UPDATE 1-Cheesecake Factory profit tops Street view

Wed Apr 25, 2012 6:16pm EDT

April 25 - Cheesecake Factory Inc reported
quarterly profit that topped Wall Street's view, helped by share
buybacks and improved operating profit, but sales fell short of
analysts' expectations.	
    Stock in the company, which is known for its array of
cheesecakes and ample portions, settled down 0.2 percent to
$30.95 in extended trading after initially falling more than 5
percent.    	
          	
    KEY POINTS	
               Q1 2012       Estimate*     Q1 2011
 Revenue       $435.8 mln    $439.7 mln    $418.8 mln
 Net income    $20.7 mln                   $20.5 mln
 EPS           $0.37         $0.36         $0.34
                                           
    Overall sales at restaurants open at least 18 months rose
2.4 percent in the first quarter. Same-restaurant sales rose 2.6
percent at the Cheesecake Factory and 0.3 percent at Grand 	
Lux Cafe, its smaller chain. 	
    "We had the best guest traffic levels in more than a year
during the first quarter," David Overton, Cheesecake Factory's
chairman and chief executive, said in a statement. 	
    During the first quarter, Cheesecake Factory bought back
almost 1.4 million shares of its common stock at a cost of about
$40.9 million. 	
    	
    OUTLOOK	
    Executives at Cheesecake Factory forecast second-quarter
earnings of 47 to 49 cents per share.  	
    Analysts, on average, were targeting earnings of 49 cents 	
per share, according to Thomson Reuters I/B/E/S.  	
    The company forecast 2012 food inflation of 2 to 2.5
percent.	
    Cheesecake Factory raised prices last summer to help offset
higher commodity costs. 	
         	
Note: 	
* Average analyst estimate according to Thomson Reuters I/B/E/S.
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