Filing Flows › Wendy's (WEN) › Q1 2026
Wendy's (WEN) Q1 2026 earnings results (first quarter 2026)
10-Q filed May 8, 2026
Wendy's (WEN) reported revenue of $541M for the first quarter 2026 (Q1 2026), +3% from a year earlier and -0.4% from the quarter before. Operating margin was 12.0%, net earnings $22.7M (4.2% of revenue).
Wendy's, Q1 2026: revenue $541M (+3% year over year), operating margin 12.0%, net earnings $22.7M, operating cash flow $59.4M. The chart follows the revenue to costs, profit and cash.
| Q1 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $541M | -0.4% | +3% |
| Operating profit | $64.9M | +1% | -22% |
| Net earnings | $22.7M | -14% | -42% |
| Operating cash flow | $59.4M | -14% | -30% |
| Free cash flow | $36.5M | — | — |
What changed
Revenue was $540.6M in Q1 2026, up 3% year over year and roughly flat from the previous quarter. Sales was the largest line at 42% of revenue. Franchise fees added $8.2M year over year (up 35%), 48% of the total change. Franchise royalty revenue declined 5%.
Operating profit was $64.9M, a 12.0% margin (down 3.9 points year over year). Operating profit fell $18.2M even though revenue rose $17.2M versus Q1 2025, so costs grew faster than sales. Total costs grew 8% against revenue growth of 3%. Net earnings were $22.7M, down 42% year over year. The effective tax rate was 33.5%.
Operating cash flow was $59.4M (down 30% year over year), 261% of net earnings. Non-cash charges added back $40.6M of depreciation and amortization and $5.2M of share-based compensation. Working capital and other items used $9.1M. After capital expenditures ($11.9M) and advertising funds impact ($6.4M) and franchise development fund ($4.6M), free cash flow as the company reports it was $36.5M.
Questions
What was Wendy's revenue in the first quarter 2026?
Wendy's (WEN) reported revenue of $541M for the first quarter 2026 (Q1 2026), +3% from a year earlier and -0.4% from the quarter before.
Was Wendy's profitable in the first quarter 2026?
Operating profit was $64.9M (12.0% of revenue) and net earnings $22.7M.
Source: Wendy's 10-Q on SEC EDGAR.