|Second Quarter||Year to Date|
|($000's)||2013||2012||% Change||2013||2012||% Change|
|Income from operations (a)||29,797||31,247||(5)||67,965||60,649||12|
|Net income (a)||19,963||20,310||(2)||46,134||39,179||18|
|Diluted EPS (a)||$0.28||$0.28||(1)||$0.65||$0.55||18|
|(a) 2012 YTD includes a charge related to a legal settlement discussed below.|
- Diluted earnings per share remained relatively flat at $0.28 compared to the prior year period;
- Comparable restaurant sales increased 4.5% at company restaurants and 5.3% at franchise restaurants;
- Seven company restaurants and one franchise restaurant were opened;
- Restaurant margin, as a percentage of restaurant sales, decreased 47 basis points to 18.6% primarily due to higher commodity costs; and
- Higher than average spending on the Company’s annual managing partner conference, which marked its 20 th anniversary, impacted year-over-year operating results for the quarter as costs were $2.3 million higher compared to the prior year period.
- Excluding the impact of a prior year charge, diluted earnings per share increased 9.7% to $0.65 from $0.59 in the prior year. The year-to-date 2012 results included a pre-tax charge of $5.0 million ($3.1 million after-tax) which had a negative $0.04 impact on diluted earnings per share;
- Comparable restaurant sales increased 4.1% at company restaurants and 4.5 % at franchise restaurants;
- 10 company and three franchise restaurants were opened;
- Restaurant margin, as a percentage of restaurant sales, decreased 32 basis points to 18.8%; and
- Costs associated with the Company’s annual managing partner conference were $2.4 million higher compared to the prior year period.