Slide 1: Third-Quarter 2016 Conference Call
© 2016 Quality Is Our Recipe, LLC Third-Quarter 2016 Conference Call Exhibit 99.1 November 9, 2016
Slide 2: Peter Koumas, Investor Relations
Peter Koumas Group Manager – Investor Relations
Slide 3: Today's Agenda
Today’s Agenda CEO Overview Todd Penegor Financial Update Gunther Plosch Key Initiatives Update Todd Penegor Q&A
Slide 4: Todd Penegor, President and CEO
Todd Penegor President and Chief Executive Officer
Slide 5: Third-quarter highlights
© 2015 Quality Is Our Recipe, LLC IMPROVEMENT OF 600 BPS IN ADJ. EBITDA MARGIN TO 27.5%* COMPANY INTENDS TO ENTER INTO $150 MILLION ASR TRANSACTION; INCREASES DIVIDEND BY ~8% COMPANY INCREASES 2016 ADJ. EPS AND ADJ. EBITDA GUIDANCE* * See reconciliation of non-GAAP financial measures in the Appendix
Slide 6: Balance Across the Menu
Balance Across the Menu CORE PRICE-VALUE LTOs
Slide 7: Strong Q3 Promotional Calendar
Strong Q3 Promotional Calendar
Slide 8: Strong N.A. System SRS Acceleration
Strong N.A. System SRS Acceleration 3.2% 2.2% 3.1% 3.6% 0.4% 1.4% 6.8% 2.6% 4.5% Q1 Q2 Q3
Slide 9: Customer Counts Driving Growth
Customer Counts Driving Growth QSR Hamburger Wendy’s Check Customer Counts Check Customer Counts
Slide 10: Customers Are Noticing the Stronger Wendy's
Customers Are Noticing the Stronger Wendy’s +16% +7% Source: Wendy’s Brand Health Tracking, Q3 2016 vs.Q3 2015 High Quality Food Worth What You Pay
Slide 11: A Place I Love to Go
A PLACE | LOVE TO GO AN EXPERIENCE THAT BRINGS ME BACK Delight every customer.
Slide 12: Gunther Plosch, Chief Financial Officer
Gunther Plosch Chief Financial Officer
Slide 13: Third Quarter Financial Highlights
N.A. System SRS 1.4% 3.1% 2-Year 4.5% N.A. Co. Rest. Margin 18.4% 18.8% (40) bps G&A $58.9 $63.7 7.5% Adjusted EBITDA** $100.2 $99.7 0.5% Adjusted EBITDA Margin** 27.5% 21.5% +600 bps Adjusted EPS** $0.11 $0.09 22.2% Third Quarter Financial Highlights $ Mils (except per share amounts) 2016* 2015* B/
Slide 14: Q3 2016 vs. Q3 2015: Adjusted EBITDA
Q3 2016 vs. Q3 2015: Adjusted EBITDA $100 $100 $24 $2 ($26) Q3 2015 Royalties, Franchise Fees & Net Rental Income Other Disposed Restaurant EBITDA (Sys Op) Q3 2016 433 Fewer Company Restaurants (Unaudited) $ in millions
Slide 15: Q3 2016 vs. Q3 2015: Adjusted EPS
Q3 2016 vs. Q3 2015: Adjusted EPS (Unaudited) $0.09 $0.11 $0.01 $0.01 Q3 2015 Share Repurchases Depreciation Q3 2016
Slide 16: 2016 Outlook
2016 Outlook * • Revising • NA System SRS of ~1.5% • Cash flows from operations of ~$180 to $200 million • Capital expenditures of ~$145 million • Free cash flow (cash flows from operations minus CAPEX) of ~$35 to $55 million • Reaffirming • Commodity costs to decrease ~5 to 6% • Company-operated re
Slide 17: Todd Penegor, President and CEO
Todd Penegor President and Chief Executive Officer
Slide 18: System Optimization Update
System Optimization Update System Optimization III • On track to complete by the end of 2016 • 156 restaurants sold in Q3, 211 sold YTD • Expect ~315 restaurants to be sold in 2016 • Expect total pre-tax proceeds of ~$435M Ongoing System Optimization • Facilitated 18 franchisee-to-franchisee transfe
Slide 19: Image Activation Momentum Accelerates
Image Activation Momentum Accelerates Total System Annual Reimages & New Builds* Total System Cumulative Reimages & New Builds* ~28% of NA system Image Activated at the end of Q3 2016 * Counts include Franchise Reimages open or under construction
Slide 20: 2020 North America System Goals Are On Track
2020 North America System Goals Are On Track! $2M 20% 1.3x 1,000 60% + 2020 Company Goal: 38-40% Adjusted EBITDA Margin _ > AUVs Restaurant Margins Sales to Investment Ratio New Restaurants Total Reimaged Restaurants (~500 Net)
Slide 21: Peter Koumas, Investor Relations
Peter Koumas Group Manager – Investor Relations
Slide 22: 2016 Investor Relations Calendar: Key Dates
2016 Investor Relations Calendar: Key Dates November 15 Morgan Stanley Consumer & Retail Conference (New York) December 9 Bernstein NDR (New York) February 16 Preliminary Q4 Earnings Release & 2017 Investor Day (Dublin)
Slide 23: Q&A
Q&A
Slide 24: Appendix
Appendix
Slide 25: Reconciliation of Net Income to Adjusted EBITDA from Continuing Operations
Reconciliation of Net Income to Adjusted EBITDA from Continuing Operations In Thousands (Unaudited)
Slide 26: Reconciliation of Income and Diluted EPS to Adjusted EPS
Reconciliation of Income and Diluted Earnings Per Share from Continuing Operations to Adjusted Income and Adjusted Earnings Per Share from Continuing Operations In Thousands except per share amounts (Unaudited)
Slide 27: Slide 27