Company reports system-wide results for the year: 110 new restaurants, expansion into seven new states, sales of $275 million and the creation of more than 2,600 new jobs
SEATTLE, March 13, 2018 (GLOBE NEWSWIRE) -- MOD Super-Fast Pizza Holdings, LLC (“MOD Pizza,” “MOD” or the “Company”) today announced 2017 year-end results that reflect continued new store growth and strong performance from existing stores. During the 2017 fiscal year, MOD added 110 locations system-wide, bringing its system-wide store count to 302, and grew same-store sales by 5.2%. System-wide sales reached $275 million, reflecting a year-over-year increase of 81%, while company net revenue hit $219 million, up 68% over 2016.
To support its rapid growth, MOD raised $33 million in equity in 2017 with continued support from its strong investor base, and closed on a $40 million credit facility. To date, MOD has raised over $185 million in total equity capital.
“2017 was an amazing year for MOD as we added 110 stores to our system-wide store base, making it the second year in a row during which we grew by 100 stores or more. We continued our aggressive geographic expansion entering seven new states, giving us a presence in 27 states at year end,” said Scott Svenson, co-founder and CEO of MOD Pizza. “We accomplished this during a difficult period for the broader restaurant industry, and we believe our remarkable growth was enabled, in significant part, by our continued commitment to make a positive social impact. In 2017 alone, MOD contributed over $1 million to support our local communities and Squad members in need.”
New store openings increased MOD’s presence in existing markets and launched the brand in seven new states - Indiana, Montana, Utah, Delaware, Florida, Nevada and Georgia - creating over 2,600 jobs and building the MOD Squad to more than 6,800 system-wide by year end. The Company also significantly strengthened its executive team, adding four key individuals: Paul Twohig, Chief Operating Officer; Tracy Cioffi, Chief Marketing Officer; Robin Hamm, Vice President of Culinary, and Robert Notte, VP of Technology. Further bolstering the company’s leadership, Kate Jaspon, Chief Financial Officer of Dunkin’ Brands, was appointed to MOD’s Board of Directors.
MOD’s growth also supported its ongoing commitment to Spreading MODness – the idea of using the business as a platform for creating positive social change. During the company’s annual week-long Spreading MODness campaign, MOD and its franchisees donated over $364,000 to Generosity Feeds to help create a half-million meals for kids struggling with hunger. The Company’s donation will help fund over 40 meal-packing events in the states where MOD operates, serving as a catalyst to bring communities together to help combat childhood hunger.
MOD’s unit growth, strong connection with consumers, and expanding social impact were all recognized during the year and reflected through various awards, including: being recognized as the most loved pizza brand in the US by Foodable Network, being named the number one mid-sized restaurant chain in the US by Fishbowl’s Buzz Brands Report, and ranking as America’s fastest growing chain restaurant by Technomic. MOD also earned a spot on the Inc. 500 list, and was recognized by Fortune as one of the “20 Best Workplaces in Retail,” a “Best Workplace for Women,” a “Best Workplace for Millennials,” and a “Best Workplace for Diversity.”
Definitions:
The following definitions apply to these terms as used throughout this release:
MOD operates using a 52/53-week fiscal year. The first fiscal quarter consists of 16 weeks and each of the second, third and fourth fiscal quarters consists of 12 weeks, except for a 53-week year when the fourth quarter has 13 weeks. 2017 was a 53-week year.
The term “system-wide” refers to all company-operated and licensed store locations.
Comparable system-wide store sales represent the change in period-over-period sales for the comparable company-owned store base. A store becomes comparable after its 18th month of operation. The Company presents comparable system-wide store sales on a fiscal calendar basis. As a result, MOD’s comparable system-wide store sales calculation may not correspond exactly to the related calendar periods.
ABOUT MOD PIZZA:
MOD Pizza is a pioneer of the fast casual pizza segment, founded in Seattle in 2008 by entrepreneur husband and wife team Scott and Ally Svenson. MOD’s individual artisan-style pizzas are made on demand, allowing customers to create their own pizzas and salads, using fresh-pressed dough, signature sauces and over 30 toppings, all for one incredible price. With more than 320 locations system-wide across 27 states and the United Kingdom, MOD is committed to creating not only a cool place to eat, but an inspired place to work. For more information, please visit www.modpizza.com or connect with the brand via Facebook, Twitter or Instagram.