LOS ANGELES With its first-quarter performance exceeding expectations, mainly through cost-cutting initiatives and stronger-than-expected sales, California Pizza Kitchen Inc. on Wednesday upped its per-share earnings guidance for the March-ended quarter.
The company said it now expects to earn between 9 cents and 10 cents per share for the first quarter, up from a previous forecast of earnings between 3 cents and 5 cents a share. CPK earned 9 cents per share in last year's first quarter.
For the quarter ended March 29, CPK also reported that same-store sales fell 5.9 percent, compared with a 0.4-percent increase during the year-earlier first quarter. The result was better than the company's earlier prediction that first-quarter same-store sales would fall between 5.5 percent and 6.5 percent.
Revenues for the first quarter fell 2.2 percent, to $161.1 million, CPK said.
"The enduring strength of our culture, menu innovation and outstanding customer service are more important than ever during these difficult times," Rick Rosenfield and Larry Flax, CPK’s co-chief executives, said in a statement. "These core drivers, combined with our rapid implementation of cost saving initiatives, bolstered our first quarter results, which exceeded expectations."
During the quarter, CPK opened one restaurant in Wellesley, Mass., and franchisees opened locations in Dubai, United Arab Emirates, as well as in a suburb of Mexico City.
CPK, which operates, licenses or franchises 252 restaurants, said it would release full first-quarter earnings on May 7.
Contact Lisa Jennings at [email protected].
