8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported) February 16, 2021

DENNY’S CORPORATION

(Exact name of registrant as specified in its charter)

Delaware	0-18051	13-3487402
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation)	File Number)	Identification No.)

203 East Main Street

Spartanburg, South Carolina 29319-0001

(Address of principal executive offices)

(Zip Code)

(864) 597-8000

(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligations of the registrant under any of the following provisions:

☐  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐   Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐   Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
$.01 Par Value, Common Stock	DENN	The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02 Results of Operations and Financial Condition.

On February 16, 2021, Denny's Corporation issued a press release announcing financial results for the fourth quarter and year ended December 30, 2020. A copy of the press release is attached as Exhibit 99.1 hereto and incorporated herein by reference.

Item 7.01 Regulation FD Disclosure.

The management of Denny's Corporation (the "Company") will conduct meetings with members of the investment community during February, March and April, 2021. A copy of the investor presentation to be used during these meetings is attached to this Current Report on Form 8-K as Exhibit 99.2 and is also available at Denny's investor relations website at investor.dennys.com.

The information in this Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.2 hereto, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section. The information in this Item 7.01 of this Current Report on Form 8-K shall not be deemed to be incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

See the Exhibit Index below, which is incorporated by reference herein.

EXHIBIT INDEX

Exhibit number	Description
99.1	Press Release, dated February 16, 2021.
99.2	Investor Presentation, dated February 16, 2021.
104	Cover Page Interactive Data File (formatted as Inline XBRL)

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	Denny's Corporation
Date: February 16, 2020	/s/ Robert P. Verostek
	Robert P. Verostek
	Senior Vice President and
	Chief Financial Officer

EX-99.1

DENNY’S CORPORATION REPORTS RESULTS FOR FOURTH QUARTER AND FULL YEAR 2020

SPARTANBURG, S.C., February 16, 2021 - Denny’s Corporation (NASDAQ: DENN), franchisor and operator of one of America's largest franchised full-service restaurant chains, today reported results for its fourth quarter and full year ended December 30, 2020 andprovided a business update on the impact of the COVID-19 pandemic on the Company’s operations.

John Miller, Chief Executive Officer, stated, “While 2020 was a year of unprecedented challenges, Denny's operators diligently protected the health and well-being of our guests and restaurant teams, while embracing innovative solutions like curbside pickup, drive up ordering and outdoor dining in an ever-evolving environment. We have since entered 2021 with confidence in our team's ability to continue navigating near-term headwinds and remain optimistic for the anticipated economic recovery. Our confidence is supported by an increasing distribution of vaccines, fiscal stimulus that should benefit our franchisees and consumers, and our rollout of two new virtual concepts where test results have been favorable and suggest a high degree of incremental transactions.”

Fourth Quarter 2020 Highlights

•Total Operating Revenue was $80.1 million.

•Domestic system-wide same-store sales** decreased 32.9%.

•Opened four franchise restaurants, including one international location.

•Completed five remodels at franchised restaurants.

•Operating Loss was $1.1 million.

•Franchise Operating Margin* was $21.4 million, or 45.2% of franchise and license revenue, and Company Restaurant Operating Margin* was $1.4 million, or 4.3% of company restaurant sales.

•Net Income was $2.4 million, or $0.04 per diluted share.

•Adjusted Net Loss* was $3.0 million, or $0.05 per diluted share.

•Adjusted EBITDA* was $8.0 million.

•Approximately $2.0 million of Adjusted EBITDA* was attributable to an additional operating week.

•Cash provided by (used in) operating, investing, and financing activities was $8.5 million, $3.4 million, and ($19.2) million, respectively.

•Adjusted Free Cash Flow* was $2.1 million.

1

Full Year 2020 Highlights

•Total Operating Revenue was $288.6 million.

•Domestic system-wide same-store sales** decreased 31.4%.

•Opened 20 franchise restaurants, including 8 international locations.

•Completed 22 remodels, including 20 at franchised restaurants.

•Operating Income was $6.7 million.

•Franchise Operating Margin* was $76.1 million, or 44.6% of franchise and license revenue, and Company Restaurant Operating Margin* was $3.6 million, or 3.0% of company restaurant sales.

•Net Loss was $5.1 million, or $0.08 per diluted share.

•Adjusted Net Loss* was $7.2 million, or $0.12 per diluted share.

•Adjusted EBITDA* was $26.6 million.

•Cash provided by (used in) operating, investing, and financing activities was ($3.1) million, $4.7 million, and ($1.0) million, respectively.

•Adjusted Free Cash Flow* was $1.6 million.

Current Trends

Following a consistent level of domestic system-wide same-store sales** performance in October and November, December results were significantly impacted by reinstated stay-at-home orders and additional capacity restrictions. As these restrictions began to ease during January and February, domestic system-wide same-store sales** improved as compared to the equivalent periods in 2019.

Average unit volumes of off-premise sales have more than doubled since the beginning of the COVID-19 pandemic, supported by temporarily waived delivery fees, curbside service programs, and shareable family meal packs.

In an effort to provide greater transparency due to the COVID-19 pandemic, Denny's is providing the following tables that present monthly results for 2020 and 2021 compared to the equivalent fiscal months in 2019:

Domestic System-Wide Same-Store Sales** Compared to 2019 Fiscal Periods:

Fiscal Year 2020: (31%)												Fiscal Year 2021: (29%)1
Q1: (6%)			Q2: (57%)			Q3: (34%)			Q4: (33%)
Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec	Jan	Feb1
3%	2%	(19%)	(76%)	(65%)	(41%)	(39%)	(35%)	(28%)	(26%)	(27%)	(41%)	(31%)	(25%)
1.Preliminary results through the first two weeks of fiscal February.

2

Domestic System Same-Store Sales** Compared to 2019 Fiscal Periods and Domestic Average Units for 2020 and 2021 Fiscal Periods

(Open Dining Rooms vs Closed Dining Rooms):

	Q2 2020			Q3 2020			Q4 2020			Q1 2021
	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec	Jan	Feb1
Open Dining Rooms	(74%)	(47%)	(33%)	(36%)	(29%)	(24%)	(24%)	(23%)	(26%)	(15%)	(15%)
	2	222	1,087	1,244	1,044	1,127	1,289	1,239	891	927	1,010
Closed Dining Rooms	(76%)	(69%)	(68%)	(55%)	(47%)	(39%)	(33%)	(42%)	(61%)	(55%)	(42%)
	1,060	938	327	237	444	369	207	256	586	531	444
Temporary Closures	480	378	120	47	35	22	19	20	31	46	50
	1.Preliminary results through the first two weeks of fiscal February.

Domestic System Same-Store Sales** Compared to 2019 Fiscal Periods and Domestic Average Units for 2020 and 2021 Fiscal Periods

(24/7 Units vs Limited Hour Units):

	Q2 2020			Q3 2020			Q4 2020			Q1 2021
	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec	Jan	Feb1
24/7 Units	(68%)	(57%)	(30%)	(31%)	(25%)	(19%)	(18%)	(18%)	(30%)	(20%)	(14%)
	185	323	435	458	472	496	516	538	516	519	528
Limited Hour Units	(78%)	(69%)	(47%)	(44%)	(41%)	(34%)	(31%)	(33%)	(49%)	(38%)	(33%)
	877	837	979	1,023	1,016	1,000	980	957	961	939	926
Temporary Closures	480	378	120	47	35	22	19	20	31	46	50
	1.Preliminary results through the first two weeks of fiscal February.

Domestic Capacity Restrictions as of February 12, 20211:

% of Domestic System
75% Capacity or Social Distancing	25%
50% - 66% Capacity	31%
25% - 33% Capacity	15%
Off-Premise Only	26%
No Restrictions	1%
Temporarily Closed	2%
Total	100%
1.Preliminary results.

3

Fourth Quarter Results

Denny’s total operating revenue was $80.1 million compared to $113.8 million in the prior year quarter. Franchise and license revenue was $47.2 million compared to $65.0 million in the prior year quarter. Company restaurant sales were $32.9 million compared to $48.8 million in the prior year quarter. These changes were primarily due to the impact of the COVID-19 pandemic on sales and fewer equivalent units, partially offset by an additional operating week.

Franchise Operating Margin* was $21.4 million, or 45.2% of franchise and license revenue, compared to $31.8 million, or 48.9%, in the prior year quarter. This change in margin was primarily due to the impact of the COVID-19 pandemic on sales and fewer equivalent units, partially offset by an additional operating week.

Company Restaurant Operating Margin* was $1.4 million, or 4.3% of company restaurant sales, compared to $8.7 million, or 17.7%, in the prior year quarter. This change in margin was primarily due to the impact of the COVID-19 pandemic on sales and fewer equivalent units, partially offset by approximately $1.0 million of favorable reserve adjustments and tax credits related to the CARES Act and an additional operating week.

Total general and administrative expenses were $20.5 million, compared to $15.4 million in the prior year quarter. This change was primarily due to an increase in share-based compensation expense, partially offset by a $3.1 million improvement in corporate administrative expenses from cost savings initiatives and previous reductions in personnel due to the COVID-19 pandemic including approximately $0.9 million in tax credits related to the CARES Act.

Interest expense, net was $4.6 million, compared to $3.6 million in the prior year quarter, with the increase primarily due to higher interest related to the Company's recent debt amendments and the amortization of dedesignated interest rate swap losses from accumulated other comprehensive loss, net. Denny’s ended the quarter with $225.4 million of total debt outstanding, including $210.0 million of borrowings under its credit facility.

The benefit from income taxes was $0.1 million, compared to a tax provision of $5.1 million in the prior year quarter, reflecting an effective tax rate of 2.7%. Approximately $0.5 million in net cash refunds were received during the quarter.

Net income was $2.4 million, or $0.04 per diluted share, compared to net income of $18.6 million, or $0.31 per diluted share, in the prior year quarter. Adjusted Net Loss* per diluted share was $0.05 compared to Adjusted Net Income* per diluted share of $0.23 in the prior year quarter.

Adjusted Free Cash Flow* and Capital Allocation

Denny’s Adjusted Free Cash Flow* in the quarter was $2.1 million after investing $1.5 million in cash capital expenditures, including maintenance capital.

4

Business Outlook

Given the dynamic and evolving impact of the COVID-19 pandemic on the Company's operations and uncertainty about the timing and extent of an anticipated recovery, the Company cannot reasonably provide a business outlook for the fiscal year ending December 29, 2021 at this time.

*Please refer to the Reconciliation of Net Income (Loss) and Net Cash Provided by (Used in) Operating Activities to Non-GAAP Financial Measures, as well as the Reconciliation of Operating Income (Loss) to Non-GAAP Financial Measures included in the following tables.

** Same-store sales include sales at company restaurants and non-consolidated franchised and licensed restaurants that were open the same period in the noted prior period. Total operating revenue is limited to company restaurant sales and royalties, advertising revenue, fees and occupancy revenue from non-consolidated franchised and licensed restaurants. Accordingly, domestic franchise same-store sales and domestic system-wide same-store sales should be considered as a supplement to, not a substitute for, the Company's results as reported under GAAP.

Conference Call and Webcast Information

Denny’s will provide further commentary on the results for the fourth quarter ended December 30, 2020 on its quarterly investor conference call today, Tuesday, February 16, 2021 at 4:30 p.m. Eastern Time. Interested parties are invited to listen to a live broadcast of the conference call accessible through the investor relations section of Denny’s website at investor.dennys.com.

