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Trendy pizza specialist California Pizza Kitchen (NASDAQ:CPKI) posted $102.5 million in sales during its June quarter on a vibrant 6.6% spike in same-store sales. While we won't know how much of that made it to the bottom line for another three weeks -- despite the company guiding the investing community to expect earnings per share to come between $0.24 and $0.26 -- the store-level growth is impressive.
Some folks figure that companies kneading dough would be needing dough after watching Krispy Kreme (NYSE:KKD) warn and rival pizza twirlers Papa John's (NASDAQ:PZZA) stumble. They'll need to take a step back from the macro-fueled generalizations and realize that if you look hard enough, then you will always find investing exceptions to the rule.
Yes, dieters are taking their food seriously. One of our more active discussion boards is dedicated to fellow Fools embracing the low-carb way of life. However, that doesn't mean that just because California Pizza Kitchen's menu is ripe with heavy pasta and pizza dishes that the public isn't consuming the creative concoctions in moderation.
Obviously, it is.
Things are going even better than the company had originally projected. Back in April, it was pegging the quarter's growth in comps at no more than 5%. That came after the company exceeded its first-quarter targets.
Why is this happening? Perhaps it is because having a pizza delivered by the likes of a Papa John's or YUM! Brands' (NYSE:YUM) Pizza Hut involves a more vocal decision. Picking up a dozen Krispy Kreme doughnuts at the grocery store is also a predetermined move. Walking into a casual dining concept like California Pizza Kitchen isn't as committal. The menu offerings are wide. You may not know your indulgence until you are already seated as a member of the captive audience.
The same can be said for the success of Cheesecake Factory (NASDAQ:CAKE), which clearly sprinkles its carbohydrates liberally. So fret not, pie lovers. Warmed dough continues to rise -- if you know where to look.
Why are we willing to give up some carbohydrates instead of others? How does the elective process work? Is it OK to cheat on your diet? All this and more in the Low Carb Way of Life discussion board. Only on Fool.com.
Longtime Fool contributor Rick Munarriz never read A Farewell to Carbs. He owns shares of Krispy Kreme and Cheesecake Factory, but he does not own shares in any other company mentioned here.
