Sales lift CKE Restaurants to 1Q profit
by Meat&Poultry Staff
CARPINTERIA, Calif. – CKE Restaurants Inc. reported a profit of $9.5 million in fiscal 2013 for the period ended May 21, compared to a $2.6 million loss in the same period in 2012. The company attributed the gains to strong sales at Hardee’s and Carl’s Jr.
Both Carl’s Jr. and Hardee’s same-store sales increased 2.6 percent during the quarter. The blended 52-week average unit volume for Carl’s Jr. and Hardee’s was $1,268,000 at the end of the first quarter. The 52-week average unit volumes for Carl’s Jr. and Hardee’s were $1,424,000 and $1,128,000, respectively.
“Both brands continued to generate positive same-store sales results during the first quarter," said Andrew F. Puzder, chief executive officer. "The company has now had seven consecutive quarters of positive blended same-store sales. Hardee’s has now had eight consecutive quarters of positive same-store sales and Carl’s Jr. posted its fifth consecutive quarter of positive same-store sales."
CKE reported total first-quarter revenue of $412.3 million, an increase of $11.7 million, or 2.9 percent. CKE said profit margins improved on decreases in food and packaging costs. Higher year-over-year restaurant pricing and lower commodity costs for produce, pork, and dairy were partially offset by higher commodity costs for beef.
Adjusted EBITDA for the quarter increased by $10.1 million, or 19.7 percent, over the comparable period in fiscal 2012. Adjusted EBITDA was $61.6 million in the first quarter of fiscal 2013 compared to $51.5 million in 2012.