Buffalo Wild Wings Inc. Earnings: Company Enjoys Fifth Straight Quarter of Double-Digit Growth

Buffalo Wild Wings Inc. (NASDAQ:BWLD) reported net income above Wall Street’s expectations for the fourth quarter. Buffalo Wild Wings is an owner, operator, and franchiser of restaurants.

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Buffalo Wild Wings Earnings Cheat Sheet for the Fourth Quarter

Results: Net income for Buffalo Wild Wings Inc. rose to $13.6 million (73 cents per share) vs. $10.2 million (55 cents per share) in the same quarter a year earlier. This marks a rise of 34% from the year earlier quarter.

Revenue: Rose 34.5% to $220.5 million from the year earlier quarter.

Actual vs. Wall St. Expectations: Buffalo Wild Wings Inc. beat the mean analyst estimate of 67 cents per share. It beat the average revenue estimate of $210.1 million.

Quoting Management: Sally Smith, President and Chief Executive Officer, commented, “Our strong fourth quarter performance capped a tremendous year for Buffalo Wild Wings, which reflects the focused efforts and hard work of our franchisees and Team Members in providing sports fans with an outstanding guest experience. Together, we accomplished category-leading results. Fourth quarter same-store sales grew by 8.9% at company-owned and 5.9% at franchised locations, helping us surpass $2 billion in system-wide sales for 2011. Strong sales at both new and existing restaurants drove fourth quarter earnings per share of $0.73, bringing our annual net earnings growth to over 31%.”

Key Stats:

The company has enjoyed double-digit year-over-year percentage revenue growth for the past five quarters. Over that span, the company has averaged growth of 24.8%, with the biggest boost coming in the most recent quarter when revenue rose 34.5% from the year earlier quarter.

The company has now seen net income rise in three straight quarters. In the third quarter, net income rose 32.5% and in the second quarter, the figure rose 16.4%.

The company has now beaten estimates the last two quarters. In the third quarter, it topped expectations with net income of 61 cents versus a mean estimate of net income of 58 cents per share.

Looking Forward: Over the past sixty days, the outlook for the company’s performance next quarter has become increasingly unfavorable. The average estimate for the first quarter of the next fiscal year is 87 cents per share, a drop from 91 cents. For the fiscal year, the average estimate has moved up from $2.66 a share to $2.67 over the last seven days.

(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)

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To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com