☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
BIGLARI HOLDINGS INC. | ||
(Exact name of registrant as specified in its charter) |
Indiana | 82-3784946 | |||||||
(State or other jurisdiction of incorporation) | (I.R.S. Employer Identification No.) |
Suite | |||||||||||
San Antonio, | TX | ||||||||||
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading Symbols | Name of each exchange on which registered | ||||||
Class A Common Stock, no par value | BH.A | New York Stock Exchange | ||||||
Class B Common Stock, no par value | BH | New York Stock Exchange |
Large accelerated filer | ☐ | Accelerated filer | ☒ | ||||||||
Non-accelerated filer | ☐ | Smaller reporting company | ☒ | ||||||||
Emerging growth company | ☐ |
Class A common stock – | 206,864 | ||||
Class B common stock – | 2,068,640 |
Page No. | ||||||||
June 30, 2022 | December 31, 2021 | ||||||||||
(Unaudited) | |||||||||||
Assets | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | 40,512 | $ | 42,349 | |||||||
Investments | 71,771 | 83,061 | |||||||||
Receivables | 26,942 | 28,508 | |||||||||
Inventories | 3,458 | 3,803 | |||||||||
Other current assets | 7,744 | 7,088 | |||||||||
Total current assets | 150,427 | 164,809 | |||||||||
Property and equipment | 343,878 | 349,351 | |||||||||
Operating lease assets | 40,432 | 42,538 | |||||||||
Goodwill and other intangible assets | 76,379 | 77,010 | |||||||||
Investment partnerships | 151,753 | 250,399 | |||||||||
Other assets | 10,483 | 10,700 | |||||||||
Total assets | $ | 773,352 | $ | 894,807 | |||||||
Liabilities and shareholders’ equity | |||||||||||
Liabilities | |||||||||||
Current liabilities: | |||||||||||
Accounts payable and accrued expenses | $ | 94,176 | $ | 100,467 | |||||||
Loss and loss adjustment expenses | 14,712 | 14,609 | |||||||||
Unearned premiums | 12,377 | 11,667 | |||||||||
Current portion of lease obligations | 17,019 | 16,898 | |||||||||
Total current liabilities | 138,284 | 143,641 | |||||||||
Lease obligations | 99,395 | 104,479 | |||||||||
Deferred taxes | 17,765 | 46,533 | |||||||||
Asset retirement obligations | 10,653 | 10,389 | |||||||||
Other liabilities | 1,519 | 2,069 | |||||||||
Total liabilities | 267,616 | 307,111 | |||||||||
Shareholders’ equity | |||||||||||
Common stock | 1,138 | 1,138 | |||||||||
Additional paid-in capital | 381,788 | 381,788 | |||||||||
Retained earnings | 534,450 | 608,528 | |||||||||
Accumulated other comprehensive loss | (3,159) | (1,907) | |||||||||
Treasury stock, at cost | (408,481) | (401,851) | |||||||||
Biglari Holdings Inc. shareholders’ equity | 505,736 | 587,696 | |||||||||
Total liabilities and shareholders’ equity | $ | 773,352 | $ | 894,807 |
September 30, 2022 | December 31, 2021 | ||||||||||
(Unaudited) | |||||||||||
Assets | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | 64,842 | $ | 42,349 | |||||||
Investments | 70,032 | 83,061 | |||||||||
Receivables | 25,826 | 28,508 | |||||||||
Inventories | 3,704 | 3,803 | |||||||||
Other current assets | 13,147 | 7,088 | |||||||||
Total current assets | 177,551 | 164,809 | |||||||||
Property and equipment | 414,497 | 349,351 | |||||||||
Operating lease assets | 38,539 | 42,538 | |||||||||
Goodwill and other intangible assets | 75,933 | 77,010 | |||||||||
Investment partnerships | 144,864 | 250,399 | |||||||||
Other assets | 10,761 | 10,700 | |||||||||
Total assets | $ | 862,145 | $ | 894,807 | |||||||
Liabilities and shareholders’ equity | |||||||||||
Liabilities | |||||||||||
Current liabilities: | |||||||||||
Accounts payable and accrued expenses | $ | 101,503 | $ | 100,467 | |||||||
Loss and loss adjustment expenses | 14,613 | 14,609 | |||||||||
Unearned premiums | 12,493 | 11,667 | |||||||||
Current portion of lease obligations | 17,093 | 16,898 | |||||||||
Total current liabilities | 145,702 | 143,641 | |||||||||
Lease obligations | 95,980 | 104,479 | |||||||||
Line of credit | 30,000 | — | |||||||||
Deferred taxes | 28,515 | 46,533 | |||||||||
Asset retirement obligations | 14,721 | 10,389 | |||||||||
Other liabilities | 1,819 | 2,069 | |||||||||
Total liabilities | 316,737 | 307,111 | |||||||||
Shareholders’ equity | |||||||||||
Common stock | 1,138 | 1,138 | |||||||||
Additional paid-in capital | 381,788 | 381,788 | |||||||||
Retained earnings | 566,455 | 608,528 | |||||||||
Accumulated other comprehensive loss | (3,777) | (1,907) | |||||||||
Treasury stock, at cost | (409,119) | (401,851) | |||||||||
Biglari Holdings Inc. shareholders’ equity | 536,485 | 587,696 | |||||||||
Noncontrolling interests | 8,923 | — | |||||||||
Total shareholders' equity | 545,408 | 587,696 | |||||||||
Total liabilities and shareholders’ equity | $ | 862,145 | $ | 894,807 |
Second Quarter | First Six Months | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
(Unaudited) | (Unaudited) | ||||||||||||||||||||||
Revenues | |||||||||||||||||||||||
Restaurant operations | $ | 60,324 | $ | 67,326 | $ | 120,171 | $ | 137,280 | |||||||||||||||
Insurance premiums and other | 16,354 | 14,387 | 31,433 | 29,006 | |||||||||||||||||||
Oil and gas | 14,440 | 8,365 | 24,252 | 16,957 | |||||||||||||||||||
Licensing and media | 1,249 | 709 | 1,883 | 1,832 | |||||||||||||||||||
92,367 | 90,787 | 177,739 | 185,075 | ||||||||||||||||||||
Cost and expenses | |||||||||||||||||||||||
Restaurant cost of sales | 35,955 | 41,987 | 71,307 | 87,603 | |||||||||||||||||||
Insurance losses and underwriting expenses | 13,793 | 9,915 | 27,567 | 21,061 | |||||||||||||||||||
Oil and gas production costs | 3,843 | 2,494 | 7,662 | 4,907 | |||||||||||||||||||
Licensing and media costs | 677 | 389 | 1,630 | 869 | |||||||||||||||||||
Selling, general and administrative | 16,582 | 18,419 | 32,806 | 33,959 | |||||||||||||||||||
Impairments | 20 | 261 | 20 | 559 | |||||||||||||||||||
Depreciation, depletion, and amortization | 7,800 | 7,379 | 15,671 | 14,557 | |||||||||||||||||||
Interest expense on leases | 1,385 | 1,537 | 2,797 | 3,157 | |||||||||||||||||||
Interest expense on note payable | — | — | — | 1,121 | |||||||||||||||||||
80,055 | 82,381 | 159,460 | 167,793 | ||||||||||||||||||||
Other income | |||||||||||||||||||||||
Investment gains (losses) | (3,560) | (1,150) | (3,335) | 1,931 | |||||||||||||||||||
Investment partnership gains (losses) | (105,241) | (34,191) | (111,902) | 47,575 | |||||||||||||||||||
Total other income (expenses) | (108,801) | (35,341) | (115,237) | 49,506 | |||||||||||||||||||
Earnings (loss) before income taxes | (96,489) | (26,935) | (96,958) | 66,788 | |||||||||||||||||||
Income tax expense (benefit) | (22,709) | (6,198) | (22,880) | 15,818 | |||||||||||||||||||
Net earnings (loss) | $ | (73,780) | $ | (20,737) | $ | (74,078) | $ | 50,970 | |||||||||||||||
Net earnings (loss) per equivalent Class A share * | $ | (244.37) | $ | (64.04) | $ | (244.29) | $ | 158.06 |
Third Quarter | First Nine Months | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
(Unaudited) | (Unaudited) | ||||||||||||||||||||||
Revenues | |||||||||||||||||||||||
Restaurant operations | $ | 59,437 | $ | 59,144 | $ | 179,608 | $ | 196,424 | |||||||||||||||
Insurance premiums and other | 16,312 | 14,723 | 47,745 | 43,729 | |||||||||||||||||||
Oil and gas | 14,380 | 7,353 | 38,632 | 24,310 | |||||||||||||||||||
Licensing and media | 1,905 | 863 | 3,788 | 2,695 | |||||||||||||||||||
92,034 | 82,083 | 269,773 | 267,158 | ||||||||||||||||||||
Cost and expenses | |||||||||||||||||||||||
Restaurant cost of sales | 36,162 | 41,694 | 107,469 | 129,297 | |||||||||||||||||||
Insurance losses and underwriting expenses | 13,245 | 10,672 | 40,812 | 31,733 | |||||||||||||||||||
Oil and gas production costs | 4,090 | 2,050 | 11,752 | 6,957 | |||||||||||||||||||
Licensing and media costs | 345 | 880 | 1,975 | 1,749 | |||||||||||||||||||
Selling, general and administrative | 15,469 | 16,889 | 48,275 | 50,848 | |||||||||||||||||||
Impairments | — | — | 20 | 559 | |||||||||||||||||||
Depreciation, depletion, and amortization | 8,456 | 7,682 | 24,127 | 22,239 | |||||||||||||||||||
Interest expense on leases | 1,372 | 1,462 | 4,169 | 4,619 | |||||||||||||||||||
Interest expense on borrowings | 67 | — | 67 | 1,121 | |||||||||||||||||||
79,206 | 81,329 | 238,666 | 249,122 | ||||||||||||||||||||
Other income | |||||||||||||||||||||||
Investment gains (losses) | (849) | 4,534 | (4,184) | 6,465 | |||||||||||||||||||
Investment partnership gains (losses) | 29,658 | (20,231) | (82,244) | 27,344 | |||||||||||||||||||
Total other income (expenses) | 28,809 | (15,697) | (86,428) | 33,809 | |||||||||||||||||||
Earnings (loss) before income taxes | 41,637 | (14,943) | (55,321) | 51,845 | |||||||||||||||||||
Income tax expense (benefit) | 9,598 | (4,274) | (13,282) | 11,544 | |||||||||||||||||||
Net earnings (loss) | 32,039 | (10,669) | (42,039) | 40,301 | |||||||||||||||||||
Earnings attributable to noncontrolling interest | 34 | — | 34 | — | |||||||||||||||||||
Net earnings (loss) attributable to Biglari Holdings Inc. shareholders | $ | 32,005 | $ | (10,669) | $ | (42,073) | $ | 40,301 | |||||||||||||||
Net earnings (loss) per equivalent Class A share * | $ | 109.13 | $ | (33.74) | $ | (140.30) | $ | 125.79 |
