IRVING, Texas, July 29,
2015 /PRNewswire/ -- CEC Entertainment, Inc. (the "Company")
today announced financial results for its second quarter ended
June 28, 2015.
"We are pleased to report positive same store sales growth this
quarter of 3.0% at our Chuck E.
Cheese's stores and 5.3% at our Peter Piper Pizza stores,"
said Tom Leverton, Chief Executive
Officer. "We believe our initiatives to improve the overall food
and entertainment experience at Chuck E. Cheese's are beginning to
have an impact. The new menu at our Chuck E. Cheese's stores launched in April and
has been very well received by our guests. We believe other
initiatives like free guest Wi-Fi and enhanced hospitality training
are also improving the in-store experience and helping to
contribute to stronger traffic. With all of the positive changes at
Chuck E. Cheese's, we invested in marketing to communicate our new
menu and initiate our Mom's focused advertising campaign which we
believe will help support revenue growth in future quarters, as
well as the quarter just completed. In addition, Peter Piper
Pizza, which we acquired in October
2014, continues its positive momentum, reporting its 20th
consecutive quarter of same store sales growth."
Second Quarter Results
Total revenues for the second quarter of 2015 increased 13.7%,
or $25.5 million, over the prior year
to $212.1 million. The increase is
primarily related to additional revenues of $17.8 million resulting from the Peter Piper
Pizza acquisition, which closed in October
2014, and an increase in same store sales at our
Chuck E. Cheese's stores. Same store
sales for the second quarter of 2015 for Chuck E. Cheese's stores increased 3.0% from the
prior year. Same store sales for the second quarter of 2015 for
Peter Piper Pizza stores increased 5.3% over the prior year, a
period in which the Company did not own Peter Piper Pizza.
Adjusted EBITDA for the second quarter of 2015 increased 11.3%,
or $4.2 million, over the prior year
to $41.1 million. The increase is
primarily related to incremental Adjusted EBITDA for Peter Piper
Pizza, offset by increases in store expenses associated with the
increase in store revenues and an increase in rent due to fewer
landlord incentives being received than the prior year, as well as
investments made in advertising. Adjusted EBITDA for Peter Piper
Pizza increased 31.0% over the prior year, a period in which the
Company did not own Peter Piper Pizza, to $5.4 million. Adjusted EBITDA represents net
income (loss) adjusted to exclude interest expense, income taxes,
depreciation and amortization, asset impairments, the effects of
acquisition accounting adjustments, transaction and severance costs
and certain other items.
The Company reported a net loss of $9.9
million for the second quarter of 2015, compared to a net
loss of $12.8 million for the second
quarter of 2014. The decrease in the net loss is due to an increase
in same store sales at our Chuck E.
Cheese's stores and net income from Peter Piper Pizza for
the second quarter of 2015 of $1.7
million.
Balance Sheet and Liquidity
As of June 28, 2015, cash and cash equivalents were
$132.4 million, and total debt was
$1.0 billion, with no borrowings
drawn under the Company's $150.0
million revolving credit facility. Capital expenditures were
$23.9 million for the second quarter
of 2015, of which $15.3 million were
related to IT and growth initiatives, including new store
development, major remodels, store expansions and major
attractions.
As of June 28, 2015, the Company's system-wide portfolio
consisted of:
|
|
Chuck E.
Cheese's
|
|
Peter Piper
Pizza
|
|
Total
|
Company
operated
|
|
|
525
|
|
|
32
|
|
|
557
|
Domestic
franchised
|
|
|
31
|
|
|
63
|
|
|
94
|
International
franchised
|
|
|
32
|
|
|
47
|
|
|
79
|
Total
|
|
|
588
|
|
|
142
|
|
|
730
|
Conference Call Information:
The Company will host a conference call beginning at
9:00 a.m. Central Time on Thursday,
July 30, 2015. The call can be accessed by dialing (855)
743-8451 or (330) 968-0151 for international participants and
conference code 85512719.
