Wendy's Unveils Next Chapter of Growth and Announces Long-Term Financial Algorithm at 2025 Investor Day
Wendy's (WEN) unveiled its growth strategy and long-term financial targets during its 2025 Investor Day. The company outlined three key pillars: menu innovation, customer experience enhancement, and global expansion.
The restaurant chain aims to add 1,000 net new restaurants globally by 2028 and presented its long-term financial algorithm targeting:
- 3-4% annual net unit growth
- 5-6% annual systemwide sales growth
- 7-8% annual adjusted EBITDA growth
Under new CEO Kirk Tanner's leadership, Wendy's plans to focus on updating core menu items, launching innovations, and investing in technology to enhance customer experience and increase restaurant profitability. The company is implementing a 'globally great, locally even better' approach to fuel international growth and strengthen its supply chain.
Wendy's (WEN) ha svelato la sua strategia di crescita e i target finanziari a lungo termine durante il suo Investor Day del 2025. L'azienda ha delineato tre pilastri chiave: innovazione del menu, miglioramento dell'esperienza del cliente e espansione globale.
La catena di ristoranti punta ad aggiungere 1.000 nuovi ristoranti netti a livello globale entro il 2028 e ha presentato il suo algoritmo finanziario a lungo termine che mira a:
- 3-4% di crescita annuale netta delle unità
- 5-6% di crescita annuale delle vendite a livello di sistema
- 7-8% di crescita annuale dell'EBITDA rettificato
Sotto la guida del nuovo CEO Kirk Tanner, Wendy's intende concentrarsi sull'aggiornamento degli elementi chiave del menu, sul lancio di innovazioni e sull'investimento in tecnologia per migliorare l'esperienza del cliente e aumentare la redditività dei ristoranti. L'azienda sta implementando un approccio 'globalmente eccellente, localmente ancora migliore' per alimentare la crescita internazionale e rafforzare la propria catena di approvvigionamento.
Wendy's (WEN) presentó su estrategia de crecimiento y objetivos financieros a largo plazo durante su Día del Inversor 2025. La compañía delineó tres pilares clave: innovación del menú, mejora de la experiencia del cliente y expansión global.
La cadena de restaurantes tiene como objetivo añadir 1.000 nuevos restaurantes netos a nivel mundial para 2028 y presentó su algoritmo financiero a largo plazo que tiene como meta:
- 3-4% de crecimiento neto anual de unidades
- 5-6% de crecimiento anual de ventas a nivel de sistema
- 7-8% de crecimiento anual del EBITDA ajustado
Bajo el liderazgo del nuevo CEO Kirk Tanner, Wendy's planea centrarse en actualizar los elementos clave del menú, lanzar innovaciones e invertir en tecnología para mejorar la experiencia del cliente y aumentar la rentabilidad de los restaurantes. La compañía está implementando un enfoque de 'globalmente excelente, localmente aún mejor' para impulsar el crecimiento internacional y fortalecer su cadena de suministro.
웬디스 (WEN)는 2025 투자자 데이에서 성장 전략과 장기 재무 목표를 공개했습니다. 회사는 세 가지 주요 기둥을 제시했습니다: 메뉴 혁신, 고객 경험 향상, 그리고 글로벌 확장.
이 레스토랑 체인은 2028년까지 전 세계적으로 1,000개의 순 신규 레스토랑을 추가하는 것을 목표로 하고 있으며, 장기 재무 알고리즘을 제시했습니다:
- 연간 순 단위 성장률 3-4%
- 연간 시스템 전체 매출 성장률 5-6%
- 연간 조정 EBITDA 성장률 7-8%
새로운 CEO 커크 태너의 리더십 하에, 웬디스는 핵심 메뉴 항목을 업데이트하고, 혁신을 출시하며, 고객 경험을 향상시키고 레스토랑의 수익성을 증가시키기 위해 기술에 투자할 계획입니다. 회사는 국제 성장을 촉진하고 공급망을 강화하기 위해 '글로벌하게 뛰어나고, 지역적으로 더욱 뛰어난' 접근 방식을 구현하고 있습니다.
Wendy's (WEN) a dévoilé sa stratégie de croissance et ses objectifs financiers à long terme lors de son Investor Day 2025. L'entreprise a présenté trois piliers clés : innovation du menu, amélioration de l'expérience client et expansion mondiale.
