American Family Restaurants Reports First Quarter Results; Completes Conversion of Six Restaurants to Denny's Format; Denny's Same Store Sales Increase 3.7%.NORCROSS Norcross can refer to any of the following: Places United States
See: American Stock Exchange : FRI) today reported results for its fiscal 1996 first quarter ended December December: see month. 27, 1995. Revenues for the quarter were $27.9 million, an increase of 11.8% over revenues of $25.0 million in the first quarter of fiscal 1995. The revenue increase is primarily attributable to restaurants acquired since the fiscal 1995 first quarter and to Denny's same store sales Same Store Sales A statistic used in retail industry analysis. It compares sales of stores that have been open for a year or more. Notes: This statistic allows investors to determine what portion of new sales has come from sales growth and what portion from the opening of gains of 3.7%. Company-wide same store sales were essentially unchanged during the period. Giving effect to the recognition of approximately $472,000 in non-cash charges Non-Cash Charge A charge off, made by a company against earnings, that does not require an initial outlay of cash. Notes: Non-cash charges are typically against the depreciation, amortization, and depletion accounts on a company's balance sheet. related to property and equipment write-offs and the amortization of preopening costs, the Company reported a loss from operations for the fiscal 1996 first quarter of $239,000, compared to operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. of $607,000 in the fiscal 1995 first quarter. The net loss for the first quarter of fiscal 1996 was $385,000, or $0.06 per share, compared with net income of $10,000, or break-even on a per share basis including an extraordinary loss of $138,000 on the early extinguishment The destruction or cancellation of a right, a power, a contract, or an estate. Extinguishment is sometimes confused with merger, though there is a clear distinction between them. of debt. The weighted average number of shares outstanding for fiscal 1996 first quarter increased to 6,084,000, compared with 5,042,000 in the comparable quarter a year ago. The loss for the first quarter of fiscal 1996 reflects a charge of approximately $333,000 related to the write-off Write-Off A reduction in the value of an asset or earnings by the amount of an expense or loss. Companies are able to write off certain expenses that are required to run the business, or have been incurred in the operation of the business and detract from retained revenues. of property and equipment in connection with the conversion of six restaurants to the Denny's concept. In connection with the conversions, the Company capitalized Capitalized Recorded in asset accounts and then depreciated or amortized, as is appropriate for expenditures for items with useful lives longer than one year. approximately $701,000 of preopening costs which are amortized over the 12-month period following the completion of the conversions. Accordingly, the December 27, 1995 quarter includes the recognition of approximately $139,000 in non-cash charges related to the amortization of preopening costs. Commenting on American Family American Family is a photographic artwork exhibition by Renée Cox. See also
American Family Restaurants, Inc. (AFR AFR African AFR Australian Financial Review AFR Afrikaans (South African language) AFR Air France (ICAO code) AFR Alternate Frame Rendering AFR Applicable Federal Rate ) headquartered in Norcross (Atlanta), Georgia Georgia, country, Asia Georgia (jôr`jə), Georgian Sakartvelo, Rus. Gruziya, officially Republic of Georgia, republic (2005 est. pop. 4,677,000), c.26,900 sq mi (69,700 sq km), in W Transcaucasia. , operates 147 family style restaurants, 91 of which are Denny's, in 14 contiguous Adjacent or touching. Contrast with fragmentation. See contiguous file. states in the Midwest and Southeast. AFR has grown through the purchase of existing Denny's and the conversion of other restaurants into the Denny's format. On August 14, 1995, AFR and privately-held Denwest Restaurant Corp., an operator of 102 restaurants, 77 of which are Denny's, throughout the Midwest and West, announced the signing of an Agreement and Plan of Merger providing for the combination of the companies, the nation's two largest Denny's franchisees. -0-
Unaudited Financial Highlights
(In thousands, except per share amounts)
Summary Operating Information Three Months Ended
12/27/95 12/28/94
Revenues $27,920 $24,972 Operating income (loss) $ (239) $ 607 Income (loss) before extraordinary item $ (385) $ 148 Extraordinary item - loss on extinguishment of debt, net - (138) Net income (loss) $ (385) $ 10 Income per common and common equivalent share:
Income (loss) before extraordinary item
- loss on extinguishment of debt $(0.06) $ 0.03
Extraordinary item - loss on
extinguishment of debt (net of income
taxes) - (0.03)
Net income (loss) per common and common equivalent share $(0.06) $ - Weighted average common and common equivalent shares outstanding 6,084 5,042 Summary Balance Sheet Information Dec. 27, 1995 Sept. 27, 1995 Working capital (deficit) $ (6,359) $(6,867) Total assets 50,433 49,770 Long-term debt, less current portion 17,433 16,721 Obligations under capital leases, less current obligations 1,786 1,961 Shareholders' equity $17,043 $17,401 CONTACT: American Family Restaurants Edward C. Williams Chief Financial Officer 770/729-1300 or Jaffoni & Collins Incorporated Joseph N. Jaffoni, David C. Collins 212/505-3015 |
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