Latest news with #FreshAI
Yahoo
03-05-2025
- Business
- Yahoo
Wendy's to deploy drive-thru AI to over 500 restaurants this year
This story was originally published on Restaurant Dive. To receive daily news and insights, subscribe to our free daily Restaurant Dive newsletter. Wendy's is on track to implement digital menu boards and AI drive-thru ordering systems at over 500 restaurants by the end of the year, President and CEO Kirk Tanner said during the company's earnings call on Friday. The chain's Fresh AI technology, which automates the drive thru ordering process, has now been deployed to over 160 restaurants across the U.S. The platform continues to improve through company enhancements and interactions with customers, CFO Ken Cook said during the earnings call. Digital menu boards and automated drive-thru ordering is part of the chain's strategic pillar to improve customer experience by providing more personalization, convenience and hospitality, Tanner said. Franchisees began piloting the technology in 2024. The implementation of drive-thru AI is part of Wendy's larger technology strategy that also includes enhancements to its app and an expansion of its loyalty program. These tools could help boost same-store sales, which were down by 2.8% in the U.S. during the first quarter. Fresh AI, which Wendy's began testing in 2023 in partnership with Google Cloud, offers suggestions based on a customer's order that can increase check size, Tanner said. Additionally, the chain has seen improvements to order accuracy and efficiency in restaurants since employees can now focus on speed of service and delivering an accurate order. Wendy's is among a handful of chains, including Taco Bell, Zaxbys, Church's Texas Chicken and Bojangles, that have been adding drive-thru AI across their systems. Additionally, Wendy's updated its app by adding gamification that's engaging customers beyond the point of sale, Tanner said. The app can also now send digital messages to customers that are relevant to them. 'These updates are driving improvements across app engagement metrics, including conversion rate, which reached an all-time high in the first quarter and drove our digital mix to a record of over 20% of total sales,' Tanner said. The chain is also rolling out two additional initiatives, menu item label printers and smart delivery scales, to boost order accuracy, which customers say is an important driver of satisfaction, according to Tanner. Menu item labels will ensure that sandwiches are customized per customers' requests while delivery scales will make sure that customers receive all the items they ordered. 'In restaurants that utilize these tools, order accuracy is significantly improved,' Tanner said. 'While we are still in the early innings of delivering on our promise of a perfect every time experience, we're already making progress, taking the right steps to reach our full potential.' Recommended Reading Wendy's hits the gas on drive-thru AI, digital menu boards and kiosks Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
18-04-2025
- Business
- Yahoo
Meritage Reports First Quarter 2025 Results; Reaffirms Full-Year 2025 Earnings Outlook
GRAND RAPIDS, Mich., April 18, 2025 (GLOBE NEWSWIRE) -- Meritage Hospitality Group Inc. (OTCQX: MHGU), one of the nation's premier franchise operators, today reported financial results for the first quarter ended March 30, 2025. First Quarter Highlights: Sales were $154.5 million compared to $162.8 million for the same period last year. Earnings (loss) from Operations were $(3.7) million compared to $3.9 million for the same period last year, resulting from multiple severe weather-related closures. Net Earnings (loss) were $(4.3) million compared to $1.6 million for the same period last year. Consolidated EBITDA (a non-GAAP measure) was $2.2 million compared to $9.9 million for the same period last year. 'As previously reported, Company sales and earnings were significantly impacted by atypical weather that impacted all of its markets during the first quarter of the year, with severe weather events in its southern US markets that resulted in decreased consumer traffic and numerous temporary restaurant closures from record snow, ice and floods. Looking ahead, we are reaffirming our 30% to 40% growth in diluted EPS for the full-year 2025, driven by robust new product offerings at Wendy's in the second half of the year, highlighting protein-led innovations and marketing collaborations', stated Meritage CEO, Robert E. Schermer, Jr. During the second quarter, we are launching the Company's first