Financial Data and Key Metrics Changes - System-wide sales increased by 13.9% to $1.3 billion, while same-store sales declined by 1.9% for the quarter [6][25] - Total revenue increased by 12% to $174.3 million compared to the prior year [26] - Adjusted EBITDA rose by 14.3% to $59.2 million, and adjusted EPS was $1 per diluted share, a 1.6% increase year-over-year [28] Business Line Data and Key Metrics Changes - Company-owned restaurant sales increased by $2.6 million due to same-store sales growth of 3.6% [26] - Cost of sales as a percentage of company-owned sales was 75.2%, a decline of 70 basis points [27] - The implementation of the Wingstop Smart Kitchen has led to a consistent average ticket time of ten minutes in company-owned restaurants [27][14] Market Data and Key Metrics Changes - The company opened 129 net new restaurants globally in the second quarter, marking a nearly 20% growth rate [7][20] - The international business is showing strong demand, with new restaurants in Sydney and Paris exceeding expectations [21][22] - The average unit volume (AUV) has surged over $2 million, with a target of reaching $3 million [24][19] Company Strategy and Development Direction - The company aims to scale brand awareness, drive menu innovation, expand delivery channels, and invest in digital transformation [7][19] - The focus remains on executing long-term strategies to become a top 10 global restaurant brand [22][31] - The company is set to pilot a new loyalty program in Q4 2025, with a full launch planned for 2026 [18][56] Management's Comments on Operating Environment and Future Outlook - Management acknowledged uncertainty in consumer behavior and spending habits but remains focused on controllable factors [8][20] - The company expects to return to positive same-store sales growth as the year progresses, particularly in Q4 [30][88] - Confidence in achieving the adjusted EBITDA growth rate exceeding 15% versus 2024 [31] Other Important Information - The company has increased its quarterly dividend from $0.27 to $0.30 per share, reflecting the strength of its business model [29] - The demand for new restaurant openings remains strong, with over 95% of new units opened by existing brand partners [20][24] Q&A Session Summary Question: Clarification on third quarter guidance and confidence in trends - Management noted some softness in consumer demand but expects to return to growth as comparisons ease in the latter part of Q3 [38][39] Question: Impact of Smart Kitchen on sales - Early results from the Smart Kitchen indicate improvements in speed and guest satisfaction, with significant benefits expected after four months of implementation [41][42] Question: Unit growth and franchisee demand - The company is encouraged by the pace of development and the strength of unit economics, with a record pipeline of sold commitments [50][52] Question: Reception of value deals and impact on average ticket - The 20 for 20 bundle performed well, leading to higher average checks and demonstrating the company's ability to showcase value without sacrificing margins [62] Question: Addressing consumer pressure and promotional strategies - Management emphasized the importance of value initiatives and flavor innovations to engage consumers and address price sensitivity [90][92]

Summary of Sprouts Farmers Market Conference Call Company Overview - **Company**: Sprouts Farmers Market - **Industry**: Natural and Organic Grocery Retail - **Store Count**: Approaching 500 stores with a growth rate of nearly 10% [2][3] Key Points and Arguments Business Strategy and Target Market - Sprouts focuses on a specific target market of health enthusiasts and innovation seekers, representing a $200 billion segment within a $1.4 trillion marketplace [4][5] - The company emphasizes understanding its target customers and tailoring products to meet their dietary needs, such as keto, paleo, vegan, and organic options [5][9] - Fresh produce accounts for 20% of sales, highlighting the importance of freshness in their product offerings [6] Product Sourcing and Brand Strategy - Sprouts has established a "foraging team" to balance private brand products with small, entrepreneurial brands, launching 7,500 new items last year [10][11] - The company aims to be a destination for innovative products, receiving 65,000 applications for new products, but only managing 7,500 [11][12] - The private brand strategy has shifted from commodity equivalents to differentiated products, enhancing brand identity [10] Consumer Behavior and Market Resilience - Despite economic uncertainties, Sprouts has not observed significant changes in consumer behavior, indicating resilience among health-focused customers [18][19] - The company expects continued growth in health-conscious consumers, with a focus on longevity and wellness across demographics [20][21] Product Trends and Sales Performance - Over 50% of produce sales are now organic, with significant growth in gluten-free and keto products [24] - The company is also seeing success in non-alcoholic beverages and attribute-based products across various categories [25] Pricing and Competitive Position - Sprouts maintains