Loading...
•
Mar 30, 2025
Wendy's Q1 2025 Earnings Report
Wendy’s reported a decrease in revenue and earnings for Q1 2025 amid a challenging U.S. consumer environment.
Key Takeaways
Wendy’s experienced a decline in U.S. same-restaurant sales, impacting total revenue and net income. Despite this, international markets showed strong growth, and digital sales reached a new high. The company returned significant capital to shareholders and opened a net 68 new restaurants globally.
Global digital sales reached a record 20.3% of sales mix.
Net 68 new restaurants were opened globally in the quarter.
Returned $173.5 million to shareholders via dividends and repurchases.
International systemwide sales grew 8.9% despite a global sales decline.
Revenue by Segment
Revenue by Geographic Location
Forward Guidance
Wendy’s updated its full-year outlook to reflect macroeconomic pressures in the U.S. while reaffirming key growth targets.
Positive Outlook
- Reaffirmed global net unit growth of 2–3%
- Capital expenditures expected at $100M to $110M
- Free cash flow forecasted at $250M to $270M
- Adjusted EPS guidance of $0.92 to $0.98
- Adjusted EBITDA projected between $530M and $545M
Challenges Ahead
- Lowered global systemwide sales growth to (2.0)% to flat
- U.S. traffic and sales declined
- Restaurant margin under pressure from inflation
- Increase in interest expense impacted net income
- Adjusted EBITDA declined year-over-year
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...