Brinker International: announces results for Q2 2015/2016

Dallas / TX. (bi) Brinker International Inc., a recognized leader in casual dining, announced results for the fiscal second quarter ended December 23, 2015. Highlights include the following:

• Earnings per diluted share, excluding special items, increased 9.9 percent to 0.78 USD compared to 0.71 USD for the second quarter of fiscal 2015
• On a GAAP basis, earnings per diluted share increased 25.0 percent to 0.80 USD compared to 0.64 USD for the second quarter of fiscal 2015
• Brinker International total revenues increased 6.2 percent to 788.6 million USD and company sales increased 6.7 percent to 765.7 million USD attributable to the 103 restaurants acquired with the Pepper Dining transaction in the first quarter of fiscal 2016
• Chili’s company-owned comparable restaurant sales decreased 2.8 percent
• Maggiano’s comparable restaurant sales decreased 1.8 percent
• Chili’s franchise comparable restaurant sales increased 0.9 percent which includes a 2.6 percent increase for international franchise restaurants, partially offset by a 0.1 percent decrease for U.S. franchise restaurants
• Restaurant operating margin,1 as a percent of company sales, declined approximately 30 basis points to 16.1 percent compared to 16.4 percent for the second quarter of fiscal 2015
• For the first six months of fiscal 2016, cash flows provided by operating activities were 155.6 million USD and capital expenditures totaled 52.2 million USD. Free cash flow2 was approximately 103.4 million USD
• The company repurchased approximately 1.9 million shares of its common stock for 89.0 million USD in the second quarter and a total of approximately 2.8 million shares for 140.1 million USD year-to-date
• The company declared a dividend of 32 cents per share to be paid in the third quarter, representing a 14.3 percent increase over the prior year
• The company reaffirms earnings per diluted share, excluding special items, to increase 15 to 18 percent in fiscal 2016 in the range of 3.55 USD to 3.65 USD

«Our second quarter earnings reflect solid performance despite top-line challenges», said Wyman Roberts, chief executive officer and president. «We believe our current initiatives will improve sales during the remainder of the fiscal year and help deliver our annual earnings guidance».