In this file:
· Wendy's profit, sales fall in fourth quarter
· Wendy's disappoints Wall Street with earnings
· Wendy’s to shell out $30 million for smaller, tastier chickens
Wendy's profit, sales fall in fourth quarter
Source: The Associated Press
via The Virginian-Pilot - Feb 16, 2017
DUBLIN, Ohio (AP) — Wendy's reported lower fourth-quarter sales fell primarily due to the refranchising of its restaurants.
The maker of Frosty shakes has sold back many of its restaurants to franchisees to focus its business more heavily on franchising, rather than running restaurants. There were also higher operating and labor rates which pressured margins at company-owned restaurants during the last three months of 2016.
Sales edged up 0.8 percent at established North American restaurants. McDonald's recently reported its sales dipped 1.3 percent at established U.S. locations, while Burger King said sales rose 1.8 percent in U.S. and Canada.
Wendy's Co. expects comparable-store sales to rise between 2 percent and 3 percent in North America for this year, in line with Wall Street expectations.
For the quarter ended Jan. 1, Wendy's earned $28.9 million, or 11 cents per share. Earnings, adjusted for non-recurring gains, came to 8 cents per share. Wall Street expected a penny more per share, according to Zacks Investment Research...
Wendy's disappoints Wall Street with earnings
By From staff and wire reports, The Columbus Dispatch
Feb 16, 2017
Although same restaurant sales rose in the final quarter of 2016, profit dropped at Wendy's, according to financial information released this morning.
The Dublin, Ohio-based company reported fourth-quarter profit of $28.9 million. Net income was 11 cents per share. Earnings, adjusted for non-recurring gains, came to 8 cents per share.
The results missed Wall Street expectations. The average estimate of eight analysts surveyed by Zacks Investment Research was for earnings of 9 cents per share.
The hamburger chain posted revenue of $309.9 million in the period, which also missed Street forecasts. Six analysts surveyed by Zacks expected $312.8 million.
The company reported same-restaurant sales increased 0.8 percent in North America in the fourth quarter of 2016.
For the year, the company reported profit of $129.6 million, or 49 cents per share. Revenue was reported as $1.44 billion...
Wendy’s to shell out $30 million for smaller, tastier chickens
By Adam Allington, Marketplace
February 16, 2017
As Wendy’s releases its earnings, we take a look at the fast food chain’s hunt for a tastier chicken. The company is prepared to spend $30 million on smaller chickens in hopes they’ll provide more tender, less rubbery meat. Turns out, quality is an important consideration for legacy fast food companies, as they try to stay competitive with fast-casual dining chains.