A replay of the call will be available from 12:00 p.m. Central Time on July 30, 2015
through midnight Central Time on
August 6, 2015. The replay of the call can be accessed by
dialing (800) 585-8367 or (404) 537-3406 for international
participants and conference code 85512719.
About CEC Entertainment, Inc.
For more than 35 years, CEC Entertainment has served as a
nationally recognized leader in family dining and entertainment.
The Company and its franchisees operate a system of more than 585
Chuck E. Cheese's stores and 140 Peter Piper Pizza stores, with
locations in 47 states and 11 foreign countries and territories.
For more information, visit chuckecheese.com.
Investor
Inquiries:
|
Media
Inquiries:
|
Temple
Weiss
|
Kari
Streiber
|
EVP &
CFO
|
CEC Entertainment,
Inc.
|
CEC Entertainment,
Inc.
|
(214)
632-9360
|
(972)
258-4525
|
kstreiber@talktocurrent.com
|
tweiss@cecentertainment.com
|
|
Cautionary Statement Regarding Forward-Looking
Statements
Certain statements in this report, 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 are subject to
various risks, uncertainties and assumptions. Statements that are
not historical in nature and which may be identified by the use of
words such as "may," "should," "could," "believe," "predict,"
"potential," "continue," "plan," "intend," "expect," "anticipate,"
"future," "project," "estimate," and similar expressions (or the
negative of such expressions) are forward-looking statements.
Forward-looking statements are made based on management's current
expectations and beliefs concerning future events and, therefore,
involve a number of assumptions, risks and uncertainties, including
the risk factors described in Part I, Item 1A. "Risk Factors"
of our Annual Report on Form 10-K for the fiscal year ended
December 28, 2014, filed with the Securities and Exchange
Commission on March 5, 2015. 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. There are a number of important factors that
could cause actual results or events to differ materially from
those indicated by such forward-looking statements, including but
not limited to:
- The success of our capital initiatives, including new store
development and existing store evolution;
- Our ability to successfully implement our marketing
strategy;
- Competition in both the restaurant and entertainment
industries;
- Changes in consumer discretionary spending;
- Impacts on our business and financial results from economic
uncertainty in the United States
and Canada;
- Negative publicity concerning food quality, health, general
safety and other issues;
- Expansion in international markets;
- Our ability to successfully integrate the operations of
companies we acquire;
- Our ability to generate sufficient cash flow to meet our debt
service payments;
- Increases in food, labor and other operating costs;
- Disruptions of our information technology systems and
technologies;
- Changes in consumers' health, nutrition and dietary
preferences;
- Any disruption of our commodity distribution system;
- Our dependence on a limited number of suppliers for our games,
rides, entertainment-related equipment, redemption prizes and
merchandise;
- Product liability claims and product recalls;
- Government regulations;
- Litigation risks;
- Adverse effects of local conditions, natural disasters and
other events;
- Existence or occurrence of certain public health issues;
- Fluctuations in our quarterly results of operations due to
seasonality;
- Inadequate insurance coverage;
- Loss of certain key personnel;
- Our ability to adequately protect our trademarks or other
proprietary rights;
- Risks in connection with owning and leasing real estate;
and
- Litigation risks associated with our merger.
The forward-looking statements made in this report relate only
to events as of the date on which the statements were made. Except
as may be required by law, we undertake no obligation to update our
forward-looking statements to reflect events and circumstances
after the date on which the statements were made or to reflect the
occurrence of unanticipated events.
Merger
On February 14, 2014, the Company
announced the completion of the acquisition of CEC Entertainment,
Inc. by an affiliate of Apollo Global Management, LLC ("Apollo").
The acquisition is referred to as the "Merger." The accompanying
consolidated statements of earnings and related information present
the Company's results of operations for the period preceding the
acquisition (Predecessor) and the period succeeding the acquisition
(Successor) based on the mathematical combination of the Successor
and Predecessor periods in the six months ended June 29, 2014. Although this combined
presentation does not comply with GAAP, the Company believes that
it provides a meaningful method of comparison.
