Restaurant Growth Cited in Collins Food Profit

Collins Foods International credited strong growth among its Kentucky Fried Chicken, Naugles and Sizzler restaurants in reporting a $25.3-million profit for the fiscal year ended April 30. Revenue was $522 million.

The 1987 results compared to $6.7 million in net income last year on revenue of $341.7 million.

Net income included gains from the first-quarter public offering of Sizzler Restaurants International common stock, the sale of Collins Foodservice and early retirement of $30 million in 12% subordinated debentures, the company said.

The company reported an operating loss last year of $7.7 million--$4 million from Naugles (which turned a $1-million profit this year) and most of the rest of the loss from its Josephina’s chain (most of whose outlets have since closed).

Collins said fourth-quarter net totaled $6 million, compared to the $7.6-million loss a year ago. Quarterly revenue rose 67% to $142 million, including Naugles as a consolidated subsidiary.

Both quarterly and year-end figures were restated to exclude Collins Foodservice, the Sizzler offering and the bond retirement, said Chairman James A. Collins.