UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-Q
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Quarter
Ended June 25, 1996
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934 For the transition
period from ____________ to ____________
Commission File Number 0-13007
NPC INTERNATIONAL, INC.
(Exact name of registrant as specified in its
charter)
Kansas 48-0817298
(State of Incorporation) (IRS Employer
Identification
Number)
720 W. 20th Street, Pittsburg, KS 66762
(Address of principal executive offices)
Registrant's telephone number, including area code (316) 231
3390
Indicate by check mark whether the registrant (1) has filed
all reports required to be filed by Section 13 or 15(d)
of the Securities Exchange Act of 1934 during the preceding
12 months (or for such shorter period that the registrant
was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days.
Yes [X] No [ ]
The number of shares outstanding of the registrant's class
of common stock as of July 29, 1996:
Common Stock, $0.01 par value - 24,677,218
NPC INTERNATIONAL, INC.
INDEX
PAGE PART I. FINANCIAL INFORMATION
Consolidated Balance Sheets --
March 26, 1996 and June 25, 1996 3
Consolidated Statements of Income --
For the Thirteen Weeks Ended
June 25, 1996 and June 27, 1995 4
Consolidated Statements of Cash Flows --
For the Thirteen Weeks Ended
June 25, 1996 and June 27, 1995 5
Notes to Consolidated Financial Statements 6
Management's Discussion and Analysis of
Financial Condition and Results of Operations 7
PART II. OTHER INFORMATION 13
PART I - FINANCIAL INFORMATION
<TABLE>
NPC International, Inc. Consolidated Balance Sheets
(Unaudited, dollars in thousands, except share date)
Thirteen Weeks Ended
June 25, 1996 March 26, 1996
<S> <C> <C>
ASSETS
Current Assets:
Cash and cash equivalents $ 1,507 $1,584
Accounts receivable, net 970 10,104
Notes receivable, net 885 831
Inventories of food and 3,640 3,730
supplies
Income tax receivable 124 285
Deferred income tax asset 9,113 12,186
Prepaid expenses and other 1,916 2,367
current assets
Total current assets $18,155 $31,087
Facilities and equipment, net 99,202 93,541
Assets held for sale 5,856 5,904
Franchise rights, net 43,097 43,512
Goodwill 18,877 19,092
Other assets 4,522 4,693
TOTAL ASSETS $189,709 $197,829
LIABILITIES AND STOCKHOLDER'S
EQUITY
Current liabilities:
Accounts payable $ 10,038 $10,410
Payroll taxes 1,263 1,647
Accrued interest 863 2,159
Accrued payroll 5,223 4,385
Current portion of closure 3,424 3,500
reserve
Insurance reserves 4,580 4,151
Other accrued liabilities 7,019 6,617
Current portion of long-term 503 535
debt
Total current liabilities 32,913 33,404
Long-term debt 59,618 72,793
Deferred income tax liability 3,373 3,981
Closure reserve 3,281 4,000
Other deferred items 212 168
Health and workers compensation 6,466 6,163
reserves
Stockholders' Equity:
Common stock, $.01 par value
100,000,000 shares authorized, 276 276
27,592,510 issued
Paid-in capital 20,870 21,829
Retained earnings 82,538 77,016
103,684 99,121
Less treasury stock at cost,
representing
2,922,787 and 3,070,078 (19,838) (21,801)
shares, respectively
Total stockholders' equity 83,846 77,320
TOTAL LIABILITIES AND EQUITY $189,709 $197,829
See notes to Consolidated Financial Statements
</TABLE>
<TABLE>
NPC International, Inc.
