The Bagger Dave’s Burger Tavern location in Fishers has been closed by parent company Diversified Restaurant Holdings, Inc., which cited underperforming sales caused the closure.
The Fishers location opened in 2014 and was one of seven Indiana and one Detroit Bagger Dave’s to be closed. The others in Indiana were across Avon and Indianapolis, with one in Fort Wayne remaining the only Bagger Dave’s in the state.
“DRH is committed to taking all appropriate and necessary actions to enhance value for all shareholders,” Michael Ansley, Diversified Restaurant Holdings chairman, president and CEO, said in a release. “We have therefore chosen to optimize our portfolio and improve overall profitability by closing eight underperforming Bagger Dave’s Restaurants. This will allow us to focus our attention on more profitable restaurants.”
Diversified Restaurants Holdings, based in Southfield, Mich., claimed the eight underperforming locations generated $5.5 million in revenue with a $600,000 loss in earnings before interest, taxes, depreciation, and amortization (EBITDA) in 2015. The remaining 18 Bagger Dave’s generated $14.1 million in revenue and $700,000 in EBITDA.
“Currently, five Bagger Dave’s are operating under the new and improved prototype and we are very encouraged with the initial performance,” Ansley said. “As we gain experience with the brand, we have confidence that we have made the necessary improvements to drive future success of the concept.”