MEMPHIS Tenn. Perkins & Marie Callender's Inc., parent to about 614 restaurants under the Perkins Restaurant and Bakery and Marie Callender's Restaurant and Bakery brands, said it narrowed its fiscal 2006 net loss by 34.5 percent from a year earlier, on revenues that surged 84.8 percent to $594.1 million.
Its net loss totaled $10 million in fiscal 2006, versus a loss of $15.2 million in fiscal 2005.
The company said its improved bottom and top lines were the result of the September 2005 merger of The Restaurant Co., parent to the Perkins chain, and Wilshire Restaurant Group LLC, parent to the Marie Callender's chain, which formed the current company.
The merger led to the inclusion of $363.7 million in revenue from the Perkins brand and led to expense reductions in accounting, information technology, human resources and purchasing functions, the company reported. It also logged a gain of $12.6 million from the extinguishment of Wilshire Restaurant Group's debt.
Same-store sales increased 1.6 percent at Perkins and 0.4 percent at Marie Callender's. In fiscal 2006, the company opened one new Perkins unit and acquired three existing Perkins restaurants from franchisees. In addition, franchisees opened five new Perkins locations. The company also opened one new Callender's Grill location and acquired one existing Marie Callender's restaurant from a franchisee.