US fastfood group Wendy’s International has reported a 6.7% rise in US company same-store sales in May.
Wendy’s US franchise same-store sales rose 4.5%. This compares to a 2.2% decline in US company same-store sales and a 2.4% decline in US franchise same-store sales in the year-ago period.
The company’s Tim Hortons doughnut chain reported a 6.1% rise in same-store sales in Canada in May and a 9.3% increase in US same-store sales.
“We are pleased that consumer confidence and traffic in the QSR (quick service restaurant) segment remains strong, despite higher gasoline prices. Wendy’s food and labour costs are expected to be on plan for the rest of the year with our beef prices declining compared to the first quarter and our costs for chicken and produce under contract,” said chief executive Jack Schuessler.
Wendy’s reiterated its target of 2004 earnings per share between US$2.32 and $2.37, compared to $2.05 in the previous year.