AFC Enterprises, Inc., the franchisor and operator of Popeyes(R) restaurants, today reported results for its fiscal third quarter which ended October 5, 2008.  The Company announced preliminary fiscal third quarter earnings per share and operational results in its press release dated October 24, 2008.  Third Quarter 2008 Highlights Compared to Third Quarter 2007:

• Total system-wide sales growth was flat to last year.
• Total domestic same-store sales decreased 2.8 percent compared to a decrease of 1.9 percent last year.  International same-store sales increased 7.4 percent compared to an increase of 0.5 percent last year. Total global same-store sales decreased 1.9 percent compared to a decrease of 1.7 percent last year.
• The Popeyes system opened 28 and closed 24 restaurants, bringing total net unit count to 1,905 compared to 1,881 last year.
• Popeyes new national cable advertising strategy was launched in support of new value, portable and lunch menu items.  The first media flight introduced Popeyes new Big Deals value sandwiches and wraps priced at $1.49 and attracted guests to both lunch and snack dayparts.
• Consistent with the Company’s strategic initiative to re-franchise company-operated restaurants, the Company completed the re-franchising sale of 11 restaurants in the Atlanta market.  The Company received $3.5 million in cash from the sale proceeds and fees associated with new franchise and development agreements.
• The Company made $2.8 million in debt repayments under its 2005 Credit Facility. The Company’s cash balance at the end of third quarter was $10.4 million.
• The Company’s third quarter year-to-date free cash flow remains strong at $22.3 million, including $5.1 million of other non-operating income, compared to $23.3 million last year.
• Net income was $4.0 million, or $0.16 per diluted share, compared to $6.5 million, or $0.23 per diluted share, last year.

This entry was posted on Monday, November 10th, 2008 at 5:29 pm and is filed under News.