Zoe's Kitchen Gains 5% Following Beat And Raise

Zoe's Kitchen Inc ZOES was trading up more than 5 percent Tuesday evening after reporting strong Q1 results. The company's Q1 EPS came out at $0.06, above $0.04 estimates. Revenues of $80.41 million was about $2 million ahead of estimates.

The fast-causal restaurant slightly raised its guidance. It now sees FY 2016 revenue of $277-$281 million vs. $280.36 million estimates; It had previously seen $275-$280 million.

Comparable restaurant sales increased 8.1 percent, while the company added 11 new restaurants in the quarter.

"I am proud of the results our team delivered in the first quarter. We remain focused on key growth strategies which have amplified our position as a leader in Mediterranean cuisine," said Kevin Miles, President and CEO. "Our menu additions have been well received by our guests, giving them new reasons to Live Mediterranean. Our successful openings in the first quarter, including our new Denver and Kansas City markets, bolster my confidence that guests in all geographies desire the quality and convenience Zoës Kitchen offers. We are on pace to deliver on our 2016 development objective of 34 to 36 new locations."

Shares traded recently at $38.60, up 4.5 percent in the after-hours session.