#USA #Q3 Results #Wendy's #Dublin, Ohio #Project Fresh

Wendy's Company Reports Third Quarter Results for 2025

Wendy's Company (Nasdaq: WEN), a prominent player in the global fast-food sector, recently announced its financial results for the third quarter of 2025, revealing a mixed bag of performance indicators reflecting both challenges and opportunities.

Key Financial Takeaways

The quarter ended on September 28, 2025, with global systemwide sales reported at $3.5 billion, marking a decrease of 2.6% compared to the previous year. However, the company's international operations showcased resilience, enjoying an impressive 8.6% growth across all regions. This performance highlights the brand's strength beyond the saturated U.S. market and showcases Wendy's commitment to a diversified global strategy.

In the U.S. market, Wendy's took steps to optimize operations at company-owned restaurants. Comparatively, sales at these locations exceeded overall system performance by 4%, demonstrating the effectiveness of the company’s operational strategies. Profits for the quarter showcased net income of $44.3 million with an adjusted EBITDA of $138.0 million, which reflects a 2.1% increase. However, adjusted earnings per share (EPS) experienced a slight dip, declining by 4% to $0.24.

Wendy's continued its focus on franchise operations, opening a total of 54 new restaurants globally during this quarter, thus increasing the total number of locations to 7,363 by the end of September 2025. In total, the company has opened 172 new units year-to-date, signaling strong investor confidence and commitment to future expansion.

Operational Strategy: Project Fresh

Ken Cook, the Interim CEO, voiced optimism regarding the results, emphasizing ongoing initiatives aimed at improving both customer experience and operational efficiency under the newly launched “Project Fresh.” This comprehensive strategic plan emphasizes brand revitalization, operational excellence, and capital allocation. Key objectives of the initiative include enhancing average unit volume (AUV) in the U.S., fostering deeper value for both franchisees and shareholders, and adapting swiftly to market demands.

Market Position and Future Outlook

Despite challenges faced in the domestic market, Wendy's retains a positive outlook, reaffirming its projections for global systemwide sales growth to range between -5.0% to -3.0% for the upcoming period. The company anticipates an adjusted EBITDA between $505 to $525 million and adjusted EPS in the range of $0.82 to $0.89 for the entire year.

As part of its commitment to shareholders, Wendy’s announced a quarterly cash dividend of $0.14 per share, underscoring its dedication to returning capital while maintaining growth initiatives. The dividend will be payable on December 15, 2025, to shareholders recorded by December 1, 2025.

Additionally, the company has repurchased approximately 1.4 million shares for $14 million during the third quarter, with nearly $35 million remaining available for future repurchases. This move reflects a focused approach towards enhancing shareholder value in a strategically sound manner.

Wendy's aims to navigate current challenges while emphasizing the importance of a strong international presence. By bolstering its operational capabilities and embracing new initiatives, Wendy's is poised to adapt and thrive in an ever-evolving fast-food landscape.