- financial tables follow -
CEC ENTERTAINMENT,
INC. CONSOLIDATED STATEMENTS OF
EARNINGS (Unaudited) (in
thousands)
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
Six Months
Ended
|
|
June 28,
2015
|
|
June 29,
2014
|
|
|
June 28,
2015
|
|
June 29,
2014
|
|
(Successor)
|
|
(Successor)
|
|
|
(Successor)
|
|
(Combined)
|
REVENUES:
|
|
|
|
|
|
|
|
|
|
|
|
|
Food and beverage
sales
|
$
|
94,145
|
|
|
44.4
|
%
|
|
$
|
79,649
|
|
|
42.7
|
%
|
|
|
$
|
210,681
|
|
|
44.1
|
%
|
|
$
|
192,823
|
|
|
43.6
|
%
|
Entertainment and
merchandise sales
|
113,861
|
|
|
53.7
|
%
|
|
105,651
|
|
|
56.6
|
%
|
|
|
258,605
|
|
|
54.1
|
%
|
|
246,923
|
|
|
55.8
|
%
|
Total Company store
sales
|
208,006
|
|
|
98.1
|
%
|
|
185,300
|
|
|
99.3
|
%
|
|
|
469,286
|
|
|
98.3
|
%
|
|
439,746
|
|
|
99.4
|
%
|
Franchise fees and
royalties
|
4,073
|
|
|
1.9
|
%
|
|
1,274
|
|
|
0.7
|
%
|
|
|
8,300
|
|
|
1.7
|
%
|
|
2,647
|
|
|
0.6
|
%
|
Total
revenues
|
212,079
|
|
|
100.0
|
%
|
|
186,574
|
|
|
100.0
|
%
|
|
|
477,586
|
|
|
100.0
|
%
|
|
442,393
|
|
|
100.0
|
%
|
OPERATING COSTS
AND EXPENSES:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Company store
operating costs:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of food and
beverage (exclusive of
items shown separately below) (1)
|
23,951
|
|
|
25.4
|
%
|
|
20,386
|
|
|
25.6
|
%
|
|
|
53,176
|
|
|
25.2
|
%
|
|
48,368
|
|
|
25.1
|
%
|
Cost of entertainment
and merchandise
(exclusive of items shown separately
below) (2)
|
7,015
|
|
|
6.2
|
%
|
|
5,927
|
|
|
5.6
|
%
|
|
|
15,537
|
|
|
6.0
|
%
|
|
14,486
|
|
|
5.9
|
%
|
Total cost of food,
beverage,
entertainment and merchandise (3)
|
30,966
|
|
|
14.9
|
%
|
|
26,313
|
|
|
14.2
|
%
|
|
|
68,713
|
|
|
14.6
|
%
|
|
62,854
|
|
|
14.3
|
%
|
Labor expenses
(3)
|
59,234
|
|
|
28.5
|
%
|
|
54,747
|
|
|
29.5
|
%
|
|
|
126,407
|
|
|
26.9
|
%
|
|
118,693
|
|
|
27.0
|
%
|
Depreciation and
amortization (3)
|
28,970
|
|
|
13.9
|
%
|
|
34,044
|
|
|
18.4
|
%
|
|
|
58,211
|
|
|
12.4
|
%
|
|
62,252
|
|
|
14.2
|
%
|
Rent expense
(3)
|
24,260
|
|
|
11.7
|
%
|
|
22,715
|
|
|
12.3
|
%
|
|
|
48,719
|
|
|
10.4
|
%
|
|
42,790
|
|
|
9.7
|
%
|
Other store operating
expenses (3)
|
35,330
|
|
|
17.0
|
%
|
|
32,339
|
|
|
17.5
|
%
|
|
|
68,848
|
|
|
14.7
|
%
|
|
64,738
|
|
|
14.7
|
%
|
