Cheesecake Factory earnings miss expectations

Cheesecake Factory shares fall on 2nd-quarter earnings miss

Associated Press

NEW YORK (AP) -- Shares of The Cheesecake Factory Inc. fell after the restaurant chain reported a second-quarter profit that missed Wall Street expectations.

Its shares were down 4.5 percent at $40 in after-hours trading, after falling 1.5 percent to $41.90 during the regular session.

The company, based in Calabasas Hills, Calif., said sales at Cheesecake Factory restaurants open at least a year rose 0.9 percent for the period ended July 2. At its far smaller chain called Grand Lux Cafe, the figure rose 0.1 percent. The metric is a key indicator because it strips out the impact of newly opened and closed locations.

For the quarter, the company earned $28.6 million, or 52 cents per share. That compares with $28.4 million, or 52 cents per share, a year ago.

Not including one-time items, the company earned 54 cents a share, short of the 57 cents per share Wall Street expected.

Revenue rose 3 percent to $470.1 million, also short of the $473.9 million analysts expected, according to FactSet.

The Cheesecake Factory has 175 U.S. restaurants, most under its namesake chain.

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