and in one instance based on profits. In connection with one of our leases, the Company obtained and delivered irrevocable letters of credit totaling approximately $324,000 as security deposits under such leases.

Legal Proceedings — In the ordinary course of its business, the Company is a party to various lawsuits arising from accidents at its restaurants and workers’ compensation claims, which are generally handled by the Company’s insurance carriers. The employment by the Company of management personnel, waiters, waitresses and kitchen staff at a number of different restaurants has resulted in the institution, from time to time, of litigation alleging violation by the Company of employment discrimination laws. Management believes, based in part on the advice of counsel, that the ultimate resolution of these matters will not have a material adverse effect on the Company’s consolidated financial position, results of operations or cash flows.

The Company's agreements with the Bryant Park Corporation (the “Landlord”), (a private non-profit corporation that operates and maintains Bryant Park under agreements with the City of New York Department of Parks & Recreation) for the Bryant Park Grill & Cafe expired on April 30, 2025 and for The Porch at Bryant Park expired on March 31, 2025. In July of 2023 (for the Bryant Park Grill & Cafe) and September of 2023 (for The Porch at Bryant Park), the Company received requests for proposals (the "RFPs") from the Landlord to which we responded on October 26, 2023. The agreements offered under the RFPs for both locations were for new 10-year agreements, with one five-year renewal option. In the second quarter of 2025, the Landlord stated publicly that it had selected a new operator for the Bryant Park Grill & Café and The Porch at Bryant Park. However, to the best of our knowledge, no agreements between the Landlord and the selected operator have received the approvals of either the City of New York Department of Parks & Recreation or the New York Public Library, both of which are required before any new lease can become effective.

Management has been working with outside advisors in assisting with our efforts to obtain the extensions by ensuring the RFP awards process was both fair and transparent. On March 28, 2025, we filed a complaint in New York State Supreme Court (the "Court"), alleging among other things, that the bid process conducted by the Landlord was defective, failed to comply with the provisions of the agreements underlying the Landlord’s right to operate Bryant Park and violated applicable law; that, a lease was being awarded to a lower bidder with a limited, unsuccessful track record in the hospitality business; and that the award of the Cafe lease violated our right of first lease under our lease agreements. As part of the relief sought, we are requesting that the Court declare that, under the circumstances presented, the Landlord was required to accept—and should have accepted —our submitted bids. In addition, on March 28, 2025, we also filed a motion for a preliminary injunction in Court to enjoin the Landlord from commencing legal proceedings to evict the Company from the Bryant Park Grill & Café and The Porch at Bryant Park premises. On April 24, 2025, the Court denied the motion. We have filed a notice of appeal of the ruling. On April 29, 2025, we also filed a motion for a preliminary injunction in the New York State Supreme Court, Appellate Division, First Department. That motion is now pending. While the Company has received a “notice to quit” the premises, no lawsuit has been commenced against the Company to terminate its tenancy.

As of the date of this filing, we continue to operate the above properties as a holdover tenant and intend to do so until we are either awarded the lease extensions or ordered to vacate the premises. The underlying lawsuit filed by the Company to protect its right continues, and we will pursue all available options to protect the Company's interests.

Management, after consultation with legal counsel, is unable to predict the outcome of this matter at this time. While the outcome of these proceedings cannot be predicted with certainty, The Bryant Park Grill & Cafe and The Porch at Bryant Park, collectively, accounted for $12.7 million and $13.6 million of our total revenues for the 26 weeks ended March 28, 2025 and March 29, 2024, respectively, which represented approximately 15.0% and 15.1% of our total revenue for such periods, respectively. The Company’s inability to extend or renew these leases on favorable terms, if at all, could have a material adverse effect on our business, financial condition, and results of operations.

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STOCK OPTIONS

6 Months Ended

Mar. 29, 2025

Share-Based Payment Arrangement [Abstract]

STOCK OPTIONS

STOCK OPTIONS

The Company has options outstanding under two stock option plans, the 2016 Stock Option Plan and the 2022 Stock Option Plan. Options granted under both plans are exercisable at prices at least equal to the fair market value of such stock on the dates the options were granted and expire 10 years after the date of grant.

On December 2, 2024, options to purchase 10,000 shares of common stock at an exercise price of $9.99 per share were granted to an employee of the Company under the 2022 Stock Option Plan. Such options are exercisable as to 25% of the shares commencing on the first anniversary of the date of grant and as to an additional 25% on each yearly anniversary thereafter. The grant date fair value of these stock options was $2.94 per share and totaled approximately $29,000.

The fair value of stock options is estimated on the date of grant using a Black-Scholes option-pricing model that uses assumptions that relate to the expected volatility of the Company’s common stock, the expected dividend yield of the Company’s stock, the expected life of the options and the risk-free interest rate. The assumptions used for the above include a risk-free interest rate of 4.1%, volatility of 34.1%, a dividend yield of 3.7% and an expected life of 10 years.

During the 26-week period ended March 30, 2024, no options to purchase shares of common stock were issued by the Company.

The Company also maintains a Section 162(m) Cash Bonus Plan. Under the Company's Section 162(m) Cash Bonus Plan, compensation paid in excess of $1,000,000 to any employee who is the chief executive officer or one of the three highest paid executive officers on the last day of that tax year (other than the chief executive officer or the chief financial officer) is not tax deductible.

