Wendy's International, Inc. Announces 2007 Fourth-Quarter and Full-Year Same-Store Sales
January 04, 2008 // Franchising.com // DUBLIN, Ohio – Wendy's International, Inc. (NYSE: WEN) today announced preliminary average same-store sales for the fourth quarter of 2007, which ended on Sunday, December 30.
Average same-store sales at U.S. company restaurants decreased 0.8% for the quarter, compared to a 3.1% increase during the same quarter a year ago. 2007 full-year average same-store sales at U.S. company restaurants increased 0.9%.
Average same-store sales at U.S. franchise restaurants increased 0.2% for the quarter, compared to a 2.7% increase during the same quarter a year ago. 2007 full-year average same-store sales at U.S. franchise restaurants increased 1.4%.
"Although we made progress during the fourth quarter, I am not satisfied by our same-store sales results," said Chief Executive Officer and President Kerrii Anderson. "We are addressing this challenge in 2008 by concentrating more resources to grow the top line with new products, customer service initiatives and advertising that will more effectively highlight Wendy's® superior quality."
During the fourth quarter, Wendy's promoted its Jalapeno Cheddar Double Melt premium hamburger with toppings melted in the middle of two fresh, never frozen beef patties. In addition, Wendy's highlighted its Combo Choices which allows customers to mix-and-match their favorite sandwich, drink and choice of a side item – French fries, baked potato, side salad, Caesar side salad, chili, or Mandarin oranges.
"Our enhanced strategic plan – 'Doing What's Right for Our Customers' – leverages our strong history of quality and innovation and is focused on core menu development in hamburgers, chicken sandwiches and salads, as well as our total value strategy," said Anderson. "It also emphasizes opportunities to grow our beverage, snack, late night and breakfast business.
"Our plan is focused on attracting new and important customer segments while we generate growth with a back-to-basics emphasis on how we are different, special and better," added Anderson.
Wendy's kicks off 2008 with new 99-cents Stack Attack
Wendy's recently introduced its new Stack Attack™ double cheeseburger featuring two fresh, never frozen beef patties with cheese in the center, topped with mayonnaise and ketchup – at an appealing price to customers of 99 cents.
"The new 99-cents Stack Attack is just one component of our strategic approach that will broaden the way people think about value from Wendy's," said Paul Kershisnik, Senior Vice President of Marketing Strategy and Innovation. "With the launch of the Stack Attack, we're giving our customers more value and more choices at a time when gasoline prices remain high and they may be experiencing continued financial pressures."
In early 2008, Wendy's also will continue to promote its premium large hamburgers made with fresh, never frozen beef. In addition, the Company will emphasize its new breakfast menu in certain markets that have a heavy concentration of company-owned restaurants that offer the new breakfast menu.
Preliminary Fourth-Quarter Same-Store Sales Summary
4Q 2007 4Q 2006 2007 Full-Year
U.S. Company -0.8% 3.1% 0.9%
U.S. Franchise 0.2% 2.7% 1.4%
Monthly Same-Store Sales Summary for October, November and December
Oct 2007 Oct 2006 Nov 2007 Nov 2006 Dec 2007 Dec 2006
U.S. Company 0.2% 1.8% -1.9% 2.1% -1.0% 6.1%
U.S. Franchise 1.2% 0.8% -1.2% 2.4% 0.4% 5.6%
Company plans fourth-quarter disclosure
The Company plans to release its 2007 fourth-quarter and full-year results at approximately 7:00 a.m. ET on Monday, February 4, 2008. A conference call and webcast to discuss the Company's results will follow at 9:00 a.m. ET.
The dial-in number is (877) 572-6014 (U.S. and Canada) or (706) 679-4852 (International). A simultaneous webcast will be available at www.wendys-invest.com. The call will be archived at that site.
Safe Harbor statement
Certain information in this news release, particularly information regarding future economic performance and finances, and plans, expectations and objectives of management, is forward looking. Factors set forth in our Safe Harbor under the Private Securities Litigation Reform Act of 1995, in addition to other possible factors not listed, could affect the Company's actual results and cause such results to differ materially from those expressed in forward-looking statements. Please review the Company's Safe Harbor statement at http://www.wendys-invest.com/safeharbor.
Wendy's International, Inc.overview
Wendy's International, Inc. is one of the world's largest and most successful restaurant operating and franchising companies.
Wendy's recently received brand, food and operations accolades from:
1. Zagat Survey®, a leading global provider of consumer survey content, which recently named Wendy's as having the best hamburgers in the quick-service restaurant industry. In addition, Wendy's ranked first among quick-service "mega-chains" (i.e., those with at least 5,000 outlets) for food, facilities and popularity.
2. This year's American Customer Satisfaction Index (ACSI) survey, produced by the University of Michigan's Stephen M. Ross Business School, ranked Wendy's in the top spot for customer satisfaction in the "limited service restaurants" category.
3. QSR® Magazine's 2007 Consumer Survey recently rated Wendy's as consumers' favorite quick-service restaurant (QSR) for the second-straight year.
4. Speedy service earned Wendy's the top spot for fastest drive-thru times once again, according to QSR Magazine's 2007 Drive-Thru Study.
More information about the Company is available at www.wendys-invest.com.