Yesterday, Hansen (HANS) reported its 2Q 2008 results (see conference call transcript).

• Gross sales up 15.5% to $324.1 million from $280.6 million in 2Q 2007
• Net sales up 15.3% to $282.2 million from $244.8 million in 2Q 2007
• Monster and Java Monster sales up 22.3% from 2Q 2007
• Case sales up to 28.72 million from 26.95 million in 2Q 2007
• International sales up to $19.5 million ($1.9 million in the U.K.) from $13.4 million in 2Q 2007
• Gross profit margin 51.8% from 52.4% in 2Q 2007
• Cost of sales $136.03 million from $116.51 million in 2Q 2007
• Operating income margin 27.7% from 25.1% in 2Q 2007
• Net income up 31.1% to $50.2 million ($0.51 per share) from $38.3 million ($0.39 per share) in 2Q 2007
• Profit margin 17.8% from 15.7% in 2Q 2007
• Company purchased 1.7 million shares in quarter at average price of $29.46 per share (total share count numbers not provided in press release)
• Cash and short-term investments $205.02 million

Analysts were on average expecting an EPS of $0.52 with sales of $314.08 million. Hansen narrowly missed estimates, but this was far from a disappointing quarter.

Yesterday, Buffalo Wild Wings reported its 2Q 2008 results.

• Sales up 28.8% to $97.87 million from $76 million in 2Q 2007
• Company-owned restaurants sales up 29.5% to $87.5 million
• Franchise royalties and fees up 22.9% to $10.41 million from $8.46 million in 2Q 2007
• Company-owned SSS up 8.3%, franchise-operated SSS up 4.5%
• Cost of sales $89.73 million from $70.97 million in 2Q 2007
• Net income up 46% to $5.6 million ($0.31 per share) from $3.8 million ($0.22 per share) in 2Q 2007
• Profit margin 5.74% from 5.02% in 2Q 2007
• Diluted share count 17,906,000
•  $73.97 million in cash
• No debt
• Cash flow from operating activities $14.63 million from $6.34 million in 2Q 2007
• Cash flow from investing activities -$21.62 million from -$14.38 million in 2Q 2007
• Cash flow from financing activities $0.48 million from $0.55 million in 2Q 2007
•  Average company-owned restaurant weekly sales up 10.7% to $40,572 from $36,655 in 2Q 2007; average franchise-operated restaurant weekly sales up 5.4% to $46,390 from $43,998 in 2Q 2007
• 10 new restaurants in quarter (4 company-owned, 6 franchise-operated)
• 515 restaurants in operation (169 company-owned, 346 franchise-operated)

Analysts were on average expecting an EPS of $0.27 on sales of $94.62 million. Buffalo Wild Wings managed to beat even the highest analyst estimates ($0.30 EPS, $95.67 million in sales). I must admit that this is the last thing I expected from the company this quarter. The doom and gloom surrounding restaurants added in with the shaky economic environment will do its part to weigh down on an investor's confidence in a business. But B-Dubs managed to whip up a fantastic quarter. And I mean fantastic. In terms of same-store sales, this was the company's strongest 2Q since 2004. Let me again say that given the environment today this is all the more impressive.

Yesterday, Chipotle (CMG) reported its 2Q 2008 results. (Click here for the conference call transcript.)

Highlights

Yesterday Hansen was smacked down to $25, so I thought I'd take a look into it and see if there is good reason for the drop. The stock is at a new 52 week low and it actually hasn't been at these levels since 2006. I already own a bundle of Hansen stock, but an opportunity is an opportunity and I'm willing to increase my position if one is presented.