La chaîne de restaurants vise à ajouter 1 000 nouveaux restaurants nets à l'échelle mondiale d'ici 2028 et a présenté son algorithme financier à long terme visant à :
- 3-4% de croissance nette annuelle des unités
- 5-6% de croissance annuelle des ventes à l'échelle du système
- 7-8% de croissance annuelle de l'EBITDA ajusté
Sous la direction du nouveau PDG Kirk Tanner, Wendy's prévoit de se concentrer sur la mise à jour des éléments clés du menu, le lancement d'innovations et l'investissement dans la technologie pour améliorer l'expérience client et augmenter la rentabilité des restaurants. L'entreprise met en œuvre une approche 'globalement excellente, localement encore meilleure' pour stimuler la croissance internationale et renforcer sa chaîne d'approvisionnement.
Wendy's (WEN) hat während seines Investorentages 2025 seine Wachstumsstrategie und langfristigen finanziellen Ziele vorgestellt. Das Unternehmen skizzierte drei zentrale Säulen: Menüinnovation, Verbesserung des Kundenerlebnisses und globale Expansion.
Die Restaurantkette plant, bis 2028 weltweit 1.000 netto neue Restaurants hinzuzufügen und stellte ihren langfristigen finanziellen Algorithmus vor, der folgende Ziele verfolgt:
- 3-4% jährliches Nettoeinheitenwachstum
- 5-6% jährliches Wachstum des Gesamtsystems
- 7-8% jährliches Wachstum des bereinigten EBITDA
Unter der Führung des neuen CEO Kirk Tanner plant Wendy's, sich auf die Aktualisierung von Kernmenüelementen, die Einführung von Innovationen und Investitionen in Technologie zu konzentrieren, um das Kundenerlebnis zu verbessern und die Rentabilität der Restaurants zu steigern. Das Unternehmen verfolgt einen Ansatz von 'global großartig, lokal noch besser', um das internationale Wachstum zu fördern und seine Lieferkette zu stärken.
- 1,000 new restaurants planned globally by 2028
- 7-8% annual adjusted EBITDA growth target
- 5-6% annual systemwide sales growth projection
- 3-4% annual net unit growth target
- None.
Insights
Wendy's announcement of its long-term growth strategy and financial algorithm represents a significant positive development for investors seeking clarity on the company's future direction. The outlined targets are both ambitious and attainable, with projected
The commitment to add 1,000 net new restaurants globally by 2028 is particularly noteworthy as it addresses one of the key growth vectors for QSR chains - physical expansion. This global growth strategy aims to build "stronghold positions" in key markets while globalizing the supply chain, potentially improving economies of scale and operational efficiency.
The three-pillar approach demonstrates a balanced focus on menu innovation, operational excellence, and unit expansion. The emphasis on technology integration and digital experience enhancements aligns with evolving consumer preferences and could drive incremental revenue while potentially improving margins through operational efficiencies.
CEO Kirk Tanner's focus on "scaling our system to match the power of our brand" suggests management recognizes an opportunity to convert brand strength into physical presence and financial performance. The continuation of their "fresh food" positioning maintains brand identity while the planned menu updates and innovations could create new growth catalysts.
While specific capital allocation details for these initiatives weren't provided, the company appears to be investing strategically while maintaining its commitment to shareholder returns. The reaffirmation of their 2025 outlook signals confidence in executing against near-term targets.
Wendy's strategic roadmap reveals a comprehensive approach to value creation that addresses key competitive challenges in the QSR landscape. The company's plan to double down on "fresh, famous food" while updating core menu items represents a strategic refinement rather than reinvention - maintaining brand equity while pursuing innovation to capture growing market segments.
The second pillar focusing on customer experience excellence demonstrates recognition that convenience and consistency remain fundamental differentiators in food service. Their commitment to "seamless digital and technology integration" acknowledges the critical importance of digital channels and suggests investments in the technological infrastructure needed to compete effectively in an increasingly digital-first environment.
Most compelling is their "globally great, locally even better" approach to international expansion. This balanced philosophy allows for necessary market-specific adaptations while maintaining brand consistency - a nuanced strategy that avoids the pitfalls of either rigid standardization or excessive localization that have hampered other chains' global ambitions.
The 1,000 net new restaurants target by 2028 represents approximately
By emphasizing operational intensity and executional excellence, management addresses a critical success factor for multi-unit restaurant operations. The strategic framework presented demonstrates a holistic understanding of the interrelated factors driving QSR performance and shows discipline in balancing growth ambitions with operational realities.
