NASDAQ$DENN

Denny's Corp. · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Reported results for the second quarter of 2022, demonstrating resilience amidst inflationary pressures and strategic expansion with the acquisition of Keke’s Breakfast Café.

Denny's Corporation reported an 8.3% increase in total operating revenue to $115.0 million for the second quarter of 2022. Net income was $23.0 million, or $0.37 per diluted share. The company also completed the acquisition of Keke's Breakfast Café and repurchased $37.4 million of common stock.

  • Total operating revenue increased by 8.3% to $115.0 million compared to the prior year quarter.
  • Domestic system-wide same-store sales grew 2.5% compared to the equivalent fiscal period in 2021.
  • Net income was $23.0 million, or $0.37 per diluted share.
  • Adjusted EBITDA was $17.2 million.

Headline financials

Total Revenue

$115M

Previous: $106M+8.3%
EPS (adj)

$0.11

Previous: $0.18-38.9%
Franchise Operating Margin

46.4%

Previous: 51.0%-9.0%
Company Restaurant Operating Margin

8.8%

Previous: 20.5%-57.1%
Free Cash Flow

$6.6M

No prior period
Net Income

$23M

Previous: -$828K+2877.8%
Operating Income

$13.9M

Previous: $18.3M-24.2%
Gross Profit

$31.3M

Previous: $39.6M-20.9%
Cash & Equivalents

$1.36M

Previous: $10.9M-87.5%
Total Assets

$393M

Previous: $418M-6.1%
Stock-Based Comp

$3.51M

Previous: $3.39M+3.5%

Revenue & EPS history

Denny's · Revenue · Quarterly

$115M

Q2 2022+8.3%vs Q2 2021
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Denny's · $115M total across 2 segments · Q2 2022

  • Franchise and License Revenue
    $65.9M+12.4%
  • Company Restaurant Sales
    $49.2M+3.4%

Forward guidance

The following expectations for the fiscal third quarter ending September 28, 2022, inclusive of Keke's Breakfast Café, reflect management's expectations that the current consumer and economic environment will not change materially.

Tailwinds

  • Denny's domestic system-wide same-store sales between 0% and 2%.
  • Consolidated total general and administrative expenses between $17.5 million and $18.5 million, including approximately $2 million related to share-based compensation expense.
  • Consolidated Adjusted EBITDA between $19 million and $21 million.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 16 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

-0.0%

Avg return

Earnings day

-0.9%

Avg return

5 days after

-2.4%

Avg return

30 days after

41%

26 / 64 earnings

Positive

+50.1%

Q3 2025

Best reaction

-23.8%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026
Q4 2025
Q3 2025+50.1%+48.7%+50.1%
Q2 2025-3.3%-0.5%+31.8%
Q1 2025+3.2%+17.9%+2.6%
Q4 2024-23.8%-27.5%-41.5%
Q3 2024-17.2%-5.9%-3.8%
Q2 2024-1.6%-12.2%-11.9%
Q1 2024-2.1%-1.3%-15.2%
Q4 2023-10.1%-9.9%-13.7%
Q3 2023+1.2%+7.5%+11.7%
Q2 2023-11.2%-12.9%-19.1%
Q1 2023-5.4%-4.1%+1.6%
Q4 2022+1.3%+3.6%-11.0%
Q3 2022+2.6%+4.1%+10.6%
Q2 2022+8.1%+0.4%+2.1%
Q1 2022-14.8%-18.9%-20.4%
Q4 2021-2.6%-3.4%-11.9%
Q3 2021-2.2%
Q2 2021+5.8%
Q1 2021-4.3%
Q4 2020-0.9%
Q3 2020-13.6%
Q2 2020+4.9%
Q1 2020+4.6%
Q4 2019-3.4%
Q3 2019-3.2%
Q2 2019+3.8%
Q1 2019+1.5%
Q4 2018-3.6%
Q3 2018+20.6%
Q2 2018-7.1%
Q1 2018-14.4%
Q4 2017+3.7%
Q3 2017+1.8%
Q2 2017+8.4%
Q1 2017-6.5%
Q4 2016+12.0%
Q3 2016+6.1%
Q2 2016-2.0%
Q1 2016+6.1%
Q4 2015+5.1%
Q3 2015-6.3%
Q2 2015+8.0%
Q1 2015-0.3%
Q4 2014+5.6%
Q3 2014+10.8%
Q2 2014+9.9%
Q1 2014+5.4%
Q4 2013+0.0%
Q3 2013-1.9%
Q2 2013-3.6%
Q1 2013+0.0%
Q4 2012-1.8%
Q3 2012-1.5%
Q2 2012-4.2%
Q1 2011-4.1%
Q1 2012+3.4%
Q4 2009-1.4%
Q4 2011-1.4%
Q3 2010-3.8%
Q3 2011-3.8%
Q4 2010-7.8%
Q2 2011-7.8%
Q2 2010-3.0%
Q1 2010+11.1%

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