News

Dunkin' Brands declares increased dividend

February 6, 2018

Dunkin' Donuts and Baskin-Robbins parent company, Dunkin' Brands Group Inc. released both its Q4 and 2017 yearly financials and announced that it was declaring an increased dividend of $0.3475 per share of common stock. The dividend, as such, represents a 7.75 percent increase over the prior quarter's dividend, a news release said.
 
Among the highlights of the chain's accounting numbers last year are the following: 

• 0.6 percent Dunkin' Donuts U.S. comparable store sales growth.
• Flat Baskin-Robbins U.S. comparable store sales growth.
• 440 restaurants added globally, with 313 net new Dunkin' Donuts in the U.S.
• 3.8 percent increases in revenues, or 4.9 percent on a 52-week basis.
• 80.1 percent increase in diluted EPS to $3.80.
• 7.5 percent diluted adjusted EPS increase to $2.43.

Additionally, the company released the Q4 highlights for its brands, including: 

• Positive comp store sales in all four business segments.
• 0.8 percent comp stores sales growth for Dunkin' Donuts U.S. 
• 5.1 percent comp stores sales growth foor Baskin-Robbins U.S. 
• 141 new restaurants opened globally. 
• 5.3 percent revenues increase on a 13-week basis.
• 249 percent increase in diluted EPS on a 13-week basis, to $2.13.
• Unchanged diluted adjusted EPS.

The results reflect either the 13-week fourth fiscal quarter or 52-week fiscal year results, ending Dec. 30, 2017. 

"Morning comparable store sales increased each quarter sequentially, and we had our highest quarterly beverage comparable sales of the year in the fourth quarter of 2017, driven by iced coffee and Frozen Dunkin' Coffee," Dunkin' Brands Chairman and CEO Nigel Travis said in the release. 

"Our strategic focus on morning sales yielded improved customer counts in that critical daypart during the last three quarters of the year and we are actively working to drive afternoon traffic through p.m. beverages and food along with all-day value offers that kicked-off in January. Additionally, in 2017, we believe that Dunkin' Donuts was once again one of the fastest growing retail brands by unit count in the country." 

Travis said the company last year also added more than 2 million loyalty program members to bring the total to about 8 million, while also boosting out-of-restaurant packaged goods retail sales by more than 30 percent and testing a simplified menu in 1,000 restaurants. 

"We strongly believe the simplified menu --  which is expected to roll-out nationally by the end of the first quarter — will improve franchisees' profitability and enable us to better serve customers."