UNITED
STATES
SECURITIES AND EXCHANGE
COMMISSION
Washington, D.C. 20549
FORM
8-K
CURRENT
REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
Date
of Report (Date of earliest event reported) February 14,
2019
BLOOMIN’ BRANDS, INC.
(Exact name of registrant as
specified in its
charter)
Delaware |
001-35625 |
20-8023465 |
(State or other jurisdiction of
incorporation) |
(Commission File Number) |
(IRS
Employer Identification No.) |
2202 North West Shore Boulevard, Suite 500, Tampa,
Florida 33607
(Address of principal executive offices) (Zip
Code)
Registrant’s
telephone number, including area code (813)
282-1225
N/A
(Former name or former address, if changed
since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following
provisions:
o |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425) |
o |
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12) |
o |
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b)) |
o |
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c)) |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act
of 1934 (§240.12b-2 of this chapter).
Emerging growth company
o
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition
period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
o
Item 2.02 |
Results of Operations and Financial Condition
|
On February 14, 2019, the Company issued a press release reporting its financial
results for the thirteen weeks ended December 30, 2018. A copy of the release is attached as Exhibit
99.1.
The information contained in Item 2.02 of this report, and the exhibit attached hereto, is being furnished and shall not be deemed “filed” for any purpose, and shall not be deemed incorporated
by reference in any document whether or not filed under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, regardless of any general incorporation language in any such document.
Item 9.01 |
Financial Statements and
Exhibits |
(d)
Exhibits.
Exhibit Number |
Description | ||
99.1 |
|||
2
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly
authorized.
BLOOMIN’ BRANDS,
INC. | |||
(Registrant) | |||
Date: |
February 14, 2019 |
By: |
/s/ David J.
Deno |
David J. Deno | |||
Executive Vice President and Chief Financial and Administrative
Officer (Principal Financial and Accounting Officer) | |||
3
|
NEWS |
Exhibit
99.1 | ||
Mark Graff |
||||
Vice President, IR &
Finance |
||||
(813) 830-5311 |
||||
Bloomin’ Brands Announces
2018 Q4 Diluted EPS of $0.12 and
Adjusted Diluted EPS of
$0.30
Full Year 2018 Diluted EPS
of $1.14 and Adjusted Diluted EPS of $1.50
Q4 Comparable Restaurant Sales Growth of 2.9% at Outback Steakhouse and
1.6% Combined U.S.
Full Year Comparable Restaurant Sales Growth of 4.0% at Outback Steakhouse and 2.5% Combined U.S.
TAMPA, Fla., February 14, 2019 - Bloomin’ Brands, Inc. (Nasdaq: BLMN) today reported results for the fourth quarter
2018 (“Q4
2018”) and fiscal year ended December 30, 2018 (“Fiscal
Year 2018”) compared to the fourth quarter 2017 (“Q4
2017”) and fiscal year ended December 31, 2017 (“Fiscal
Year 2017”). In 2017, the fourth quarter and fiscal year included an additional operating week (“53rd
week”) compared to Fiscal Year 2018.
Highlights for Q4 2018 include the following:
• |
Comparable restaurant sales increased
2.9% at U.S. Outback Steakhouse(1) |
• |
Combined U.S. comparable restaurant sales increased 1.6%(1) and include an
estimated negative (0.4%) impact from holiday shift |
• |
Comparable restaurant sales increased
2.4% for Outback Steakhouse in
Brazil |
Highlights for Fiscal Year 2018 include the following:
• |
Comparable restaurant sales increased
4.0% at U.S. Outback Steakhouse with traffic up 0.9%(1) |
• |
Combined U.S comparable restaurant sales increased 2.5% with positive comps at all U.S concepts (1) |
• |
Opened 30 new restaurants, including 24 in international
markets |
• |
Repurchased 5.1 million shares of common stock for a total of $114
million |
____________________________
(1) |
For Q4 2018, comparable restaurant sales compare the 13 weeks from October 1, 2018 through December 30,
2018 to the 13 weeks from October 2, 2017 through December 31, 2017. For Fiscal Year 2018, comparable sales and traffic compare the 52 weeks from January 1, 2018 through December 30, 2018 to the 52 weeks from January 2, 2017 through December 31,
2017. |
Diluted EPS and
Adjusted Diluted EPS
The following table
reconciles Diluted earnings per share to Adjusted diluted earnings per share for the periods as indicated below.
Q4 |
FISCAL YEAR |
||||||||||||||||||||||
2018 |
2017 |
2018 |
2017 |
||||||||||||||||||||
(13 Weeks) |
(14 Weeks) |
CHANGE |
(52 Weeks) |
(53 Weeks) |
CHANGE | ||||||||||||||||||
Diluted earnings per share |
$ |
0.12 |
$ |
0.13 |
$ |
(0.01 |
) |
$ |
1.14 |
$ |
1.02 |
$ |
0.12 |
||||||||||
Adjustments
|
0.18 |
0.17 |
0.01 |
0.36 |
0.30 |
0.06 |
|||||||||||||||||
Adjusted diluted earnings per share |
$ |
0.30 |
$ |
0.30 |
$ |
— |
$ |
1.50 |
$ |
1.32 |
$ |
0.18 |
|||||||||||
Remove Fiscal 2017
53rd Week Impact (1) |
— |
(0.12 |
) |
0.12 |
— |
(0.11 |
) |
0.11 |
|||||||||||||||
Adjusted diluted earnings per share on a comparable period basis (1) |
$
|
0.30 |
$
|
0.18 |
$
|
0.12 |
$
|
1.50 |
$
|
1.20 |
$
|
0.30 |
|||||||||||
________________
See Non-GAAP Measures later in this release. Numerical figures included in this table have been subject to rounding
adjustments.
(1) |
The 53rd week of 2017 was estimated to have positively impacted both GAAP and adjusted diluted earnings
per share by approximately $0.12 and $0.11 for the fourth quarter and fiscal year 2017, respectively. For comparability, we have presented adjusted diluted earnings per share excluding the impact of the 53rd week of December 25, 2017 to
December 31,
2017. |
1
CEO
Comments
“The fourth quarter was an excellent finish to a strong 2018 for Bloomin’ Brands,” said Liz Smith, CEO. “The Company met or exceeded the top end of our guidance for sales and profit
driven by our strategic investments in the portfolio. Outback finished the year up 4.0% in comp sales with Q4 marking our eighth consecutive quarter of strong sales performance versus the industry. In 2019, we expect to drive healthy, profitable
traffic growth and increase margins behind our sustainable growth model.”
