Wendy's yearly earnings decline despite strong Q4
by Meat&Poultry Staff
DUBLIN, Ohio – Net income at The Wendy’s Co. fell in fiscal 2012 despite a sharp increase in the fourth quarter due in part to a larger tax benefit, the company said. For the fiscal year ended Dec. 30, 2012, net income was $7,083,000, down 28 percent from $9,875,000 in fiscal 2011.
For the fourth quarter ended Dec. 30, 2012, income attributable to Wendy’s totaled $26,388,000, up from $3,984,000 in the same period a year ago.
Total revenues for the full year increased 3 percent to $2,505,242,000 from $2,431,358,000, while fourth-quarter sales rose 2 percent to $629,879,000 from $615,018,000.
“Our brand transformation accelerated with Image Activation during 2012, and our ‘A Cut Above’ brand positioning has continued to gain traction with consumers,” said Emil Brolick, president and chief executive officer. “Our 2012 North America same-store sales growth of 1.6 percent and record-high average annual restaurant sales of $1.48 million are evidence that our growth initiatives are beginning to work, and we are optimistic about our product pipeline and marketing plans for 2013.”
Transformation efforts include a new logo unveiled this week and the January introduction of the “Right Price, Right Size” value menu, which is already performing well, Brolick said.