Solid earnings results from Brinker International Inc. (NYSE: EAT) and Dr Pepper Snapple Group Inc. (NYSE: DPS) this morning were not enough to please investors.
The operator of the Chilis Grill & Bar and Maggiano's restaurant chains posted adjusted earnings per share (EPS) of $0.37 on revenues of $683.5 million. In the same period a year ago, the company reported EPS of $0.30 on revenues of $668.40 million. The quarter's results also compare to the Thomson Reuters consensus estimates for EPS of $0.38 and $679.60 million in revenues.
The company attributed growth to improved margins due to modernizing its systems, renovating restaurants and slashing costs.
The Texas-based beverage maker posted earnings of $0.79 per share and sales of $1.53 billion. In the year-ago period, the company reported EPS of $0.71 on $1.53 billion in revenue. The Thomson Reuters consensus estimates called for EPS of $0.77 and revenue of $1.56 billion.
The company stood by its full-year profit forecast of $2.90 to $2.98 per share, but now expects full-year net sales growth of 2%, compared with the prior forecast for growth near the lower end of its long-term range of 3% to 5%. Wall St. estimates call for EPS of $2.96 and $6.06 billion in revenues.
Brinker shares are down more than 2% in early trading to $32.58. The 52-week range is $21.83 to $36.24. Dr Pepper Snapple shares are down more than 2% in to $42.92, in a 52-week range of $34.65 to $45.85.
Filed under: 24/7 Wall St. Wire, Consumer Goods, Earnings, Services Tagged: DPS, EAT