Wendy’s shares rise as Q4 earnings, revenue beats expectations

Published 13/02/2025, 13:20
© Reuters

Investing.com -- Wendy’s Co. reported fourth-quarter results that topped revenue estimates, sending shares up 2% in early trading Wednesday.

The fast-food chain posted revenue of $574.3 million for the quarter, surpassing analyst expectations of $563.99 million. Adjusted earnings per share came in at $0.25, beating the consensus estimate of $0.24.

Wendy’s (NASDAQ:WEN) saw global systemwide sales grow 5.4% to $3.7 billion in Q4, driven by same-restaurant sales growth of 4.3%. For the full year 2024, systemwide sales increased 3.1% to $14.5 billion.

"I am proud of our fourth quarter performance, delivering a strong quarter while outpacing the category. This resulted in our 14th consecutive year of global same-restaurant sales growth," said Kirk Tanner, President and CEO of Wendy’s.

The company’s U.S. same-restaurant sales rose 4.1% in Q4, while international same-restaurant sales grew 4.9%.

Looking ahead, Wendy’s provided guidance for fiscal 2025, projecting adjusted earnings per share of $0.98 to $1.02, below the analyst consensus of $1.04. The company expects global systemwide sales growth of 2% to 3% for the year.

Wendy’s also announced an update to its capital allocation policy, targeting a dividend payout ratio of 50% to 60% of adjusted earnings. The company plans to repurchase up to $200 million of its shares in 2025.

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