logo
  Join        Login             Stock Quote

Ruby Tuesday (RT) Drops After Downbeat 2Q, Guidance

 January 09, 2013 04:30 PM
 


(By Balaseshan) Ruby Tuesday Inc. (NYSE: RT), which operates casual dining restaurants, reported a wider quarterly loss due to lower revenue as well as higher costs and expenses. Loss was wider than Street's expectations, sending its shares down 4.45% in aftermarket.

Loss for the second quarter widened to $15.07 million or $0.24 per share from $2.0 million or $0.03 per share last year. Excluding items, loss for the latest quarter was $4.6 million or $0.07 per share.

Revenue declined 1% to $304.23 million, due to the permanent closure of 29 company-owned Ruby Tuesday concept restaurants.

Analysts, on average, polled by Thomson Reuters had expected a loss of $0.06 per share on revenue of $305.01 million for the second quarter.

[Related -Futures Mixed Amid Claims Data; Fortinet (FTNT) Tumbles]

Same-restaurant sales increased 0.3% at company-owned Ruby Tuesday restaurants. Restaurant sales for domestic franchise restaurants increased by 0.2%.

In addition, the company has decided to close and exit the Marlin & Ray's and Wok Hay concepts, close two company-developed Lime Fresh restaurants, and seek a buyer for the Truffles Grill concept which it currently license.

Looking ahead into the fiscal 2013, the company narrowed its adjusted earnings guidance to range of $0.24 to $0.30 per share from previous estimate of $0.24 to $0.34 per share, while Street predicts $0.29 per share.

Ruby Tuesday estimates same-restaurant sales for company-owned restaurants to be about flat for the year. The company projects margins to improve about 150-175 basis points.

[Related -Stocks Advance On China Trade Data; Supervalu (SVU) Soars]

The company plans to pursue sale leaseback transactions on up to 20 additional properties for estimated gross proceeds of about $40 million to $45 million.

On January 8, the board of directors increased the share repurchase authorization by 10 million shares.

RT closed Wednesday's regular session down 0.60% at $8.31. The stock has been trading between $4.98 and $9.39 for the past 52 weeks.

iOnTheMarket Premium
Advertisement

Advertisement


Post Comment -- Login is required to post message
Name:  
Alert for new comments:
Your email:
Your Website:
Title:
Comments:
 

rss feed

Latest Stories

article imageEstee Lauder Companies Inc. (EL) Q4 Earnings Preview: Options Player Betting On EL’s EPS Looking Pretty

Estee Lauder Companies Inc. (NYSE:EL) will release fiscal 2014 fourth quarter and full year financial read on...

article imageHerbalife Ltd. (HLF): 3 Reasons To Pay Attention to Recent Insider Buying

Well, well, well… it looks as if boardroom buyers viewed the recent selloff as an opportunity to buy. read on...

article imageApplied Materials, Inc. (AMAT) Q3 Earnings Preview: Marginally Better than Expected

Applied Materials, Inc.(NASDAQ:AMAT) will hold a webcast to discuss its third quarter of fiscal 2014 read on...

article imagePlug Power Inc. (PLUG) Q2 Earnings Preview: Guidance to Power PLUG’s Direction

Plug Power Inc. (NASDAQ:PLUG) will release the Company's 2014 second quarter results on August 14, 2014. read on...

Advertisement
Popular Articles

Advertisement
Daily Sector Scan
Partner Center



Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.