Total Company store
operating costs (3)
|
178,760
|
|
|
85.9
|
%
|
|
170,158
|
|
|
91.8
|
%
|
|
|
370,898
|
|
|
79.0
|
%
|
|
351,327
|
|
|
79.9
|
%
|
Other costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Advertising
expense
|
14,596
|
|
|
6.9
|
%
|
|
9,551
|
|
|
5.1
|
%
|
|
|
26,048
|
|
|
5.5
|
%
|
|
20,591
|
|
|
4.7
|
%
|
General and
administrative expenses
|
18,973
|
|
|
8.9
|
%
|
|
11,928
|
|
|
6.4
|
%
|
|
|
36,060
|
|
|
7.6
|
%
|
|
26,719
|
|
|
6.0
|
%
|
Transaction and
severance costs
|
(62)
|
|
|
—
|
%
|
|
(158)
|
|
|
(0.1)
|
%
|
|
|
82
|
|
|
—
|
%
|
|
49,155
|
|
|
11.1
|
%
|
Total operating costs
and expenses
|
212,267
|
|
|
100.1
|
%
|
|
191,479
|
|
|
102.6
|
%
|
|
|
433,088
|
|
|
90.7
|
%
|
|
447,792
|
|
|
101.2
|
%
|
Operating income
(loss)
|
(188)
|
|
|
(0.1)
|
%
|
|
(4,905)
|
|
|
(2.6)
|
%
|
|
|
44,498
|
|
|
9.3
|
%
|
|
(5,399)
|
|
|
(1.2)
|
%
|
Interest
expense
|
17,324
|
|
|
8.2
|
%
|
|
15,239
|
|
|
8.2
|
%
|
|
|
34,822
|
|
|
7.3
|
%
|
|
28,433
|
|
|
6.4
|
%
|
Income (loss) before
income taxes
|
(17,512)
|
|
|
(8.3)
|
%
|
|
(20,144)
|
|
|
(10.8)
|
%
|
|
|
9,676
|
|
|
2.0
|
%
|
|
(33,832)
|
|
|
(7.6)
|
%
|
Income tax expense
(benefit)
|
(7,620)
|
|
|
(3.6)
|
%
|
|
(7,360)
|
|
|
(3.9)
|
%
|
|
|
4,826
|
|
|
1.0
|
%
|
|
(7,880)
|
|
|
(1.8)
|
%
|
Net income
(loss)
|
$
|
(9,892)
|
|
|
(4.7)
|
%
|
|
$
|
(12,784)
|
|
|
(6.9)
|
%
|
|
|
$
|
4,850
|
|
|
1.0
|
%
|
|
$
|
(25,952)
|
|
|
(5.9)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Percentages are
expressed as a percent of total revenues (except as otherwise
noted).
|
|
|
(1)
|
Percentage amount
expressed as a percentage of food and beverage sales.
|
|
|
(2)
|
Percentage amount
expressed as a percentage of entertainment and merchandise
sales.
|
|
|
(3)
|
Percentage amount
expressed as a percentage of total Company store sales.
|
|
|
Due to rounding,
percentages presented in the table above may not sum to total. The
percentage amounts for the components of cost of food and beverage
and the cost of entertainment and merchandise may not sum to total
due to the fact that cost of food and beverage and cost of
entertainment and merchandise are expressed as a percentage of
related food and beverage sales and entertainment and merchandise
sales, as opposed to total Company store sales.
