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Re: P K G post# 16552

Sunday, 05/18/2008 2:25:13 PM

Sunday, May 18, 2008 2:25:13 PM

Post# of 19383
Your math does not quite work. They spent something like 1M on the new restaurant in the last qtr (1-time expense). Stands to reason, seeing as it is a "showcase". What matters is operating cost vs. operating profit going forward with both new restaurants open. That should be calculable based on doing a pro forma with the 10-Q statements as a reference and figuring the new revenue stream based on rev/sq foot calculations.

Are people are going to fork out franchise fees for an operation that is not profitable on it's own? Right now they are losing .10/share.