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On June 10, 2009,
reported a net loss during Q3 FY09, as it included an impairment charge for the decrease in fair value investment, partially offset by the insurance proceeds received in settlement of property and equipment destroyed by Hurricane Ike. Net loss stood at $1.05 million or $0.04 per share compared to a profit of $949, 000 or $0.03 per share in the same quarter a year ago. In addition, income from continuing operations swung to net loss of $1.00 million or $0.04 per share. The most recent consensus estimate was $0.02 per share.
The company's revenue declined 7.5% year-over-year to $69.00 million from $74.60 million, hurt by the affects of the economic crisis on customer frequency and sales. Revenue from Restaurant sales plunged 9.2% to $66.03 million from $72.75 million. Approximately $1.50 million on this was related to sales from closed operations, partially offset by new restaurant sales. On the positive side, Culinary Contract Services revenue surged 61.0% to $2.97 million from $1.84 million due to continued growth in the number of these operating facilities to 13 in the third quarter compared to 9 at the end of the same quarter of last year. Same-store sales, which consisted of 118 restaurants, decreased 8.9% as a result of a decline in the number of customers, partially offset by higher menu prices. Additionally, the quarter benefitted from the favorable timing of Lent. Post adjustments related to this item, same store sales dropped 9.4% in Q3 FY09.
Looking forward to FY09, LUB expects same store sales to continue the negative trend for the year. It also anticipates recent sales pressures in small and midsize markets to negatively impact sales further.