a strong focus on produce pricing, ensuring competitive positioning against conventional grocers [27][28] - The company differentiates itself by offering unique products that are not widely available elsewhere, allowing for a unique pricing strategy [29][30] Growth and Expansion Plans - Sprouts plans to open 1,200 to 1,400 new stores, with a focus on the Midwest and Northeast regions, starting in 2027 [60][61] - The company is adapting its store size to 23,000 square feet to facilitate easier execution in new markets [67] Digital Growth and Customer Engagement - Strong growth in digital sales is attributed to a differentiated product assortment and brand trust in fresh produce [73][74] - The average basket size for online orders is approximately double that of in-store purchases, indicating a strong demand for convenience [76] Loyalty Program - A new loyalty program is set to launch, aimed at personalizing customer experiences and enhancing engagement [48][49] - The program is expected to provide insights into customer preferences, allowing for tailored marketing and product offerings [53][54] Capital Allocation and Financial Strategy - The company prioritizes investments in store growth, supply chain, and technology, while also considering share repurchases and potential M&A opportunities [80][84] - Sprouts aims to maintain a stable EBIT margin while reinvesting in long-term growth initiatives [41][42] Additional Important Insights - Sprouts is committed to local sourcing and building relationships with growers in new markets to maintain its farmers market appeal [68][70] - The company is focused on enhancing its supply chain capabilities to improve product freshness and availability [44][45] This summary encapsulates the key insights and strategic directions discussed during the conference call, highlighting Sprouts Farmers Market's commitment to health-focused retailing and its proactive approach to market challenges and opportunities.

Core Viewpoint - Ulta Beauty is expected to experience a temporary decline in earnings per share (EPS) in fiscal year 2025 due to significant investments under the "Ulta Beauty Unleashed" strategy, but a strong recovery is anticipated in fiscal year 2026, outperforming market expectations [2][3][11] Group 1: Financial Projections - EPS for fiscal year 2025 is projected to be $22.70, a decrease of 10.4% from fiscal year 2024, while fiscal year 2026 EPS is expected to rebound to $24.50, exceeding Wall Street's forecast by 7.3% [3][11] - Analysts are using a blended price-to-earnings (P/E) ratio of 16.5x for fiscal year 2025 and 20.0x for fiscal year 2026, leading to a target price of $432.81, representing a 12% upside [7][9] Group 2: Strategic Initiatives - The "Ulta Beauty Unleashed" strategy is expected to drive high-margin revenue growth through enhanced e-commerce capabilities and a robust loyalty program with 44.6 million members [2][4] - Cost optimization initiatives aiming for $200 million to $250 million in savings will fully materialize in fiscal year 2026, further improving operating profit margins [3][4] Group 3: Market Position and Competitive Landscape - Ulta's loyalty program is a significant asset, providing detailed customer insights that enable personalized marketing strategies, enhancing customer engagement and loyalty [4][5] - The upcoming Mirakl e-commerce platform will allow Ulta to expand its product offerings without increasing inventory risks, differentiating it from competitors [6] Group 4: Risks and Market Dynamics - The competitive landscape remains intense, with pressures from new entrants and established players, which could impact market share and profitability [9][10] - Macro pressures, including high debt levels and cautious consumer spending, may pose risks to the anticipated recovery in high-margin beauty products [10]

Financial Data and Key Metrics Changes - Total revenue for the first quarter was $166.3 million, up from $157.9 million in the same period last year, reflecting a year-over-year increase [30] - Same store sales declined by 3.1%, with a 3.4% benefit from menu price increases and a negative 6.5% impact from traffic and mix [30] - Restaurant level profit margin was 17.9%, compared to 18.1% a year ago, while restaurant level profit increased by 4% year over year to $29.7 million [31] - Net loss for the quarter was $25 million, an improvement from a loss of $26.1 million in the prior year [32] - Adjusted EBITDA was $300,000 for the first quarter, indicating slight profitability [33] Business Line Data and Key Metrics Changes - Five new restaurants were opened, bringing the total to 251 [11] - The average unit volume in the first quarter was $2.9 million [31] - The Infinite Kitchen format is showing strong performance, delivering higher digital sales and operational efficiencies compared to traditional formats [12][37] Market Data and Key Metrics Changes - Same store sales grew in more than half of the markets, particularly in the Upper Midwest, Texas, and Colorado, which all experienced double-digit growth [30] - The company noted a decline in sales trends in major markets like New York, Boston, and Los Angeles, attributed