Carrols Restaurant Group Inc. has announced financial results for the second quarter ended July 1. Results include the 278 Burger King restaurants that were acquired from the brand's corporate operations May 30.
The company's second quarter sales jumped 37.8 percent compared to the same period last year, totaling $122.1 million, $27.5 million of which came from the newly acquired restaurants.
Comparable restaurant sales increased 8.8 percent, including an increase in customer traffic of 4.9 percent.
In addition to the company's traffic increasing by 4.9 percent in the quarter, its average check increased 3.9 percent, including an effective price increase of 2.3 percent.
The average weekly sales for Carrols' legacy Burger King restaurants increased 9.7 percent to $24,763 from $22,578 in the same period last year. Average weekly sales for the acquired restaurants were $21,798 for the period operated by the company.
Adjusted EBITDA was $7.9 million in the second quarter of 2012 compared to $7.7 million in the prior year period.
As of July 1, Carrols owned and operated 574 Burger King restaurants. The company's comp sales increases were attributed to the chain's broadened menu offerings and shift in marketing messaging to appeal to a bigger audience.
"As reflected by our strong comparable restaurant sales, enhancements to Burger King's menu and marketing are resonating with our customers and we believe are starting to broaden the brand's appeal to a wider demographic base. We view the new and upgraded products, creative advertising campaign, and multi-year remodeling program as important elements as the brand increases its market share in the competitive quick-service environment," said Daniel T. Accordino, CEO of Carrols Restaurant Group.
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