|
CEC ENTERTAINMENT,
INC. CONDENSED CONSOLIDATED
BALANCE SHEETS (Unaudited) (in
thousands)
|
|
|
|
|
|
|
|
|
June 28,
2015
|
|
|
December 28,
2014
|
|
|
(Successor)
|
|
|
(Successor)
|
ASSETS
|
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
132,355
|
|
|
|
$
|
110,994
|
|
Other current
assets
|
|
64,172
|
|
|
|
62,651
|
|
Total current
assets
|
|
196,527
|
|
|
|
173,645
|
|
Property and
equipment, net
|
|
657,086
|
|
|
|
681,972
|
|
Goodwill
|
|
483,983
|
|
|
|
483,444
|
|
Intangible assets,
net
|
|
490,200
|
|
|
|
491,400
|
|
Deferred financing
costs, net
|
|
22,084
|
|
|
|
24,087
|
|
Other noncurrent
assets
|
|
12,675
|
|
|
|
9,595
|
|
Total
assets
|
|
$
|
1,862,555
|
|
|
|
$
|
1,864,143
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
Bank indebtedness and
other long-term debt, current portion
|
|
$
|
9,548
|
|
|
|
$
|
9,545
|
|
Other current
liabilities
|
|
117,895
|
|
|
|
107,650
|
|
Total current
liabilities
|
|
127,443
|
|
|
|
117,195
|
|
Capital lease
obligations, less current portion
|
|
15,269
|
|
|
|
15,476
|
|
Bank indebtedness and
other long-term debt, less current portion
|
|
994,887
|
|
|
|
998,441
|
|
Deferred tax
liability
|
|
208,686
|
|
|
|
222,915
|
|
Other noncurrent
liabilities
|
|
219,123
|
|
|
|
217,530
|
|
Total
liabilities
|
|
1,565,408
|
|
|
|
1,571,557
|
|
Stockholders'
equity:
|
|
|
|
|
|
Common stock, $0.01
par value; authorized 1,000 shares; 200 shares issued as of June
28, 2015 and December 28, 2014
|
|
—
|
|
|
|
—
|
|
Capital in excess of
par value
|
|
356,163
|
|
|
|
355,587
|
|
Retained earnings
(deficit)
|
|
(57,238)
|
|
|
|
(62,088)
|
|
Accumulated other
comprehensive income (loss)
|
|
(1,778)
|
|
|
|
(913)
|
|
Total stockholders'
equity
|
|
297,147
|
|
|
|
292,586
|
|
Total liabilities and
stockholders' equity
|
|
$
|
1,862,555
|
|
|
|
$
|
1,864,143
|
|
CEC ENTERTAINMENT,
INC. CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS (Unaudited) (in
thousands)
|
|
|
|
|
|
Six Months
Ended
|
|
|
June 28,
2015
|
|
June 29,
2014
|
|
|
(Successor)
|
|
(Combined)
|
CASH FLOWS FROM
OPERATING ACTIVITIES:
|
|
Net income
(loss)
|
|
$
|
4,850
|
|
|
$
|
(25,952)
|
|
Adjustments to
reconcile net income to net cash provided by operating
activities:
|
|
|
|
|
Depreciation
and amortization
|
|
60,248
|
|
|
63,123
|
|
Deferred
income taxes
|
|
(11,909)
|
|
|
(14,936)
|
|
Stock-based
compensation expense
|
|
570
|
|
|
12,225
|
|
Amortization
of lease-related intangibles and liabilities, net
|
|
61
|
|
|
(174)
|
|
Amortization
of original issue discount and deferred financing costs
|
|
2,273
|
|
|
1,747
|
|
Loss on asset
disposals, net
|
|
3,042
|
|
|
2,845
|
|
Non-cash rent
expense
|
|
4,289
|
|
|
1,929
|
|
Other
adjustments
|
|
(494)
|
|
|
266
|
|
Changes in operating
assets and liabilities:
|
|
|
|
|
Operating
assets
|
|
(4,371)
|
|
|
1,007
|
|
Operating
liabilities
|
|
8,812
|
|
|
(2,935)
|
|
Net cash provided by
operating activities
|
|
67,371
|
|
|
39,145
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES:
|
|
|
|
|
Acquisition of
Predecessor
|
|
—
|
|
|
(946,898)
|
|
Acquisition of Peter
Piper Pizza
|
|
(663)
|
|
|
—
|
|
Acquisition of
franchisee
|
|
—
|
|
|
(1,529)
|
|
Purchases of property
and equipment
|
|
(38,628)
|
|
|
(32,268)
|
|
Development of
internal use software
|
|
(1,571)
|
|
|
—
|
|
Other investing
activities
|
|
82
|
|
|
292
|
|
Net cash used in
investing activities
|
|
(40,780)
|
|
|
(980,403)
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES:
|
|
|
|
|
Proceeds from secured
credit facilities, net of original issue discount
|
|
—
|
|
|
756,200
|
|
Proceeds from senior
notes
|
|
—
|
|
|
255,000
|
|
Repayment of
Predecessor Facility
|
|
—
|
|
|
(348,000)
|
|
Repayments on senior
term loan
|
|
(3,800)
|
|
|
—
|
|
Net repayments on
revolving credit facility