to broader consumer slowdown [9][62] Company Strategy and Development Direction - The company aims to revolutionize fast food through menu and technology innovation, strengthen guest connection, and strategically expand its footprint [10] - Plans for 2025 include entering three new markets (Sacramento, Phoenix, Cincinnati) and opening at least 40 new restaurants, with 20 featuring the Infinite Kitchen [14] - The company is focusing on menu innovation, including the recent launch of Ripple Fries and a collaboration with a Michelin-starred Korean steakhouse [15][18] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the uncertain macro environment and declining consumer sentiment, which has impacted sales [27][39] - The company remains confident in its ability to deliver long-term value through its loyalty program and menu innovations [28][41] - Management expects a challenging second quarter but anticipates a recovery in the latter half of the year due to easier comparisons and seasonal menu launches [71] Other Important Information - The company has launched a reimagined loyalty program, SG Rewards, which has seen strong adoption with 20,000 new digital customers added weekly [21][103] - The implementation of an AI-powered workforce management system is expected to enhance operational efficiency and reduce absenteeism [23] Q&A Session Summary Question: Clarification on tariff impacts on build-out costs - Management clarified that the build-out cost for new restaurants will see a 10% increase due to tariffs, with specific impacts on the Infinite Kitchen format [46][47] Question: Plans for mid to lower-priced menu items - Management indicated that they are exploring seasonal menu options and loyalty program promotions to introduce more mid to lower-priced items [52][56] Question: Geographic performance differences - Management noted that Los Angeles is still recovering from the wildfires, while changes in DC performance were also observed [62][63] Question: Sales cadence expectations for 2025 - Management expects a challenging second quarter but anticipates improvement in the latter half of the year due to seasonal offerings and the loyalty program [71] Question: Impact of tariffs on Infinite Kitchen deployment - Management confirmed that current tariff structures would not change the deployment strategy for Infinite Kitchens [74] Question: Updates on capital allocation and investment priorities - Management reiterated the commitment to 15% to 20% annual unit growth, emphasizing strong returns on capital for new stores [100][101]

Financial Data and Key Metrics Changes - Total revenue for Q1 2025 was $166.3 million, up from $157.9 million in Q1 2024, reflecting a year-over-year increase [28] - Same store sales declined by 3.1%, with a 3.4% benefit from menu price increases and a negative 6.5% impact from traffic and mix [28] - Restaurant level profit margin was 17.9%, compared to 18.1% a year ago, with restaurant level profit increasing by 4% year over year to $29.7 million [29] - Net loss for the quarter was $25 million, an improvement from a loss of $26.1 million in the prior year [30] - Adjusted EBITDA was $300,000 for the first quarter, indicating slight profitability [31] Business Line Data and Key Metrics Changes - Five new restaurants were opened, bringing the total to 251 [9] - The average unit volume (AUV) for the first quarter was $2.9 million [28] - The Infinite Kitchen format showed strong performance, delivering higher digital sales and operational efficiencies [11][34] Market Data and Key Metrics Changes - Same store sales grew in more than half of the markets, particularly in the Upper Midwest, Texas, and Colorado, which all experienced double-digit growth [28] - Los Angeles continued to be impacted by the aftermath of wildfires, affecting sales performance [57] Company Strategy and Development Direction - The company’s strategic pillars for 2025 include menu and technology innovation, strengthening guest connection, and expanding its footprint [8] - Plans to enter three new markets (Sacramento, Phoenix, and Cincinnati) and open at least 40 new restaurants, including 20 with the Infinite Kitchen format [13] - The company aims to enhance its loyalty program and menu innovation to drive customer engagement and sales [20][26] Management's Comments on Operating Environment and Future Outlook - The macro environment remains uncertain, with April sales trends reflecting a broader consumer slowdown [7] - Management expressed confidence in the long-term value delivery despite current challenges, emphasizing operational excellence and continuous improvement [7][25] - The company anticipates flat same store sales growth for the fiscal year, with revenue guidance between $740 million and $760 million [38] Other Important Information - The company launched a reimagined loyalty program, SG Rewards, which has seen strong adoption with 20,000 new digital customers added weekly [20] - The company is focused on optimizing operations and enhancing guest experience through technology and menu innovation [22][21] Q&A Session Summary Question: Clarification on tariff impacts on build-out costs - The build-out cost for new restaurants is expected to increase by approximately 10% due to tariffs, with specific impacts on the Infinite Kitchen format [42][44] Question: Plans for mid to lower-priced menu items - The company is exploring opportunities to introduce mid to lower-priced items through seasonal menus and loyalty programs, without presenting them as a traditional value menu [49][51] Question: Geographic performance differences - Notable performance differences were observed in Los Angeles due to wildfires and changes in Washington DC, where older stores experienced a decline [57][58] Question: Sales cadence expectations for 2025 - The second quarter is expected to be challenging, but the company anticipates improved performance in the second half of the year due to easier comparisons and seasonal menu launches [66] Question: Impact of tariffs on Infinite Kitchen deployment - Current tariff structures will not change the deployment strategy for Infinite Kitchens, as the return on capital remains favorable [68] Question: Updates on capital allocation and investment priorities - The company maintains a growth target of 15% to 20% for new unit openings, with strong returns on capital supporting this strategy [92][95] Question: Metrics on the SG Rewards program - The loyalty program has successfully acquired 20,000 new digital customers weekly, providing valuable data for customer engagement and menu development [96][98]

Financial Data and Key Metrics Changes - In Q1 2025, total revenue increased by 29% year-over-year to $355 million, representing an $80 million increase compared to the same quarter last year [32] - Adjusted EBITDA for Q1 was $63 million, a 20% increase year-over-year, reflecting strong operational performance [34] - System same shop sales growth was 4.7%, with transaction growth of 1.3% and ticket growth of 3.4% [33] Business Line Data and Key Metrics Changes - Company-operated same shop sales grew by 6.9%, with transaction growth contributing 3.7% [35] - Company-operated shop contribution was $96 million, a 30% increase year-over-year [35] - Beverage, food, and packaging costs accounted for 25% of company-operated shop revenue, which is 70 basis points favorable year-over-year [35] Market Data and Key Metrics Changes - The company opened 30 new shops in Q1, bringing the total system shop count to 1,012 [32] - The company anticipates maintaining the pace of new shop openings in Q2 and expects to open at least 160 system shops in 2025 [32][42] Company Strategy and Development Direction - The company aims to open a total of 2,029 shops by 2029, focusing on sustainable transaction growth and addressing structural barriers [7] - A strategic investment in real estate capabilities and market planning is expected to enhance new shop productivity and support accelerated growth [16] - The company is focusing on foundational transaction-driving initiatives, including innovation, paid advertising, and the Dutch rewards program [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the brand's ability to thrive despite a dynamic external environment, citing strong customer loyalty and brand enthusiasm [6] - The company is mindful of potential uncertainties in the broader consumer environment but has seen strong traffic trends into April [33][114] - Management believes that the combination of strong cash generation and liquidity will support continued growth [41] Other Important Information - The company has a robust training program for its employees, which is seen as a key differentiator in customer service [12] - The Dutch rewards program accounted for approximately 72% of system transactions, indicating its effectiveness in driving customer engagement [22] Q&A Session Summary Question: Clarification on second quarter expectations - Management feels good about the momentum into Q2, with traffic trends aligning with expectations despite rolling off about 150 basis points of price [45][46] Question: New store productivity - New shop productivity was strong in Q1, with some of the best openings recorded, and management expects this trend to continue throughout the year [50] Question: Mobile order incrementality - Management noted that mobile order is driving increased frequency and rewards sign-ups, particularly benefiting morning traffic [56][60] Question: Labor costs and leadership investments - Management indicated that recent investments in shop leadership compensation are expected to offset labor cost increases, maintaining a flat trajectory moving forward [66] Question: Food opportunity and margin profile - Management is strategically launching food offerings to capture additional beverage opportunities while managing complexity, with food margins being lower than beverage margins but still contributing positively overall [94] Question: Brand resilience in a slowing macro environment - Management expressed confidence in the brand's value proposition and its ability to resonate with customers despite broader economic challenges [105][108]