Fourth Quarter Financial
Results
Our Q4 2017 results included an additional operating week (14 Weeks) compared to Q4 2018 (13 Weeks). This additional week added $80.4M of total revenues, $0.12 of EPS and provided a 190 basis point and 170 basis point benefit to Q4 2017 GAAP and adjusted operating income margins, respectively. The
following table includes both a reported and a comparable 13 weeks view of our Q4 2018 results:
AS
REPORTED |
COMPARABLE
BASIS (1) | ||||||||||||||||
Q4
2018 |
Q4
2017 |
Q4
2017 |
|||||||||||||||
(dollars in
millions) |
(13
Weeks) |
(14 Weeks) |
CHANGE |
(13 Weeks) |
CHANGE | ||||||||||||
Total
revenues |
$ |
1,013.1 |
$ |
1,076.4 |
(5.9 |
)% |
$ |
996.0 |
1.7 |
% | |||||||
GAAP restaurant-level
operating margin |
14.7 |
% |
14.5 |
% |
0.2 |
% |
13.3 |
% |
1.4 |
% | |||||||
Adjusted restaurant-level operating margin
(2) |
14.7 |
% |
14.5 |
% |
0.2 |
% |
13.3 |
% |
1.4 |
% | |||||||
GAAP operating income margin |
2.1 |
% |
1.4 |
% |
0.7 |
% |
(0.5 |
)% |
2.6 |
% | |||||||
Adjusted operating income
margin (2) |
4.3 |
% |
3.9 |
% |
0.4 |
% |
2.2 |
% |
2.1 |
% | |||||||
___________________
(1) |
For Q4 2018, comparable financial measures compare the 13 weeks from October 1, 2018 through December
30, 2018 to the 13 weeks from September 25, 2017 through December 24, 2017. |
(2) |
See Non-GAAP Measures later in this release. |
• |
The decrease in reported total revenues was primarily due to revenues from the 53rd week in Q4 2017
and foreign currency translation partially offset by higher U.S. comparable restaurant sales. |
• |
The increase in reported GAAP operating income margin was primarily due to: (i) lower general and
administrative expense from reduced compensation and severance, (ii) increases in U.S. comparable restaurant sales and (iii) the impact of certain cost savings initiatives. These increases were partially offset by: (i) commodity and labor inflation,
(ii) the impact of the 53rd week in 2017 and (iii) net year-over-year impact of closure and restructuring initiatives. |
Fourth Quarter Comparable Restaurant Sales(1)
Q4 2018 comparable restaurant sales exclude New
Year’s Eve from our 2018 results, and include New Year’s Eve in our 2017 results. This shift had an estimated negative 40 basis point impact on Q4 2018 comparable restaurant
sales.
THIRTEEN
WEEKS ENDED DECEMBER 30, 2018 |
COMPANY-OWNED (1) | ||
Comparable restaurant
sales (stores open 18 months or more): |
|||
U.S.
|
|||
Outback
Steakhouse |
2.9 |
% | |
Carrabba’s Italian Grill |
0.8 |
% | |
Bonefish
Grill |
(1.1 |
)% | |
Fleming’s Prime Steakhouse & Wine
Bar |
(0.4 |
)% | |
Combined
U.S. |
1.6 |
% | |
International |
|||
Outback Steakhouse - Brazil |
2.4 |
% | |
___________________
(1) |
For Q4 2018, U.S. comparable restaurant sales compare the 13 weeks from October 1, 2018 through December
30, 2018 to the 13 weeks from October 2, 2017 through December 31, 2017.
|
2
Dividend Declaration and Share Repurchases
On February 12, 2019, our Board of Directors declared a quarterly cash dividend of
$0.10 per share to be paid on March 8, 2019 to all stockholders of record as of the close of business on February 25,
2019.
On February 16, 2018, our Board of Directors approved a $150.0 million share repurchase program. As of February 12, 2019, we had $36.0
million remaining under this authorization. On February 12, 2019, our Board of Directors canceled this remaining authorization and approved a new $150.0 million authorization. This
authorization will expire on August 12, 2020.
Impact of the Adoption of New Lease Accounting Standard
Beginning with Q1 2019, our financial statements will include the adoption of the new lease accounting standard. Among its impacts, we will no longer recognize the benefit of deferred gains on
sale-leaseback transactions, resulting in an increase to Other restaurant operating expense of approximately $12.3 million in
fiscal year 2019. The additional rent expense from these sale-leaseback transactions will remain on our financial statements.
We expect this change to have the following impact to
our fiscal 2019 financial reporting and operating results:
• |
a 10 cent reduction in earnings per share for the fiscal
year |
• |
a 30 basis point reduction in operating income margin for the
fiscal year |
Fiscal 2019
Financial Outlook
The following table presents our expectations for selected fiscal 2019 financial reporting and
operating results. Please note the following as it relates to these expectations:
• |
Fiscal Year 2019 adjusted diluted earnings per share growth is expected to be approximately 10% to
15%, excluding the $0.10 impact of the deferred gains on sale-leaseback transactions as described above |
• |
We expect adjusted operating margin expansion of 50 to 70 basis points after adjusting for the
negative 30 basis point impact of the deferred gains on sale-leaseback transactions as described above
|
Financial
Results: |
2019 Guidance |
GAAP diluted earnings per
share (1) |
$1.44 to $1.52 |
Adjusted diluted earnings
per share (1) |
$1.53 to
$1.61 |
GAAP effective income tax rate (1) |
6% to
7% |
Adjusted effective income tax rate (1) |
7% to
8% |
Other Selected Financial
Data: |
|
Combined U.S. comparable
restaurant sales |
2.0% to
2.5% |
Commodity
inflation |
Approx.
2% |
Capital
expenditures |
$175M -
$200M |
Number of new system-wide
restaurants |
Approx.
20 |
___________________
(1) |
The primary difference between our GAAP outlook and our adjusted outlook for both diluted earnings per
share and effective income tax rate is driven by anticipated adjustments in connection with our relocation initiative and remaining impacts expected from previous store closure initiatives.
|
3
The following table is a reconciliation of our 2019 adjusted diluted earnings per share and adjusted operating income margin outlook. To improve comparability, in this table we have removed the benefit of
deferred gains on sale-leaseback transactions from our 2018 results since we will no longer recognize those benefits in 2019 as a result of the adoption of the new lease accounting
standard.
