Chuy’s Holdings, Inc. announced financial results for the second quarter ended June 26.
Highlights for the second quarter ended were as follows:
Revenue increased 16.6 percent to $87.9 million from $75.4 million in the second quarter of 2015.
Comparable restaurant sales increased 1 percent as compared to the same period in 2015, the 24th consecutive quarter of comparable restaurant sales growth.
Four new restaurants opened during the second quarter of 2016.
Steve Hislop, president and chief executive officer of Chuy’s Holdings, Inc. says, “We delivered solid second quarter results that included a double-digit increase in revenue growth and a continuation of strong restaurant-level EBITDA margins of 21 percent. As a result, restaurant-level EBITDA grew 16.8 percent in the quarter. We also extended our consecutive streak of positive quarterly comparable sales growth to 24 quarters despite some weather related issues in Texas. Our development calendar has been active with the opening of four new Chuy’s restaurants during the second quarter and we have already opened two additional restaurants early in the third quarter. With eight restaurants open year-to-date, we are on pace to reach our goal of 11 to 13 new restaurants for 2016.”
Second Quarter 2016 Financial Results
Revenue increased $12.5 million, or 16.6 percent, to $87.9 million in the second quarter of 2016 compared to the second quarter of 2015. The increase was driven by $13 million in incremental revenue from an additional 146 operating weeks provided by 13 new restaurants opened during and subsequent to the second quarter of 2015. This increase was partially offset by a decrease in revenue related to our non-comparable restaurants that are not included in the incremental revenue discussed above. Revenue for these non-comparable restaurants is historically lower as the restaurants transition out of the 'honeymoon' period that follows a restaurant's initial opening.
Comparable restaurant sales increased 1 percent in the second quarter of 2016 as compared to the same period in 2015. The increase in comparable sales was driven by a 1.5 percent increase in average check and a 0.5 percent decrease in average weekly customers. Comparable restaurant sales were negatively impacted by approximately 90 to 100 basis points as a result of unfavorable weather partially offset by approximately 35 to 40 basis points due to the timing of Easter. The comparable restaurant base consisted of 58 restaurants during the second quarter of 2016.
Total restaurant operating costs as a percentage of revenue remained flat at 79 percent in the second quarter of 2016 from the second quarter of 2015.
Development Update
During the second quarter, four new Chuy’s restaurants were opened in Fort Worth, TX, Cary, North Carolina, Sterling, Virginia, and Tallahassee, Florida. Subsequent to the end of the second quarter, two additional Chuy’s restaurants were opened in Chattanooga, Tennessee, and Winter Park, Florida.
