Hot Features
Premium
Trade smarter, not harder: Unleash your inner pro with our toolkit and live discussions.
What are the details?
Bojangles'(Nasdaq:BOJA) today announced financial results for the first fiscal quarter 2015, which was a 13-week period ending on March 29, 2015. Bojangles’ also provided annual guidance for the fiscal year 2015, which is a 52-week period ending on December 27, 2015.
Financial Highlights for the First Fiscal Quarter 2015 Compared to the First Fiscal Quarter 2014
– System-wide comparable restaurant sales increased 7.9%;
– Total revenues increased 19.2% to $114.6 million from $96.2 million;
– 16 new restaurants were opened — four new company-operated restaurants and 12 new franchised restaurants. Three franchised restaurants were closed, all of which were relocations;
– Net Income of $3.4 million compared to $5.0 million;
– Adjusted Net Income of $6.2 million compared to $5.0 million;
– Adjusted Pro Forma Diluted Net Income per Share* of $0.17 compared to $0.14; and
– Adjusted EBITDA increased 16.0% to $16.9 million from $14.6 million.
“We are delighted to have begun fiscal year 2015 with impressive growth in total revenues, adjusted EBITDA and adjusted net income for the first fiscal quarter. The 7.9% increase in system-wide comparable restaurant sales during the first fiscal quarter continues to demonstrate the broad appeal of our iconic brand and enabled us to extend our track record of comparable restaurant sales growth to 20 consecutive quarters. As always, Bojangles’ success was driven by the collective hard work of the teams in our company-operated and franchised restaurants, the true heroes of our brand,” said Bojangles’ President and CEO Clifton Rutledge.
“Although we are new to the public markets, Bojangles’ has a proud history spanning nearly four decades with significant scale, strong and consistent financial performance and attractive development potential. We are very excited about our future, the significant whitespace for growth within and outside of our core markets and our opportunity to create value for stockholders.”
Initial Public Offering
On May 13, 2015, and subsequent to the end of the first fiscal quarter 2015, Bojangles’ completed its underwritten initial public offering (IPO) of 8,912,500 shares of its common stock, which included 1,162,500 shares of common stock sold pursuant to the full exercise of the underwriters’ option to purchase additional shares of common stock at the IPO price. The IPO consisted solely of common stock that was offered by certain Bojangles’ stockholders. During the first fiscal quarter of 2015, we recorded $2.7 million of costs related to the IPO.
Fiscal First Quarter 2015 Financial Review
System-wide comparable restaurant sales increased 7.9%, consisting of company-operated comparable restaurant sales growth of 7.1% and franchised comparable restaurant sales growth of 8.4%. Comparable restaurant sales at company-operated restaurants were composed of increases in price, mix and transactions.
Total revenues increased 19.2% to $114.6 million in the first fiscal quarter of 2015 from $96.2 million in the prior year quarter. The increase was primarily due to new restaurant openings and comparable restaurant sales growth at our company-operated and franchised restaurants.
Company restaurant revenues increased 19.4% to $108.3 million in the first fiscal quarter of 2015 from $90.8 million in the prior year quarter. Franchise royalty revenues increased 14.2% to $5.9 million from $5.2 million in the prior year quarter.
Restaurant contribution, a non-GAAP measure, increased 19.0% to $17.4 million in the first fiscal quarter of 2015 from $14.6 million in the prior year quarter. As a percentage of Company restaurant revenues, restaurant contribution margin, a non-GAAP measure, held steady at 16.1% compared to the prior year quarter.
General and administrative expenses increased $3.9 million to $10.9 million in the first fiscal quarter of 2015 from $7.0 million in the prior year quarter. The increase was due primarily to $2.7 million in legal, accounting and other expenses directly related to the IPO, as well as additional positions added to support an increased number of restaurants in our system. As a percentage of total revenues, and excluding the aforementioned $2.7 million of expenses, general and administrative expenses were 7.1% during the first fiscal quarter of 2015 compared to 7.3% in the prior year quarter.
As a result of the above, operating income decreased 7.2% to $9.5 million in the first fiscal quarter of 2015 from $10.2 million in the prior year quarter. Adjusted for the $2.7 million in IPO related costs, operating income would have increased 19.3% to $12.2 million.
Adjusted EBITDA increased 16.0% to $16.9 million in the first fiscal quarter of 2015 from $14.6 million in the prior year quarter.
Net Income was $3.4 million in the first fiscal quarter of 2015 compared to $5.0 million in the prior year quarter. Pro Forma Diluted Net Income per Share was $0.09 (on a diluted share base of 37.4 million) compared to $0.13 (on a diluted share base of 37.0 million).
Adjusted Net Income was $6.2 million in the first fiscal quarter of 2015 compared to $5.0 million in the prior year quarter. Adjusted Pro Forma Diluted Net Income per Share was $0.17 (on a diluted share base of 37.4 million) compared to $0.14 (on a diluted share base of 37.0 million).