- Shares plans to update core menu items and launch impactful innovation to meet consumer preferences and win in fast growing segments
- Details increased investments in technology and operations to enhance the customer experience
- Outlines expectations to add 1,000 net new restaurants globally by 2028
- Announces long-term financial algorithm of 3
-4% annual net unit growth, 5-6% annual systemwide sales growth, and 7-8% annual adjusted EBITDA growth
"The Wendy's brand has tremendous strength, and we will unlock its full potential, scaling our system to match the power of our brand," said Kirk Tanner, President and Chief Executive Officer. "I'm excited about our upcoming innovation and collaborations that will build on our high-quality menu with fresh ingredients as we continue to elevate our customer focus, putting the customer at the center of everything we do. Our relentless pursuit of excellence in our food and our restaurants will position Wendy's for long-term success as we win across our global markets."
"In order to execute on our strategy, we are investing in building new restaurants around the globe and deploying technology that will enhance the customer experience and increase restaurant profitability," said Ken Cook, Chief Financial Officer. "Our objective is to create value for our customers, our franchisees, and our shareholders."
At today's event, Kirk Tanner and members of Wendy's leadership team will discuss the three pillars of its growth strategy, including:
- Doubling Down on Fresh, Famous Food: Guided by its customer first approach and enduring commitment to providing the highest quality food at great value, Wendy's is expanding into areas of the greatest opportunity in the market, updating craveable core menu items, driving impactful innovation, and delivering uniquely relevant branding, marketing and collaborations.
- Delivering an Exceptional Customer Experience: Wendy's is executing with a new level of operational intensity to ensure the in-restaurant and digital experience is perfect every time. This includes creating a more compelling customer experience, prioritizing convenience through seamless digital and technology integration, and raising the level of hospitality, consistency and executional excellence across the global system.
- Accelerating Global Unit Growth: Wendy's is deploying a global new unit expansion strategy to meet the growing demand for Wendy's across the globe. Through a "globally great, locally even better" approach, the Company is investing in key markets and globalizing its supply chain to build stronghold positions to fuel growth and deliver Wendy's fresh famous food at scale.
Long-Term Financial Algorithm
Annual net unit growth | 3 to 4 percent |
Annual systemwide sales growth | 5 to 6 percent |
Annual Adj. EBITDA growth | 7 to 8 percent |
2028 Growth Targets
Restaurant Count | 8,100 - 8,300 |
Global systemwide sales | |
Adj. EBITDA |
Reaffirms Full Year 2025 Outlook
Global systemwide sales growth | 2 to 3 percent |
Adj. earnings per share | |
Adj. EBITDA | |
Capital expenditures | |
Free cash flow |
This release includes forward-looking projections for certain non-GAAP financial measures, including systemwide sales, adjusted EBITDA, adjusted earnings per share and free cash flow. The Company excludes certain expenses and benefits from adjusted EBITDA, adjusted earnings per share and free cash flow, such as the impact from our advertising funds, including the net change in the restricted operating assets and liabilities and any excess or deficit of advertising fund revenues over advertising fund expenses, impairment of long-lived assets, reorganization and realignment costs, system optimization gains, net, amortization of cloud computing arrangements, gain on early extinguishment of debt, net, and the timing and resolution of certain tax matters. Due to the uncertainty and variability of the nature and amount of those expenses and benefits, the Company is unable without unreasonable effort to provide projections of net income, earnings per share or net cash provided by operating activities, or a reconciliation of those projected measures.
How to Participate: The Investor Day event will be accessible to all interested parties via live webcast from the Company's Investor Relations website at www.irwendys.com. An archived replay of the webcast, including the related presentation materials, will also be available at www.irwendys.com.
Forward-Looking Statements
This release contains certain statements that are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Reform Act"). Generally, forward-looking statements include the words "may," "believes," "plans," "expects," "anticipates," "intends," "estimate," "goal," "upcoming," "outlook," "guidance" or the negation thereof, or similar expressions. In addition, all statements that address future operating, financial or business performance, strategies or initiatives, future efficiencies or savings, anticipated costs or charges, future capitalization, anticipated impacts of recent or pending investments or transactions and statements expressing general views about future results or brand health are forward-looking statements within the meaning of the Reform Act. Forward-looking statements are based on the Company's expectations at the time such statements are made, speak only as of the dates they are made and are susceptible to a number of risks, uncertainties and other factors. For all such forward-looking statements, the Company claims the protection of the safe harbor for forward-looking statements contained in the Reform Act. The Company's actual results, performance and achievements may differ materially from any future results, performance or achievements expressed or implied by the Company's forward-looking statements.
