Bob Evans Farms Inc Beats Q2 EPS Estimate; Misses on Revenue; Stock Falls (BOBE)

Bob Evans Farms Inc Beats Q2 EPS Estimate; Misses on Revenue; Stock Falls (BOBE)


After the closing bell on Tuesday, Bob Evans Farms (BOBE) reported its fiscal 2015 second quarter results, posting small gains in both revenue and earnings over last year’s Q2.

BOBE’s Earnings in Brief

  • Bob Evans reported second quarter sales of $333.3 million, up 0.2% from last year’s Q2 sales of $332.6 million.
  • The company’s GAAP net income came in at 25 cents per share, up slightly from last year’s Q2 net income per share of 23 cents. On an adjusted basis, EPS came in at 36 cents, marking a small improvement over last year’s Q2 EPS of 35 cents.
  • The company’s earnings beat analysts’ estimates of 33 cents per share, while revenue fell short of the $343.5 million expectation.
  • Looking ahead, BOBE sees FY2014 EPS in the range of $1.90-$2.10, while analysts’ are expecting $1.92.

CEO Commentary

BOBE CEO Steve Davis had the following comments: “Performance at Bob Evans Restaurants and BEF Foods continues to improve as we leverage the recent multi-year investment programs in both businesses. At Bob Evans Restaurants, ‘Carryout Acceleration’ and ‘Own Our Nights’ are two key programs paving the way for successful introduction of the Broasted Chicken platform as well as for an improved guest experience and sales trends overall. These programs are not only improving execution in the parts of the business most relevant to the Broasted Chicken rollout; they are driving performance across the entire system where our Sweet and Stacked breakfast offerings and Slow-Roasted lunch and dinner platforms continue to perform well. As we have noted previously, Broasted Chicken is one of several initiatives expected to drive positive same-store sales. Our Slow-Roasted and Sweet and Stacked platforms are also vital elements of our menu innovation program.”

BOBE’s Dividend

Bob Evans’ next dividend is payable on December 15 to all shareholders on record as of December 1. The stock went ex-dividend on November 26.

Stock Performance

BOBE stock was down $2.98, or 5.34%, in after hours trading. YTD, the stock is up 10.28%.

BOBE Dividend Snapshot

As of Market Close on December 2, 2014

BK dividend yield annual payout payout ratio dividend growth

Click here to see the complete history of BOBE dividends.

The Bottom Line

Bob Evans Farms (BOBE)is not recommended at this time, holding a DARS™ Rating of 3.3 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.