Selected Highlights for the Third Quarter 2011 as Compared to the Third Quarter 2010 Include the Following:
Selected Highlights for the Year-to-Date 2011 as Compared to the Year-Ago Period Include the Following:
"Despite considerable macro-economic headwinds, the third quarter met our expectations from both a revenue and profitability standpoint, and we were pleased to have generated positive comparable sales at both BRIO and BRAVO! and positive traffic overall. As always, we take considerable pride in ensuring that our guests are provided with an exceptional experience at every dining occasion, and by doing so, are proving successful in forging deep, long-term relationships with them," said
"In anticipation of the upcoming Holiday season, we have planned some exciting and innovative marketing initiatives that should create additional enthusiasm for our brands, foster guest loyalty, and position us for a strong finish to the year. Lastly, our 2011 development remains on track with eight new restaurant openings, and we are also well underway in preparing for 2012 expansion of our distinct restaurant concepts," concluded
Third Quarter 2011 Financial Results
Revenues increased
Total restaurant operating costs increased
GAAP net income attributed to common shareholders in the third quarter of 2011 was
On a modified pro forma basis, a measure that we believe offers a more useful year-over-year performance comparison, modified pro forma net income for the third quarter of 2011 was
Third Quarter 2011 Brand Operating Highlights
Comparable restaurant sales at BRIO increased 2.0% in the third quarter of 2011 and average weekly sales were
During the third quarter, we opened BRIO restaurants in
As of
Outlook
Based upon our year-to-date results as of
We are also providing a preliminary view for 2012, which is a 53-week year. Revenues are expected in the
Investor Conference Call and Webcast
The Company will host an investor conference call to discuss third quarter and year-to-date 2011 financial results today at
The conference call can be accessed live over the phone by dialing (888) 282-4570, or for international callers (719) 785-1759. A replay will be available one hour after the call and can be accessed by dialing (877) 870-5176 or (858) 384-5517 for international callers; the conference ID is 1044206. The replay will be available until
The call will be webcast live from the Company's investor relations website at http://investors.bbrg.com.
About
Forward-Looking Statements
Some of the statements in this release contain forward-looking statements, which involve risks and uncertainties. These statements relate to future events or our future financial performance. We have attempted to identify forward-looking statements by terminology including "anticipates," "believes," "can," "continue," "could," "estimates," "expects," "intends," "may," "plans," "potential," "predicts," "should" or "will" or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties, and other factors, including those discussed under the heading "Risk Factors" in our Annual Report on Form 10-K filed with the
Although we believe that the expectations reflected in the forward-looking statements are reasonable based on our current knowledge of our business and operations, we cannot guarantee future results, levels of activity, performance or achievements. We assume no obligation to provide revisions to any forward-looking statements should circumstances change.
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| CONSOLIDATED STATEMENTS OF OPERATIONS -- | ||||||||
| GAAP PRESENTATION WITH RECONCILIATION TO MODIFIED PRO FORMA | ||||||||
|
THIRTEEN AND THIRTY-NINE WEEKS ENDED |
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| (Dollars in thousands, except per share data) | ||||||||
|
Thirteen Weeks Ended |
Thirteen Weeks Ended |
Thirty-Nine Weeks Ended |
Thirty-Nine Weeks Ended |
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|
September 25, 2011 |
September 26, 2010 |
September 25, 2011 |
September 26, 2010 |
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| Revenues | $ 88,774 | $ 83,704 | $ 273,592 | $ 254,700 | ||||
| Costs and expenses | ||||||||
| Cost of sales | 23,617 | 26.6% | 21,735 | 26.0% | 73,008 | 26.7% | 66,124 | 26.0% |
| Labor | 30,730 | 34.6% | 28,404 | 33.9% | 92,893 | 34.0% | 86,504 | 34.0% |
| Operating | 13,958 | 15.7% | 13,465 | 16.1% | 42,388 | 15.5% | 40,025 | 15.7% |
| Occupancy | 5,587 | 6.3% | 5,672 | 6.8% | 17,747 | 6.5% | 16,982 | 6.7% |
| General and administrative expenses | 5,185 | 5.8% | 4,870 | 5.8% | 16,067 | 5.9% | 13,857 | 5.4% |
| Restaurant preopening costs | 1,281 | 1.4% | 207 | 0.2% | 2,882 | 1.1% | 1,892 | 0.7% |
| Depreciation and amortization | 4,303 | 4.8% | 4,272 | 5.1% | 12,555 | 4.6% | 12,607 | 4.9% |
| Total costs and expenses | 84,661 | 95.4% | 78,625 | 93.9% | 257,540 | 94.1% | 237,991 | 93.4% |
| Income from operations | 4,113 | 4.6% | 5,079 | 6.1% | 16,052 | 5.9% | 16,709 | 6.6% |
| Net interest expense | 394 | 0.4% | 1,779 | 2.1% | 1,315 | 0.5% | 5,322 | 2.1% |
| Income before income taxes | 3,719 | 4.2% | 3,300 | 3.9% | 14,737 | 5.4% | 11,387 | 4.5% |
