The Wendy’s Company has posted net income of $44.25m for the third quarter (Q3) of 2025, down 12% from $50.22m a year earlier, citing lower other income and reduced operating profit.
Operating profit declined to $92.05m from $94.67m at the same time in the previous year. The company pointed to a weaker margin at US company-operated restaurants, lower franchise royalty revenue and higher impairment of long-lived assets.
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In Q3, adjusted earnings before interest, taxation, depreciation and amortisation (EBITDA) rose 2.1% to $138m.
For the quarter ended 28 September 2025, total revenue fell to $549.51m from $566.73m, reflecting lower advertising fund revenue and reduced franchise royalty income, partly offset by higher franchise fees.
Sales during the period increased to $233.15m from $230.40m in the same quarter of the previous year.
Global systemwide sales were $3.5bn, down 2.6%, driven by lower same-restaurant sales in the US segment, partly offset by net new openings and same-restaurant growth in the International segment.
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By GlobalDataInternational systemwide sales rose 8.6% across all regions.
The company opened 54 restaurants in the quarter, bringing total additions to 172 through to the end of Q3.
Wendy’s interim CEO Ken Cook stated: “Third quarter results were in line with our expectations, reflecting continued strength in our international business with 8.6% systemwide sales growth, the addition of 54 new restaurants globally and adjusted EBITDA growth.
“In the US, our actions to drive operational excellence at company-operated restaurants are delivering meaningful results. Comparable sales at company-operated restaurants outperformed the system by 4% during the third quarter and a renewed focus on execution resulted in the successful launch of our new chicken tenders.”
The quarter marked the company’s first results since launching its Project Fresh turnaround plan in October 2025.
CNN reports that hundreds of US locations are set to close later in the year as part of the plan.
The publication quoted Cook as saying a “mid single-digit percentage” of the approximately 6,000 US sites could shut – around 200 to 350 outlets – with locations that are “consistently underperforming” to be targeted.
For 2025, the company reaffirmed guidance, expecting global systemwide sales to decline between 5% and 3%.
Adjusted EBITDA is projected at $505m to $525m, with adjusted earnings per share of $0.82 to $0.89.
Wendy’s declared a regular quarterly cash dividend of $0.14 per share and repurchased 1.4 million shares for $14m during the quarter.
