On Feb. 3, Wendy's
- Reported sales fell 1.1%. Restaurant sales grew 2.2% to $526.7 million, but franchise revenues declined 20%.
- In the fourth quarter, the company reported that same-store sales grew 3.1% for company-owned U.S. restaurants and 2.7% for franchised U.S. locations.
- Total reported diluted earnings fell 88% but included $0.06 from discontinued operations like Tim Horton's
(NYSE:THI) , which was spun off. - As part of its restructuring moves, Wendy's repurchased more than $1 billion in stock during 2006.
(Figures in thousands, except per-share data)
Income Statement Highlights
Q4 2006 |
Q4 2005 |
Change |
|
---|---|---|---|
Sales |
$596,378 |
$602,867 |
(1.1%) |
Net Profit |
$3,027 |
$29,963 |
(89.9%) |
EPS |
$0.03 |
$0.25 |
(88.0%) |
Diluted Shares |
108,795 |
118,398 |
(8.1%) |
Get back to basics with a look at the income statement.
Margin Checkup
Q4 2006 |
Q4 2005 |
Change* |
|
---|---|---|---|
Gross Margin** |
37.2% |
36.4% |
0.8 |
Operating Margin |
0.3% |
8.6% |
(8.3) |
Net Margin |
0.5% |
5.0% |
(4.5) |
**Cost of sales/Restaurant sales.
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
Assets |
Q4 2006 |
Q4 2005 |
Change |
---|---|---|---|
Cash + ST Invest. |
$457,614 |
$230,560 |
98.5% |
Accounts Rec. |
$84,841 |
$62,190 |
36.4% |
Inventory |
$30,252 |
$29,798 |
1.5% |
Liabilities |
Q4 2006 |
Q4 2005 |
Change |
---|---|---|---|
Accounts Payable |
$93,465 |
$92,340 |
1.2% |
Long-Term Debt |
$530,426 |
$521,800 |
1.7% |
Learn the ways of the balance sheet.
Cash Flow Highlights
Fools will have to wait until Wendy's files its 10-K for juicy cash flow details.
Find out why Fools always follow the money.
Comparable companies:
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McDonald's
(NYSE:MCD) -
Sonic
(NASDAQ:SONC) -
Burger King
(NYSE:BKC) -
Jack in the Box
(NYSE:JBX)
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Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.
Fool contributor Ryan Fuhrmann has no financial interest in any company mentioned. Feel free to email him with feedback or to discuss any companies mentioned further. The Fool has an ironclad disclosure policy.