Wendy's Tops Profit Expectations, Announces Store And Asset Sale Plans

Fast food burger chain Wendy's Co. reported on Wednesday a first-quarter profit that fell to $27.5 million, or 7 cents a share, from $46.3 million, or 12 cents a share, in the same period a year ago. Excluding non-recurring items, adjusted earnings per share came in at 6 cents, beating the FactSet consensus of 5 cents. Revenue declined 11% to $466.2 million, just shy of the FactSet consensus of $475 million, as the company owned 240 fewer restaurants. Systemwide same-restaurant sales rose 3.2%, above the FactSet consensus of 2.7%. The company said it planned to sell its bakery operations during the second quarter, and to sell a total of 380 restaurants in 2015 and about 260 restaurants in 2016. The stock, which rose 1.2% in light premarket trade, has run up 16% year to date while the S&P 500 has gained 1.5%.