LEBANON (AP) — Shares of Cracker Barrel Old Country Store Inc. dropped Wednesday, after the restaurant chain issued a disappointing profit outlook for its new fiscal year.
The Lebanon, Tennessee-based company said that for the year ending in July 2016, it expects to report net income of $7.15 to $7.30 per share. Revenue is expected to total between $2.9 billion and $2.95 billion.
Analysts polled by FactSet expected earnings of $7.42 per share.
Cracker Barrel reported fiscal fourth-quarter net income of $47.4 million, or $1.97 per share. Those results exceeded Wall Street expectations. The average estimate of three analysts surveyed by Zacks Investment Research was for earnings of $1.89 per share.
The restaurant operator posted revenue of $719.2 million in the period.
For the year, the company reported profit of $163.9 million, or $6.82 per share, on revenue of $2.84 billion.
The company also announced that Lawrence Hyatt, its chief financial officer, plans to retire at the end of the 2016 fiscal year. Hyatt, who turns 61 in October, has served as CFO since January 2011. He will help in the search for his successor and assist in the management transition.
In midday trading Wednesday, Cracker Barrel shares dropped $6.06, or 4 percent, to $145.01.
Cracker Barrel shares have risen slightly more than 7 percent since the beginning of the year. The stock has risen 46 percent in the last 12 months.