In its first earnings report as a public company, Del Taco Restaurants Inc. Monday said it saw sales and profits increase in the quarter ended June 16.
Comp sales for the Lake Forest, Calif.-based Mexican chain increased 6 percent year-over-year during the second quarter, and by 10.6 percent when examining sales on a two-year basis, which downplays one-time sales detractors such as inclement weather.
Net income for the 550-unit chain grew to $4.6 million, a $4.7 million increase from the same period last year, which saw a $100,000 loss.
As part of the merger with Levy Acquisition Corp. that took the company public earlier this year, Del Taco was able to pay $68.6 million toward debts, thus freeing up the company for growth and greater financial flexibility, executives said.
“The closing of the merger with Levy Acquisition Corp. on June 30th marked the end of one chapter for Del Taco and the beginning of an exciting new one in our company’s history,” Del Taco CEO Paul Murphy said in a statement. “We look forward to showcasing delicious, fresh, made-to-order Mexican and American classics at a great value to guests across the country.”
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