Earnings Per
Share: |
2018 |
2019 Guidance |
Change | ||
Adjusted diluted earnings
per share |
$1.50 |
$1.53 to $1.61 |
$0.03 to $0.11 | ||
Less: impact from new
lease standard |
(0.10) |
- |
0.10 | ||
Adjusted diluted earnings
per share excluding impact of new lease standard |
$1.40 |
$1.53 to
$1.61 |
$0.13 to
$0.21 | ||
Adjusted diluted earnings
per share growth excluding impact of new lease standard |
10% to
15% | ||||
Operating Income
Margin: |
|||||
Adjusted operating income
margin |
4.6% |
4.8% to
5.0% |
0.2% to
0.4% | ||
Less: impact from new
lease standard |
(0.3%) |
- |
0.3% | ||
Adjusted operating income
margin excluding impact of new lease standard |
4.3% |
4.8% to
5.0% |
0.5% to
0.7% | ||
Conference Call
The Company
will host a conference call today, February 14th at 9:00 AM EST. The conference call can be accessed live over the telephone by dialing (877) 407-9039 or (201) 689-8470 for international participants. A replay will be available beginning two hours
after the call and can be accessed by dialing (844) 512-2921 or (412) 317-6671 for international callers. The replay will be available until Thursday, February 21, 2019. The conference ID for the live call and replay is 13686753. The call will also
be webcast live from the Company’s website at http://www.bloominbrands.com under the
Investors section. A replay of this webcast will be available on the Company’s website after the call.
Impact of the Adoption of New Revenue Recognition Standard
Effective January 1, 2018, we adopted Accounting Standards Update No. 2014-09 “Revenue Recognition (Topic 606), Revenue from Contracts with Customers” (“ASU No. 2014-09”). Refer to
Exhibit 99.2 to our April 26, 2018 Form 8-K for additional information regarding our adoption of this standard and the impact to our historical financial results.
Non-GAAP
Measures
In addition to the results provided in accordance with GAAP, this press release and related tables include
certain non-GAAP measures, which present operating results on an adjusted basis. These are supplemental measures of performance that are not required by or presented in accordance with GAAP and include the following: (i) Adjusted restaurant-level
operating margin, (ii) Adjusted income from operations and the corresponding margin, (iii) Adjusted net income, (iv) Adjusted diluted earnings per share, (v) Adjusted segment restaurant-level operating margin and (vi) Adjusted segment income from
operations and the corresponding margin. For purposes of improving comparability for our 2019 guidance, we have also presented Adjusted diluted earnings per share and Adjusted operating income margin excluding the impact of the new lease accounting
standard in the table above.
We believe that our use of non-GAAP financial measures permits investors to assess the operating performance of our business relative to our performance based on GAAP results and relative to other
companies within the restaurant industry by isolating the effects of certain items that may vary from period to period without correlation to core operating performance or that vary widely among similar companies. However, our inclusion of these
adjusted measures should not be construed as an indication that our future results will be unaffected by unusual or infrequent items or that the items for which we have made adjustments are unusual or infrequent or will not recur. We believe that
the disclosure of these non-GAAP measures is useful to investors as they form part of the basis for how our management team and Board of Directors evaluate our operating performance, allocate resources and administer employee incentive
plans.
4
These non-GAAP
financial measures are not intended to replace GAAP financial measures, and they are not necessarily standardized or comparable to similarly titled measures used by other companies. We maintain internal guidelines with respect to the types of
adjustments we include in our non-GAAP measures. These guidelines endeavor to differentiate between types of gains and expenses that are reflective of our core operations in a period, and those that may vary from period to period without correlation
to our core performance in that period. However, implementation of these guidelines necessarily involves the application of judgment, and the treatment of any items not directly addressed by, or changes to, our guidelines will be considered by our
disclosure committee. You should refer to the reconciliations of non-GAAP measures in tables four, five, and six included later in this release for descriptions of the actual adjustments made in the current period and the corresponding prior
period.
In this release, we have also included forward-looking non-GAAP information under the caption “Fiscal
2019 Financial Outlook”. This relates to our current expectations for fiscal year 2019 adjusted diluted EPS, combined U.S. comparable restaurant sales, adjusted operating margin
expansion and adjusted effective income tax rate. We have also provided information with respect to our expectations for the corresponding GAAP measures.
The differences between our disclosed GAAP and non-GAAP expectations are
described to the extent practicable under “Fiscal 2019 Financial Outlook”. However,
in addition to the general cautionary language regarding all forward-looking statements included elsewhere in this release, we note that, because the items we adjust for in our non-GAAP measures may vary from period to period without correlation to
our core performance, they are by nature more difficult to predict and estimate, so additional adjustments may occur in the remainder of the fiscal year and they may significantly impact our GAAP
results.
5
About Bloomin’ Brands, Inc.
Bloomin’ Brands, Inc. is one of the largest casual dining restaurant companies in the world with a portfolio of leading, differentiated restaurant concepts. The Company has four founder-inspired
brands: Outback Steakhouse, Carrabba’s Italian Grill, Bonefish Grill and Fleming’s Prime Steakhouse & Wine Bar. The Company operates approximately 1,500 restaurants in
48 states, Puerto Rico, Guam and 20 countries, some of which are franchise locations. For more information, please
visit www.bloominbrands.com.
Forward-Looking Statements
Certain statements contained herein, including statements under the headings “CEO
Comments”, “Impact of the Adoption of New Lease Accounting Standard” and “Fiscal 2019 Financial Outlook” are not based on historical fact and are “forward-looking statements” within the meaning of applicable securities laws. Generally, these statements can be identified by the use of words
such as “guidance,” “believes,” “estimates,” “anticipates,” “expects,” “on track,” “feels,” “forecasts,” “seeks,” “projects,”
“intends,” “plans,” “may,” “will,” “should,” “could,” “would” and similar expressions intended to identify forward-looking statements, although not all
forward-looking statements contain these identifying words. These forward-looking statements include all matters that are not historical facts. By their nature, forward-looking statements involve risks and uncertainties that could cause actual
results to differ materially from the Company’s forward-looking statements. These risks and uncertainties include, but are not limited to: consumer reaction to public health and food safety issues; competition; increases in labor costs;
government actions and policies; increases in unemployment rates and taxes; local, regional, national and international economic conditions; consumer confidence and spending patterns; price and availability of commodities; the effects of changes in
tax laws; challenges associated with our remodeling, relocation and expansion plans; interruption or breach of our systems or loss of consumer or employee information; political, social and legal conditions in international markets and their effects
on foreign operations and foreign currency exchange rates; our ability to preserve the value of and grow our brands; the seasonality of the Company’s business; weather, acts of God and other disasters; changes in patterns of consumer traffic,
consumer tastes and dietary habits; the effectiveness of our strategic actions; the cost and availability of credit; interest rate changes; compliance with debt covenants and the Company’s ability to make debt payments and planned investments;
and our ability to continue to pay dividends and repurchase shares of our common stock. Further information on potential factors that could affect the financial results of the Company and its forward-looking statements is included in its most recent
Form 10-K and subsequent filings with the Securities and Exchange Commission. The Company assumes no obligation to update any forward-looking statement, except as may be required by law. These forward-looking statements speak only as of the date of
this release. All forward-looking statements are qualified in their entirety by this cautionary
statement.
Note: Numerical figures included in this release have been subject to rounding
adjustments.
6
TABLE
ONE | |||||||||||||||
BLOOMIN’
BRANDS, INC. | |||||||||||||||
CONSOLIDATED
STATEMENTS OF OPERATIONS | |||||||||||||||
(UNAUDITED) | |||||||||||||||
THIRTEEN WEEKS ENDED |
FOURTEEN WEEKS ENDED |
FISCAL
YEAR ENDED | |||||||||||||
(in thousands, except per share
data) |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 | |||||||||||
Revenues |
|||||||||||||||
Restaurant sales |
$ |
996,984 |
$ |
1,059,036 |
$ |
4,060,871 |
$ |
4,164,063 |
|||||||
Franchise and other
revenues |
16,129
|
17,344
|
65,542
|
59,073
|
|||||||||||
Total revenues |
1,013,113 |
1,076,380 |
4,126,413 |
4,223,136 |
|||||||||||
Costs and
expenses |
|||||||||||||||
Cost of sales |
313,173 |
332,600 |
1,295,588 |
1,317,110 |
|||||||||||
Labor and other
related |
295,291 |
312,013 |
1,197,297 |
1,219,593 |
|||||||||||
Other restaurant operating |
241,631 |
260,701 |
967,099 |
996,180 |
|||||||||||
Depreciation and
amortization |
50,120 |
49,803 |
201,593 |
192,282 |
|||||||||||
General and administrative |
70,204 |
91,897 |
282,720 |
306,956 |
|||||||||||
Provision for impaired
assets and restaurant closings |
21,273
|
14,076
|
36,863
|
52,329
|
|||||||||||
Total costs and expenses |
991,692 |
1,061,090 |
3,981,160 |
4,084,450 |
|||||||||||
Income from
operations |
21,421 |
15,290 |
145,253 |
138,686 |
|||||||||||
Loss on extinguishment and modification of
debt |
— |
(809 |
) |
— |
(1,069 |
) | |||||||||
Other (expense) income,
net |
(5 |
) |
151 |
(11 |
) |
14,912 |
|||||||||
Interest expense, net |
(11,708 |
) |
(12,003 |
) |
(44,937 |
) |
(41,392 |
) | |||||||
Income before benefit for
income taxes |
9,708 |
2,629 |
100,305 |
111,137 |
|||||||||||
(Benefit) provision for income
taxes |
(2,717 |
) |
(10,216 |
) |
(9,233 |
) |
7,529 |
||||||||
Net
income |
12,425 |
12,845 |
109,538 |
103,608 |
|||||||||||
Less: net income attributable to noncontrolling
interests |
1,518 |
893 |
2,440 |
2,315 |
|||||||||||
Net income attributable to
Bloomin’ Brands |
$
|
10,907 |
$
|
11,952 |
$
|
107,098 |
$
|
101,293 |
|||||||
Earnings per
share: |
|||||||||||||||
Basic |
$ |
0.12 |
$ |
0.13 |
$ |
1.16 |
$ |
1.05 |
|||||||
Diluted |
$
|
0.12 |
$
|
0.13 |
$
|
1.14 |
$
|
1.02 |
|||||||
Weighted average common
shares outstanding: |
|||||||||||||||
Basic |
91,579 |
91,427 |
92,042 |
96,365 |
|||||||||||
Diluted |
92,833
|
94,721
|
94,075
|
99,707
|
|||||||||||
Cash dividends declared
per common share |
$
|
0.09 |
$
|
0.08 |
$
|
0.36 |
$
|
0.32 |
|||||||
7
TABLE
TWO | |||||||||||||||
BLOOMIN’ BRANDS,
INC. | |||||||||||||||
SEGMENT
RESULTS | |||||||||||||||
(UNAUDITED) | |||||||||||||||
(dollars in
thousands) |
THIRTEEN WEEKS ENDED |
FOURTEEN WEEKS ENDED |
FISCAL YEAR ENDED | ||||||||||||
U.S. Segment |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 | |||||||||||
Revenues |
|||||||||||||||
Restaurant sales |
$ |
892,080 |
$ |
943,771 |
$ |
3,634,198 |
$ |
3,713,666 |
|||||||
Franchise and other
revenues |
12,604
|
13,818
|
53,041
|
47,201
|
|||||||||||
Total revenues |
$ |
904,684 |
$ |
957,589 |
$ |
3,687,239 |
$ |
3,760,867 |
|||||||
Restaurant-level
operating margin |
13.9 |
% |
14.2 |
% |
14.2 |
% |
14.5 |
% | |||||||
Income from operations |
$ |
58,314 |
$ |
76,723 |
$ |
288,959 |
$ |
289,971 |
|||||||
Operating income
margin |
6.4 |
% |
8.0 |
% |
7.8 |
% |
7.7 |
% | |||||||
International
Segment |
|||||||||||||||
Revenues |
|||||||||||||||
Restaurant sales |
$ |
104,904 |
$ |
115,265 |
$ |
426,673 |
$ |
450,397 |
|||||||
Franchise and other
revenues |
3,525
|
3,526
|
12,501
|
11,872
|
|||||||||||
Total revenues |
$ |
108,429 |
$ |
118,791 |
$ |
439,174 |
$ |
462,269 |
|||||||
Restaurant-level
operating margin |
20.3 |
% |
20.5 |
% |
18.8 |
% |
20.6 |
% | |||||||
Income from operations |
$ |
7,949 |
$ |
2,041 |
$ |
22,001 |
$ |
28,798 |
|||||||
Operating income
margin |
7.3 |
% |
1.7 |
% |
5.0 |
% |
6.2 |
% | |||||||
Reconciliation of Segment Income
from Operations to Consolidated Income from Operations |
|||||||||||||||
Segment income from
operations |
|||||||||||||||
U.S. |
$ |
58,314 |
$ |
76,723 |
$ |
288,959 |
$ |
289,971 |
|||||||
International
|
7,949
|
2,041
|
22,001
|
28,798
|
|||||||||||
Total segment income from
operations |
66,263 |
78,764 |
310,960 |
318,769 |
|||||||||||
Unallocated corporate
operating expense |
(44,842
|
)
|
(63,474
|
)
|
(165,707
|
)
|
(180,083
|
)
| |||||||
Total income from operations |
$ |
21,421 |
$ |
15,290 |
$ |
145,253 |
$ |
138,686 |
|||||||
