Cracker Barrel Earnings Dip; Reports Weak Outlook (CBRL)

Cracker Barrel Old Country Store, Inc. (CBRL) shares dropped over 4% on Wednesday morning after the company reported lower fourth quarter earnings and a weak outlook for its first quarter.

The Lebanon, TN-based company reported fourth quarter earnings of $34.3 million, or $1.43 per share, down slightly from $34.7 million, or $1.47 per share, a year ago. On average, analysts expected to see earnings of $1.35 per share.

Total revenue fell to $646.1 million from $700.01 million last year. Analysts expected to see revenue of $668.68 million.

Cracker Barrel President and CEO Sandra Cochran commented: “The fourth quarter of fiscal 2013 represents the seventh consecutive quarter of year-over-year improvement in comparable store traffic, restaurant sales, and retail sales. The financial results of the fourth quarter and full year reflect the effective execution of our strategic plan. As we begin our 2014 fiscal year, we are poised to capitalize on the achievements of fiscal 2013.”

For FY2013, CBRL’s earnings rose 14% to $117.27 million, while EPS rose to $4.90 per share. On an adjusted basis, earnings were $4.97 per share, up 15% from the year prior. Total revenue for the year was $2.64 billion, up 3% from a year ago.

Looking forward, the company expects to see first quarter earnings between $1.05 and $1.15 per share. This estimate would fall significantly below the average analyst estimate of $1.32 per share.

For FY2014, the company expects EPS in the range of $5.60 to $5.80 and revenue between $2.7 billion and $2.75 billion. Analysts expect to see earnings of $5.69 per share and $2.74 billion in revenue.

Cracker Barrel shares were down $4.70, or 4.39%, during Wednesday morning trading. The stock is up 59% YTD.