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Last Update: 24-Oct-12 08:53 ET
Buffalo Wild Wings plunge over 10% following miss on earnings
Buffalo Wild Wings (BWLD $74.75 -8.71) reported third quarter earnings of $0.57 per share, $0.04 worse than the Capital IQ consensus of $0.61, while revenues rose 24.9% year/year to $246.9 million versus the $254.57 mln consensus. Company-owned restaurant sales grew 26.2% to $228.4 million Same-store sales increased 6.2% at company-owned restaurants and 5.8% at franchised restaurants. 2012 and 2013 Outlook. The company remarked on 2012, "Same-store sales are about 3.8% at company-owned restaurants and 5.6% at franchised locations for the first four weeks of the fourth quarter compared to 6.6% and 5.3%, respectively, for the same period last year.
Our unit growth will continue and we expect to open at least 24 new company-owned and 20 new franchised restaurants before year end. With continued leveraging of expenses and the benefit of a 53rd week, we will partially offset the continuing high wing costs and estimate our net earnings growth for 2012 will be 15%." "In 2013, we will open more than 60 company-owned and 45 franchised restaurants, and should achieve the 1,000 unit mark by the end of the year. We now anticipate we can expand to 1,700 locations in North America, with additional growth abroad. We'll begin to realize the benefit of strategies we've been working on over the past year. We have an enhanced Guest service strategy along with new innovations in food, beverage, and technology that will drive revenue. With this growth and financial diligence, we have a goal for 2013 to achieve 20% net earnings growth on a 52-week basis."
Our unit growth will continue and we expect to open at least 24 new company-owned and 20 new franchised restaurants before year end. With continued leveraging of expenses and the benefit of a 53rd week, we will partially offset the continuing high wing costs and estimate our net earnings growth for 2012 will be 15%." "In 2013, we will open more than 60 company-owned and 45 franchised restaurants, and should achieve the 1,000 unit mark by the end of the year. We now anticipate we can expand to 1,700 locations in North America, with additional growth abroad. We'll begin to realize the benefit of strategies we've been working on over the past year. We have an enhanced Guest service strategy along with new innovations in food, beverage, and technology that will drive revenue. With this growth and financial diligence, we have a goal for 2013 to achieve 20% net earnings growth on a 52-week basis."
