Red Robin Gourmet Burgers Inc. (RRGB) has entered into a sale and lease-back transaction with Essential Properties Realty Trust Inc. with respect to nine restaurants.  The infusion of $31 million will be used to pay down debt and allow the possible repurchase of $5 million of company stock.   Pete Mavoides, president and CEO of Essential Properties stated, “We are pleased to have the opportunity to partner with Red Robin and add another nine well-located restaurants to be leased on a long-term basis to a high-quality tenant.

Todd Wilson CFO of Red Robin stated, “Through this second tranche of properties we completed another step in our journey to create value for shareholders as we pay down debt and accelerate investments to drive growth.

On August 17^th Red Robin released financial results for the 2^nd Quarter of FY 2023 ending July 9^th. The Company generated a net income of $10.3 million on total revenue of $298.6 million with a diluted EPS of $0.24. The Company posted  $798.4 million in total assets, of which $18 million was represented by intangibles. Long-term debt attained $239 million against a market capitalization of $168 million on September 5^th. Trailing 12-month operating margin is -1.0 percent and profit margin -4.3 percent. The company generated a return on assets of -0.9 percent and -172 percent on equity.