As previously announced, effective April 23, 2012, the company acquired 56 franchised Papa John’s restaurants in the Denver and Minneapolis markets, six of which were subsequently refranchised. The purchase price, which was paid in cash, was $5.1 million net of the divestiture proceeds from the six restaurants sold. The acquisition is not expected to have a material impact on our 2012 operating results.
Share Repurchase Activity
The company repurchased 372,000 shares of its common stock at an average price of $37.19 per share, or a total of $13.8 million, during the first quarter ended March 25, 2012. Subsequent to quarter-end through April 25, 2012, the company repurchased 264,000 shares at an average price of $37.63 per share, or a total of $9.9 million. Approximately $47.8 million remains available under the company’s share repurchase program.There were 24.4 million diluted weighted average shares outstanding for the first quarter, representing a decrease of 5.1% over the prior year comparable period. Diluted earnings per share increased $0.04 for the first quarter of 2012 due to the reduction in shares outstanding, resulting from the share repurchase program. Approximately 23.9 million actual shares of the company’s common stock were outstanding as of March 25, 2012. 2012 Earnings Guidance Update The company raised its 2012 guidance for diluted earnings per share and international comparable sales based on solid first quarter results and reaffirmed all other guidance. The update is as follows:
|Updated Guidance||Previous Guidance|
|Diluted earnings per share (a)||$2.40 to $2.50||$2.33 to $2.43|
|International comparable sales||+2.5% to +4.5%||+1.5% to +3.5%|
The 2012 fiscal year will consist of 53 weeks. The impact of the 53 rd week of operations is expected to increase earnings per share by approximately $0.08 to $0.10, substantially offsetting the decrease in 2012 from the Incentive Contribution previously discussed.