Printer Friendly

Chicago Pizza & Brewery Inc. announces increased revenues, improved cash flow and increased same-store sales in the third quarter, compared with last year.

MISSION VIEJO, Calif.--(BUSINESS WIRE)--Nov. 22, 1996--Chicago Pizza & Brewery Inc. (NASDAQ:CHGO/CHGOW) Friday released results for the third quarter and nine months of 1996.

Total revenues increased 208 percent for the third quarter and 177 percent for the nine months of 1996, compared with the same period in 1995. Revenues totaled $14,318,000 for the nine months and $6,010,000 for the third quarter of 1996.

Revenues for the company's California and Hawaii stores, the majority of which operated under the ``BJ's Pizza & Grill'' or ``BJ's Pizza, Grill & Brewery'' name, had same-store sales increases of 6 percent for the third quarter, and 14.1 percent for the nine months of 1996, compared with the same period in 1995 for stores open the entire comparable periods.

The company's 19 Northwest stores, currently operated as pizzerias under the Pietro's name while awaiting conversion to BJ's casual-dining and brewpub restaurants, were not owned or operated by the company in 1995.

Paul Motenko, the company's chief executive officer, indicated that the increase in total revenues for the quarter resulted from the purchase of the Pietro's restaurants in the Northwest in March 1996; the opening of a BJ's Pizza & Grill in Westwood Village (Los Angeles) in March 1996; the opening of a BJ's Pizza, Grill & Brewery in Brea, Calif., in April 1996; and comparable-store sales increases.

The company's first brewpub in Brea had revenues of $815,000 for the three months of the third quarter of 1996, which the company believes validates its brewpub strategy.

In addition, the company's brewery at Brea has begun to supply the other BJ's restaurants and has recently obtained contracts to brew for third parties, which should generate additional revenues.

The company had an improved bottom line for the third quarter primarily due to increased revenues and a reduction in expenses relative to revenues, including operating expenses, labor costs, occupancy costs and general and administrative expenses, partially offset by an increase in cost of sales.

As a result, the loss for the third quarter decreased to $308,000 from $430,000 in the third quarter of 1996. The 1996 third-quarter loss included a noncash charge of $173,000 for interest on debt, which was converted to equity at the close of the company's initial public offering on Oct. 15, 1996.

Excluding this charge and amortization and depreciation, the company's cash flow from operations was positive in the third quarter.

Chicago Pizza & Brewery is an operator of 28 casual-dining restaurants, some of which incorporate brewpubs. Eight of the restaurants are located in Southern California, and one is located in Lahaina Maui, Hawaii.

In 1996, the company acquired 19 restaurants in Oregon and Washington from Pietro's Corp. These Pietro's pizzeria restaurants are scheduled to be converted into brewpubs and casual-dining facilities to operate under the BJ's name.

The conversion is being financed with proceeds from the company's initial public offering, which closed on Oct. 15, 1996. The company will also use the proceeds to finance the opening of the company's new BJ's Pizza, Grill & Brewery, located in the Pearl Street Mall, a popular, high-traffic pedestrian promenade in Boulder, Colo.

Management expects that the Colorado restaurant will be opened in the first quarter of 1997.

The information presented herein contains certain forward- looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby.

The company's results may differ significantly from the results indicated by such forward-looking statements. Factors that might cause such differences include, but are not limited to: (i) the company's ability to manage growth and conversions, (ii) construction delays, (iii) restaurant and brewery industry competition and other such industry considerations, (iv) marketing and other limitations based on the company's historic concentration in Southern California, (v) consumer trends, (vi) increased food costs and wages and (vii) other general economic and regulatory conditions. -0-
 Chicago Pizza & Brewery Inc. and Subsidiaries
 Consolidated Financial Statements (unaudited)
 (thousands, except per-share data)

 Consolidated Statement of Operations

 For the three months ended Sept. 30,
 1996 1995

Revenues $ 6,010 100.0% $ 1,953 100.0%
Cost of sales 1,858 30.9 550 28.2
 Gross profit 4,152 69.1 1,403 71.8

Costs and expenses:
 Labor and benefits 1,965 32.7 791 40.5
 Occupancy 531 8.8 183 9.4
 Operating expenses 978 16.3 405 20.7
 Pre-opening expense 60 1.0 -- --
 General and administrative 452 7.5 206 10.5
 Depreciation and
 amortization 227 3.8 96 4.9
 Total cost and expenses 4,213 70.1 1,681 86.1
 Loss from operations (61) (1.0) (278) (14.2)

Other income (expense):
 Interest expense, net (246) (4.1) (46) (2.4)
 Other -- -- (104) (5.3)
 Total other expense (246) (4.1) (150) (7.7)
 Loss before minority
 interest and taxes (307) (5.1) (428) (21.9)
Minority interest in
 partnership 1 -- -- --