Second Quarter | First Six Months | ||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||||||||||
(Unaudited) | (Unaudited) | ||||||||||||||||||||||||||||||||||
Net earnings (loss) | $ | (73,780) | $ | (20,737) | $ | (74,078) | $ | 50,970 | |||||||||||||||||||||||||||
Foreign currency translation | (1,021) | 115 | (1,252) | (329) | |||||||||||||||||||||||||||||||
Total comprehensive income (loss) | $ | (74,801) | $ | (20,622) | $ | (75,330) | $ | 50,641 |
Third Quarter | First Nine Months | ||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||||||||||
(Unaudited) | (Unaudited) | ||||||||||||||||||||||||||||||||||
Net earnings (loss) | $ | 32,039 | $ | (10,669) | $ | (42,039) | $ | 40,301 | |||||||||||||||||||||||||||
Foreign currency translation | (618) | (49) | (1,870) | (378) | |||||||||||||||||||||||||||||||
Comprehensive income (loss) | 31,421 | (10,718) | (43,909) | 39,923 | |||||||||||||||||||||||||||||||
Comprehensive income attributable to noncontrolling interests | 34 | — | 34 | — | |||||||||||||||||||||||||||||||
Total comprehensive income (loss) attributable to Biglari Holdings Inc. shareholders | $ | 31,387 | $ | (10,718) | $ | (43,943) | $ | 39,923 |
First Six Months | First Nine Months | |||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
(Unaudited) | (Unaudited) | |||||||||||||||||||||
Operating activities | Operating activities | Operating activities | ||||||||||||||||||||
Net earnings (loss) | Net earnings (loss) | $ | (74,078) | $ | 50,970 | Net earnings (loss) | $ | (42,039) | $ | 40,301 | ||||||||||||
Adjustments to reconcile net earnings (loss) to operating cash flows: | Adjustments to reconcile net earnings (loss) to operating cash flows: | Adjustments to reconcile net earnings (loss) to operating cash flows: | ||||||||||||||||||||
Depreciation, depletion, and amortization | Depreciation, depletion, and amortization | 15,671 | 14,557 | Depreciation, depletion, and amortization | 24,127 | 22,239 | ||||||||||||||||
Provision for deferred income taxes | Provision for deferred income taxes | (28,688) | 19,598 | Provision for deferred income taxes | (22,289) | 16,625 | ||||||||||||||||
Asset impairments and other non-cash expenses | Asset impairments and other non-cash expenses | 20 | 696 | Asset impairments and other non-cash expenses | 20 | 696 | ||||||||||||||||
Gains on disposal of assets | Gains on disposal of assets | (165) | (592) | Gains on disposal of assets | (905) | (306) | ||||||||||||||||
Investment and investment partnership (gains) losses | Investment and investment partnership (gains) losses | 115,237 | (49,957) | Investment and investment partnership (gains) losses | 86,428 | (34,461) | ||||||||||||||||
Distributions from investment partnerships | Distributions from investment partnerships | 4,500 | 158,070 | Distributions from investment partnerships | 51,200 | 172,420 | ||||||||||||||||
Changes in receivables, inventories and other assets | Changes in receivables, inventories and other assets | 1,290 | 2,037 | Changes in receivables, inventories and other assets | 7,240 | 3,608 | ||||||||||||||||
Changes in accounts payable and accrued expenses | Changes in accounts payable and accrued expenses | 417 | (8,171) | Changes in accounts payable and accrued expenses | (4,028) | (9,877) | ||||||||||||||||
Net cash provided by operating activities | Net cash provided by operating activities | 34,204 | 187,208 | Net cash provided by operating activities | 99,754 | 211,245 | ||||||||||||||||
Investing activities | Investing activities | Investing activities | ||||||||||||||||||||
Capital expenditures | Capital expenditures | (16,413) | (26,838) | Capital expenditures | (23,437) | (46,486) | ||||||||||||||||
Proceeds from property and equipment disposals | Proceeds from property and equipment disposals | 109 | 2,749 | Proceeds from property and equipment disposals | 2,201 | 2,749 | ||||||||||||||||
Acquisition of a business, net of cash acquired | Acquisition of a business, net of cash acquired | (54,899) | — | |||||||||||||||||||
Purchases of limited partner interests | Purchases of limited partner interests | (19,386) | (4,800) | Purchases of limited partner interests | (23,886) | (4,800) | ||||||||||||||||
Purchases of investments | Purchases of investments | (78,142) | (60,123) | Purchases of investments | (110,837) | (81,923) | ||||||||||||||||
Sales of investments and redemptions of fixed maturity securities | Sales of investments and redemptions of fixed maturity securities | 81,013 | 56,173 | Sales of investments and redemptions of fixed maturity securities | 108,394 | 74,678 | ||||||||||||||||
Net cash used in investing activities | Net cash used in investing activities | (32,819) | (32,839) | Net cash used in investing activities | (102,464) | (55,782) | ||||||||||||||||
Financing activities | Financing activities | Financing activities | ||||||||||||||||||||
Proceeds from revolving credit facility | Proceeds from revolving credit facility | 30,000 | — | |||||||||||||||||||
Principal payments on long-term debt | Principal payments on long-term debt | — | (149,952) | Principal payments on long-term debt | — | (149,952) | ||||||||||||||||
Principal payments on direct financing lease obligations | Principal payments on direct financing lease obligations | (3,134) | (3,184) | Principal payments on direct financing lease obligations | (4,647) | (4,634) | ||||||||||||||||
Net cash used in financing activities | (3,134) | (153,136) | ||||||||||||||||||||
Net cash provided by (used in) financing activities | Net cash provided by (used in) financing activities | 25,353 | (154,586) | |||||||||||||||||||
Effect of exchange rate changes on cash | Effect of exchange rate changes on cash | (88) | (24) | Effect of exchange rate changes on cash | (150) | (85) | ||||||||||||||||
Increase (decrease) in cash, cash equivalents and restricted cash | (1,837) | 1,209 | ||||||||||||||||||||
Increase in cash, cash equivalents and restricted cash | Increase in cash, cash equivalents and restricted cash | 22,493 | 792 | |||||||||||||||||||
Cash, cash equivalents and restricted cash at beginning of year | Cash, cash equivalents and restricted cash at beginning of year | 43,687 | 29,666 | Cash, cash equivalents and restricted cash at beginning of year | 43,687 | 29,666 | ||||||||||||||||
Cash, cash equivalents and restricted cash at end of second quarter | $ | 41,850 | $ | 30,875 | ||||||||||||||||||
Cash, cash equivalents and restricted cash at end of third quarter | Cash, cash equivalents and restricted cash at end of third quarter | $ | 66,180 | $ | 30,458 |
First Six Months | First Nine Months | |||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
(Unaudited) | (Unaudited) | |||||||||||||||||||||
Cash and cash equivalents | Cash and cash equivalents | $ | 40,512 | $ | 28,212 | Cash and cash equivalents | $ | 64,842 | $ | 27,795 | ||||||||||||
Restricted cash in other long-term assets | Restricted cash in other long-term assets | 1,338 | 2,663 | Restricted cash in other long-term assets | 1,338 | 2,663 | ||||||||||||||||
Cash, cash equivalents and restricted cash at end of second quarter | $ | 41,850 | $ | 30,875 | ||||||||||||||||||
Cash, cash equivalents and restricted cash at end of third quarter | Cash, cash equivalents and restricted cash at end of third quarter | $ | 66,180 | $ | 30,458 |
Biglari Holdings Inc. Shareholders’ Equity | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Non-controlling Interests | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at December 31, 2021 | Balance at December 31, 2021 | $ | 1,138 | $ | 381,788 | $ | 608,528 | $ | (1,907) | $ | (401,851) | $ | 587,696 | Balance at December 31, 2021 | $ | 1,138 | $ | 381,788 | $ | 608,528 | $ | (1,907) | $ | (401,851) | $ | — | $ | 587,696 | ||||||||||||||||||||||||||||||||||||||||||||||||
Net earnings (loss) | Net earnings (loss) | (298) | (298) | Net earnings (loss) | (298) | (298) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss | Other comprehensive loss | (231) | (231) | Other comprehensive loss | (231) | (231) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustment to treasury stock for holdings in investment partnerships | Adjustment to treasury stock for holdings in investment partnerships | 130 | 130 | Adjustment to treasury stock for holdings in investment partnerships | 130 | 130 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at March 31, 2022 | Balance at March 31, 2022 | $ | 1,138 | $ | 381,788 | $ | 608,230 | $ | (2,138) | $ | (401,721) | $ | 587,297 | Balance at March 31, 2022 | $ | 1,138 | $ | 381,788 | $ | 608,230 | $ | (2,138) | $ | (401,721) | $ | — | $ | 587,297 | ||||||||||||||||||||||||||||||||||||||||||||||||
