News
Popeyes global comps down 1% for Q4
January 10, 2010
AFC Enterprises Inc., the franchisor and operator of Popeyes, has reported that same-store sales were down for the fourth quarter ended Dec. 27, 2009.
Global same-store sales were down 1 percent in the fourth quarter, compared to a decrease of 2.1 percent during the same time last year. Domestic same-store sales decreased 1 percent, compared to a decrease of 2.8 percent last year, with this improvement resulting from the company's strategy of advertising more compelling price points and using more efficient media.
According to independent data, during the fourth quarter Popeyes' domestic same-store sales have continued to outpace both the QSR category and Chicken QSR category. International same-store sales decreased 0.8 percent compared to an increase of 4.1 percent last year.
For the year, global same-store sales increased 0.7 percent, compared to a decrease of 1.7 percent last year, and were consistent with the company's previous guidance at the lower-end of flat to positive 2 percent.
The company did not release revenue or income information.
The Popeyes system opened 44 new restaurants during the fourth quarter, compared to 43 last year. These openings included 20 domestic and 24 international restaurants. Total global openings of 95 restaurants in fiscal 2009, which included 39 domestic and 56 international restaurants, were slightly lower than previous guidance of 100-110, due primarily to permit delays. The Popeyes system permanently closed 81 global restaurants in fiscal 2009, resulting in 14 net restaurant openings which exceeded previous guidance of 0-10 net openings. Fiscal 2009 closures consisted of 51 domestic and 30 international restaurants.
At fiscal year-end, Popeyes had 1,943 restaurants compared to 1,922 last year. Total unit count was comprised of 1,576 domestic and 367 international restaurants in 27 foreign countries and two territories. Of this total, 1,906 were franchised and 37 were company-operated restaurants.
AFC Enterprises CEO Cheryl Bachelder said, "During the fourth quarter, Popeyes was able to sustain positive traffic momentum, outperforming both QSR and Chicken QSR categories, where same-store sales and traffic remained weak. As a result, our full year same-store sales remained positive, and we have gained market share in the chicken category. This is a strong position given the market conditions. New restaurant openings were slightly below our full year guidance, but we exceeded our net restaurant openings guidance as a result of fewer restaurant closures. We are pleased with our team's accomplishments in 2009, and we believe our strategic plan initiatives will gain further momentum in 2010 on this solid foundation."
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