Loss before taxes (306) (5.1) (428) (21.9)
Income tax expense (2) -- (2) (0.1)
 Net loss $ (308) (5.1)% $ (430) (22.0)%
 Net loss per common
 share (8 cents) (12 cents)

Weighted average number
 of common shares
 outstanding 3,789 3,518

Restaurants opened at
 end of period 28 7
-0-

 Chicago Pizza & Brewery Inc. and Subsidiaries
 Consolidated Financial Statements (unaudited)
 (thousands, except per-share data)

 Consolidated Statement of Operations

 For the nine months ended Sept. 30,
 1996 1995

Revenues $14,318 100.0% $ 5,160 100.0%
Cost of sales 4,472 31.2 1,444 28.0
 Gross profit 9,846 68.8 3,716 72.0

Costs and expenses:
 Labor and benefits 5,054 35.3 2,061 39.9
 Occupancy 1,227 8.6 497 9.6
 Operating expenses 2,307 16.1 1,055 20.4
 Pre-opening expense 119 0.8 -- --
 General and administrative 1,284 9.0 537 10.4
 Depreciation and
 amortization 604 4.2 277 5.4
 Total cost and expenses 10,595 74.0 4,427 85.8
 Loss from operations (749) (5.2) (711) (13.8)

Other income (expense):
 Interest expense, net (632) (4.4) (427) (8.3)
 Other 7 -- (104) (2.0)
 Total other expense (625) (4.4) (531) (10.3)
 Loss before minority
 interest and taxes (1,374) (9.6) (1,242) (24.1)
Minority interest in
 partnership (1) -- 17 0.3

Loss before taxes (1,375) (9.6) (1,225) (23.7)
Income tax expense (8) (0.1) (4) (0.1)
 Net loss $(1,383) (9.7)% $(1,229) (23.8)%
 Net loss per common
 share (37 cents) (42 cents)

Weighted average number
 of common shares
 outstanding 3,789 2,936

Restaurants opened at
 end of period 28 7
-0-

 Chicago Pizza & Brewery Inc. and Subsidiaries
 Consolidated Financial Statements (unaudited)
 (thousands, except per-share data)

 Condensed Balance Sheet

 Sept. 30, 1996 Sept. 30, 1996 Dec. 31, 1995
 (pro forma --
 post IPO)

Total current
 assets $ 2,298 $ 8,311 $ 2,351
Property and
 equipment 5,337 5,337 1,871
Intangible assets 5,735 5,735 5,558
Other assets 1,018 1,018 163
 Total assets $14,388 $20,401 $ 9,943

Current liabilities $ 7,673 $ 3,725 $ 2,329
Long-term
 liabilities 4,025 4,025 3,591
Stockholders'
 equity 2,690 12,651 4,023
 Total liabilities
 and stockholders'
 equity $14,388 $20,401 $ 9,943




CONTACT: Chicago Pizza & Brewery Co.

Paul Motenko, 714/367-8616
COPYRIGHT 1996 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1996, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

Article Details
Printer friendly Cite/link Email Feedback
Publication:Business Wire
Date:Nov 22, 1996
Words:1243
Previous Article:ISP Networks Selects Farallon's Netopia as Remote Site Internet Router and ISDN Modem of Choice; Farallon Helps ISPs Increase Business.
Next Article:B.C. Pacific Capital Nine Month Report.
Topics:


Related Articles
Chicago Pizza & Brewery Inc. announces 201 percent increase in revenues and 13 percent increase in same store sales in 1996 as compared to the prior...
Chicago Pizza & Brewery Inc. announces 201 percent increase in revenues and 13 percent increase in same store sales in 1996 as compared to the prior...
Chicago Pizza & Brewery Inc. announces a 227 percent increase in revenues and substantial sales increase at its first restaurant conversion in the...
Chicago Pizza & Brewery, Inc. Reports Same Store Sales Increase of 13.1% and 20% Revenue Growth in Third Quarter 1997.
Chicago Pizza & Brewery, Inc. Reports a 19.1% Increase in Revenues, 15.0% Comparable Stores Sales Increases at its BJ's Restaurants and Continued...
Chicago Pizza & Brewery Reports Profitability for 1998, a 112 Percent Increase in Cash Flow and a 15.7 Percent Increase in Comparable Store Sales at...
Chicago Pizza & Brewery, Inc. Reports a $173,000 Profit for the First Quarter of 2000 and a 25.8% Increase in Revenues.
Chicago Pizza & Brewery Inc. Reports a 24.1% Increase in Revenues and a $199,000 Profit for the Second Quarter of 2000.
Chicago Pizza & Brewery Inc. Reports a 47.3% Increase in Revenues and a Record $784,000 Profit for the Third Quarter of 2000.
Chicago Pizza & Brewery Inc. Reports a $736,000 Profit for the First Quarter of 2002 and a 13% Increase in Revenues.

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters