#USA #financial results #Wendy's #Dublin, Ohio #Q1 2025

Wendy's Company Reports First Quarter 2025 Results

On May 2, 2025, The Wendy's Company (Nasdaq: WEN) published its unaudited financial results for the first quarter ending on March 30, 2025. Despite a challenging consumer environment, the company managed to add 68 net new restaurants globally and pushed on with its strategic priorities, focusing on delivering quality food and enhancing customer experience.

Financial Performance Overview

Wendy's reported global systemwide sales of $3.4 billion, reflecting a decline of 1.1% from the previous period. This downturn can be attributed mainly to a drop in same-store sales within the U.S. market, which suffered a 2.1% decline. However, the International segment exhibited resilience, with an impressive 8.9% growth in systemwide sales. Kirk Tanner, President and CEO, expressed satisfaction with the company’s operational progress, emphasizing that Wendy's is well-positioned to continue growing in this competitive landscape.

The following table summarizes key operational highlights:

Income Statement Highlights

The financial results indicated total revenues of $523.5 million, slightly down 2.1% year-over-year, primarily due to lower sales from company-operated restaurants and reduced revenue from advertising funds and franchise royalties. Adjusted earnings per share stood at $0.20 per share, a 13% decrease from $0.23 in the prior year. Despite these challenges, Wendy's managed to return $173.5 million to shareholders through dividends and share repurchases.

Strategic Focus Moving Forward

Looking into the future, Wendy's has reiterated its commitment to strategic growth with expectations of 2-3% net unit growth for the full year. The company has also modified its outlook for the current year, forecasting global systemwide sales growth to remain flat.

Key points of focus include:

• - Continuing investment in technology to enhance operations and customer satisfaction.
• - Emphasizing operating efficiencies in response to inflation challenges.
• - Strengthening its international market presence as part of the growth strategy.

Kirk Tanner stated, "Despite the current challenges we face, our strategic priorities position us to both sustain our operations and secure future growth across our global system of restaurants." This strategic foresight is essential as the company aims to navigate through fluctuating consumer preferences and economic pressures.

Conclusion

As The Wendy's Company progresses through 2025, its focus remains clear: prioritize customer experience, execute efficient restaurant management, and accelerate growth initiatives. With a robust menu that features fresh ingredients and commitment to quality service, Wendy's aims to maintain its competitive edge in the fast-food industry while delivering value to its investors and customers alike. Stay tuned for updates as the company hosts a conference call today at 8:30 a.m. ET to discuss these results and expectations for the future.