IHOP Corp. Reports First Quarter Results

Apr 30, 2001, 01:00 ET from IHOP Corp.

    GLENDALE, Calif., April 30 /PRNewswire/ -- IHOP Corp. (NYSE:   IHP) today
 announced results for its first quarter ended March 31, 2001.
 
     First Quarter 2001 Performance
     The Company reported net income of $7.5 million or diluted earnings per
 share of $0.37 in the first quarter 2001 compared with net income of
 $7.2 million or diluted earnings per share of $0.36 in the first quarter 2000
 -- an increase of 3.4% in net income and 2.8% in diluted earnings per share.
     System-wide sales for the first quarter of 2001 were $330.7 million, an
 increase of $31.9 million or 10.7%, over the $298.8 million reported in the
 first quarter of 2000.  The sales increase is primarily the result of growth
 in the number of effective restaurants, increases in average per unit sales,
 and increased comp growth.  Effective restaurants grew by 65, or 7.2%, for the
 first quarter of 2001 as compared to the first quarter of 2000.  Average sales
 per effective restaurant increased 3.3% over the first quarter 2000.  Revenue
 from franchise operations was $49.7 million, an increase of $5.0 million or
 11.4%, over the $44.7 million in the same quarter last year.  Total revenues
 were $70.1 million, an increase of $1.7 million or 2.5%, over the
 $68.4 million in the first quarter 2000.  System-wide comparable store sales
 increased 1.6% for the quarter.  Sales of franchises and equipment were
 $3.6 million, a decrease of $2.4 million or 39.8% from the $6.0 million in the
 first quarter 2000.  In the first quarter 2001, IHOP franchised nine
 restaurants including three investor-developed restaurants and one
 rehabilitated restaurant, as compared to 12 restaurants, one of which was
 investor developed and three of which were rehabilitated, in the first quarter
 of 2000.  Twelve new restaurants were opened in the first quarter 2001
 compared with eight in the prior year's first quarter.
     Richard K. Herzer, chief executive officer stated, "Our improved results
 of last year have carried forward into the first quarter of 2001, despite
 adverse weather conditions which affected our development scheduling.
 Comparable store sales have returned to anticipated levels.  Our emphasis in
 2001 will continue to be on restaurant level excellence through our strong
 network of dedicated franchisees who offer superior food and service to our
 guests every day."
     The Company's diluted earnings per share were negatively impacted by the
 decrease in number of IHOP developed units that were franchised in the
 quarter.  This temporary condition was caused primarily by weather related
 delays in the completion of new restaurants.  The Company still expects to
 meet its annual development plan.  The Company reiterates its guidance for the
 full year 2001 including its concern regarding the number of factors that can
 influence earnings, the impact of which may not be reasonably predictable.
 
     Conference Call Broadcast
     The Company will broadcast its first quarter 2001 results investor
 conference call live over the Internet today, April 30 at 2:00 p.m. EDT
 (11:00 a.m. PDT).  The broadcast will be hosted on the Company's Investor
 Relations Web Site located at www.ihop.com.  Participants should allow
 approximately five minutes prior to the call's start time to visit the site
 and download any streaming media software needed to listen to the broadcast.
 An online archive of the broadcast will be available approximately four hours
 following the live call.
     As of March 31, 2001, there were 978 IHOP restaurants in the chain,
 752 operated by franchisees, 152 operated by area licensees and 74 operated by
 IHOP.
 
     Forward-Looking Statements
     There are forward-looking statements contained in this news release.  They
 use such words as "may," "will," "expect," "believe," "plan," or other similar
 terminology.  These statements involve known and unknown risks, uncertainties
 and other factors, which may cause the actual results to be materially
 different than those expressed or implied in such statements.  These factors
 include, but are not limited to:  availability of suitable locations and terms
 of the sites designated for development; legislation and government regulation
 including the ability to obtain satisfactory regulatory approvals; whether or
 not restaurants will be closed and the number of closures, conditions beyond
 IHOP's control such as weather or natural disasters; availability and cost of
 materials and labor; power outages; higher utility costs; cost and
 availability of capital; competition; continuing acceptance of the
 International House of Pancakes and IHOP brands and concepts by guests and
 franchisees; IHOP's overall marketing, operational and financial performance;
 economic and political conditions; adoption of new, or changes in, accounting
 policies and practices; and other factors discussed from time to time in
 IHOP's filings with the Securities and Exchange Commission.  Forward-looking
 information is provided by IHOP pursuant to the safe harbor established under
 the Private Securities Litigation Reform Act of 1995 and should be evaluated
 in the context of these factors.  In addition, IHOP disclaims any intent or
 obligation to update these forward-looking statements.
 
 
                          IHOP CORP. AND SUBSIDIARIES
                            SELECTED FINANCIAL DATA
                 (Dollars in thousands, except per share data)
                                  (Unaudited)
 
                                                            Three Months
                                                           Ended March 31,
                                                        2001           2000
     Revenues                                         $70,106        $68,406
     Income before income taxes                       $12,153        $11,755
     Net income                                        $7,474         $7,229
     Net income per share
      Basic                                             $0.37          $0.36
      Diluted                                           $0.37          $0.36
     Weighted average shares outstanding
      Basic                                            20,048         20,076
      Diluted                                          20,420         20,255
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X42682684
 
 

SOURCE IHOP Corp.
    GLENDALE, Calif., April 30 /PRNewswire/ -- IHOP Corp. (NYSE:   IHP) today
 announced results for its first quarter ended March 31, 2001.
 
