Wendy’s, the American fast-food restaurant chain, has reported a net income of $42 million for the first quarter of 2024, reflecting a 5.5% increase compared to the $39.8 million reported a year earlier.
In the quarter ending on March 31, 2024, total revenue reached $534.75 million, marking a 1.1% increase from the $528.8 million reported in the same period of 2023.
However, operating profit saw a decline of 3.9%, dropping to $81.15 million from $84.47 million in the first quarter of 2023.
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The decrease in operating profit primarily stems from heightened investments in breakfast advertising, increased depreciation, and elevated general and administrative expenses.
In the first quarter of 2023, the company’s diluted profits per share increased by 5.3% to $0.20 from $0.19.
Adjusted EBITDA for the quarter increased by 1.8% to $127.8 million from $125.6 million compared to the previous year.
In Q1 2024, Wendy’s disclosed a 2.6% increase in system-wide sales worldwide. The US market experienced a 1.7% growth, while international markets witnessed a notable 8.8% surge.
From the first quarter of 2023 to the first quarter of 2024, the company’s global system-wide sales increased from $3.36 billion to $3.44 billion.
In the first quarter of 2024, Wendy’s reported a global increase of 0.9% in same-restaurant sales, with the US witnessing a 0.6% rise and international markets enjoying a 3.2% increase.
Wendy’s president and CEO, Kirk Tanner, expressed, “The momentum we’ve generated across our business in the first quarter positions us well to meet our 2024 targets and move forward in realizing the full potential of the formidable Wendy’s brand.”
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“We achieved growth in global same-restaurant sales, with a two-year acceleration of 120 basis points compared to the previous quarter. Factors contributing to this included high-single-digit year-on-year growth in US breakfast sales and a global digital sales mix approaching 17%.”
“This performance facilitated a 60-basis point increase in the margin of US company-operated restaurants compared to the previous year, demonstrating the advantages of these profitable initiatives. Our focus remains on executing our plans and investments with a customer-centric approach, bolstering our capacity to generate long-term value for shareholders.”
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