We expanded our coverage universe by adding 2 fast-food retailers today: McDonald’s and CKE Restaurants. Both companies report monthly same-store sales data, and while their reporting periods are staggered and don’t line up with the majority of retailers who report monthly, their results will still provide a timely measure of performance in the quick-serve sector:
- As the world’s largest fast-food retailer, McDonald’s has proven itself throughout the recession, reporting an incredible 73 consecutive months of comparable sales gains. They are due to report both sales data for June and fiscal 2nd Quarter results on July 23rd.
- CKE Restaurants reported same-store sales results this morning for period 6, which represents the 4-week reporting period ending July 13th. The company reported that company operated restaurant sales decreased 3.4% to $86.4 million, while same-store sales were down 5.0% from a year ago. Company-operated Sales at Carl’s Jr. were down 2.4% and same-store sales declined 6.1%, while company-operated sales at Hardee’s decreased 4.5% and same-store sales declined 3.6%. Commenting on the results, CEO Andrew F. Puzder said “The decline in our same-store sales remains our management team’s primary focus. Period six was a particularly difficult period from a same-store sales perspective as both brands were rolling over strong prior year sales due, in part, to last year’s government stimulus checks. However, we are encouraged by the results of some of our recent sales-building initiatives.”
| McDonald’s | CKE | ||
|---|---|---|---|
| FY Systemwide Sales (millions) | $70,693 | $3,341 | |
| FY Revenue (millions) | $23,522 | $1,483 | |
| FY Net Income (millions) | $4,313 | $37.0 | |
| Systemwide Restaurant Count | 32,060 | 3,133 | |
| 5yr Avg Systemwide Sales Growth | 9.5% | 3.0% | |
| 5yr Avg Revenue Growth | 7.8% | 1.7% | |
| 5yr Avg Operating Margins | 21.3% | 5.7% | |