A summary of stock option activity is presented below:

	2025
	Shares	Weighted Average Exercise Price	Weighted Average Contractual Term	Aggregate Intrinsic Value
Outstanding, beginning of period	415,750	$17.89	6.3 years
Options:
Granted	10,000	$9.99
Exercised	(2,000)	$10.65
Canceled or expired	—
Outstanding and expected to vest,    end of period	423,750	$17.50	6.0 years	$	—
Exercisable, end of period	336,875	$18.54	5.2 years	$	—
Shares available for future grant	336,875

Compensation cost charged to operations for the 13 weeks ended March 29, 2025 and March 30, 2024 for share-based compensation programs was approximately $39,000 and $68,000, respectively, and for the 26 weeks ended March 29, 2025 and March 30, 2024 was approximately $81,000 and $145,000, respectively. The compensation cost recognized is classified as a general and administrative expense in the consolidated condensed statements of operations.

As of March 29, 2025, there was approximately $411,000 of unrecognized compensation cost related to unvested stock options, which is expected to be recognized over a period of 3.7 years.

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INCOME TAXES

6 Months Ended

Mar. 29, 2025

Income Tax Disclosure [Abstract]

INCOME TAXES

INCOME TAXES

We calculate our interim income tax provision in accordance with ASC Topic 270, Interim Reporting and ASC Topic 740, Accounting for Income Taxes. At the end of each interim period, we estimate the annual effective tax rate and apply that rate to our ordinary year to date earnings. In addition, the tax effects of unusual or infrequently occurring items including changes in judgment about valuation allowances and effects of changes in enacted tax laws are recognized discretely in the interim period in which the change occurs. The computation of the annual estimated effective tax rate at each interim period requires certain estimates and significant judgment including the expected operating income for the year, permanent and temporary differences as a result of differences between amounts measured and recognized in accordance with tax laws and financial accounting standards, and the likelihood of recovering deferred tax assets generated in the current fiscal year. The accounting estimates used to compute income tax expense may change as new events occur, additional information is obtained, or the tax environment changes.

The provision for income taxes for the 13- and 26-week periods ended March 29, 2025 was $4,434,000 and $4,938,000, respectively and the effective tax rates were 569.0% and 94%, respectively. The effective tax rates differed from the federal statutory rate of 21% primarily due to a discrete tax provision of $4,799,000 as the Company has now concluded that its net deferred tax assets were no longer realizable on a more-likely-than-not basis as the Company is now in a cumulative loss position due to the goodwill impairment recorded in the current quarter.

The provision (benefit) for income taxes for the 13- and 26-week periods ended March 30, 2024 were ($147,000) and $11,000, respectively and the effective tax rates were (10.9%) and 2.7%, respectively. The effective tax rate differed from the federal statutory rate of 21% primarily as a result of the recognition of certain tax benefits related to the expected generation of FICA tax credits in the current year, operating income attributable to non-controlling interests that is not taxable to the Company, and the discrete tax benefit attributable to income related to the PPP Loan forgiveness which is not taxable for income tax reporting purposes.

The Company’s overall effective tax rate in the future will be affected by various factors and the final annual tax rate cannot be determined until the end of the fiscal year; therefore, the actual tax rate could differ from current estimates.

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INCOME PER SHARE OF COMMON STOCK

6 Months Ended

Mar. 29, 2025

Earnings Per Share [Abstract]

INCOME PER SHARE OF COMMON STOCK

INCOME PER SHARE OF COMMON STOCK

Basic earnings per share is computed by dividing net income (loss) attributable to Ark Restaurants Corp. by the weighted average number of common shares outstanding for the period. Our diluted earnings per share is computed similarly to basic earnings per share, except that it reflects the effect of common shares issuable upon exercise of stock options, using the treasury stock method in periods in which they have a dilutive effect.

A reconciliation of shares used in calculating earnings per basic and diluted share follows (amounts in thousands):

	13 Weeks Ended		26 Weeks Ended
	March 29, 2025	March 30, 2024	March 29, 2025	March 30, 2024
Basic	3,605	3,604	3,604	3,604
Effect of dilutive securities:
Stock options	—	—	—	—
Diluted	3,605	3,604	3,604	3,604

For the 13- and 26-week periods ended March 29, 2025, the dilutive effect of 423,750 options was not included in diluted earnings per share as their impact would be anti-dilutive.

For the 13- and 26-week periods ended March 30, 2024, the dilutive effect of 471,250 options was not included in diluted earnings per share as their impact would have been anti-dilutive.

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Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 29, 2025	Mar. 30, 2024	Mar. 29, 2025	Mar. 30, 2024
Pay vs Performance Disclosure
Net Income (Loss) Attributable to Parent	$ (9,258)	$ (1,449)	$ (6,094)	$ (79)

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Insider Trading Arrangements	3 Months Ended
	Mar. 29, 2025
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

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BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Policies)

6 Months Ended

Mar. 29, 2025

Accounting Policies [Abstract]

BASIS OF PRESENTATION

The consolidated condensed balance sheet as of September 28, 2024, which has been derived from the audited consolidated financial statements included in the Company’s annual report on Form 10-K for the year ended September 28, 2024 (“Form 10-K”), and the unaudited interim consolidated condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted. All adjustments of a normal, recurring nature that, in the opinion of management are necessary for a fair presentation for the periods presented, have been reflected as required by Article 10 of Regulation S-X. These consolidated condensed financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Form 10-K.

PRINCIPLES OF CONSOLIDATION

PRINCIPLES OF CONSOLIDATION — The consolidated condensed financial statements include the accounts of Ark Restaurants Corp. and all of its wholly-owned subsidiaries, partnerships and other entities in which it has a controlling interest, collectively herein referred to as the “Company”.