|
|
—
|
|
|
(13,500)
|
|
Payment of debt
financing costs
|
|
—
|
|
|
(27,575)
|
|
Equity
contribution
|
|
—
|
|
|
350,000
|
|
Other financing
activities
|
|
(1,002)
|
|
|
3,698
|
|
Net cash provided by
(used in) financing activities
|
|
(4,802)
|
|
|
975,823
|
|
Effect of foreign
exchange rate changes on cash
|
|
(428)
|
|
|
(80)
|
|
Change in cash and
cash equivalents
|
|
21,361
|
|
|
34,485
|
|
Cash and cash
equivalents at beginning of period
|
|
110,994
|
|
|
39,870
|
|
Cash and cash
equivalents at end of period
|
|
$
|
132,355
|
|
|
$
|
74,355
|
|
CEC ENTERTAINMENT, INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(Unaudited)
(in thousands)
Non-GAAP Financial Measures
The Company reports and discusses its operating results using
financial measures consistent with accounting principles generally
accepted in the United States
("GAAP"). From time to time in the course of financial
presentations, earnings conference calls or otherwise, the Company
may disclose certain non-GAAP financial measures such as Adjusted
Earnings Before Interest, Taxes, Depreciation and Amortization
("Adjusted EBITDA"). The Company believes Adjusted EBITDA is a
measure that provides investors with additional information to
measure our performance. We believe that the presentation of
Adjusted EBITDA is appropriate to provide additional information to
investors about certain material non-cash items and about unusual
items that we do not expect to continue at the same level in the
future, as well as other items. Further, we believe Adjusted EBITDA
provides a meaningful measure of operating profitability because we
use it for evaluating our business performance and understanding
certain significant items. The non-GAAP financial measures
presented in this earnings release should not be viewed as
alternatives or substitutes for the Company's reported GAAP
results.
The following table sets forth a reconciliation of net income to
Adjusted EBITDA and Adjusted EBITDA expressed as a percentage of
total revenues for the periods shown:
|
Three Months
Ended
|
|
|
Six Months
Ended
|
|
June 28,
2015
|
|
June 29,
2014
|
|
|
June 28,
2015
|
|
June 29,
2014
|
|
(Successor)
|
|
(Successor)
|
|
|
(Successor)
|
|
(Combined)
|
|
|
Total
revenues
|
$
|
212,079
|
|
|
$
|
186,574
|
|
|
|
$
|
477,586
|
|
|
$
|
442,393
|
|
Net income (loss) as
reported
|
$
|
(9,892)
|
|
|
$
|
(12,784)
|
|
|
|
$
|
4,850
|
|
|
$
|
(25,952)
|
|
Interest
expense
|
17,324
|
|
|
15,239
|
|
|
|
34,822
|
|
|
28,433
|
|
Income tax expense
(benefit)
|
(7,620)
|
|
|
(7,360)
|
|
|
|
4,826
|
|
|
(7,880)
|
|
Depreciation and
amortization
|
29,849
|
|
|
34,568
|
|
|
|
60,248
|
|
|
63,123
|
|
Non-cash impairments,
gain or loss on disposal
|
1,799
|
|
|
1,577
|
|
|
|
3,042
|
|
|
2,845
|
|
Non-cash stock-based
compensation
|
178
|
|
|
—
|
|
|
|
570
|
|
|
12,639
|
|
Rent expense book to
cash
|
1,968
|
|
|
4,020
|
|
|
|
4,179
|
|
|
5,270
|
|
Franchise revenue,
net cash received
|
—
|
|
|
100
|
|
|
|
(65)
|
|
|
100
|
|
Impact of purchase
accounting
|
116
|
|
|
219
|
|
|
|
348
|
|
|
413
|
|
Store pre-opening
costs
|
117
|
|
|
377
|
|
|
|
362
|
|
|
637
|
|
One-time
items
|
6,254
|
|
|
113
|
|
|
|
7,605
|
|
|
37,821
|
|
Cost savings
initiatives
|
1,001
|
|
|
859
|
|
|
|
1,001
|
|
|
1,669
|
|
Adjusted
EBITDA
|
$
|
41,094
|
|
|
$
|
36,928
|
|
|
|
$
|
121,788
|
|
|
$
|
119,118
|
|
Adjusted EBITDA as a
percent of total revenues
|
19.4
|
%
|
|
19.8
|
%
|
|
|
25.5
|
%
|
|
26.9
|
%
|
Adjusted EBITDA, a measure used by management to assess
operating performance, is defined as Net income (loss) plus
interest expense, income taxes and depreciation and amortization
and adjusted to exclude asset impairments, the effects of
acquisition accounting adjustments, transaction and severance
costs, and certain other items.
