David, earnings were not released until 4:3 p.m. eastern. As to restaurant sales, they are UP! Unfortunately, the news wires reported a distorted picture of fm for the last two quarters. Fm's sales consist of restaurant sales, franchise rents & royalties, distribution sales and other. Distribution sales, which are nominally profitable, are product & supple sales to franchisees. About 9 months ago, franchisees set up their own buying coop and reduced purchases from FM. Thus, overall revenues are down while the main business sales are up. Restaurant sales are up 6.5% for the month, 10.9% for the year. Same store sales are up 4% for the quarter, 7.2% for the year. Customer visits were up 5.9% for the quarter, 7.7% for the year, offset by a 1.9% decrease in average check for the quarter (.5% for the year), reflecting continued discounting.
Hope that helps.
Arnie |
