Dine Brands Global, Inc. (NYSE:DIN) Q3 2022 Earnings Conference Call November 2, 2022 9:00 AM ET

Company Participants

John Peyton - CEO

Vance Chang - CFO

John C. Cywinski - President, Applebee’s

Jay D. Johns - President, IHOP

Brett Levy - VP, IR & Treasury

Conference Call Participants

Eric Gonzalez - KeyBanc Capital Markets

Jake Bartlett - Truist Securities

Jeffrey Bernstein - Barclays

Nick Setyan - Wedbush Securities

Brian Mullan - Deutsche Bank

Brian Vaccaro - Raymond James

Andrew Wolf - CL King

Operator

Good day. Thank you for standing by. Welcome to the Dine Brands Global Third Quarter 2022 Conference Call. At this time all participants are in a listen-only mode. After the speakers presentation there will be a question-and-answer session. [Operator Instructions]. Please be advised that today’s conference is being recorded. I would like to hand the call over now to Brett Levy and we apologize for all technical difficulties. Thank you.

Brett Levy

Good morning, and welcome to Dine Brands' third quarter conference call. I'm Brett Levy, Vice President of Investor Relations and Treasury for Dine Brands Global, and I’m joined this morning by John Peyton, CEO; Vance Chang, CFO; John Cywinski, President of Applebee's; and Jay Johns, President of IHOP.

Before we turn the call over to John, please remember our Safe Harbor regarding forward-looking information. During the call, management may discuss information that is forward-looking and involves known and unknown risks, uncertainties, and other factors, which may cause the actual results to be different than those expressed or implied. Please evaluate the forward-looking information in the context of these factors, which are detailed in today's press release and 10-Q filing. The forward-looking statements are as of today, and assumes no obligation to update or supplement these statements.

We may also refer to certain non-GAAP financial measures, which are described in our press release and also available on Dine Brands' Investor Relations website. While we may provide color on inter quarter trends related to volatility and uncertainty, we have returned to our traditional quarterly reporting schedule. Please note our third quarter’s results are inclusive of the company operated Applebee’s units as the transaction had not closed during the quarter. With that, I will turn the call over to John.

John Peyton

Thanks, Brett and good morning, everyone. Thanks for joining us today. We delivered another solid quarter, thanks to the strength of our brands, our operational and marketing agility, and most importantly, our seasoned team of franchisees, our Applebee's, IHOP and Dine leaders and our team members. As you know and as you've heard from others, economic headwinds persist, particularly inflation and consumer sentiment. Despite this macro environment, our brands remained resilient. Applebee's and IHOP achieved positive comp sales of 3.8% and 1.9% respectively. Q3 was Applebee's seventh consecutive quarter of comp sales growth and the sixth for IHOP. In addition, our dining results continued to improve as Applebee's is ahead of 2019 and IHOP is continuing to gain ground. And our off premise sales remained more than two times pre-pandemic levels.