Pro forma net income increased 141.9% to $2.7 million, or $0.16 per diluted share in the fourth quarter of 2012, from $1.1 million, or $0.07 per diluted share, in the fourth quarter of 2011. The Company’s fourth quarter 2012 results included an estimated $0.04 to $0.05 per share positive impact due to the extra week in the quarter. A reconciliation between GAAP net income and pro forma net income is included in the accompanying financial data.
During the fourth quarter, one new Chuy’s restaurant was opened in Florence, Kentucky on November 6, 2012. Chuy’s opened a total of eight new restaurants in 2012.
The Company previously issued guidance for fiscal year 2013. Diluted net income per share is expected to range between $0.66 to $0.69. This compares to pro forma diluted net income per share of $0.60 in 2012. The Company’s 2012 pro forma results included an estimated $0.04 to $0.05 per share positive impact due to a 53rd week during the fiscal year. Net income guidance for fiscal year 2013 is based, in part, on the following annual assumptions:
- Comparable restaurant sales growth between 1.0% and 1.5%;
- Restaurant pre-opening expenses of approximately $3.3 million to $3.9 million;
- General and administrative expense of approximately $10.5 million to $11.0 million;
- An effective tax rate of approximately 29% to 31%;
- The opening of eight to nine new restaurants;
- Net capital expenditures (net of tenant improvement allowances) of approximately $19.1 million to $21.2 million; and
- Annual weighted average diluted shares outstanding of 16.7 million to 16.8 million shares.
On a comparable calendar week basis, the Company expects its reported first quarter 2013 comparable sales growth percentage to be consistent with its annual guidance. However, due to the 53rd week in fiscal 2012, there is a one-week calendar shift in the comparison of the fiscal first quarter of 2013 compared to the fiscal first quarter of 2012. As a result of this shift, the week between Christmas and New Year’s, traditionally a high-volume week for the Company’s restaurants, will be replaced with an average-volume week in the first quarter of 2013. The Company expects this shift to reduce revenues by approximately $700,000 to $800,000 compared to the prior year period and impact diluted net income per share by approximately $0.01 to $0.02 during the first quarter of 2013.