Così, Inc. (NASDAQ: COSI), the premiumconvenience restaurant company, today reported that total revenues for the2008 first quarter grew 6.7% to $33,191,900 from $31,121,300 in the 2007first quarter. Company-owned net restaurant revenues, excludingdiscontinued operations, grew 5.8% in the quarter to $32,459,600, comparedto $31,688,900 in the previous year's quarter. Franchise fees and royaltyrevenues for the quarter contributed $732,300 compared to $432,400 in the2007 first quarter.
System-wide comparable restaurant sales for the first quarter as measuredfor restaurants in operation for more than 15 months recorded an aggregate0.3% increase compared to the first quarter of 2007. The breakdown incomparable sales between Company-owned and franchise-operated restaurantsare as follows:
For the 13 weeks ended March 31, 2008 ----------------------Company-owned 0.0%Franchise-operated 3.8%Total System 0.3%
Included in the 2008 first quarter comparable sales were the New Year andEaster holidays, which were not included in the prior year comparable salesas these holidays fell outside the 2007 first quarter. Excluding theimpact for the five days related to these two holidays, Company-ownedcomparable sales increased 1.7% as compared to the first quarter of 2007.
"We are encouraged by the increase in total revenues and the continuedpositive trends in system-wide comparable sales given the challengingconsumer environment," said James Hyatt, President and Chief ExecutiveOfficer. "We remain focused on the collaborative effort underway with ourfranchise partners to drive revenue growth, execute more effectively acrossour system to enhance operating margins and continue improving the guests'experience."
Company-owned comparable sales are based on sales from restaurants thathave been open more than 15 months. Franchise-operated comparable salesare based on sales, as reported by franchisees, from restaurants that havebeen open more than 15 months.
Franchise-operated and system-wide comparable restaurant sales percentagesare non-GAAP measures, which should not be considered in isolation or as asubstitute for other measures of performance prepared in accordance withGAAP and may not be comparable to system-wide sales as defined or used byother companies. Così does not record franchise-operated sales asrevenues. However, Così's royalty revenues are calculated based on apercentage of franchise-operated restaurant sales.