Net earnings (loss) | Net earnings (loss) | (73,780) | (73,780) | Net earnings (loss) | (73,780) | (73,780) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss | Other comprehensive loss | (1,021) | (1,021) | Other comprehensive loss | (1,021) | (1,021) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustment to treasury stock for holdings in investment partnerships | Adjustment to treasury stock for holdings in investment partnerships | (6,760) | (6,760) | Adjustment to treasury stock for holdings in investment partnerships | (6,760) | (6,760) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2022 | Balance at June 30, 2022 | $ | 1,138 | $ | 381,788 | $ | 534,450 | $ | (3,159) | $ | (408,481) | $ | 505,736 | Balance at June 30, 2022 | $ | 1,138 | $ | 381,788 | $ | 534,450 | $ | (3,159) | $ | (408,481) | $ | — | $ | 505,736 | ||||||||||||||||||||||||||||||||||||||||||||||||
Net earnings | Net earnings | 32,005 | 34 | 32,039 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss | Other comprehensive loss | (618) | (618) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustment to treasury stock for holdings in investment partnerships | Adjustment to treasury stock for holdings in investment partnerships | (638) | (638) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Transactions with noncontrolling interests | Transactions with noncontrolling interests | 8,889 | 8,889 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2022 | Balance at September 30, 2022 | $ | 1,138 | $ | 381,788 | $ | 566,455 | $ | (3,777) | $ | (409,119) | $ | 8,923 | $ | 545,408 |
Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Total | ||||||||||||||||||||||||||||||
Balance at December 31, 2020 | $ | 1,138 | $ | 381,788 | $ | 573,050 | $ | (1,531) | $ | (389,617) | $ | 564,828 | |||||||||||||||||||||||
Net earnings (loss) | 71,707 | 71,707 | |||||||||||||||||||||||||||||||||
Other comprehensive loss | (444) | (444) | |||||||||||||||||||||||||||||||||
Adjustment to treasury stock for holdings in investment partnerships | 3,049 | 3,049 | |||||||||||||||||||||||||||||||||
Balance at March 31, 2021 | $ | 1,138 | $ | 381,788 | $ | 644,757 | $ | (1,975) | $ | (386,568) | $ | 639,140 | |||||||||||||||||||||||
Net earnings (loss) | (20,737) | (20,737) | |||||||||||||||||||||||||||||||||
Other comprehensive income | 115 | 115 | |||||||||||||||||||||||||||||||||
Adjustment to treasury stock for holdings in investment partnerships | (5,026) | (5,026) | |||||||||||||||||||||||||||||||||
Balance at June 30, 2021 | $ | 1,138 | $ | 381,788 | $ | 624,020 | $ | (1,860) | $ | (391,594) | $ | 613,492 | |||||||||||||||||||||||
Biglari Holdings Inc. Shareholders’ Equity | |||||||||||||||||||||||||||||||||||||||||
Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Treasury Stock | Non-controlling interests | Total | |||||||||||||||||||||||||||||||||||
Balance at December 31, 2020 | $ | 1,138 | $ | 381,788 | $ | 573,050 | $ | (1,531) | $ | (389,617) | $ | — | $ | 564,828 | |||||||||||||||||||||||||||
Net earnings | 71,707 | 71,707 | |||||||||||||||||||||||||||||||||||||||
Other comprehensive loss | (444) | (444) | |||||||||||||||||||||||||||||||||||||||
Adjustment to treasury stock for holdings in investment partnerships | 3,049 | 3,049 | |||||||||||||||||||||||||||||||||||||||
Balance at March 31, 2021 | $ | 1,138 | $ | 381,788 | $ | 644,757 | $ | (1,975) | $ | (386,568) | $ | — | $ | 639,140 | |||||||||||||||||||||||||||
Net earnings (loss) | (20,737) | (20,737) | |||||||||||||||||||||||||||||||||||||||
Other comprehensive income | 115 | 115 | |||||||||||||||||||||||||||||||||||||||
Adjustment to treasury stock for holdings in investment partnerships | (5,026) | (5,026) | |||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2021 | $ | 1,138 | $ | 381,788 | $ | 624,020 | $ | (1,860) | $ | (391,594) | $ | — | $ | 613,492 | |||||||||||||||||||||||||||
Net earnings (loss) | (10,669) | (10,669) | |||||||||||||||||||||||||||||||||||||||
Other comprehensive loss | (49) | (49) | |||||||||||||||||||||||||||||||||||||||
Adjustment to treasury stock for holdings in investment partnerships | (4,208) | (4,208) | |||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2021 | $ | 1,138 | $ | 381,788 | $ | 613,351 | $ | (1,909) | $ | (395,802) | $ | — | $ | 598,566 | |||||||||||||||||||||||||||
June 30, 2022 | December 31, 2021 | ||||||||||||||||||||||
Class A | Class B | Class A | Class B | ||||||||||||||||||||
Common stock authorized | 500,000 | 10,000,000 | 500,000 | 10,000,000 | |||||||||||||||||||
Common stock issued and outstanding | 206,864 | 2,068,640 | 206,864 | 2,068,640 |
September 30, 2022 | December 31, 2021 | ||||||||||||||||||||||
Class A | Class B | Class A | Class B | ||||||||||||||||||||
Common stock authorized | 500,000 | 10,000,000 | 500,000 | 10,000,000 | |||||||||||||||||||
Common stock issued and outstanding | 206,864 | 2,068,640 | 206,864 | 2,068,640 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||
Equivalent Class A common stock outstanding | Equivalent Class A common stock outstanding | 620,592 | 620,592 | 620,592 | 620,592 | Equivalent Class A common stock outstanding | 620,592 | 620,592 | 620,592 | 620,592 | ||||||||||||||||||||||||||||||||||||
Proportional ownership of Company stock held by investment partnerships | Proportional ownership of Company stock held by investment partnerships | 318,674 | 296,781 | 317,354 | 298,110 | Proportional ownership of Company stock held by investment partnerships | 327,317 | 304,356 | 320,711 | 300,215 | ||||||||||||||||||||||||||||||||||||
Equivalent Class A common stock for earnings per share | Equivalent Class A common stock for earnings per share | 301,918 | 323,811 | 303,238 | 322,482 | Equivalent Class A common stock for earnings per share | 293,275 | 316,236 | 299,881 | 320,377 |
June 30, 2022 | December 31, 2021 | ||||||||||
Investments | $ | 71,771 | $ | 83,061 | |||||||
Deferred tax liability related to investments | (85) | (845) | |||||||||
Investments net of deferred taxes | $ | 71,686 | $ | 82,216 |
Fair Value | Company Common Stock | Carrying Value | Fair Value | Company Common Stock | Carrying Value | |||||||||||||||||||||||||||||
Partnership interest at December 31, 2021 | Partnership interest at December 31, 2021 | $ | 474,201 | $ | 223,802 | $ | 250,399 | Partnership interest at December 31, 2021 | $ | 474,201 | $ | 223,802 | $ | 250,399 | ||||||||||||||||||||
Investment partnership gains (losses) | Investment partnership gains (losses) | (144,748) | (32,846) | (111,902) | Investment partnership gains (losses) | (119,864) | (37,620) | (82,244) | ||||||||||||||||||||||||||
Contributions (net of distributions) | 19,886 | 0 | 19,886 | |||||||||||||||||||||||||||||||
Distributions (net of contributions) | Distributions (net of contributions) | (16,023) | (16,023) | |||||||||||||||||||||||||||||||
Changes in proportionate share of Company stock held | Changes in proportionate share of Company stock held | 0 | 6,630 | (6,630) | Changes in proportionate share of Company stock held | 7,268 | (7,268) | |||||||||||||||||||||||||||
Partnership interest at June 30, 2022 | $ | 349,339 | $ | 197,586 | $ | 151,753 | ||||||||||||||||||||||||||||
Partnership interest at September 30, 2022 | Partnership interest at September 30, 2022 | $ | 338,314 | $ | 193,450 | $ | 144,864 |
Fair Value | Company Common Stock | Carrying Value | Fair Value | Company Common Stock | Carrying Value | |||||||||||||||||||||||||||||
Partnership interest at December 31, 2020 | Partnership interest at December 31, 2020 | $ | 590,926 | $ | 171,376 | $ | 419,550 | Partnership interest at December 31, 2020 | $ | 590,926 | $ | 171,376 | $ | 419,550 | ||||||||||||||||||||
Investment partnership gains (losses) | Investment partnership gains (losses) | 114,286 | 66,711 | 47,575 | Investment partnership gains (losses) | 110,690 | 83,346 | 27,344 | ||||||||||||||||||||||||||
Distributions (net of contributions) | Distributions (net of contributions) | (153,270) | 0 | (153,270) | Distributions (net of contributions) | (167,620) | (167,620) | |||||||||||||||||||||||||||
Changes in proportionate share of Company stock held | Changes in proportionate share of Company stock held | 0 | 1,977 | (1,977) | Changes in proportionate share of Company stock held | 6,185 | (6,185) | |||||||||||||||||||||||||||
Partnership interest at June 30, 2021 | $ | 551,942 | $ | 240,064 | $ | 311,878 | ||||||||||||||||||||||||||||
Partnership interest at September 30, 2021 | Partnership interest at September 30, 2021 | $ | 533,996 | $ | 260,907 | $ | 273,089 |
June 30, 2022 | December 31, 2021 | September 30, 2022 | December 31, 2021 | |||||||||||||||||||
Carrying value of investment partnerships | Carrying value of investment partnerships | $ | 151,753 | $ | 250,399 | Carrying value of investment partnerships | $ | 144,864 | $ | 250,399 | ||||||||||||
Deferred tax liability related to investment partnerships | Deferred tax liability related to investment partnerships | (15,784) | (44,532) | Deferred tax liability related to investment partnerships | (22,176) | (44,532) | ||||||||||||||||
