Buffalo Wild Wings, Inc. Announces Fourth Quarter 2006 Results.* Same-store sales Same-store sales is a business term which refers to the revenue generated by one of a retail chain's specific outlets during a certain period of time (often a fiscal quarter or a particular shopping season), compared to an identical period in the past, usually in the previous year. increased 13.2% at company-owned and 6.5% at franchised restaurants * Fourth quarter earnings per diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share of $0.77 MINNEAPOLIS -- Buffalo Wild Wings Buffalo Wild Wings Grill & Bar (also commonly referred to as B-Dubs) is a sports bar and restaurant franchise in the United States that is best-known for its buffalo wings. , Inc. (Nasdaq:BWLD), announced today financial results for the fourth quarter ended December 31, 2006. Highlights for the fourth quarter were: * Total revenue increased 41.3% over the prior year to $83.3 million * Company-owned restaurant sales grew 41.9% over the prior year to $74.2 million * Fourth quarter same-store sales increased 13.2% at company-owned restaurants and 6.5% at franchised restaurants over the prior year * Earnings per diluted share of $0.77, including a fourteenth week which is estimated to have contributed $0.16 As a reminder, Buffalo Wild Wings utilizes a 52- or 53-week fiscal year. The fiscal year ended December 31, 2006 was a 53-week year, with the fourth quarter of 2006 having fourteen weeks, while the fourth quarter of 2005 included thirteen weeks. Sally Smith, President and Chief Executive Officer, commented, "Fourth quarter was a spectacular finish to a great year. Same-store sales trends continued strong throughout the quarter, at 13.2% for company-owned and 6.5% for franchised restaurants. Our industry-leading comps, combined with a fourteenth week in the quarter, drove total revenue 41.3% over prior year. This revenue, paired with favorable fa·vor·a·ble adj. 1. Advantageous; helpful: favorable winds. 2. Encouraging; propitious: a favorable diagnosis. 3. trends in cost of sales, labor and operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. , a lower than anticipated tax rate, and the leveraging of expenses due to the fourteenth week, propelled net income to $0.77 per share, the largest single quarter in the history of the company. We ended the year with earnings of $1.85 per share, an impressive increase of 81% over last year. Results like these are accomplished only through the focused execution of our franchisees and team members who have delivered on the Buffalo Wild Wings Grill & Bar brand promise to our guests: YOU HAVE TO BE HERE[TM]." Total revenue, which includes company-owned restaurant sales and franchise royalties and fees, increased 41.3% to $83.3 million in the fourth quarter compared to $59.0 million in the fourth quarter of 2005. Company-owned restaurant sales for the quarter increased 41.9% to $74.2 million driven by a company-owned same-store sales increase of 13.2% and 17 more company-owned locations in operation at the end of fourth quarter 2006 relative to the same period in 2005. Franchise royalties and fees increased 36.4% to $9.1 million versus $6.7 million in the prior year. This increase was due to a franchised same-store sales increase of 6.5% and 42 more franchised restaurants at the end of the period versus a year ago. Average weekly sales for company-owned restaurants were $38,800 for the fourth quarter of 2006 compared to $33,953 for the same quarter last year, a 14.3% increase. Franchised restaurants averaged $46,008 for the period versus $42,533 in the fourth quarter a year ago, an 8.2% increase. For the fourth quarter, earnings per diluted share were $0.77, which included a restaurant impairment Impairment 1. A reduction in a company's stated capital. 2. The total capital that is less than the par value of the company's capital stock. Notes: 1. This is usually reduced because of poorly estimated losses or gains. 2. and closure charge of $652,000 or $0.05 per diluted share, stock-based compensation expense of $1 million or $.08 per diluted share, and the benefit of a fourteenth week estimated at $0.16 per diluted share. In addition, the effective tax rate in the fourth quarter of 2006 was 27.6% due to higher than anticipated federal tax credits and favorable state apportionment The process by which legislative seats are distributed among units entitled to representation; determination of the number of representatives that a state, county, or other subdivision may send to a legislative body. The U.S. factors. This compares to fourth quarter 2005 earnings per diluted share of $0.30, which included a restaurant impairment charge of $1.1 million or $0.08 per diluted share, stock-based compensation expense of $653,000 or $0.05 per diluted share, and an effective tax rate of 36.7%. 