USE OF ESTIMATES

USE OF ESTIMATES — The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities, at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates are used for, but are not limited to: (i) projected cash flows related to asset impairments, including goodwill and intangibles, (ii) income tax valuation allowances for deferred tax assets, (iii) allowances for potential credit losses on receivables, (iv) assumptions regarding discount rates related to lease accounting, (v) the useful lives and recoverability of our long-lived assets, such as fixed assets and intangibles, (vi) fair values of financial instruments, (vii) share-based compensation, (viii) estimates made in connection with acquisition purchase price allocations, (ix) uncertain tax positions, and (x) determining when investment impairments are other-than-temporary. The Company’s accounting estimates require the use of judgment as future events and the effect of these events cannot be predicted with certainty. The accounting estimates may change as new events occur, as more experience is acquired and as more information is obtained. The Company evaluates and updates assumptions and estimates on an ongoing basis and may use outside experts to assist in the Company’s evaluation, as considered necessary. Because of the uncertainty in such estimates, actual results may differ from these estimates. The results of operations for the 13 and 26 weeks ended March 29, 2025 are not necessarily indicative of the results to be expected for any other interim period or for the year ending September 27, 2025.

NON-CONTROLLING INTERESTS

NON-CONTROLLING INTERESTS — Non-controlling interests represent capital contributions from, distributions to and income and loss attributable to the shareholders of less than wholly-owned and consolidated entities.

SEASONALITY

SEASONALITY — The Company has substantial fixed costs that do not decline proportionally with sales. Although our business is highly seasonal, our broader geographical reach as a result of prior acquisitions mitigates some of this risk. For instance, the second quarter of our fiscal year, consisting of the non-holiday portion of the cold weather season in New York and Washington D.C. (January, February and March), is the poorest performing quarter; however, in recent years this has been partially offset by our locations in Florida as they experience increased results in the winter months. We generally achieve our best results during the warmer weather, attributable to our extensive outdoor dining availability, particularly at Bryant Park in New York and Sequoia in Washington, D.C. (our largest restaurants) and our outdoor cafes. However, even during summer months these facilities can be adversely affected by unusually cool or rainy weather conditions. Our facilities in Las Vegas are indoor and generally operate on a more consistent basis throughout the year, although in recent years the summer months have seen lower traffic.

FAIR VALUE OF FINANCIAL INSTRUMENTS

FAIR VALUE OF FINANCIAL INSTRUMENTS — The carrying amount of cash and cash equivalents, receivables and accounts payable approximate fair value due to the immediate or short-term maturity of these financial instruments. The fair values of notes receivable and payable are determined using current applicable rates for similar instruments as of the consolidated condensed balance sheet date and approximate the carrying value of such debt instruments.

CASH AND CASH EQUIVALENTS

CASH AND CASH EQUIVALENTS — Cash and cash equivalents include cash on hand, deposits with banks and highly-liquid investments generally with original maturities of three months or less. Outstanding checks in excess of account balances, typically vendor payments, payroll and other contractual obligations disbursed after the last day of a reporting period are reported as a current liability in the accompanying consolidated condensed balance sheets.

CONCENTRATIONS OF CREDIT RISK

CONCENTRATIONS OF CREDIT RISK — Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents and accounts receivable. The Company reduces credit risk by placing its cash and cash equivalents with major financial institutions with high credit ratings. At times, such amounts may exceed federally insured limits. Accounts receivable is primarily comprised of normal business receivables such as credit card receivables that are paid in a short period of time and other receivables from hotel operators where the Company has a location and are recorded upon satisfaction of the performance obligation. The Company reviews the collectability of its receivables on an ongoing basis, and has not provided for an allowance as it considers all of the counterparties will be able to meet their obligations. The concentration of credit risk with respect to accounts receivable is generally limited due to the short payment terms extended by the Company and the number of customers comprising the Company’s customer base.

GOODWILL AND TRADEMARKS

GOODWILL AND TRADEMARKS — Goodwill and trademarks are not amortized, but are subject to impairment analysis. We assess the potential impairment of goodwill and trademarks annually (at the end of our fourth quarter) and on an interim basis whenever events or changes in circumstances indicate that the carrying value may not be recoverable. If we determine through the impairment review process that goodwill or trademarks are impaired, we record an impairment charge in our consolidated condensed statements of operations.

During the three months ended March 29, 2025, the Company identified a triggering event in accordance with the Financial Accounting Standards Board (“FASB”), Accounting Standards Update ("ASU") 350-20, “Intangibles—Goodwill and Other,” primarily related to a decline in the Company's stock price in the second quarter of fiscal 2025 and the continued uncertainty related to the expiration of the Bryant Park Grill & Cafe and The Porch at Bryant Park leases (see Note 8 - Commitments and Contingencies). As a result, the Company performed an interim quantitative impairment test and based on the results of the assessment, the fair value of our equity was determined to be less than its carrying amount. Accordingly, the Company recognized a non-cash impairment charge of the remaining balance of its goodwill in the amount of $3,440,000 in our consolidated condensed statements of operations for the 13 and 26 weeks ended March 29, 2025. The Company did not record any impairment to its goodwill during the 13 and 26 weeks ended March 30, 2024.

Our impairment analysis for trademarks consists of a comparison of the fair value to the carrying value of the assets. This comparison is made based on a review of historical, current and forecasted sales and profit levels, as well as a review of any factors that may indicate potential impairment.

