On May 23, CBRL Group (NASDAQ:CBRL), operator of Cracker Barrel and Logan's Roadhouse restaurants, released Q3 2006 earnings for the period ended April 28.

  • The company missed estimates for both revenue and net profit. On a non-GAAP basis, however, earnings per share were a respectable $0.59.
  • Same-store sales fell at Cracker Barrel restaurants and retail, but rose slightly at Logan's Roadhouse because of a menu price increase.
  • Watch out below! Operating and net margins fell for the quarter, as did cash from operations and free cash flow through nine months of the fiscal year.

(Figures in thousands, except per-share data)

Income Statement Highlights

Avg. Est.

Q3 2006

Q3 2005

Change

Sales

$659,400

$644,200

$627,999

2.6%

Net Profit

--

$23,972

$26,571

(9.8%)

EPS

$0.50

$0.47

$0.52

(9.6%)

Diluted Shares

52,523

53,149

(1.2%)



Get back to basics with a look at the income statement.

Margin Checkup

Q3 2006

Q3 2005

Change*

Gross Margin

68.67%

67.56%

1.11

Operating Margin

6.02%

6.82%

(0.80)

Net Margin

3.72%

4.23%

(0.51)

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q3 2006

Q3 2005

Change

Cash + ST Invest.

$20,148

$21,415

(5.9%)

Accounts Rec.*

--

--

--

*Not given.

Liabilities

Q3 2006

Q3 2005

Change

Accounts Payable*

--

--

--

Long Term Debt

$194,998

$195,295

(0.2%)

*Not given.

Learn the ways of the balance sheet.

Cash Flow Highlights*

Q3 2006

Q3 2005

Change

Cash From Ops.

$117,145

$224,177

(47.7%)

Capital Expenditures

$106,862

$125,034

(14.5%)

Free Cash Flow

$10,283

$99,143

(89.6%)

*Through the first nine months of the fiscal year.

Find out why Fools always follow the money.

Related Companies:

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  • IHOP (NYSE:IHP)

Related Foolishness:

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At the time of publication, Jim Mueller had no position in Cracker Barrel or any other company mentioned. Fool rules are here.