Wendy's/Arby's Group, Inc. Reports 1st Quarter 2009 Results
Wendy's/Arby's Group, Inc. Reports 1st Quarter 2009 Results Wendy's Systemwide Same-Store Sales Increased 1.0% and Margins Improved 100 Basis Points Arby's New Roastburger Line of Premium Sandwiches Improved Sales Results Company Remains on Track with Key Profit Initiatives ATLANTA, May 07, 2009 (BUSINESS WIRE) -- Wendy's/Arby's Group, Inc. (NYSE: WEN), the third largest quick-service restaurant company in the United States, today reported financial results for the first quarter ended March 29, 2009. These 2009 results include the effect of the September 2008 merger between Triarc Companies, Inc. and Wendy's International, Inc., however the results for the first quarter of 2008 only include results for Triarc Companies, Inc. First-Quarter Highlights
Wendy's(R) North America systemwide same-store sales increased 1.0% with company-operated restaurant margin improvement of 100 basis points from the first quarter a year ago. Arby's(R) North America systemwide same-store sales decreased 8.7%, including an improvement to -2.5% for the month of March following the launch of the new Roastburger(TM) line of sandwiches. Consolidated revenues were $864.0 million. Net loss was ($10.9) million or ($0.02) per share, including net after-tax special expense items of approximately $15 million. Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), excluding pre-tax integration-related costs of $7.8 million, was $80.3 million. The Company completed an amendment of Arby's senior secured credit facility which added Wendy's as a co-borrower.
Roland Smith, President and Chief Executive Officer of Wendy's/Arby's Group, said: "We are pleased with the progress we made at both brands during the quarter, including positive same-store sales and margin improvement at Wendy's as well as improved same-store sales results in March at Arby's. Our adjusted EBITDA of $80.3 million met our expectations for the quarter and we remain on track with our target of $100 million in restaurant margin improvement at the Wendy's brand and $60 million in general and administrative (G&A) cost savings by the end of 2011. As the economy rebounds, our stockholders should benefit from the significant operating leverage our brands can generate as we grow sales and control costs."
Wendy's Brand Highlights
For the first quarter, Wendy's sales were $507.0 million from company-operated restaurants and other sales and franchise revenues were $71.2 million.