About Denny’s

Denny's Corporation is the franchisor and operator of one of America's largest franchised full-service restaurant chains, based on the number of restaurants. As of December 30, 2020, Denny’s had 1,650 franchised, licensed, and company restaurants around the world including 146 restaurants in Canada, Puerto Rico, Mexico, the Philippines, New Zealand, Honduras, the United Arab Emirates, Costa Rica, Guam, Guatemala, El Salvador, Indonesia, and the United Kingdom. For further information on Denny's, including news releases, links to SEC filings, and other financial information, please visit the Denny's investor relations website at investor.dennys.com.

5

Cautionary Language Regarding Forward-Looking Statements

The Company urges caution in considering its current trends and any outlook on earnings disclosed in this press release. In addition, certain matters discussed in this release may constitute forward-looking statements. These forward-looking statements, which reflect management's best judgment based on factors currently known, are intended to speak only as of the date such statements are made and involve risks, uncertainties, and other factors that may cause the actual performance of Denny’s Corporation, its subsidiaries, and underlying restaurants to be materially different from the performance indicated or implied by such statements. Words such as “expect”, “anticipate”, “believe”, “intend”, “plan”, “hope”, "will", and variations of such words and similar expressions are intended to identify such forward-looking statements. Except as may be required by law, the Company expressly disclaims any obligation to update these forward-looking statements to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events. Factors that could cause actual performance to differ materially from the performance indicated by these forward-looking statements include, among others: the rapidly evolving COVID-19 pandemic and related containment measures, including the potential for further operational disruption from government mandates affecting restaurants; economic, public health, social and political conditions that impact consumer confidence and spending with respect to social unrest and the COVID-19 pandemic; competitive pressures from within the restaurant industry; the level of success of the Company’s operating initiatives and advertising and promotional efforts; adverse publicity; health concerns arising from food-related pandemics, outbreaks of flu viruses or other diseases; changes in business strategy or development plans; terms and availability of capital; regional weather conditions; overall changes in the general economy (including with regard to energy costs), particularly at the retail level; political environment (including acts of war and terrorism); and other factors from time to time set forth in the Company’s SEC reports and other filings, including but not limited to the discussion in Management’s Discussion and Analysis and the risks identified in Item 1A. Risk Factors contained in the Company’s Annual Report on Form 10-K for the year ended December 25, 2019 (and in the Company’s subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K).

Investor Contact:

Curt Nichols

877-784-7167

Media Contact:

Hadas Streit, Allison+Partners

646-428-0629

6

DENNY’S CORPORATION
Condensed Consolidated Balance Sheets
(Unaudited)
(In thousands)				12/30/20		12/25/19
Assets
	Current assets
		Cash and cash equivalents		$	3,892	$	3,372
		Investments		2,272		3,649
		Receivables, net		21,349		27,488
		Assets held for sale		1,125		1,925
		Other current assets		20,028		16,299
			Total current assets	48,666		52,733
	Property, net			86,154		97,626
	Financing lease right-of-use assets, net			9,830		11,720
	Operating lease right-of-use assets, net			139,534		158,550
	Goodwill			36,884		36,832
	Intangible assets, net			51,559		53,956
	Deferred income taxes, net			23,210		14,718
	Other noncurrent assets, net			35,112		34,252
			Total assets	$	430,949	$	460,387
Liabilities
	Current liabilities
		Current finance lease liabilities		$	1,839	$	1,674
		Current operating lease liabilities		16,856		16,344
		Accounts payable		12,021		20,256
		Other current liabilities		46,462		57,307
			Total current liabilities	77,178		95,581
	Long-term liabilities
		Long-term debt		210,000		240,000
		Noncurrent finance lease liabilities		13,530		14,779
		Noncurrent operating lease liabilities		137,534		152,750
		Other		123,153		95,341
			Total long-term liabilities	484,217		502,870
			Total liabilities	561,395		598,451
Shareholders' deficit
		Common stock		640		1,094
		Paid-in capital		123,833		603,980
		Deficit		(194,514)		(189,398)
		Accumulated other comprehensive loss, net of tax		(60,405)		(33,960)
		Treasury stock		—		(519,780)
			Total shareholders' deficit	(130,446)		(138,064)
			Total liabilities and shareholders' deficit	$	430,949	$	460,387
Debt Balances
(In thousands)				12/30/20		12/25/19
Credit facility revolver due 2022				$	210,000	$	240,000
Finance lease liabilities				15,369		16,453
	Total debt			$	225,369	$	256,453

7

DENNY’S CORPORATION
Condensed Consolidated Statements of Operations
(Unaudited)
			Quarter Ended
(In thousands, except per share amounts)			12/30/20		12/25/19
Revenue:
	Company restaurant sales		$	32,892	$	48,803
	Franchise and license revenue		47,213		65,033
		Total operating revenue	80,105		113,836
Costs of company restaurant sales, excluding depreciation and amortization			31,475		40,147
Costs of franchise and license revenue, excluding depreciation and amortization			25,861		33,261
General and administrative expenses			20,451		15,359
Depreciation and amortization			3,909		4,227
Operating (gains), losses and other charges, net			(511)		(5,721)
		Total operating costs and expenses, net	81,185		87,273
Operating income (loss)			(1,080)		26,563
Interest expense, net			4,645		3,570
Other nonoperating expense (income), net			(8,022)		(652)
Income before income taxes			2,297		23,645
Provision for (benefit from) income taxes			(62)		5,086
Net income			$	2,359	$	18,559
Basic net income per share			$	0.04	$	0.32
Diluted net income per share			$	0.04	$	0.31
Basic weighted average shares outstanding			64,898		58,406
Diluted weighted average shares outstanding			65,467		60,343
Comprehensive income			$	3,159	$	26,506
General and Administrative Expenses			Quarter Ended
(In thousands)			12/30/20		12/25/19
Corporate administrative expenses			$	9,833	$	12,923
Share-based compensation			5,976		(448)
Incentive compensation			3,046		2,096
Deferred compensation valuation adjustments			1,596		788
	Total general and administrative expenses		$	20,451	$	15,359

8

DENNY’S CORPORATION
Condensed Consolidated Statements of Operations
(Unaudited)
			Fiscal Year Ended
(In thousands, except per share amounts)			12/30/20		12/25/19
Revenue:
	Company restaurant sales		$	118,160	$	306,377
	Franchise and license revenue		170,445		235,012
		Total operating revenue	288,605		541,389
Costs of company restaurant sales, excluding depreciation and amortization			114,569		258,396
Costs of franchise and license revenue, excluding depreciation and amortization			94,348		120,326
General and administrative expenses			55,040		69,018
Depreciation and amortization			16,161		19,846
Operating (gains), losses and other charges, net			1,808		(91,180)
		Total operating costs and expenses, net	281,926		376,406
Operating income			6,679		164,983
Interest expense, net			17,965		18,547
Other nonoperating expense (income), net			(4,171)		(2,763)
Income (loss) before income taxes			(7,115)		149,199
Provision for (benefit from) income taxes			(1,999)		31,789
Net income (loss)			$	(5,116)	$	117,410
Basic net income (loss) per share			$	(0.08)	$	1.96
Diluted net income (loss) per share			$	(0.08)	$	1.90
Basic weighted average shares outstanding			60,812		59,944
Diluted weighted average shares outstanding			60,812		61,833
Comprehensive income (loss)			$	(31,561)	$	87,596
General and Administrative Expenses			Fiscal Year Ended
(In thousands)			12/30/20		12/25/19
Corporate administrative expenses			$	41,135	$	50,319
Share-based compensation			7,948		6,694
Incentive compensation			4,351		9,425
Deferred compensation valuation adjustments			1,606		2,580
	Total general and administrative expenses		$	55,040	$	69,018

9

DENNY’S CORPORATION

Reconciliation of Net Income (Loss) and Net Cash Provided by (Used in) Operating Activities to Non-GAAP Financial Measures

(Unaudited)

The Company believes that, in addition to GAAP measures, certain non-GAAP financial measures are appropriate indicators to assist in the evaluation of operating performance and liquidity on a period-to-period basis. The Company uses Adjusted EBITDA, Adjusted Free Cash Flow, Adjusted Net Income (Loss) and Adjusted Net Income (Loss) Per Share internally as performance measures for planning purposes, including the preparation of annual operating budgets, and for compensation purposes, including incentive compensation for certain employees. Adjusted EBITDA is also used in the calculation of financial covenant ratios in accordance with the Company’s credit facility. Adjusted Free Cash Flow is also used as a non-GAAP liquidity measure by Management to assess the Company’s ability to generate cash and plan for future operating and capital actions. Management believes that the presentation of Adjusted EBITDA, Adjusted Net Income (Loss), Adjusted Net Income (Loss) Per Share and Adjusted Free Cash Flow provide useful information to investors and analysts about the Company’s operating results, financial condition or cash flows. However, each of these non-GAAP financial measures should be considered as a supplement to, not a substitute for, operating income (loss), net income (loss), net cash provided by (used in) operating activities, or other financial performance and liquidity measures prepared in accordance with U.S. generally accepted accounting principles.

	Quarter Ended				Fiscal Year Ended
(In thousands, except per share amounts)	12/30/20		12/25/19		12/30/20		12/25/19
Net income (loss)	$	2,359	$	18,559	$	(5,116)	$	117,410
Provision for (benefit from) income taxes	(62)		5,086		(1,999)		31,789
Operating (gains), losses and other charges, net	(511)		(5,721)		1,808		(91,180)
Other nonoperating expense (income), net	(8,022)		(652)		(4,171)		(2,763)
Share-based compensation	5,976		(448)		7,948		6,694
Deferred compensation plan valuation adjustments	1,596		788		1,606		2,580
Interest expense, net	4,645		3,570		17,965		18,547
Depreciation and amortization	3,909		4,227		16,161		19,846
Cash payments for restructuring charges and exit costs	(575)		(529)		(2,981)		(2,581)
Cash payments for share-based compensation	(1,354)		—		(4,578)		(3,559)
Adjusted EBITDA	$	7,961	$	24,880	$	26,643	$	96,783
Net cash provided by (used in) operating activities	$	8,473	$	11,301	$	(3,137)	$	43,327
Capital expenditures	(1,486)		(1,329)		(6,962)		(13,975)
Acquisition of restaurants and real estate	—		(1,864)		—		(11,320)
Cash payments for restructuring charges and exit costs	(575)		(529)		(2,981)		(2,581)
Cash payments for share-based compensation	(1,354)		—		(4,578)		(3,559)
Deferred compensation plan valuation adjustments	1,596		788		1,606		2,580
Other nonoperating expense (income), net	(8,022)		(652)		(4,171)		(2,763)
Gains on investments	6		1		123		180
Gains (losses) on early extinguishment of debt and leases	(181)		(153)		(224)		4
Amortization of deferred financing costs	(285)		(152)		(876)		(608)
Gains (losses) on interest rate swap derivatives, net	6,349		—		2,164		—
Interest expense, net	4,645		3,570		17,965		18,547
Cash interest expense, net (1)	(4,912)		(3,332)		(18,047)		(17,551)
Deferred income tax expense	(6,486)		(6,411)		(3,981)		(16,005)
Decrease in tax valuation allowance	3,041		2,935		3,041		2,935
Provision for (benefit from) income taxes	(62)		5,086		(1,999)		31,789
Income taxes received (paid), net	539		(6,294)		(6)		(24,147)
Changes in operating assets and liabilities	816		9,096		23,691		22,937
Adjusted Free Cash Flow	$	2,102	$	12,061	$	1,628	$	29,790

(1) Includes cash interest expense, net and cash payments of approximately $0.8 million and $1.9 million for dedesignated interest rate swap derivatives for the quarter and year ended December 30, 2020, respectively.