First, let's do a quick summary of the company's 1Q 2008 results. Net sales increased 27.9% to $212.2 million, net income increased 42.6% to $28.8 million ($0.29 per share) from $20.2 million ($0.21 per share) in 1Q 2007. The Monster brand remains strong and the new drinks in the Monster and Java Monster lines are proceeding as planned. Plans to expand the Monster line into the U.K. are going along as expected.$159.11 million in cash with no debt. One thing that isn't pleasing to see is that cash flow decreased to $25.93 million from $48.03 million in 1Q 2007. In the 10-Q, the decrease is explained a bit more:

On May 7, Hansen Natural (HANS) reported its 1Q 2008 results (see conference call transcript):

• Gross sales up 28.4% to $244 million from $190.1 million in 1Q 2007
• Net sales up 27.9% to $212.2 million from $165.9 million in 1Q 2007
• Cost of sales $107.46 million from $80.22 million in 1Q 2007
• Gross profit margin 49.4% from 51.6% in 1Q 2007
• Operating income up 34.2% to $42.8 million from $31.9 million in 1Q 2007
• Net income up 42.6% to $28.8 million ($0.29 per share) from $20.2 million ($0.21 per share) in 1Q 2007
• Profit margin 13.58% from 12.18% in 1Q 2007
• Diluted share count 99,007,000
• Cash and short-term investments $159.11 million

On April 29, Buffalo Wild Wings (BWLD) reported its 1Q 2008 results.

1Q 2008 Highlights

On Tuesday, Denny's (DENN) reported its 1Q 2008 results (see conference call transcript).

• Revenue down to $196 million from $236.8 million in 1Q 2007
• Franchise revenue up 26% to $26.4 million from $20.95 million in 1Q 2007
• Cost of sales $175.81 million from $224.08 million in 1Q 2007
• SSS increased 0.7% an company-owned units and decreased 0.9% at franchise-operated units
• Company restaurant operating margin down to 10.7% from 11.3% 1Q 2007
• Net income up to $4.98 million ($0.05 per share) from $1.16 million ($0.01 per share) in 1Q 2007
• Profit margin 2.54% from 0.49% in 1Q 2007
• Diluted share count 98,388,000
• $18.56 million in cash
• Total debt $353.9 million
• Opened nine franchise-operated restaurants and one company-owned restaurant
• Closed one company-owned restaurant and five franchise-operated restaurants
• Sold 21 company restaurants to franchisees
• Guess check average up 5.7%, guess count down 4.7%
• Operating total of 1,550 restaurants (1,177 franchise-operated, 373 company-owned)

On Wednesday, Chipotle Mexican Grill (CMG) reported its 1Q 2008 results:

1Q 2008 Highlights

Today HanesBrands (HBI) reported its 1Q 2008 results.

• Sales down 5% to $987.8 million from $1.04 billion in 1Q 2007
• International sales up 15% to $104.64 million from $90.78 million in 1Q 2007
• Cost of sales $642.88 million from $700.22 million in 1Q 2007
• Gross profit margin 34.9% from 32.7% in 1Q 2007
• Net income up 200.1% to $36.02 million ($0.38 per share) from $12 million ($0.12 per share) in 1Q 2007
• Profit margin 3.65% from 1.14% in 1Q 2007
• Diluted share count 95,610,000
• Company repurchased $8.3 million worth of shares (334,980 shares) in 1Q 2008
• Cash $120.79 million

Press Release

On 2/28/08, Hansen Natural Corp. (HANS) reported its 4Q and fiscal 2007 results.

4Q 2007 Highlights

Tuesday, LoopNet (LOOP) reported its 4Q 2007 results.

4Q 2007 Highlights

** Sales up 41% to $19.6 million from $13.8 million in 4Q 2006
** Cost of sales $2.31 million from $1.58 million in 4Q 2006
** EBITDA up 40% to $9.4 million from $6.7 million in 4Q 2006
** Effective tax rate 38.1% from 25.8% in 4Q 2006

A good portion of you know that this past February, Hansen Natural (HANS) signed two distribution deals - one with Anheuser-Busch (BUD) in the U.S. and the other with PepsiCo (PEP) Canada. This means that Hansen will get much better shelfing "treatment" here in the U.S. and this is the first time Hansen will enter Canada. International expansion is just getting started and it's with one of the strongest beverage/snack businesses in the world. They're in pretty good hands!

Below are three stock picks for 2008:

1. Buffalo Wild Wings (BWLD)

Yesterday, Hansen Natural (HANS) reported 3Q 2007 results (note: this article was written before the company's conference call).

