News

Nathan's Famous profits, revenues climb

February 3, 2012

Nathan's Famous Inc. has reported results for the third quarter of its 2012 fiscal year that ended Dec. 25, 2011, including a net income of $1.2 million, or 24 cents per diluted share, as compared to a net loss of $153,000, or 3 cents per share, for the same period last year.

Other highlights from Q3 include:

• Non-GAAP earnings after tax increased by 17.8 percent to $1,284,000 as compared to $1,090,000 for the 13 weeks ended Dec. 26, 2010;
• Non-GAAP earnings per share increased by 25 percent to $0.25 per diluted share as compared to $0.20 per diluted share for the same period last year; and
• Revenues increased by 13.2 percent to $14,800,000, as compared to revenues of $13,079,000 for Q3 FY10.

Additionally, for the fiscal year, ended Dec. 25, 2011, net income was $5 million, or 98 cents per diluted share, as compared to $1.6 million, or 30 cents per diluted share, for the 39 weeks ended Dec. 26, 2010.

Revenues increased by 15.2 percent to $51.8 million as compared to revenues of $44.9 million during the 39 weeks ended Dec. 26, 2010.

Sales from the Branded Product Program, featuring the sale of Nathan's hot dogs to the foodservice industry, increased by 28.6 percent to $29.8 million.

Fifty-six new franchised units were opened during the 39 weeks ended Dec. 25, 2011, including two restaurants in Canada, two restaurants in China, one restaurant in the Dominican Republic and one restaurant in Kuwait.

The company has opened 40 Branded Menu Program units during the fiscal year, including 29 locations within K-Mart. The program was created to provide qualified operators of existing locations with the ability to become a Nathan's franchisee.

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