J. Alexander’s Corporation (NASDAQ: JAX) today reported operating results for the first quarter ended April 1, 2012.
Highlights of the first quarter of 2012 compared to the first quarter of 2011 were as follows:
- Net sales increased 4.8% to $42,711,000 from $40,749,000.
- Average weekly same store sales per restaurant increased by 4.5% on a quarter-to-quarter basis.
- Restaurant operating margins (1) increased to 13.6% from 10.4%.
- Income before income taxes increased by 100.9% to $2,757,000 in the first quarter of 2012 compared to $1,372,000 in the first quarter of 2011.
- Net income increased by 128% to $2,421,000, or $.39 per diluted share, compared to net income of $1,062,000, or $.18 per share, in the first quarter of 2011.
| (1) Net sales minus total restaurant operating expenses divided by net sales
Commenting on the first quarter of fiscal 2012, Lonnie J. Stout II, Chairman, President and CEO, said, “We are extremely pleased with our overall performance. Net income was the highest of any first quarter since the creation of the J. Alexander’s concept in 1991. We continued the positive sales momentum from last year and achieved our tenth consecutive quarter of same store sales gains.”
J. Alexander’s Corporation posted average weekly same store sales per restaurant of $99,600 in the first quarter of 2012, an increase from $95,300 in the first quarter of 2011. The Company’s average weekly sales per restaurant for the first quarters of 2012 and 2011 were the same as the same store averages because all restaurants are currently in the same store base.
Stout said that first quarter results benefitted from a number of profitability initiatives implemented by the Company in 2011. “As a percentage of net sales, we were able to substantially lower our cost of sales while at the same time reducing operating expenses and holding the line on labor costs.”