Follow us on Twitter

  

 

 

Thursday
Aug012019

Pizza Hut 2Q19: Key Points

  • 2Q19 comps increased +4% (+3% traffic), reflecting the benefit of compelling value, ops execution & growing Hut Rewards loyalty program.
  • Plans to help over-leveraged operators (particularly those with greater dine-in exposure) to restructure.
  • U.S. store count will drop to as low as 7,000 locations over the next 24 months, primarily driven by closures of underperforming dine-in restaurants. At the end of 2Q, the domestic system included 7,449 locations which include 6,100 traditional restaurants (50% dine-in) & 1,350 express units.
Thursday
Aug012019

Cheesecake 2Q19: Key Points

  • 2Q19 comps increased +1% (-2.8% traffic/+0.7% mix/+3% price), including $12.4MM in external bakery sales.
  • A test of a Cheesecake Factory TV commercial will run in 12 markets this summer & fall with messaging around 250 dishes made-fresh-from-scratch (to capture more dining occasions) & the experiential nature of Cheesecake Factory (which appeals to Millennials & Gen Z).
  • Off-premise mix was 16% during the quarter (35% from delivery & 65% from to go) with 13% generated by online ordering.
Thursday
Aug012019

Applebee's 2Q19: Key Points

  • 2Q19 comps decreased -0.5% (+5.2% on a 2-year stacked basis) which reflected dinner daypart underperformance and industry volatility & competition during the quarter.
  • Also, weak 2Q19 results were attributed to less promotional focus on its value seeking guests (20% of total) which are active brand switchers.
  • Plans to become more aggressive on value during 2H19, particularly with its meat menu items. While low price point promotions help drive traffic, they tend to mix at a low level as consumers trade-up when they get into the restaurant.
Thursday
Aug012019

IHOP 2Q19: Key Points

  • 2Q19 comps increased +2%, helped by growth in off-premise comps & traffic and intro of its new BreakFEAST promotion which helped its breakfast daypart.
  • Goal is to maintain breakfast leadership while expanding other dayparts with relevant value offerings.
  • Plans for more price value deals during 2H19 vs. 1H19 focus on abundant value.
Wednesday
Jul312019

Denny's 2Q19: Key Points

  • 2Q18 system comps increased +3.8% and +4.4% company store comp included ~+2% pricing, mix in the mid 2% range & flat traffic. Results reflected a successful barbell strategy which included its Super Slam that started at $5.99 (higher prices in premium priced markets) & new news.
  • Off premise expansion (primarily driven by delivery) helps to reach younger guests & increase brand awareness. 11% off premise mix was up from 7% at the launch of Denny's on-demand in mid-2017.