The Dublin, Ohio, company reported net income of $26.5 million, or 11 cents a share, up from $18.8 million, or 8 cents, in the year-earlier period. Adjusted earnings came to 8 cents, matching FactSet's consensus.
Wendy's said the increase in net income resulted primarily from a cash settlement related to a previously held investment. That was offset partly by lower operating profit and a higher provision for income taxes.
Revenue totaled $427.2 million, up from $397.8 million and beating FactSet's call for $425 million. The revenue increase was driven primarily by higher sales at company-operated restaurants and an increase in franchise royalty revenue.
Looking ahead, Wendy's said it expected 2020 adjusted earnings of 60 cents to 62 cents. FactSet's survey is calling for 2020 earnings of 65 cents.
President and CEO Todd Penegor said in a statement that "we have momentum in our business as evidenced by our accelerating sales growth in the second half of the year, which sets us up well going into 2020.
"Our focus remains on efficient, accelerated growth behind our three major growth pillars: entering the breakfast day part, growing our digital business, and expanding our international footprint. We are well positioned to drive growth in 2020."
At last check Wendy's shares were down 2.4%. They closed the regular session on Tuesday off 1.8% at $22.96.