rose early Wednesday, even though the company reported mixed November same-store sales and forecast a fourth-quarter loss because of problems at its Baja Fresh Mexican Grill unit.
The Ohio-based restraint chain said it expects a quarterly loss of $1.02 to $1.23 a share and a full-year loss of 44 cents to 46 cents a share, reflecting "goodwill, store closing and market impairment charges."
Excluding charges related to the closing of 15 to 18 restaurants, the company expects EPS of 46 cents to 50 cents in the quarter and $2.13 to $2.17 for the full year.
The consensus forecasts of analysts are 55 cents a share and $2.22 a share, respectively, according to Thomson First Call.
"The store closings and market impairments are decisive initiatives to position Baja Fresh for stronger performance," the company said, adding that the restaurant chain has been successful in several key markets. "We expect these new initiatives to improve the results at Baja Fresh and return metrics for the enterprise."
Wendy's also reported same-store sales for November, which showed strong gains at its Tim Horton's chain but declines at its flagship hamburger chain.
Sales at Tim Horton's U.S. outlets rose 8.2% during the month and are up 9.8% year to date. Canadian store sales rose 6.5% to 6.8%.
Wendy's U.S. stores suffered a 5.3% decline. Same-store sales at its international locations fell 4.65 to 4.8%.
Shares rose 64 cents, or 1.8%, to $36.31 in premarket trading.