-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, S5tiPE3aJ0Ilx2z3hYSeC4X1LQ6wcRWy5ztb5epRRjba5tm7m+h43a0gssQR6OBg X5VpghOfd0MkyRekP78+YQ== 0000355622-04-000001.txt : 20040128 0000355622-04-000001.hdr.sgml : 20040128 20040128111052 ACCESSION NUMBER: 0000355622-04-000001 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20031231 ITEM INFORMATION: Regulation FD Disclosure FILED AS OF DATE: 20040128 FILER: COMPANY DATA: COMPANY CONFORMED NAME: RYANS FAMILY STEAKHOUSES INC CENTRAL INDEX KEY: 0000355622 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-EATING PLACES [5812] IRS NUMBER: 570657895 STATE OF INCORPORATION: SC FISCAL YEAR END: 0101 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-10943 FILM NUMBER: 04548087 BUSINESS ADDRESS: STREET 1: 405 LANCASTER AVE STREET 2: PO BOX 100 CITY: GREER STATE: SC ZIP: 29652 BUSINESS PHONE: 8648791000 MAIL ADDRESS: STREET 1: 405 LANCASTER AVE STREET 2: P O BOX 100 CITY: GREER STATE: SC ZIP: 29652 8-K 1 k8.txt YEAR END PRESS RELEASE 8-K SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event report): January 28, 2004 RYAN'S FAMILY STEAK HOUSES, INC. (Exact name of registrant as specified in its charter) South Carolina 0-10943 57-0657895 (State or other (Commission (IRS Employer jurisdiction of File Number) Identification incorporation) No.) 405 Lancaster Avenue (29650) Post Office Box 100 Greer, SC 29652 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (864) 879-1000 (No change) (Former name or former address, if changed since last report) Item 9 Regulation FD Disclosure On January 28, 2004 Ryan's Family Steak Houses, Inc. (the "Company") issued a press release on financial results for the period ended December 31, 2003. The information in this Form 8-K is furnished pursuant to Item 12, "Results of Operations and Financial Condition". SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. RYAN'S FAMILY STEAK HOUSES, INC. (Registrant) By: /s/Janet J. Gleitz Name: Janet J. Gleitz Title: Corporate Secretary Date: January 28, 2004 EX-99 3 prye2003.txt YEAR END PRESS RELEASE Press Release 405 Lancaster Avenue Greer, South Carolina 29650 (864) 879-1000 Contact: Fred T. Grant, Jr. For Immediate Release Senior Vice President - Finance January 28, 2004 RYAN'S REPORTS RECORD FOURTH QUARTER 2003 RESULTS _________________________________________ GREER, SOUTH CAROLINA - - Ryan's Family Steak Houses, Inc. (NASDAQ:RYAN) today reported record financial results for the fourth quarter of 2003. Fourth quarter restaurant sales grew to $197.6 million from $185.1 million during the comparable quarter of 2002. Net earnings for the fourth quarter of 2003 increased to $12,399,000 from $10,011,000 in 2002. Earnings per share (diluted) for the fourth quarter of 2003 reached a new record level of 28 cents compared to 23 cents in 2002. For the year ended December 31, 2003, restaurant sales grew to $805.0 million, up from $773.8 million during 2002. Net earnings amounted to $49.8 million in 2003 and $50.4 million in 2002. Earnings per share (diluted) increased to $1.14 in 2003 from $1.11 cents in 2002. Management noted that both the fourth quarter's and full year's results were impacted by a decrease in the Company's full- year effective tax rate to 33.5% for 2003 from 36.2% for 2002, resulting principally from higher federal and state tax credits based on revised estimates made during the fourth quarter. The fourth quarter's effective tax rate decreased to 23.8% for 2003 from 36.2% for 2002 in order to reflect this change. For comparison purposes, earnings before income taxes for the fourth quarter of 2003 increased by 3.7% over the comparable period in 2002. Earnings before income taxes for the full-year 2003 decreased by 5.1% compared to 2002's amount. Assuming that the continuation of the Work Opportunity Tax Credit is legislated by the U.S. Congress, management believes that the Company's effective rate for 2004 should be approximately 33.8%. Important achievements for the Company during 2003 included: Average unit sales records were set for nine out of twelve months and for three out of four quarters in 2003 and for the year 2003 itself; Same-store sales strengthened during the year with a 