991056 Ryan's Family Steak Houses EPS Up 21%October 16, 1999Greer, SC - Ryan's Family Steak Houses, Inc. reported that both its sales and net earnings for the third quarter of 1999 reached record levels. Third quarter restaurant sales increased to $170,478,000 in 1999 compared to $162,440,000 during the third quarter of 1998. Net earnings for the quarter increased to $10,872,000 in 1999 compared to $10,113,000 in 1998. Earnings per share increased 21% to 29 cents in 1999 compared to 24 cents in 1998. For the nine months ended September 29, 1999, restaurant sales increased to $504,305,000 in 1999 compared to $483,122,000 during the comparable period of 1998. Net earnings for the nine months amounted to $32,350,000 in 1999 compared to $31,262,000 in 1998. Earnings per share amounted to 84 cents in 1999 compared to 71 cents in 1998, an increase of 18%. Commenting on the quarter, Charles D. Way, Chairman and CEO of the Company, said, “The third quarter's excellent results were driven principally by strong sales. Same-store sales were up 2% for the quarter, representing our seventh consecutive quarter of same-store sales gains. It's important to note that these results were on top of a tough 2.8% same-store sales gain achieved during the third quarter of 1998. Our restaurants are operating very well thanks to the efforts of our managers and team members, and customers continue to be impressed with Ryan's variety, value and friendly service. Operating costs were under control throughout the quarter, and we saw third quarter restaurant margins improve by 0.5% of sales. We enjoyed favorable food and beverage costs with lower pork, poultry and soybean-based product prices slightly offset by higher beef costs. We have recently concluded contract negotiations for several significant food products and currently do not anticipate any food cost inflation during the fourth quarter of 1999 and the first half of 2000. Overall, we are very pleased with our third quarter results. We knew that the third quarter would be difficult from a sales comparison viewpoint. However, our continual focus on customer satisfaction definitely helped us during the quarter, and we are confident that this approach will help us continue our sales growth during the fourth quarter.” At the end of the quarter, the Company owned and operated 285 and was franchiser of 24 Ryan's restaurants.
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