10

DENNY’S CORPORATION
Reconciliation of Net Income (Loss) and Net Cash Provided by (Used in) Operating Activities to Non-GAAP Financial Measures
(Unaudited)
	Quarter Ended				Fiscal Year Ended
(In thousands, except per share amounts)	12/30/20		12/25/19		12/30/20		12/25/19
Adjusted EBITDA	$	7,961	$	24,880	$	26,643	$	96,783
Cash interest expense, net (1)	(4,912)		(3,332)		(18,047)		(17,551)
Cash received (paid) for income taxes, net	539		(6,294)		(6)		(24,147)
Cash paid for capital expenditures	(1,486)		(3,193)		(6,962)		(25,295)
Adjusted Free Cash Flow	$	2,102	$	12,061	$	1,628	$	29,790
	Quarter Ended				Fiscal Year Ended
(In thousands, except per share amounts)	12/30/20		12/25/19		12/30/20		12/25/19
Net income (loss)	$	2,359	$	18,559	$	(5,116)	$	117,410
(Gains) losses on interest rate swap derivatives, net	(6,349)		—		(2,164)		—
(Gains) losses on sales of assets and other, net	(2,418)		(6,111)		(4,678)		(93,608)
Impairment charges	1,564		—		4,083		—
Tax effect (2)	1,848		1,571		706		24,057
Adjusted Net Income (Loss)	$	(2,996)	$	14,019	$	(7,169)	$	47,859
Diluted weighted average shares outstanding	64,898		60,343		60,812		61,833
Diluted Net Income (Loss) Per Share	$	0.04	$	0.31	$	(0.08)	$	1.90
Adjustments Per Share	$	(0.09)	$	(0.08)	$	(0.04)	$	(1.13)
Adjusted Net Income (Loss) Per Share	$	(0.05)	$	0.23	$	(0.12)	$	0.77

(1)	Includes cash interest expense, net and cash payments of approximately $0.8 million and $1.9 million for dedesignated interest rate swap derivatives for the quarter and year ended December 30, 2020, respectively.
(2)	Tax adjustments for the quarter ended December 30, 2020 reflect an effective tax rate of 25.7%. Tax adjustments for the year ended December 30, 2020 are calculated using an effective tax rate of 25.6%. Tax adjustments for the gains on sales of assets and other, net for the quarter and year ended December 25, 2019 are calculated using an effective tax rate of 25.7%.

11

DENNY’S CORPORATION

Reconciliation of Operating Income (Loss) to Non-GAAP Financial Measures

(Unaudited)

The Company believes that, in addition to GAAP measures, certain other non-GAAP financial measures are appropriate indicators to assist in the evaluation of restaurant-level operating efficiency and performance of ongoing restaurant-level operations. The Company uses Restaurant-level Operating Margin, Company Restaurant Operating Margin and Franchise Operating Margin internally as performance measures for planning purposes, including the preparation of annual operating budgets, and these three non-GAAP measures are used to evaluate operating effectiveness.

The Company defines Restaurant-level Operating Margin as operating income (loss) excluding the following three items: general and administrative expenses, depreciation and amortization, and operating (gains), losses and other charges, net. Restaurant-level Operating Margin is presented as a percent of total operating revenue. The Company excludes general and administrative expenses, which include primarily non-restaurant-level costs associated with support of company and franchised restaurants and other activities at their corporate office. The Company excludes depreciation and amortization expense, substantially all of which is related to company restaurant-level assets, because such expenses represent historical sunk costs which do not reflect current cash outlays for the restaurants. The Company excludes special items, included within operating (gains), losses and other charges, net, to provide investors with a clearer perspective of its ongoing operating performance and a more relevant comparison to prior period results.

Restaurant-level Operating Margin is the total of Company Restaurant Operating Margin and Franchise Operating Margin. The Company defines Company Restaurant Operating Margin as company restaurant sales less costs of company restaurant sales (which include product costs, company restaurant level payroll and benefits, occupancy costs, and other operating costs including utilities, repairs and maintenance, marketing and other expenses) and presents it as a percent of company restaurant sales. The Company defines Franchise Operating Margin as franchise and license revenue (which includes franchise royalties and other non-food and beverage revenue streams such as initial franchise fees, advertising revenue and occupancy revenue) less costs of franchise and license revenue and presents it as a percent of franchise and license revenue.

These non-GAAP financial measures provide a meaningful comparison between periods and enable investors to focus on the performance of restaurant-level operations by excluding revenues and costs unrelated to food and beverage sales in addition to corporate general and administrative expense, depreciation and amortization, and operating (gains), losses and other charges, net. However, each of these non-GAAP financial measures should be considered as a supplement to, not a substitute for, operating income (loss), net income (loss) or other financial performance measures prepared in accordance with U.S. generally accepted accounting principles. Restaurant-level Operating Margin, Company Restaurant Operating Margin and Franchise Operating Margin do not accrue directly to the benefit of shareholders because of the aforementioned excluded items, and are not indicative of the overall results for the Company.

	Quarter Ended				Fiscal Year Ended
(In thousands)	12/30/20		12/25/19		12/30/20		12/25/19
Operating income (loss)	$	(1,080)	$	26,563	$	6,679	$	164,983
General and administrative expenses	20,451		15,359		55,040		69,018
Depreciation and amortization	3,909		4,227		16,161		19,846
Operating (gains), losses and other charges, net	(511)		(5,721)		1,808		(91,180)
Restaurant-level Operating Margin	$	22,769	$	40,428	$	79,688	$	162,667
Restaurant-level Operating Margin consists of:
Company Restaurant Operating Margin (1)	$	1,417	$	8,656	$	3,591	$	47,981
Franchise Operating Margin (2)	21,352		31,772		76,097		114,686
Restaurant-level Operating Margin	$	22,769	$	40,428	$	79,688	$	162,667

(1)	Company Restaurant Operating Margin is calculated as operating income plus general and administrative expenses; depreciation and amortization; operating (gains), losses and other charges, net; and costs of franchise and license revenue; less franchise and license revenue.
(2)	Franchise Operating Margin is calculated as operating income plus general and administrative expenses; depreciation and amortization; operating (gains), losses and other charges, net; and costs of company restaurant sales; less company restaurant sales.

12

DENNY’S CORPORATION
Operating Margins
(Unaudited)
				Quarter Ended
(In thousands)				12/30/20				12/25/19
Company restaurant operations: (1)
	Company restaurant sales			$	32,892	100.0	%	$	48,803	100.0	%
	Costs of company restaurant sales:
		Product costs		8,275		25.2	%	11,849		24.3	%
		Payroll and benefits		14,614		44.4	%	18,331		37.6	%
		Occupancy		2,712		8.2	%	3,030		6.2	%
		Other operating costs:
			Utilities	1,333		4.1	%	1,443		3.0	%
			Repairs and maintenance	680		2.1	%	1,050		2.2	%
			Marketing	1,133		3.4	%	1,838		3.8	%
			Other direct costs	2,728		8.3	%	2,606		5.3	%
	Total costs of company restaurant sales			$	31,475	95.7	%	$	40,147	82.3	%
	Company restaurant operating margin (non-GAAP) (2)			$	1,417	4.3	%	$	8,656	17.7	%
Franchise operations: (3)
	Franchise and license revenue:
	Royalties			$	19,039	40.3	%	$	29,071	44.7	%
	Advertising revenue			15,060		31.9	%	21,562		33.2	%
	Initial and other fees			2,399		5.1	%	2,291		3.5	%
	Occupancy revenue			10,715		22.7	%	12,109		18.6	%
	Total franchise and license revenue			$	47,213	100.0	%	$	65,033	100.0	%
	Costs of franchise and license revenue:
	Advertising costs			$	15,060	31.9	%	$	21,561	33.2	%
	Occupancy costs			6,636		14.1	%	7,788		12.0	%
	Other direct costs			4,165		8.8	%	3,912		6.0	%
	Total costs of franchise and license revenue			$	25,861	54.8	%	$	33,261	51.1	%
	Franchise operating margin (non-GAAP) (2)			$	21,352	45.2	%	$	31,772	48.9	%
Total operating revenue (4)				$	80,105	100.0	%	$	113,836	100.0	%
Total costs of operating revenue (4)				57,336		71.6	%	73,408		64.5	%
Restaurant-level operating margin (non-GAAP) (4)(2)				$	22,769	28.4	%	$	40,428	35.5	%
Other operating expenses: (4)(2)
	General and administrative expenses			$	20,451	25.5	%	$	15,359	13.5	%
	Depreciation and amortization			3,909		4.9	%	4,227		3.7	%
	Operating (gains), losses and other charges, net			(511)		(0.6)	%	(5,721)		(5.0)	%
	Total other operating expenses			$	23,849	29.8	%	$	13,865	12.2	%
Operating income (loss) (4)				$	(1,080)	(1.3)	%	$	26,563	23.3	%
(1)		As a percentage of company restaurant sales.
(2)		Other operating expenses such as general and administrative expenses and depreciation and amortization relate to both company and franchise operations and are not allocated to costs of company restaurant sales and costs of franchise and license revenue. As such, operating margin is considered a non-GAAP financial measure. Operating margins should be considered as a supplement to, not as a substitute for, operating income (loss), net income (loss) or other financial measures prepared in accordance with U.S. generally accepted accounting principles.
(3)		As a percentage of franchise and license revenue.
(4)		As a percentage of total operating revenue.

