Brinker International, Inc. Announces Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended December 27, 2017; Revised Earnings Guidance for Fiscal 2018
January 30, 2018 at 11:45 am
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Brinker International, Inc. announced unaudited consolidated earnings results for the second quarter and six months ended December 27, 2017. For the quarter, the company reported total revenue of $766,400,000 against $771,043,000 a year ago. Operating income was $54,448,000 against $61,526,000 a year ago. Income before provision for income taxes was $41,142,000 against $48,268,000 a year ago. Net income was $25,366,000 or $0.54 per diluted share against $34,637,000 or $0.69 per diluted share a year ago. Net income excluding special items was $40.6 million or $0.87 per diluted share against $35.6 million or $0.71 per diluted share a year ago. For the quarter, the company generated $43 million of free cash flow.
For the six months, the company reported total revenue of $1,505,790,000 against $1,529,535,000 a year ago. Operating income was $83,005,000 against $103,002,000 a year ago. Income before provision for income taxes was $56,291,000 against $81,234,000 a year ago. Net income was $35,243,000 or $0.74 per diluted share against $57,870,000 or $1.09 per diluted share a year ago. Net cash provided by operating activities was $119,709,000 against $142,824,000 a year ago. Payments for property and equipment were $48,559,000 against $60,055,000 a year ago. Free cash flow - non-GAAP was $71.1 million.
The Tax Act will have a material impact on the Company's effective tax rate for fiscal 2018. The company's earnings per share will increase this fiscal year as a result of the tax legislation. As such, the company is increasing its fiscal year earnings per share guidance range to be $3.42 to $3.52, up from the original guidance range of $3.25 to $3.35. Previously, the company expected the effective income tax rate excluding the impact of special items to be approximately 27% to 29% for fiscal 2018. The Company's effective tax rate excluding the impact of special items and the revaluation of the deferred tax accounts is now expected to be approximately 20% to 22%. The Company believes providing estimated fiscal 2018 earnings per diluted share guidance provides investors the appropriate insight into the Company's ongoing operating performance.
Brinker International, Inc. is a casual dining restaurant company. The Company owns, develops, operates and franchises the Chilis Grill & Bar (Chilis) and Maggianos Little Italy (Maggianos) restaurant brands, as well as a virtual brand, Its Just Wings. The Company operates through two segments: Chiliâs and Maggianoâs. The Chiliâs segment includes the Company-owned Chiliâs restaurants, which are principally located in the United States, within the full-service casual dining segment of the industry. The Chiliâs segment also has Company-owned restaurants in Canada, and franchised locations in the United States, other countries and two United States territories. The Maggianoâs segment includes the Company-owned Maggianoâs restaurants in the United States as well as its domestic franchise business. The Company owns, operates or franchises approximately 1,600 restaurants in approximately 29 countries and two United States territories.
Brinker International, Inc. Announces Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended December 27, 2017; Revised Earnings Guidance for Fiscal 2018