California Pizza Kitchen, Inc. Reports Preliminary Second Quarter 2010 Results; Increases Earnings Guidance to $0.15-$0.17 from $0.10-$0.15 Per Diluted Share
California Pizza Kitchen, Inc. (Nasdaq: CPKI) today announced that revenues decreased 4.6% to $163.1 million for the second quarter ended July 4, 2010 versus $170.9 million in the second quarter of 2009.
Comparable restaurant sales decreased approximately 5.9% compared to a 6.5% decrease in the second quarter a year ago. In a June 21, 2010 press release, the Company forecasted comparable restaurant sales for the second quarter of negative 6.0% to negative 7.0% and earnings in the range of $0.10 to $0.15 per diluted share. Based upon preliminary results, management now expects earnings in the range of $0.15 to $0.17 per diluted share for the second quarter.
Rick Rosenfield and Larry Flax, co-CEOs of California Pizza Kitchen, stated, “Second quarter preliminary results are consistent with our previous comments which indicated that comparisons would be negatively impacted by strong results from the Thank You Card Program conducted in the second quarter of 2009. As we move past lapping last year’s program and into the third quarter, we are pleased that same store sales through Sunday, July 11th have improved to approximately negative 0.6%. We are also excited that our 2010 Thank You Card Program will launch on July 28th and this year includes a cash grand prize of $100,000.”
During the second quarter, the Company opened a new full service restaurant in Murray, UT. The Company’s franchise partners also opened four quick-service restaurants in King of Prussia Service Plaza in Philadelphia, PA; Honolulu International Airport in Honolulu, HI; Kahului Airport in Maui, HI; Fresno Yosemite International Airport in Fresno, CA; as well as one full service restaurant in the Coyoacán neighborhood of Mexico City, Mexico.
