SPARTANBURG S.C. Amid a restructuring that includes staff layoffs, divestments of real estate and the sale of some corporate restaurants to franchisees, Denny’s Corp. posted a 79.1-percent plunge in third-quarter profit on a 6.5-percent decline in revenue to $241.4 million. However, same-store sales rose 1.3 percent at corporate units and 3.2 percent at franchised units.
The operator or franchisor of 1,539 namesake restaurants said net income for the three months ended Sept. 26 was $5.3 million, or 5 cents per share, versus $25.5 million, or 26 cents per share, a year earlier. Last year's third-quarter results were aided by sales of assets totaling $39 million.
The parent of the largest family-dining brand said adjusted income before taxes for this year's third quarter was $5.8 million, up from $5.6 million last year. Denny's restructuring has included a $45.2 million paydown of debt through September and a newly completed staff realignment that should save as much as $6 million annually, the company said.