Buffalo Wild Wings is hoping boneless wings will boost its flaccid stock price.
The Minnesota wings-and-beer chain again blamed the high cost of traditional chicken wings for its poor quarter. To offset the higher traditional wing prices, it added a second day to its weekly boneless wing promotion.
“We are optimistic about the transition to boneless wings, which provides a more stable promotional platform for the future,” outgoing chief executive Sally Smith said.
Nevertheless, Buffalo Wild Wings slashed its full year adjusted earnings guidance to a range of $4.50 to $5.00 a share, down 92 cents at the midpoint from previous guidance.
The company delivered adjusted earnings of 66 cents a share in the second quarter, down more than 50 percent from last year — missing Wall Street expectations.
“Our profitability was pressured this quarter driven by historically high wing costs, a mix shift to our promotional days, lower than expected same-store sales, and higher operating expenses,” said Smith, who plans to retire at year end, after activist investor, Marcato Capital, won three seats on the board.
Buffalo Wild Wings shares plunged nearly 10 percent, to $110.05, in after-hours trades.


