Revenues up 30 percent at Zoës
Zoës Kitchen reported this week that total revenue for Q2 increased 30 percent to $54.5 million and comparable restaurant sales increased 5.6 percent. The company also reported it opened seven company-owned restaurants.
"We are proud of our second quarter results, including comparable restaurant sales growth of 5.6 percent, total revenue growth of 30 percent, and adjusted EBITDA growth of 28 percent," said Kevin Miles, president and CEO of Zoës Kitchen. "These strong results, which mark our 22nd consecutive quarter of positive comparable restaurant sales, reflect a continuation of our strong operating momentum and the emotional connection we’re fostering with our guests, inspiring them to Live Mediterranean."
Other highlights included:
- Restaurant contribution increased 31.2 percent to $11.6 million.
- Adjusted EBITDA increased 28.2 percent to $6.0 million.
- Net income was $0.1 million, or $0.01 per diluted share, compared to net income of $1.1 million, or $0.06 per diluted share. Net income for the 12 weeks ended July 13, 2015 included $0.5 million of executive transition costs.
- Adjusted net income* was $1.0 million, or $0.05 per diluted share, compared to adjusted net income of $0.7 million or $0.04 per diluted share.
FY 2015 Outlook
For the fiscal year ending Dec. 28, the company is updating its outlook and predicts the following:
- Restaurant sales between $220.0 million and $224.0 million (previously $218.0 million to $223.0 million).
- Royalty and franchise fees of approximately $0.2 million.
- Comparable restaurant sales growth of 5 to 6 percent (previously 4 to 6 percent).
- 31 to 33 company-owned restaurant openings.
- Restaurant contribution margin between 20 and 20.5 percent..
- Adjusted general and administrative expenses between $25.3 million to $25.5 million (previously $24.7 million).
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