The company's financial leverage is highly concerning, with a debt-to-equity ratio of 8.46 as of 2026Q1, signaling significant strain on the capital structure.
| Total Current Assets | 15.23M | 22.75M | 33.89M | 36.82M | 14.73M | 25.98M | 11.21M | 7.61M |
| Cash & Short-Term Investments | 4.43M | 2.82M | 23.68M | 32.63M | 11.2M | 9.89M | 7.15M | 6.68M |
| Cash Only | 4.43M | 2.82M | 23.68M | 32.63M | 11.2M | 9.89M | 7.15M | 6.68M |
| Short-Term Investments | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accounts Receivable | 2.06M | 10.42M | 3.49M | 0 | 0 | 0 | 0 | 0 |
| Days Sales Outstanding | 6.62 | 17.9 | 6.11 | - | - | - | - | - |
| Inventory | 1.62M | 1.21M | 727K | 461K | 2.54M | 1.13M | 143K | 425.41K |
| Days Inventory Outstanding | 2.16 | 2.29 | 1.42 | 1.08 | 6.82 | 3.67 | 0.84 | 4.14 |
| Other Current Assets | 7.11M | 8.29M | 0 | 0 | 0 | 13.32M | 3.43M | 1 |
| Total Non-Current Assets | 243.85M | 237.11M | 206.52M | 147.05M | 124.15M | 27.86M | 21.91M | 26.46M |
| Property, Plant & Equipment | 204.98M | 212.22M | 184.18M | 133.16M | 112M | 17.14M | 20.22M | 25.01M |
| Fixed Asset Turnover | 1.35x | 1.00x | 1.13x | 1.36x | 1.46x | 8.20x | 3.10x | 4.55x |
| Goodwill | 0 | 9.5M | 9.5M | 0 | 0 | 0 | 0 | 0 |
| Intangible Assets | 9.5M | 386K | 224K | 215K | 224K | 224K | 224K | 252.33K |
| Long-Term Investments | 0 | 0 | 0 | 523K | 618K | 189K | 439K | 788.4K |
| Other Non-Current Assets | 16.11M | 2M | 12.62M | 13.15M | 11.31M | 10.3M | 1.03M | 406.19K |
| Total Assets | 259.08M | 259.86M | 240.41M | 183.87M | 138.88M | 53.84M | 33.13M | 34.07M |
| Asset Turnover | 0.83x | 0.82x | 0.87x | 0.98x | 1.18x | 2.61x | 1.89x | 3.34x |
| Asset Growth % | 40.95% | 8.09% | 30.75% | 32.4% | 157.96% | 62.52% | -2.76% | - |
| Total Current Liabilities | 53.08M | 54.07M | 41.07M | 31.3M | 37.27M | 23.46M | 10.4M | 7.06M |
| Accounts Payable | 16.56M | 14.82M | 12.41M | 10.7M | 7.47M | 5.05M | 6.22M | 3.93M |
| Days Payables Outstanding | 26.49 | 28.02 | 24.29 | 24.98 | 20.04 | 16.41 | 36.5 | 38.25 |
| Short-Term Debt | 12.21M | 3.81M | 4.72M | 4.07M | 14.98M | 7.38M | 1.07M | 610.49K |
| Deferred Revenue (Current) | 11.77M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Current Liabilities | 13.54M | 27.17M | 9.79M | 3.81M | 4.13M | 6.12M | 942K | 300.63K |
| Current Ratio | 0.29x | 0.42x | 0.83x | 1.18x | 0.40x | 1.11x | 1.08x | 1.08x |
| Quick Ratio | 0.26x | 0.40x | 0.81x | 1.16x | 0.33x | 1.06x | 1.06x | 1.02x |
| Cash Conversion Cycle | -17.7 | -7.83 | -16.76 | - | - | - | - | - |
| Total Non-Current Liabilities | 184.59M | 177.78M | 155.23M | 116.55M | 108.37M | 19.68M | 29.9M | 23.28M |
| Long-Term Debt | 11.09M | 10.79M | 5.14M | 4.55M | 5.82M | 7.01M | 20.87M | 12.73M |
| Capital Lease Obligations | 641.79M | 165.89M | 147.9M | 110.5M | 101.06M | 297K | 422K | 1.05M |
| Deferred Tax Liabilities | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Current Liabilities | 15.79M | 1.09M | 2.19M | 1.5M | 1.5M | 12.37M | 8.61M | 9.51M |
| Total Liabilities | 237.67M | 231.85M | 196.3M | 147.85M | 145.64M | 43.14M | 40.3M | 30.34M |
| Total Debt | 181.02M | 187.22M | 163.01M | 123.77M | 126.08M | 14.9M | 22.63M | 14.51M |
| Net Debt | 176.58M | 184.39M | 139.33M | 91.14M | 114.89M | 5.01M | 15.47M | 7.83M |
| Debt / Equity | 8.46x | 6.68x | 3.69x | 3.44x | - | 1.39x | - | 3.89x |
| Debt / EBITDA | -103.03x | 21.05x | 11.52x | 7.02x | 6.54x | 0.71x | - | 1.27x |
| Net Debt / EBITDA | -100.50x | 20.73x | 9.85x | 5.17x | 5.96x | 0.24x | - | 0.69x |
| Interest Coverage | -23.71x | -24.38x | 13.25x | 19.57x | 15.36x | 80.11x | -11.42x | 9.31x |
| Total Equity | 21.41M | 28.01M | 44.12M | 36.02M | -6.76M | 10.69M | -7.17M | 3.73M |
