Wendy's (NASDAQ:WEN) stock surged 7.25% in pre-market trading following the release of its third-quarter 2025 earnings report, which exceeded analyst expectations despite challenging sales figures. The fast-food chain demonstrated resilience in a tough market environment, with financial results outperforming Wall Street estimates.
The company reported adjusted earnings per share of $0.24, surpassing the analyst consensus estimate of $0.20. Revenue for the quarter came in at $549.5 million, while adjusted EBITDA reached $138 million, significantly beating the expected $123.5 million. These strong financial metrics appear to be the primary drivers behind the stock's pre-market rally.
However, Wendy's faced headwinds in terms of sales growth. The company reported a 3.7% decline in global same-restaurant sales and a 2.6% decrease in global systemwide sales. Despite these challenges, investors seem to be focusing on the earnings beat and the company's decision to reaffirm its 2025 outlook, suggesting confidence in its long-term strategy and ability to navigate current market conditions.