Wendy's saying that it prepared its marketing calendar for an improving environment. But falling consumer sentiment in March changed customer behavior and forced the company to rethink. But the results were mixed. July comps down 5-6%. $WEN
In 2024, Wendy's U.S. franchisees increased EBITDA by 2% on average and sales by 1%. $WEN https://t.co/4kXTqOK835
Wendy's company-owned restaurants outperformed franchisee-owned restaurants by 300bp because of AI and digital menu boards. $WEN
The Wendy’s Company reported second-quarter revenue of $560.9 million, topping Wall Street’s $558 million estimate, while adjusted earnings rose 7.4 percent to $0.29 a share, $0.04 above consensus. However, global systemwide sales slipped 1.8 percent to $3.7 billion as weakened U.S. traffic offset gains overseas. Domestic same-store sales fell 3.6 percent, reflecting what interim Chief Executive Officer Ken Cook called “dynamic consumer behavior and a more challenging competitive environment.” Comparable sales outside the United States grew 1.8 percent and international systemwide sales expanded 8.7 percent, helped by 26 net new restaurants. Company-owned outlets outperformed franchise units by roughly three percentage points, a gap the chain attributed to increased use of digital menu boards and other technology. Citing softer demand at home, the Dublin, Ohio-based burger chain cut its full-year 2025 outlook for global systemwide sales, adjusted earnings per share and adjusted EBITDA. The downbeat forecast sent the shares as much as 4 percent lower in early New York trading to about $9.60, extending a slide toward a five-year low.