Carrying value of investment partnerships net of deferred taxes | Carrying value of investment partnerships net of deferred taxes | $ | 135,969 | $ | 205,867 | Carrying value of investment partnerships net of deferred taxes | $ | 122,688 | $ | 205,867 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gains (losses) from investment partnerships | Gains (losses) from investment partnerships | $ | (105,241) | $ | (34,191) | $ | (111,902) | $ | 47,575 | Gains (losses) from investment partnerships | $ | 29,658 | $ | (20,231) | $ | (82,244) | $ | 27,344 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Tax expense (benefit) | Tax expense (benefit) | (24,894) | (7,996) | (26,754) | 11,121 | Tax expense (benefit) | 6,601 | (4,946) | (20,153) | 6,175 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contribution to net earnings (loss) | Contribution to net earnings (loss) | $ | (80,347) | $ | (26,195) | $ | (85,148) | $ | 36,454 | Contribution to net earnings (loss) | $ | 23,057 | $ | (15,285) | $ | (62,091) | $ | 21,169 |
Equity in Investment Partnerships | |||||||||||
Lion Fund | Lion Fund II | ||||||||||
Total assets as of June 30, 2022 | $ | 251,812 | $ | 221,118 | |||||||
Total liabilities as of June 30, 2022 | $ | 13,235 | $ | 67,093 | |||||||
Revenue for the first six months of 2022 | $ | (43,115) | $ | (119,441) | |||||||
Earnings for the first six months of 2022 | $ | (43,237) | $ | (120,132) | |||||||
Biglari Holdings’ ownership interest as of June 30, 2022 | 87.9 | % | 88.9 | % | |||||||
Total assets as of December 31, 2021 | $ | 114,749 | $ | 564,022 | |||||||
Total liabilities as of December 31, 2021 | $ | 7,763 | $ | 130,417 | |||||||
Revenue for the first six months of 2021 | $ | 31,297 | $ | 100,466 | |||||||
Earnings for the first six months of 2021 | $ | 31,260 | $ | 100,192 | |||||||
Biglari Holdings’ ownership interest as of June 30, 2021 | 61.3 | % | 94.0 | % |
Equity in Investment Partnerships | |||||||||||
Lion Fund | Lion Fund II | ||||||||||
Total assets as of September 30, 2022 | $ | 247,357 | $ | 307,446 | |||||||
Total liabilities as of September 30, 2022 | $ | 9,973 | $ | 162,520 | |||||||
Revenue for the first nine months of 2022 | $ | (46,341) | $ | (88,378) | |||||||
Earnings for the first nine months of 2022 | $ | (46,544) | $ | (89,771) | |||||||
Biglari Holdings’ ownership interest as of September 30, 2022 | 88.2 | % | 87.7 | % | |||||||
Total assets as of December 31, 2021 | $ | 114,749 | $ | 564,022 | |||||||
Total liabilities as of December 31, 2021 | $ | 7,763 | $ | 130,417 | |||||||
Revenue for the first nine months of 2021 | $ | 35,639 | $ | 94,078 | |||||||
Earnings for the first nine months of 2021 | $ | 35,584 | $ | 93,548 | |||||||
Biglari Holdings’ ownership interest as of September 30, 2021 | 62.4 | % | 93.9 | % |
June 30, 2022 | December 31, 2021 | September 30, 2022 | December 31, 2021 | |||||||||||||||||||
Land | Land | $ | 144,205 | $ | 144,605 | Land | $ | 142,813 | $ | 144,605 | ||||||||||||
Buildings | Buildings | 149,240 | 148,605 | Buildings | 151,138 | 148,605 | ||||||||||||||||
Land and leasehold improvements | Land and leasehold improvements | 147,679 | 147,349 | Land and leasehold improvements | 147,765 | 147,349 | ||||||||||||||||
Equipment | Equipment | 225,402 | 224,581 | Equipment | 230,712 | 224,581 | ||||||||||||||||
Oil and gas properties | Oil and gas properties | 74,379 | 74,147 | Oil and gas properties | 140,916 | 74,147 | ||||||||||||||||
Construction in progress | Construction in progress | 4,773 | 2,815 | Construction in progress | 5,744 | 2,815 | ||||||||||||||||
745,678 | 742,102 | 819,088 | 742,102 | |||||||||||||||||||
Less accumulated depreciation, depletion, and amortization | Less accumulated depreciation, depletion, and amortization | (401,800) | (392,751) | Less accumulated depreciation, depletion, and amortization | (404,591) | (392,751) | ||||||||||||||||
Property and equipment, net | Property and equipment, net | $ | 343,878 | $ | 349,351 | Property and equipment, net | $ | 414,497 | $ | 349,351 |
Goodwill | |||||
Goodwill at December 31, 2021 | $ | 53,547 | |||
Change in foreign exchange rates during the first | |||||
Goodwill at | $ |
Trade Names | Lease Rights | Total | Trade Names | Lease Rights | Total | |||||||||||||||||||||||||||||
Balance at December 31, 2021 | Balance at December 31, 2021 | $ | 15,876 | $ | 7,587 | $ | 23,463 | Balance at December 31, 2021 | $ | 15,876 | $ | 7,587 | $ | 23,463 | ||||||||||||||||||||
Impairment to lease rights | Impairment to lease rights | — | (20) | (20) | Impairment to lease rights | — | (20) | (20) | ||||||||||||||||||||||||||
Change in foreign exchange rates during the first six months of 2022 | — | (563) | (563) | |||||||||||||||||||||||||||||||
Balance at June 30, 2022 | $ | 15,876 | $ | 7,004 | $ | 22,880 | ||||||||||||||||||||||||||||
Change in foreign exchange rates during the first nine months of 2022 | Change in foreign exchange rates during the first nine months of 2022 | — | (974) | (974) | ||||||||||||||||||||||||||||||
Balance at September 30, 2022 | Balance at September 30, 2022 | $ | 15,876 | $ | 6,593 | $ | 22,469 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net sales | Net sales | $ | 37,681 | $ | 49,403 | $ | 75,897 | $ | 104,353 | Net sales | $ | 37,448 | $ | 41,916 | $ | 113,345 | $ | 146,269 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Franchise partner fees | Franchise partner fees | 16,425 | 12,383 | 32,049 | 20,236 | Franchise partner fees | 15,880 | 11,508 | 47,929 | 31,744 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Franchise royalties and fees | Franchise royalties and fees | 5,237 | 4,594 | 10,383 | 9,729 | Franchise royalties and fees | 5,089 | 4,865 | 15,472 | 14,594 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other | Other | 981 | 946 | 1,842 | 2,962 | Other | 1,020 | 855 | 2,862 | 3,817 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
$ | 60,324 | $ | 67,326 | $ | 120,171 | $ | 137,280 | $ | 59,437 | $ | 59,144 | $ | 179,608 | $ | 196,424 |
June 30, 2022 | December 31, 2021 | September 30, 2022 | December 31, 2021 | |||||||||||||||||||
Accounts payable | Accounts payable | $ | 29,400 | $ | 36,684 | Accounts payable | $ | 34,288 | $ | 36,684 | ||||||||||||
Gift card and other marketing | Gift card and other marketing | 16,887 | 19,244 | Gift card and other marketing | 15,985 | 19,244 | ||||||||||||||||
Insurance accruals | Insurance accruals | 6,120 | 6,428 | Insurance accruals | 5,971 | 6,428 | ||||||||||||||||
Salaries, wages and vacation | Salaries, wages and vacation | 6,127 | 5,905 | Salaries, wages and vacation | 6,902 | 5,905 | ||||||||||||||||
Deferred revenue | Deferred revenue | 6,549 | 6,683 | Deferred revenue | 4,831 | 6,683 | ||||||||||||||||
Taxes payable | Taxes payable | 18,399 | 11,392 | Taxes payable | 21,583 | 11,392 | ||||||||||||||||
Professional fees | Professional fees | 6,136 | 11,731 | Professional fees | 1,998 | 11,731 | ||||||||||||||||
Oil and gas payable | Oil and gas payable | 5,586 | 1,936 | |||||||||||||||||||
Other | Other | 4,558 | 2,400 | Other | 4,359 | 464 | ||||||||||||||||
Accounts payable and accrued expenses | Accounts payable and accrued expenses | $ | 94,176 | $ | 100,467 | Accounts payable and accrued expenses | $ | 101,503 | $ | 100,467 |
Current portion of lease obligations | Current portion of lease obligations | June 30, 2022 | December 31, 2021 | Current portion of lease obligations | September 30, 2022 | December 31, 2021 | ||||||||||||||||
Finance lease liabilities | Finance lease liabilities | $ | 1,232 | $ | 1,414 | Finance lease liabilities | $ | 1,214 | $ | 1,414 | ||||||||||||
Finance obligations | Finance obligations | 5,043 | 4,944 | Finance obligations | 5,119 | 4,944 | ||||||||||||||||
Operating lease liabilities | Operating lease liabilities | 10,744 | 10,540 | Operating lease liabilities | 10,760 | 10,540 | ||||||||||||||||
Total current portion of lease obligations | Total current portion of lease obligations | $ | 17,019 | $ | 16,898 | Total current portion of lease obligations | $ | 17,093 | $ | 16,898 | ||||||||||||
Long-term lease obligations | Long-term lease obligations | Long-term lease obligations | ||||||||||||||||||||
Finance lease liabilities | Finance lease liabilities | $ | 4,729 | $ | 5,347 | Finance lease liabilities | $ | 4,431 | $ | 5,347 | ||||||||||||
Finance obligations | Finance obligations | 61,048 | 63,119 | Finance obligations | 60,009 | 63,119 | ||||||||||||||||
Operating lease liabilities | Operating lease liabilities | 33,618 | 36,013 | Operating lease liabilities | 31,540 | 36,013 | ||||||||||||||||
Total long-term lease obligations | Total long-term lease obligations | $ | 99,395 | $ | 104,479 | Total long-term lease obligations | $ | 95,980 | $ | 104,479 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Finance lease costs: | Finance lease costs: | Finance lease costs: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization of right-of-use assets | Amortization of right-of-use assets | $ | 351 | $ | 382 | $ | 714 | $ | 801 | Amortization of right-of-use assets | $ | 309 | $ | 404 | $ | 1,023 | $ | 1,205 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest on lease liabilities | Interest on lease liabilities | 108 | 126 | 223 | 273 | Interest on lease liabilities | 102 | 126 | 325 | 399 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating and variable lease costs | Operating and variable lease costs | 3,593 | 3,413 | 7,205 | 7,178 | Operating and variable lease costs | 3,577 | 4,011 | 10,782 | 11,189 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Sublease income | Sublease income | (2,906) | (3,360) | (5,592) | (6,015) | Sublease income | (2,895) | (3,771) | (8,487) | (9,786) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total lease costs | Total lease costs | $ | 1,146 | $ | 561 | $ | 2,550 | $ | 2,237 | Total lease costs | $ | 1,093 | $ | 770 | $ | 3,643 | $ | 3,007 |
