Wendy’s Closures 2025: Why the Fast-Food Giant is Shuttering Hundreds of U.S. Locations Amid Sales Slump
Wendy’s announced plans to shutter 200-350 underperforming U.S. stores starting Q4 2025 through 2026, targeting a “mid single-digit percentage” of its ~6,000 locations under Project Fresh turnaround. Q3 2025 results showed resilience: revenue $549.5M (+2.7% est.), adjusted EPS $0.24 (beat $0.20), but U.S. same-store sales plunged -4.7% amid inflation and competition, dragging global systemwide sales -2.6%. International markets shone with +8.6% sales growth and 9% unit expansion. P&L over 5 years: revenues CAGR 3.5% to $2.24B (2024), adjusted EBITDA $513M. Projections: 5-6% sales CAGR to $18B by 2028, EPS to $1.20. Balance sheet solid: $467M cash, net debt $633M (2.1x EBITDA). YTC Ventures sees “buy on dip” at $18.45/share, with 25% IRR potential via international pivot and menu wins like Tendys.
