Same-store sales rose 4.9 percent in the second quarter at Potbelly Corp., the company said on Tuesday.
Net income at the Chicago-based sandwich chain rose 22 percent in the period ended June 28, to $2.5 million or 9 cents per share from $2 million, or 7 cents, a year ago.
“We’ve achieved three consecutive quarters of solid sales growth and strong profitability,” Aylwin Lewis, CEO of Potbelly, said in a statement. “The Potbelly teams continue doing great work and we are pleased with the first half of the year. We remain confident in the fundamentals of our business and our ability to achieve previously disclosed guidance for the full year.”
Revenues at the 300-unit chain increased 14.7 percent in the quarter to $95.9 million from $83.6 million. Adjusted EBITDA, or earnings before interest, taxes, depreciation and amortization, increased 17.5 percent to $11.8 million from $10.1 million.
The company expects to open 48 to 55 new restaurants for the full year, and also expects same-store sales to be in the “low single digits.”
Cost of goods sold, including food and paper costs were 28.4 percent of sales, down slightly from 28.6 percent of sales a year ago. But labor as a percent of sales rose 30 basis points to 28.3 percent.
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