First Six Months | First Nine Months | |||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Cash paid for amounts included in the measurement of lease liabilities: | Cash paid for amounts included in the measurement of lease liabilities: | Cash paid for amounts included in the measurement of lease liabilities: | ||||||||||||||||||||
Financing cash flows from finance leases | Financing cash flows from finance leases | $ | 800 | $ | 819 | Financing cash flows from finance leases | $ | 1,116 | $ | 1,226 | ||||||||||||
Operating cash flows from finance leases | Operating cash flows from finance leases | $ | 223 | $ | 258 | Operating cash flows from finance leases | $ | 324 | $ | 384 | ||||||||||||
Operating cash flows from operating leases | Operating cash flows from operating leases | $ | 6,266 | $ | 6,320 | Operating cash flows from operating leases | $ | 9,347 | $ | 9,806 |
June 30, 2022 | December 31, 2021 | September 30, 2022 | December 31, 2021 | |||||||||||||||||||
Finance leases: | Finance leases: | Finance leases: | ||||||||||||||||||||
Property and equipment, net | Property and equipment, net | $ | 4,920 | $ | 5,634 | Property and equipment, net | $ | 4,619 | $ | 5,634 |
2022 | |||||
Weighted-average remaining lease terms: | |||||
Finance leases | |||||
Operating leases | |||||
Weighted-average discount rates: | |||||
Finance leases | 7.0 | % | |||
Operating leases | 7.0 | % |
Year | Year | Operating Leases | Finance Leases | Year | Operating Leases | Finance Leases | ||||||||||||||||||||||
2022 | 2022 | $ | 7,280 | $ | 812 | 2022 | $ | 4,215 | $ | 394 | ||||||||||||||||||
2023 | 2023 | 11,793 | 1,551 | 2023 | 11,781 | 1,551 | ||||||||||||||||||||||
2024 | 2024 | 9,868 | 1,534 | 2024 | 9,985 | 1,534 | ||||||||||||||||||||||
2025 | 2025 | 8,163 | 1,298 | 2025 | 8,290 | 1,298 | ||||||||||||||||||||||
2026 | 2026 | 5,543 | 959 | 2026 | 5,671 | 959 | ||||||||||||||||||||||
After 2026 | After 2026 | 9,965 | 855 | After 2026 | 9,967 | 855 | ||||||||||||||||||||||
Total lease payments | Total lease payments | 52,612 | 7,009 | Total lease payments | 49,909 | 6,591 | ||||||||||||||||||||||
Less interest | Less interest | 8,250 | 1,048 | Less interest | 7,609 | 946 | ||||||||||||||||||||||
Total lease liabilities | Total lease liabilities | $ | 44,362 | $ | 5,961 | Total lease liabilities | $ | 42,300 | $ | 5,645 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating lease income | Operating lease income | $ | 3,945 | $ | 2,913 | $ | 7,652 | $ | 5,276 | Operating lease income | $ | 4,085 | $ | 3,211 | $ | 11,737 | $ | 8,471 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Variable lease income | Variable lease income | 1,426 | 1,141 | 2,756 | 1,990 | Variable lease income | 1,556 | 1,370 | 4,312 | 3,375 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total lease income | Total lease income | $ | 5,371 | $ | 4,054 | $ | 10,408 | $ | 7,266 | Total lease income | $ | 5,641 | $ | 4,581 | $ | 16,049 | $ | 11,846 |
Operating Leases | Operating Leases | |||||||||||||||||||||||||||
Year | Year | Subleases | Owned Properties | Year | Subleases | Owned Properties | ||||||||||||||||||||||
2022 | 2022 | $ | 452 | $ | 124 | 2022 | $ | 228 | $ | 62 | ||||||||||||||||||
2023 | 2023 | 767 | 247 | 2023 | 767 | 247 | ||||||||||||||||||||||
2024 | 2024 | 503 | 247 | 2024 | 503 | 247 | ||||||||||||||||||||||
2025 | 2025 | 454 | 250 | 2025 | 454 | 250 | ||||||||||||||||||||||
2026 | 2026 | 134 | 247 | 2026 | 134 | 247 | ||||||||||||||||||||||
After 2026 | After 2026 | 241 | 805 | After 2026 | 241 | 805 | ||||||||||||||||||||||
Total future minimum receipts | Total future minimum receipts | $ | 2,551 | $ | 1,920 | Total future minimum receipts | $ | 2,327 | $ | 1,858 |
June 30, 2022 | December 31, 2021 | September 30, 2022 | December 31, 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Assets | Assets | Assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash equivalents | Cash equivalents | $ | 15,887 | $ | — | $ | — | $ | 15,887 | $ | 18,447 | $ | — | $ | — | $ | 18,447 | Cash equivalents | $ | 16,389 | $ | — | $ | — | $ | 16,389 | $ | 18,447 | $ | — | $ | — | $ | 18,447 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity securities | Equity securities | Equity securities | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer goods | Consumer goods | 16,680 | 1,242 | — | 17,922 | 10,775 | 2,368 | — | 13,143 | Consumer goods | 16,266 | 932 | — | 17,198 | 10,775 | 2,368 | — | 13,143 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Insurance | Insurance | 46 | — | — | 46 | 6,513 | — | — | 6,513 | Insurance | 49 | — | — | 49 | 6,513 | — | — | 6,513 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Technology | Technology | 5,749 | — | — | 5,749 | 2,887 | — | — | 2,887 | Technology | 1,832 | — | — | 1,832 | 2,887 | — | — | 2,887 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Bonds | Bonds | Bonds | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Government | Government | 41,659 | — | — | 41,659 | 54,584 | — | — | 54,584 | Government | 44,914 | — | — | 44,914 | 54,584 | — | — | 54,584 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate | Corporate | 3,860 | — | — | 3,860 | 4,512 | — | — | 4,512 | Corporate | 3,003 | — | — | 3,003 | 4,512 | — | — | 4,512 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Options on equity securities | Options on equity securities | — | 3,221 | — | 3,221 | — | 2,095 | — | 2,095 | Options on equity securities | — | 3,531 | — | 3,531 | — | 2,095 | — | 2,095 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-qualified deferred compensation plan investments | Non-qualified deferred compensation plan investments | 1,369 | — | — | 1,369 | 1,607 | — | — | 1,607 | Non-qualified deferred compensation plan investments | 1,299 | — | — | 1,299 | 1,607 | — | — | 1,607 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets at fair value | Total assets at fair value | $ | 85,250 | $ | 4,463 | $ | — | $ | 89,713 | $ | 99,325 | $ | 4,463 | $ | — | $ | 103,788 | Total assets at fair value | $ | 83,752 | $ | 4,463 | $ | — | $ | 88,215 | $ | 99,325 | $ | 4,463 | $ | — | $ | 103,788 |
Revenue | Revenue | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating Businesses: | Operating Businesses: | Operating Businesses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restaurant Operations: | Restaurant Operations: | Restaurant Operations: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Steak n Shake | Steak n Shake | $ | 57,742 | $ | 65,223 | $ | 115,495 | $ | 133,524 | Steak n Shake | $ | 56,949 | $ | 56,993 | $ | 172,444 | $ | 190,517 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Western Sizzlin | Western Sizzlin | 2,582 | 2,103 | 4,676 | 3,756 | Western Sizzlin | 2,488 | 2,151 | 7,164 | 5,907 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Restaurant Operations | Total Restaurant Operations | 60,324 | 67,326 | 120,171 | 137,280 | Total Restaurant Operations | 59,437 | 59,144 | 179,608 | 196,424 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Insurance Operations: | Insurance Operations: | Insurance Operations: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Underwriting | Underwriting | Underwriting | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
First Guard | First Guard | 9,015 | 8,225 | 17,746 | 16,302 | First Guard | 9,112 | 8,458 | 26,858 | 24,760 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Southern Pioneer | Southern Pioneer | 6,211 | 5,350 | 11,649 | 10,963 | Southern Pioneer | 6,004 | 5,443 | 17,653 | 16,406 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment income and other | Investment income and other | 1,128 | 812 | 2,038 | 1,741 | Investment income and other | 1,196 | 822 | 3,234 | 2,563 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Insurance Operations | Total Insurance Operations | 16,354 | 14,387 | 31,433 | 29,006 | Total Insurance Operations | 16,312 | 14,723 | 47,745 | 43,729 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Oil and Gas Operations: | Oil and Gas Operations: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Southern Oil | Southern Oil | 14,440 | 8,365 | 24,252 | 16,957 | Southern Oil | 12,688 | 7,353 | 36,940 | 24,310 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Abraxas Petroleum | Abraxas Petroleum | 1,692 | — | 1,692 | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Oil and Gas Operations | Total Oil and Gas Operations | 14,380 | 7,353 | 38,632 | 24,310 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maxim | Maxim | 1,249 | 709 | 1,883 | 1,832 | Maxim | 1,905 | 863 | 3,788 | 2,695 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
$ | 92,367 | $ | 90,787 | $ | 177,739 | $ | 185,075 | $ | 92,034 | $ | 82,083 | $ | 269,773 | $ | 267,158 |
