Bob Evans Farms Q1 Profit Tops View, Sales Miss; Raises FY17 Earnings View

(RTTNews) - Bob Evans Farms, Inc. (BOBE) reported Wednesday that its first-quarter net income climbed to $9.2 million, or $0.46 per share from last year's $4.3 million, or $0.19 per share.

Adjusted net income was $9.6 million, or $0.48 per share, compared to $11.7 million, or $0.51 per share a year ago.

On average, four analysts polled by Thomson Reuters expected earnings of $0.44 per share for the quarter. Analysts' estimates typically exclude special items.

For the quarter, net sales totaled $306.32 million, lower than prior year's $321.71 million. Analysts expected sales of $310.92 million.

Bob Evans Restaurants' net sales were $220.4 million, a decline of 7.7 percent, with same-store sales decline of 4.3 percent and net restaurant closures. This was partly offset by BEF Foods' net sales increase of 3.5 percent.

Further, the company announced quarterly dividend of $0.34 per share payable on September 19, to stockholders of record at the close of business on September 5.

Looking ahead, for fiscal 2017, the company raised earnings per share guidance range to $2.00 to $2.17 on a reported basis and $2.05 to $2.20 on an adjusted basis.

The previous outlook was reported earnings of $1.95 to $2.12 per share and adjusted earnings of $2.00 to $2.15 per share.

Chief Administrative and Chief Financial Officer Mark Hood said, "We have adjusted our fiscal 2017 outlook to reflect underlying changes in certain of our assumptions.."

Consolidated net sales for the year are expected to be $1.28 to $1.33 billion, and Bob Evans Restaurants same-store sales are expected to be negative low-single digit to flat.

Analysts expect earnings of $2.06 per share on sales of $1.30 billion for the year.