UPDATE: Brinker Posts Lower Q4 Profit, Revenue Beats Estimates
Brinker International (NYSE: EAT) reported a drop in its fourth-quarter profit.
The Dallas, Texas-based company posted a quarterly profit of $28.8 million, or $0.43 per share, versus a year-ago profit of $46.4 million, or $0.64 per share. The recent period results included $39.5 million in pre-tax charges recorded to establish reserves for the potential settlement of various litigation matters. Excluding items, its earnings climbed 10.4% to $0.85 per share from $0.77 per share.
Its total revenue gained 3.9% to $758.7 million. However, analysts were expecting earnings of $0.86 per share on revenue of $749.7 million.
Its total operating costs and expenses climbed 8.5% to $717.1 million in the quarter.
Brinker's systemwide same-restaurant sales increased 2.3% in the quarter, while Chili's company-owned same-restaurant sales jumped 2.5%. Chili's franchise comparable restaurant sales jumped 1.2%, while international franchise comparable sales rose 0.8%. Maggiano's comparable restaurant sales surged 0.9%.
Wyman Roberts, Chief Executive Officer and President said, "These results demonstrate our ability to deliver sustained value to our shareholders."
For FY15, Brinker projects earnings of $3.00 to $3.15 per share, on same-restaurant sales growth of 1% to 2%. Analysts expected earnings of $3.11 per share.
Brinker shares surged 4.17% to $46.00 in pre-market trading.
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