TABLE
THREE | |||||||
BLOOMIN’
BRANDS, INC. | |||||||
SUPPLEMENTAL BALANCE
SHEET INFORMATION | |||||||
(UNAUDITED) | |||||||
(in thousands) |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 | |||||
Cash and cash equivalents
(1) |
$ |
71,823 |
$ |
128,263 |
|||
Net working capital (deficit) (2) |
$ |
(455,556 |
) |
$ |
(453,183 |
) | |
Total
assets |
$ |
2,464,774 |
$ |
2,561,894 |
|||
Total debt, net |
$ |
1,094,775 |
$ |
1,118,104 |
|||
Total stockholders’
equity (3) |
$ |
54,817 |
$ |
81,231 |
|||
Common stock outstanding (3) |
91,272 |
91,913 |
|||||
_________________
(1) |
Excludes restricted cash. |
(2) |
We have, and in the future may continue to have, negative working capital balances (as is common for
many restaurant companies). We operate successfully with negative working capital because cash collected on Restaurant sales is typically received before payment is due on our current liabilities, and our inventory turnover rates require relatively
low investment in inventories. Additionally, ongoing cash flows from restaurant operations and gift card sales are used to service debt obligations and to make capital expenditures. |
(3) |
During the fiscal year ended December 30,
2018, we repurchased 5.1 million shares of our outstanding common stock and
issued 4.0 million shares of our common stock through the exercise of stock options.
|
8
TABLE
FOUR | ||||||||||||||||||||
BLOOMIN’
BRANDS, INC. | ||||||||||||||||||||
RESTAURANT-LEVEL
OPERATING MARGIN NON-GAAP RECONCILIATION | ||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||
FOURTH QUARTER |
FOURTH
QUARTER |
(UNFAVORABLE) FAVORABLE CHANGE IN ADJUSTED QUARTER TO
DATE | ||||||||||||||||||
2018
|
2017
|
|||||||||||||||||||
AS
REPORTED |
AS
REPORTED |
COMPARABLE ADJUSTED BASIS (1) |
AS REPORTED |
COMPARABLE BASIS (2) | ||||||||||||||||
Consolidated:
|
GAAP |
ADJUSTED (1) |
GAAP |
ADJUSTED (1) |
||||||||||||||||
Restaurant
sales |
100.0
|
% |
100.0
|
% |
100.0
|
% |
100.0
|
% |
100.0 |
% |
||||||||||
Cost of
sales |
31.4 |
% |
31.4 |
% |
31.4 |
% |
31.4 |
% |
31.5 |
% |
— |
% |
0.1 |
% | ||||||
Labor and other related |
29.6 |
% |
29.6 |
% |
29.5 |
% |
29.5 |
% |
29.6 |
% |
(0.1 |
)% |
— |
% | ||||||
Other restaurant
operating |
24.2 |
% |
24.3 |
% |
24.6 |
% |
24.6 |
% |
25.6 |
% |
0.3 |
% |
1.3 |
% | ||||||
Restaurant-level operating
margin (3) |
14.7 |
% |
14.7 |
% |
14.5 |
% |
14.5 |
% |
13.3 |
% |
0.2 |
% |
1.4 |
% | ||||||
Segments - Restaurant-level operating margin (3): |
||||||||||||||||||||
U.S. |
13.9 |
% |
13.9 |
% |
14.2 |
% |
14.2 |
% |
(0.3 |
)% |
||||||||||
International |
20.3 |
% |
20.3 |
% |
20.5 |
% |
20.5 |
% |
(0.2 |
)% |
||||||||||
FISCAL
YEAR |
FISCAL
YEAR |
(UNFAVORABLE) FAVORABLE CHANGE IN ADJUSTED YEAR TO
DATE | ||||||||||||||||||
2018
|
2017
|
|||||||||||||||||||
AS REPORTED |
AS REPORTED |
COMPARABLE ADJUSTED BASIS (1) |
AS REPORTED |
COMPARABLE BASIS (2) | ||||||||||||||||
Consolidated:
|
GAAP |
ADJUSTED (1) |
GAAP |
ADJUSTED (1) |
||||||||||||||||
Restaurant
sales |
100.0
|
% |
100.0
|
% |
100.0
|
% |
100.0
|
% |
100.0
|
% |
||||||||||
Cost of
sales |
31.9 |
% |
31.9 |
% |
31.6 |
% |
31.6 |
% |
31.7 |
% |
(0.3 |
)% |
(0.2 |
)% | ||||||
Labor and other related |
29.5 |
% |
29.5 |
% |
29.3 |
% |
29.3 |
% |
29.3 |
% |
(0.2 |
)% |
(0.2 |
)% | ||||||
Other restaurant
operating |
23.8 |
% |
23.9 |
% |
23.9 |
% |
24.1 |
% |
24.3 |
% |
0.2 |
% |
0.4 |
% | ||||||
Restaurant-level operating
margin (3) |
14.8 |
% |
14.7 |
% |
15.2 |
% |
15.0 |
% |
14.7 |
% |
(0.3 |
)% |
— |
% | ||||||
Segments - Restaurant-level operating margin (3): |
||||||||||||||||||||
U.S. |
14.2 |
% |
14.2 |
% |
14.5 |
% |
14.4 |
% |
(0.2 |
)% |
||||||||||
International |
18.8 |
% |
18.7 |
% |
20.6 |
% |
20.6 |
% |
(1.9 |
)% |
||||||||||
_________________
(1) |
The table set forth below titled
“Restaurant-level Operating Margin Adjustments” provides additional information regarding the adjustments for each period
presented. Adjustments for the 13-week and 52-week 2017 comparable basis adjusted restaurant-level operating margin calculations are consistent with the adjustments applied to the “as reported” adjusted calculations for each respective
period. |
(2) |
Comparable basis adjusted restaurant-level operating margins compare the 13 weeks from October 1, 2018
through December 30, 2018 to the 13 weeks from September 25, 2017 through December 24, 2017 and the 52 weeks from January 1, 2018 through December 30, 2018 to the 52 weeks from December 26, 2016 through December 24, 2017.
