Wendy's Q2 Earnings Beat Expectations, Revenue Surpasses Estimates

Wendy's (WEN) reported Q2 earnings of $0.29 per share, beating the Zacks Consensus Estimate of $0.25 per share. The company's revenue of $560.93 million exceeded the Zacks Consensus Estimate by 0.97%. Shares have lost 38.9% YTD, while the S&P 500 has gained 7.8%. The Zacks Rank is currently #4 (Sell), indicating expected underperformance in the near future.

Wendy's Co. (WEN) reported its second-quarter earnings on July 2, 2025, with a non-GAAP earnings per share (EPS) of $0.29, beating the Zacks Consensus Estimate of $0.25 per share [1]. The company's revenue of $560.93 million also exceeded the Zacks Consensus Estimate by 0.97% [1].

Global systemwide sales decreased 1.8% to $3.7 billion, primarily due to a 3.6% decline in U.S. same-restaurant sales [2]. International systemwide sales grew 8.7%, with growth across all regions [2]. Wendy's added 26 net new restaurants globally and returned $88.7 million to shareholders through dividends ($0.14 per share) and share repurchases (4.8 million shares for $61.9 million) [2].

Despite the challenges in U.S. operations, Wendy's remains committed to its expansion strategy, with plans to deliver full-year net unit growth between 2-3% [2]. The company's adjusted earnings per share guidance for 2025 was revised down to $0.82 to $0.89, reflecting a more challenging operating environment [2].

Wendy's shares have lost 38.9% year-to-date (YTD), while the S&P 500 has gained 7.8% [1]. The Zacks Rank is currently #4 (Sell), indicating expected underperformance in the near future [1].

References:
[1] https://www.marketscreener.com/news/wendy-s-q2-earnings-snapshot-ce7c5eddd98bf527
[2] https://seekingalpha.com/news/4482448-wendys-non-gaap-eps-of-0_29-beats-by-0_04-revenue-of-560_9m-beats-by-2_87m