13

DENNY’S CORPORATION
Operating Margins
(Unaudited)
				Fiscal Year Ended
(In thousands)				12/30/20				12/25/19
Company restaurant operations: (1)
	Company restaurant sales			$	118,160	100.0	%	$	306,377	100.0	%
	Costs of company restaurant sales:
		Product costs		29,816		25.2	%	74,720		24.4	%
		Payroll and benefits		51,684		43.7	%	118,806		38.8	%
		Occupancy		11,241		9.5	%	18,613		6.1	%
		Other operating costs:
			Utilities	5,148		4.4	%	10,359		3.4	%
			Repairs and maintenance	2,608		2.2	%	6,792		2.2	%
			Marketing	3,904		3.3	%	11,195		3.7	%
			Other direct costs	10,168		8.6	%	17,911		5.8	%
	Total costs of company restaurant sales			$	114,569	97.0	%	$	258,396	84.3	%
	Company restaurant operating margin (non-GAAP) (2)			$	3,591	3.0	%	$	47,981	15.7	%
Franchise operations: (3)
	Franchise and license revenue:
	Royalties			$	67,501	39.6	%	$	108,813	46.3	%
	Advertising revenue			53,745		31.5	%	81,144		34.5	%
	Initial and other fees			7,332		4.3	%	6,541		2.8	%
	Occupancy revenue			41,867		24.6	%	38,514		16.4	%
	Total franchise and license revenue			$	170,445	100.0	%	$	235,012	100.0	%
	Costs of franchise and license revenue:
	Advertising costs			$	53,745	31.5	%	$	81,144	34.5	%
	Occupancy costs			26,732		15.7	%	25,806		11.0	%
	Other direct costs			13,871		8.1	%	13,376		5.7	%
	Total costs of franchise and license revenue			$	94,348	55.4	%	$	120,326	51.2	%
	Franchise operating margin (non-GAAP) (2)			$	76,097	44.6	%	$	114,686	48.8	%
Total operating revenue (4)				$	288,605	100.0	%	$	541,389	100.0	%
Total costs of operating revenue (4)				208,917		72.4	%	378,722		70.0	%
Restaurant-level operating margin (non-GAAP) (4)(2)				$	79,688	27.6	%	$	162,667	30.0	%
Other operating expenses: (4)(2)
	General and administrative expenses			$	55,040	19.1	%	$	69,018	12.7	%
	Depreciation and amortization			16,161		5.6	%	19,846		3.7	%
	Operating (gains), losses and other charges, net			1,808		0.6	%	(91,180)		(16.8)	%
	Total other operating expenses			$	73,009	25.3	%	$	(2,316)	(0.4)	%
Operating income (4)				$	6,679	2.3	%	$	164,983	30.5	%
(1)		As a percentage of company restaurant sales.
(2)		Other operating expenses such as general and administrative expenses and depreciation and amortization relate to both company and franchise operations and are not allocated to costs of company restaurant sales and costs of franchise and license revenue. As such, operating margin is considered a non-GAAP financial measure. Operating margin should be considered as a supplement to, not as a substitute for, operating income (loss), net income (loss) or other financial measures prepared in accordance with U.S. generally accepted accounting principles.
(3)		As a percentage of franchise and license revenue.
(4)		As a percentage of total operating revenue.

14

DENNY’S CORPORATION
Statistical Data
(Unaudited)
Changes in Same-Store Sales (1)			Quarter Ended						Fiscal Year Ended
(increase (decrease) vs. prior year)			12/30/20			12/25/19			12/30/20			12/25/19
	Company Restaurants		(34.9)		%	0.5		%	(36.7)		%	1.9		%
	Domestic Franchised Restaurants		(32.8)		%	1.8		%	(30.9)		%	2.0		%
	Domestic System-wide Restaurants		(32.9)		%	1.7		%	(31.4)		%	2.0		%
Average Unit Sales			Quarter Ended						Fiscal Year Ended
(In thousands)			12/30/20			12/25/19			12/30/20			12/25/19
	Company Restaurants		$	499		$	695		$	1,812		$	2,477
	Franchised Restaurants		$	314		$	427		$	1,181		$	1,669
						Franchised
Restaurant Unit Activity			Company			& Licensed			Total
Ending Units September 23, 2020			66			1,598			1,664
	Units Opened		—			4			4
	Units Closed		(1)			(17)			(18)
		Net Change	(1)			(13)			(14)
Ending Units December 30, 2020			65			1,585			1,650
Equivalent Units
	Fourth Quarter 2020		66			1,594			1,660
	Fourth Quarter 2019		70			1,634			1,704
		Net Change	(4)			(40)			(44)
						Franchised
Restaurant Unit Activity			Company			& Licensed			Total
Ending Units December 25, 2019			68			1,635			1,703
	Units Opened		—			20			20
	Units Closed		(3)			(70)			(73)
		Net Change	(3)			(50)			(53)
Ending Units December 30, 2020			65			1,585			1,650
Equivalent Units
	Year-to-Date 2020		65			1,614			1,679
	Year-to-Date 2019		124			1,578			1,702
		Net Change	(59)			36			(23)
(1)		Same-store sales include sales at company restaurants and non-consolidated franchised and licensed restaurants that were open the same period in the prior year. Total operating revenue is limited to company restaurant sales and royalties, advertising revenue, fees and occupancy revenue from non-consolidated franchised and licensed restaurants. Accordingly, domestic franchise same-store sales and domestic system-wide same-store sales should be considered as a supplement to, not a substitute for, the Company's results as reported under GAAP.

15

EX-99.2

INVESTOR PRESENTATION February Through April 2021

Denny’s Corporation urges caution in considering its current trends and any outlook on earnings disclosed in this press release. In addition, certain matters discussed in this release may constitute forward-looking statements. These forward-looking statements, which reflect management’s best judgment based on factors currently known, are intended to speak only as of the date such statements are made and involve risks, uncertainties, and other factors that may cause the actual performance of Denny’s Corporation, its subsidiaries, and underlying restaurants to be materially different from the performance indicated or implied by such statements. Words such as “expect”, “anticipate”, “believe”, “intend”, “plan”, “hope”, “will”, and variations of such words and similar expressions are intended to identify such forward-looking statements. Except as may be required by law, the Company expressly disclaims any obligation to update these forward-looking statements to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events. Factors that could cause actual performance to differ materially from the performance indicated by these forward-looking statements include, among others: the rapidly evolving COVID-19 pandemic and related containment measures, including the potential for further operational disruption from government mandates affecting restaurants; economic, public health, social and political conditions that impact consumer confidence and spending with respect to social unrest and the COVID-19 pandemic; competitive pressures from within the restaurant industry; the level of success of the Company’s operating initiatives and advertising and promotional efforts; adverse publicity; health concerns arising from food-related pandemics, outbreaks of flu viruses or other diseases; changes in business strategy or development plans; terms and availability of capital; regional weather conditions; overall changes in the general economy (including with regard to energy costs), particularly at the retail level; political environment (including acts of war and terrorism); and other factors from time to time set forth in the Company’s SEC reports and other filings, including but not limited to the discussion in Management’s Discussion and Analysis and the risks identified in Item 1A. Risk Factors contained in the Company’s Annual Report on Form 10-K for the year ended December 25, 2019 (and in the Company’s subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K). The presentation includes references to the Company’s non-GAAP financials measures. All such measures are designated by an asterisk (*). The Company believes that, in addition to other financial measures, Adjusted EBITDA, Adjusted Free Cash Flow, Adjusted Net Income (Loss) and Adjusted Net Income (Loss) Per Share are appropriate indicators to assist in the evaluation of its operating performance on a period-to-period basis. The Company also uses Adjusted EBITDA and Adjusted Free Cash Flow internally as performance measures for planning purposes, including the preparation of annual operating budgets, and for compensation purposes, including bonuses for certain employees. Adjusted EBITDA is also used to evaluate its ability to service debt because the excluded charges do not have an impact on its prospective debt servicing capability and these adjustments are contemplated in its credit facility for the computation of its debt covenant ratios. The Company defines Adjusted Free Cash Flow for a given period as Adjusted EBITDA less the cash portion of interest expense net of interest income, capital expenditures, and cash taxes. Management believes that the presentation of Adjusted Free Cash Flow provides useful information to investors because it represents a liquidity measure used to evaluate, among other things, operating effectiveness and is used in decisions regarding the allocation of resources. However, Adjusted EBITDA, Adjusted Free Cash Flow, Adjusted Net Income (Loss) and Adjusted Net Income (Loss) Per Share should be considered as a supplement to, not a substitute for, operating income, net income (loss), net cash provided by operating activities, or other financial performance and liquidity measures prepared in accordance with U.S. generally accepted accounting principles. See Appendix for non-GAAP reconciliations to the following GAAP measures: FORWARD-LOOKING STATEMENTS AND NON-GAAP FINANCIAL MEASURES 2 $ Millions (except per share amounts) 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Operating Income $51.0 $56.4 $47.5 $57.3 $53.2 $47.0 $70.7 $73.6 $165.0 $6.7 Net Income (Loss) $112.3 $22.3 $24.6 $32.7 $36.0 $19.4 $39.6 $43.7 $117.4 ($5.1) Net Income (Loss) per Share $1.15 $0.23 $0.26 $0.37 $0.42 $0.25 $0.56 $0.67 $1.90 ($0.08) Cash Provided By (Used In): Operating Activities $59.5 $59.2 $57.0 $74.6 $83.3 $71.2 $78.3 $73.7 $43.3 ($3.1) Investing Activities ($7.7) ($3.5) ($16.5) ($21.3) ($32.7) ($32.7) ($27.1) ($32.0) $105.0 $4.7 Financing Activities ($67.1) ($55.9) ($51.2) ($53.2) ($52.0) ($37.6) ($48.7) ($41.6) ($150.0) ($1.0)

DENNY’S INVESTMENT HIGHLIGHTS • Nine consecutive fiscal years of domestic system-wide same-store sales1 growth prior to the pandemic2 • Strong same-store sales1 performance relative to peers • 227 well diversified, experienced and energetic franchisees3 • 1,650 restaurants around the globe, including 1,504 domestic locations3 • 146 international locations across 13 countries and U.S. territories3 STRONG ADJUSTED FREE CASH FLOW * AND SHAREHOLDER RETURN • Generated over $418M in Adjusted Free Cash Flow* over the last 10 fiscal years3 • Includes approximately $11M in real estate acquisitions2 • Approximately $554M allocated to share repurchase program since November 20104 • Recent transition to a more highly franchised model with reduced business risk • Proven revitalization strategies to continue propelling the brand forward • Record of consistent financial performance with market share opportunities post-pandemic CONS ISTENT SAME - STORE SALES 1 GROWTH H ISTORY GLOBAL FOOTPR INT WITH SEASONED FRANCHISEES DURABLE BUS INESS FOCUSED ON THE FUTURE * See Appendix for reconciliation of Net Income (Loss) and Net Cash Provided by (Used in) Operating Activities to Non-GAAP Financial Measures, as well as the reconciliation of Operating Income (Loss) to Non-GAAP Financial Measures. 1. Same-store sales include sales at company restaurants and non-consolidated franchised and licensed restaurants that were open the same period in the noted prior period. Total operating revenue is limited to company restaurant sales and royalties, advertising revenue, fees and occupancy revenue from non-consolidated franchised and licensed restaurants. Accordingly, domestic franchise same-store sales and domestic system-wide same-store sales should be considered as a supplement to, not a substitute for, the Company’s results as reported under GAAP. 2. Data as of December 25, 2019, the end of Fiscal Fourth Quarter 2019. 3. Data as of December 30, 2020, the end of Fiscal Fourth Quarter 2020. 4. Data as of February 27, 2020 (date the Company suspended share repurchases). The Company raised nearly $70M through the issuance of 8M shares of Common Stock in July 2020. 3

2020 RESULTS & COVID-19 BUSINESS RESPONSE 4

FISCAL 2020 HIGHLIGHTS 1. Same-store sales include sales at company restaurants and non-consolidated franchised and licensed restaurants that were open the same period in the noted prior period. Total operating revenue is limited to company restaurant sales and royalties, advertising revenue, fees and occupancy revenue from non-consolidated franchised and licensed restaurants. Accordingly, domestic franchise same-store sales and domestic system-wide same-store sales should be considered as a supplement to, not a substitute for, our results as reported under GAAP. ~$82M Available Liquidity Domestic System-Wide Same-Store Sales1 69% of 2019 New Unit Openings 20 New Openings Portfolio 1,650 Restaurants Globally 5

CONSUMER FOCUS AREAS ComfortReassurance Value Convenience 6

REASSURANCE • Enhanced training materials and communications distributed to entire system of restaurants • Reinforcing strict food safety procedures, handwashing and personal hygiene standards, and enhanced daily deep cleaning protocols • Remain in close contact with public health officials and government agencies to ensure all public health concerns are addressed We Remain Focused on the Safety and Well-being of Our Guests, Restaurant Teams, Franchisees, Employees and Suppliers 7

VALUE 8 PRICE $2$4$6$8 Value menu affinity held strong at 14% incidence1 even with the introduction of new platforms Utilizing Our Well-Known, Traffic-Driving Value Platforms to Provide an Array of Value for All Customers BUNDLED Sold nearly 385,000 of our new Family Meal Packs ABUNDANT Sold nearly 11,000,000 Super Slams1, a 30% increase from PY CONVENIENCE Over 500,000 transactions1 through our free delivery promotions Everyday Value 23%1 1. Data for the Fiscal Year Ended December 30, 2020.