Consolidated Statement Of Income
(Unaudited, dollars in thousands, except share data)
Thirteen Weeks Ended
June 25, 1996 June 27, 1995
<S> <C> <C>
Net Sales $70,847 $82,105
Net franchise revenue 1,570 1,362
Total revenue 72,417 83,467
Cost of sales 19,450 24,471
Direct labor 19,493 22,950
Other 18,042 21,389
Total operating 56,985 68,810
expenses
Income from restaurant 15,432 14,657
operations
General & 5,060 6,048
administrative expenses
Operating income 10,372 8,609
Other income (expense)
Interest expense (1,260) (1,704)
Other (63) (83)
Income before income 9,049 6,822
taxes
Provision for income 3,527 2,697
taxes
Net income $ 5,522 $ 4,125
Earning per share $ .22 $ .17
Weighted average shares- 25,020,300 24,526,850
outstanding
See notes to Consolidated Financial Statements
</TABLE>
<TABLE>
NPC International, Inc.
Consolidated Statement Of Cash Flows
(Unaudited, dollars in thousands)
Thirteen Weeks Ended
June 25, 1996 June 27, 1995
Cash Flows Provided By Operating
Activities:
<S> <C> <C>
Net income $5,522 $4,125
Non-cash items included in net
income
Depreciation and amortization 3,875 4,881
Deferred income taxes and other 2,465 (458)
Change in assets and liabilities,
net of acquisitions:
Accounts receivable, net 1,534 64
Notes receivable, net (54) 41
Inventories of food and 90 164
supplies
Income tax receivable 161 --
Prepaid expenses and other 451 699
current assets
Accounts payable (372) (1,145)
Payroll taxes (384) 60
Accrued interest (1,296) (375)
Accrued payroll 838 1,818
Health and workers compensation 732 (146)
insurance reserves
Other accrued liabilities 446 2,892
Net cash flows provided by 14,008 12,620
operating activities
Cash Flows Used By Investing
Activities:
Capital expenditures (9,513) (3,538)
Acquisition of business assets, -- (13,400)
net of cash
Changes in other assets, net 31 (313)
Proceeds from sale of capital 7,600 1,192
assets
Net cash flows used by (1,882) (16,059)
investing activities
Cash Flows Used By Financing
Activities:
Net change in revolving credit (3,975) (7,000)
agreements
Proceeds from issuance of long- -- 10,000
term debt
Payment of long-term debt (9,232) (5,309)
Exercise of stock options 1,004 3
Net cash flows used by (12,203) (2,306)
financing activities
Net Change In Cash And Cash (77) (5,745)
Equivalents
Cash And Cash Equivalents At 1,584 9,971
Beginning Of Period
Cash And Cash Equivalents At End $1,507 $4,226
Of Period
See notes to Consolidated Financial Statements
</TABLE>
NPC International, Inc.
Notes to Condensed Consolidated Financial Statements
(Unaudited)
Note 1- Basis Of Presentation
The financial statements include the accounts of NPC
International, Inc. and its wholly owned subsidiaries (the
Company). All significant intercompany balances
and transactions are eliminated.
The accompanying unaudited financial statements have been
prepared in accordance with generally accepted accounting
principles
for interim financial information and with the instructions to
Form 10-Q and Article 10 of Regulation S-X promulgated by
the Securities and Exchange Commission.
Accordingly, they do not include all of the information and
footnotes required by generally accepted accounting principles or
annual financial statement reporting purposes. These statements
should be read in conjunction with the financial statements and notes
contained in the Company's annual report on Form 10-K for the fiscal year
ended March 26, 1996.
In the opinion of management, the accompanying unaudited
condensed consolidated financial statements contain all normal recurring
adjustments necessary to present fairly the financial position of the
Company as of June 25, 1996 and March 26, 1996, the results of
operations and cash flows for the thirteen weeks ended June 25, 1996 and
June 27, 1995. Results for the interim periods are not necessarily
indicative of the results that may be expected for the entire fiscal
year.
Certain reclassifications have been made to the prior year
statements to conform with the current year presentation.
Note 2 - Cash Flows
There were cash payments for income taxes of $749,000 and $292,000
in the thirteen weeks ended June 25, 1996 and June 27, 1995
respectively. Cash paid for interest for the thirteen weeks ended
June 25, 1996 and June 27, 1995 was $2,500,000 and $2,100,000,
respectively.
Note 3 - Recapitalization
On August 8, 1995, the stockholders of NPC International, Inc. approved
and adopted two amendments to the Company's Amended and Restated Articles
of Incorporation to allow for the payment of a dividend to the holders
of the Class A common stock and to subsequently reclassify and
convert the outstanding shares of Class A common stock and Class B
common stock into a single class of new common stock. To
compensate the Class A stockholders for the relinquishment of their
voting rights, a special dividend of $0.421875 per Class A share
was also approved for stockholders of record as of August 8, 1995, and
was paid August 30, 1995. For additional information, please refer
to the Company's proxy statement for the 1995 Annual Meeting.
NPC International, Inc.
Management's Discussion and Analysis
of Financial Condition and Results of Operations
The discussions set forth in this Form 10-Q may contain forwardlooking
comments. Actual results of the company's operations could materially
differ from those indicated in the forwardlooking comments. The
difference could be caused by a number of factors, including, but not
limited to, changes in consumer demand, market acceptance of new
products, changes in the general economy (including changes in
interest
rates), increased competition from existing restaurants and/or
from the
development of new concepts, fluctuations in the prices of the
commodities and other food products used by the Company, labor shortages,
fluctuations in labor costs and other factors detailed in the
Company's public filings. Readers are strongly encouraged to consider
these factors when evaluating any forwardlooking comments concerning the
Company.
The information contained in this Management's Discussion and Analysis
of Financial Condition and Results of Operations should be read in
conjunction with the Notes to Consolidated Financial Statement included in
this Form 10Q and the audited financial statements and notes
thereto together
with Management's Discussion and Analysis of Financial Condition and
Results of Operations incorporated by reference in the Company's
Annual Report on Form 10-K for the year ended March 26, 1996.
MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS
Overview - The Company is the largest Pizza Hut franchisee in the
world. In addition to Pizza Hut, the company is the owner/franchisor
of the Tony Roma's concept. Romacorp, Inc. the owner of Tony Roma's was
acquired in June 1993.
Products - Pizza Hut's main product is high quality, innovative and
moderately priced pizza. Additionally, the menu contains pasta,
sandwiches, salad bar and a luncheon buffet.
Tony Roma's is a casual theme restaurant that is "Famous for Ribs".
The restaurant's signature products are baby back ribs with a mild tangy
sauce and deep fried onion loafs. The menu also includes spare ribs
with three sauce varieties, chicken, seafood, soups, salads,
appetizers, a children's menu and dessert.
Each of the Company's concepts serve beer and/or other alcoholic beverages.
These products are not a significant portion of the sales mix at Pizza
Hut, and they comprise approximately 11% of the sale for Tony Roma's.
Service - Pizza Hut provides a buffet with table service for beverages
during lunch and full table service for dinner, with delivery and carry
out available throughout the day. Tony Roma's offers a fully staffed
dining experience throughout the day and evening.
Period of Operation - The Company operates on a 52 or 53 week fiscal
year ending the last Tuesday in March.
Development
Activity with respect to unit count during the quarter is set forth in
the table below:
<TABLE>
SYSTEM UNIT ACTIVITY
Beginning Developed Acquired Closed Sold Ending
Company Owned
Pizza Hut
<S> <C> <C> <C> <C> <C> <C>
Restaurant 280 2 -- -- -- 282
Delivery 92 -- -- -- -- 92
Total 372 2 -- -- -- 374
Tony Roma's(1) 33 1 -- 3 -- 31
Total Company
Owned 405 3 -- -- -- 405
Franchised
Tony Roma's (1) 142 5 -- 8 -- 139
Total System 547 8 -- 11 -- 544
(1)does not include two units operated as joint ventures by the Company
</TABLE>
During the period, Tony Roma's opened one store in Miami,
Florida. Two additional stores have been opened subsequent to
the period end. The restaurant closure strategy, implemented during
the fourth quarter of fiscal 1996 continued, and three Company owned
units were closed during the period, leaving two more units to be
closed next quarter. This strategy is producing anticipated
results
as the new units are generating higher volume and better economic
performance measures than the stores that have been closed.
