Buffalo Wild Wings 2Q net earnings, sales up
July 28, 2010
by Bryan Salvage
MINNEAPOLIS – Buffalo Wild Wings Inc. announced for the second quarter ended June 27 its net earnings increased 31.4% to $9.2 million from $7.0 million, and earnings per diluted share increased 28.2% to $0.50 from $0.39, compared to the same period a year ago, Total revenue increased 12.4% to $145.7 million; company-owned restaurant sales grew 11.7% to $131.5 million; and same-store sales decreased 0.1% at company-owned restaurants and 0.7% at franchised restaurants
“The recent strengthening of our sales is encouraging, and our focused efforts brought company-owned and franchised restaurants to nearly flat same-store sales in the second quarter,” said Sally Smith, president and chief executive officer. “We continue our steady expansion, opening 16 additional restaurants during the quarter, and revenue grew by 12%. Coupled with increased restaurant-level cash flow, we provided our shareholders with a substantial increase in net earnings of 31%, achieving earnings per share of $.50.”
Company-owned locations are posting positive same-store sales of 2.2% in July, Smith added. Franchised locations are also positive with same-store sales increases of 0.2%.
“Our restaurant teams are well-prepared and excited as we head into the football season, and our marketing and media plans are stronger than ever,” she continued. “We have previously stated that our 2010 growth goals are 13% to 15% unit growth and 20% net earnings growth. We are exceeding both of these annual targets for the first half of the year. Based on the anticipated new restaurants opening in the third and fourth quarters, we are on track for 13% unit growth for 2010. We have growing confidence that our 20% annual net earnings growth goal is achievable given the recent improvement in same-store sales and the moderation of wing costs.”