CEC ENTERTAINMENT, INC. STORE COUNT INFORMATION (Unaudited)
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
June 28,
2015
|
|
June 29,
2014
|
|
June 28,
2015
|
|
June 29,
2014
|
|
|
(Successor)
|
|
(Successor)
|
|
(Successor)
|
|
(Combined)
|
Number of
Company-owned stores:
|
|
|
|
|
|
|
|
|
Beginning of
period
|
|
560
|
|
|
522
|
|
|
559
|
|
|
522
|
|
New
(1), (2)
|
|
—
|
|
|
5
|
|
|
2
|
|
|
6
|
|
Acquired from
franchisee
|
|
—
|
|
|
1
|
|
|
—
|
|
|
1
|
|
Closed
(1), (2)
|
|
(3)
|
|
|
(4)
|
|
|
(4)
|
|
|
(5)
|
|
End of
period
|
|
557
|
|
|
524
|
|
|
557
|
|
|
524
|
|
Number of franchised
stores:
|
|
|
|
|
|
|
|
|
Beginning of
period
|
|
175
|
|
|
55
|
|
|
172
|
|
|
55
|
|
New
(3)
|
|
1
|
|
|
—
|
|
|
4
|
|
|
—
|
|
Acquired from
franchisee
|
|
—
|
|
|
(1)
|
|
|
—
|
|
|
(1)
|
|
Closed
(3)
|
|
(3)
|
|
|
—
|
|
|
(3)
|
|
|
—
|
|
End of
period
|
|
173
|
|
|
54
|
|
|
173
|
|
|
54
|
|
Total number of
stores:
|
|
|
|
|
|
|
|
|
Beginning of
period
|
|
735
|
|
|
577
|
|
|
731
|
|
|
577
|
|
New
(4)
|
|
1
|
|
|
5
|
|
|
6
|
|
|
6
|
|
Acquired from
franchisee
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Closed
(4)
|
|
(6)
|
|
|
(4)
|
|
|
(7)
|
|
|
(5)
|
|
End of
period
|
|
730
|
|
|
578
|
|
|
730
|
|
|
578
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
The number of new and
closed Company-owned stores during the three months ended
June 29, 2014 included one store that was
relocated.
|
|
|
(2)
|
The number of new and
closed Company-owned stores during the six months ended
June 28, 2015 and June 29, 2014 included one and two
stores, respectively, that were relocated.
|
|
|
(3)
|
The number of new and
closed franchise stores during the three and six months ended
June 28, 2015 included one store that was
relocated.
|
|
|
(4)
|
The number of new and
closed stores during the three months ended June 28, 2015 and
June 29, 2014 and the six months ended June 28, 2015 and
June 29, 2014, included one, one, two and two, respectively,
that were relocated.
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/cec-entertainment-inc-reports-financial-results-for-the-2015-second-quarter-300121027.html
SOURCE CEC Entertainment, Inc.