News

Sonic reports Q1 same-store sales increase

Sonic is projecting same-store sales in the low single digit range for the system for the rest of the year.

January 12, 2015

Sonic Corp. announced a same-store sales increase of 8.5 percent for Q1 2015.

The results consisted of an 8.5 percent same-store sales increase at franchise drive-ins and an increase of 7.9 percent at company drive-ins.

In other results:

• Company drive-in margins improved by 70 basis points versus the first quarter of fiscal year 2014
• 13 new drive-ins opened

"We are extremely pleased with our performance in the first quarter and believe that our focus on innovative products, increased media effectiveness and a layered day-part promotional strategy were instrumental to our continued success," said Cliff Hudson, Sonic Corp. CEO, in a company press release. "Our business momentum remains strong as improvements in core menu items combined with limited-time-offer promotions are driving our same-store sales growth. Further, we expect our technology initiatives will provide an additional layer of growth to build sales and profits over the next several years.

Sonic is projecting same-store sales in the low single digit range for the system for the rest of the year.

Positive same-store sales in the low single digit range for the system, with company drive-in same-store sales growth expected to outperform franchisees for the fiscal year as a result of the recent implementation of new digital menu boards and point-of-sale systems.

Sonic is also projecting 50 to 60 new franchise drive-in openings, resulting in net unit growth for the system.