COMFORT 9 Ensuring Denny’s is a Place Where Our Modern American Family Guests Receive Feel-Good Comfort Food and are Welcomed and Valued Food Service Atmosphere Introduced a new line of melts and bowls Reinforced the “Rules We Live By” Providing comfort indoors and outdoors

CONVENIENCE 10 Bringing Denny’s to Our Guests Wherever They Want, Whenever They Want, and Doing So With Integrated and Seamless Systems to Facilitate an Excellent Guest Experience

Average Weekly Off-Premise Sales Have More Than Doubled From Pre-Pandemic Levels1 DENNY’S ON DEMAND® $4.0 $4.0 $4.7 $8.3 $9.6 $7.7 $7.9 $8.3 $7.8 $7.3 $7.3 $8.8 $9.2 $8.2 $28.9 $28.3 $22.2 $2.6 $12.6 $13.3 $13.9 $15.8 $17.6 $17.3 $12.6 $12.9 $14.6 $32.9 $32.3 $26.9 $8.5 $12.2 $20.3 $21.2 $22.2 $23.6 $24.9 $24.6 $21.4 $22.1 $22.8 $0.0 $5.0 $10.0 $15.0 $20.0 $25.0 $30.0 $35.0 $40.0 Jan '20 Feb '20 Mar '20 Apr '20 May '20 Jun '20 Jul '20 Aug '20 Sep '20 Oct '20 Nov '20 Dec '20 Jan '21 Feb '21 Average Domestic Restaurant Sales by Channel per Week Off-Premise Sales On-Premise Sales Total Sales Family Dining Chain to Launch Mobile & Online Ordering Nationally Domestic Restaurants Active with Delivery2 Incidence Rate of Breakfast Plates for Off- Premise Orders3 1. Data through the first two weeks of Fiscal February 2021. 2. Data as of February 12, 2021. 1st Family Dining Chain to Launch Mobile & Online Ordering Nationally >90% Domestic Restaurants Active with Delivery2 ~60% Online Transactions from 18- 44 Year Old Guests1 ~62% Incidence Rate of Breakfast Plates for Off-Premise Orders1 1 11

SALES TRENDS AND REOPENINGS 1. Same-store sales include sales at company restaurants and non-consolidated franchised and licensed restaurants that were open the same period in the noted prior period. Total operating revenue is limited to company restaurant sales and royalties, advertising revenue, fees and occupancy revenue from non-consolidated franchised and licensed restaurants. Accordingly, domestic franchise same-store sales and domestic system-wide same-store sales should be considered as a supplement to, not a substitute for, the Company’s results as reported under GAAP. 2. Data through the first two weeks of Fiscal February 2021. 2 222 1,087 1,244 1,044 1,127 1,289 1,239 891 927 1,0101,060 938 327 237 444 369 207 256 586 531 444 480 378 120 47 35 22 19 20 31 46 50 0 200 400 600 800 1,000 1,200 1,400 1,600 1,800 Apr '20 May '20 Jun '20 Jul '20 Aug '20 Sep '20 Oct '20 Nov '20 Dec '20 Jan '21 Feb '21 Open Dining Rooms Closed Dining Rooms Temporary Closures (74%) (47%) (33%) (36%) (29%) (24%) (24%) (23%) (26%) (15%) (15%) (76%) (69%) (68%) (55%) (47%) (39%) (33%) (42%) (61%) (55%) (42%) (76%) (65%) (41%) (39%) (35%) (28%) (26%) (27%) (41%) (31%) (25%) (80%) (70%) (60%) (50%) (40%) (30%) (20%) (10%) Apr '20 May '20 Jun '20 Jul '20 Aug '20 Sep '20 Oct '20 Nov '20 Dec '20 Jan '21 Feb '21 Open Dining Rooms Closed Dining Rooms Domestic System-Wide Same-Store Sales Domestic System Same-Store Sales1 Compared to 2019 Fiscal Periods 2 Average Domestic Dining Rooms 12 2

24/7 OPERATIONS SALES TRENDS 1. Same-store sales include sales at company restaurants and non-consolidated franchised and licensed restaurants that were open the same period in the noted prior period. Total operating revenue is limited to company restaurant sales and royalties, advertising revenue, fees and occupancy revenue from non-consolidated franchised and licensed restaurants. Accordingly, domestic franchise same-store sales and domestic system-wide same-store sales should be considered as a supplement to, not a substitute for, the Company’s results as reported under GAAP. 2. Data through the first two weeks of Fiscal February 2021. 185 323 435 458 472 496 516 538 516 519 528 877 837 979 1,023 1,016 1,000 980 957 961 939 926 480 378 120 47 35 22 19 20 31 46 50 0 200 400 600 800 1,000 1,200 1,400 1,600 1,800 Apr '20 May '20 Jun '20 Jul '20 Aug '20 Sep '20 Oct '20 Nov '20 Dec '20 Jan '21 Feb '21 24/7 Units Limited Hour Units Temporary Closures (68%) (57%) (30%) (31%) (25%) (19%) (18%) (18%) (30%) (20%) (14%) (78%) (69%) (47%) (44%) (41%) (34%) (31%) (33%) (49%) (38%) (33%) (76%) (65%) (41%) (39%) (35%) (28%) (26%) (27%) (41%) (31%) (25%) (90%) (80%) (70%) (60%) (50%) (40%) (30%) (20%) (10%) Apr '20 May '20 Jun '20 Jul '20 Aug '20 Sep '20 Oct '20 Nov '20 Dec '20 Jan '21 Feb '21 24/7 Units Limited Hour Units Domestic System-Wide Same-Store Sales Domestic System Same-Store Sales1 Compared to 2019 Fiscal Periods 2 Average Domestic Units 13 2

Capacity Restrictions % of Domestic Units1 75% Capacity or Social Distancing 25% 50%-66% Capacity 31% 25%-33% Capacity 15% Off-Premise Only 26% No Restrictions 1% Temporarily Closed 2% Total 100% CAPACITY RESTRICTIONS 14 As of February 12, 2021, Over 70% of Our Domestic Restaurants Have Open Dining Rooms1 Alaska 1. Preliminary data as of February 12, 2021.

DOMESTIC FOOTPRINT Total of 1,504 Restaurants in the U.S.1 with Strongest Presence in California, Arizona, Texas, and Florida TOP 10 U.S. MARKETS1 DMA UNITS Los Angeles 175 Phoenix 64 Houston 63 Dallas/Ft. Worth 52 Sacramento/Stockton 48 San Francisco/Oakland 40 Orlando/Daytona 40 San Diego 38 Chicago 35 Miami/Ft. Lauderdale 35 % of Domestic System 39% 1. Data as of December 30, 2020, the end of Fiscal Fourth Quarter 2020. 4 25 2 7 6 9 5 15

INTERNATIONAL FOOTPRINT Honduras Guatemala City PhilippinesOntario 1. Data as of December 30, 2020, the end of Fiscal Fourth Quarter 2020. 16 International Presence of 146 Restaurants in 13 Countries and U.S. Territories has Grown by ~68% Since Year End 20101 FOOTPRINT COUNTRY UNITS United States 1,504 Canada 78 Puerto Rico 15 Mexico 12 Philippines 10 New Zealand 7 Honduras 6 United Arab Emirates 6 Costa Rica 3 El Salvador 2 Guam 2 Guatemala 2 Indonesia 2 United Kingdom 1 TOTAL 1,650

STRONG PARTNERSHIP WITH FRANCHISEES Well Diversif ied, Experienced, and Energetic Group of 227 Franchisees 1 Ownership of 1,585 Franchisee Restaurants 1 Number of Franchised Units Number of Franchisees Franchisees as % of Total Total Franchised Units Franchised Units as % of Total 1 79 35% 79 5% 2–5 81 36% 232 15% 6–10 31 14% 245 15% 11–15 14 6% 169 11% 16–30 10 4% 211 13% >30 12 5% 649 41% Total 227 100% 1,585 100% • 36 franchisees with more than 10 restaurants each collectively comprise approximately 65% of the franchise system. • Strong support and energy at the 2019 Annual Denny’s Franchisee Association Convention for returns on quality investments in food, service, and atmosphere. 1. Data as of December 30, 2020, the end of Fiscal Fourth Quarter 2020. 17

COVID-19 BUSINESS RESPONSE • Provided over $15M of royalty, advertising and rent relief, including approximately $7M of abatements • Deferred remodels and new store development commitments • Secured relief from key vendors and primary third-party franchise lenders • Approximately 99% of domestic franchise restaurants received funding under the first round of the Paycheck Protection Program with enhanced benefits expected in round two • Eliminated non-essential spending and placed holds on corporate and field open positions • Significantly reduced restaurant level staffing across the company portfolio • Reduced compensation for Board of Directors and multiple levels of management • Corporate furloughs and reduction in workforce • Recognized approximately $2.6M in tax credits related to the CARES Act1 • Raised net proceeds of $69.6M through the issuance and sale of 8.0M shares of common stock • Secured amendments to credit facility2, temporarily waiving financial covenants with certain restrictions, followed by more favorable financial covenant levels through Q3 ‘21 • Suspended share repurchases in February 2020 and are precluded from repurchasing shares through receipt of the Q3 ’21 compliance certificate 1. Data for the Fiscal Year Ended December 30, 2020. 2. Secured Second Amendment to the credit facility on May 13, 2020 and a Third Amendment to the credit facility on December 15, 2020. For further details, see our Current Reports on Form 8-K filed with the SEC. Franchisee Suppor t Cost Savings Initiatives Capital Allocation 18

A RESILIENT AND DURABLE BRAND FOCUSED ON THE FUTURE 19

EXECUTION OF BRAND REVITALIZATION STRATEGY DRIVING RESULTS Deliver a Differentiated and Relevant Brand Consistently Operate Great Restaurants Grow the Global Franchise Drive Profitable Growth for All Stakeholders Enabled Through Technology and Training Close Collaboration with Franchise Partners+ “Become the World’s Largest, Most Admired and Beloved Family of Local Restaurants” 20

Warm & Inviting Everyday Occasion Pride Review Program Delight & Make it Right The Rules We Live By Everyday Value DELIVERING A DIFFERENTIATED AND RELEVANT BRAND & CONSISTENTLY OPERATE GREAT RESTAURANTS 21 Menu Optimization Product Innovation Unpretentious

FOCUS ON A MENU WITH QUALITY ITEMS AT OPTIMAL PRICES THAT DRIVE PROFIT TO THE BOTTOM LINE Approximately 80% of Core Menu Entrées Changed or Improved Since Our Revitalization Began Current Core Menu is Approximately 25% Smaller than Our Pre-Pandemic Menu 22

FOCUS ON CONSISTENTLY OPERATING GREAT RESTAURANTS LEADING TO SUSTAINED IMPROVEMENT • Investments in training talent, tools, and strategies, such as Ignite E-Learning and our latest Delight & Make It Right service programs, driving improvements in service scores • Denny’s Pride Review Program used to evaluate and share best practices • Close collaboration with franchisees to drive improvements in speed of service and margins 23

REMODELS KEY TO REVITALIZING LEGACY BRAND Le g a cy D e n n y ’s H e ri ta g e 1 .0 H e ri ta g e 2 .0 24

WELL-ESTABLISHED PIPELINE WITH OPPORTUNITIES 1. Technomic Top 500 Chain Restaurant Report 2020 25 71% 29% 2019 U.S. Full-Service Restaurant Industry Sales ($B)1 Small Chains & Independents Top 500 Chains Market Share Opportunities Through Potential Industry Rationalization Will Only Bolster the 78 Commitments Secured from Our Recent Refranchising Initiative Industry Sales1• Secured 78 domestic development commitments through the sale of 113 company owned restaurants during 2018 and 2019 • Considerable experience converting existing spaces into new Denny’s restaurants • With 71% of the full-service segment sales maintained by small chains and independents, as potential industry rationalization occurs, market share opportunities will emerge

VIRTUAL BRANDS PROVIDE ADDITIONAL MARKET SHARE OPPORTUNITIES 26 Over ½ of Domestic Locations Signed Up With Rolling Launch Starting in February 2021 Over 70% of Transactions Occurring During the Dinner and Late-Night Dayparts1 1. Data for the Fiscal Year Ended December 30, 2020.

