Dunkin Brands reported Q1 2018 earnings on Thursday, reporting a $0.09 EPS earnings beat versus consensus, revenue was $1.8 M light, while the stock was down $ .31 for the day, having changed little. Dunkin US reported negative .4% for same store sales, with ticket up and traffic down by unspecified amounts. The impact of bad weather was noted at negative .6%, and another negative 1.0% from menu simplification, presumably lower food sales. The morning sales pace eroded slightly from last quarter and is apparently negative while PM sales were apparently more negative. Dunkin does not breakout many aspects now in its earnings calls, not even the direction of positive gross profit percentages resulting from menu simplification which was noted earlier. What is clear though is that menu simplification has been expanded to the bulk of the US system and there are multiple other moving pieces, such as the $2/3/5 menu, changed LTO strategy and both competition and weather. The Next gen new stores and remodels were noted but of course unreadable yet. David Hoffman’s phrases were “deliberate and intentional balancing”, and that they were “excited about new ventures, including the simplified menu and its hopefully positive effect on easing the burden on crew”. There was discussion on what were the cash on cash investment returns for the west and emerging stores; while Dunkin’ reported them in the 20% range (note: franchisors typically report that metric as pre-debt service.). DDIFO financial analyst John Gordon noted that with so many moving pieces, this is why it is essential for franchisees to share information with each other.