Financial Data and Key Metrics Changes - In Q1, EBITDA decreased to $54.7 million from $60.8 million in the same quarter last year [12] - Revenues increased by 4% to $214.8 million compared to $206.2 million in the prior year [28] - Adjusted free cash flow was $14.6 million, down from $29.7 million in the same period last year [30] - Adjusted diluted EPS for Q1 was $1.03 compared to $1.33 for the same quarter of the previous year [29] Business Line Data and Key Metrics Changes - Applebee's reported a 2.2% decline in comp sales, while IHOP posted a negative 2.7% in comp sales [12][32] - Applebee's value mix increased from 28% to 34%, and IHOP's value mix increased from 16% to 19% [9] - Off-premise comp sales at Applebee's increased by 3.7% compared to last year [12] Market Data and Key Metrics Changes - Approximately 13% of IHOP's and 10% of Applebee's annual market basket comes from international markets [10] - Applebee's commodity costs increased by 0.5%, while IHOP's commodity costs increased by 8.4% compared to the prior year [33] Company Strategy and Development Direction - The company is focusing on three key priorities: elevating guest experience, enhancing menu and value programs, and better communicating brand value [7] - The company is committed to remodeling Applebee's restaurants and has initiated a reimaging incentive program for franchisees [31][25] - The dual brand concept is being expanded, with plans to open 13 additional dual brands and complete 10 dual conversions this year [20] Management's Comments on Operating Environment and Future Outlook - Management noted that consumer confidence has declined, affecting spending, particularly among lower-income guests [8] - Despite challenges, management expressed optimism about the positive momentum seen in sales and traffic in March and April [9][41] - The company is maintaining its full-year financial guidance at this time [35] Other Important Information - The company is actively monitoring global trade tensions and their potential impact on operations, confirming that only a small portion of their market basket is sourced internationally [10] - The company has implemented projects resulting in over $14 million of annualized savings across both systems in 2025 [35] Q&A Session Summary Question: Context on Applebee's performance in April - Management noted modest improvement in January, pressure in February, and a significant improvement in March that continued into April, driven by promotions and off-premise sales [41][42] Question: IHOP's same-store sales guidance - Management indicated that the positive trend in traffic is driven by the success of the house faves menu and ongoing marketing efforts [49][55] Question: Value proposition at both brands - Management emphasized the importance of listening to consumers and evolving the value proposition based on feedback and market conditions [60][62] Question: Franchisee sentiment and development demand - Management expects a healthy mix of dual brands and single brands, with ongoing interest from franchisees in new openings [66][68] Question: Applebee's remodel package details - The remodel package is expected to cost between $200,000 to $300,000 per location, with incentives for franchisees [71][72] Question: Average check growth expectations - Management indicated that menu pricing increases are expected to normalize in the low single-digit range moving forward [75]

Financial Data and Key Metrics Changes - In Q1 2025, EBITDA decreased to $54.7 million from $60.8 million in the same quarter last year [13] - Revenues increased by 4% to $214.8 million compared to $206.2 million in Q1 2024 [28] - Adjusted free cash flow was $14.6 million, down from $29.7 million in the prior year [30] - Adjusted diluted EPS for Q1 2025 was $1.03, compared to $1.33 in Q1 2024 [29] Business Line Data and Key Metrics Changes - Applebee's reported a 2.2% decline in comp sales, while IHOP posted a negative 2.7% in comp sales [13][32] - Off-premise comp sales at Applebee's increased by 3.7%, driven by promotions [13] - IHOP's house faves value menu contributed to traffic growth, outperforming the family dining segment [18] Market Data and Key Metrics Changes - The value mix at Applebee's increased from 28% to 34%, while IHOP's value mix rose from 16% to 19% [9] - Approximately 13% of IHOP's and 10% of Applebee's annual market basket is sourced internationally [11] Company Strategy and Development Direction - The company is focused on three key priorities: elevating guest experience, enhancing menu and value programs, and better communicating brand value [7] - The dual brand concept is being expanded, with plans for 13 additional dual brands and 10 conversions this year [21][23] - The company is committed to remodeling Applebee's restaurants and has introduced an early adopter incentive for franchisees [31][75] Management's Comments on Operating Environment and Future Outlook - Management noted that consumer confidence has declined, affecting spending, particularly among lower-income guests [8] - Despite challenges, there was positive momentum in sales and traffic in March and April [9][94] - The company maintains its full-year financial guidance, indicating confidence in its strategic initiatives [35] Other Important Information - The company is actively monitoring global trade tensions and their potential impact on costs, with a small portion of market basket sourced internationally [10] - The company has implemented cost-saving initiatives resulting in over $14 million of annualized savings across both systems [34] Q&A Session Summary Question: Context on Applebee's performance in April - Management noted modest improvement in January, pressure in February, but a significant improvement in March that continued into April, driven by promotions and off-premise sales [41][42] Question: IHOP's same-store sales guidance - Management confirmed confidence in IHOP's guidance due to traffic momentum and successful marketing initiatives [50][56] Question: Value proposition at both brands - Management emphasized the importance of evolving the value proposition based on consumer feedback and market conditions [59][63] Question: Applebee's remodel package details - The remodel package is expected to cost between $200,000 to $300,000 per franchisee, with incentives provided for early adopters [72][75] Question: Average check growth expectations - Applebee's check increased slightly, while IHOP's check dropped due to a shift in product mix [77] Question: Operational simplification examples - Management highlighted improvements in ordering speed through technology and operational flow enhancements [81][84] Question: Future direction for Club Applebee's - The company plans to enhance Club Applebee's with more personalized marketing and exclusive offers for members [87][92]

Financial Data and Key Metrics Changes - Dine Brands Global, Inc. generated $106.4 million in adjusted free cash flow for fiscal 2024, an increase from $103.3 million in the previous year, indicating financial stability [10][52] - Adjusted EBITDA for the full year was $239.8 million, down from $256.4 million in 2023, with Q4 adjusted EBITDA at $50.1 million compared to $62.2 million in Q4 2023 [11][50] - Total revenues decreased by 0.7% to $204.8 million in Q4, with full-year revenues at $812.3 million, reflecting negative comps and a decrease in rental revenues [48][49] Business Line Data and Key Metrics Changes - IHOP experienced a full-year comp sales decline of 2%, with Q4 comp sales at negative 2.8% [12] - Applebee's comp sales were negative 4.2% for the full year, with a decline of 4.7% in Q4 [12] - The company took back 47 Applebee's restaurants in November, which contributed to an increase in company restaurant sales [11][48] Market Data and Key Metrics Changes - The macroeconomic environment in 2024 significantly impacted consumer spending, particularly affecting guests with household incomes under $75,000, who represent about two-thirds of the customer base [13] - Average weekly sales for Applebee's in 2024 were $52.3 thousand, while IHOP's average weekly sales were $37.7 thousand [54][55] Company Strategy and Development Direction - The company aims to improve performance in 2025 by focusing on enhancing guest experience, improving operations, and refining menu offerings [15][18] - Dine Brands plans to remodel 30 Applebee's restaurants under the "Lookin' Good" program and convert five restaurants to a dual-brand concept [16][24] - The dual-brand concept is seen as a competitive advantage, with locations achieving 1.5% to 2x the revenue compared to single-brand restaurants [40][42] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that 2024 performance did not meet expectations but expressed confidence in the company's ability to achieve better results in 2025 [14][46] - The company is optimistic about international growth potential, particularly in Canada, Mexico, and the Middle East, and plans to expand dual-brand locations [38][39] Other Important Information - The company has initiated a nationwide search for a new leader for Applebee's following the resignation of Tony Moralejo [8][9] - In 2024, the company implemented projects resulting in over $50 million of annualized savings across the system [58] Q&A Session Summary Question: What is the primary source of the recent underperformance of your brands? - Management indicated that the focus is on value communication and that recent promotions like the "Really Big Meal Deal" and "House Faves" have shown progress in increasing traffic [70][72] Question: Can you provide more details on the value plans for Applebee's? - The company is building an everyday value platform that includes new offerings for groups and individuals, expected to roll out in late spring or early summer [80][81] Question: How confident are franchisees in the turnaround plan? - Franchisees are aligned with the company's plans for 2025, with strong interest in renovation incentives and new openings [88][90] Question: What is the outlook for IHOP's food costs, particularly regarding eggs? - IHOP expects low to mid-single-digit inflation primarily driven by egg prices, but franchisees have not implemented surcharges [105][106] Question: What innovations were implemented in 2024, and what is planned for 2025? - Innovations included the dual-brand concept and new menu items, with plans to enhance the loyalty program and marketing strategies in 2025 [110][114]