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Mar 31, 2024

Wendy's Q1 2024 Earnings Report

Wendy's reported an increase in total revenues driven by advertising funds and franchise royalty revenue.

Key Takeaways

Wendy's Q1 2024 results showed positive momentum, with global same-restaurant sales growth accelerating by 120 basis points on a two-year basis. This growth was supported by high-single digit U.S. breakfast sales growth and a global digital sales mix of nearly 17%. The company's focus on customer-centric plans and investments is expected to drive long-term shareholder value.

Global same-restaurant sales growth accelerated by 120 basis points on a two-year basis.

U.S. breakfast sales experienced high-single digit year-over-year growth.

Global digital sales mix reached nearly 17%.

U.S. Company-operated restaurant margin expanded by 60 basis points.

Total Revenue
$535M
Previous year: $529M
+1.1%
EPS
$0.23
Previous year: $0.21
+9.5%
US Same-Restaurant Sales Growth
0.6%
Previous year: 7.2%
-91.7%
International Same-Restaurant Sales Growth
3.2%
Previous year: 13.9%
-77.0%
Global Same-Restaurant Sales Growth
0.9%
Previous year: 8%
-88.8%
Gross Profit
$154M
Previous year: $184M
-16.4%
Cash and Equivalents
$498M
Previous year: $676M
-26.3%
Free Cash Flow
$60.8M
Total Assets
$5.19B
Previous year: $5.41B
-4.0%

Wendy's

Wendy's

Wendy's Revenue by Segment

Forward Guidance

During 2024 the Company Continues to Expect: • Global systemwide sales growth: 5 to 6 percent • Adjusted EBITDA: $535 to $545 million • Adjusted earnings per share: $0.98 to $1.02 • Cash flows from operations: $370 to $390 million • Capital expenditures: $90 to $100 million • Free cash flow: $280 to $290 million

Positive Outlook

  • Global systemwide sales growth: 5 to 6 percent
  • Adjusted EBITDA: $535 to $545 million
  • Adjusted earnings per share: $0.98 to $1.02
  • Cash flows from operations: $370 to $390 million
  • Free cash flow: $280 to $290 million

Challenges Ahead

  • Capital expenditures: $90 to $100 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income