Will Forsberg's questions to GEN Restaurant Group (GENK) leadership • Q2 2025
Question
Will Forsberg of Craig-Hallum Capital Group LLC inquired about the same-store sales trend during Q2 and into July, the mix of traffic versus check, the performance of recent new restaurant openings including the first South Korea location, and the customer adoption and cost impact of the premium menu.
Answer
CFO Thomas Croal acknowledged that sales were down through Q2 but saw a "bounce back" in July, supported by a 2.8% price increase from the start of the year. He described the performance of Q1's new units as "average" and noted the South Korea location's sales are "slow but picking up." CEO David Kim added that the premium menu is expected to increase sales by 5-7% with a COGS impact of 0.5% to 1%, and that other product lines are being developed to enhance this offering.