Tag - Restaurant

McCormick & Schmickʼs Seafood Restaurants Inc. (NASDAQ:MSSR) is up 16% this morning after reporting after the close Wednesday better-than-expected second-quarter earnings. For the three months ended June 28, the Portland-based small cap said it earned $2.4 million, or $0.16 per share, down from $4.5 million, or $0.31, a year earlier. Analysts were expecting earnings of $0.14 per share. Guest traffic was down 5.4% for the quarter.

Carrols Restaurant Group, Inc. (Nasdaq: TAST) shares are down after the restaurant operator provided 2008 earnings guidance below Wall Street expectations.

Before Friday’s opening, Carrols posted fourth-quarter revenue of $197.2 million, up 4.5% from $188.7 million a year earlier. Wall Street analysts expected $196.1 million.

Quarterly net income fell slightly to $3.5 million, or $0.16 per share, compared with $3.7 million, or $0.22 per share, during the same period of 2006. Analysts projected earnings of $0.12 per share. The company said stock option expenses and the cost of being a public company increased expenses. Carrols went public in December 2006.

Same-store sales, a common measure used to gauge revenue at stores open at least one year, climbed 4.6% at Burger King, 2% at Pollo Tropical and 0.9% at Taco Cabana.

Going forward, Carrols provided 2008 guidance below Wall Street expectations. The Syracuse, N.Y.-based firm projects earnings of between $0.70 and $0.75 per share. Analysts expect earnings of $0.83 per share.

In morning trading, TAST shares are down 0.77%, or $0.06, at $7.68. Over the last 52 weeks, shares have ranged from $7.20 to $16.25

Grill Concepts, Inc. (Nasdaq: GRIL) shares soared significantly in midday trading — at one point popping more than 40% — but have moderated despite no important news. Anton Brenner, a senior research analyst who covers the company for Roth Capital Partners, noted that the stock has fallen from the $7 to $9 range it traded at during the summer.

“The company did present at the [ICR XChange Conference] yesterday. They didn’t disclose anything new but it’s a good story,” Brenner said. “Maybe people are bottom-fishing some of these restaurant stocks.”

In afternoon trading, GRIL shares are up 12.75%, or $0.58, at $5.13. Over the last 52 weeks, shares have ranged from $3.72 to $9.38.

Shares of California Pizza Kitchen, Inc. (Nasdaq: CPKI) are getting pummeled to a new 52-week low this morning after the restaurant chain lowered its fourth-quarter and 2008 guidance.

Shares of California Pizza Kitchen toppled 19.07%, or $2.34, to $9.93 at 10:03 a.m. ET. Shares of California Pizza Kitchen have been trading in the range $12.20 to $25.23 for the past 52 weeks.

The Los Angeles, Calif.-based company reduced it earnings guidance to the range of $0.16 to $0.18 per share from the range of $0.22 to $0.23 per share. Twelve analysts surveyed by Thomson Financial were on average forecasting earnings of $0.23 per share for the fourth quarter.

The restaurant chain said it is also lowering its outlook for fiscal 2008 due to continuing challenges in the macroeconomic environment. It is revising earnings estimates for fiscal 2008 to the range of $0.54 to $0.60 per share, compared with previous guidance of $0.85 to $0.92 per share. Thirteen analysts surveyed by Thomson Financial were on average projecting earnings of $0.90 for fiscal 2008. 

On account of the lowered guidance, Robert W. Baird analyst David Tarantino lowered his fourth-quarter EPS estimate by $0.05 to $0.18 and reduced his 2008 estimate by $0.30 to $0.60 per share. Howard Penney of Friedman, Billings & Ramsey cut his price target to $15 from $18.

Asian cuisine restaurant chain P.F. Chang’s China Bistro, Inc. (Nasdaq: PFCB) reported sales for the fourth quarter rose 16%, but said it expects to incur higher-than-anticipated operating costs.

For the last three months ended Dec. 30, 2007, the small cap booked revenues of $292.6 million, compared with revenues of $252 million for the fourth quarter of 2006. Sales beat the consensus of 17 analysts polled by Thomson Financial of $286.49 million.

The company’s sales breakdown was as follows: P.F. Chang’s China Bistro restaurants accounted for $225.9 million of consolidated revenues, sales from Pei Wei Asian Diner restaurants accounted for $65.9 million of consolidated revenues and sales from Taneko Japanese Tavern restaurant accounted for $0.7 million of consolidated revenues.

Comparable store sales for the quarter declined 1% at the Bistro and decreased 0.5% at Pei Wei, compared with the same period in 2006. P.F. Chang’s attributed the 1% decline in comparable store sales for the Bistro to the net impact of price and menu mix changes driven by a rollout of the chain’s new grill menu.

The company also said it is continuing to experience rising restaurant operating costs, but noted that such costs are forecasted to have a greater impact during the fourth quarter than previously projected.

Shares of P.F. Chang’s (PFCB) were halted in pre-market trading.

Shares of Cosi Inc. (Nasdaq: COSI) ended higher following news before the start of trading that the restaurant operator reported a 1.6% rise in third-quarter same-store sales.

The Deerfield, Ill.-based company said that same-store sales at restaurants open more than 15 months, increased 1.6% during the third-quarter. Total sales for the three-month period rose 8.1% to $35.6 million, on par with Wall Street’s forecast of $35.5 million in revenue. Total sales were $33 million a year earlier.

“We are encouraged by the increase in system-wide revenues and the continued improvement in comparable restaurant sales,” said CFO William Koziel in a statement.

Cosi also announced that it is lowering its expectations for new restaurant openings. It now expects to open 30 new restaurants this year, while a previous forecast called for 40 to 45 new stores.

Cosi franchisees opened six new locations during the third quarter and closed one underperforming restaurant in Wayzata, Minn. The restaurant operator also opened one company-owned location in Philadelphia in the third quarter, but had to close seven others. All together, there were a total of 134 Cosi restaurants at the close of the third quarter.

At close, Cosi Inc. (COSI) shares had added $0.38, or 11%, to $3.89. The 52-week high of $6.77 was reached on Feb. 15, while the 52-week low of $3.21 was set on Sept. 14.

Morton’s Restaurant Group, Inc. (NYSE: MRT) management touted its strong brand recognition during its presentation at the 27th annual Piper Jaffray Consumer Conference in New York this afternoon.

“I like to use the analogy of Tiffanys,” Morton’s CEO, Thomas Baldwin, told onlookers. “There are lots of jewelry stores, but only one blue box.  That’s how we think of ourselves.  [There’s] only one Morton’s.”

Also at the presentation, management laid out four major growth initiatives for the restaurant, including expanding its Bar 12-21 business and its Boardroom business, as well as pursuing disciplined new restaurant growth.

“We perceive solid domestic and international demand opportunities,” Baldwin said.

Morton’s Bar 12-21, which is a bar featured in new and remodeled restaurants, presents new revenue opportunities for the restaurant, said Baldwin. Specifically, the restaurant has identified 48 opportunities across the United States to expand its bar business.

Much of Morton’s recent historical growth has stemmed from its Boardroom business.  Private dining rooms equipped with nine-foot satellite-run TVs have increased Board Room utilization to 52% from 50%.