Dine Brands lifts sales as Applebee’s improves, Ihop flatlines

Applebee's storefront
Applebee’s domestic same-restaurant sales increased 1.9 per cent. (Source: Applebee's/Facebook)

Dine Brands Global reported a sales uplift for the first quarter, driven by the positive performance at the Applebee’s Neighborhood Grill + Bar chain.

The company’s total revenues for the quarter ended March 29 rose 4.8 per cent to $225.2 million.

Applebee’s domestic same-restaurant sales increased 1.9 per cent, with off-premise sales accounting for 23.9 per cent of sales mix.

Ihop’s domestic comparable sales remained flat. Off-premise sales accounted for 21.5 per cent of the chain’s sales mix. 

Net income available to common stockholders was down from $7.8 million in the prior year to  $7.2 million. Adjusted EBITDA fell from $54.7 million to $50.8 million.

The company opened 24 Applebee’s and Ihop restaurants, but closed 40 locations during the quarter.

“We’re confident in the progress of our strategy and continue to make great progress on our dual brand opportunity where we remain on track to achieve approximately 80 domestic restaurants by the end of the year,” commented Dine Brands CEO John Peyton.

For the full year, the company expects both Applebee’s and Ihop’s domestic same-restaurant sales to be flat to up 2 per cent.

Last year, Dine Brands’ revenue rose 8.2 per cent to $879.3 million, while net income dropped 75 per cent due to impairment charges and higher expenses.

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