The chief of the nation's largest chain of drive-in restaurants is not sweating McDonald (NYSE: MCD)'s recent rollout of all-day breakfast.
"They are doing breakfast all day, but we've been doing all menu all day forever, so this was not a big deal to us," Sonic (NASDAQ: SONC) CEO Cliff Hudson told CNBC's "Squawk Box" on Tuesday.
Sonic continues to focus on product and service differentiation, and that has worked "pretty good" against McDonald's, Hudson said. The company's advertising effectiveness with it's two-guys-in-a-car campaign also performs well relative to McDonald's, he added.
"I think the customer, when they're offered choices, and they're offered made-to-order food, as they are in our case, in a variety of items that can work for them across day parts, then they're happy to engage you, and we've got good traffic, good sales, good profit at our average store," he said.
Hudson made his comments after the company reported fiscal fourth-quarter adjusted earnings per share of 43 cents, topping Wall Street expectations. Analysts surveyed by Thomson Reuters expected 42 cents per share.
The drive-in restaurant chain posted revenue of $175.3 million in the period, also above Street expectations for $175 million.
Shares of Sonic were more than 5 higher in premarket trading.
Sonic's earnings were driven by sales at comparable stores that were up 7.3 percent for the full fiscal year, marking its fifth- consecutive year of same-store sales growth. Comparable store sales were up 4.9 percent in the final quarter.
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