LONG-LIVED AND RIGHT-OF-USE ASSETS

LONG-LIVED AND RIGHT-OF-USE ASSETS — Long-lived assets, such as property, plant and equipment, purchased intangibles subject to amortization, and right-of-use assets ("ROU assets") are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. In the evaluation of the fair value and future benefits of long-lived assets, the Company performs an analysis of the anticipated undiscounted future net cash flows of the related long-lived assets. If the carrying value of the related asset exceeds the undiscounted cash flows, the carrying value is reduced to its fair value. Various factors including estimated future sales growth and estimated profit margins are included in this analysis.

Based on the results of this evaluation, no impairment charges were recognized related to long-lived assets or ROU assets during the 13 and 26 weeks ended March 29, 2025 and March 30, 2024. Given the inherent uncertainty in projecting results of restaurants under the current circumstances, the Company is monitoring the recoverability of the carrying value of the assets of several restaurants on an ongoing basis. For these restaurants, if expected performance is not realized, an impairment charge may be recognized in future periods, and such charge could be material.

REVENUE RECOGNITION

REVENUE RECOGNITION — We recognize revenue upon the satisfaction of our performance obligation by transferring control over a product or service to a restaurant guest or other customer. Revenues from restaurant operations are presented net of discounts, coupons, employee meals and complimentary meals and recognized when food, beverage and retail products are sold. Sales tax collected from customers is excluded from sales and the obligation is included in sales tax payable until the taxes are remitted to the appropriate taxing authorities. Catering service revenue is generated through contracts with customers whereby the customer agrees to pay a contract rate for the service. Revenues from catered events are recognized in income upon satisfaction of the performance obligation (the date the event is held) and all customer payments, including nonrefundable upfront deposits, are deferred as a contract liability until such time. We recognized $1,812,000 and $2,203,000 in catering services revenue for the 13-week periods ended March 29, 2025 and March 30, 2024, respectively, and $7,718,000 and $8,617,000 for the 26-week periods ended March 29, 2025 and March 30, 2024, respectively. Unearned revenue, which is included in accrued expenses and other current liabilities on the consolidated condensed balance sheets, as of March 29, 2025 and September 28, 2024 was $3,310,000 and $4,382,000, respectively.

Revenues from gift cards are deferred and recognized upon redemption. Deferrals are not reduced for potential non-use as we generally have a legal obligation to remit the value of unredeemed gift cards to the relevant jurisdictions in which they are sold. As of March 29, 2025 and September 28, 2024, the total liability for gift cards in the amounts of approximately $468,000 and $401,000, respectively, are included in accrued expenses and other current liabilities in the consolidated condensed balance sheets.

Other revenues include merchandise sales, rental income, property management fees and other rentals as well as, in 2024, purchase service fees which represent commissions earned for providing services to other restaurant groups.

LEASES

LEASES — We determine if an arrangement contains a lease at inception. An arrangement contains a lease if it implicitly or explicitly identifies an asset to be used and conveys the right to control the use of the identified asset in exchange for consideration. As a lessee, we include operating leases in Operating lease ROU assets and Operating lease liabilities in our consolidated condensed balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized upon commencement of the lease based on the present value of the lease payments over the lease term. As most of our leases do not provide an implicit interest rate, we use our incremental borrowing rate based on the information available at commencement date to determine the present value of lease payments. Our lease terms may include options to extend or terminate the lease.  Options are included when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Amendments or modifications to lease terms are accounted for as variable lease payments. Leases with a lease term of 12 months or less are accounted for using the practical expedient which allows for straight-line rent expense over the remaining term of the lease.

SEGMENT REPORTING

SEGMENT REPORTING — As of March 29, 2025, the Company owned and operated 16 restaurants and bars, 12 fast food concepts and catering operations, exclusively in the United States, that have similar economic characteristics, nature of products and services, class of customers and distribution methods. The Company believes it meets the criteria for aggregating its operating components into a single operating segment in accordance with applicable accounting guidance.

RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS — In November 2024, the FASB issued Accounting Standards Update (“ASU”) No. 2024-03 Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (“ASU 2024-03”) to expand expense disclosures by requiring disaggregated disclosure of certain income statement expense line items, including those that contain purchases of inventory, employee compensation, depreciation and amortization. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, or our fiscal 2028, and subsequent interim periods, with early adoption permitted. The amendments should be applied prospectively, but retrospective application is permitted. We are currently assessing the impact of the requirements on our consolidated financial statements and disclosures.

In December 2023, the FASB issued ASU No. 2023-09 Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”) which enhances transparency about income tax information through improvements to income tax disclosures primarily related to the rate reconciliation and income taxes paid and to improve the effectiveness of income tax disclosures. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, which is for fiscal year 2026 and interim periods beginning in the first quarter of fiscal 2027, with early adoption permitted. The amendments may be applied prospectively or

retrospectively with early adoption permitted. We are currently assessing the impact of the requirements on our consolidated financial statements and disclosures.

In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. The amendments in this update are intended to improve reportable segment disclosure requirements primarily through enhanced disclosures about significant segment expenses. ASU 2023-07 is effective for public entities for fiscal years beginning after December 15, 2023, which is for fiscal year 2025 and interim periods beginning in the first quarter of fiscal 2026, with early adoption permitted. The adoption of this guidance is not expected to have a material impact to our consolidated financial statements and disclosures.

