Bob Evans Farms announced its financial results for the fiscal 2016 fourth quarter ended April 29, 2016. On a GAAP basis, the company reported net income of $0.6 million, or $0.03 per diluted share.
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This compares with net income of $5.6 million, or $0.24 per diluted share, last year.
On a non-GAAP basis, net income was $9.5 million, or $0.48 per diluted share, compared with net income of $13.2 million, or $0.56 per diluted share, last year.
Bob Evans Restaurants' net sales, excluding the 53rd week of fiscal 2016, were $226.5 million, a decline of $11.7 million, or 4.9 percent, compared to net sales of $238.2 million last year. Same-store sales declined 3.0 percent with the balance of the net sales decline due to net restaurant closures earlier in the year.
Twenty-one restaurants were closed during the 53rd week of fiscal 2016 and no new restaurants opened during the fourth quarter. At the end of fiscal 2016, the Company operated 527 restaurants. As previously announced, the company expects to close six additional leased restaurants during fiscal 2017.
Bob Evans Restaurants' GAAP operating loss was $2.8 million, compared to GAAP operating income of $6.5 million last year. Bob Evans Restaurants' non-GAAP operating income was $11.6 million, compared to $16.7 million last year, a decline of $5.1 million.
The decline in non-GAAP operating income was due to lower sales and investment in labor hours to support efforts to improve guest hospitality along with increased hourly wage rates as a result of minimum wage increases, partially offset by cost savings of $2.8 million. Operating income of $2.3 million was attributable to the 53rd week of fiscal 2016.
Corporate and Other GAAP operating costs were $19.3 million, compared to $20.9 million last year.
Corporate and Other non-GAAP operating costs were $18.1 million, compared to $17.1 million last year, an increase of $1.0 million due primarily to increased incentive- and stock-based compensation and the impact of the 53rd week of fiscal 2016, partially offset by $2.1 million of cost savings. ■