Cracker Barrel (NASDAQ: CBRL) reported Q2 EPS of $2.19, $0.05 better than the analyst estimate of $2.14. Revenue for the quarter came in at $772.7 million versus the consensus estimate of $781.4 million.

• Compared to the prior year second quarter, comparable store restaurant sales increased 0.6%, marking the Company's eleventh consecutive quarter of positive comparable store restaurant sales.
• Operating income as a percent of total revenue increased 150 basis points, over the prior year quarter, to 10.7%.
• Earnings per diluted share were $2.19, compared to GAAP earnings per diluted share of $2.01 in the prior year quarter, an increase of 9.0%. Adjusted for the impact of the prior year retroactive reinstatement of the Work Opportunity Tax Credit ("WOTC"), earnings per diluted share increased 15% from adjusted EPS of $1.91 in the prior year quarter. (See non-GAAP reconciliation below.)

Commenting on the second quarter, Cracker Barrel President and Chief Executive Officer Sandra B. Cochran said, "I am pleased to report another significant increase in earnings per diluted share. We delivered second quarter operating margin growth largely driven by continued commodity favorability and the success of our cost reduction initiatives. As we look to the second half of this fiscal year, our teams remain focused on executing at the store level, providing the great food, friendly service, welcoming atmosphere and retail shopping experience that differentiates our brand from our competitors."

GUIDANCE:

Cracker Barrel reaffirms FY2017 EPS of $8.10-$8.25, versus the consensus of $8.28. The Company now expects total revenue of approximately $2.95 billion, reflecting the expected opening of eight new Cracker Barrel stores and four new Holler & Dash Biscuit House restaurants. The Company now expects comparable store restaurant sales of between 0.5% and 1.0% and comparable store retail sales of approximately -2.0%, reflecting the Company's more cautious expectations for the second half of the fiscal year. The Company expects food commodity deflation of approximately 4.0% for the year. The Company projects an operating income margin in the range of 10.0% and 10.5% of total revenue for fiscal 2017. The Company expects depreciation expense between $85 million and $87 million; net interest expense of approximately $15 million; and capital expenditures of approximately $125 million. The Company anticipates an effective tax rate for fiscal 2017 of approximately 32%.

For earnings history and earnings-related data on Cracker Barrel (CBRL) click here.