-----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, BrsjFRkD9MaPqMxIe3Z1639GjGjKU4ibpz6XeS8QFGYybnPsOSq8AI+mpco6Db9F q5s9t8f1qG3nFmoLQuE8bw== 0000813920-07-000029.txt : 20070502 0000813920-07-000029.hdr.sgml : 20070502 20070502111021 ACCESSION NUMBER: 0000813920-07-000029 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20070401 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20070502 DATE AS OF CHANGE: 20070502 FILER: COMPANY DATA: COMPANY CONFORMED NAME: CEC ENTERTAINMENT INC CENTRAL INDEX KEY: 0000813920 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-EATING PLACES [5812] IRS NUMBER: 480905805 STATE OF INCORPORATION: KS FISCAL YEAR END: 1230 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-13687 FILM NUMBER: 07808939 BUSINESS ADDRESS: STREET 1: PO BOX 152077 CITY: IRVING STATE: TX ZIP: 75015 BUSINESS PHONE: 9722585403 MAIL ADDRESS: STREET 1: PO BOX 152077 CITY: IRVING STATE: TX ZIP: 75015 FORMER COMPANY: FORMER CONFORMED NAME: SHOWBIZ PIZZA TIME INC DATE OF NAME CHANGE: 19920703 8-K 1 k8q12007pressrelease.txt Microsoft Word 11.0.6568; UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 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 reported) May 2, 2007 ---------------------------- CEC ENTERTAINMENT, INC. (Exact name of registrant as specified in charter) Kansas 0-15782 48-0905805 (State or other jurisdiction of (Commission File Number) (IRS Employer incorporation or organization) Identification No.) 4441 West Airport Freeway Irving, Texas 75062 (Address of principal executive offices and zip code) (972) 258-8507 (Registrant's telephone number, including area code) N/A (Former name or former address, if changed since last report) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the Registrant under any of the following provisions (see General Instruction A.2. below): |_| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425). |_| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12). |_| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)). |_| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)). 3 Item 2.02: Results of Operations and Financial Condition The information furnished in this Current Report on Form 8-K and the Exhibit attached hereto shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of such section. On May 1, 2007, CEC Entertainment, Inc. issued a press release announcing financial results for the fiscal first quarter ended April 1, 2007. A copy of the press release is attached as Exhibit 99 to this Current Report on Form 8-K. Item 9.01: Financial Statements and Exhibits (c) Exhibits 99 Press Release of CEC Entertainment, Inc. dated May 1, 2007. 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. CEC ENTERTAINMENT, INC. Date: May 2, 2007 By:/s/Christopher D. Morris Christopher D. Morris Executive Vice President Chief Financial Officer EXHIBIT INDEX Exhibit Number Description 99 Press Release of CEC Entertainment, Inc. dated May 1, 2007. EX-99 2 q1pressrelease.txt Microsoft Word 11.0.6568; FOR RELEASE CONTACT: Chris Morris May 1, 2007 Executive Vice President 3:05 p.m. Central Time Chief Financial Officer (972) 258-4525 CEC ENTERTAINMENT, INC. REPORTS FIRST QUARTER EARNINGS IRVING, TEXAS - CEC Entertainment, Inc. (NYSE:"CEC") today announced earnings for the first quarter ended April 1, 2007. Revenues for the first quarter of 2007 increased to $232.9 million from $227.0 million in the first quarter of 2006 primarily due to new store development and an increase in comparable store sales of 0.5%. Net income in the first quarter of 2007 increased to $32.0 million from $28.9 million in the same period of 2006. Diluted earnings per share in the first quarter of 2007 increased 13% to $0.95 per share from $0.84 per share in the first quarter of 2006. Richard M. Frank, Chairman and Chief Executive Officer, stated that, "We are pleased with the solid performance of our restaurants despite a challenging consumer environment in the casual dining sector and severe winter weather impacting much of the country during the quarter. Comparable store sales have increased 1.4% through the first seventeen weeks of this year. We believe the refined strategies we announced in mid 2006 are positively impacting sales and earnings and over the long-term will deliver an excellent experience for our guests and solid performance for our shareholders." Based on current estimates, the Company expects diluted earnings per share to range from $2.25 to $2.30 per share for the 2007 fiscal year reflecting an annual growth rate of 10% to 13%. Estimates for fiscal year 2007 assume an increase in comparable store sales of 2.0% to 2.5%, 10 new restaurant openings and capital expenditures of approximately $90 to $92 million. Diluted earnings per share are expected to range from $0.33 to $0.35 per share for the second quarter of 2007 and $0.60 to $0.62 per share for the third quarter of 2007. In addition, the Company announced that on April 23, 2007 the Company filed all outstanding reports required to be filed with the U.S. Securities and Exchange Commission ("SEC") bringing the Company into compliance with the reporting requirements of the SEC and the New York Stock Exchange, as well as reinstating the effectiveness of the Company's registration statements on Form S-8. The Company's management will discuss the results for the first quarter on a conference call and simultaneous webcast on May 1, 2007 at 3:30 p.m. Central Time. The webcast can be accessed through the Company's website at www.chuckecheese.com. Certain statements in this press release, other than historical information, may be considered forward-looking statements, within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, and is subject to various risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may differ from those anticipated, estimated or expected. Among the key factors that may have a direct bearing on CEC's operating results, performance or financial condition are its ability to implement its growth strategies; national, regional and local economic conditions affecting the restaurant/entertainment industry; competition within each of the restaurant and entertainment industries; success of its franchise operations; negative publicity; health epidemics or pandemics; acts of God; terrorists acts; litigation; demographic trends; fluctuations in quarterly results of operations, including seasonality; government regulations; weather; school holidays; increased commodity, utility, insurance, and advertising and labor costs. CEC Entertainment, Inc. operates a system of 529 Chuck E. Cheese's restaurants in 48 states, of which 485 are owned and operated by the Company. # # #
CEC ENTERTAINMENT, INC. CONDENSED CONSOLIDATED RESULTS OF OPERATIONS (Thousands, except per share data) Quarters Ended 4/1/07 4/2/06 --------- -------- Revenues: Food and beverage $144,006 $148,600 Games and merchandise 88,036 77,506 Franchise fees and royalties 856 884 Interest income 1 2 ------- ------- 232,899 226,992 ------- ------- Costs and expenses: Cost of sales: Food, beverage and related supplies 26,569 27,422 Games and merchandise 9,685 10,062 Labor 58,234 59,626 Selling, general and administrative expenses 29,694 28,483 Depreciation and amortization 17,106 15,919 Interest expense 2,772 1,793 Other operating expenses 37,361 36,610 ------- ------- 181,421 179,915 ------- ------- Income before income taxes 51,478 47,077 Income taxes 19,458 18,224 ------- ------- Net income $ 32,020 $ 28,853 ======== ======== Earnings per share: Basic $1.00 $.86 Diluted $.95 $.84 Weighted average shares outstanding: Basic 32,164 33,719 Diluted 33,670 34,517
CEC ENTERTAINMENT, INC. SUPPLEMENTAL FINANCIAL INFORMATION Quarters Ended 4/1/07 4/2/06 Number of Company-owned restaurants: Beginning of period 484 475 New 3 3 Closed (2) (1) ---- --- End of period 485 477 Number of franchise restaurants: Beginning of period 45 44 New 0 1 Closed 0 0 --- --- End of period 45 45
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