In October 2023, the FASB issued ASU 2023-06, Disclosure Improvements: Codification Amendment in Response to the SEC’s Disclosure Update and Simplification Initiative. The ASU incorporates several disclosure and presentation requirements currently residing in the SEC Regulations S-X and S-K. The amendments will be applied prospectively and are effective when the SEC removes the related requirements from Regulations S-X or S-K. Any amendments the SEC does not remove by June 30, 2027 will not be effective. As we are currently subject to these SEC requirements, this ASU is not expected to have a material impact on our consolidated financial statements or related disclosures.

No other new accounting pronouncements issued or effective as of March 29, 2025 have had or are expected to have a material impact on our consolidated financial statements.

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ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables)

6 Months Ended

Mar. 29, 2025

Payables and Accruals [Abstract]

Schedule of Accrued Expenses And Other Current Liabilities

Accrued expenses and other current liabilities consist of the following:

	March 29, 2025		September 28, 2024
	(In thousands)
Sales tax payable	$	874	$	761
Accrued wages and payroll related costs	3,125		4,548
Customer advance deposits	3,310		4,382
Accrued occupancy and other operating expenses	2,777		2,354
	$	10,086	$	12,045

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LEASES (Tables)

6 Months Ended

Mar. 29, 2025

Leases [Abstract]

Schedule of Lease Cost

The components of lease expense in the consolidated condensed statements of operations are as follows:

	13 Weeks Ended				26 Weeks Ended
	March 29, 2025		March 30, 2024		March 29, 2025		March 30, 2024
	(In thousands)				(In thousands)
Operating lease expense - occupancy expenses (1)	$	3,293	$	3,469	$	6,675	$	6,923
Occupancy lease expense - general and   administrative expenses	121		122		242		244
Variable lease expense - occupancy expenses	703		747		1,955		2,124
Total lease expense	$	4,117	$	4,338	$	8,872	$	9,291

_________________________________

(1)    Includes short-term leases, which are immaterial.

Supplemental cash flow information related to leases:

	26 Weeks Ended
	March 29, 2025		March 30, 2024
	(In thousands)
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows related to operating leases	$	8,876	$	9,161

The weighted average remaining lease terms and discount rates are as follows:

	March 29, 2025		September 28, 2024
Operating leases:
Weighted average remaining lease term	11.3 years		11.5 years
Weighted average discount rate	6.3	%	6.3	%

Schedule of Annual Maturities of Lease Liabilities

The annual maturities of our lease liabilities as of March 29, 2025 are as follows:

	Operating Leases
Fiscal Year Ending	(In thousands)
September 27, 2025	$	5,684
October 3, 2026	11,329
October 2, 2027	11,123
September 30, 2028	11,197
September 29, 2029	11,095
Thereafter	67,864
Total future lease commitments	118,292
Less: imputed interest	(32,981)
Present value of lease liabilities	$	85,311

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NOTES PAYABLE (Tables)

6 Months Ended

Mar. 29, 2025

Debt Disclosure [Abstract]

Schedule of Debt

Notes payable consist of the following:

	March 29, 2025		September 28, 2024
	(In thousands)
Promissory Note - Rustic Inn purchase	$	2,474	$	2,617
Promissory Note - JB's on the Beach purchase	1,250		1,750
Promissory Note - Sequoia renovation	571		800
Promissory Note - Blue Moon Fish Company	—		68
	4,295		5,235
Less: Current maturities	(4,280)		(5,193)
Less: Unamortized deferred financing costs	(15)		(42)
Long-term portion	$	—	$	—

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STOCK OPTIONS (Tables)

6 Months Ended

Mar. 29, 2025

Share-Based Payment Arrangement [Abstract]

Schedule of Option Activity

A summary of stock option activity is presented below:

	2025
	Shares	Weighted Average Exercise Price	Weighted Average Contractual Term	Aggregate Intrinsic Value
Outstanding, beginning of period	415,750	$17.89	6.3 years
Options:
Granted	10,000	$9.99
Exercised	(2,000)	$10.65
Canceled or expired	—
Outstanding and expected to vest,    end of period	423,750	$17.50	6.0 years	$	—
Exercisable, end of period	336,875	$18.54	5.2 years	$	—
Shares available for future grant	336,875

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INCOME PER SHARE OF COMMON STOCK (Tables)

6 Months Ended

Mar. 29, 2025

Earnings Per Share [Abstract]

Schedule of Calculation of Numerator and Denominator in Earnings per Share

A reconciliation of shares used in calculating earnings per basic and diluted share follows (amounts in thousands):

	13 Weeks Ended		26 Weeks Ended
	March 29, 2025	March 30, 2024	March 29, 2025	March 30, 2024
Basic	3,605	3,604	3,604	3,604
Effect of dilutive securities:
Stock options	—	—	—	—
Diluted	3,605	3,604	3,604	3,604

