Dunkin' Brands Group, Inc. Declares Second Quarter Dividend Payable on June 17, 2015
Apr 23 15
Dunkin' Brands Group, Inc. announced that its Board of Directors has declared a quarterly cash dividend to shareholders. The dividend of $0.265 per share of common stock is payable on June 17, 2015 to shareholders of record at the close of business on June 9, 2015.
Dunkin' Brands Announces Executive Changes
Apr 23 15
Dunkin' Brands announced that John Costello, President, Global Marketing and Innovation has decided to retire in the middle part of 2016. Mr. Costello will remain President, Global Marketing and Innovation, until he retires next year and will continue to report to Nigel Travis, Dunkin' Brands Chairman and CEO. As of May 1, 2015, he will transition to a new, more strategic role focused largely on the evolution of the company's brands with a special emphasis on Dunkin' Brands' international businesses. The company will not be replacing Mr. Costello, and will instead promote two members of the senior marketing leadership team to assume his current responsibilities. With Mr. Costello's transition, Scott Hudler, Vice President of Global Consumer Engagement, will report directly to Nigel Travis. Mr. Hudler will continue to lead Dunkin' Donuts' U.S. digital, media, loyalty and advertising strategies. In addition to his Dunkin' Donuts U.S. responsibilities, he will now oversee Dunkin' Donuts International and Baskin-Robbins International advertising and digital media strategies. Chris Fuqua is being named Vice President, Dunkin' Donuts Brand Marketing & Global Consumer Insights & Product Innovation. For the past three years, Mr. Fuqua has overseen Dunkin' Donuts' U.S. marketing programs, as well as the development of the food and beverage innovation strategies that have resulted in the brand's expanded and very successful new product pipeline. In addition to maintaining those responsibilities, he will assume responsibility for Dunkin' Donuts U.S. field marketing, as well as product innovation and consumer insights for Dunkin' Donuts and Baskin-Robbins on a global basis. Mr. Fuqua has been with Dunkin' Brands since 2009 and joined the company as Senior Director of Strategy before assuming the Vice President of Dunkin' Donuts Brand Marketing position. The company also announced that Scott Murphy, Chief Supply Officer and Senior Vice President International, will expand his responsibilities to include operational oversight of Dunkin' Donuts and Baskin-Robbins Europe. For the past year, Mr. Murphy has been responsible for operational oversight of Dunkin' Donuts and Baskin-Robbins Latin America. Mr. Murphy will continue to report to Nigel Travis and serve on the Dunkin' Brands Leadership Team.
Dunkin' Brands Group, Inc. Reports Unaudited Consolidated Earnings Results for the First Quarter Ended March 28, 2015; Updates Earnings Guidance for 2015; Expects to Add Between 410 and 440 Net New Restaurants
Apr 23 15
Dunkin' Brands Group, Inc. reported unaudited consolidated earnings results for the first quarter ended March 28, 2015. For the quarter, total revenues were $185,905,000 against $171,948,000 for the same period of last year. Operating income was $83,740,000 against $69,097,000 for the same period of last year. Income before income taxes was $40,599,000 against $37,517,000 for the same period of last year. Net income attributable to the company was $25,631,000 against $22,956,000 for the same period of last year. Earnings per diluted share were $0.25 against $0.21 for the same period of last year. Net cash used in operating activities was $8,980,000 against net cash provided by operating activities of $1,613,000 for the same period of last year. Additions to property and equipment were $6,233,000 against $4,436,000 for the same period of last year. Adjusted operating income was $87,605,000 against $75,625,000 for the same period of last year. Adjusted net income was $40,282,000 against $35,628,000 for the same period of last year. Diluted adjusted earnings per share were $0.40 against $0.33 for the same period of last year.
The company updated earnings targets for 2015. For the year, the company continues to expect Dunkin' Donuts U.S. comparable store sales growth of 1% to 3% and Baskin-Robbins U.S. comparable store sales growth of 1% to 3%. The company now expects revenue growth of between 6% and 8% (previously it expected 5% to 7% revenue growth); adjusted operating income growth of between 7% and 8% (previously it expected 6% to 8% adjusted operating income growth); and adjusted earnings per share of $1.87 to $1.91 (previously it expected adjusted earnings per share of $1.83 to $1.87). The company is updating these targets to reflect the financial impact of the agreement with The J.M. Smucker Company and Keurig to make Dunkin' K-Cup® packs available at additional retail outlets nationwide net of the financial impact of the profit-sharing agreement it reached with Dunkin' Donuts U.S. franchisees.
The company continues to expect that Dunkin' Donuts U.S. will add between 410 and 440 net new restaurants, for greater than 5% net unit growth, and expects Baskin-Robbins U.S. will add between 5 and 10 net new restaurants. Internationally, the company continues to target opening 200 to 300 net new restaurants across the two brands. It continues to expect net income of equity method investments to be approximately $13 million. Globally, the company continues to expect to open between 615 and 750 net new restaurants.