- Wendy’s Co (NASDAQ:WEN) reported second-quarter FY22 sales growth of 9% year-on-year to $537.80 million, missing the consensus of $539.96 million.
- Adjusted revenues increased 10.7% to $432.9 million.
- Global Systemwide sales improved 5.6%, with Systemwide sales in the U.S. rising 3.5% and International improving 22.7%.
- Global same-restaurant sales growth was 3.7%.
- Also Read: McDonald’s, Wendy’s Sued Over Burgers Not Being Big And Juicy Enough
- The company-operated restaurant margin contracted by 580 basis points to 14.5%.
- General and administrative expenses declined 2.3% Y/Y to $61.6 million.
- The operating margin was 17.9%, and operating income for the quarter fell 24% Y/Y to $96.3 million.
- Adjusted EBITDA increased 1.4% Y/Y to $132.9 million.
- Adjusted EPS of $0.24 beat the consensus of $0.22.
- The company held $796.6 million in cash and equivalents as of July 3, 2022. Cash provided by operating activities for the six months totaled $98.2 million.
- The company’s regular quarterly cash dividend of $0.125 per share is payable on September 15, 2022, to shareholders of record as of September 1, 2022.
- Outlook: Wendy’s sees FY22 adjusted EPS of $0.84 – $0.88 (prior view $0.82 – $0.86), above the consensus of $0.83.
- The company continues to expect FY22 global systemwide sales growth of 6% to 8%.
- Price Action: WEN shares are trading lower by 2.23% at $20.64 in premarket on the last check Wednesday.
- Photo Via Company
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