Follow us on Twitter

  

 

 

Thursday
Aug082019

Wendy's 2Q19: Key Points

  • 2Q19 comps increased +1.4% with pricing in-line with food away from home inflation partially offset by traffic declines. Flat mix reflected softness in its salad business & the lapping of a strong 2Q18 performance of its Southwest Avocado salad. IA reimaging comp tailwind was +50 bps for the system.
  • 2019 comp guidance of +1.5% to +2.5% is based upon confidence in ability to drive “one more visit, one more dollar” with: value (4 for $4 & $5 Biggie bags); Made to Crave; a return of spicy chicken nuggets; & faster service speeds. 
Monday
Aug052019

Wingstop 2Q19: Key Points

  • 2Q19 comps increased +12.8%, reflecting the benefit of: phased rollout of delivery; enhanced digital ordering capabilities; and higher brand awareness driven by its national ad campaign. Comp growth, which was mostly driven by traffic, also included 1 - 2 points of price & a check improvement driven by a higher digital mix. 
  • Digital mix was 34.5% of sales at the end of the quarter (generating a ticket $5 higher than its average). 

 

Friday
Aug022019

Burger King 2Q19: Key Points

  • 2Q19 comps increased +0.5% & while BK’s chicken parm sandwich, Whopper Junior, Whopper and Double Whopper promotion performed well, corporate reported a sales gap in value.
  • This gap was addressed in the beginning of July with the launch of its dollar tacos which are generating encouraging early results.
  • Recent national launch of the plant-based Impossible Whopper follows a successful test which brought in younger consumers while also prompting an increased frequency of existing guests.
Friday
Aug022019

Popeye's 2Q19: Key Points

  • 2Q19 comps increased +2.9% & corporate reported that its layered offerings are gaining traction (including strength with its Hot Honey Crunch Tenders LTO).
  • While its bone-in chicken platform works well for guests coming alone or in small groups, the brand identified a gap in addressing the important family segment in late 2018. Popeye’s has been able to stabilize & then grow this layer in 2Q with deals for larger parties.
  • Roll-out of new chicken sandwich across several new markets has generated encouraging initial results with plans for a system-wide roll-out supported by national media.
Friday
Aug022019

Outback 2Q19: Key Points

  • 2Q19 comps increased +1.3% (-1.6% traffic/+2.9% check) as a -21% y/y decrease in discounting negatively impacted traffic by -1% while helping check & profitability.
  • Off-premise sales grew +18% y/y to a 14.1% mix. Frequency & behaviors of off-premises consumers suggest this is a different type of customer with distinct purchasing patterns.
  • In-house delivery is available in 494 stores with plans to compliment this platform with an omni-channel 3rd party DSP arrangement that will tap a new customer base.