Bob Evans Profit Tumbles 89%, Johnson Publishing Divests Ebony and Jet

Mukesh Buch
15 Jun, 2016
New York City

Bob Evans net plunged 89% and the restaurant operator forecasted financial outlook that fell short of expectations. Johnson Publishing plans to sell-off its Ebony and digital-only publication Jet. Turning Point Brands profit tumbled 35%.

[R]1:20 PM New York – Bob Evans net plunged 89% and the restaurant operator forecasted financial outlook that fell short of expectations. Johnson Publishing plans to sell-off its Ebony and digital-only publication Jet. Turning Point Brands profit tumbled 35%.[/R]

Tollbooth Index gained 19.72 or 0.2% to 10,564.86.

Earnings Review

Bob Evans Farms Inc ((BOBE)) plunged 8.9% or $3.96 to $40.78 after the full-service restaurant operator said net sales in the fourth-quarter ending on April 29 dropped 4% from a year ago to $226.5 million.

Same-store sales in the quarter declined 3%.

Net income in the quarter slumped 89.3% to $0.6 million or 3 cents per diluted share compared to $5.6 million or 31 cents per share from the same quarter last year.

The company forecasted net sales in the fiscal year 2017 between $1.28 billion and $1.33 billion and BEF Foods net sales in the range of $400 million to $420 million while diluted earnings per share in the range of $1.95 to $2.12.

Johnson Publishing Company, Inc, the privately held publishing company said it plans to sell-off its Texas-based Ebony and digital-only Jet to Clear View Group for an undisclosed amount.

However, Ebony editor-in-chief Kierna Mayo will be replaced by Kyra Kyles and founder of Johnson’s daughter Linda Johnson Rice will be act as chairman emeritus on the board of the new company.

Turning Point Brands Inc, the privately held smokeless tobacco products maker said net sales in the first-quarter ending in March dropped 2.3% from a year ago to $49.9 million.

Net income in the quarter tumbled 35.3% to $2.2 million or 27 cents per diluted share compared to $3.4 million or 41 cents per share from the same quarter last year.