Printer Friendly

KETTLE RESTAURANTS ANNOUNCES FINANCIAL RESULTS

 KETTLE RESTAURANTS ANNOUNCES FINANCIAL RESULTS
 HOUSTON, June 16 /PRNewswire/ -- Kettle Restaurants, Inc. announced


that the net profit for the quarter ended April 30, 1992 was $202,000 or $.18 per share compared with net profit for the quarter ended May 2, 1991 of $366,000 or $.32 per share. The net loss for the two quarters ended April 30, 1992 was $17,000 or $.01 per share compared with a net profit for the two quarters ended May 2, 1991 of $1,171,000 or $1.02 per share.
 In fiscal 1990, the company received notice of a workers' compensation rate modification in the state of Texas resulting in billings of additional premiums of approximately $1,004,000 for the period ending Nov. 1, 1990. Accordingly, that amount was charged to earnings for the year ended Nov. 1, 1990. Subsequent to issuance of the company's 1990 Annual Report, the company successfully appealed the rate modification resulting in the rescission of additional premiums due and additionally, the net refund of premiums paid during fiscal 1989 of $442,000. The rescission of the rate modification charged to earnings in fiscal 1990 and the refund of premiums paid in fiscal 1989 were reflected as credits to earnings in the quarter and two quarters ended May 2, 1991 of $442,000 and $1,446,000, respectively, which substantially enhanced net income for the respective periods.
 Total revenues increased 14.1 percent to $11,867,000 for the quarter ended April 30, 1992 and increased 11.9 percent to $22,864,000 for the two quarters ended April 30, 1992 compared to the same periods the prior year, primarily due to increases in restaurant sales. Restaurant revenues increased 19.4 percent to $9,172,000 for the quarter and increased 18.6 percent to $17,519,000 for the two quarters ended April 30, 1992 compared to the same period the prior year due, in part, to the acquisition of 13 franchise stores from franchisees during fiscal 1991 and the first two quarters of fiscal 1992. The reacquired franchise stores also contributed to the increases of 6.2 percent and 7.2 percent in weighted average sales per restaurant for the quarter and two quarters ended April 30, 1992, respectively, compared to the prior year.
 Franchise fees decreased 3.3 percent to $977,000 in the quarter ended April 30, 1992 compared to the same period in 1991 and decreased 4.0 percent to $1,912,000 in the two quarters ended April 30, 1992 compared to the same period in 1991 reflecting, in part, a net reduction of 14 franchised stores in the system during fiscal 1991 and the two quarters ended April 30, 1992, partially offset by an increase in weighted average sales per store of 5.4 percent and 5.2 percent for the quarter and two quarters ended April 30, 1992, respectively.
 The company, aided by the advertising firm of Black Gillock & Langberg, and its public relations division, Black/Rives Public Relations, have created a marketing program which focuses on creating an identifiable image for the company as "America's Kitchen." The advertising/public relations campaign is designed to broaden the existing customer base and utilizes radio spots featuring Peg Phillips, who plays "Ruth Ann" on the popular CBS series "Northern Exposure." The spots have a warm, neighborly feeling and talk about Kettle founders Harry and Danny Chambers. The advertising campaign is currently being implemented in selected test markets and management believes that it will further enhance the increase in weighted average sales reflected in fiscal 1991 and 1992.
 The company presently has no current expansion plans and anticipates not adding any units to the system during the current fiscal year.
 Kettle Restaurants, Inc. is principally engaged in the operation and franchising of 24-hour full-service, family-oriented restaurants. The restaurants offer a wide selection of moderately priced menu items for all meal periods. Kettle and its franchisees operate 163 restaurants in 15 states, primarily in the Sun Belt region.
 KETTLE RESTAURANTS, INC.
 Summary of Financial Information
 (Dollars and shares in thousands, except per share data)
 Periods ended Quarter Two Quarters Year
 4/30/92 5/02/91 4/30/92 5/02/91 10/31/91
 Operating Data:
 Restaurant sales $9,172 $7,684 $17,519 $14,766 $32,040
 Franchise fees 977 1,010 1,912 1,992 4,160
 Lease income 1,360 1,514 2,836 3,102 6,083
 Operating income
 (loss) 271 510 (110) 1,729 2,880
 Net income (loss) 202 366 (17) 1,171 1,875
 Earnings (loss)
 per share .18 .32 (.01) 1.02 1.63
 Weighted average
 common and common
 equivalent shares
 outstanding 1,148 1,148 1,148 1,148 1,148
 Number of restaurants
 at end of period:
 Company operated -- -- 66 70 64
 Franchised -- -- 97 109 99
 Total 163 179 163
 -0- 6/16/92
 /CONTACT: Calvin Doyle Smith, vice president-finance of Kettle Restaurants, 713-524-2464/ CO: Kettle Restaurants Inc. ST: Texas IN: LEI SU: ERN


LR -- NY042 -- 0664 06/16/92 12:08 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jun 16, 1992
Words:842
Previous Article:CORRECTION TO TOYOTA DEDICATES NEW REGIONAL OFFICE COMPLEX
Next Article:SYMBOL TECHNOLOGIES INTRODUCES LASERTOUCH FOR LASER-BASED CONTACT SCANNING
Topics:


Related Articles
KETTLE RESTAURANTS ANNOUNCES 1991 EARNINGS
KETTLE RESTAURANTS ANNOUNCES FIRST QUARTER EARNINGS FOR 1992
KETTLE RESTAURANTS ANNOUNCES FINANCIAL RESULTS
KETTLE RESTAURANTS, INC. ANNOUNCES 1992 EARNINGS
KETTLE RESTAURANTS, INC. PAYS INTEREST ON DEBENTURES
KETTLE RESTAURANTS, INC. ENTERS INTO AGREEMENT
KETTLE RESTAURANTS, INC. ANNOUNCES 1993 EARNINGS
KETTLE RESTAURANTS, INC. ANNOUNCES FIRST QUARTER LOSS FOR 1994
KETTLE RESTAURANTS, INC. ANNOUNCES 1994 EARNINGS
KETTLE RESTAURANTS, INC. ANNOUNCES SECOND QUARTER EARNINGS FOR 1995

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters