Noodles & Company reports Q2 EPS (12c), consensus (5c)

Reports Q2 revenue $126.43M, consensus $131.62M. Comparable restaurant sales increased 1.5% system-wide. Drew Madsen, CEO of Noodles & Company, remarked, “We are encouraged to have delivered positive comparable restaurant sales of 1.5% in the second quarter despite a challenging consumer environment that has led to heightened discounting and promotional activity across the industry. Our sales and traffic moderated after the initial successful rollout of our new menu due to the strong value-conscious climate as well as slower guest adoption of the upgrades made to some of our historic menu items. We have been moving decisively to address these factors, particularly around guest value perception. Our new Delicious Duos value-focused platform, that launched at the beginning of August, is off to a great start. Comparable restaurant sales have increased to an average of positive 5% over the past two weeks, demonstrating that our value-focused initiatives are resonating with guests.”