This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Jamba, Inc. Provides Update On Key Business Initiatives

Jamba Inc. today provided an update on key business initiatives, preliminary fiscal year 2014 guidance and adjusted estimates for fiscal year 2013.

  • JambaGo express smoothie units are now opening in over 1,000 food courts at a major retailer across the country. The partnership represents the largest single expansion of JambaGo to date and will bring the total units to over 1,800.
  • International markets for Jamba are expected to grow from four countries currently to between seven and nine by year-end 2015. The estimated potential for international stores has therefore increased from 1,000 to 1,500.
  • A newly launched cost and productivity improvement program is expected to yield savings of 100-200 basis points in operating margin once fully operationalized.
  • The ISIS mobile wallet that enables payment via phone is now rolling out nationally to Jamba stores. Jamba’s new loyalty program, partnering with SpendGo, is scheduled to follow in the first quarter of 2014.
  • As a result of constraints on consumer spending, adverse weather in key markets and increased competition, Jamba adjusted several estimates for 2013. The Company now expects system-wide same store sales to be flat to 1%, store-level margins to be 16% to 17% and operating margin to be 1% to 2%.
  • Preliminary forecasts for 2014 show solid growth with system-wide same store sales of 2% to 4%; store-level margin of 18% to 19%; operating margin of 2% to 3%; domestic and international openings of 60 to 80 new stores; and up to 1,000 new JambaGo installations.

“Our analysis shows that a consumer spending slowdown reduced third quarter comparable store sales comparisons for company stores by 3% to 4%. We believe that current campaigns did not have the same impact as the prior year, impacting the comparison by 1% to 2%, and adverse weather in key markets caused a further reduction of approximately 1% to 2%. Preliminary results for third quarter same store sales reflect a decrease in system-wide comparable store sales of -3.4%, company-owned stores of -5.5%, and franchise stores of-1.3%. (1)” said James D. White, chairman, president and CEO of Jamba. “Jamba’s adjusted targets for 2013 and preliminary forecasts for 2014 represent a realistic and balanced approach to achieve sustained, long-term growth and also drive significant gains this year in operating margin, net income and other key metrics.”

“Our JambaGo initiative is a good example of robust growth. We are delighted to broaden our distribution to many other customers who will now have the opportunity to experience our delicious Jamba smoothies, which not only taste great but also have inspired millions of fans to pursue active healthy life styles,” concluded Mr. White.

1 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,083.80 -2.83 -0.02%
S&P 500 1,987.98 +0.97 0.05%
NASDAQ 4,472.1080 -1.5890 -0.04%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs