Buffalo Wild Wings, Inc. announced today financial results for the fourth quarter ended December 26, 2004. “During the fourth quarter, we benefited from strong restaurant operations, solid marketing campaigns, and new menu offerings, as well as lower-than-expected fresh chicken wing prices and insurance costs. Combining these factors with a lower effective income tax rate due to a one-time reduction in our state tax contingency reserves, we exceeded our most recently issued guidance. Our fourth quarter performance capped a great first full year as a public company,” according to Sally Smith, president and CEO says.
Total revenue, which includes company-owned restaurant sales and franchise royalties and fees, increased 32 percent to $48.5 million in the fourth quarter compared to $36.7 million in the fourth quarter of 2003. Company-owned restaurant sales for the quarter increased 33 percent to $43.1 million aided by a company-owned same store sales increase of 7.6 percent and 19 more company-owned locations in operation at the end of the fourth quarter 2004 relative to the same period in 2003.
Franchise royalties and fees increased 29 percent to $5.4 million versus $4.2 million in the prior year. This increase was due to a franchised same store sales increase of 3.7 percent and 42 more franchised restaurants at the end of the period versus a year ago.
For the fourth quarter, earnings per diluted share were $0.30, which included compensation expense of $491,000 or $0.04 per diluted share, related to our restricted stock incentive program versus earnings per diluted share of $0.18 in the fourth quarter of 2003.
Buffalo Wild Wings will be hosting a conference call today, February 10, 2005 at 5:00 p.m. EST to discuss these results.