VIRTUAL BRANDS PROVIDE ADDITIONAL MARKET SHARE OPPORTUNITIES 27 • Door Dash Exclusive Test • 23 Test Locations • Over ½ of Domestic Locations Will Go Live in Spring 2021

STRONG COLLABORATION WITH FRANCHISEES Marketing Brand Advisory Council Operations Brand Advisory Council Supply Chain Oversight Committee Development Brand Advisory Council Denny’s Franchisee Association Technology Brand Advisory Council Training Initiatives Pride Reviews Operations Support Purchase Product for System Outperformed PPI by Avg of ~1ppt Each Year Over the Last Decade Successful Heritage Remodels Prototype Development Lease & Asset Management Menu Innovation Media Support Product Testing Annual Convention Steering Committee Meetings Joint Board Meetings Customer Facing Technology Denny’s On Demand Common POS Platform 28

HISTORICAL PERFORMANCE 29

TOTAL SYSTEM SALES1 AND ADJUSTED EBITDA* 1. Total system sales is a non-GAAP measure representing the sum of sales generated at all Denny’s locations worldwide, including franchise and licensed restaurants which are non- consolidated entities. Total operating revenue is limited to company restaurant sales and royalties, advertising revenue, fees and occupancy revenue from non-consolidated franchised and licensed restaurants. Accordingly, total system sales should be considered as a supplement to, not a substitute for, our results as reported under GAAP. * See Appendix for reconciliation of Net Income (Loss) and Net Cash Provided by (Used in) Operating Activities to Non-GAAP Financial Measures, as well as the reconciliation of Operating Income (Loss) to Non-GAAP Financial Measures. $81.7 $78.6 $78.0 $83.1 $88.8 $100.2 $103.3 $105.3 $96.8 $26.6 $0.0 $20.0 $40.0 $60.0 $80.0 $100.0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 $ M s Adjusted EBITDA* $0.41 $0.35 $0.33 $0.33 $0.35 $0.37 $0.39 $0.41 $0.31 $0.12 $1.95 $2.13 $2.18 $2.31 $2.38 $2.42 $2.46 $2.47 $2.62 $1.77 $2.36 $2.48 $2.51 $2.64 $2.73 $2.79 $2.85 $2.89 $2.93 $1.89 $0.00 $1.00 $2.00 $3.00 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Total System Sales1 Company Restaurant Sales Franchise Restaurant Sales Total System Sales $ B s 30 Total System Sales1 Grew by Over $550 Million Through 2019 1

$1.8 $1.9 $2.0 $2.1 $2.2 $2.3 $2.3 $2.3 $2.5 $1.8 $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Company Restaurant AUVs FRANCHISED AND COMPANY RESTAURANT SALES History of Steady Growth in Franchised and Company Average Unit Volumes Refranchising Strategy Benefited AUVs at Both Franchised and Company Restaurants in 2019 $ M s $1.4 $1.4 $1.4 $1.5 $1.6 $1.6 $1.6 $1.6 $1.7 $1.2 $0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Franchised Restaurant AUVs 31 $ M s

FRANCHISE AND COMPANY MARGINS $53.8 $51.5 $44.8 $45.9 $58.7 $65.2 $65.6 $63.2 $48.0 $3.6 $82.6 $88.0 $88.2 $92.9 $94.9 $98.8 $99.5 $104.0 $114.7 $76.1 $136.4 $139.5 $133.0 $138.8 $153.6 $164.0 $165.1 $167.2 $162.7 $79.7 $0.0 $20.0 $40.0 $60.0 $80.0 $100.0 $120.0 $140.0 $160.0 $180.0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 $ M s Franchise and Company Operating Margins1 Company Restaurant Operating Margin Franchise Operating Margin Restaurant-Level Operating Margin 1. The Company believes that, in addition to GAAP measures, certain other non-GAAP financial measures are appropriate indicators to assist in the evaluation of restaurant-level operating efficiency and performance of ongoing restaurant-level operations. Restaurant-Level Operating Margin is the total of Company Restaurant Operating Margin and Franchise Operating Margin. We define Company Restaurant Operating Margin as company restaurant sales less costs of company restaurant sales (which include product costs, company restaurant level payroll and benefits, occupancy costs, and other operating costs including utilities, repairs and maintenance, marketing and other expenses) and present it as a percent of company restaurant sales. We define Franchise Operating Margin as franchise and license revenue (which includes franchise royalties and other non-food and beverage revenue streams such as initial franchise fees, advertising revenue and occupancy revenue) less costs of franchise and license revenue and present it as a percent of franchise and license revenue. 32 Total Restaurant-Level Operating Margin1 Grew Over 19% From 2011 Through 2019 Highly Franchised Business Has Historically Provided Stable Restaurant-Level Operating Margins1

GENERAL AND ADMINISTRATIVE EXPENSES $47 $48 $45 $45 $49 $52 $51 $52 $50 $41 $4 $8 $6 $7 $11 $8 $5 $6 $9 $4 $4 $3 $5 $6 $7 $8 $9 $6 $7 $8 $55 $60 $57 $59 $67 $68 $66 $64 $69 $55 $0.0 $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 $70.0 $80.0 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 $ M s Corporate administrative expenses Incentive compensation Share-based compensation Deferred compensation valuation adjustments Total general and administrative expenses 33 We Have Successfully Achieved Our Goal Set Forth During Our Refranchising and Development Strategy of Reducing Corporate Administrative Expenses by $7 Million - $8 Million1 $52M 2018 ~$3M Two years of inflation and an additional operating week in 2020 ~$7M 2020 Cost reductions due to COVID-19 (half of which are permanent) 1. During our 2018-2019 refranchising and development strategy, we stated there would be $11M - $13M of cost savings. These savings were split as follows: 40% field support, 35% corporate support, and 25% franchise support cost sharing. The corporate support and franchise support cost sharing elements flow through corporate administrative expenses for a total of 60% expected savings, or $7M - $8M. ~$7M Refranchising and development strategy cost reductions $41M 2020

DOMESTIC SYSTEM-WIDE SAME-STORE SALES1 1. Same-store sales include sales at company restaurants and non-consolidated franchised and licensed restaurants that were open the same period in the noted prior period. Total operating revenue is limited to company restaurant sales and royalties, advertising revenue, fees and occupancy revenue from non-consolidated franchised and licensed restaurants. Accordingly, domestic franchise same-store sales and domestic system-wide same-store sales should be considered as a supplement to, not a substitute for, our results as reported under GAAP. 0.7% 1.3% 0.5% 2.8% 5.8% 0.9% 1.1% 0.8% 2.0% (31.4%) (14.0%) (12.0%) (10.0%) (8.0%) (6.0%) (4.0%) (2.0%) 0.0% 2.0% 4.0% 6.0% 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 (20.0%) (22.0%) (24.0%) (26.0%) (28.0%) (3 .0%) 34 Nine Consecutive Fiscal Years of Positive Domestic System-Wide Same-Store Sales1 Growth From 2011 Through 2019

GLOBAL DEVELOPMENT 56 34 41 32 37 36 32 21 16 12 5 6 5 6 8 14 7 9 14 8 61 40 46 38 45 50 39 30 30 20 0 10 20 30 40 50 60 70 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 System Openings Domestic Openings International Openings System Openings 35 Growth Initiatives Enabled Approximately 400 New Restaurant Openings Since 2011 With 95% Opened by Franchisees1 1. Data as of December 30, 2020, the end of Fiscal Fourth Quarter 2020.

ADJUSTED NET INCOME (LOSS) PER SHARE* $19.5 $25.2 $29.3 $32.9 $36.7 $42.3 $40.7 $44.6 $47.9 ($7.2) $0.20 $0.26 $0.31 $0.37 $0.43 $0.55 $0.58 $0.68 $0.77 ($0.12) ($14.0) ($4.0) $6.0 $16.0 $26.0 $36.0 $46.0 $56.0 ($0.20) ($0.10) $0.00 $0.10 $0.20 $0.30 $0.40 $0.50 $0.60 $0.70 $0.80 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 A d ju s te d N e t In c o m e (L o s s )* ($ M illio n s ) A d ju s te d N e t In c o m e ( L o s s ) p e r S h a re * Adjusted Net Income (Loss)* Adjusted Net Income (Loss) per Share* * See Appendix for reconciliation of Net Income (Loss) and Net Cash Provided by (Used in) Operating Activities to Non-GAAP Financial Measures, as well as the reconciliation of Operating Income (Loss) to Non-GAAP Financial Measures. 36 Growth in Adjusted Net Income (Loss) Per Share* Between 2011 and 2019 Driven by Successful Revitalization Initiatives and Share Repurchase Program

~$11 $17 $12 $9 $8 $8 $11 $15 $20 $18 $18 $1 $2 $3 $4 $5 $3 $6 $3 $24 $16 $16 $21 $22 $33 $34 $31 $32 $25 $7 $82 $79 $78 $83 $89 $100 $103 $105 $97 $27 $48 $49 $45 $49 $42 $52 $51 $50 $30 $2 $0 $20 $40 $60 $80 $100 $120 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 $ M il li o n s Real Estate Acquisitions Cash Interest Cash Taxes Cash Capital Adjusted EBITDA* Adjusted Free Cash Flow* ADJUSTED FREE CASH FLOW* Cash capital expenditures include real estate acquisitions through like-kind exchange transactions 37 Over $418 Million in Adjusted Free Cash Flow* Generated Over Last 10 Fiscal Years Adjusted Free Cash Flow* Impacted by ~$11 Million of Real Estate Acquisitions in 2019 * See Appendix for reconciliation of Net Income (Loss) and Net Cash Provided by (Used in) Operating Activities to Non-GAAP Financial Measures, as well as the reconciliation of Operating Income (Loss) to Non-GAAP Financial Measures.

