Chuy’s revenue jumps 15 percent in fiscal 2016


Highlights

A good chunk of the growth Chuy’s saw in 2016 was fueled by the addition of new locations.

Since the start of the new year, Chuy’s has already opened two additional locations, including Cedar Park.

Austin-based Chuy’s Holdings Inc. saw its revenue jump 15.2 percent in fiscal 2016, hitting $330.6 million, the Tex-Mex chain said Tuesday.

That’s up from $287.1 million in fiscal 2015.

A good chunk of that growth was fueled by the addition of new locations, the company said, with comparable restaurant sales up just .8 percent year over year.

Adjusted net income was $18.3 million, or $1.08 per diluted share, in fiscal 2016, compared to $15.6 million, or 93 cents per diluted share.

“We grew our revenue over 15 percent during 2016, drove positive comparable store sales for the seventh year in a row and produced adjusted net income growth of 17 percent,” Chuy’s president and CEO Steve Hislop said in a written statement. “We also successfully opened 12 new Chuy’s restaurants during the year, a 17 percent increase in our store base and a key driver of our growth. We have now opened 72 restaurants in 15 states in the last 106 months bringing our total count to 80 restaurants as of Dec. 25, 2016.”

Since the start of the new fiscal year, Chuy’s has opened two additional locations, including one in Cedar Park, at 4911 183A toll road. The other is in Cumberland, Ga.

The 2016 year-end results were released the same day Chuy’s unveiled its numbers for the fourth quarter. Revenue grew 11.4 percent to $79.1 million, compared to $71 million a year earlier.

Comparable restaurant sales fell 1.1 percent. The average check increased 1.3 percent during the quarter, but there was a 2.4 percent decrease in average weekly customers. The chain cited bad weather in parts of the country and Christmas falling on a Sunday in 2016, as opposed to on a Friday the previous year, as contributing factors.

Adjusted net income rose 5.2 percent to $3.1 million, or 18 cents per diluted share.

Hislop said this year is shaping up to be a strong one for Chuy’s, which was started by Mike Young and John Zapp in 1982 with a single restaurant on Barton Springs Road in South Austin.

“For 2017, we are on track to open 12 to 14 new restaurants, including a healthy blend of new and existing markets,” Hislop said. “This year will include our first restaurants in Denver, Chicago and Miami. We continue to believe we have a huge runway for growth ahead of us and remain excited about the long-term prospects of the Chuy’s brand.”

For fiscal 2017, Chuy’s said it is projecting comparable restaurant sales growth of 1 percent to 2 percent and diluted net income per share of $1.11 to $1.15.

Chuy’s shares closed Tuesday at $28.50 in regular trading, up about 1 percent.



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