Red Robin report 4Q results
Feb. 16, 2012
by Meat&Poultry Staff
GREENWOOD VILLAGE, Colo. – Casual-dining restaurant chain Red Robin Gourmet Burgers, Inc., today reported financial results for the 12 and 52 weeks ended December 25, 2011.
During the company’s fiscal fourth quarter 2011 adjusted earnings per diluted share were $0.28 compared to $0.13 a year ago; GAAP earnings per diluted share were $0.20 compared to $0.14 in the fiscal fourth quarter 2010.
Company-owned comparable restaurant gross sales increased 4.8 percent. Restaurant-level operating profit margin increased to 19.9 percent from 17.0 percent.
Total company revenues, which include company-owned restaurant sales and franchise royalties, increased 7.0 percent to $206.0 million in the fiscal fourth quarter of 2011 versus $192.6 million in the same period last year. For fiscal 2011, total revenues increased 5.9 percent to $914.9 million.
In the fiscal fourth quarter of 2011, the company opened three full-size prototype Red Robin restaurants and its first smaller prototype Red Robin’s Burger Works, while franchisees opened one new restaurant.
“Our strong fourth quarter 2011 performance reflects the sales growth we realized from a sequential improvement in guest count trends, accentuating value with the continued success of our limited time offerings and execution of happy hour and other revenue-driving initiatives,” said Steve Carley, Red Robin Gourmet Burgers, Inc. Chief Executive Officer. “In addition, despite continued pressure from commodity inflation, our team members were able to capture substantial net cost savings, which resulted in significantly higher profits in the fourth quarter. The targeted reduction in restaurant costs we announced in early 2011 with Project Red are being realized more quickly than we anticipated.”
Red Robin’s fiscal 2012 will consist of 53 weeks ending on December 30, 2012. In fiscal 2012, the company expects low-single-digit growth of comparable restaurant net sales compared to the prior year.
The company also expects to open between 13 and 15 new company-owned restaurants, including four Red Robin’s Burger Works in fiscal 2012. The increase in new store openings from the prior year and additional restaurant remodeling investments are expected to increase fiscal 2012 capital expenditures to a range of $50 million to $60 million.
There currently are 465 Red Robin restaurants located across the United States and Canada, including 328 company-owned restaurants and 137 restaurants operating under franchise agreements.