CANTON, Mass., US – Dunkin’ Brands Group, Inc. , the parent company of Dunkin’ Donuts (DD) and Baskin-Robbins (BR), reported on Oct. 23, 2014 results for the third quarter ended September 27, 2014.
Third quarter highlights include:
- Dunkin’ Donuts U.S. comparable store sales growth of 2.0%;
- Baskin-Robbins U.S. comparable store sales growth of 5.8%
- Added 197 net new restaurants worldwide including 120 net new Dunkin’ Donuts in the U.S.
- Revenue increased 3.4%
- Adjusted operating income increased 11.3%; adjusted operating income margin of 51.6%
- Diluted adjusted EPS increased 19.5% to $0.49
- Board of Directors declares $0.23 fourth quarter dividend
“Dunkin’ Donuts U.S. third quarter comparable store sales growth of two percent marked a slight improvement from the second quarter as we continue to feel the impact from ongoing challenges with the economy and a highly competitive QSR breakfast and coffee environment. In the face of these challenges, we are focused on driving balanced growth by capturing incremental beverage occasions through new product news, such as the launch of Dark Roast coffee, targeted discounting and leveraging innovation to deliver strong morning food results,” said Nigel Travis, Chairman & CEO, Dunkin’ Brands Group, Inc. “Franchisee restaurant level economics remain highly-compelling as demonstrated by our strong third quarter restaurant growth including the addition of 120 net new Dunkin’ Donuts in the U.S. We now believe that we can ultimately have more than 17,000 Dunkin’ Donuts in the U.S., an increase of 2,000 restaurants over the initial long-term growth target that we provided at the time of our IPO in 2011.”
“It will be a challenge to achieve the low-end of our full-year Dunkin’ Donuts U.S. comparable store sales growth target of two to three percent, but we remain confident we will achieve our other development and financial performance targets for 2014,” said Paul Carbone, CFO, Dunkin’ Brands Group, Inc. “Importantly, as we reaffirmed at our Investor & Analyst Day on September 17, our long-term expectations remain intact.”
