Cracker Barrel Steamrolls On Earnings and Revenue, Raises Guidance

Michael Teague |

Cracker BarrelThe restaurant chain Cracker Barrel Old Country Store Inc. (CBRL) saw shares pop on Monday on a strong earnings report that showed the company topping both earnings and revenue expectations, as well as raising guidance for the remainder of 2013.

For the its fiscal 3rd quarter of 2013, Cracker Barrel netted $26.4 million, or $1.02 per share on revenue of $640.4 million, compared to the prior year period during with the company reaped $19 million in profits, or $0.81 per share on revenue of $608.5 million. Analysts had been expecting $0.94 per share on revenue of $630 million.



Furthermore, the company raised its guidance for the year on earnings from $4.60 to $4.80 per share to $4.75 to $4.85 per share.

Cracker Barrel cited higher item-prices on its menu for the earnings beat, as well as a 3.1 percent increase in same-store sales, the sixth consecutive quarter that the crucial retail metric has exceeded 3 percent growth.

Sales at established retail outlets connected to its dining locations were up 5.5 percent, while Operating margin increased from 6.4 percent to 6.9 percent.

The $2.13 billion market-cap company runs over 600 restaurants in 42 American states, and has watched its shares do very well in 2013, up over 40 percent year-to-date despite signs of weakening consumer confidence in the U.S. economy.

The company also announced that it would be doubling its dividend payout on April 5th to $0.75. In afternoon trading, shares popped over 5 percent to a 52-week high of $97.13, after closing Friday’s trading at $89.46.

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer

Companies

Symbol Name Price Change % Volume
HUM Humana Inc. 239.09 0.45 0.19 1,343,101 Trade

Comments

Emerging Growth

Valuesetters Inc

Valuesetters Inc is a next generation technology company. The Company is focused in providing technologies and infrastructure-as-a-service (Iaas) to consumer through enterprise communications, entertainment, and game platforms.

Private Markets

iPRO Network, LLC

We provide the platform, tools, and resources to empower individuals and professionals to market desirable goods and services to the public, taking the place of traditional methods of commerce.

Quants Inc

Quants, Inc, a California Corporation, develops, markets and operates financial technology platforms and alternative investment products offering sophisticated risk management since 2010. The Company has primarily sharpened its focus with…