Sonic Corp. Announces Executive Appointments
Jul 30 15
Sonic Corp. announced that Andrew “Drew” Ritger, Jr., has been appointed as Senior Vice President for Development, who led the franchise development team at SONIC from 2002-2012, during which time the brand opened more than 1,500 new drive-ins in 15 states. In this new role, he is responsible for market planning, franchise sales, area development agreements, and real estate site selection. Ritger has been part of the SONIC leadership team since 1996, and most recently served as Senior Vice President for Franchise Services, east region, with responsibility for franchise operations in the eastern half of the country including new drive-in openings, drive-in operations procedures and guest service. Also returning to the franchise sales team at SONIC has newly appointed Senior Director of Franchise Sales and Development Marketing, Lori Osley, CFE. Osley is a SONIC alumna, having served on the franchise sales team with Ritger, previously. She rejoins SONIC from Captain D’s where she was senior director of franchise development and responsible for all facets of new growth in select markets for Captain D's including new franchisee growth, real estate, and market planning.
Sonic Corp. Declares Regular Quarterly Cash Dividend, Payable on August 21, 2015
Jul 9 15
Sonic Corp. announced that its Board of Directors has declared a regular quarterly cash dividend of $0.09 per share of common stock. The dividend is payable on August 21, 2015 to shareholders of record as of the close of business on August 12, 2015.
Sonic Announces Executive Changes
Jul 7 15
Sonic Corp. has appointed Sarah Beddoe as vice president of national marketing and Justin Ashby as vice president of design and construction. Beddoe and Ashby were appointed to new executive positions. The company also announced the promotions of Chris Graves, Dail Smith and Christi Woodworth. Graves is the new vice president and real estate counsel. Graves’ new role as vice president will include oversight and management of Sonic's real estate portfolio, marketing and disposition of surplus property. Smith is vice president of Sonic Restaurants Inc. operations. Woodworth is vice president of public relations. Beddoe will be instrumental in crafting Sonic's marketing plan, marketing calendar and product pipeline. Beddoe served as director of digital experience and social engagement for Pizza Hut in Dallas. Ashby will lead the construction, architecture and engineering teams. He will work to create new prototypes and develop ways to grow the Sonic brand in addition to optimizing build-out and renovation costs. Ashby served as senior director of construction for Dollar General.
Sonic Corp. Announces Unaudited Consolidated Earnings Results for the Third Quarter and Nine Months Ended May 31, 2015; Provides Earnings Guidance for the Fourth Fiscal Quarter and Full Year of Fiscal 2015; Expects to Open 22 to 27 New Franchise Drive-In Openings in the Fourth Fiscal Quarter of 2015
Jun 22 15
Sonic Corp. announced unaudited consolidated earnings results for the third quarter and nine months ended May 31, 2015. For the quarter, the company reported total revenues of $164,748,000 against $152,187,000 a year ago. Income from operations was $36,370,000 against $31,681,000 a year ago. Income before income taxes was $30,079,000 against $25,465,000 a year ago. Net income was $20,442,000 or $0.38 per diluted share against $16,776,000 or $0.30 per basic and diluted share a year ago. System same-store sales increased 6.1%, consisting of a 6.1% same-store sales increase at franchise drive-ins and an increase of 5.5% at company drive-ins. Adjusted non-GAAP net income was $19,332,000 or $0.36 per diluted share compared to $16,776,000 or $0.30 per diluted share a year ago.
For the nine months, the company reported total revenues of $430,823,000 against $388,580,000 a year ago. Income from operations was $75,899,000 against $62,389,000 a year ago. Income before income taxes was $57,208,000 against $43,667,000 a year ago. Net income was $38,189,000 or $0.70 per diluted share against $29,091,000 or $0.51 per diluted share a year ago. Non-GAAP net income was $28,607,000 or $0.50 per diluted share compared to $24,075,000 or $0.42 per diluted share a year ago. Adjusted non-GAAP net income was $36,413,000 or $0.67 per diluted share compared to $28,607,000 or $0.50 per diluted share a year ago.
For the fourth fiscal quarter of 2015, the company expects positive same-store sales in the mid-single digit range for the system. Selling, general and administrative expenses of $20.5 million to $21 million, reflecting increased investment in human resources to support the brand initiatives described above. Depreciation and amortization expense of approximately $11.5 million to $12 million. Net interest expense of approximately $6 million to $6.5 million. The company expects income tax rate of between 36.5% and 37%, reflecting the benefit of various ongoing tax credit programs. The company expects overall drive-in level operating margins to continue to improve as leverage from positive same-store sales, benign commodity costs, combined with the benefits from inventory management tools will offset margin pressure from increased healthcare costs and potentially the variable component of bonus program at the drive-in level management.
For the fiscal year 2015, the company expects capital expenditures of $35 million to $40 million. Free cash flow of $70 million to $75 million. The company expects its initiatives to drive 27% to 29% earnings per share growth, on an adjusted basis, in fiscal 2015 as compared to the adjusted non-GAAP earnings per share for fiscal 2014. The company expects adjusted earnings of $1.07 to $1.08 per share, just below the $1.09 consensus.
The company expects 22 to 27 new franchise drive-in openings, resulting in net unit growth for the system in the fourth fiscal quarter of 2015.