Many important factors could affect the Company's future results and cause those results to differ materially from those expressed in or implied by the Company's forward-looking statements. Such factors include, but are not limited to, the following: (1) the impact of competition or poor customer experiences at Wendy's restaurants; (2) adverse economic conditions or disruptions, including in regions with a high concentration of Wendy's restaurants; (3) changes in discretionary consumer spending and consumer tastes and preferences; (4) impacts to the Company's corporate reputation or the value and perception of the Company's brand; (5) the effectiveness of the Company's marketing and advertising programs and new product development; (6) the Company's ability to manage the impact of social or digital media; (7) the Company's ability to protect its intellectual property; (8) food safety events or health concerns involving the Company's products; (9) our ability to deliver global sales growth and maintain or grow market share across our dayparts; (10) the Company's ability to achieve its growth strategy through new restaurant development; (11) the Company's ability to effectively manage the acquisition and disposition of restaurants or successfully implement other strategic initiatives; (12) risks associated with leasing and owning significant amounts of real estate, including environmental matters; (13) risks associated with the Company's international operations, including the ability to execute its international growth strategy; (14) changes in commodity and other operating costs; (15) shortages or interruptions in the supply or distribution of the Company's products and other risks associated with the Company's independent supply chain purchasing co-op; (16) the impact of increased labor costs or labor shortages; (17) the continued succession and retention of key personnel and the effectiveness of the Company's leadership and organizational structure; (18) risks associated with the Company's digital commerce strategy, platforms and technologies, including its ability to adapt to changes in industry trends and consumer preferences; (19) the Company's dependence on computer systems and information technology, including risks associated with the failure or interruption of its systems or technology or the occurrence of cyber incidents or deficiencies; (20) risks associated with the Company's securitized financing facility and other debt agreements, including compliance with operational and financial covenants, restrictions on its ability to raise additional capital, the impact of its overall debt levels and the Company's ability to generate sufficient cash flow to meet its debt service obligations and operate its business; (21) risks associated with the Company's capital allocation policy, including the amount and timing of equity and debt repurchases and dividend payments; (22) risks associated with complaints and litigation, compliance with legal and regulatory requirements and an increased focus on environmental, social and governance issues; (23) risks associated with the availability and cost of insurance, changes in accounting standards, the recognition of impairment or other charges, changes in tax rates or tax laws and fluctuations in foreign currency exchange rates; (24) conditions beyond the Company's control, such as adverse weather conditions, natural disasters, hostilities, social unrest, health epidemics or pandemics or other catastrophic events; and (25) other risks and uncertainties cited in the Company's releases, public statements and/or filings with the Securities and Exchange Commission, including those identified in the "Risk Factors" sections of the Company's Forms 10-K and 10-Q.
In addition to the factors described above, there are risks associated with the Company's predominantly franchised business model that could impact its results, performance and achievements. Such risks include the Company's ability to identify, attract and retain experienced and qualified franchisees, the Company's ability to effectively manage the transfer of restaurants between and among franchisees, the business and financial health of franchisees, the ability of franchisees to meet their royalty, advertising, development, reimaging and other commitments, participation by franchisees in brand strategies and the fact that franchisees are independent third parties that own, operate and are responsible for overseeing the operations of their restaurants. The Company's predominantly franchised business model may also impact the ability of the Wendy's system to effectively respond and adapt to market changes.
All future written and oral forward-looking statements attributable to the Company or any person acting on its behalf are expressly qualified in their entirety by the cautionary statements contained or referred to above. New risks and uncertainties arise from time to time, and factors that the Company currently deems immaterial may become material, and it is impossible for the Company to predict these events or how they may affect the Company.
The Company assumes no obligation to update any forward-looking statements after the date of this release as a result of new information, future events or developments, except as required by federal securities laws, although the Company may do so from time to time. The Company does not endorse any projections regarding future performance that may be made by third parties.
There can be no assurance that any additional regular quarterly cash dividends will be declared or paid after the date hereof, or of the amount or timing of such dividends, if any. Future dividend payments, if any, are subject to applicable law, will be made at the discretion of the Board of Directors and will be based on factors such as the Company's earnings, financial condition and cash requirements and other factors.