4% increase during the fourth quarter; New restaurants that were opened in 2003 produced excellent sales results, averaging $3.5 million per location (annualized); and Share repurchases for 2003 amounted to 1.5 million shares, resulting in lifetime share repurchases approximately 43.2 million shares, or 54% of the shares that were outstanding at the start of the repurchase program in 1996. Commenting on the quarter, Charles D. Way, Chairman and CEO of the Company, said, "Our restaurant operations benefited from good sales trends and strong food cost controls during the fourth quarter. Same-store sales increased by 4% due to good results from our lodge conversions and the beneficial impact of our local store marketing program. We spent significant time during the fourth quarter analyzing costs associated with our conversions and now believe that we can implement the conversions at a lower cost and with less closed-store time. In addition, food costs at our converted units appear to be properly controlled. We have converted 24 restaurants to the lodge prototype, which includes display cooking, and plan to convert another 20 to 25 restaurants during 2004. Also, our restaurant managers are very excited about their involvement with our local store marketing program. This program has focused our managers on effective merchandising and being a part of their local communities with a goal of bringing new customers to their restaurants. We expect to see future benefits from this program during the upcoming year." We are also pleased that, in spite of significantly higher beef costs, our food costs for the quarter did not increase, as a percent of sales, over the prior year. While we benefited from lower poultry and seafood costs and also higher menu prices at selected locations, our store managers focused on controlling their food costs and favorably impacted these costs." We look forward to a more profitable 2004. Our sales trends are strong, and beef costs have decreased from their high fourth quarter levels. Our variety makes Ryan's a great place for any diet. We serve fresh fruits and vegetables as well as several sugar-free desserts. We also serve many low-carbohydrate items and in the near future will be introducing several new low- carbohydrate specialties for our customers. Ryan's is for everyone, and we look forward to continuing our tradition of serving our customers great food at reasonable prices with friendly service." At December 31, 2003, the Company owned and operated 334 and was franchiser of 18 restaurants. In connection with this press release, members of Ryan's executive management will be holding a conference call with investment analysts today at 4:00 p.m. ET. The public can listen to a live webcast of this call by logging on to the web at either www.ryansinc.com or www.prnewswire.com and following the appropriate links. Certain matters discussed in this press release are forward- looking statements within the meaning of the federal securities laws and are subject to uncertainties and risks, including, but not limited to, general economic conditions, including consumer confidence levels; competition; developments affecting the public's perception of buffet-style restaurants; real estate availability; food and labor supply costs; food and labor availability; weather fluctuations; interest rate fluctuations; stock market conditions; political environment (including acts of terrorism and wars); legislative decisions involving tax issues by both federal and state governments; and other such risks described from time to time in the Company's reports filed with the Securities and Exchange Commission. RYAN'S FAMILY STEAK HOUSES, INC. CONSOLIDATED STATEMENTS OF EARNINGS (Unaudited) Quarter Ended Year Ended December 31, January 1, December 31, January 1, 2003 2003 2003 2003 Restaurant sales $197,627,000 185,105,000 805,009,000 773,817,000 Cost of sales: Food and beverage 68,544,000 64,320,000 283,535,000 275,674,000 Payroll and benefits 63,696,000 60,157,000 253,152,000 241,420,000 Depreciation 8,457,000 7,937,000 32,503,000 30,226,000 Other restaurant expenses 27,748,000 25,758,000 112,872,000 104,337,000 Total cost of sales 