Additionally, five new units have opened during this quarter in the
international Tony Roma's system while eight have closed. This change
has improved the quality of the franchise system as historically poor
performing franchisees are eliminated from operation.
Pizza Hut made progress toward their development goal of fifteen units
for the year, by adding two new restaurants during the period.
Results of Operations - Set forth below is a table of revenues, and
operating expenses as a percent of revenues for the thirteen weeks ended
June 25, 1996 and June 27, 1995 (dollars in thousands) at the
beginning of the section discussing the results of operations for
each concept operated by the Company. Cost of sales includes the cost
of food and beverage products sold. Direct labor
represents the salary and
related fringe benefit costs associated with restaurant based personnel.
Other operating expenses include rent, depreciation, advertising,
utilities, supplies and insurance among other costs directly
associated with operating a restaurant facility.
<TABLE>
PIZZA HUT OPERATIONS
(Unaudited)
Thirteen Weeks Ended
June 25,1996 June 27, 1995
Revenue
<S> <C> <C>
Restaurant Sales $41,664 $45,323
Delivery Sales 12,926 13,950
Franchise Revenue -- 3
Total Revenue $54,590 $59,276
Restaurant Operating
Expenses
as a Percentage of
Revenue:
Total Expenses
Cost of Sales 25.5% 26.5%
Direct Labor 26.8% 26.8%
Other 25.4% 25.0%
Total Operating
Expenses 77.7% 78.3%
Restaurant Income 22.3% 21.7%
Restaurant Expenses
Cost of Sales 25.7% 26.7%
Direct Labor 25.5% 25.5%
Other 25.7% 25.3%
Total Operating
Expenses 76.9% 77.5%
Restaurant Income 23.1% 22.5%
Delivery Expenses
Cost of Sales 25.0% 25.8%
Direct Labor 30.7% 30.8%
Other 24.5% 24.4%
Total Operating
Expenses 80.2% 81.0%
Restaurant Income 19.8% 19.0%
</TABLE>
Comparison of Pizza Hut Operating Results for the Thirteen Weeks Ended
June 25, 1996 with the Thirteen Weeks Ended June 27, 1995
Net revenue from Pizza Hut operations for the thirteen weeks ended
June 25, 1996, waswas $54.6 million, down $4.7 million or 7.9% from the
same period last year. Stuffed Crust pizza, introduced in April 1995,
totaled $6.6 million or approximately 12.5% of the sales mix for the
quarter just ended This decrease is due to a comparable sales decrease
of 9.7% for the quarter, which was caused by the success of
stuffed crust pizza introduced during the same quarter last year. For
the quarter ended June 27, 1995, stuffed crust sales produced a
comparable sales increase of 10.7%. The decrease in Stuffed Crust sales is
typical of sales fluctuations associated with new product
introductions and is not indicative of declining demand for the Company's
standard product line of quality pizza products.
When Stuffed Crust pizza was introduced last year, it was offered
at a discounted promotional price point, and contained a higher
than average
amount of cheese. Therefore, as sales of this product decreased, cost
of sales as a percent of revenue for the thirteen weeks ended
June 25, 1996 decreased significantly to 25.5% of revenues from 26.5%
of revenues for the same period last year, despite an 18% increase
over last year's price levels in the cost of cheese.
Direct labor remained flat at 26.8% of revenue despite decreased
sales. This result was achieved with lower sales volume because of the
introduction of the more labor intensive stuffed crust product in the
same quarter last year.
Overall operating expenses increased as a percentage of sales to 25.4% of
revenues for the quarter ended June 25, 1996 from 25.0% of revenues for
the quarter ended June 27, 1995, due to decreased sales volume in
relation to expenses that are largely of a fixed nature. As reported in
previous filings, the royalty paid by the Company's Pizza Hut division
will increase from an effective rate of 2.25% to 4% in July, 1996.