|
(3) |
The following categories of our revenue and operating expenses are not included in restaurant-level
operating margin because we do not consider them reflective of operating performance at the restaurant-level within a period: |
(i) |
Franchise and other revenues, which are earned primarily from franchise royalties and other non-food and
beverage revenue streams, such as rental and sublease income. |
(ii) |
Depreciation and amortization which, although substantially all of which is related to restaurant-level
assets, represent historical sunk costs rather than cash outlays for the restaurants. |
(iii) |
General and administrative expense which includes primarily non-restaurant-level costs associated with
support of the restaurants and other activities at our corporate offices. |
(iv) |
Asset impairment charges and restaurant closing costs which are not reflective of ongoing restaurant
performance in a
period. |
9
Restaurant-level Operating
Margin Adjustments - Following is a summary restaurant-level operating margin adjustments recorded in Other restaurant operating for the following activities, as described in table five of
this release:
FOURTH
QUARTER |
FOURTH
QUARTER |
FISCAL
YEAR | |||||||||||||
(dollars in
millions) |
2018 |
2017 |
2018 |
2017 | |||||||||||
Restaurant and asset
impairments and closing costs (1) |
$ |
0.2 |
$ |
— |
$ |
3.4 |
$ |
4.8 |
|||||||
Restaurant relocations and related
costs |
0.1 |
0.2 |
0.7 |
0.9 |
|||||||||||
$
|
0.3 |
$
|
0.2 |
$
|
4.1 |
$
|
5.7 |
||||||||
_________________
(1) |
Restaurant and asset impairments and closing costs includes
$0.6 million of adjustments for fiscal year 2018 recorded the International segment. All other adjustments were recorded within the
U.S.
segment. |
10
TABLE
FIVE | |||||||||||||||
BLOOMIN’
BRANDS, INC. | |||||||||||||||
INCOME FROM
OPERATIONS, NET INCOME AND DILUTED EARNINGS PER SHARE NON-GAAP RECONCILIATIONS | |||||||||||||||
(UNAUDITED) | |||||||||||||||
THIRTEEN WEEKS ENDED |
FOURTEEN WEEKS ENDED |
FISCAL
YEAR ENDED | |||||||||||||
(in thousands, except per share
data) |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 | |||||||||||
Income from operations
(1) |
$ |
21,421 |
$ |
15,290 |
$ |
145,253 |
$ |
138,686 |
|||||||
Operating income margin (1) |
2.1 |
% |
1.4 |
% |
3.5 |
% |
3.3 |
% | |||||||
Adjustments: |
|||||||||||||||
Restaurant and asset impairments and closing costs
(2) |
17,521 |
11,276 |
29,542 |
42,767 |
|||||||||||
Restaurant relocations
and related costs (3) |
4,009 |
4,438 |
8,647 |
12,539 |
|||||||||||
Legal and contingent matters (4) |
310 |
553 |
1,068 |
553 |
|||||||||||
Severance
(5) |
— |
9,991 |
3,493 |
11,006 |
|||||||||||
Transaction-related expenses (6) |
— |
— |
— |
1,447 |
|||||||||||
Total income from
operations adjustments |
21,840 |
26,258 |
42,750 |
68,312 |
|||||||||||
Adjusted income from operations |
$ |
43,261 |
$ |
41,548 |
$ |
188,003 |
$ |
206,998 |
|||||||
Adjusted operating
income margin |
4.3
|
% |
3.9
|
% |
4.6
|
% |
4.9 |
% | |||||||
Net income attributable to
Bloomin’ Brands (1) |
$ |
10,907 |
$ |
11,952 |
$ |
107,098 |
$ |
101,293 |
|||||||
Adjustments: |
|||||||||||||||
Income from operations
adjustments |
21,840 |
26,258 |
42,750 |
68,312 |
|||||||||||
| Loss on extinguishment and modification of debt (7)
|
— |
809 |
— |
1,069 |
|||||||||||
Gain on disposal of business and other
costs (8) |
—
|
—
|
—
|
(14,854
|
)
| ||||||||||
Total adjustments, before income
taxes |
21,840 |
27,067 |
42,750 |
54,527 |
|||||||||||
Adjustment to provision for income taxes
(1)(9) |
(5,182
|
)
|
(10,495
|
)
|
(8,944
|
)
|
(24,513
|
)
| |||||||
Net adjustments |
16,658 |
16,572 |
33,806 |
30,014 |
|||||||||||
Adjusted net
income |
$
|
27,565 |
$
|
28,524 |
$
|
140,904 |
$
|
131,307 |
|||||||
Diluted earnings per
share |
$
|
0.12 |
$
|
0.13 |
$
|
1.14 |
$
|
1.02 |
|||||||
Adjusted diluted earnings
per share |
$ |
0.30 |
$ |
0.30 |
$ |
1.50 |
$ |
1.32 |
|||||||
Remove Fiscal 2017 53rd Week Impact
(10) |
— |
(0.12 |
) |
— |
(0.11 |
) | |||||||||
Adjusted diluted earnings
per share on a comparable period basis (10) |
$
|
0.30 |
$
|
0.18 |
$
|
1.50 |
$
|
1.20 |
|||||||
Diluted weighted average
common shares outstanding |
92,833
|
94,721
|
94,075
|
99,707
|
|||||||||||
_________________
Note: Numerical figures included in this table have been subject to rounding
adjustments.
(1) |
Income from operations and Net income attributable to Bloomin’ Brands for 2017 have been restated.