Disclosure Regarding Non-GAAP Financial Measures
In addition to the financial measures presented in this release in accordance with
The Company uses adjusted EBITDA, adjusted earnings per share and systemwide sales as internal measures of business operating performance and as performance measures for benchmarking against the Company's peers and competitors. Adjusted EBITDA and systemwide sales are also used by the Company in establishing performance goals for purposes of executive compensation. The Company believes its presentation of adjusted EBITDA, adjusted earnings per share and systemwide sales provides a meaningful perspective of the underlying operating performance of our current business and enables investors to better understand and evaluate our historical and prospective operating performance. The Company believes these non-GAAP financial measures are important supplemental measures of operating performance because they eliminate items that vary from period to period without correlation to our core operating performance and highlight trends in our business that may not otherwise be apparent when relying solely on GAAP financial measures. Due to the nature and/or size of the items being excluded, such items do not reflect future gains, losses, expenses or benefits and are not indicative of our future operating performance. The Company believes investors, analysts and other interested parties use adjusted EBITDA, adjusted earnings per share and systemwide sales in evaluating issuers, and the presentation of these measures facilitates a comparative assessment of the Company's operating performance in addition to the Company's performance based on GAAP results.
This release also includes disclosure regarding the Company's free cash flow. Free cash flow is a non-GAAP financial measure that is used by the Company as an internal measure of liquidity. Free cash flow is also used by the Company in establishing performance goals for purposes of executive compensation. The Company defines free cash flow as cash flows from operations minus (i) capital expenditures and (ii) the net change in the restricted operating assets and liabilities of the advertising funds and any excess/deficit of advertising funds revenue over advertising funds expense included in net income, as reported under GAAP. The impact of our advertising funds is excluded because the funds are used solely for advertising and are not available for the Company's working capital needs. The Company may also make additional adjustments for certain non-recurring or unusual items to the extent identified in relevant reconciliation tables. The Company believes free cash flow is an important liquidity measure for investors and other interested persons because it communicates how much cash flow is available for working capital needs or to be used for repurchasing shares, paying dividends, repaying or refinancing debt, financing possible acquisitions or investments or other uses of cash.
Adjusted EBITDA, adjusted earnings per share, free cash flow and systemwide sales are not recognized terms under GAAP, and the Company's presentation of these non-GAAP financial measures does not replace the presentation of the Company's financial results in accordance with GAAP. Because all companies do not calculate adjusted EBITDA, adjusted earnings per share, free cash flow and systemwide sales (and similarly titled financial measures) in the same way, those measures as used by other companies may not be consistent with the way the Company calculates such measures. The non-GAAP financial measures included in this release should not be construed as substitutes for or better indicators of the Company's performance than the most directly comparable GAAP financial measures.
Key Business Measures
The Company tracks its results of operations and manages its business using certain key business measures, including same-restaurant sales and systemwide sales, which are measures commonly used in the quick-service restaurant industry that are important to understanding Company performance.
Same-restaurant sales and systemwide sales each include sales by both Company-operated and franchise restaurants. The Company reports same-restaurant sales for new restaurants after they have been open for 15 continuous months and for reimaged restaurants as soon as they reopen. Restaurants temporarily closed for more than one fiscal week are excluded from same-restaurant sales.
Franchise restaurant sales are reported by our franchisees and represent their revenues from sales at franchised Wendy's restaurants. Sales by franchise restaurants are not recorded as Company revenues and are not included in the Company's consolidated financial statements. However, the Company's royalty revenues are computed as percentages of sales made by Wendy's franchisees and, as a result, sales by franchisees have a direct effect on the Company's royalty revenues and profitability.
Same-restaurant sales and systemwide sales exclude sales from
The Company calculates same-restaurant sales and systemwide sales growth on a constant currency basis. Constant currency results exclude the impact of foreign currency translation and are derived by translating current year results at prior year average exchange rates. The Company believes excluding the impact of foreign currency translation provides better year over year comparability.
About Wendy's
The Wendy's Company (Nasdaq: WEN) and Wendy's® franchisees employ hundreds of thousands of people across more than 7,000 restaurants worldwide. Founded in 1969, Wendy's is committed to the promise of Fresh Famous Food, Made Right, For You, delivered to customers through its craveable menu including made-to-order square hamburgers using fresh beef*, and fan favorites like the Spicy Chicken Sandwich and nuggets, Baconator®, and the Frosty® dessert. Wendy's supports the Dave Thomas Foundation for Adoption®, established by its founder, which seeks to dramatically increase the number of adoptions of children waiting in
*Fresh beef available in the contiguous
For more information, visit www.wendys.com or Wendy's Investor Relations website at www.irwendys.com.
Investor Contact:
Aaron Broholm
Head of Investor Relations
(614) 764-3345
Aaron.Broholm@wendys.com
Media Contact:
Heidi Schauer
Vice President – Communications, Public Affairs & Customer Care
(614) 764-3368
Heidi.Schauer@wendys.com
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SOURCE The Wendy’s Company
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