restaurant location using Wendy's Fresh AI – the generative AI Bot technology that brings a digital automated ordering experience to the drive-thru customer. The Company is committed to leveraging technology and delivery options designed to improve customer experience as well as employee efficiency within the restaurants. The Company opened three new Wendy's during the first quarter and plans to open 7-10 new Wendy's through the remainder of the year as new unit-level economics continue to generate leading results, and higher guest frequency continues to reward us for contemporary restaurant designs and digital enhancements. Morning Belle the Company's proprietary single shift, breakfast/brunch concept, reported a strong same store sale increase of +21.9% for the first quarter as compared to last year, outperforming industry segment trends. The Company plans to open 3-5 new Morning Belle locations during the year, as proof of concept continues. 2025 Outlook: Better Earnings Outlook Ahead: Sales growth up to +3% Earnings from Operations growth of +40% to +50% Net Earnings growth up to +50% EBITDA growth up to +15% Diluted EPS growth of +20% to +30% The Company is focused on leveraging its robust operating platform and unique in-house restaurant development expertise to deliver consumers the highest level of quality, convenience, and affordability. Acquisitions, renovations, and new restaurant development are integral parts of our restaurant business model. The Company's five-year growth plan includes the acquisition and development of new Wendy's and Morning Belle restaurants. As we plan for the next generation of growth, including new capital partners, we remain actively engaged in planning for future strategic events to enhance shareholder value and liquidity. About the Company: Meritage Hospitality Group is the nation's premier restaurant operators, currently with approximately 381 restaurants in operation located in Arkansas, Connecticut, Florida, Georgia, Indiana, Massachusetts, Michigan, Missouri, Mississippi, North Carolina, South Carolina, Ohio, Oklahoma, Tennessee, Texas and Virginia. Meritage is headquartered in Grand Rapids, Michigan, operating with a workforce of approximately 12,000 employees across 15 States. The Company had 8,520,000 diluted weighted average shares outstanding as of fiscal year ended December 29, 2024. The Company's current and publicly available information pursuant to amended SEC Rule 15c2-11 and FINRA Rule 6432 can be found at under the stock symbol MHGU/Disclosures or the Company's website, SAFE HARBOR STATEMENTCertain information in this new release, particularly information regarding future economic performance and finances, and plans, expectations and objectives of management, constitutes forward-looking statements. Factors set forth in our Safe Harbor Statement, in addition to other possible factors not listed, could affect the Company's actual results and cause such results to differ materially from those expressed in forward-looking statements. Please review the Company's Safe Harbor Statement at Robert E. Schermer, Hospitality Group Inc.(616) 776-2600 ext. 1012Sign in to access your portfolio
Yahoo
18-04-2025
- Business
- Yahoo
Meritage Reports First Quarter 2025 Results; Reaffirms Full-Year 2025 Earnings Outlook
GRAND RAPIDS, Mich., April 18, 2025 (GLOBE NEWSWIRE) -- Meritage Hospitality Group Inc. (OTCQX: MHGU), one of the nation's premier franchise operators, today reported financial results for the first quarter ended March 30, 2025. First Quarter Highlights: Sales were $154.5 million compared to $162.8 million for the same period last year. Earnings (loss) from Operations were $(3.7) million compared to $3.9 million for the same period last year, resulting from multiple severe weather-related closures. Net Earnings (loss) were $(4.3) million compared to $1.6 million for the same period last year. Consolidated EBITDA (a non-GAAP measure) was $2.2 million compared to $9.9 million for the same period last year. 