Refer to Exhibit 99.2 to our April 26, 2018 Form 8-K for additional information regarding our adoption of this standard and the impact to our historical financial results. Adjustment to provision for income taxes for 2017 has been restated to
include the $5.6 million benefit from the enactment of the Tax Act on the adoption of ASU No. 2014-09, consisting of the remeasurement of additional deferred tax balances related to the adoption. |
(2) |
Represents asset impairment charges and related costs primarily associated with: (i) approved closure
and restructuring initiatives, (ii) the restructuring of certain international markets, (iii) the restructuring of our Express concept in 2018, (iv) reclassification of assets to held for sale in connection with refranchising certain restaurants in
2018 and (v) the remeasurement of certain surplus properties in 2017. |
(3) |
Represents asset impairment charges and accelerated depreciation incurred in connection with our relocation
program. |
(4) |
Represents fees and expenses related to certain legal and contingent
matters. |
(5) |
Relates to severance expense incurred primarily as a result of restructuring of certain functions. |
(6) |
Relates primarily to professional fees related to certain income tax items in which the associated tax
benefit is adjusted in Adjustments to provision for income taxes. |
(7) |
Relates to refinancing of our Senior Secured Credit Facility and modification of our Credit
Agreement. |
11
(8) |
Primarily relates to gains on the sale of 55 U.S. Company-owned restaurants and expenses related to
certain surplus properties. |
(9) |
Includes the impact of the Tax Act, including the benefit from the adoption of ASU No. 2014-09 discussed in footnote 1
above, other discretionary tax adjustments and the income tax effect of non-GAAP adjustments. |
(10) |
The 53rd week of 2017 was estimated to have positively impacted both GAAP and adjusted diluted earnings
per share by approximately $0.12 and $0.11 for the fourth quarter and fiscal year 2017, respectively. For comparability, we have presented adjusted diluted earnings per share excluding the impact of the 53rd week of December 25, 2017 to
December 31, 2017. The difference in the impact of the 53rd week on the fourth quarter and fiscal year 2017 adjusted diluted earnings per share are the diluted weighted average common shares outstanding for each respective
period. |
Following is a summary of the financial statement line item classification of the net income adjustments:
THIRTEEN WEEKS
ENDED |
FOURTEEN WEEKS
ENDED |
FISCAL
YEAR ENDED | |||||||||||||
(dollars in
thousands) |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 | |||||||||||
Other restaurant
operating |
$ |
(314 |
) |
$ |
(214 |
) |
$ |
(4,097 |
) |
$ |
(5,695 |
) | |||
Depreciation and amortization |
901 |
1,603 |
5,423 |
6,712 |
|||||||||||
General and
administrative |
825 |
11,714 |
6,683 |
17,123 |
|||||||||||
Provision for impaired assets and restaurant
closings |
20,428 |
13,155 |
34,741 |
50,172 |
|||||||||||
Loss on extinguishment and modification of
debt |
— |
809 |
— |
1,069 |
|||||||||||
Other (expense) income, net |
— |
— |
— |
(14,854 |
) | ||||||||||
(Benefit) provision for income
taxes |
(5,182
|
)
|
(10,495
|
)
|
(8,944
|
)
|
(24,513
|
)
| |||||||
Net adjustments |
$ |
16,658 |
$ |
16,572 |
$ |
33,806 |
$ |
30,014 |
|||||||
12
TABLE
SIX | |||||||||||||||
BLOOMIN’
BRANDS, INC. | |||||||||||||||
SEGMENT INCOME FROM
OPERATIONS NON-GAAP RECONCILIATION | |||||||||||||||
(UNAUDITED) | |||||||||||||||
U.S. Segment |
THIRTEEN WEEKS ENDED |
FOURTEEN WEEKS ENDED |
FISCAL
YEAR ENDED | ||||||||||||
(dollars in
thousands) |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 |
DECEMBER 30, 2018 |
DECEMBER 31, 2017 | |||||||||||
Income from operations |
$ |
58,314 |
$ |
76,723 |
$ |
288,959 |
$ |
289,971 |
|||||||
Operating income
margin |
6.4 |
% |
8.0 |
% |
7.8 |
% |
7.7 |
% | |||||||
Adjustments: |
|||||||||||||||
Restaurant and asset impairments and closing costs
(1) |
12,240 |
2,401 |
14,283 |
32,237 |
|||||||||||
Restaurant relocations
and related costs (2) |
4,010 |
4,438 |
8,648 |
12,539 |
|||||||||||
Severance (3) |
— |
— |
1,576 |
— |
|||||||||||
Transaction-related
expenses |
— |
— |
— |
347 |
|||||||||||
Adjusted income from operations |
$
|
74,564 |
$
|
83,562 |
$
|
313,466 |
$
|
335,094 |
|||||||
Adjusted operating
income margin |
8.2 |
% |
8.7 |
% |
8.5 |
% |
8.9 |
% | |||||||
International
Segment |
|||||||||||||||
(dollars in
thousands) |
|||||||||||||||
Income from
operations |
$ |
7,949 |
$ |
2,041 |
$ |
22,001 |
$ |
28,798 |
|||||||
Operating income
margin |
7.3 |
% |
1.7 |
% |
5.0 |
% |
6.2 |
% | |||||||
Adjustments: |
|||||||||||||||
Restaurant and asset impairments and closing costs
(4) |
5,281 |
8,875 |
15,259 |
10,530 |
|||||||||||
Severance
(3) |
— |
920 |
571 |
1,210 |
|||||||||||
Adjusted income from operations |
$
|
13,230 |
$
|
11,836 |
$
|
37,831 |
$
|
40,538 |
|||||||
Adjusted operating
income margin |
12.2 |
% |
10.0 |
% |
8.6 |
% |
8.8 |
% | |||||||
_________________
(1) |
Represents asset impairment charges and related costs primarily associated with approved closure and
restructuring initiatives, the restructuring of our Express concept in 2018, reclassification of assets to held for sale in connection with refranchising certain restaurants in 2018 and the remeasurement of certain surplus properties in
2017. |
(2) |
Represents asset impairment charges and accelerated depreciation incurred in connection with our relocation
program. |
(3) |
Relates to severance expense incurred primarily as a result of restructuring of certain functions.
