Panera Bread Posts Q1 Earnings Miss, Revenue Beat

Panera Bread Co. (PNRA – Free Report) released its financial results for first quarter of 2017, posting earnings of $1.83 earnings per share and revenues of $727.6 million. Currently, Panera is a Zacks Rank #3 (Hold) and is down 0.11% to $313.72 per share in trading shortly after its earnings report was released.

Missed earnings estimates. The company posted earnings of $1.83 per share, missing the Zacks Consensus Estimate of $1.84 earnings per share. This number excludes 5 cents from non-recurring items.

Beat revenue estimates. The company saw revenue figures of $727.6 million, topping our consensus estimate of $718 million.

Digital sales are now 26% of Panera’s total sales in Company-owned bakery-cafes. Net income increased 30% to $42 million from $35 million. Furthermore, the company’s delivery program is now available in 24% of system-wide bakery-cafes.

The company entered a definitive merger agreement with JAB earlier this month and is expected to close during the third quarter of 2017.

“The themes we have bet on – digital, clean food, loyalty, delivery, and new formats for growth – are shaping the restaurant industry today,” said Ron Shaich, Chairman and CEO. “With peak investments and significant scale behind us, our year-over-year growth in GAAP EPS was up 30% and non-GAAP EPS was up 17% in Q1, our best quarter in four years.”

Here’s a graph that looks at Panera’s latest earnings performance:

Panera Bread Company Price and Consensus

Panera Bread Company Price and Consensus | Panera Bread Company Quote

Panera Bread Company operates a retail bakery-cafe business and franchising business under the concept names Panera Bread Company and Saint Louis Bread Company. The concept specializes in high quality food for breakfast and lunch, including fresh baked goods, made-to-order sandwiches on freshly baked breads, soups, salads, custom roasted coffees, as well as other cafe beverages, and targets suburban dwellers and workers by offering a premium specialty bakery and cafe experience with a neighborhood experience.