Grill Concepts Profit Soars, Shares Stall

0

Shares of upscale restaurant owner Grill Concepts Inc. moved only slightly Friday despite the company reporting that fourth quarter profits nearly quadrupled amid rising sales.


Grill Concepts reported fourth quarter net income of $1.5 million (22 cents per share), a 387 percent leap from $308,000 (5 cents) from the same period a year earlier, helped by a tax benefit of $1.3 million, the company said.


Sales for the Los Angeles-based operator of The Grill on the Alley and Daily Grill restaurants were up 22 percent $23.4 million thanks to hikes in management and license fees the company said.


The company also said same store sales grew 17.5 percent in the quarter.


For the year, the company reported net income jumped 237 percent to $3 million (48 cents), while revenue jumped 14 percent to $80 million.


The company said it plans to open four new Daily Grill restaurants in Seattle, Memphis and Austin this year along with another six restaurants in 2008.


Grill Concepts shares were up 8 cents to $8.83 in afternoon trading Friday on the Nasdaq.

No posts to display