<TABLE>
TONY ROMA'S OPERATION
(Unaudited)
Thirteen Weeks Ended
June 25, 1996 June 27, 1995
<S> <C> <C>
Revenue
Restaurant Sales $16,257 $11,394
Franchise Revenue 1,570 1,310
Total Revenue $17,827 $12,704
Restaurant Operating
Expenses as a Percentage
of Revenue
Cost of Sales 30.9% 31.6%
Direct Labor 27.4% 27.7%
Other 23.3% 24.8%
Total Operating 81.6% 84.1%
Expenses
Restaurant Income 18.4% 15.9%
</TABLE>
Comparison of Tony Roma's Operating Results for the Thirteen Weeks
Ended June 25, 1996 with the Thirteen Weeks Ended June 27, 1995
Sales for the quarter increased $4.9 million or 42.7% over the same
period of last year due to restaurant construction and acquisition,
combined with a 3.5% comparable sales increase.
Ten new units have been opened since the first quarter of fiscal 1995.
The closure of four units, three during the quarter, and one at year
end, caused a $700,000 decrease in quarterly sales volume from the
prior year which was offset by new restaurant development.
Net franchise revenue was up $260,000 or 19.9% for the thirteen weeks,
largely due to the sale of international franchise territory
rights, and increased quality of the franchise system., as a
result of the continued focus on the development of company owed units
Cost of sales as a percent of revenue decreased to 30.9% from 31.6%
due to the price increase in November 1995. This increase occurred in
spite of a 5% overall price increase which was offset by higher
food cost and usage inefficiencies. Direct labor was 27.4% of
total revenue during the quarter which was
slightly lower than the 27.7% recorded during the same quarter of the
prior year. This decrease is due to the replacement of lower volume
units with more productive, higher volume restaurants and the
November 1995 price increase.
Operating expenses as a percent of revenue continue to improve to
23.3% of revenue for the most recent quarter compared with 24.8%
recorded during the same quarter of the prior year. Many of the costs
in this category are of a fixed nature and do not change to the same
degree as sales volume and other variable costs.
Consolidated Results
Comparison of Consolidated Operating Results for the Thirteen Weeks
Ended June 25, 1996 with the Thirteen Weeks Ended June 27, 1995
As reported in the Company's Annual Report on Form 10-K for the year
ended March 26, 1996, Skipper's, Inc., a formally wholly owned
subsidiary, was sold effective March 25, 1996. During the first quarter
of the prior year, Skipper's, Inc. recorded revenues of $11.5
million, total operating expenses of $11.7 million, and a loss from
restaurant operations of $218,000. The sale of Skipper's, Inc. closed on
May 14, 1996 and therefore, no results of Skipper's operations are
reflected in the Company's financial statements for the thirteen weeks
ended June 25, 1996.
Total consolidated revenue was $72.4 million, down 13.2% or $11 million
from the $83.4 recorded during the same quarter last year, largely
due to the loss of revenue from the sale of Skipper's Inc. in the
fourth quarter of fiscal 1996.
Consolidated income from restaurant operations was $15.4 million for the
quarter ended June 25, 1996 compared to $14.6 million for the same
period last year. The increase of $775,000 or 5.3%
is due to the improved margins at Pizza Hut and Tony Roma's and the
absence of losses from the Skipper's concept.
General and administrative expenses decreased by 16.3%, of which 15.2%
was due to costs that were eliminated with the sale of Skipper's.
The sales proceeds from the divestiture of Skipper's and debt
reductions from the previous three quarters resulted in a decrease
of $444,000 in net interest charges. Net income for the period was
$5,522,000 or 7.6% of revenue compared to $4,125,000 or 4.9% of
revenue for the same period last year. The effective tax rate for
the quarter was 39% compared to 39.55% for the same period last year.
Because of improved efficiencies and reduced losses at
Skipper's, net income after taxes improved 31.65% overall.
