E-Malt.com News article: 2588

USA, California: Chicago Pizza & Brewery Inc. released results for the first quarter ended March 28, 2004, Business Wire reported on April 27, 2004. Highlights for the first quarter of 2004, relative to the same quarter last year, were as follows: Revenues increased 21.8% to $29.0 million; BJ's comparable restaurant sales increased 7.7%; Net income increased to $2,376,000 from $828,000; Diluted earnings per share of $0.12, including a $0.05 gain from sale of Pietro's restaurants; New restaurant opened in Willowbrook, Texas.

Revenues totaled $28,977,000 for the first quarter of 2004, an increase of 21.8% compared to the same quarter of 2003. Revenues increased primarily due to the 2003 restaurant openings in Addison, Texas, Cerritos, Calif., and San Jose, Calif., and a full quarter of operations from Clear Lake, Texas, which opened during January 2003. In addition, the January 2004 opening of Willowbrook, benefited revenues in the period. Also contributing to revenue growth was an increase in same store sales of 7.7% for BJ's restaurants opened greater than 18 months. These increases were partially offset by the closure of the BJ's Portland, Ore., restaurant (Stark Street) during June 2003, and the sale of the three Pietro's restaurants, which was accomplished on March 15, 2004.

For the first quarter of 2004, the Company reported net income of $2,376,000, or $0.12 diluted earnings per share, as compared to net income of $828,000, or $0.04 diluted earnings per share for the same period of 2003. Included in first quarter 2004 earnings and earnings per share results is a previously announced pre-tax gain of $1,658,000 for the sale of the three Pietro's restaurants and related trademarks for the Pietro's brand, or a net $0.05 gain per diluted share. Excluding the Pietro's sale, the increase in net income quarter over quarter is primarily due to the increase in restaurant sales combined with a reduction in cost of sales, operating expenses, general and administrative and restaurant opening expenses as a percentage of sales, slightly offset by increases to labor and benefits, occupancy and depreciation and amortization expense as a percentage of sales.

Paul Motenko, Chairman and Co-CEO, commented: "We are very pleased with our first quarter results, which reflect substantial revenue increases along with the success of our efforts at expense reduction. While the current cost environment is challenging, we are optimistic as our customer counts have been strong, and we anticipate profitability improvements at our newer restaurants and continued leverage to our general and administrative expenses. Additionally, we remain confident in our development schedule to open six or more units in 2004."

The Company maintains its projection for 2004 revenues to be between $124 million and $128 million and 2004 diluted earnings per share of $0.30 to $0.33, including the approximate $0.05 per share after-tax gain from the sale of all three Pietro's restaurants and related assets. Expectations are based on six to seven new BJ's Restaurant openings in 2004 and full-year comparable restaurant revenue growth of 3.0% to 4.0%. Chicago Pizza & Brewery will have one additional week in fiscal 2004, a 53-week year versus the standard 52-week year, which is reflected in the guidance issued above.

Chicago Pizza & Brewery currently operates 30 casual dining restaurants, some of which incorporate brewpubs. Twenty-one of the restaurants are located in California, with additional locations in Boulder, Colo., Chandler, Ariz. and Lewisville, Clear Lake, Addison and Willowbrook, Texas. In addition, the Company operates three restaurants in Oregon, and has a licensing interest in a BJ's restaurant in Lahaina, Maui. BJ's restaurants feature BJ's award-winning, signature deep-dish pizza, BJ's own hand-crafted beers as well as a wide selection of appetizers, entrees, pastas, sandwiches, specialty salads and desserts.


04 May, 2004