Red Robin Gourmet Burgers reported financial results for the quarter and year ended Dec. 28, 2014, compared to the quarter and year ended Dec. 29, 2013.
2014 revenues were $1.1 billion, an increase of 12.7 percent over the same period a year ago, while 2014 comparable restaurant revenue increased 3.1 percent.
Fourth quarter 2014 revenues were $282.1 million, an increase of 16.6 percent over the same period a year ago. Fourth quarter 2014 comparable restaurant revenue increased 3.6 percent.
Net income for the 12 weeks ended Dec. 28, 2014, was $3.9 million compared to $7 million for the same period a year ago. For the 52 weeks ended Dec. 28, 2014, net income was $32.6 million compared to $32.2 million for the year ended Dec. 29, 2013.
“Our commitment to providing guests with a great dining experience, combined with effective marketing and menu strategies, enabled us to continue to take market share in the fourth quarter as we capped off another successful year at Red Robin,” says Steve Carley, Red Robin CEO. “In 2015 we will build on those achievements through everyday value, menu innovation, and promotional tie-ins while remodeling at least 125 additional restaurants to our new brand standards.”
Total company revenues, which include company-owned restaurant revenue and franchise royalties, increased $40.2 million or 16.6 percent to $282.1 million in the fourth quarter of 2014 from $241.9 million in the fourth quarter of 2013. Restaurants acquired in 2014 generated $22.9 million of restaurant revenue in the fourth quarter of 2014.
System-wide restaurant revenue (including franchised units) for the fourth quarter of 2014 totaled $348 million, compared to $324.2 million for the fourth quarter of 2013 at constant currency rates.
Comparable restaurant revenue increased 3.6 percent in the fourth quarter of 2014 compared to the prior year. In the fourth quarter, guest counts increased 1.2 percent and average guest check increased 2.4 percent.
Comparable restaurants are those company-owned restaurants that have achieved five full quarters of operations during the period presented, and such restaurants are only included in our comparable metrics if they are comparable for the entirety of both periods presented.
Depreciation and amortization costs increased $2.8 million to $16.4 million in the fourth quarter of 2014 compared to $13.6 million in the fourth quarter of 2013. The increased depreciation was primarily related to restaurants acquired and opened since the fourth quarter of 2013 and restaurants remodeled under our brand transformation initiative.
General and administrative costs were $22.1 million, a decrease of $0.7 million from the fourth quarter of 2013, primarily driven by lower incentive compensation, partially offset by an increase in salaries and benefits. The fourth quarter of 2013 included a $1.6 million nonrecurring special bonus awarded by the board.