Liquidity, Capital Resources and Cash Flows
The Company's primary source of cash is its operations. Cash flows
from operating activities increased $1.4 million or 11% and were $14
million for the thirteen weeks ended June 25, 1996, compared to $12.6
million for the quarter ended June 27, 1995. The increase was primarily
a result of increased earnings.
In addition to cash provided by operations, the Company has a $50
million unsecured line of credit through August 10, 1997. At June 25,
1996, the Company had $43 million available borrowing capacity
under this agreement. Predominately cash sales and rapid inventory
turnover allow the Company to use all available cash to reduce
borrowings under its line of credit. The low requirement for the
maintenance of current assets, combined with credit from trade
suppliers produces a working
capital deficit, which is consistent with past experience.
The Company also has $30 million in available borrowing capacity under a
"shelf" facility with a major insurance company. The
Company may borrow under this agreement, at the lender's
discretion, through June 27, 1997.
During the quarter ended June 25, 1996, the Company made all
scheduled principal and interest payments and reduced borrowings under
the line of credit.
Restaurant development at Tony Roma's, in addition to normal
recurring capital expenditures, resulted in $9.5 million of total
capital expenditures for the quarter ended June 25, 1996 compared to
$3.5 million of capital expenditures for the same period a year ago.
Investing activities for the current quarter also included the receipt
of $7,600,000 from the sale of Skipper's, Inc.
The Company anticipates cash flow from operations and additional
borrowings will be sufficient to fund continuing expansion and
improvements, to service debt obligations and to make additional
acquisitions of restaurants and concepts.
Seasonality
As a result of the diversification of its restaurant concepts, the
Company has not experienced significant seasonality in its sales. Tony
Roma's sales are traditionally higher from January to March due to an
increase in the vacation and part time residence activity in the
desert and beach areas where a significant number of the
Company's units are located. Correspondingly these areas see a
decrease in traffic during the warmer months of July through September.
Due to the sale of Skipper's and the increase in sales at Tony Roma's,
the company may experience future sales fluctuations due to seasonality.
However, as the most significant costs of operations are variable,
management does not expect these possible effects to have a
significant impact on profitability.
Effects of Inflation
Inflationary factors such as increases in food and labor costs directly
affect the Company's operations. Because most of the Company's
employees are paid hourly rates related to federal and state minimum
wage and tip credit laws, changes in these laws will result in
increases in the Company's labor costs.
The
Company cannot always effect immediate price increases to offset higher
costs and no assurance can be given that the company will be able to do
so in the future.
Cheese represents approximately 40% of the cost of a pizza. The price
of this commodity changes throughout the year due to changes in
demand and supply resulting from school lunch programs, weather and
other factors. Baby back ribs represent approximately 28% of the menu
mix at Tony Roma's. Because ribs are a by-product of pork processing,
their price is influenced largely by the demand for boneless pork.
Significant changes in the prices of these commodities would have an
impact on the company's food cost as a percent of revenue
Increases in interest rates would directly affect the Company's
financial results. Under the line of credit agreement, the company
may select among alternative interest rate options with terms up to
six months in length to reduce its exposure to
fluctuating interest rates.
Other Matters
Safe Harbor -- The statements under "Management's Discussion and Analysis
of Financial Condition and Results of Operations" and other statements
which are not historical facts contained herein are forward
looking statements that involve risks and
uncertainties, including but not limited to, consumer demand and market
acceptance risk, the effect of economic conditions, including
interest rate fluctuation, the impact of competing restaurants and
concepts, the cost of commodities and other food products, labor
shortages and costs and other risks detailed in the Company's Securities
and Exchange Commission filings.
Revisions in the current minimum wage laws have been passed by both the
U.S. House of Representatives and the U.S. Senate. The bill has been
reconciled, and if signed by the President, will result in an increase
of the minimum wage from $4.25 to $4.70 per hour effective October 1,
1996, with an additional increase to $5.15 per hour on October 1,
1997. The minimum wage for tipped employees will remain unchanged,
but employers will be required to adjust the employees compensation to
minimum wage if tips received are not sufficient, which has been the
Company's practice historically. Management anticipates the impact of
these changes will initially increase labor cost as a percent of sales
by approximately onehalf of a percentage point at Pizza Hut and Tony
Roma's. Upon full implementation in October 1997, labor cost, as a
percent of sales, are expected to
be approximately one percentage point higher than current levels for
both Pizza Hut and Tony Roma's. These increased costs will be partially
offset by job opportunity tax credits, provided by the
bill, for hiring certain qualified individuals.