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BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES (Details)	3 Months Ended		6 Months Ended		12 Months Ended
	Mar. 29, 2025 USD ($) restaurant lender	Mar. 30, 2024 USD ($)	Mar. 29, 2025 USD ($) restaurant lender	Mar. 30, 2024 USD ($)	Sep. 28, 2024 USD ($)
Business And Summary Of Significant Accounting Policies [Line Items]
Goodwill impairment	$ 3,440,000	$ 0	$ 3,440,000	$ 0
Impairment of long-lived assets	0	0	0	0
Impairment for right of use assets	0	0	0	0
Revenues	39,725,000	42,257,000	84,714,000	89,743,000
Customer advance deposits	3,310,000		3,310,000		$ 4,382,000
Gift cards liability	$ 468,000		$ 468,000		$ 401,000
Revolving Credit Facility | Line of Credit | Credit Agreement
Business And Summary Of Significant Accounting Policies [Line Items]
Number of lenders | lender	1		1
Restaurants and Bars
Business And Summary Of Significant Accounting Policies [Line Items]
Number of restaurants | restaurant	16		16
Fast Food Concepts and Catering Operations
Business And Summary Of Significant Accounting Policies [Line Items]
Number of restaurants | restaurant	12		12
Catering Services
Business And Summary Of Significant Accounting Policies [Line Items]
Revenues	$ 1,812,000	$ 2,203,000	$ 7,718,000	$ 8,617,000
Purchases | Supplier Concentration Risk | One Vendor
Business And Summary Of Significant Accounting Policies [Line Items]
Concentration risk	12.00%	13.00%	11.00%	12.00%
One Hotel Operator | Accounts Receivable | Customer Concentration Risk
Business And Summary Of Significant Accounting Policies [Line Items]
Concentration risk			49.00%		52.00%

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RECENT RESTAURANT EXPANSION AND OTHER DEVELOPMENTS (Details) $ in Thousands		3 Months Ended	6 Months Ended		32 Months Ended	33 Months Ended
	Nov. 11, 2024 USD ($)	Mar. 29, 2025 USD ($)	Mar. 29, 2025 USD ($)	Mar. 30, 2024 USD ($)	Mar. 29, 2025 USD ($)	Mar. 29, 2025 USD ($)	Jul. 21, 2022 USD ($) premise location	Jun. 24, 2022 USD ($)
Business Acquisition [Line Items]
Payments for lease improvements		$ 118,292	$ 118,292		$ 118,292	$ 118,292
Operating cash flows related to operating leases			8,876	$ 9,161
Lease extensions, number of locations | location							2
Lessee improvements, number of premises | premise							3
Immediate Family Member of Management or Principal Owner
Business Acquisition [Line Items]
Payments for capital improvements		$ 0	$ 34
America
Business Acquisition [Line Items]
Operating cash flows related to operating leases						$ 175
America | Minimum
Business Acquisition [Line Items]
Payments for lease improvements								$ 4,000
Village Eateries | Minimum
Business Acquisition [Line Items]
Payments for lease improvements							$ 3,500
Luck Pig
Business Acquisition [Line Items]
Payments for capital improvements	$ 700
Broadway Burger Bar And Grill, Gonzalez Y Gonzalez
Business Acquisition [Line Items]
Payments for capital improvements					$ 650

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RECENT RESTAURANT DISPOSITIONS AND OTHER DEVELOPMENTS - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended		12 Months Ended
	Mar. 29, 2025	Dec. 28, 2024	Mar. 30, 2024	Mar. 29, 2025	Mar. 30, 2024	Sep. 28, 2024
Recent Restaurant Dispositions [Line Items]
Gain (loss) from restaurant disposition	$ 140		$ 0	$ (5)	$ 0
Operating losses	4,617		1,202	(1,073)	(401)
Proceeds from termination of lease		$ 5,500		5,500	0
Gain on termination, net of expenses	0	$ 5,235	$ 0	5,235	$ 0
Gain from contract termination, distributed to equity holders	1,710
Ark Hollywood/Tampa Investment LLC
Recent Restaurant Dispositions [Line Items]
Ownership percentage by parent		65.00%
El Rio Grande | Disposal Group, Disposed of by Means Other than Sale, Not Discontinued Operations
Recent Restaurant Dispositions [Line Items]
Gain (loss) from restaurant disposition	$ 140					$ (876)
Additional loss from restaurant disposition				$ (5)
Operating losses		$ 145

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INVESTMENT IN AND RECEIVABLE FROM NEW MEADOWLANDS RACETRACK (Details) $ in Thousands				1 Months Ended	3 Months Ended		6 Months Ended		12 Months Ended
	Apr. 25, 2014 USD ($)	Nov. 19, 2013 USD ($)	Mar. 12, 2013 USD ($)	Feb. 28, 2017 USD ($)	Mar. 29, 2025 USD ($) restaurant	Mar. 30, 2024 USD ($)	Mar. 29, 2025 USD ($) restaurant	Mar. 30, 2024 USD ($)	Dec. 31, 2015 USD ($)	Sep. 28, 2024 USD ($)	Nov. 19, 2023
Related Party Transaction [Line Items]
Distributions					$ 0	$ 0	$ 0	$ 26
Restaurants excluded from exclusive right (in restaurants) | restaurant					1		1
Related Party | Ark Meadowlands LLC
Related Party Transaction [Line Items]
Other receivables					$ 13		$ 13			$ 16
New Meadowlands Racetrack LLC
Related Party Transaction [Line Items]
Payments to acquire businesses			$ 4,200
Ownership percentage											7.40%
Payments to acquire additional interest in subsidiaries		$ 464		$ 222					$ 222
Long-term investments				$ 5,108
Distributions					0	$ 0	0	$ 26
Meadowlands Newmark LLC
Related Party Transaction [Line Items]
Ownership percentage		11.60%	63.70%
Loans to related party	$ 1,500
Interest rate	3.00%
Principal and accrued interest					$ 1,464		$ 1,464			$ 1,442
Ark Meadowlands LLC
Related Party Transaction [Line Items]
Ownership percentage by parent					97.00%		97.00%
Profit participation percentage							5.00%

