ATLANTA, August 11, 2011 – The Wendy’s Company (NYSE: WEN) today reported results for the second quarter ended July 3, 2011. The Company completed the sale of Arby’s Restaurant Group, Inc. on July 4, 2011 and Arby’s® results are reflected as discontinued operations for all periods presented.
Roland Smith, President and Chief Executive Officer of The Wendy’s Company said, “We were pleased to produce a 2.3% same-store sales increase at Wendy’s® North America Company-operated restaurants in the second quarter of 2011, which represents the brand’s best sales performance since the fourth quarter of 2008. Importantly, we generated positive transactions during the quarter, which we believe reflect the cumulative benefit of our ‘Real’ brand positioning and significant core menu improvements. EBITDA for the second quarter met our expectations, and consequently we are re-affirming our 2011 adjusted EBITDA1 outlook of $330 million to $340 million. We anticipate strong same-store sales in the third and fourth quarters driven by innovative products and the launch of our new cheeseburger line.
“Having completed the sale of Arby’s, our sole focus will be on Wendy’s and delivering 10% to 15% average annual EBITDA growth in 2012 and beyond. This growth will be driven by successfully executing our key strategies, including continuing to improve our core menu, capturing incremental sales through day part expansion, upgrading our existing store base, and developing new restaurants within the United States and targeted international markets to expand the brand worldwide. We view investing in these areas as a great use of our capital and are confident that they will enable us to enhance value for our shareholders,” said Smith.
1See reconciliation of adjusted EBITDA (earnings before interest, taxes, depreciation and amortization), a non-GAAP measure, to GAAP results detailed on page 7.