| Equity Growth % | -111.87% | -36.52% | 22.49% | 632.73% | -163.23% | 249.05% | -292.57% | - |
| Book Value per Share | 4.01 | 5.42 | 9.45 | 8.51 | -1.88 | 2.97 | -1.99 | 1.03 |
| Total Shareholders' Equity | 13.46M | 14.02M | 12.73M | 7.47M | -10.01M | 8.89M | -8.04M | 2.87M |
| Common Stock | 33K | 33K | 33K | 32K | -10.01M | 8.89M | -8.04M | 2.87M |
| Retained Earnings | -3.28M | -2.11M | 915K | 322K | 0 | 0 | 0 | 0 |
| Treasury Stock | -201K | -201K | 0 | 0 | 0 | 0 | 0 | 0 |
| Accumulated OCI | 1.37M | 1.51M | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 7.95M | 13.98M | 31.39M | 28.55M | 3.25M | 1.8M | 863K | 859.57K |
Excessive leverage and liquidity
As reported in recent financial filings, GENK's equity base has stagnated while total liabilities surged to $237.7M in 2026Q1, signaling a weakening financial position as the company struggles to balance aggressive store expansion with a lack of consistent, internally generated capital to support its growth.
The trajectory of the balance sheet suggests a company increasingly reliant on external financing to sustain operations. The persistent erosion of retained earnings indicates that the business model has yet to achieve the scale necessary to generate self-sustaining equity growth.
Based on the company's reported figures, the debt-to-equity ratio has climbed to a concerning 8.46 as of 2026Q1, reflecting a capital structure that appears heavily skewed toward debt-funded expansion rather than organic growth or equity-based capitalization strategies.
This elevated leverage profile leaves the company with minimal margin for error in a high-interest-rate environment. Investors should monitor whether this debt load is sustainable given the company's current inability to generate positive operating income to service these obligations.
According to quarterly financial statements, GENK's current ratio has plummeted to 0.29 in 2026Q1, indicating that the company's short-term assets are insufficient to cover its immediate liabilities, which warrants further investigation into potential near-term liquidity constraints or the necessity for emergency financing.
The rapid decline in cash reserves from $32.6M in 2023Q4 to just $4.4M in 2026Q1 suggests that the company is burning through its liquidity at an unsustainable pace. This trend implies a heightened risk of insolvency if the current cash burn rate is not addressed immediately.
As indicated by the provided data, the company's reliance on capitalized lease liabilities under ASC 842 appears to be significantly inflating the debt profile, potentially obscuring the true operational leverage and making the balance sheet appear more strained than traditional bank debt might suggest.
While lease accounting is a standard requirement, the sheer scale of these liabilities relative to the company's thin equity base suggests that the business is highly sensitive to occupancy cost fluctuations. This structural reality makes the company's financial health highly dependent on maintaining high table turnover rates to cover fixed lease obligations.
Quick answers to the most common questions about buying GENK stock.
As of 2025, GEN Restaurant Group, Inc. (GENK) had total assets of $259.9M including $22.7M in current assets.
GEN Restaurant Group, Inc. (GENK) carries total debt of $187.2M, offset by $2.8M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
GEN Restaurant Group, Inc. (GENK) has total shareholders' equity (book value) of $14.0M ($5.42 book value per share). Book value represents the net worth of the company belonging to common stock holders.
GEN Restaurant Group, Inc. (GENK) reported a current ratio of 0.42x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.