Dunkin' Brands Reports Second Quarter 2018 Results
Source Dunkin' Brands Group, Inc.
CANTON, Mass., July 26, 2018 /PRNewswire/ --
Second quarter highlights include:
- Dunkin' Donuts U.S. comparable store sales increase of 1.4%
- Baskin-Robbins U.S. comparable store sales decline of 0.4%
- Added 96 net new Dunkin' Donuts and Baskin-Robbins locations globally including 64 net new Dunkin' Donuts in the U.S.
- Revenues increased 4.9%
- Diluted EPS increased by 30.9% to $0.72
- Diluted adjusted EPS increased by 30.5% to $0.77
Dunkin' Brands Group, Inc. (Nasdaq: DNKN), the parent company of Dunkin' Donuts (DD) and Baskin-Robbins (BR), today reported results for the second quarter ended June 30, 2018.
"Our second quarter 2018 Dunkin' Donuts U.S. comparable store sales growth is an early sign of the progress we are making with our Blueprint for Growth," said David Hoffmann, Chief Executive Officer and President of Dunkin' Donuts U.S. "Our highest quarterly beverages sales on record underscored that we're on track towards our goal to be the nation's leading beverage-led, on-the-go brand. Along with our franchisees, we leveraged national marketing to launch the most comprehensive value program in the brand's history driving breakfast sandwich sales, which more than offset the impact of menu simplification. We have strong alignment with our franchisees on the brand's strategy and remain on track to open 50 NextGen new and remodeled restaurants this year with Dunkin' Donuts U.S. again expected to be one of the fastest-growing QSR brands by unit count in the country for 2018."
"We are delighted with our results for the quarter and are excited to provide additional clarity regarding our investments to support the Dunkin' Donuts U.S. Blueprint for Growth," said Kate Jaspon, Dunkin' Brands Chief Financial Officer. "We continue to expect our total investment to be approximately $100 million, allocated between equipment to support the brand's beverage-led, on-the-go strategy and technology infrastructure. We expect minimal impact to our 2018 financial growth targets and are maintaining our revenue growth guidance. We are also refining our operating income and earnings per share guidance to reflect slightly increased expenses related to the testing, training and roll-out of Blueprint initiatives. We believe that by making these investments, we, along with our franchisees, will be able to implement certain Blueprint initiatives more quickly."