Disciplined Focus on Debt Leverage with Total Available Liquidity of Approximately $82 Million1 After Considering Liquidity Covenants SOLID BALANCE SHEET WITH FLEXIBILITY 1. Data as of December 30, 2020, the end of Fiscal Fourth Quarter 2020. Total Debt / Adjusted EBITDA* leverage ratio is waived starting in Q2 ’20 through Q1’ 21. 2. On December 15, 2020, we entered into a third amendment to our credit agreement which reduced the revolver commitment to $375M with an additional stepdown to $350M on the first day of Q3 ’21. The amendment also temporarily waives certain financial covenants through Q1 ’21; provides favorable covenant measurements and restricts capital expenditures through Q3 ’21; prohibits the Company from paying dividends and making stock repurchases and other general investments, and adds a $70M monthly minimum liquidity covenant, defined as the sum of unrestricted cash and revolver availability, through receipt of the Q3 ’21 compliance certificate; and increases the interest rate to LIBOR plus 3.00% through receipt of the Q4 ’21 compliance certificate. 38 Paid down revolver $20.0M during Q4 ’20 resulting in an outstanding balance of $210.0M1 $240.2 $198.1 $170.0 $153.0 $140.0 $195.0 $218.5 $259.0 $286.5 $240.0 $210.0 $23.1 $22.5 $20.1 $20.1 $18.8 $20.7 $27.1 $30.2 $30.6 $16.5 $15.4 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 $0.0 $100.0 $200.0 $300.0 $400.0 $500.0 $600.0 T o ta l D e b t / A d ju s te d E B IT D A * T o ta l D e b t ($ M il li o n s ) Finance Leases Credit Facility Total Debt / Adjusted EBITDA* 1 2 Waived for 2020 * See Appendix for reconciliation of Net Income (Loss) and Net Cash Provided by (Used in) Operating Activities to Non-GAAP Financial Measures, as well as the reconciliation of Operating Income (Loss) to Non-GAAP Financial Measures.

HISTORY OF CONSISTENTLY RETURNING EXCESS CAPITAL TO SHAREHOLDERS $50 $25 $25 $3.9 $21.6 $22.2 $24.7 $36.0 $82.9 $96.2 $34.2 Q4 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 ASR Total Share Repurchases • Allocated $34.2 million toward share repurchases during 2020 before suspending share repurchases as of February 27, 2020 • Paid an average of $10.26 per share to repurchase approximately 54 million shares resulting in a 44% net reduction in our share count since late 2010 • We entered into amendments to our credit agreement on May 13, 2020 and December 15, 2020, which, among other things, temporarily prohibit us from paying dividends and making stock repurchases SHARE REPURCHASES ($ Millions) 1. Data as of February 27, 2020 (date the Company suspended share repurchases). $105.8 $58.7 $68.0 Average Price of $10.26 39 Approximately $554 Million Allocated Towards Share Repurchases Since We Started to Return Excess Capital to Shareholders in late 20101

STOCK PRICE PERFORMANCE (100%) 0% 100% 200% 300% 400% 500% 600% D e c -1 0 M a r- 1 1 J u n -1 1 S e p -1 1 D e c -1 1 M a r- 1 2 J u n -1 2 S e p -1 2 D e c -1 2 M a r- 1 3 J u n -1 3 S e p -1 3 D e c -1 3 M a r- 1 4 J u n -1 4 S e p -1 4 D e c -1 4 M a r- 1 5 J u n -1 5 S e p -1 5 D e c -1 5 M a r- 1 6 J u n -1 6 S e p -1 6 D e c -1 6 M a r- 1 7 J u n -1 7 S e p -1 7 D e c -1 7 M a r- 1 8 J u n -1 8 S e p -1 8 D e c -1 8 M a r- 1 9 J u n -1 9 S e p -1 9 D e c -1 9 M a r- 2 0 J u n -2 0 S e p -2 0 D e c -2 0 DENN Up 359% S&P Small Cap 600 Restaurants Index Up 478% S&P Small Cap 600 Index Up 212% 2011 The Beginning of Denny’s Brand Revitalization R e fr a n c h is in g A n n o u n c e m e n t C O V ID -1 9 P a n d e m ic 40 Between 2010 and February 12, 2021, Denny’s Stock Price Rose 359% Compared to the S&P Small Cap 600 Restaurants Index of 478% and S&P Small Cap 600 Index of 212%

DENNY’S INVESTMENT HIGHLIGHTS 1. Same-store sales include sales at company restaurants and non-consolidated franchised and licensed restaurants that were open the same period in the noted prior period. Total operating revenue is limited to company restaurant sales and royalties, advertising revenue, fees and occupancy revenue from non-consolidated franchised and licensed restaurants. Accordingly, domestic franchise same-store sales and domestic system-wide same-store sales should be considered as a supplement to, not a substitute for, our results as reported under GAAP. * See Appendix for reconciliation of Net Income (Loss) and Net Cash Provided by (Used in) Operating Activities to Non-GAAP Financial Measures, as well as the reconciliation of Operating Income (Loss) to Non-GAAP Financial Measures. • Consistent same-store sales1 growth through brand revitalization strategies to enhance food, service, and atmosphere • Global footprint with seasoned franchisees supported by a strong domestic presence and pipeline of development commitments • Strong Adjusted Free Cash Flow* and shareholder return supported by solid balance sheet with flexibility to support brand investments and a focus on highly accretive and shareholder friendly allocations of Adjusted Free Cash Flow* • Durable business focused on the future with a lower risk, highly- franchised business model supported by proven revitalization strategies, a sustained record of consistent financial performance and well-fortified balance sheet 41

APPENDIX 42

EXPERIENCED AND COMMITTED LEADERSHIP TEAM John C. Miller, Chief Executive Officer joined Denny’s in 2011 with over 30 years experience in restaurant operations and management. Prior to joining Denny’s, served as President of Taco Bueno and spent 17 years with Brinker International where positions held included President of Romano’s Macaroni Grill and President of Brinker’s Mexican Concepts. F. Mark Wolfinger, President joined Denny’s in 2005 as Chief Financial Officer. Previous roles include Chief Financial Officer of Danka Business Systems and senior financial positions with Hollywood Entertainment, Metromedia Restaurant Group (operators of Bennigans, Ponderosa Steakhouse, and Steak & Ale), and the Grand Metropolitan. Christopher D. Bode, Senior Vice President, Chief Operating Officer. Prior to joining Denny’s in 2011, served as Chief Operat ing Officer of QSR Management, LLC (a franchisee of Dunkin’ Donuts) and Vice President of Development & Construction of Dunkin’ Brands, Inc. Before joining the restaurant industry, served as a United States Navy Communications Specialist. John W. Dillon, Executive Vice President, Chief Brand Officer. Prior to joining Denny’s in 2007, held multiple marketing leadership positions with various organizations, including 10 years with YUM! Brands/Pizza Hut, and was Vice President of Marketing for the National Basketball Association’s Houston Rockets. Stephen C. Dunn, Senior Vice President, Chief Global Development Officer. Prior to joining Denny’s in 2004, held executive-level positions with Church's Chicken, El Pollo Loco, Mr. Gatti's, and TCBY. Earned the distinction of Certified Franchise Executive by the International Franchise Association Educational Foundation. Served as an Infantry Officer in the United States Army. Robert P. Verostek, Senior Vice President, Chief Financial Officer. Joined Denny’s in 1999 and served in numerous leadership positions across the Finance and Accounting teams. Named Vice President of Financial Planning and Analysis in 2012 and Chief Financial Officer is 2020. Prior experience includes various accounting roles for Insignia Financial Group. Michael L. Furlow, Senior Vice President, Chief Information Officer. Prior to joining Denny’s in 2017, served as Chief Information Officer and Senior Vice President of IT at Red Robin Gourmet Burgers and CEC Entertainment, Inc. (an operator and franchisor of Chuck E. Cheese’s and Peter Piper Pizza). Gail S. Myers, Senior Vice President, General Counsel. Prior to joining Denny’s in 2020, served as Executive Vice President, General Counsel, Secretary and Chief Compliance Officer for American Tire Distributors, Inc., Senior Vice President, Deputy General Counsel and Chief Compliance Counsel at U.S. Foods and Senior Vice President, General Counsel and Secretary at Snyder's-Lance, Inc. 43

RECONCILIATION OF NET INCOME (LOSS) AND NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES TO NON-GAAP FINANCIAL MEASURES $ Millions 2011 2012 2013 20141 2015 2016 2017 2018 2019 20201 Net Income (Loss) $112.3 $22.3 $24.6 $32.7 $36.0 $19.4 $39.6 $43.7 $117.4 ($5.1) Provision for (Benefit from) Income Taxes2 (84.0) 12.8 11.5 16.0 17.8 16.5 17.2 8.6 31.8 (2.0) Operating (Gains) Losses and Other Charges, Net 2.1 0.5 7.1 1.3 2.4 26.9 4.3 2.6 (91.2) 1.8 Other Nonoperating Expense (Income), Net 2.6 7.9 1.1 (0.6) 0.1 (1.1) (1.7) 0.6 (2.8) (4.2) Share‐Based Compensation 4.2 3.5 4.9 5.8 6.6 7.6 8.5 6.0 6.7 7.9 Deferred Compensation Plan Valuation Adjustments3 (0.1) 0.7 1.1 0.5 0.0 0.9 1.6 (1.0) 2.6 1.6 Interest Expense, Net 20.0 13.4 10.3 9.2 9.3 12.2 15.6 20.7 18.5 18.0 Depreciation and Amortization 28.0 22.3 21.5 21.2 21.5 22.2 23.7 27.0 19.8 16.2 Cash Payments for Restructuring Charges and Exit Costs (2.7) (3.8) (2.8) (2.0) (1.5) (1.8) (1.7) (1.1) (2.6) (3.0) Cash Payments for Share‐Based Compensation (0.8) (1.0) (1.2) (1.1) (3.4) (2.5) (3.9) (1.9) (3.6) (4.6) Adjusted EBITDA3 $81.7 $78.6 $78.0 $83.1 $88.8 $100.2 $103.3 $105.3 $96.8 $26.6 Adjusted EBITDA Margin % 15.2% 16.1% 16.9% 17.6% 18.1% 19.8% 19.5% 16.7% 17.9% 9.2% Net Cash Provided By (Used In) Operating Activities $59.5 $59.2 $57.0 $74.6 $83.2 $71.2 $78.3 $73.7 $43.3 ($3.1) Capital Expenditures (16.1) (14.2) (16.8) (22.1) (27.0) (19.7) (18.8) (22.0) (14.0) (7.0) Acquisition of Restaurants and Real Estate 0.0 (1.4) (4.0) 0.0 (5.8) (14.3) (12.4) (10.4) (11.3) 0.0 Cash Payments for Restructuring Charges and Exit Costs (2.7) (3.8) (2.8) (2.0) (1.5) (1.8) (1.7) (1.1) (2.6) (3.0) Cash Payments for Share‐Based Compensation (0.8) (1.0) (1.2) (1.1) (3.4) (2.5) (3.9) (1.9) (3.6) (4.6) Deferred Compensation Plan Valuation Adjustments3 (0.1) 0.7 1.1 0.5 0.0 0.9 1.6 (1.0) 2.6 1.6 Other Nonoperating Expense (Income), Net 2.6 7.9 1.1 (0.6) 0.1 (1.1) (1.7) 0.6 (2.8) (4.2) Gains on Investments 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.2 0.1 Gains (Losses) on Early Extinguishment of Debt and Leases (2.6) (8.3) (2.2) 0.0 (0.2) 0.0 (0.1) 0.2 0.0 (0.2) Amortization of Deferred Financing Costs (1.4) (0.8) (0.5) (0.5) (0.5) (0.6) (0.6) (0.6) (0.6) (0.9) Gains (Losses) on Interest Rate Swap Derivatives, Net 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 2.2 Interest Expense, Net 20.0 13.4 10.3 9.2 9.3 12.2 15.6 20.7 18.5 18.0 Cash Interest Expense, Net4 (17.0) (11.6) (9.1) (8.1) (8.3) (11.2) (14.6) (19.6) (17.6) (18.0) Deferred Income Tax Expense (3.2) (11.4) (9.1) (13.2) (14.0) (8.8) (10.3) (6.2) (16.0) (4.0) Decrease (Increase) in Tax Valuation Allowance2 89.1 0.7 0.4 0.3 0.1 (0.1) (0.2) (0.1) 2.9 3.0 Provision for (Benefit from) Income Taxes2 (84.0) 12.8 11.5 16.0 17.8 16.5 17.2 8.6 31.8 (2.0) Income Taxes Received (Paid), Net (1.1) (2.0) (2.8) (3.8) (5.4) (3.0) (6.4) (3.3) (24.1) (0.0) Changes in Operating Assets and Liabilities 5.7 9.4 12.4 (0.1) (2.2) 14.5 9.1 12.4 22.9 23.7 Adjusted Free Cash Flow3 $47.5 $49.4 $45.3 $49.1 $42.3 $51.9 $51.2 $50.0 $29.8 $1.6 1. Includes 53 operating weeks. 2. In 2011, we recorded an $89 million net deferred tax benefit from the release of a substantial portion of the valuation allowance on certain deferred tax assets. This release was primarily based on our improved historical and projected pre-tax income. 3. Beginning in 2018, historical presentations of Adjusted EBITDA and Adjusted Free Cash Flow have been restated to exclude the impact of market valuation changes in the Company’s non-qualified deferred compensation plan liabilities. 4. Includes cash interest expense, net and cash payments of approximately $1.9 million for dedesignated interest rate swap derivatives for the year ended December 30, 2020. 44