Earnings (Losses) Before Income Taxes | Earnings (Losses) Before Income Taxes | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating Businesses: | Operating Businesses: | Operating Businesses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restaurant Operations: | Restaurant Operations: | Restaurant Operations: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Steak n Shake | Steak n Shake | $ | 3,615 | $ | 3,236 | $ | 7,813 | $ | 8,692 | Steak n Shake | $ | 3,964 | $ | (2,959) | $ | 11,777 | $ | 5,733 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Western Sizzlin | Western Sizzlin | 396 | 368 | 628 | 460 | Western Sizzlin | 369 | 247 | 997 | 707 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Restaurant Operations | Total Restaurant Operations | 4,011 | 3,604 | 8,441 | 9,152 | Total Restaurant Operations | 4,333 | (2,712) | 12,774 | 6,440 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Insurance Operations: | Insurance Operations: | Insurance Operations: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Underwriting: | Underwriting: | Underwriting: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
First Guard | First Guard | 1,714 | 2,959 | 2,446 | 5,090 | First Guard | 2,354 | 2,832 | 4,800 | 7,922 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Southern Pioneer | Southern Pioneer | (281) | 701 | (618) | 1,114 | Southern Pioneer | (483) | 397 | (1,101) | 1,511 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment income and other | Investment income and other | 998 | 659 | 1,967 | 1,352 | Investment income and other | 1,221 | 613 | 3,188 | 1,965 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Insurance Operations | Total Insurance Operations | 2,431 | 4,319 | 3,795 | 7,556 | Total Insurance Operations | 3,092 | 3,842 | 6,887 | 11,398 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Oil and Gas Operations: | Oil and Gas Operations: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Southern Oil | Southern Oil | 8,421 | 3,026 | 12,342 | 6,065 | Southern Oil | 6,795 | 2,982 | 19,137 | 9,047 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Abraxas Petroleum | Abraxas Petroleum | 446 | — | 446 | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Oil and Gas Operations | Total Oil and Gas Operations | 7,241 | 2,982 | 19,583 | 9,047 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Maxim | Maxim | 501 | 300 | 165 | 923 | Maxim | 1,534 | (56) | 1,699 | 867 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense not allocated to segments | Interest expense not allocated to segments | — | — | — | (1,121) | Interest expense not allocated to segments | (67) | — | (67) | (1,121) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Operating Businesses | Total Operating Businesses | 15,364 | 11,249 | 24,743 | 22,575 | Total Operating Businesses | 16,133 | 4,056 | 40,876 | 26,631 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate and other | Corporate and other | (3,052) | (2,843) | (6,464) | (5,293) | Corporate and other | (3,305) | (3,302) | (9,769) | (8,595) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment gains (losses) | Investment gains (losses) | (3,560) | (1,150) | (3,335) | 1,931 | Investment gains (losses) | (849) | 4,534 | (4,184) | 6,465 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment partnership gains (losses) | Investment partnership gains (losses) | (105,241) | (34,191) | (111,902) | 47,575 | Investment partnership gains (losses) | 29,658 | (20,231) | (82,244) | 27,344 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
$ | (96,489) | $ | (26,935) | $ | (96,958) | $ | 66,788 | $ | 41,637 | $ | (14,943) | $ | (55,321) | $ | 51,845 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating businesses: | Operating businesses: | Operating businesses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restaurant | Restaurant | $ | 3,006 | $ | 2,543 | $ | 6,268 | $ | 6,661 | Restaurant | $ | 3,320 | $ | (1,515) | $ | 9,588 | $ | 5,146 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Insurance | Insurance | 1,859 | 3,386 | 2,903 | 5,917 | Insurance | 2,389 | 2,985 | 5,292 | 8,902 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Oil and gas | Oil and gas | 6,369 | 2,336 | 9,293 | 4,691 | Oil and gas | 5,574 | 2,325 | 14,867 | 7,016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Brand licensing | Brand licensing | 375 | 225 | 124 | 705 | Brand licensing | 1,150 | (43) | 1,274 | 662 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense | Interest expense | — | — | — | (841) | Interest expense | (52) | — | (52) | (841) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate and other | Corporate and other | (2,237) | (2,124) | (4,888) | (4,123) | Corporate and other | (2,742) | (2,526) | (7,630) | (6,649) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total operating businesses | Total operating businesses | 9,372 | 6,366 | 13,700 | 13,010 | Total operating businesses | 9,639 | 1,226 | 23,339 | 14,236 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment gains | Investment gains | (2,805) | (908) | (2,630) | 1,506 | Investment gains | (657) | 3,390 | (3,287) | 4,896 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment partnership gains (losses) | Investment partnership gains (losses) | (80,347) | (26,195) | (85,148) | 36,454 | Investment partnership gains (losses) | 23,057 | (15,285) | (62,091) | 21,169 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
$ | (73,780) | $ | (20,737) | $ | (74,078) | $ | 50,970 | 32,039 | (10,669) | (42,039) | 40,301 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings attributable to noncontrolling interest | Earnings attributable to noncontrolling interest | 34 | — | 34 | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
$ | 32,005 | $ | (10,669) | $ | (42,073) | $ | 40,301 |
Steak n Shake | Western Sizzlin | Steak n Shake | Western Sizzlin | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Company- operated | Franchise Partner | Traditional Franchise | Company- operated | Franchise | Total | Company- operated | Franchise Partner | Traditional Franchise | Company- operated | Franchise | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total stores as of December 31, 2021 | Total stores as of December 31, 2021 | 199 | 159 | 178 | 3 | 38 | 577 | Total stores as of December 31, 2021 | 199 | 159 | 178 | 3 | 38 | 577 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate stores transitioned | Corporate stores transitioned | (18) | 18 | — | — | — | — | Corporate stores transitioned | (12) | 12 | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net restaurants opened (closed) | Net restaurants opened (closed) | (5) | — | (12) | — | — | (17) | Net restaurants opened (closed) | (6) | — | (19) | — | — | (25) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total stores as of June 30, 2022 | 176 | 177 | 166 | 3 | 38 | 560 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total stores as of September 30, 2022 | Total stores as of September 30, 2022 | 181 | 171 | 159 | 3 | 38 | 552 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total stores as of December 31, 2020 | Total stores as of December 31, 2020 | 276 | 86 | 194 | 3 | 39 | 598 | Total stores as of December 31, 2020 | 276 | 86 | 194 | 3 | 39 | 598 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Corporate stores transitioned | Corporate stores transitioned | (45) | 45 | — | — | — | — | Corporate stores transitioned | (54) | 54 | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net restaurants opened (closed) | Net restaurants opened (closed) | (1) | — | (8) | — | (1) | (10) | Net restaurants opened (closed) | (1) | — | (15) | — | (1) | (17) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total stores as of June 30, 2021 | 230 | 131 | 186 | 3 | 38 | 588 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total stores as of September 30, 2021 | Total stores as of September 30, 2021 | 221 | 140 | 179 | 3 | 38 | 581 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenue | Revenue | Revenue | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net sales | Net sales | $ | 37,681 | $ | 49,403 | $ | 75,897 | $ | 104,353 | Net sales | $ | 37,448 | $ | 41,916 | $ | 113,345 | $ | 146,269 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Franchise partner fees | Franchise partner fees | 16,425 | 12,383 | 32,049 | 20,236 | Franchise partner fees | 15,880 | 11,508 | 47,929 | 31,744 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Franchise royalties and fees | Franchise royalties and fees | 5,237 | 4,594 | 10,383 | 9,729 | Franchise royalties and fees | 5,089 | 4,865 | 15,472 | 14,594 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other revenue | Other revenue | 981 | 946 | 1,842 | 2,962 | Other revenue | 1,020 | 855 | 2,862 | 3,817 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total revenue | Total revenue | 60,324 | 67,326 | 120,171 | 137,280 | Total revenue | 59,437 | 59,144 | 179,608 | 196,424 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restaurant cost of sales | Restaurant cost of sales | Restaurant cost of sales | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cost of food | Cost of food | 11,365 | 30.2 | % | 14,727 | 29.8 | % | 22,325 | 29.4 | % | 30,281 | 29.0 | % | Cost of food | 11,359 | 30.3 | % | 13,123 | 31.3 | % | 33,684 | 29.7 | % | 43,404 | 29.7 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restaurant operating costs | Restaurant operating costs | 20,350 | 54.0 | % | 22,058 | 44.6 | % | 40,382 | 53.2 | % | 47,255 | 45.3 | % | Restaurant operating costs | 20,745 | 55.4 | % | 24,496 | 58.4 | % | 61,127 | 53.9 | % | 71,751 | 49.1 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Occupancy costs | Occupancy costs | 4,240 | 11.3 | % | 5,202 | 10.5 | % | 8,600 | 11.3 | % | 10,067 | 9.6 | % | Occupancy costs | 4,058 | 10.8 | % | 4,075 | 9.7 | % | 12,658 | 11.2 | % | 14,142 | 9.7 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total cost of sales | Total cost of sales | 35,955 | 41,987 | 71,307 | 87,603 | Total cost of sales | 36,162 | 41,694 | 107,469 | 129,297 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Selling, general and administrative | Selling, general and administrative | Selling, general and administrative | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
