CKE Nets $3 Million in 3rd Quarter

CKE Restaurants Inc., the parent company of the Carl’s Jr. burger chain, on Wednesday reported “significant” increases in net income and revenue for the third fiscal quarter ended Nov. 6.

Net income for the quarter rose to $3 million, or 16 cents per share, from $286,000, or 2 cents per share during the same period a year earlier. Revenue rose 9%, to $113.1 million from $103.8 million.

Tom Thompson, CKE president and chief operating officer, tied the gains, which included a noticeable improvement in sales at stores open for more than a year, to stronger advertising, the addition of Green Burrito brand Mexican-style fast food to some Carl’s Jr. restaurants and an ongoing remodeling of the chain’s aging restaurants.

Sales at 18 Carl’s Jr. restaurants that feature the Green Burrito menu have risen about 30%. CKE plans to add the menu to as many as 200 Carl’s Jr. restaurants.

Net income for the nine months rose to $7.7 million, or 42 cents per share, from $1.8 million, or 10 cents per share, during the same period a year ago. Revenue increased to $358.7 million from $344.1 million.