Brinker International Earnings: Here’s Why Investors are Buying Shares Now

Brinker International Inc. (NYSE:EAT) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 3%.

Brinker International Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 26.23% to $0.77 in the quarter versus EPS of $0.61 in the year-earlier quarter.

Revenue: Rose 0.24% to $730.1 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Brinker International Inc. reported adjusted EPS income of $0.77 per share. By that measure, the company beat the mean analyst estimate of $0.74. It missed the average revenue estimate of $736.31 million.

Quoting Management: “We are confident we will achieve our previously stated goal of doubling of our fiscal 2010 earnings per share next fiscal year, a full year ahead of schedule,” said Wyman Roberts, Chief Executive Officer and President.

Key Stats (on next page)…

Revenue decreased 1.7% from $742.76 million in the previous quarter. EPS increased 6.94% from $0.72 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.46 to a profit $0.45. For the current year, the average estimate is a profit of $2.33, which is the same with that ninety days ago.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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