General and administrative | General and administrative | 10,121 | 16.8 | % | 10,481 | 15.6 | % | 18,771 | 15.6 | % | 18,161 | 13.2 | % | General and administrative | 9,556 | 16.1 | % | 9,255 | 15.6 | % | 28,327 | 15.8 | % | 27,416 | 14.0 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Marketing | Marketing | 3,087 | 5.1 | % | 3,287 | 4.9 | % | 6,831 | 5.7 | % | 7,910 | 5.8 | % | Marketing | 2,758 | 4.6 | % | 2,302 | 3.9 | % | 9,589 | 5.3 | % | 10,212 | 5.2 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other expenses | Other expenses | (361) | (0.6) | % | 1,075 | 1.6 | % | (316) | (0.3) | % | 934 | 0.7 | % | Other expenses | (825) | (1.4) | % | 1,332 | 2.3 | % | (1,141) | (0.6) | % | 2,266 | 1.2 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total selling, general and administrative | Total selling, general and administrative | 12,847 | 21.3 | % | 14,843 | 22.0 | % | 25,286 | 21.0 | % | 27,005 | 19.7 | % | Total selling, general and administrative | 11,489 | 19.3 | % | 12,889 | 21.8 | % | 36,775 | 20.5 | % | 39,894 | 20.3 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Impairments | Impairments | (20) | (261) | (20) | (559) | Impairments | — | — | (20) | (559) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation and amortization | Depreciation and amortization | (6,106) | (5,094) | (12,320) | (9,804) | Depreciation and amortization | (6,081) | (5,811) | (18,401) | (15,615) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest on finance leases and obligations | Interest on finance leases and obligations | (1,385) | (1,537) | (2,797) | (3,157) | Interest on finance leases and obligations | (1,372) | (1,462) | (4,169) | (4,619) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings (loss) before income taxes | Earnings (loss) before income taxes | 4,011 | 3,604 | 8,441 | 9,152 | Earnings (loss) before income taxes | 4,333 | (2,712) | 12,774 | 6,440 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income tax expense (benefit) | Income tax expense (benefit) | 1,005 | 1,061 | 2,173 | 2,491 | Income tax expense (benefit) | 1,013 | (1,197) | 3,186 | 1,294 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contribution to net earnings (loss) | Contribution to net earnings (loss) | $ | 3,006 | $ | 2,543 | $ | 6,268 | $ | 6,661 | Contribution to net earnings (loss) | $ | 3,320 | $ | (1,515) | $ | 9,588 | $ | 5,146 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Underwriting gain (loss) attributable to: | Underwriting gain (loss) attributable to: | Underwriting gain (loss) attributable to: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
First Guard | First Guard | $ | 1,714 | $ | 2,959 | $ | 2,446 | $ | 5,090 | First Guard | $ | 2,354 | $ | 2,832 | $ | 4,800 | $ | 7,922 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Southern Pioneer | Southern Pioneer | (281) | 701 | (618) | 1,114 | Southern Pioneer | (483) | 397 | (1,101) | 1,511 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pre-tax underwriting gain | Pre-tax underwriting gain | 1,433 | 3,660 | 1,828 | 6,204 | Pre-tax underwriting gain | 1,871 | 3,229 | 3,699 | 9,433 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income tax expense | Income tax expense | 301 | 769 | 384 | 1,303 | Income tax expense | 392 | 681 | 776 | 1,984 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net underwriting gain | Net underwriting gain | $ | 1,132 | $ | 2,891 | $ | 1,444 | $ | 4,901 | Net underwriting gain | $ | 1,479 | $ | 2,548 | $ | 2,923 | $ | 7,449 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Premiums earned | Premiums earned | $ | 15,226 | $ | 13,575 | $ | 29,395 | $ | 27,265 | Premiums earned | $ | 15,116 | $ | 13,901 | $ | 44,511 | $ | 41,166 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Insurance losses | Insurance losses | 9,244 | 6,362 | 18,832 | 13,383 | Insurance losses | 8,814 | 6,657 | 27,646 | 20,040 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Underwriting expenses | Underwriting expenses | 4,549 | 3,553 | 8,735 | 7,678 | Underwriting expenses | 4,431 | 4,015 | 13,166 | 11,693 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pre-tax underwriting gain | Pre-tax underwriting gain | 1,433 | 3,660 | 1,828 | 6,204 | Pre-tax underwriting gain | 1,871 | 3,229 | 3,699 | 9,433 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other income and expenses | Other income and expenses | Other income and expenses | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment income | Investment income | 257 | 291 | 470 | 457 | Investment income | 362 | 195 | 832 | 652 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other income (expenses) | Other income (expenses) | 741 | 368 | 1,497 | 895 | Other income (expenses) | 859 | 418 | 2,356 | 1,313 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total other income | Total other income | 998 | 659 | 1,967 | 1,352 | Total other income | 1,221 | 613 | 3,188 | 1,965 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings before income taxes | Earnings before income taxes | 2,431 | 4,319 | 3,795 | 7,556 | Earnings before income taxes | 3,092 | 3,842 | 6,887 | 11,398 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income tax expense | Income tax expense | 572 | 933 | 892 | 1,639 | Income tax expense | 703 | 857 | 1,595 | 2,496 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contribution to net earnings (loss) | Contribution to net earnings (loss) | $ | 1,859 | $ | 3,386 | $ | 2,903 | $ | 5,917 | Contribution to net earnings (loss) | $ | 2,389 | $ | 2,985 | $ | 5,292 | $ | 8,902 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount | % | Amount | % | Amount | % | Amount | % | Amount | % | Amount | % | Amount | % | Amount | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Premiums earned | Premiums earned | $ | 9,015 | 100.0 | % | $ | 8,225 | 100.0 | % | $ | 17,746 | 100.0 | % | $ | 16,302 | 100.0 | % | Premiums earned | $ | 9,112 | 100.0 | % | $ | 8,458 | 100.0 | % | $ | 26,858 | 100.0 | % | $ | 24,760 | 100.0 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Insurance losses | Insurance losses | 5,465 | 60.6 | % | 3,809 | 46.3 | % | 11,653 | 65.7 | % | 7,811 | 47.9 | % | Insurance losses | 4,815 | 52.8 | % | 3,935 | 46.5 | % | 16,468 | 61.3 | % | 11,746 | 47.4 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Underwriting expenses | Underwriting expenses | 1,836 | 20.4 | % | 1,457 | 17.7 | % | 3,647 | 20.6 | % | 3,401 | 20.9 | % | Underwriting expenses | 1,943 | 21.3 | % | 1,691 | 20.0 | % | 5,590 | 20.8 | % | 5,092 | 20.6 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total losses and expenses | Total losses and expenses | 7,301 | 81.0 | % | 5,266 | 64.0 | % | 15,300 | 86.3 | % | 11,212 | 68.8 | % | Total losses and expenses | 6,758 | 74.1 | % | 5,626 | 66.5 | % | 22,058 | 82.1 | % | 16,838 | 68.0 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pre-tax underwriting gain | Pre-tax underwriting gain | $ | 1,714 | $ | 2,959 | $ | 2,446 | $ | 5,090 | Pre-tax underwriting gain | $ | 2,354 | $ | 2,832 | $ | 4,800 | $ | 7,922 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amount | % | Amount | % | Amount | % | Amount | % | Amount | % | Amount | % | Amount | % | Amount | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Premiums earned | Premiums earned | $ | 6,211 | 100.0 | % | $ | 5,350 | 100.0 | % | $ | 11,649 | 100.0 | % | $ | 10,963 | 100.0 | % | Premiums earned | $ | 6,004 | 100.0 | % | $ | 5,443 | 100.0 | % | $ | 17,653 | 100.0 | % | $ | 16,406 | 100.0 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Insurance losses | Insurance losses | 3,779 | 60.8 | % | 2,553 | 47.7 | % | 7,179 | 61.6 | % | 5,572 | 50.8 | % | Insurance losses | 3,999 | 66.6 | % | 2,722 | 50.0 | % | 11,178 | 63.3 | % | 8,294 | 50.6 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Underwriting expenses | Underwriting expenses | 2,713 | 43.7 | % | 2,096 | 39.2 | % | 5,088 | 43.7 | % | 4,277 | 39.0 | % | Underwriting expenses | 2,488 | 41.4 | % | 2,324 | 42.7 | % | 7,576 | 42.9 | % | 6,601 | 40.2 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total losses and expenses | Total losses and expenses | 6,492 | 104.5 | % | 4,649 | 86.9 | % | 12,267 | 105.3 | % | 9,849 | 89.8 | % | Total losses and expenses | 6,487 | 108.0 | % | 5,046 | 92.7 | % | 18,754 | 106.2 | % | 14,895 | 90.8 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pre-tax underwriting gain (loss) | Pre-tax underwriting gain (loss) | $ | (281) | $ | 701 | $ | (618) | $ | 1,114 | Pre-tax underwriting gain (loss) | $ | (483) | $ | 397 | $ | (1,101) | $ | 1,511 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||