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ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands	Mar. 29, 2025	Sep. 28, 2024
Payables and Accruals [Abstract]
Sales tax payable	$ 874	$ 761
Accrued wages and payroll related costs	3,125	4,548
Customer advance deposits	3,310	4,382
Accrued occupancy and other operating expenses	2,777	2,354
Accrued expenses and other current liabilities	$ 10,086	$ 12,045

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LEASES - Narrative (Details)	Mar. 29, 2025	Sep. 30, 2023	Jul. 31, 2023
Lessor, Lease, Description [Line Items]
Lease term		10 years	10 years
Minimum
Lessor, Lease, Description [Line Items]
Lease term	10 years
Maximum
Lessor, Lease, Description [Line Items]
Lease term	25 years

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LEASES - Schedule of Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 29, 2025	Mar. 30, 2024	Mar. 29, 2025	Mar. 30, 2024	Sep. 28, 2024
Lease, Lease Expenses [Abstract]
Operating lease expense - occupancy expenses	$ 3,293	$ 3,469	$ 6,675	$ 6,923
Occupancy lease expense - general and administrative expenses	121	122	242	244
Variable lease expense - occupancy expenses	703	747	1,955	2,124
Total lease expense	$ 4,117	$ 4,338	8,872	9,291
Lease, Supplemental Cash Flow [Abstract]
Operating cash flows related to operating leases			$ 8,876	$ 9,161
Lease, Weighted Average Remaining Lease Term And Discount Rate [Abstract]
Weighted average remaining lease term	11 years 3 months 18 days		11 years 3 months 18 days		11 years 6 months
Weighted average discount rate	6.30%		6.30%		6.30%

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LEASES -Schedule of Annual Maturities of Lease Liabilities (Details) $ in Thousands	Mar. 29, 2025 USD ($)
Leases [Abstract]
September 27, 2025	$ 5,684
October 3, 2026	11,329
October 2, 2027	11,123
September 30, 2028	11,197
September 29, 2029	11,095
Thereafter	67,864
Total future lease commitments	118,292
Less: imputed interest	(32,981)
Present value of lease liabilities	$ 85,311

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NOTES PAYABLE - Schedule of Long-term Debt (Details) - USD ($) $ in Thousands	Mar. 29, 2025	Sep. 28, 2024
Debt Instrument [Line Items]
Notes payable	$ 4,295	$ 5,235
Less: Current maturities	(4,280)	(5,193)
Less: Unamortized deferred financing costs	(15)	(42)
Long-term portion	0	0
Promissory Note - Rustic Inn purchase
Debt Instrument [Line Items]
Notes payable	2,474	2,617
Promissory Note - JB's on the Beach purchase
Debt Instrument [Line Items]
Notes payable	1,250	1,750
Promissory Note - Sequoia renovation
Debt Instrument [Line Items]
Notes payable	571	800
Promissory Note - Blue Moon Fish Company
Debt Instrument [Line Items]
Notes payable	$ 0	$ 68

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NOTES PAYABLE - Narrative (Details)					3 Months Ended		6 Months Ended
	Mar. 30, 2023 USD ($)	Dec. 01, 2020 USD ($)	May 15, 2019 USD ($) installment	Sep. 01, 2018 USD ($) installment	Mar. 29, 2025 USD ($)	Mar. 30, 2024 USD ($)	Mar. 29, 2025 USD ($)	Mar. 30, 2024 USD ($)	Sep. 28, 2024 USD ($)
Debt Instrument [Line Items]
Notes payable					$ 4,295,000		$ 4,295,000		$ 5,235,000
Deferred financing costs incurred					304,000		304,000
Amortization					13,000	$ 14,000	26,000	$ 27,000
Promissory Note - Rustic Inn purchase
Debt Instrument [Line Items]
Notes payable					2,474,000		2,474,000		2,617,000
Promissory Note - JB's on the Beach purchase
Debt Instrument [Line Items]
Notes payable					1,250,000		1,250,000		1,750,000
Promissory Note - Sequoia renovation
Debt Instrument [Line Items]
Notes payable					$ 571,000		$ 571,000		$ 800,000
Revolving Credit Facility | Promissory Note - Rustic Inn purchase
Debt Instrument [Line Items]
Basis spread on variable rate	3.65%
Face amount				$ 4,400,000
Number of installments | installment				27
Periodic payment				$ 71,333
Balloon payment to be paid				$ 2,474,000
Revolving Credit Facility | Promissory Note - JB's on the Beach purchase
Debt Instrument [Line Items]
Basis spread on variable rate	3.65%
Number of installments | installment			23
Periodic payment			$ 250,000
Balloon payment to be paid			1,250,000
Notes payable			$ 7,000,000
Revolving Credit Facility | Promissory Note - Sequoia renovation
Debt Instrument [Line Items]
Basis spread on variable rate	3.65%
Number of installments | installment			23
Periodic payment			$ 114,286
Balloon payment to be paid			571,429
Notes payable			$ 3,200,000
Prior Credit Agreement
Debt Instrument [Line Items]
Repayment of notes	$ 6,666,000
Credit Agreement | Line of Credit
Debt Instrument [Line Items]
Maximum borrowing capacity	10,000,000
Credit Agreement | Line of Credit | Revolving Credit Facility
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 1,000,000
Annum fee for unused portion	0.30%
Weighted average interest rate					8.00%		8.00%
Credit Agreement | Line of Credit | Revolving Credit Facility | Prime Rate
Debt Instrument [Line Items]
Basis spread on variable rate	0.45%
Credit Agreement | Line of Credit | Revolving Credit Facility | Secured Overnight Financing Rate (SOFR)
Debt Instrument [Line Items]
Basis spread on variable rate	3.65%
Promissory Note - Blue Moon Fish Company | Notes Payable, Other Payables | Blue Moon Fish Company
Debt Instrument [Line Items]
Weighted average interest rate		5.00%
Face amount		$ 1,000,000
Periodic payment		$ 23,029
Debt instrument, term		4 years

