The company reported its quarterly revenues rose 7.1 percent in the fourth quarter of 2011, totaling $99.6 million compared to $93 million in the previous year. The company’s total revenues for 2011 rose 4.7 percent, increasing from $353 million in the previous year to $369.6 million.
Ruth’s Hospitality also reported that its operating expenses for 2011 increased by $9 million, or 10.3 percent, as compared to the fourth quarter of 2010. The company’s 2011 fourth-quarter expenses were unfavorably affected by a $3 million non-cash charge for the impairment of an intangible and a $0.4 million non-cash loss on the disposal of equipment and property relating to restaurant renovations. The company additionally reported that at the conclusion of the fourth quarter of 2011 it had $22 million in outstanding debt under its senior credit agreement, which presented a $17.4 million decrease in outstanding debt from the end of the third quarter.
During the fourth quarter, Ruth’s Hospitality opened a new franchise location in North Carolina. For the full year 2011, revenue and net income available to preferred and common shareholders were up 4.7 percent and 24 percent, respectively. Diluted earnings per common share were up 14.7 percent to $0.39. The fourth quarter 2011 marked the company’s seventh consecutive quarter of comparable sales growth. Though food inflation is expected to create ongoing cost challenges in the coming year, the company believes the efforts of its team have further strengthened the brand during 2011, making the company well-positioned to profit from the continued improvement of the upscale dining segment in 2012.
Ruth’s Hospitality Group owns the Ruth’s Chris Steak House, Mitchell’s Fish Market, Mitchell’s Steakhouse, and Cameron’s Steakhouse concepts and has more than 150 company-owned and franchisee-owned locations across the globe. For further information about the company, visit www.rhgi.com
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