Interest, dividends and other investment income: | Interest, dividends and other investment income: | Interest, dividends and other investment income: | ||||||||||||||||||||||||||||||||||||||||||||
First Guard | First Guard | $ | 122 | $ | 13 | $ | 196 | $ | 30 | First Guard | $ | 202 | $ | 54 | $ | 398 | $ | 84 | ||||||||||||||||||||||||||||
Southern Pioneer | Southern Pioneer | 135 | 278 | 274 | 427 | Southern Pioneer | 160 | 141 | 434 | 568 | ||||||||||||||||||||||||||||||||||||
Pre-tax investment income | Pre-tax investment income | 257 | 291 | 470 | 457 | Pre-tax investment income | 362 | 195 | 832 | 652 | ||||||||||||||||||||||||||||||||||||
Income tax expense | Income tax expense | 54 | 61 | 99 | 96 | Income tax expense | 76 | 41 | 175 | 137 | ||||||||||||||||||||||||||||||||||||
Net investment income | Net investment income | $ | 203 | $ | 230 | $ | 371 | $ | 361 | Net investment income | $ | 286 | $ | 154 | $ | 657 | $ | 515 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Oil and gas revenue | Oil and gas revenue | $ | 14,440 | $ | 8,365 | $ | 24,252 | $ | 16,957 | Oil and gas revenue | $ | 12,688 | $ | 7,353 | $ | 36,940 | $ | 24,310 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Oil and gas production costs | Oil and gas production costs | 3,843 | 2,494 | 7,662 | 4,907 | Oil and gas production costs | 3,484 | 2,050 | 11,146 | 6,957 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation, depletion and accretion | Depreciation, depletion and accretion | 1,534 | 2,191 | 3,053 | 4,569 | Depreciation, depletion and accretion | 1,873 | 1,717 | 4,926 | 6,286 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
General and administrative expenses | General and administrative expenses | 642 | 654 | 1,195 | 1,416 | General and administrative expenses | 536 | 604 | 1,731 | 2,020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings before income taxes | Earnings before income taxes | 8,421 | 3,026 | 12,342 | 6,065 | Earnings before income taxes | 6,795 | 2,982 | 19,137 | 9,047 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income tax expense | Income tax expense | 2,052 | 690 | 3,049 | 1,374 | Income tax expense | 1,564 | 657 | 4,613 | 2,031 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contribution to net earnings (loss) | $ | 6,369 | $ | 2,336 | $ | 9,293 | $ | 4,691 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contribution to net earnings | Contribution to net earnings | $ | 5,231 | $ | 2,325 | $ | 14,524 | $ | 7,016 |
Third Quarter | |||||||||||||||||
2022 | |||||||||||||||||
Oil and gas revenue | $ | 1,692 | |||||||||||||||
Oil and gas production costs | 606 | ||||||||||||||||
Depreciation, depletion and accretion | 360 | ||||||||||||||||
General and administrative expenses | 280 | ||||||||||||||||
Earnings before income taxes | 446 | ||||||||||||||||
Income tax expense | 103 | ||||||||||||||||
Contribution to net earnings | 343 | ||||||||||||||||
Earnings attributable to noncontrolling interests | 34 | ||||||||||||||||
Net earnings attributable to Biglari Holdings Inc. shareholders | $ | 309 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Licensing and media revenue | Licensing and media revenue | $ | 1,249 | $ | 709 | $ | 1,883 | $ | 1,832 | Licensing and media revenue | $ | 1,905 | $ | 863 | $ | 3,788 | $ | 2,695 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Licensing and media costs | Licensing and media costs | 677 | 389 | 1,630 | 869 | Licensing and media costs | 345 | 880 | 1,975 | 1,749 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
General and administrative expenses | General and administrative expenses | 71 | 20 | 88 | 40 | General and administrative expenses | 26 | 39 | 114 | 79 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings before income taxes | 501 | 300 | 165 | 923 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income tax expense | 126 | 75 | 41 | 218 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings (loss) before income taxes | Earnings (loss) before income taxes | 1,534 | (56) | 1,699 | 867 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income tax expense (benefit) | Income tax expense (benefit) | 384 | (13) | 425 | 205 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contribution to net earnings (loss) | Contribution to net earnings (loss) | $ | 375 | $ | 225 | $ | 124 | $ | 705 | Contribution to net earnings (loss) | $ | 1,150 | $ | (43) | $ | 1,274 | $ | 662 |
Second Quarter | First Six Months | Third Quarter | First Nine Months | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment partnership gains (losses) | Investment partnership gains (losses) | $ | (105,241) | $ | (34,191) | $ | (111,902) | $ | 47,575 | Investment partnership gains (losses) | $ | 29,658 | $ | (20,231) | $ | (82,244) | $ | 27,344 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Tax expense (benefit) | Tax expense (benefit) | (24,894) | (7,996) | (26,754) | 11,121 | Tax expense (benefit) | 6,601 | (4,946) | (20,153) | 6,175 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contribution to net earnings (loss) | Contribution to net earnings (loss) | $ | (80,347) | $ | (26,195) | $ | (85,148) | $ | 36,454 | Contribution to net earnings (loss) | $ | 23,057 | $ | (15,285) | $ | (62,091) | $ | 21,169 |
Second Quarter | First Six Months | ||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||||||||||
Interest expense on notes payable | $ | — | $ | — | $ | — | $ | 1,121 | |||||||||||||||||||||||||||
Tax benefit | — | — | — | 280 | |||||||||||||||||||||||||||||||
Interest expense net of tax | $ | — | $ | — | $ | — | $ | 841 |
Third Quarter | First Nine Months | ||||||||||||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||||||||||||
Interest expense on notes payable | $ | 67 | $ | — | $ | 67 | $ | 1,121 | |||||||||||||||||||||||||||
Tax benefit | 15 | — | 15 | 280 | |||||||||||||||||||||||||||||||
Interest expense net of tax | $ | 52 | $ | — | $ | 52 | $ | 841 |
September 30, 2022 | December 31, 2021 | ||||||||||
Cash and cash equivalents | $ | 64,842 | $ | 42,349 | |||||||
Investments | 70,032 | 83,061 | |||||||||
Fair value of interest in investment partnerships | 338,314 | 474,201 | |||||||||
Total cash and investments | 473,188 | 599,611 | |||||||||
Less: portion of Company stock held by investment partnerships | (193,450) | (223,802) | |||||||||
Carrying value of cash and investments on balance sheet | $ | 279,738 | $ | 375,809 |
June 30, 2022 | December 31, 2021 | ||||||||||
Cash and cash equivalents | $ | 40,512 | $ | 42,349 | |||||||
Investments | 71,771 | 83,061 | |||||||||
Fair value of interest in investment partnerships | 349,339 | 474,201 | |||||||||
Total cash and investments | 461,622 | 599,611 | |||||||||
Less: portion of Company stock held by investment partnerships | (197,586) | (223,802) | |||||||||
Carrying value of cash and investments on balance sheet | $ | 264,036 | $ | 375,809 |
First Six Months | First Nine Months | |||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Net cash provided by operating activities | Net cash provided by operating activities | $ | 34,204 | $ | 187,208 | Net cash provided by operating activities | $ | 99,754 | $ | 211,245 | ||||||||||||
Net cash used in investing activities | Net cash used in investing activities | (32,819) | (32,839) | Net cash used in investing activities | (102,464) | (55,782) | ||||||||||||||||
Net cash used in financing activities | (3,134) | (153,136) | ||||||||||||||||||||
Net cash provided by (used in) financing activities | Net cash provided by (used in) financing activities | 25,353 | (154,586) | |||||||||||||||||||
Effect of exchange rate changes on cash | Effect of exchange rate changes on cash | (88) | (24) | Effect of exchange rate changes on cash | (150) | (85) | ||||||||||||||||
Increase (decrease) in cash, cash equivalents and restricted cash | $ | (1,837) | $ | 1,209 | ||||||||||||||||||
Increase in cash, cash equivalents and restricted cash | Increase in cash, cash equivalents and restricted cash | $ | 22,493 | $ | 792 |
Exhibit Number | Description | |||||||
101 | Interactive Data Files. | |||||||
104 | Cover page Interactive Data File (embedded within the Inline XBRL document and contained in Exhibit 101) |
* | Furnished herewith. |
Biglari Holdings Inc. | |||||||||||
Date: | By: | /s/ BRUCE LEWIS | |||||||||
Bruce Lewis | |||||||||||
Controller |