Wendy's Credits Franchise Model For Topping Q3 Estimates

Wendy's Co. said it had net income of $7.6 million, or 3 cents per share, in the third quarter, down from $22.8 million, or 6 cents per share, for the same period in 2014. The company reported adjusted earnings of 9 cents per share compared with a FactSet consensus of 8 cents per share. Revenue totaled $464.6 million for the quarter versus $496.7 million for the same period in 2014. The FactSet consensus was for $435 million. North American same-store sales increased 3.1% for the quarter. The FactSet consensus was 2.3%. Same-store sales at company-operated restuarants was 1.7% and at franchise-operated restaurants, it was 3.3%. Company Chief Executive Emil Brolick said in a statement that the company has transitioned "to a predominately franchised model." Wendy's shares are up 4.4% for the year so far. The S&P is up 2.5% for the same period.