     First Quarter 2001 Performance
     The Company reported net income of $7.5 million or diluted earnings per
 share of $0.37 in the first quarter 2001 compared with net income of
 $7.2 million or diluted earnings per share of $0.36 in the first quarter 2000
 -- an increase of 3.4% in net income and 2.8% in diluted earnings per share.
     System-wide sales for the first quarter of 2001 were $330.7 million, an
 increase of $31.9 million or 10.7%, over the $298.8 million reported in the
 first quarter of 2000.  The sales increase is primarily the result of growth
 in the number of effective restaurants, increases in average per unit sales,
 and increased comp growth.  Effective restaurants grew by 65, or 7.2%, for the
 first quarter of 2001 as compared to the first quarter of 2000.  Average sales
 per effective restaurant increased 3.3% over the first quarter 2000.  Revenue
 from franchise operations was $49.7 million, an increase of $5.0 million or
 11.4%, over the $44.7 million in the same quarter last year.  Total revenues
 were $70.1 million, an increase of $1.7 million or 2.5%, over the
 $68.4 million in the first quarter 2000.  System-wide comparable store sales
 increased 1.6% for the quarter.  Sales of franchises and equipment were
 $3.6 million, a decrease of $2.4 million or 39.8% from the $6.0 million in the
 first quarter 2000.  In the first quarter 2001, IHOP franchised nine
 restaurants including three investor-developed restaurants and one
 rehabilitated restaurant, as compared to 12 restaurants, one of which was
 investor developed and three of which were rehabilitated, in the first quarter
 of 2000.  Twelve new restaurants were opened in the first quarter 2001
 compared with eight in the prior year's first quarter.
     Richard K. Herzer, chief executive officer stated, "Our improved results
 of last year have carried forward into the first quarter of 2001, despite
 adverse weather conditions which affected our development scheduling.
 Comparable store sales have returned to anticipated levels.  Our emphasis in
 2001 will continue to be on restaurant level excellence through our strong
 network of dedicated franchisees who offer superior food and service to our
 guests every day."
     The Company's diluted earnings per share were negatively impacted by the
 decrease in number of IHOP developed units that were franchised in the
 quarter.  This temporary condition was caused primarily by weather related
 delays in the completion of new restaurants.  The Company still expects to
 meet its annual development plan.  The Company reiterates its guidance for the
 full year 2001 including its concern regarding the number of factors that can
 influence earnings, the impact of which may not be reasonably predictable.
 
     Conference Call Broadcast
     The Company will broadcast its first quarter 2001 results investor
 conference call live over the Internet today, April 30 at 2:00 p.m. EDT
 (11:00 a.m. PDT).  The broadcast will be hosted on the Company's Investor
 Relations Web Site located at www.ihop.com.  Participants should allow
 approximately five minutes prior to the call's start time to visit the site
 and download any streaming media software needed to listen to the broadcast.
 An online archive of the broadcast will be available approximately four hours
 following the live call.
     As of March 31, 2001, there were 978 IHOP restaurants in the chain,
 752 operated by franchisees, 152 operated by area licensees and 74 operated by
 IHOP.
 
     Forward-Looking Statements
     There are forward-looking statements contained in this news release.  They
 use such words as "may," "will," "expect," "believe," "plan," or other similar
 terminology.  These statements involve known and unknown risks, uncertainties
 and other factors, which may cause the actual results to be materially
 different than those expressed or implied in such statements.  These factors
 include, but are not limited to:  availability of suitable locations and terms
 of the sites designated for development; legislation and government regulation
 including the ability to obtain satisfactory regulatory approvals; whether or
 not restaurants will be closed and the number of closures, conditions beyond
 IHOP's control such as weather or natural disasters; availability and cost of
 materials and labor; power outages; higher utility costs; cost and
 availability of capital; competition; continuing acceptance of the
 International House of Pancakes and IHOP brands and concepts by guests and
 franchisees; IHOP's overall marketing, operational and financial performance;
 economic and political conditions; adoption of new, or changes in, accounting
 policies and practices; and other factors discussed from time to time in
 IHOP's filings with the Securities and Exchange Commission.  Forward-looking
 information is provided by IHOP pursuant to the safe harbor established under
 the Private Securities Litigation Reform Act of 1995 and should be evaluated
 in the context of these factors.  In addition, IHOP disclaims any intent or
 obligation to update these forward-looking statements.
 
 
                          IHOP CORP. AND SUBSIDIARIES
                            SELECTED FINANCIAL DATA
                 (Dollars in thousands, except per share data)
                                  (Unaudited)
 
                                                            Three Months
                                                           Ended March 31,
                                                        2001           2000
     Revenues                                         $70,106        $68,406
     Income before income taxes                       $12,153        $11,755
     Net income                                        $7,474         $7,229
     Net income per share
      Basic                                             $0.37          $0.36
      Diluted                                           $0.37          $0.36
     Weighted average shares outstanding
      Basic                                            20,048         20,076
      Diluted                                          20,420         20,255
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X42682684
 
 SOURCE  IHOP Corp.