'As previously reported, Company sales and earnings were significantly impacted by atypical weather that impacted all of its markets during the first quarter of the year, with severe weather events in its southern US markets that resulted in decreased consumer traffic and numerous temporary restaurant closures from record snow, ice and floods. Looking ahead, we are reaffirming our 30% to 40% growth in diluted EPS for the full-year 2025, driven by robust new product offerings at Wendy's in the second half of the year, highlighting protein-led innovations and marketing collaborations', stated Meritage CEO, Robert E. Schermer, Jr. During the second quarter, we are launching the Company's first restaurant location using Wendy's Fresh AI – the generative AI Bot technology that brings a digital automated ordering experience to the drive-thru customer. The Company is committed to leveraging technology and delivery options designed to improve customer experience as well as employee efficiency within the restaurants. The Company opened three new Wendy's during the first quarter and plans to open 7-10 new Wendy's through the remainder of the year as new unit-level economics continue to generate leading results, and higher guest frequency continues to reward us for contemporary restaurant designs and digital enhancements. Morning Belle the Company's proprietary single shift, breakfast/brunch concept, reported a strong same store sale increase of +21.9% for the first quarter as compared to last year, outperforming industry segment trends. The Company plans to open 3-5 new Morning Belle locations during the year, as proof of concept continues. 2025 Outlook: Better Earnings Outlook Ahead: Sales growth up to +3% Earnings from Operations growth of +40% to +50% Net Earnings growth up to +50% EBITDA growth up to +15% Diluted EPS growth of +20% to +30% The Company is focused on leveraging its robust operating platform and unique in-house restaurant development expertise to deliver consumers the highest level of quality, convenience, and affordability. Acquisitions, renovations, and new restaurant development are integral parts of our restaurant business model. The Company's five-year growth plan includes the acquisition and development of new Wendy's and Morning Belle restaurants. As we plan for the next generation of growth, including new capital partners, we remain actively engaged in planning for future strategic events to enhance shareholder value and liquidity. About the Company: Meritage Hospitality Group is the nation's premier restaurant operators, currently with approximately 381 restaurants in operation located in Arkansas, Connecticut, Florida, Georgia, Indiana, Massachusetts, Michigan, Missouri, Mississippi, North Carolina, South Carolina, Ohio, Oklahoma, Tennessee, Texas and Virginia. Meritage is headquartered in Grand Rapids, Michigan, operating with a workforce of approximately 12,000 employees across 15 States. The Company had 8,520,000 diluted weighted average shares outstanding as of fiscal year ended December 29, 2024. The Company's current and publicly available information pursuant to amended SEC Rule 15c2-11 and FINRA Rule 6432 can be found at under the stock symbol MHGU/Disclosures or the Company's website, SAFE HARBOR STATEMENTCertain information in this new release, particularly information regarding future economic performance and finances, and plans, expectations and objectives of management, constitutes forward-looking statements. Factors set forth in our Safe Harbor Statement, in addition to other possible factors not listed, could affect the Company's actual results and cause such results to differ materially from those expressed in forward-looking statements. Please review the Company's Safe Harbor Statement at Robert E. Schermer, Hospitality Group Inc.(616) 776-2600 ext. 1012
Yahoo
23-03-2025
- Business
- Yahoo
AI will soon be taking your drive-thru orders at 500 Taco Bell, Pizza Hut, KFC locations
Artificial Intelligence will soon take fast-food orders at 500 major chains including Taco Bell, Pizza Hut and KFC. Through a partnership with technology company Nvidia, fast-food giant Yum! Brands said it will begin rolling out AI at hundreds of its locations starting in April and continuing through June. That includes using the company's voice-ordering tech, which will handle complex menu orders and navigate customer speech patterns, according to a news release this week. "Looking ahead, Yum! is expanding AI to help team members manage complex tasks, including AI agents that plan, reason and act to assist across restaurants," the parent company said in the release. The rollout will incorporate more advanced AI capable of language models, emotional comprehension and personalized customer reactions, according to Yum! Brands. Nvidia's AI technology has already been used at select Taco Bell and Pizza Hut restaurants during "a successful pilot" stage, Yum! Brands said. The technology is expected to "optimize drive-thru efficiency and back-of-house labor management through real-time analytics and alerts." Yum! Brands joins other fast-food companies, like McDonald's and Wendy's, that