168,445,000 158,172,000 682,062,000 651,657,000 General and administrative expenses 11,480,000 9,597,000 42,022,000 38,034,000 Interest expense 2,724,000 2,404,000 10,216,000 9,302,000 Revenues from franchised restaurants(338,000) (369,000) (1,503,000) (1,663,000) Other income, net (946,000) (388,000) (2,709,000) (2,486,000) Earnings before income taxes 16,262,000 15,689,000 74,921,000 78,973,000 Income taxes 3,863,000 5,678,000 25,098,000 28,588,000 Net earnings $12,399,000 10,011,000 49,823,000 50,385,000 Earnings per common share: Basic $ .30 .23 1.18 1.15 Diluted $ .28 .23 1.14 1.11 Weighted-average shares: Basic 42,004,000 42,886,000 42,210,000 43,680,000 Diluted 43,758,000 44,180,000 43,754,000 45,518,000
RYAN'S FAMILY STEAK HOUSES, INC. CONSOLIDATED BALANCE SHEETS December 31, January 1, 2003 2003 ASSETS (Unaudited) Current assets: Cash and cash equivalents $8,617,000 2,654,000 Receivables 4,293,000 5,010,000 Inventories 5,648,000 5,119,000 Prepaid expenses 1,758,000 1,266,000 Income taxes receivable - 2,739,000 Deferred income taxes 5,150,000 4,676,000 Total current assets 25,466,000 21,464,000 Property and equipment: Land and improvements 154,528,000 144,859,000 Buildings 449,561,000 413,700,000 Equipment 252,611,000 231,244,000 Construction in progress 25,789,000 29,245,000 882,489,000 819,048,000 Less accumulated depreciation 264,339,000 234,627,000 Net property and equipment 618,150,000 584,421,000 Other assets 8,073,000 7,194,000 $651,689,000 613,079,000 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Accounts payable 7,080,000 10,896,000 Income taxes payable 1,288,000 - Accrued liabilities 42,090,000 35,748,000 Total current liabilities 50,458,000 46,644,000 Long-term debt 196,000,000 202,000,000 Deferred income taxes 42,824,000 39,375,000 Other long-term liabilities 5,467,000 4,579,000 Total liabilities 294,749,000 292,598,000 Shareholders' equity: Common stock of $1.00 par value; authorized 100,000,000 shares; issued 41,843,000 shares in 2003 and 42,745,000 shares in 2002 41,843,000 42,745,000 Additional paid-in capital 1,412,000 2,066,000 Retained earnings 313,685,000 275,670,000 Total shareholders' equity 356,940,000 320,481,000 Commitments and contingencies $651,689,000 613,079,000
RYAN'S FAMILY STEAK HOUSES, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) Year Ended December 31, January 1, 2003 2003 Cash flows from operating activities: Net earnings $49,823,000 50,385,000 Adjustments to reconcile net earnings to net cash provided by operating activities: Depreciation and amortization 34,445,000 31,644,000 Gain on sale of property and equipment (150,000) (28,000) Tax benefit related to stock option programs 1,412,000 1,784,000 Deferred income taxes 2,975,000 8,328,000 Decrease (increase) in: Receivables 717,000 (204,000) Inventories (529,000) (28,000) Prepaid expenses (492,000) (450,000) Income taxes receivable 2,739,000 (2,739,000) Other assets (1,130,000) (528,000) Increase (decrease) in: Accounts payable (3,816,000) (2,576,000) Income taxes payable 1,288,000 (3,238,000) Accrued liabilities 6,342,000 (585,000) Other long-term liabilities 888,000 666,000 Net cash provided by operating activities 94,512,000 82,431,000 Cash flows from investing activities: Proceeds from sale of property and equipment 9,240,000 5,467,000 Capital expenditures (76,853,000) (74,125,000) Net cash used in investing activities (67,613,000) (68,658,000) Cash flows from financing activities: Net proceeds from (repayment of) revolving credit facility (106,000,000) 24,000,000 Proceeds from issuance of senior notes 100,000,000 - Debt issuance costs (160,000) - Proceeds from stock options exercised 3,688,000 3,508,000 Purchase of common stock (18,464,000) (51,950,000) Net cash used in financing activities (20,936,000) (24,442,000) Net increase (decrease) in cash and cash equivalents 5,963,000 (10,669,000) Cash and cash equivalents - beginning of period 2,654,000 13,323,000 Cash and cash equivalents - end of period $8,617,000 2,654,000 Supplemental disclosures Cash paid during period for: Interest, net of amount capitalized $9,914,000 8,794,000 Income taxes 17,262,000 24,784,000
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