Sonic reported net income per diluted share of 7 cents, which beat the 6 cents expected by analysts polled by Thomson Reuters. This also marked a slight increase from the 6 cents per diluted share in the same period one year earlier. Excluding adjustments, net income per diluted share increased 40% year over year.
Same-store sales increased 1.4%, which included a 1.5% increase at franchise drive-ins and a 1.3% increase at company drive-ins; company drive-in margins also improved 80 basis points.
Sonic also repurchased approximately $51 million of stock in the quarter, which represents almost 5% of its stock outstanding as of the beginning of the quarter.
"We are very pleased with our second quarter results, especially in light of the difficult weather that impacted many of our markets. Our solid sales and financial performance resulted from multiple system-wide initiatives such as increased media efficiency, innovative products and layered day-part promotions. These initiatives complement our focus on service, products and pricing," said Sonic President, Chairman and CEO Cliff Hudson in a statement. "During the quarter we also began to roll out our technology initiatives, as well as signed new franchise development agreements for the development of 26 new drive-ins."
The stock was up more than 6% to $22.25 in after-market activity on Monday.
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