Zoe's Kitchen Tops Q1 Views, Shares Rise

Shares of

gained more than 2 percent in after-hours trading after the company reported stronger-than-expected results for the first quarter. The Plano, Texas-based company reported a quarterly profit of $692,000, or $0.04 per share, versus a year-ago loss of $10 million, or $0.76 per share. Excluding one-time items, the company's adjusted net income came in at $0.04 per share in the latest quarter, versus a year-ago loss of $0.02 per share. Its revenue climbed 36.2 percent year-over-year to $62.9 million from $46.3 million. However, analysts were projecting a loss of $0.01 per share on revenue of $61.52 million. Its comparable restaurant sales climbed 7.7 percent. Adjusted EBITDA surged 76.8 percent to $6.8 million in the quarter. Restaurant contribution jumped 46.2 percent to $13.7 million from $9.4 million. "Our first quarter results reflect sustained operating momentum driven by the appeal of our lifestyle brand and commitment to operational excellence," stated Kevin Miles, President and Chief Executive Officer of Zoës Kitchen. "Our 7.7% growth in comparable restaurant sales marked the 21st consecutive quarter of positive growth, and combined with contributions from new units to drive revenue growth of 36% and Adjusted EBITDA growth of over 76%." Zoe's Kitchen projects FY 2015 restaurant sales of $218 million to $223 million and comparable restaurant sales growth of 4.0 percent to 6.0 percent. Zoe's Kitchen shares gained 2.13 percent to $34.50 in the after-hours trading session.