Increases Earnings Guidance to $0.04-$0.05 Per Diluted Share
California Pizza Kitchen, Inc. (Nasdaq: CPKI) announced today that revenues increased approximately 13.5% to $162.0 million for the third quarter ended September 30, 2007 versus $142.8 million in the third quarter of 2006. Comparable restaurant sales increased approximately 3.5% compared to 5.6% in the third quarter a year ago.
During its August 9, 2007 second quarter earnings conference call, the Company forecasted a comparable restaurant sales increase of 2.0%-3.0% and third quarter 2007 earnings in the range of $0.03-$0.04 per diluted share. Based upon third quarter 2007 revenues, the aforementioned comparable restaurant sales results and a $0.19 per diluted share charge primarily associated with store closure costs for up to four CPK/ASAPs announced on the last earnings call, management expects earnings of $0.04-$0.05 per diluted share.
In the third quarter of 2007, the Company added six full service restaurants in Roseville, Minnesota, Tempe, Arizona, Lake Grove, New York, Nashville, Tennessee, Seal Beach, California and Houston, Texas. The Company's domestic franchise partner, HMSHost, opened a CPK/ASAP location in Los Angeles International Airport, while an international franchise partner, Grupo Calpik, S.A. de C.V. of Mexico, opened a full service restaurant in Mexico City.
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