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Wendy's Fiscal Q1 Results Top Street Views; Boosts FY21 Outlook; Hikes Quarterly Dividend 11% -- Shares Gain Pre-Bell

05/12/2021 03:49

07:41 AM EDT, 05/12/2021 (MT Newswires) -- Wendy's (WEN) on Wednesday reported fiscal Q1 adjusted EPS of $0.20, up from $0.09 a year ago. Analysts polled by Capital IQ had called for $0.15.

Revenue for the three months ended April 4 totaled $460.2 million, up from $405 million last year. Wall Street was looking for $445.2 million.

Same-restaurant sales grew 13% globally in fiscal Q1, compared with a 0.2% drop a year ago. Global systemwide sales grew 12.5% in fiscal Q1, compared with 1% growth last year.

Looking ahead, the fast food restaurant chain said it is increasing its fiscal 2021 outlook "meaningfully" across all key financial metrics.

Wendy's said it now anticipates full-year fiscal 2021 adjusted EPS in the range of $0.72 to $0.74. That compares with the Street estimate of $0.69.

The company also expects global systemwide sales growth from 8% to 10%, excluding the impact of the 53rd week.

Also on Wednesday, Wendy's said it has increased its existing share buyback authorization by $50 million to $150 million after the company exhausted its authorization "due to favorable market conditions."

Further, Wendy's said on Wednesday that it has raised its quarterly dividend 11% to $0.10 per share, payable on June 15 to shareholders registered on June 1.

Shares of the Dublin, Ohio-based company gained as much as 5% in pre-bell trade.

Price: 24.00, Change: +1.20, Percent Change: +5.26