Hot sauce and blue cheese purveyor Buffalo Wild Wings
Quarterly income statement numbers -- the company puts detailed sales information, as well as a balance sheet and cash flow statement, in its press releases -- were impressive. Total revenue increased 36% to nearly $40 million; same-store sales rose more than 10% as both company-owned and franchised stores posted good figures; average weekly sales improved substantially; and both operating and net income boomed.
The company, in short, is growing at a time when the concept is working. Buffalo Wild Wings, one of my favorite places to eat when I can make it to one (coming to D.C. sometime soon, fellows?) has also seemingly picked a good time to hit the public market. It's generating strong operating leverage from its expansion and good store-level performance even as chicken wing prices are helping margins. Many beef-heavy chains, meanwhile, are bemoaning rising costs that have maintained pressure on profits even in a time of good revenues.
It's Buffalo Wild Wings' combination of growth and strong operational performance that has helped the company's shares outpace those of such competitors as Brinker
Management, meanwhile, is trying to keep a straight face, insisting yesterday that its same-store sales growth levels will be difficult to maintain and putting that responsibility squarely on its marketing efforts. That kind of straight talk should please Buffalo Wild Wings' investors -- who, it must be said, have had little reason to complain so far.
Fool contributor Dave Marino-Nachison doesn't own any companies in this story.
