Earnings Report: News Wendy's Arby's Group (NYSE: WEN) Falls on Revenues ... Video
3/4/2010-Shares of Wendy's Arby's Group (NYSE:WEN) are trading 5.7% lower to $4.66 Thursday after the company reported Q4 EPS of $0.07, besting consensus estimates of $0.03.
Earnings Report: News Wendy's Arby's Group (NYSE: WEN) Falls on Revenues ...
Revenue for the quarter rose 0.5% year-over-year to $900.9 million, falling short of consensus estimates of $915 million.
For 2010, the company expects adjusted EBITDA growth in the low to mid single-digits, ex-items, as well as positive same-store sales at Wendy's and negative same-store sales at Arby's but improving on a year-over-year basis.
Roland Smith, President and CEO of Wendy's/Arby's Group, commented, "In 2009, we achieved 16% growth in annual adjusted EBITDA1, despite the challenging economic environment. We also produced a 330-basis point increase in Wendy's® company-operated restaurant margin, significant G&A expense reductions and strong cash flow. We are making great strides re-energizing our Wendy's brand and we believe our fourth quarter same-store sales were among the strongest in the industry. At Arby's®, we are implementing a turnaround plan to improve customer traffic and sales. Both of our brands focused on value menus in January 2010 and same-store sales improved as compared to the fourth quarter of 2009. Also, we have completed $120 million of our $200 million stock repurchase program, and we are confident in the long-term growth prospects of our Company."
