Cke restaurants, inc. reports positive same-store sales at Hardee's®
Both Major Brands Reach Highest Average Unit Volumes in Recent History.
July 26, 2005
CARPINTERIA, Calif., July 27, 2005 /PRNewswire-FirstCall via COMTEX/-- CKE Restaurants, Inc. (CKR) announced today period six same-store sales for the four weeks ended July 18, 2005, for Carl's Jr.® and Hardee's®.Brand Period 6 Year to Date FY 2006 FY 2005 FY 2006 FY 2005 Carl's Jr. +1.3 % +9.7 % +2.1 % +9.5 % Hardee's +0.4 % +7.2 % +0.2 % +9.9 % Commenting on the Company's performance, Andrew F. Puzder, president and chief executive officer, said, "We are pleased to again report positive same-store sales results for both Hardee's and Carl's Jr. in period six. The Carl's Jr. brand has now racked up its 29th consecutive 4-week period of same-store sales gains -- a record that now extends well over two years running. Once again, both brands were able to build same-store sales on top of very strong prior-year results." "During period six, Carl's Jr. introduced the Western Bacon Charbroiled Chicken Sandwich™, and continued to promote the Green Burrito Taco Salad™ in all restaurants as well as its unique Breakfast Burger™ product," Puzder continued. "Despite rolling over same-store sales increases of 9.7 percent in the prior-year period, the brand still produced positive same-store sales of 1.3 percent in period six, which, on a two-year cumulative basis, translates into a same-store sales increase of approximately 11 percent." The period six results represented the 29th consecutive period of same-store sales increases for Carl's Jr. For the 23rd consecutive period, average unit volumes were higher than any comparable period in at least a decade, and revenue from company-operated Carl's Jr. restaurants (exclusive of franchise-related revenue and royalties) was approximately $44.3 million. "During period six, Hardee's introduced the Spicy BBQ Thickburger™ and continued to promote its newest breakfast item, the Loaded Breakfast Burrito™," said Puzder. "Hardee's also began advertising its Hand-Scooped Ice Cream Shakes & Malts™ late in the period. Despite rolling over same-store sales gains of 7.2 percent in the prior year, this combination of activities helped the brand achieve positive same-store sales of 0.4 percent in period six, which, on a two-year cumulative basis, translates to a same-store sales increase of approximately 7.6 percent. Once again, Hardee's average unit volumes in period six were higher than any comparable period in at least a decade, and revenue for company-operated Hardee's restaurants (exclusive of franchise-related revenue and royalties) was approximately $47.6 million." For period six, consolidated revenue from company-operated restaurants (exclusive of all franchise-related revenue and royalties) was approximately as follows: Carl's Jr. $44.3 million Hardee's $47.6 million La Salsa Fresh Mexican Grill® $3.9 million Total $95.8 million Same-store sales results for period seven of fiscal year 2006, ending Aug. 15, 2005, will be reported on or about Aug. 24, 2005. As of the first fiscal quarter ended May 23, 2005, CKE Restaurants, Inc., through its subsidiaries, had a total of 3,165 franchised or company-owned restaurants in 44 states and in 11 countries, including 1,020 Carl's Jr. restaurants, 2,029 Hardee's restaurants and 100 La Salsa Fresh Mexican Grill restaurants. SAFE HARBOR DISCLOSURE Matters discussed in this news release contain forward-looking statements relating to future plans and developments, financial goals and operating performance that are based on management's current beliefs and assumptions. Such statements are subject to risks and uncertainties. Factors that could cause the Company's results to differ materially from those described include, but are not limited to, whether or not restaurants will be closed and the number of restaurant closures, consumers' concerns or adverse publicity regarding the Company's products, effectiveness of operating and product initiatives and advertising and promotional efforts (particularly at the Hardee's brand), changes in economic conditions or prevailing interest rates, changes in the price or availability of commodities, availability and cost of energy, workers' compensation, employee health insurance costs and general liability premiums and claims experience, changes in the Company's suppliers' abilities to provide quality and timely products to the Company, delays in opening new restaurants or completing remodels, severe weather conditions, the operational and financial success of the Company's franchisees, franchisees' willingness to participate in our strategy, availability of financing for the Company and its franchisees, unfavorable outcomes on litigation, changes in accounting policies and practices, new legislation or government regulation (including environmental laws), the availability of suitable locations and terms for the sites designed for development, and other factors as discussed in the Company's filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the date they are made. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law or the rules of the New York Stock Exchange.source:CKE Restaurants, Inc.