2007 Outlook "We continue our commitment to grow Buffalo Wild Wings to over 1000 units in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. ," commented Ms. Smith. "In October of 2006, we outlined our annual performance targets for the next three years: over 15% unit growth, over 20% revenue growth, and over 25% earnings growth. For 2007, earnings growth should be calculated excluding the benefit of the fourteenth week in 2006, which is estimated to be about $0.16 of earnings per diluted share. Even without the fourteenth week, the strong fourth quarter of 2006 sets our 2007 earnings hurdle HURDLE, Eng. law. A species of sledge, used to draw traitors to execution. a little higher." Ms. Smith concluded, "With that said, I'm confident that Buffalo Wild Wings is up for the challenge. We are focused on achieving these performance targets, and the energy, dedication and passion needed to be successful exists throughout all levels of the organization. As we begin Buffalo Wild Wings' 25th year, we look forward to continued success and sharing our achievements with you." Included in this release is information regarding restaurant unit counts, same-store sales and average weekly sales volumes. Our management team believes such information is an important measure of our performance and is useful in assessing consumer acceptance of the Buffalo Wild Wings Grill & Bar concept. Franchise information also provides an understanding of our revenues as franchise royalties and fees are based on the opening of franchised units and their sales. However, these sales measures are not prepared in accordance Accordance is Bible Study Software for Macintosh developed by OakTree Software, Inc.[] As well as a standalone program, it is the base software packaged by Zondervan in their Bible Study suites for Macintosh. with U.S. Generally Accepted Accounting Principles The standard accounting rules, regulations, and procedures used by companies in maintaining their financial records. Generally accepted accounting principles (GAAP) provide companies and accountants with a consistent set of guidelines that cover both broad accounting (GAAP GAAP See: Generally Accepted Accounting Principles GAAP See generally accepted accounting principles (GAAP). ), should not be considered in isolation or as a substitute for other measures of performance prepared in accordance with GAAP, and may not be comparable to sales measures as defined or used by other companies. Buffalo Wild Wings will be hosting a conference call today, February 15, 2007 at 4:00 p.m. CST CST abbr. 1. Central Standard Time 2. convulsive shock treatment CST Central Standard Time Noun 1. to discuss these results. There will be a simultaneous webcast conducted at our website http://www.buffalowildwings.com. A replay of the call will be available until February 22, 2007. To access this replay, please dial (719) 457-0820, password 5111459. About the Company Buffalo Wild Wings, Inc., founded in 1982 and headquartered in Minneapolis, Minnesota “Minneapolis” redirects here. For other uses, see Minneapolis (disambiguation). Minneapolis (pronounced IPA: /ˌmɪniˈæpəlɪs/) is the largest city in the U.S. , is a growing owner, operator and franchisor of restaurants featuring a variety of boldly-flavored, made-to-order menu items including Buffalo-style chicken wings Chicken Wings can refer to:
Forward-looking Statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. Certain statements in this release that are not historical facts, including, without limitation, those relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc our projected unit, revenue and earnings growth rates Growth Rates The compounded annualized rate of growth of a company's revenues, earnings, dividends, or other figures. Notes: Remember, historically high growth rates don't always mean a high rate of growth looking into the future. and future financial performance, are forward-looking statements that involve risks and uncertainties. Such statements are based upon the current beliefs and expectations of our management. Actual results may vary materially from those contained in forward-looking statements based on a number of factors including, without limitation, the actual number of locations opening in the future, the sales at these and our other company-owned and franchised locations, our ability to successfully operate in new markets, the cost of fresh chicken wings, the success of our marketing initiatives, our ability to control restaurant labor and other restaurant operating costs operating costs npl → gastos mpl operacionales and other factors disclosed from time to time in our filings with the U.S. Securities and Exchange Commission. Investors should take such risks into account when making investment decisions. Shareholders and other readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date on which they are made. We undertake no obligation to update any forward-looking statements. [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion