CKE Restaurants, Inc. Reports Positive Period Five Blended Same-Store Sales

2007-06-28
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  • CKE Restaurants Both Brands Record Highest Period Five Average Unit Volumes in Recent History

    CKE Restaurants, Inc. (NYSE:CKR) announced period five same-store sales for the four weeks ended June 18, 2007, for Carl's Jr.(R) and Hardee's(R).

                 Brand            Period 5            Year to Date
    FY 2008 FY 2007 FY 2008 FY 2007
    Carl's Jr. +2.8% +4.7% +0.5% +5.4%
    Hardee's +2.6% +4.6% +2.0% +5.4%
    Blended +2.7% +4.7% +1.3% +5.4%


    Commenting on the Company's performance, Andrew F. Puzder, president and chief executive officer, said, "We are pleased to report positive blended same-store sales for period five, as well as our 20th consecutive period of positive sales for Hardee's. Both of our major brands benefited during the period from successful product introductions supported by our cutting-edge advertising. Going forward, we are confident that our continued focus on customer service initiatives combined with our remodel and dual-branding programs can continue to generate near- and long-term sales gains."
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    "Carl's Jr. introduced the Teriyaki Burger(TM) on May 23, and began media support for the sandwich that evening on the season finale episodes of American Idol and Lost. The sandwich features an all-beef, charbroiled patty that is dressed with red onion, tomato, lettuce and mayonnaise, then topped with teriyaki sauce, melting Swiss cheese, and a juicy slice of DOLE(R) pineapple that has been grilled on the chain's signature charbroilers. In addition, Carl's Jr. debuted its latest flavor variety of its Hand-Scooped Ice Cream Shakes & Malts(TM) lineup -- Orangesicle(TM) -- on May 23. The combination of orange creme syrup with real vanilla ice cream and milk provides our guests a delicious way to cool down during the summer months," said Puzder.

    "On a two-year cumulative basis, same-store sales at Carl's Jr. have increased approximately seven and a half percent. Average unit volumes for period five were higher than any comparable period five ever." Revenue for period five from company-operated Carl's Jr. restaurants (exclusive of franchise-related revenue and royalties) was approximately $46.4 million.

    "At Hardee's, the Patty Melt Thickburger(TM) was promoted during the period. The chain's authentic take on this American classic features a 1/3-pound Angus beef patty topped with grilled onions and melted American cheese between two slices of real grilled rye bread. Media support for the product also began on May 23 during the American Idol and Lost season finales. In addition, the brand promoted the Breakfast Club Sandwich(TM) during the breakfast daypart," Puzder continued. "On a two-year cumulative basis, Hardee's same-store sales have increased more than seven percent. In addition, Hardee's period five average unit volume was higher than any comparable period five since 1994, which is as far back as we can check." Revenue for period five from company-operated Hardee's restaurants (exclusive of franchise- related revenue and royalties) was approximately $50.3 million.

    For period five, consolidated revenue from company-operated restaurants (exclusive of all franchise-related revenue and royalties) was approximately as follows:

                   Carl's Jr.                $46.4 million
    Hardee's $50.3 million
    Total $96.7 million



    Logos, product and company names mentioned are the property of their respective owners.

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