Texas Roadhouse's 1Q profit up on stronger sales

Texas Roadhouse's traffic up in restaurants, sales and profit grows for 1st quarter

Associated Press

LOUISVILLE, Ky. (AP) -- Texas Roadhouse Inc. reported late Monday that its first-quarter net income jumped 39 percent on improved sales at its chain of casual restaurants. Its stock was up 7 percent in extended trading.

The Louisville, Ky.-based company earned $26.2 million, or 37 cents per share, for the 13 week period that ended March 26. That is compared with $18.9 million, or 27 cents per share, for the first quarter last year. It earned 31 cents per share in the prior year period on an adjusted basis.

Texas Roadhouse's total revenue increased 11 percent to $359.7 million as more people ate at its restaurants during the period, a trend which the company says has continued in its second quarter.

Analysts polled by FactSet, on average, were expecting Texas Roadhouse to earn 35 cents per share on revenue of $358.2 million.

The company's revenue from restaurants open at least a year increased 3.5 percent at company-owned restaurants and 4.5 percent at franchise restaurants. That metric is considered a key indicator of financial performance at restaurant and retail chains because it strips away the impact of recently opened or closed sites. The company reiterated its expectations that the measure will improve for the full year.

Texas Roadhouse plans to open 28 restaurants during 2013. The company operates more than 395 restaurants across the U.S. and in two foreign countries.

Shares of the company jumped $1.48 to $22.80 in after-hours trading. Its shares added 26 cents to close regular trading at $21.32.

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