Additionally, management is evaluating alternative opportunities to
offset this increase in costs.
PART II. OTHER INFORMATION
Item 1. Legal Proceedings
There have been no material changes in the legal proceedings reported
in the Company's Annual Report on Form 10-K for the year ended
March 26, 1996.
Item 2. Changes in Securities
None
Item 3. Defaults upon Senior Securities
None
Item 4. Submission of Matters to a Vote of Security Holders
None
Item 5. Other Information
None
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits. The following exhibits are included with this
report:
The following Exhibits are filed as part of this Report:
Exhibit 11 - Statement Regarding Computation of Per Share Earnings
Page 15.
Exhibit 27 - Financial Data Schedule
(b) Reports on Forms 8-K (incorporated by reference)
The following reports on Form 8-K were filed during the thirteen
weeks ended June 25, 1996:
May 28, 1996 - Announcement of the Company's sale of
Skipper's, Inc.
Signature
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
NPC INTERNATIONAL, INC.
(Registrant)
DATE: August 8, 1996
Troy D. Cook
Vice President Finance
Chief Financial Officer
Principal Financial Officer
DATE: August 8, 1996
Alan L.Salts
Corporate Controller
Chief Accounting Officer
Principal Accounting Officer
<TABLE>
Exhibit 11
NPC INTERNATIONAL, INC.
Statement Regarding Computation of Per
Share Earnings (Unaudited)
Thirteen Weeks Ended
June 25, 1996 June 27, 1995
Shares outstanding at beginning
<S> <C> <C>
at beginningof period $ 24,522,432 $ 24,505,324
Weighted average
of shares
issued during period 98,23 110
Assuming exercise of options and
warrants
reduced by the number of shares
which could
have been purchased with the
proceeds from
exercise 399,638 21,416
Shares outstanding for
computation
of per share earnings 25,020,300 24,526,850
Net income $5,522,000 $4,125,000
Earnings per share $ .22 $ .17
FULLY DILUTED
Shares outstanding
at beginning 24,522,432 24,505,324
Weighted average of shares
issued
during period 99,230 110
Assuming exercise of options and
warrants
reduced by the number of shares
which could
have been purchased with the
proceeds from
exercise 399,638 25,516
Shares outstanding for
computation
of per share earnings 25,021,300 24,530,950
Net income $5,522,000 $4,125,000
Earnings per share $ .22 $ .17
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> MAR-25-1997
<PERIOD-END> JUN-25-1996
<CASH> 1507000
<SECURITIES> 0
<RECEIVABLES> 1855000<F1>
<ALLOWANCES> 0<F1>
<INVENTORY> 3640000
<CURRENT-ASSETS> 18155000
<PP&E> 99202000
<DEPRECIATION> 0<F1>
<TOTAL-ASSETS> 189709000
<CURRENT-LIABILITIES> 32913000
<BONDS> 0
0
0
<COMMON> 276000
<OTHER-SE> 83570000
<TOTAL-LIABILITY-AND-EQUITY> 189709000
<SALES> 70847000
<TOTAL-REVENUES> 72417000
<CGS> 19450000
<TOTAL-COSTS> 19450000
<OTHER-EXPENSES> 42595000
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 1260000
<INCOME-PRETAX> 9049000
<INCOME-TAX> 3527000
<INCOME-CONTINUING> 5522000
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 5522000
<EPS-PRIMARY> .22
<EPS-DILUTED> .22
<FN>
<F1>Not required to be separately provided for interim financial
statment purposes. Receivalbes and PP&E are net balances.
</FN>
</TABLE>