RECONCILIATION OF NET INCOME (LOSS) AND NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES TO NON-GAAP FINANCIAL MEASURES $ Millions (except per share amounts) 2011 2012 2013 20141 2015 2016 2017 2018 2019 20201 Adjusted EBITDA2 $81.7 $78.6 $78.0 $83.1 $88.8 $100.2 $103.3 $105.3 $96.8 $26.6 Adjusted EBITDA Margin % 15.2% 16.1% 16.9% 17.6% 18.1% 19.8% 19.5% 16.7% 17.9% 9.2% Cash Interest Expense, Net5 (17.0) (11.6) (9.1) (8.1) (8.3) (11.2) (14.6) (19.6) (17.6) (18.0) Cash Paid for Income Taxes, Net (1.1) (2.0) (2.8) (3.8) (5.4) (3.0) (6.4) (3.3) (24.1) (0.0) Cash Paid for Capital Expenditures (16.1) (15.6) (20.8) (22.1) (32.8) (34.0) (31.2) (32.4) (25.3) (7.0) Adjusted Free Cash Flow2 $47.5 $49.4 $45.3 $49.1 $42.3 $51.9 $51.2 $50.0 $29.8 $1.6 Net Income (Loss) $112.3 $22.3 $24.6 $32.7 $36.0 $19.4 $39.6 $43.7 $117.4 ($5.1) Pension Settlement Loss 0.0 0.0 0.0 0.0 0.0 24.3 0.0 0.0 0.0 0.0 (Gains) Losses on Interest Rate Swap Derivatives 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 (2.2) (Gains) Losses on Sales of Assets and Other, Net (3.2) (7.1) (0.1) (0.1) (0.1) 0.0 3.5 (0.5) (93.6) (4.7) Impairment Charges 4.1 3.7 5.7 0.4 0.9 1.1 0.3 1.6 0.0 4.1 Early Extinguishment of Debt 1.4 7.9 1.2 0.0 0.3 0.0 0.0 0.0 0.0 0.0 Tax Reform 0.0 0.0 0.0 0.0 0.0 0.0 (1.6) 0.0 0.0 0.0 Tax Effect3 (0.8) (1.6) (2.2) (0.1) (0.4) (2.5) (1.2) (0.2) 24.1 0.7 Adjusted Provision for Income Taxes4 (94.3) 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Adjusted Net Income (Loss) $19.5 $25.2 $29.3 $32.9 $36.7 $42.3 $40.7 $44.6 $47.9 ($7.2) Diluted Net Income (Loss) Per Share $1.15 $0.23 $0.26 $0.37 $0.42 $0.25 $0.56 $0.67 $1.90 ($0.08) Adjustments Per Share ($0.95) $0.03 $0.05 $0.00 $0.01 $0.30 $0.02 $0.01 ($1.13) ($0.04) Adjusted Net Income (Loss) Per Share $0.20 $0.26 $0.31 $0.37 $0.43 $0.55 $0.58 $0.68 $0.77 ($0.12) Diluted Weighted Average Shares Outstanding (000’s) 99,588 96,754 92,903 88,355 84,729 77,206 70,403 65,562 61,833 60,812 1. Includes 53 operating weeks. 2. Beginning in 2018, historical presentations of Adjusted EBITDA and Adjusted Free Cash Flow have been restated to exclude the impact of market valuation changes in the Company’s non- qualified deferred compensation plan liabilities. 3. Tax adjustments for full year 2013, 2014, 2015, 2017 and 2018 use full year effective tax rates of 31.9%, 32.9%, 33.0%, 30.3% and 16.4%, respectively. Tax adjustments for full year 2011 and 2012 are calculated using the full year 2012 effective rate of 36.4%. The tax adjustment for the loss on pension termination in 2016 is calculated using an effective tax rate of 8.8%., with all remaining adjustments calculated using an effective tax rate of 30.9%. Tax adjustments for the gains on sales of assets and other, net in 2019 are calculated using an effective rate of 25.7%. For the year ended December 30, 2020, the tax adjustments are calculated using an effective tax rate of 25.6%. 4. The adjusted provision for income taxes based on effective income tax rate of 36.4% for full year ended Dec. 27, 2012 and excludes impact of net deferred tax benefit. 5. Includes cash interest expense, net and cash payments of approximately $1.9 million for dedesignated interest rate swap derivatives for the year ended December 30, 2020. 45

RECONCILIATION OF OPERATING INCOME TO NON-GAAP FINANCIAL MEASURES $ Millions 2011 2012 2013 20141 2015 2016 2017 2018 2019 20201 Operating Income $51.0 $56.4 $47.5 $57.3 $63.2 $47.0 $70.7 $73.6 $165.0 $6.7 General and Administrative Expenses 55.4 60.3 56.8 58.9 66.6 68.0 66.4 63.8 69.0 55.0 Depreciation and Amortization 28.0 22.3 21.5 21.2 21.5 22.2 23.7 27.0 19.8 16.2 Operating (Gains) Losses and Other Charges, Net 2.1 0.5 7.1 1.3 2.4 26.9 4.3 2.6 (91.2) 1.8 Restaurant-Level Operating Margin $136.4 $139.5 $132.9 $138.7 $153.6 $164.0 $165.2 $167.1 $162.7 $79.7 Restaurant-Level Operating Margin Consists Of: Company Restaurant Operating Margin 53.8 51.5 44.8 45.9 58.7 65.2 65.6 63.2 48.0 3.6 Franchise Operating Margin 82.6 88.0 88.2 92.9 94.9 98.8 99.5 104.0 114.7 76.1 Restaurant-Level Operating Margin $136.4 $139.5 $132.9 $138.7 $153.6 $164.0 $165.2 $167.1 $162.7 $79.7 1. Includes 53 operating weeks. The Company believes that, in addition to GAAP measures, certain other non-GAAP financial measures are appropriate indicators to assist in the evaluation of restaurant-level operating efficiency and performance of ongoing restaurant-level operations. The Company uses Restaurant-level Operating Margin, Company Restaurant Operating Margin and Franchise Operating Margin internally as performance measures for planning purposes, including the preparation of annual operating budgets, and these three non-GAAP measures are used to evaluate operating effectiveness. The Company defines Restaurant-level Operating Margin as operating income (loss) excluding the following three items: general and administrative expenses, depreciation and amortization, and operating (gains), losses and other charges, net. Total Operating Margin is presented as a percent of total operating revenue. The Company excludes general and administrative expenses, which include primarily non- restaurant-level costs associated with support of company and franchised restaurants and other activities at their corporate office. The Company excludes depreciation and amortization expense, substantially all of which is related to company restaurant-level assets, because such expenses represent historical sunk costs which do not reflect current cash outlays for the restaurants. The Company excludes special items, included within operating (gains), losses and other charges, net, to provide investors with a clearer perspective of its ongoing operating performance and a more relevant comparison to prior period results. Restaurant-level Operating Margin is the total of Company Restaurant Operating Margin and Franchise Operating Margin. The Company defines Company Restaurant Operating Margin as company restaurant sales less costs of company restaurant sales (which include product costs, company restaurant level payroll and benefits, occupancy costs, and other operating costs including utilities, repairs and maintenance, marketing and other expenses) and present it as a percent of company restaurant sales. The Company defines Franchise Operating Margin as franchise and license revenue (which includes franchise royalties and other non-food and beverage revenue streams such as initial franchise fees, advertising revenue and occupancy revenue) less costs of franchise and license revenue and present it as a percent of franchise and license revenue. These non-GAAP financial measures provide a meaningful comparison between periods and enable investors to focus on the performance of restaurant-level operations by excluding revenues and costs unrelated to food and beverage sales in addition to corporate general and administrative expense, depreciation and amortization, and operating (gains), losses and other charges, net. However, each of these non-GAAP financial measures should be considered as a supplement to, not a substitute for, operating income (loss), net income (loss) or other financial performance measures prepared in accordance with U.S. generally accepted accounting principles. Restaurant-level Operating Margin, Company Restaurant Operating Margin and Franchise Operating Margin do not accrue directly to the benefit of shareholders because of the aforementioned excluded items, and are not indicative of the overall results for the Company. 46

XML

Cover Page	Feb. 16, 2021
Cover [Abstract]
Document Type	8-K
Document Period End Date	Feb. 16, 2021
Entity Registrant Name	DENNY’S CORPORATION
Entity Central Index Key	0000852772
Amendment Flag	false
Entity Incorporation, State or Country Code	DE
Entity File Number	0-18051
Entity Tax Identification Number	13-3487402
Entity Address, Address Line One	203 East Main Street
Entity Address, City or Town	Spartanburg
Entity Address, State or Province	SC
Entity Address, Postal Zip Code	29319-0001
City Area Code	864
Local Phone Number	597-8000
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Title of 12(b) Security	$.01 Par Value, Common Stock
Trading Symbol	DENN
Security Exchange Name	NASDAQ
Entity Emerging Growth Company	false