• Gross sales up 35.8% to $277.8 million from $204.6 million in 3Q 2006
• Net sales up 38.4% to $247.2 million from $178.6 million in 3Q 2006
• Cost of sales up to $118.83 million from $86.46 million in 3Q 2006
• Gross margin 51.9% from 51.6% in 3Q 2006
• Net income up 73.1% to $45.8 million ($0.46 per share) from $26.5 million ($0.27 per share) in 3Q 2006
• Profit margin 18.53% from 14.81% in 3Q 2006
• Diluted share count 98,895,000
• Cash and short-term investments $255.45 million
• No long-term debt

Normally I don't research a company's coming quarter this soon after they report results, but in this case with Chipotle Mexican Grill (CMG), I think it's worth doing. I say this because worries about the valuation and whether or not they can continue to beat estimates at this rate have been rising lately. These are legitimate concerns, but I personally believe there is still plenty of juice left in Chipotle and that they'll be able to beat estimates in the coming quarters (unless analysts start to smarten up and understand the business - which I don't see happening anytime real soon). So, let's take a look into the coming 4Q 2007.

For the coming 4Q 2007, analysts are on average expecting an EPS of $0.49 with sales of $286.42 million. Basically, analysts are expecting the EPS to grow 49.5%. This on its own is a pretty good slow-down from the past couple quarters of 70%+ earnings growth. The high EPS estimate is $0.58 with the low at $0.45. Here's how Chipotle's past four quarters have stacked up against analyst EPS estimates.

Yesterday, Denny's Corporation (DENN) reported 3Q 2007 results:

3Q 2007 Highlights

• Revenue down to $241.4 million from $258.2 million in 3Q 2006
• Franchise revenue up to $24.62 million from $23.49 million in 3Q 2006
• Cost of sales $225.1 million from $202.6 million in 3Q 2006
• SSS up 1.3% at company-owned restaurants; SSS up 3.2% at franchise-operated restaurants
• Guest check average up 6%
• Guest count down 4.5%
• Company restaurant operating margin 11.9% from 13% in 3Q 2006
• Net income down to $5.3 million ($0.05 per share) from $25.5 million ($0.26 per share) in 3Q 2006
• Profit margin 2.2% from 9.88% in 3Q 2006
• Diluted share count 98,605,000
• $29.08 million in cash
• Debt down $26.6 million to $408.09 million
• Interest expense down 30% to $10.5 million mainly due to less debt balances and improved borrowing costs
• YTD debt has been reduced by $45.2 million (approximately 10%)
• Opened 2 new company restaurants and 2 franchise restaurants
• 22 company restaurants sold to eight franchisees for $8.7 million (56 sold year-to-date)
• 22 franchise restaurant commitments signed in quarter - 71 commitments signed year-to-date
• Operating total of 1,539 restaurants (468 company-owned; 1,071 franchise-operated)

Fiscal 2007 Outlook

Yesterday, Chipotle Mexican Grill (CMG) reported 3Q 2007 results (see conference call transcript).

3Q 2007 Highlights

Tractor Supply (TSCO) reported its 3Q 2007 results on 10/24/07 (see conference call transcript). Here are some highlights and a few of my thoughts.

3Q 2007 Highlights

Yesterday, LoopNet (LOOP) reported 3Q 2007 results.

3Q 2007 Highlights

• Revenue up 47% to $18.6 million from $12.7 million in 3Q 2006

Yesterday, Panera Bread reported 3Q 2007 results.

3Q 2007 Highlights

• Revenue up 33% to $273.21 million from $204.95 million in 3Q 2006
• Cost of sales $257.1 million from $188.71 million in 3Q 2006
• SSS up 2.6% (3.4% for company-owned; 2.1% for franchise-operated)
• Average weekly sales down 0.1% to $38,051 ($37,136 for company-owned; $38,711 for franchise-operated)
• Net income up 10% to $11.94 million ($0.37 per share) from $10.88 million ($0.34 per share) in 3Q 2006
• Profit margin 4.4% from 5.3% in 3Q 2006
• Diluted share count 32,163,000
• Opened 35 new bakery-cafes (19 company-owned; 16 franchise operated)
• Closed 2 bakery-cafes
• 1,168 total bakery-cafes in operation (493 company-owned; 675 franchise-operated)

4Q 2007 Outlook