CINCINNATI, July 24, 2013 /PRNewswire/ -- Frisch's
Restaurants, Inc. (NYSE MKT: FRS) reported revenue from continuing
operations of $203,712,158 for the
fiscal year ended May 28, 2013,
with those revenues declining 0.7 percent from
$205,082,827 in the prior year.
Earnings from continuing operations for the year increased 20.2
percent to $6,974,101 ($1.38 diluted earnings per share) compared to
$5,801,540 ($1.17 diluted earnings per share) last year.
For the fourth quarter of fiscal 2013, revenue from continuing
operations increased 2.7 percent to $48,792,356 versus $47,499,363 in the prior year. Earnings
from continuing operations increased 44.7 percent in the fourth
quarter to $2,267,875 ($0.45 diluted earnings per share) compared to
$1,567,470 ($0.31 diluted earnings per share) in the prior
year. Same store sales from continuing operations were up 1.0
percent in the fourth quarter fiscal 2013 while overall sales
increased 2.7 percent as a result of new restaurant openings.
Gross profit margin from continuing operations in the fourth
quarter improved over the prior year, as a result of higher volumes
and cost management. Administrative and advertising expense
decreased 2.8 percent in fourth quarter fiscal 2013 primarily as a
result of lower head count.
Craig F. Maier, President and
Chief Executive Officer, said, "We wrapped up 2013 on a strong note
as fourth quarter revenue was up 2.7 percent while fourth quarter
earnings were up 44.7 percent. The combination of solid sales
and good cost control measures drove the earnings increase."
Frisch's Restaurants, Inc. is a regional company that
operates full service family-style restaurants under the name
"Frisch's Big Boy." All Frisch's Big Boy restaurants are
currently located in various regions of Ohio, Kentucky and Indiana.
The Company owns the trademark "Frisch's" and has exclusive,
irrevocable ownership of the rights to the "Big Boy" trademark,
trade name and service marks in the states of Kentucky and Indiana, and in most of Ohio and Tennessee. All of the Frisch's
Big Boy restaurants also offer "drive-thru" service. The
Company also licenses Frisch's Big Boy restaurants to other
operators, currently in certain parts of Ohio, Kentucky and Indiana.
The Company opened one new Frisch's Big Boy restaurant in August
in the first quarter and opened a second new Frisch's restaurant
during the third quarter in March. The Company currently
operates 95 company-owned Frisch's Big Boy restaurants and there
are an additional 25 franchised Frisch's Big Boy restaurants that
are operated by licensees.
The Company has reported a profit every year since going public
in 1960, and paid cash dividends to shareholders every quarter over
the same period.
Statements contained in this news release which are not
historical facts are forward looking statements as that item is
defined in the Private Securities Litigation Act of 1995. Such
forward looking statements are subject to risks and uncertainties
which could cause actual results to differ materially from
estimated results. Such risks and uncertainties are detailed in the
Company's filings with the Securities and Exchange Commission.
[See attached Financial Statements]
Frisch's Restaurants,
Inc. and Subsidiaries
|
|
CONSOLIDATED
STATEMENT OF EARNINGS
|
|
(In thousands, except
per share data)
|
|
|
|
|
|
|
|
(unaudited)
|
|
|
|
Year ended
|
|
Quarter
ended
|
|
|
|
May 28,
|
|
May 29,
|
|
May 28,
|
|
May 29,
|
|
|
|
2013
|
|
2012
|
|
2013
|
|
2012
|
|
|
|
|
|
|
|
|
|
|
|
Sales
|
$
203,712
|
|
$
205,083
|
|
$
48,792
|
|
$
47,499
|
|
Cost of
sales
|
|
|
|
|
|
|
|
|
|
