Revenue during the quarter dropped 19.99 percent to $97.73 million from $122.14 million in the previous year period. Gross margin for the quarter expanded 161 basis points over the previous year period to 63.98 percent. Operating margin for the quarter stood at negative 1.12 percent as compared to a positive 0.65 percent for the previous year period.

Operating loss for the quarter was $1.09 million, compared with an operating income of $0.79 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at $5.21 million compared with $6.16 million in the prior year period. At the same time, adjusted EBITDA margin improved 29 basis points in the quarter to 5.33 percent from 5.04 percent in the last year period.

Chris Pappas, president and chief executive officer, commented, "We ended the year with positive same-store sales at each of our brands, Luby's Cafeterias, Fuddruckers, and Cheeseburger in Paradise despite what remains a challenging economic environment in our industry for sales growth. Revenues grew year over year and our store level profit margins increased contributing to Adjusted EBITDA growth of over 15%. We realized improvement in our expense management efforts with reduction in corporate headcount, travel expenses, and store repairs and maintenance costs. We also benefited from lower opening costs as we pared back our store openings in 2016, and benefited from lower food commodity costs and utility costs. In addition, we continued to reduce capital expenditures on an annualized basis, spending $18.3 million in fiscal 2016 compared to $20.4 million last year."

The company has spent $13.44 million cash to meet investing activities during the year as against cash outgo of $7.04 million in the last year. It has incurred net capital expenditure of $13.46 million on net basis during the year, up 89.56 percent or $6.36 million from year ago.

The company has spent $0.58 million cash to carry out financing activities during the year as against cash outgo of $4.56 million in the last year period.

Cash and cash equivalents stood at $1.34 million as on Aug. 31, 2016, down 10.79 percent or $0.16 million from $1.50 million on Aug. 26, 2015.

Debt comes down marginally
Luby's, Inc. has recorded a decline in total debt over the last one year. It stood at $37 million as on Aug. 31, 2016, down 1.33 percent or $0.50 million from $37.50 million on Aug. 26, 2015. Lubys has recorded a decline in long-term debt over the last one year. It stood at $37 million as on Aug. 31, 2016, down 1.33 percent or $0.50 million from $37.50 million on Aug. 26, 2015. Total debt was 14.67 percent of total assets as on Aug. 31, 2016, compared with 14.19 percent on Aug. 26, 2015. Debt to equity ratio was almost stable at 0.22 as on Aug. 31, 2016, when compared with the last year.