Popeye's 2013 Annual Report Download - page 48

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32
(in millions, except per share data)
Fiscal
2013
Fiscal
2012
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $34.1 $30.4
Other expense (income), net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.3 (0.5)
Interest expense associated with 2010 credit facility retirement . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.4 —
Legal fees related to licensing arrangements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . —0.5
Tax effect . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (0.3) —
Adjusted net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $34.5 $30.4
Adjusted earnings per diluted share . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1.43 $1.24
Weighted average diluted shares outstanding. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24.1 24.5
Operating EBITDA: Calculation and Definition
The Company defines Operating EBITDA as “earnings before interest expense, taxes, depreciation and amortization,
other expenses (income), net and legal fees related to licensing arrangements.” The following table reconciles on a
historical basis for fiscal years 2013 and 2012, the Company’s Operating EBITDA on aconsolidated basis to the line
on its consolidated statement of operations entitled net income, which the Company believes is the most directly
comparable GAAP measure on its consolidated statement of operations. Operating EBITDA margin is defined as
operating EBITDA divided by total revenues.
(dollars in millions) Fiscal 2013 Fiscal 2012
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $34.1 $30.4
Interest expense, net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.7 3.6
Income tax expense. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20.4 17.3
Depreciation and amortization . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.7 4.6
Other expenses (income), net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.3 (0.5)
Legal fees related to licensing arrangements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . —0.5
Operating EBITDA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $65.2 $55.9
Total Revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $206.0 $178.8
Operating EBITDA margin. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31.7%31.3%
Company-Operated Restaurant Operating Profit: Calculation and Definition
The Company defines company-operated restaurant operating profit as sales by company-operated restaurants minus
restaurant food, beverages and packaging minus restaurant employee, occupancy and other expenses. The following
table reconciles on ahistorical basis for fiscal years 2013, 2012 and 2011, the Company’s company-operated restaurant
operating profit to the line item on its consolidated statement of operations entitled sales by company-operated
restaurants, which the Company believes is the most directly comparable GAAP measure on its consolidated statement
of operations. Company-operated restaurant operating profit margin is defined as company-operated restaurant
operating profit divided by sales by company-operated restaurants.