Accounting Standards Adopted and Newly Issued Accounting Standards Not Yet Adopted - (Tables)

6 Months Ended

Jun. 30, 2018

Accounting Changes and Error Corrections [Abstract]

Schedule of New Accounting Pronouncements and Changes in Accounting Principles

In conjunction with its adoption of ASC 606, the Company has separated “franchise and restaurant revenues” and “franchise and restaurant expenses,” previously combined when reported in the Statement of Comprehensive Income for the three and six months ended June 30, 2017, into separate line items for franchise revenues/expense and company restaurant sales/expense as follows:

	Three months ended June 30, 2017		Six months ended June 30, 2017
	(in thousands)
Franchise and restaurant revenues, as combined	$	122,987	$	246,565
Franchise revenues	$	119,609	$	239,047
Company restaurant sales	3,378		7,518
	$	122,987	$	246,565
Franchise and restaurant expenses, as combined	$	40,669	$	81,676
Franchise expenses	37,222		73,886
Company restaurant expenses	3,447		$	7,790
	$	40,669	$	81,676

Adoption of ASC 606 impacted our previously reported Consolidated Statement of Comprehensive Income for the six months ended June 30, 2017, as follows:

	Six Months ended June 30, 2017, as reported			Adjustments due to ASC 606 adoption			Six Months ended June 30, 2017, as adjusted
	(In thousands)
Franchise revenues (as shown separately above)	$	239,047		$	68,742		$	307,789
Franchise expenses (as shown separately above)	73,886			65,803			139,689
Income before income tax provision	63,970			2,939			66,909
Income tax provision	(28,327		)	(880		)	(29,207		)
Net income	35,643			2,059			37,702
Net income per share:
Basic	$	1.98					$	2.09
Diluted	$	1.98					$	2.09

Adoption of ASC 606 impacted our previously reported Consolidated Balance Sheet as follows:

	Balance at December 31, 2017, as reported			Adjustments/Reclassifications Due to ASC 606 adoption			Balance at December 31, 2017, as adjusted
	(In thousands)
Assets:
Receivables, net	$	150,174		$	(9,986	)	$	140,188
Prepaid income taxes	43,654			2,327			45,981
Long-term receivables, net	131,212			(4,642		)	126,570
Liabilities:
Deferred franchise revenue (short-term)	—			11,001			11,001
Other accrued expenses	17,780			(1,779		)	16,001
Deferred franchise revenue (long-term)	—			70,432			70,432
Other non-current liabilities	23,003			(4,932		)	18,071
Deferred income taxes, net	138,177			(18,181		)	119,996
Equity:
Accumulated deficit	$	(1,098	)	$	(68,842	)	$	(69,940	)

Adoption of ASC 606 impacted our previously reported Consolidated Statement of Comprehensive Income for the three months ended June 30, 2017, as follows:

	Three Months ended June 30, 2017, as reported			Adjustments due to ASC 606 adoption			Three Months ended June 30, 2017, as adjusted
	(In thousands)
Franchise revenues (as shown separately above)	$	119,609		$	33,455		$	153,064
Franchise expenses (as shown separately above)	37,222			32,300			69,522
Income before income tax provision	39,745			1,155			40,900
Income tax provision	(18,465		)	(328		)	(18,793		)
Net income	21,280			827			22,107
Net income per share:
Basic	$	1.18					$	1.23
Diluted	$	1.18					$	1.23