Wendy's Q1 sales fall 5.5% globally; launches China franchise plan with 1,000 new restaurants

Wendy's reported a 5.5% decline in global systemwide sales for Q1 2026, driven mainly by weaker U.S. same-restaurant sales despite international growth of 6%. Net income dropped to $22.7 million with adjusted EBITDA at $111.3 million. The company announced a new franchise agreement to open up to 1,000 restaurants in China over the next decade, aiming to expand its international presence. Wendy's reaffirmed its full-year 2026 outlook, focusing on operational improvements and sustainable growth amid a business turnaround phase.