WICHITA, Kan., Sept. 28, 2001 (PRIMEZONE) -- Total Entertainment Restaurant Corp. (Nasdaq:TENT) announced record earnings and revenues for the twelve-week third quarter ended September 4, 2001. Net income increased $200,000 to $220,000 ($0.03 per share) for the quarter compared to $20,000 ($0.00 per share) in 2000. Sales increased 29.0% to $14,551,000 for the quarter compared to $11,283,000 in 2000. Entertainment and restaurant operating income before preopening costs increased 46.2% to $1,807,000 for the quarter compared to $1,236,000 in 2000. Comparable store sales increased 9.5%, representing the 10th consecutive quarter of positive same store sales growth.
Year to date net income increased 37.8% to $1,773,000 ($0.20 per share) for the 36 weeks ended September 4, 2001 compared to $1,287,000 ($0.14 per share) in 2000. Year to date sales increased 23.8% to $45,713,000 from $36,939,000. Year to date entertainment and restaurant operating income before preopening costs increased 22.3% to $7,040,000 compared to $5,758,000 in 2000. Comparable store sales increased 7.0% year to date.
Steve Johnson, Chief Executive Officer, stated, "We are very pleased to report record same store sales growth on units opened 18 months, including our fourth consecutive quarter of comp sales in excess of 5%. In addition, our record revenue and earnings for the quarter were driven by higher average unit volumes in units opened less than 18 months. Average weekly volumes in these new units were 20.5% greater than units opened 18 months."
The Company also opened one new unit during the quarter in Charlotte, N.C. Gary Judd, President, stated, "The new Charlotte unit is the first unit to implement our new barbeque menu. The unit set daily and weekly sales records during its opening week and continues to be our highest volume unit. Our plan is to roll out the new menu on a test basis in selected markets early in the fourth quarter as well as all new unit openings. We continue to be on pace to meet our goal of seven new units during fiscal 2001. Three units have opened this year, four units are under construction and leases have been executed on three additional sites."
The Company currently operates 41 entertainment restaurants in 34 markets under the names Fox and Hound English Pub & Grille, Fox and Hound Smokehouse & Tavern, Bailey's Sports Grille, and Bailey's Pub & Grille.
This Press Release contains certain forward-looking statements of the Company within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Although the Company believes the assumptions underlying the forward-looking statements contained herein are reasonable, any of the assumptions could be inaccurate, and therefore, there can be no assurance that the forward-looking statements contained in the Press Release will prove to be accurate.
Total Entertainment Restaurant Corp.
Unaudited Summary Financial Data for the Third Quarter 2001
($ in thousands except per share amounts)
Condensed Income Statements
For the twelve weeks ended
September 4, 2001 September 5, 2000
$ % $ %
-------- -------- -------- --------
Food & beverage 13,119 90.2 10,137 89.8
Entertainment & other 1,388 9.5 1,146 10.2
License fees 44 0.3 -- --
-------- ------- -------- ------
Total net sales 14,551 100.0 11,283 100.0
Costs and expenses:
Costs of sales 3,941 27.1 2,953 26.2
Entertainment and
restaurant operating
expenses 7,924 54.4 6,267 55.6
Depreciation and
amortization 879 6.0 827 7.3
Preopening costs 299 2.1 23 0.2
-------- ------- -------- ------
Entertainment and
restaurant costs
and expenses 13,043 89.6 10,070 89.3
-------- ------- -------- ------
Entertainment and
restaurant operating
income 1,508 10.4 1,213 10.7
General and
administrative
expenses 898 6.2 852 7.5
Goodwill amortization 56 0.4 56 0.5
-------- ------- -------- ------
Income from operations 554 3.8 305 2.7
Other income/expense:
Loss on disposal
of assets (39) (0.2) (23) (0.2)
Other income,
principally interest 1 -- -- --
Interest expense (186) (1.3) (250) (2.2)
-------- ------- -------- ------
Income before taxes 330 2.3 32 0.3
Provision for
income taxes 110 0.8 12 0.1
-------- ------- -------- ------
Net income $ 220 1.5 $ 20 0.2
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Basic and diluted
earnings per share $ 0.03 $ --
======== ======= ======== ======
Restaurants open
at end of period 41 35
Comparable sales growth 9.5% 1.9%
For the thirty-six weeks ended
September 4, 2001 September 5, 2000
$ % $ %
-------- -------- -------- -------
Food & beverage 41,377 90.5 33,195 89.9
Entertainment & other 4,292 9.4 3,744 10.1
License fees 44 0.1 -- --
-------- ------- -------- -------
Total net sales 45,713 100.0 36,939 100.0
Costs and expenses:
Costs of sales 12,432 27.2 9,656 26.1
Entertainment and
restaurant operating
expenses 23,696 51.8 19,036 51.5
Depreciation and
amortization 2,545 5.6 2,489 6.8
Preopening costs 669 1.5 37 0.1
-------- ------- -------- -------
Entertainment and
restaurant costs
and expenses 39,342 86.1 31,218 84.5
-------- ------- -------- -------
Entertainment and
restaurant operating
income 6,371 13.9 5,721 15.5
General and
administrative
expenses 2,675 5.8 2,713 7.3
Goodwill amortization 169 0.4 169 0.5
-------- ------- -------- -------
Income from operations 3,527 7.7 2,839 7.7
Other income/expense:
Loss on disposal
of assets (91) (0.2) (55) (0.2)
Other income,
principally
interest 1 -- -- --
Interest expense (664) (1.4) (742) (2.0)
-------- ------- -------- -------
Income before taxes 2,773 6.1 2,042 5.5
Provision for
income taxes 1,000 2.2 755 2.0
-------- ------- -------- -------
Net income $ 1,773 3.9 $ 1,287 3.5
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Basic and diluted
earnings per share $ 0.20 $ 0.14
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Restaurants open
at end of period 41 35
Comparable
sales growth 7.0% 1.6%