Food and
paper
|
68,268
|
|
69,042
|
|
16,411
|
|
15,817
|
|
|
Payroll and
related
|
71,176
|
|
72,370
|
|
16,809
|
|
16,618
|
|
|
Other operating
costs
|
41,715
|
|
42,156
|
|
9,753
|
|
9,472
|
|
|
|
181,159
|
|
183,568
|
|
42,973
|
|
41,907
|
|
Gross
profit
|
22,553
|
|
21,515
|
|
5,819
|
|
5,592
|
|
|
Administrative and
advertising
|
13,074
|
|
13,379
|
|
2,965
|
|
3,049
|
|
|
Franchise fees and
other revenue
|
(1,376)
|
|
(1,323)
|
|
(320)
|
|
(328)
|
|
|
Loss (gain) on sale
of assets
|
14
|
|
(200)
|
|
1
|
|
(9)
|
|
|
Impairment of long
lived assets
|
390
|
|
1,229
|
|
320
|
|
901
|
|
Operating
profit
|
10,451
|
|
8,430
|
|
2,853
|
|
1,979
|
|
|
Interest
expense
|
964
|
|
1,414
|
|
205
|
|
278
|
|
Earnings from
continuing operations before income taxes
|
9,487
|
|
7,016
|
|
2,648
|
|
1,701
|
|
Income
taxes
|
2,513
|
|
1,214
|
|
380
|
|
134
|
|
Earnings from
continuing operations
|
6,974
|
|
5,802
|
|
2,268
|
|
1,567
|
|
(Loss) from
discontinued operations, net of tax
|
(158)
|
|
(3,654)
|
|
-
|
|
(2,746)
|
|
NET EARNINGS
(LOSS)
|
$
6,816
|
|
$
2,148
|
|
$
2,268
|
|
$
(1,179)
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share
(EPS) of common stock:
|
|
|
|
|
|
|
|
|
|
Basic net earnings
per share:
|
|
|
|
|
|
|
|
|
|
Earnings from
continuing operations
|
$
1.39
|
|
$
1.18
|
|
$
0.45
|
|
$
0.32
|
|
|
(Loss) from
discontinued operations
|
$
(0.03)
|
|
$
(0.74)
|
|
$
-
|
|
$
(0.56)
|
|
|
Basic net earnings
(loss) per share
|
$
1.36
|
|
$
0.44
|
|
$
0.45
|
|
$
(0.24)
|
|
|
Diluted net earnings
per share:
|
|
|
|
|
|
|
|
|
|
Earnings from
continuing operations
|
$
1.38
|
|
$
1.17
|
|
$
0.45
|
|
$
0.31
|
|
|
(Loss) from
discontinued operations
|
$
(0.03)
|
|
$
(0.74)
|
|
$
-
|
|
$
(0.55)
|
|
|
Diluted net earnings
(loss) per share
|
$
1.35
|
|
$
0.43
|
|
$
0.45
|
|
$
(0.24)
|
|
Diluted average
shares outstanding
|
5,045
|
|
4,952
|
|
5,070
|
|
4,986
|
|
Depreciation included
in continuing operations
|
$
10,388
|
|
$
10,273
|
|
$
2,452
|
|
$
2,424
|
|
Opening expense
included in continuing operations
|
$
592
|
|
$
398
|
|
$
132
|
|
$
-
|
|
|
|
|
|
|
|
|
|
|
|
Frisch's Restaurants,
Inc. and Subsidiaries
|
CONSOLIDATED BALANCE
SHEET
|
(In thousands of
dollars)
|
|
|
|
|
May 28,
|
|
May 29,
|
|
|
|
|
2013
|
|
2012
|
|
|
|
|
|
|
|
|
Assets
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
Cash and
equivalents
|
$
4,256
|
|
$
49,455
|
|
|
|
Receivables
|
1,297
|
|
1,683
|
|
|
|
Inventories
|
5,765
|
|
5,590
|
|
|
|
Other current
assets
|
3,103
|
|
3,010
|
|
|
|
Current assets of
discontinued operations
|
-
|
|
190
|
|
|
|
|
14,421
|
|
59,928
|
|
|
|
|
|
|
|
|
|
Property and
equipment
|
102,145
|
|
102,139
|
|
|
|
|
|
|
|
|
|
Other
assets
|
|
|
|
|
|
|
Goodwill & other
intangible assets
|
775
|
|
777
|
|
|
|
Property held for
sale and land investments
|
8,405
|
|
11,484
|
|
|
|
Deferred income taxes
and other
|
2,966
|
|
5,641
|
|
|
|
|
12,146
|
|
17,902
|
|
|
|
|
|
|
|
|
|
|
|
$
128,712
|
|
$
179,969
|
|
|
|
|
|
|
|
|
Liabilities and
shareholders' equity
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
Accounts
payable
|
$
5,879
|
|
$
6,293
|
|
|
|
Accrued
expenses
|
8,025
|
|
7,342
|
|
|
|
Other
|
5,357
|
|
7,857
|
|
|
|
Current liabilities
of discontinued operations
|
-
|
|
683
|
|
|
|
|
19,261
|
|
22,175
|
|
|
|
|
|
|
|
|
|
Long-term
obligations
|
|
|
|
|
|
|
Long-term
debt
|
9,600
|
|
14,446
|
|
|
|
Other long-term
obligations
|
16,195
|
|
21,623
|
|
|
|
|
25,795
|
|
36,069
|
|
|
|
|
|
|
|
|
|
Shareholders'
equity
|
83,656
|
|
121,725
|
|
|
|
|
|
|
|
|
|
|
|
$
128,712
|
|
$
179,969
|
|
|
|
|
|
|
|
|
SOURCE Frisch's Restaurants, Inc.