JERICHO, N.Y., Feb. 4, 2015 /PRNewswire/ -- Nathan's Famous, Inc. (NASDAQ: NATH) today reported results for the third quarter of its 2015 fiscal year that ended December 28, 2014.

For the thirteen weeks ended December 28, 2014:

• Net income increased by 102.4% to $2,241,000, as compared to $1,107,000 for the thirteen weeks ended December 29, 2013;
• Earnings per diluted share increased by 104.2% to $0.49 per share, as compared to $0.24 per share for the thirteen weeks ended December 29, 2013;
• Earnings before income taxes increased by 110.2% to $3,803,000 as compared to $1,809,000 for the thirteen weeks ended December 29, 2013; and
• Revenues increased by 20.6% to $22,353,000, as compared to $18,533,000 during the thirteen weeks ended December 29, 2013.

For the thirty-nine weeks ended December 28, 2014:

• Net income increased by 43.0% to $10,166,000 as compared to $7,109,000 for the thirty-nine weeks ended December 29, 2013;
• Earnings per diluted share increased by 43.5% to $2.21 per share, as compared to $1.54 per share for the thirty-nine weeks ended December 29, 2013;
• Earnings before income taxes increased by 84.8% to $17,193,000 as compared to $9,306,000 for the thirty-nine weeks ended December 29, 2013 (excluding non-routine items in 2013 relating to an insurance gain of $2,801,000 offset by an impairment charge of $400,000); and
• Revenues increased by 25.8% to $78,974,000, as compared to $62,795,000 during the thirty-nine weeks ended December 29, 2013, (excluding the non-routine insurance gain of $2,801,000 in 2013).

The Company reported the following:

• Sales from the Branded Product Program, featuring the sale of Nathan's hot dogs to the foodservice industry, increased by 13.2% to $45,568,000 during the thirty-nine weeks ended December 28, 2014, as compared to sales of $40,256,000 during the thirty-nine weeks ended December 29, 2013.
• Sales from the Company-operated restaurants increased by 25.7% to $14,497,000 during the thirty-nine weeks ended December 28, 2014 as compared to $11,536,000 during the thirty-nine weeks ended December 29, 2013. The increase in sales was due to the following: (1) Our Yonkers restaurant, operated for thirty-nine weeks this year and was closed for renovations for thirty-three weeks last year; (2) Our Flagship Coney Island restaurant, which was severely damaged by Superstorm Sandy, operated for thirty-nine weeks during the current year as compared to operating for only thirty-one weeks last year; and (3) higher sales at both Coney Island locations during the comparative periods of operations.
• License royalties pursuant to all license agreements increased by 119.8% to $13,652,000 during the thirty-nine weeks ended December 28, 2014, as compared to $6,211,000 during the thirty-nine weeks ended December 29, 2013.
• Revenues from franchise operations increased by 4.5% to $4,473,000 during the thirty-nine weeks ended December 28, 2014, as compared to $4,279,000 during the thirty-nine weeks ended December 29, 2013. Twenty-eight new franchised units were opened during the thirty-nine weeks ended December 28, 2014, including fourteen Branded Menu Program outlets and ten international locations, including our first locations in Costa Rica and Malaysia.
• During the thirty-nine weeks ended December 29, 2013, Nathan's realized a gain of $2,801,000 in connection with the settlement of its flood damage and contents loss insurance claims relating to Superstorm Sandy and recognized an impairment charge of $400,000 in connection with a long-term investment.

About Nathan's Famous

Nathan's is a Russell 2000 Company that currently distributes its products in 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, the Cayman Islands and ten foreign countries through its restaurant system, foodservice sales programs and product licensing activities. Last year, over 480 million Nathan's Famous hot dogs were sold. Nathan's was ranked #22 on the Forbes 2014 list of the Best Small Companies in America and was listed as the Best Small Company in New York State in October 2013. For additional information about Nathan's please visit our website at www.nathansfamous.com.

Except for historical information contained in this news release, the matters discussed are forward looking statements that involve risks and uncertainties.  Words such as "anticipate", "believe", "estimate", "expect", "intend", and similar expressions identify forward-looking statements, which are based on the current belief of the Company's management, as well as assumptions made by and information currently available to the Company's management.  Among the factors that could cause actual results to differ materially include but are not limited to: economic, weather (including the three-year drought in the Midwest, along with freezing temperatures during the winter causing a reduced supply of cattle), and continued increases in the price of beef trimmings; our ability to pass on the cost of any price increases in beef and beef trimmings; legislative and business conditions; the collectability of receivables; changes in consumer tastes; the status of our licensing and supply agreements, including the impact of our supply agreement for hot dogs with John Morrell & Co. and any issues arising from or related to the transition from SMG Inc. to John Morrell & Co. as our primary hot dog supplier; the ability to continue to attract franchisees; no material increases in the minimum wage or other changes in labor laws or the impact of a new union contract; our ability to attract competent restaurant and managerial personnel; the enforceability of international franchising agreements; the impact of changes in the economic relationship between the United States and Russia; and the future effects of any food borne illness; such as bovine spongiform encephalopathy, BSE; and the risk factors reported from time to time in the Company's SEC reports. The Company does not undertake any obligation to update such forward-looking statements.

COMPANY CONTACT:
Ronald G. DeVos, Vice President - Finance and CFO
(516) 338-8500 ext. 229

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SOURCE Nathan's Famous, Inc.