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CFO Tricia Tolivar expressed confidence in the second-half outlook, citing the upcoming chicken shawarma launch and loyalty program enhancements. Regarding tax law, she noted the primary benefit would be pushing out the utilization of Net Operating Losses (NOLs), which is positive for cash flow, and that tariff impacts are already factored into guidance.

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CEO Brett Schulman stated that KDS improves order management, accuracy, and guest satisfaction, with a rollout to 250 restaurants planned by year-end. CFO Tricia Tolivar added that store performance variation is not tied to a single factor, but top-decile stores often have more consistent demand throughout the day. She noted bottom-quartile stores are typically younger and still maturing, while top-quartile stores achieve AUVs over $4 million with 30%+ margins.

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CFO Tricia Tolivar explained the guidance is based on a high-30s three-year stack, with 1.7% from price and the remainder from robust traffic. CEO Brett Schulman added that the company is well-positioned for growth, having invested ahead of the curve in people, technology, and infrastructure, and no single area requires disproportionate investment now.

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Interim CEO & CFO Ken Cook acknowledged that sales declines put pressure on the system but emphasized that franchisees are starting from a strong position after growing sales, EBITDA, and margin in 2024. Chief Accounting Officer Suzie Thuerk added that new restaurant-level P&L data allows for proactive conversations and sharing of best practices to improve profitability. Cook concluded that focusing on an exceptionally compelling restaurant economic model is the best way to drive net unit growth and they feel good about their prospects.

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Ken Cook, CFO, advised that the customary update on franchisee profitability would be provided on the second-quarter call. He highlighted the rollout of a new P&L benchmarking tool that is currently collecting data. He expressed excitement that this tool will provide franchisees with more granular data to compare performance against similar restaurants, helping them uncover opportunities to enhance their individual restaurant economics.

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CFO Ken Cook expressed that Wendy's has all the necessary components for value creation: a top product, a great brand, passionate employees, and a strong franchise system. He stated his primary contribution will be driving operational excellence through 'focus, execution, and speed.' This involves allocating resources to high-impact initiatives, ensuring detailed plans with accountability, and empowering faster decision-making to ultimately build more restaurants and increase restaurant profitability.

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CEO Kirk Tanner acknowledged the challenging consumer environment in Q3 but noted that momentum improved in the second half of the quarter and continued to accelerate into Q4. This trend provides confidence in meeting guidance and suggests a brighter outlook for 2025.

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CEO Josh Kobza explained that Burger King maintains a stable, balanced approach to value with its '$5 duos and $7 trios' and does not plan a major shift in strategy. He emphasized a three-pronged focus on premium innovation, family offerings, and relevant value. The marketing calendar for the second half will continue this strategy with new partnerships and Whopper innovations.

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CFO Sami Siddiqui stated that the comp sales impact from remodels is currently small but will grow as the pace of renovations accelerates, reiterating that uplifts are holding in the mid-teens. CEO Josh Kobza clarified his earlier remarks on value, stating the plan is not to increase investment in value but to continue refreshing the offerings throughout the year, similar to the shift from '$1 meals' to '$5 Duos and $7 Trios,' to keep the platform engaging for guests.

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CEO Joshua Kobza explained the espresso machine tests are more focused on enhancing quality than speed, which is already improving through other initiatives. CFO Sami Siddiqui added that coffee is only 15% of the Tims commodity basket and a forward-buying strategy smooths volatility, reaffirming the 2025 supply chain margin guidance of around 19%.

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CEO Josh Kobza stated that Burger King performs best when it balances strong value offerings with compelling innovation and a focus on the Whopper, citing the successful Addams Family promotion. He confirmed that franchisee profitability is a key focus and is seeing good progress not only at Burger King but also at Popeyes and Tim Hortons, where improved unit economics are being achieved through sales growth and cost management.

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Chairman & CEO Chris Kempczinski confirmed that breakfast is the most economically sensitive daypart and is currently the weakest for the industry, reflecting consumer stress. He affirmed that McDonald's has a right to win in this space and can drive traffic with the right value programs. He noted that the U.S. has resumed national breakfast advertising and is exploring additional breakfast value initiatives to restimulate growth in the daypart.

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CEO Christopher Kempczinski reported that while company surveys show a recent 8-10 point increase in anti-American sentiment, particularly in Northern Europe and Canada, there has been no change in global consumer sentiment toward the McDonald's brand itself. President, IOM Ian Borden added that the local franchisee model is a key strength, helping the brand integrate into the communities it serves in over 100 countries.

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Chairman & CEO Brian Niccol stated that while multiple initiatives will contribute, the 'Green Apron Service' model is 'mission critical' and the foundational first step to bring customers back consistently. This, combined with relevant innovation, forms the core strategy. He emphasized focusing on controllable factors like the customer experience to grow the brand regardless of the macroeconomic environment.

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CEO Brian Niccol responded that a combination of initiatives will drive customer return, but the 'mission critical' first step is establishing the Green Apron service model. This operational foundation will then be layered with relevant innovation in menu, digital, and rewards. While acknowledging macro pressures, he emphasized focusing on controllable factors like customer value and partner success to grow share in any environment.