have experimented with AI at its locations. During a Feb. 13 earnings call, Wendy's CEO Kirk Tanner said the company will deploy voice-enabled AI to take orders at up to 600 restaurants nationwide after executives "really liked" the results of the pilot program, which incorporated the technology at nearly 100 locations. Tanner added that FreshAI "improves the customer experience and enables some labor efficiencies in our restaurants." Meanwhile, McDonald's ended a pilot AI program last July after customers reported the tool got orders wrong. In 2021, the fast food giant partnered with IBM to test-run the AI ordering technology at over 100 locations, according to CNBC and Fox Business. "While there have been successes to date, we feel there is an opportunity to explore voice ordering solutions more broadly,' Smoot's memo said, per CNBC. 'After thoughtful review, McDonald's has decided to end our current partnership with IBM on AOT … IBM remains a trusted partner and we will continue to utilize many of their other products across our system.' While some may be open to the use AI at fast food chains, others have gone to social media to voice their frustration and shock. Contributing: Amaris Encinas and Jonathan Limehouse, USA TODAY This article originally appeared on USA TODAY: AI will take drive-thru orders at 500 Taco Bell, Pizza Hut, KFC spots Sign in to access your portfolio
USA Today
22-03-2025
- Business
- USA Today
AI will soon be taking your drive-thru orders at 500 Taco Bell, Pizza Hut, KFC locations
AI will soon be taking your drive-thru orders at 500 Taco Bell, Pizza Hut, KFC locations Fast-food giant Yum! Brands said it will begin rolling out AI at hundreds of its locations starting in April. Other fast-food chains have tried the new tech out with mixed results. Show Caption Hide Caption Pentagon blames AI for removal of webpages about historic figures Pages about historic figures were taken down from the Pentagon's website amid a push to purge DEI. Officials say artificial intelligence is to blame. Artificial Intelligence will soon take fast-food orders at 500 major chains including Taco Bell, Pizza Hut and KFC. Through a partnership with technology company Nvidia, fast-food giant Yum! Brands said it will begin rolling out AI at hundreds of its locations starting in April and continuing through June. That includes using the company's voice-ordering tech, which will handle complex menu orders and navigate customer speech patterns, according to a news release this week. "Looking ahead, Yum! is expanding AI to help team members manage complex tasks, including AI agents that plan, reason and act to assist across restaurants," the parent company said in the release. The rollout will incorporate more advanced AI capable of language models, emotional comprehension and personalized customer reactions, according to Yum! Brands. Nvidia's AI technology has already been used at select Taco Bell and Pizza Hut restaurants during "a successful pilot" stage, Yum! Brands said. The technology is expected to "optimize drive-thru efficiency and back-of-house labor management through real-time analytics and alerts." Wendy's, McDonald's have also used AI for drive-thru orders Yum! Brands joins other fast-food companies, like McDonald's and Wendy's, that have experimented with AI at its locations. During a Feb. 13 earnings call, Wendy's CEO Kirk Tanner said the company will deploy voice-enabled AI to take orders at up to 600 restaurants nationwide after executives "really liked" the results of the pilot program, which incorporated the technology at nearly 100 locations. Tanner added that FreshAI "improves the customer experience and enables some labor efficiencies in our restaurants." Meanwhile, McDonald's ended a pilot AI program last July after customers reported the tool got orders wrong. In 2021, the fast food giant partnered with IBM to test-run the AI ordering technology at over 100 locations, according to CNBC and Fox Business. "While there have been successes to date, we feel there is an opportunity to explore voice ordering solutions more broadly,' Smoot's memo said, per CNBC. 'After thoughtful review, McDonald's has decided to end our current partnership with IBM on AOT … IBM remains a trusted partner and we will continue to utilize many of their other products across our system.' Some fast food customers frustrated by use of AI While some may be open to the use AI at fast food chains, others have gone to social media to voice their frustration and shock. Contributing: Amaris Encinas and Jonathan Limehouse, USA TODAY
