Morton's books a 4th-Q profit with sales help from Bar 12-21

Nation's Restaurant News,  March 12, 2007  

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Chicago -- Morton's Restaurant Group Inc., operator of 74 namesake steakhouses and four Italian restaurants, swung to a fourth-quarter profit of $5.6 million, or 33 cents per share, from a net loss of $3.8 million, or 38 cents per share, a year earlier.

Yet, after adjusting for one-time charges related to Morton's initial public offering in February 2006, a separation agreement with former chief executive Allen Bernstein and other items, Morton's fourth-quarter profit increased 9.4 percent to $5.8 million, or 34 cents per share, from earnings of $5.3 million, or 31 cents per share, a year earlier.

The adjusted profit gain mirrored the company's revenue increase to $90.9 million, up 8.7 percent from a year ago. Samestore sales rose 6.7 percent at Morton's units but fell 2.7 percent at the Bertolini's brand, the company reported.

Morton's credited its Bar 12-21--a bar area that features a "Bar Bites" and liquor menu--for driving sales. It plans to expand Bar 12-21 from its current 20 locations to at least 15 more units this year.

Adjusting for its IPO, Morton's earned $14 million, or 82 cents per share, for fiscal 2006, versus pro forma profit of $11.6 million, or 68 cents per share, for fiscal 2005. Revenues rose 7.1 percent to $322 million.

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