Bojangles’ Adding to Presence in Three N.C. Towns Amid Company Issues

9/10/18

By Charlie McGee, NCBIZNews

Charlotte-based chicken-and-biscuit restaurant chain Bojangles’ Inc. plans to add locations in three North Carolina towns after a rocky year of company performance, according to a press release.

A new Bojangles’ restaurant is expected to open in Charlotte later this year “in the Waverly development off Providence Road.”

A Bojangles’ location in Boone is currently closed due to construction, and the company plans to re-open the “fully-remodeled location” by the end of September.

In Wadesboro, a new location is under construction next door to a Bojangles’ that is already open for business. The company expects the new location to replace the existing one by the end of the year.

“These restaurants in North Carolina are a great example of what we’ve been saying about how Bojangles’ plans to grow in our core markets, while franchising will continue to lead growth in adjacent markets,” said Tony Hopson, Bojangles’ senior vice president of operations, in a statement.

The three locations will fit Bojangles’ “newest restaurant design,” which includes free Wi-Fi and a redesigned food display area.

Bojangles’ has experienced struggles as a company this year. In early-March, the company’s then-CEO Clifton Rutledge abruptly stepped down from his role “for personal reasons.”

Former CEO James Kibler took over the position on an interim basis. Six months later, the company still has yet to name a permanent replacement for Rutledge.

Last month, Bojangles’ second quarter earnings report missed expectations. The company reported earnings of 13 cents per share for the quarter, which fell short of expectations by Zacks Equity Research of 18 cents per share.

That was also a 43.5 percent decline from the 23 cents per share that Bojangles’ reported in the same quarter a year ago.

In an Aug. 5 conference call, Kibler said the company’s biggest opportunity lies in well-run restaurants and increasing appeal to customers.

“Despite the absence of a permanent CEO, we are rolling up our sleeves,” Kibler said. “We are getting things done by making the tough, but necessary decisions to strengthen our operational execution and financial condition. And by doing so, we are moving our brand forward.”

Bojangles’ was trading at $14.30 per share at the close on Friday. That was a slight decline from $14.38 per share midday Thursday, when the company announced its new North Carolina locations.

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