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Brian Niccol, Chairman and CEO, reiterated the plan to hold prices for fiscal 2025, stating price is the 'last lever' he wants to pull. He emphasized focusing on growth and cost-cutting via zero-based budgeting first. CFO Cathy Smith added that green coffee is only 10-15% of product costs and that the company's hedging program mitigates volatility.

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CEO Brian Niccol stated that the primary bottleneck is the mobile ordering system's lack of sequencing, not store capacity. He noted that a high percentage of stores are already comping positively where this bottleneck is less of an issue. While the company is implementing systems to measure service times, he highlighted a very small, recent pilot of a new algorithm that is showing promising results in financial performance and satisfaction.

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CEO Scott Boatwright clarified that while there was some share loss in April and May, it was regained in June and July, attributing the shifts to macro trends and consumer sentiment rather than a specific competitor. He identified the low-frequency user as the most at-risk segment and noted that the 'Summer of Extras' promotion was successful in re-engaging this group.

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CEO Scott Boatwright stated that U.K. margins have improved measurably, giving the company confidence to begin building a development pipeline again in Western Europe. On retrofits, he explained that they take a hard look at converting legacy stores where it makes sense and provides a nice return, but the decision is complex, involving factors like lease term, lot space, and permitting.

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Interim CEO Scott Boatwright stated his focus would be on the five existing strategic priorities, creating a more guest-connected organization, and elevating Chipotle to an iconic global brand. On Europe, he drew parallels to the successful turnaround in Canada, noting the new leadership is already making progress on culinary and operational alignment. While he did not provide a specific timeline, he expressed confidence in the potential for hundreds of restaurants in current European markets and thousands over time.

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President & CEO Rick Cardenas stated that Darden is not seeing any material impact on labor turnover, attributing this to the company's strong employment proposition and record retention levels. On international franchising, he expressed excitement about recent progress in markets like India and Spain but declined to provide a specific long-term unit target, emphasizing that it is a growing, capital-light contributor to profit.

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President and CEO Ricardo Cardenas described the speed-of-service initiative as a long-term project, currently in the 'first inning,' focused on change management to enhance the guest experience. For delivery expansion, he said they prioritize brands where food travels well and that have strong existing to-go operations. He reiterated a preference for the first-party Uber Direct model, stating they would only consider third-party marketplaces if their fundamental concerns with that model were resolved.

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Executive Ricardo Cardenas stated it was too early to comment on future policy but reiterated Darden's strategy to price below competitors by finding efficiencies. He expressed excitement about his team, brand initiatives, and improving consumer sentiment, stating they are focused on internal execution and will handle any external challenges.

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CFO Raj Vennam stated that the labor environment is stable, with hourly wage inflation around 4% and strong applicant flow, and they do not see significant risk for the remainder of the fiscal year. President and CEO Rick Cardenas explained that for Fine Dining, the strategy is not to aggressively chase the aspirational consumer who has pulled back. Instead, they are focused on their core, frequent guests, while using targeted promotions like 'Wagyu & Wine' at Capital Grille to selectively drive traffic.

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CEO Michael Skipworth highlighted strong international momentum, with a record opening in Kuwait and Australia launching in Q2. He noted China remains a long-term opportunity but is not a near-term priority due to the geopolitical climate, with India being another key focus. Regarding tenders, he explained they are driving record new guest acquisition, with these customers behaving like individual-occasion chicken sandwich buyers. Differentiation comes from offering 12 sauce-and-toss flavors, unlike competitors' simpler offerings.

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CEO Michael Skipworth described international momentum as 'supercharged,' with record Q1 unit openings and strong sales. He noted that while China is a significant long-term opportunity, it is not currently being prioritized due to the geopolitical climate, with markets like India also presenting meaningful potential. Regarding tenders, he said the relaunch drove record new guest acquisition in March, with these customers behaving similarly to initial chicken sandwich adopters. He highlighted flavor variety as a key differentiator.

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CEO Michael Skipworth stated the development pipeline is the strongest on record, with 95% of growth from existing partners. He explained that the 6,000+ domestic unit target was developed using trade-area-specific playbooks that account for infill while supporting the $3M AUV target. For 2025, he reiterated excitement for how all current strategies work in concert to drive growth.

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CEO David Gibbs affirmed that while the twin engines power the algorithm, the company is excited about the potential of its other businesses. He highlighted growing traction for Taco Bell International. For KFC U.S., he noted its positive transaction growth in Q1 and expressed confidence in new leadership and the Saucy concept. For Pizza Hut, he acknowledged the tough category but pointed to past successes and the plans of its new U.S. leadership, as well as positive international same-store sales growth.

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CEO Josh Kobza expressed a very positive outlook for Tim Hortons' Canadian franchisee profitability for 2024. He stated that strong same-store sales growth combined with favorable commodity trends are expected to drive further profit growth, helping to offset other pressures like labor costs.

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CEO Josh Kobza conveyed a positive outlook for Tim Hortons Canadian franchisee profitability in 2024. He stated that strong sales performance combined with favorable commodity trends are expected to more than offset pressures from factors like increased labor costs.

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