| Income tax expense (benefit) | 121 | 0.1% | 44 | 0.1% | (56,806) | -20.8% | 148 | 0.1% |
| Net income | 3,598 | 4.1% | 3,256 | 3.9% | 71,543 | 26.1% | 11,239 | 4.4% |
| Undeclared preferred dividends | -- | (3,522) | -- | (9,701) | ||||
| Net income (loss) attributed to common shareholders | $ 3,598 | $ (266) | $ 71,543 | $ 1,538 | ||||
| Basic shares | 19,330 | 7,234 | 19,286 | 7,234 | ||||
| Basic earnings (loss) per share | $ 0.19 | $ (0.04) | $ 3.71 | $ 0.21 | ||||
| Diluted shares | 20,551 | 7,234 | 20,545 | 7,234 | ||||
| Diluted earnings (loss) per share | $ 0.18 | $ (0.04) | $ 3.48 | $ 0.21 | ||||
| Certain percentage amounts may not sum due to rounding. | ||||||||
| ADJUSTMENTS TO RECONCILE GAAP TO MODIFIED PRO FORMA RESULTS | ||||||||
| Management Fees (1) | -- | 358 | -- | 1,251 | ||||
| Incremental Public Company Costs (2) | -- | (306) | -- | (918) | ||||
| Stock Compensation Costs (3) | -- | (450) | -- | (1,350) | ||||
| Interest Expense (4) | -- | 1,327 | -- | 3,882 | ||||
| Income Tax Expense (5) | (995) | (1,225) | (4,232) | (4,128) | ||||
| Reduction in Valuation Allowance (6) | -- | -- | (57,175) | -- | ||||
| Undeclared Preferred Dividends (7) | -- | 3,522 | -- | 9,701 | ||||
| Secondary Offering Costs (8) | -- | -- | 600 | -- | ||||
| Total Adjustments | (995) | 3,226 | (60,807) | 8,438 | ||||
| Modified Pro Forma Net Income | $ 2,603 | $ 2,960 | $ 10,736 | $ 9,976 | ||||
| Basic Shares - Pro Forma | 19,330 | 19,250 | 19,286 | 19,250 | ||||
| Basic Earnings Per Share - Pro Forma | $ 0.13 | $ 0.15 | $ 0.56 | $ 0.52 | ||||
| Diluted Shares - Pro Forma | 20,551 | 20,600 | 20,545 | 20,600 | ||||
| Diluted Earnings Per Share - Pro Forma | $ 0.13 | $ 0.14 | $ 0.52 | $ 0.48 | ||||
| Notes to adjustments shown above: | ||||||||
| 1. Represents management fees and expenses paid to our private equity sponsors which were incurred prior to our initial public offering. | ||||||||
| 2. Represents the estimate, in 2010, of additional recurring incremental legal, accounting, insurance and other compliance costs we expected to incur as a public company. | ||||||||
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3. Represents the estimate, in 2010, of recurring stock compensation expense related to the restricted shares issued pursuant to the |
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| 4. Represents an adjustment to interest expense, in 2010, assuming the receipt of proceeds from our initial public offering and the use of such proceeds to pay down debt at the beginning of fiscal 2009. | ||||||||
| 5. This adjustment reflects a tax rate of 30.0%, which reflects our estimate of our long-term effective tax rate. | ||||||||
| 6. This adjustment reflects the reduction of a significant portion of our valuation allowance in the second quarter of 2011 as it was deemed more likely than not that the Company would utilize its future net deferred tax assets. | ||||||||
| 7. Our Series A preferred shares plus cumulative undeclared dividends thereon were converted to common shares pursuant to the exchange agreement executed in connection with our initial public offering in October 2010. | ||||||||
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8. Reflects the non-recurring costs, incurred by us, associated with the secondary offering of our common shares by certain of the Company's existing shareholders, completed on |
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| CONSOLIDATED BALANCE SHEETS | ||
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AS OF |
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| (Dollars in thousands) | ||
|
September 25, 2011 |
December 26, 2010 |
|
| Assets | (Unaudited) | |
| Current assets | ||
| Cash and cash equivalents | $ 4,740 | $ 2,460 |
| Accounts receivable | 5,043 | 4,754 |
| Tenant improvement allowance receivable | 2,647 | 632 |
| Inventories | 2,238 | 2,415 |
| Deferred income taxes | 2,630 | -- |
| Prepaid expenses and other current assets | 1,668 | 2,229 |
| Total current assets | 18,966 | 12,490 |
| Property and equipment — net | 159,374 | 147,621 |
| Deferred income taxes — net | 55,275 | -- |
| Other assets — net | 3,201 | 3,342 |
| Total assets | $ 236,816 | $ 163,453 |
| Liabilities and stockholders' equity | ||
| Current liabilities | ||
| Trade and construction payables | $ 11,967 | $ 9,920 |
| Accrued expenses | 23,051 | 21,150 |
| Current portion of long-term debt | 1,714 | 2,050 |
| Current portion of deferred lease incentives | 5,412 | 4,979 |
| Deferred gift card revenue | 5,678 | 9,725 |
| Total current liabilities | 47,822 | 47,824 |
| Long-term portion of deferred lease incentives | 60,518 | 54,594 |
| Long-term debt | 31,286 | 38,950 |
| Other long-term liabilities | 17,467 | 15,682 |
| Commitments and contingencies | ||
| Stockholders' equity | ||
|
Common shares, no par value per share - authorized, 100,000,000 shares; issued and outstanding, 19,368,344 at |
193,074 | 191,297 |
| Retained deficit | (113,351) | (184,894) |
| Total stockholders' equity | 79,723 | 6,403 |
| Total liabilities and stockholders' equity | $ 236,816 | $ 163,453 |
CONTACT: Investor Relations
Don Duffy /Raphael Gross
(203) 682-8200
investors@bbrg.com
Source: News Provided by Acquire Media