Revenue (Tables)

6 Months Ended

Jun. 29, 2025

The following tables disaggregate revenue by segment and source:


	Wendy’s U.S.		Wendy’s International		Global Real Estate & Development		Total
Three Months Ended June 29, 2025
Sales at Company-operated restaurants	$	225,973	$	6,880	$	—	$	232,853
Franchise royalty revenue	112,842		19,391		—		132,233
Franchise fees	20,972		2,569		526		24,067
Franchise rental income	—		—		60,411		60,411
Advertising funds revenue	101,355		10,010		—		111,365
Total revenues	$	461,142	$	38,850	$	60,937	$	560,929

Three Months Ended June 30, 2024
Sales at Company-operated restaurants	$	231,151	$	6,204	$	—	$	237,355
Franchise royalty revenue	117,997		18,321		—		136,318
Franchise fees	17,826		2,389		1,137		21,352
Franchise rental income	—		—		60,638		60,638
Advertising funds revenue	105,617		9,447		—		115,064
Total revenues	$	472,591	$	36,361	$	61,775	$	570,727


	Wendy’s U.S.		Wendy’s International		Global Real Estate & Development		Total
Six Months Ended June 29, 2025
Sales at Company-operated restaurants	$	438,717	$	13,646	$	—	$	452,363
Franchise royalty revenue	217,248		36,660		—		253,908
Franchise fees	41,676		4,655		1,209		47,540
Franchise rental income	—		—		118,865		118,865
Advertising funds revenue	193,115		18,610		—		211,725
Total revenues	$	890,756	$	73,571	$	120,074	$	1,084,401

Six Months Ended June 30, 2024
Sales at Company-operated restaurants	$	450,619	$	12,059	$	—	$	462,678
Franchise royalty revenue	226,850		35,148		—		261,998
Franchise fees	35,652		4,278		2,242		42,172
Franchise rental income	—		—		118,624		118,624
Advertising funds revenue	202,317		17,691		—		220,008
Total revenues	$	915,438	$	69,176	$	120,866	$	1,105,480

Contract Balances, assets and liabilities

The following table provides information about receivables and contract liabilities (deferred franchise fees) from contracts with customers:


	June 29, 2025 (a)		December 29, 2024 (a)
Receivables, which are included in “Accounts and notes receivable, net” (b)	$	63,781	$	55,601
Receivables, which are included in “Advertising funds restricted assets”	71,839		73,223
Deferred franchise fees (c)	99,397		99,411

_______________

(a)Excludes funds collected from the sale of gift cards, which are primarily reimbursed to franchisees upon redemption at franchised restaurants and do not ultimately result in the recognition of revenue in the Company’s condensed consolidated statements of operations.

(b)Includes receivables related to “Sales” and “Franchise royalty revenue and fees.”

(c)Deferred franchise fees are included in “Accrued expenses and other current liabilities” and “Deferred franchise fees” and totaled $11,001 and $88,396, respectively, as of June 29, 2025, and $11,024 and $88,387, respectively, as of December 29, 2024.

Contract Balances, deferred franchise fee rollforward

Significant changes in deferred franchise fees are as follows:


	Six Months Ended
	June 29, 2025		June 30, 2024
Deferred franchise fees at beginning of period	$	99,411	$	100,805
Revenue recognized during the period	(4,438)		(6,051)
New deferrals due to cash received and other	4,424		5,254
Deferred franchise fees at end of period	$	99,397	$	100,008

Anticipated Future Recognition of Deferred Franchise Fees

The following table reflects the estimated franchise fees to be recognized in the future related to performance obligations that are unsatisfied at the end of the period:


Estimate for fiscal year:
2025 (a)	$	7,588
2026	6,795
2027	6,657
2028	6,525
2029	6,424
Thereafter	65,408
	$	99,397

_______________

(a)Represents franchise fees expected to be recognized for the remainder of 2025, which includes development-related franchise fees expected to be recognized over a duration of one year or less.