|
(4) |
Represents asset impairment charges and related costs primarily associated with approved closure and restructuring
initiatives and the restructuring of certain international markets in
2018. |
13
TABLE
SEVEN | |||||||||||
BLOOMIN’
BRANDS, INC. | |||||||||||
COMPARATIVE
RESTAURANT INFORMATION | |||||||||||
(UNAUDITED) | |||||||||||
Number of restaurants (at end of
the period): |
SEPTEMBER 30, 2018 |
OPENINGS |
CLOSURES |
DECEMBER 30, 2018 | |||||||
U.S. |
|||||||||||
Outback Steakhouse |
|||||||||||
Company-owned
|
580 |
— |
(1 |
) |
579 |
||||||
Franchised |
153 |
1 |
— |
154 |
|||||||
Total |
733
|
1
|
(1
|
)
|
733
|
||||||
Carrabba’s Italian Grill |
|||||||||||
Company-owned
|
224 |
— |
— |
224 |
|||||||
Franchised |
3 |
— |
— |
3 |
|||||||
Total |
227
|
—
|
—
|
227
|
|||||||
Bonefish Grill |
|||||||||||
Company-owned
|
191 |
— |
(1 |
) |
190 |
||||||
Franchised |
7 |
— |
— |
7 |
|||||||
Total |
198
|
—
|
(1
|
)
|
197
|
||||||
Fleming’s Prime Steakhouse & Wine
Bar |
|||||||||||
Company-owned
|
70
|
—
|
—
|
70
|
|||||||
Other |
|||||||||||
Company-owned
|
5
|
—
|
—
|
5
|
|||||||
U.S. Total |
1,233
|
1
|
(2
|
)
|
1,232
|
||||||
International |
|||||||||||
Company-owned |
|||||||||||
Outback
Steakhouse—Brazil (1) |
92 |
— |
— |
92 |
|||||||
Other |
32 |
1 |
— |
33 |
|||||||
Franchised |
|||||||||||
Outback Steakhouse - South Korea |
75 |
3 |
— |
78 |
|||||||
Other |
56 |
— |
(1 |
) |
55 |
||||||
International Total |
255
|
4
|
(1
|
)
|
258
|
||||||
System-wide
total |
1,488
|
5
|
(3
|
)
|
1,490
|
||||||
____________________
(1) |
The restaurant counts for Brazil are reported as of August 31, 2018 and November 30, 2018 to correspond
with the balance sheet dates of this
subsidiary. |
14
TABLE
EIGHT | |||||||||||
BLOOMIN’
BRANDS, INC. | |||||||||||
COMPARABLE
RESTAURANT SALES INFORMATION | |||||||||||
(UNAUDITED) | |||||||||||
THIRTEEN WEEKS
ENDED |
FOURTEEN WEEKS
ENDED |
FISCAL
YEAR ENDED | |||||||||
DECEMBER 30, 2018 (1) |
DECEMBER 31, 2017 (2) |
DECEMBER 30, 2018 (1) |
DECEMBER 31, 2017 (2) | ||||||||
Year over year percentage
change: |
|||||||||||
Comparable restaurant sales (stores open 18 months or
more) (3): |
|||||||||||
U.S. |
|||||||||||
Outback Steakhouse |
2.9 |
% |
4.7 |
% |
4.0 |
% |
1.8 |
% | |||
Carrabba’s Italian
Grill |
0.8 |
% |
1.3 |
% |
0.2 |
% |
(1.2 |
)% | |||
Bonefish Grill |
(1.1 |
)% |
0.6 |
% |
0.5 |
% |
(1.7 |
)% | |||
Fleming’s Prime
Steakhouse & Wine Bar |
(0.4 |
)% |
3.1 |
% |
0.8 |
% |
(0.4 |
)% | |||
Combined U.S. |
1.6 |
% |
3.3 |
% |
2.5 |
% |
0.5 |
% | |||
International
|
|||||||||||
Outback Steakhouse - Brazil (4) |
2.4 |
% |
4.9 |
% |
(1.5 |
)% |
6.3 |
% | |||
Traffic: |
|||||||||||
U.S. |
|||||||||||
Outback Steakhouse |
(0.8 |
)% |
4.3 |
% |
0.9 |
% |
0.3 |
% | |||
Carrabba’s Italian
Grill |
(1.8 |
)% |
(3.3 |
)% |
(4.1 |
)% |
(4.2 |
)% | |||
Bonefish Grill |
(3.9 |
)% |
(0.7 |
)% |
(2.6 |
)% |
(2.8 |
)% | |||
Fleming’s Prime Steakhouse &
Wine Bar |
(3.4 |
)% |
(2.5 |
)% |
(4.3 |
)% |
(5.5 |
)% | |||
Combined U.S. |
(1.5 |
)% |
1.8 |
% |
(0.8 |
)% |
(1.3 |
)% | |||
International
|
|||||||||||
Outback Steakhouse - Brazil |
(2.5 |
)% |
(0.4 |
)% |
(4.4 |
)% |
(0.2 |
)% | |||
Average check per person increases
(5): |
|||||||||||
U.S. |
|||||||||||
Outback Steakhouse |
3.7 |
% |
0.4 |
% |
3.1 |
% |
1.5 |
% | |||
Carrabba’s Italian
Grill |
2.6 |
% |
4.6 |
% |
4.3 |
% |
3.0 |
% | |||
Bonefish Grill |
2.8 |
% |
1.3 |
% |
3.1 |
% |
1.1 |
% | |||
Fleming’s Prime
Steakhouse & Wine Bar |
3.0 |
% |
5.6 |
% |
5.1 |
% |
5.1 |
% | |||
Combined U.S. |
3.1 |
% |
1.5 |
% |
3.3 |
% |
1.8 |
% | |||
International
|
|||||||||||
Outback Steakhouse - Brazil |
4.2 |
% |
5.0 |
% |
2.8 |
% |
6.3 |
% | |||
____________________
(1) |
For Q4 2018, U.S. comparable restaurant sales and traffic compare the 13 weeks from October 1, 2018
through December 30, 2018 to the 13 weeks from October 2, 2017 through December 31, 2017. For Fiscal Year 2018, U.S. comparable restaurant sales and traffic compare the 52 weeks from January 1, 2018 through December 30, 2018 to the 52 weeks from
January 2, 2017 through December 31, 2017. |
(2) |
For Q4 2017, U.S. comparable restaurant sales and traffic compare the 14 weeks from September 25, 2017
through December 31, 2017 to the 14 weeks from September 26, 2016 through January 1, 2017. For Fiscal Year 2017, U.S. comparable restaurant sales and traffic compare the 53 weeks from December 26, 2016 through December 31, 2017 to the 53 weeks from
December 28, 2015 through January 1, 2017. |
(3) |
Comparable restaurant sales exclude the effect of fluctuations in foreign currency rates. Relocated
international restaurants closed more than 30 days and relocated U.S. restaurants closed more than 60 days are excluded from comparable restaurant sales until at least 18 months after reopening. |
(4) |
Includes trading day impact from calendar period reporting. |
(5) |
Average check per person includes the impact of menu pricing changes, product mix and
discounts. |
SOURCE: Bloomin’ Brands,
Inc.
15