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COMMITMENTS AND CONTINGENCIES (Details) $ in Thousands	1 Months Ended		3 Months Ended		6 Months Ended
	Sep. 30, 2023 option	Jul. 31, 2023 option	Mar. 29, 2025 USD ($) lease	Mar. 30, 2024 USD ($)	Mar. 29, 2025 USD ($) lease	Mar. 30, 2024 USD ($)
Other Commitments [Line Items]
Leases with security deposits (in leases) | lease			1		1
Letters of credit			$ 324		$ 324
Lease term	10 years	10 years
Number of renewal options | option	1	1
Lease renewal term	5 years	5 years
Total revenues			$ 39,725	$ 42,257	84,714	$ 89,743
Bryant Park Grill & Cafe and The Porch at Bryant Park
Other Commitments [Line Items]
Total revenues					$ 12,700	$ 13,600
Revenue from Contract with Customer Benchmark | Location Concentration Risk | Bryant Park Grill & Cafe and The Porch at Bryant Park
Other Commitments [Line Items]
Concentration risk					15.00%	15.10%

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STOCK OPTIONS - Narrative (Details) $ / shares in Units, $ in Thousands		3 Months Ended		6 Months Ended
	Dec. 02, 2024 USD ($) $ / shares shares	Mar. 29, 2025 USD ($)	Mar. 30, 2024 USD ($)	Mar. 29, 2025 USD ($) plan $ / shares shares	Mar. 30, 2024 USD ($) shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of stock option plans | plan				2
Granted (in shares) | shares	10,000			10,000
Granted price (in dollars per share) | $ / shares	$ 9.99			$ 9.99
Grant date fair value (in dollars per share) | $ / shares	$ 2.94
Grant date fair value	$ 29
Risk free interest rate, maximum				4.10%
Volatility rate				34.10%
Dividend yield				3.70%
Expected term				10 years
Maximum amount of compensation paid under cash bonus plan				$ 1,000
Share-based compensation expense		$ 39	$ 68	81	$ 145
Unrecognized compensation cost		$ 411		$ 411
Unrecognized compensation recognition period				3 years 8 months 12 days
Employee Stock Option
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Granted (in shares) | shares					0
Employee Stock Option | Tranche One
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Vesting percentage	25.00%
Employee Stock Option | Tranche Two
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Vesting percentage	25.00%
2016 Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Expiration period				10 years

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STOCK OPTIONS- Schedule of Stock Options Activity (Details) - USD ($) $ / shares in Units, $ in Thousands		6 Months Ended	12 Months Ended
	Dec. 02, 2024	Mar. 29, 2025	Sep. 28, 2024
Shares
Outstanding, beginning of period (in shares)		415,750
Granted (in shares)	10,000	10,000
Exercised (in shares)		(2,000)
Canceled or expired (in shares)		0
Outstanding and expected to vest, end of period (in shares)		423,750	415,750
Exercisable, end of period (in shares)		336,875
Shares available for future grant (in shares)		336,875
Weighted Average Exercise Price
Outstanding, beginning of period (in dollars per share)		$ 17.89
Granted (in dollars per share)	$ 9.99	9.99
Exercised (in dollars per share )		10.65
Outstanding and expected to vest, end of period (in dollars per share)		17.50	$ 17.89
Exercisable, end of period (in dollars per share)		$ 18.54
Weighted Average Contractual Term
Outstanding		6 years	6 years 3 months 18 days
Exercisable, end of period		5 years 2 months 12 days
Aggregate Intrinsic Value
Outstanding and expected to vest, end of period		$ 0
Exercisable, end of period		$ 0

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INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Mar. 29, 2025	Mar. 30, 2024	Mar. 29, 2025	Mar. 30, 2024
Income Tax Disclosure [Abstract]
Provision (benefit) for income taxes	$ 4,434	$ (147)	$ 4,938	$ 11
Effective income tax rate, including discrete tax provision	569.00%		94.00%
Discrete tax provision			$ 4,799
Effective income tax rate		10.90%		2.70%

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INCOME PER SHARE OF COMMON STOCK - Schedule of Calculation of Numerator and Denominator in Earnings per Share (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Mar. 29, 2025	Mar. 30, 2024	Mar. 29, 2025	Mar. 30, 2024
Earnings Per Share [Abstract]
Basic (in shares)	3,605	3,604	3,604	3,604
Effect of dilutive securities:
Stock options (in shares)	0	0	0	0
Diluted (in shares)	3,605	3,604	3,604	3,604

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INCOME PER SHARE OF COMMON STOCK - Narrative (Details) - shares	3 Months Ended		6 Months Ended
	Mar. 29, 2025	Mar. 30, 2024	Mar. 29, 2025	Mar. 30, 2024
Earnings Per Share [Abstract]
Shares excluded from computation of earning per share (in shares)	423,750	471,250	423,750	471,250