Biglari Holdings Ups Stake in Cracker Barrel Old Country Store
Biglari Holdings Inc., parent to the Steak n Shake and Western Sizzlin chains, reported Friday it had upped its stake in Cracker Barrel Old Country Store Inc. to 14.5 percent of shares from the 13.3 percent it had reported at mid-month.
Separately Friday, San Antonio, Texas-based Biglari Holdings reported profit had dipped in its Dec. 21-ended first quarter on special charges. After taking special fees and charges, Biglari reported net earnings of $8.8 million, or $6.60 per share, down from $9.5 million, or $7.13 a share, in the same quarter a year earlier. Biglari reported first-quarter revenues rose to $166.4 million from $158.7 million.
The company reported that first quarter Steak n Shake same-store sales rose 5.5 percent, principally on guest traffic that increased 5.7 percent.
Biglari has been on a buying binge for shares of Lebanon, Tenn.-based Cracker Barrel since December, after Cracker Barrel’s shareholders rejected a board-seat bid by Biglari Holdings chief executive Sardar Biglari. At the time, Biglari Holdings and related companies held 9.9 percent of Cracker Barrel’s shares.
Biglari Holdings' late Friday filings with the Securities and Exchange Commission showed it held nearly 3.4 million Cracker Barrel Shares. Related companies Biglari Capital Corp. and The Lion Fund L.P. each hold 140,100 shares.
At the end of the quarter, Biglari Holdings operated 583 restaurants, including 413 company-owned and 78 franchised Steak n Shake units and five company-owned and 87 franchised Western Sizzlin stores.
During the quarter, the company said in SEC documents, two Western Sizzlin franchised units were closed and two Steak n Shake franchised units were opened.
— Ron Ruggless