Meritage Hospitality Q3 net loss widens on higher costs

Meritage Hospitality

11/11/2025 21:12

Nov 11 (Reuters) -
Overview

Meritage Q3 sales fell 6.2% yr/yr

Q3 net loss of $9 mln, compared to loss of $1.8 mln a year ago

Company undergoing restructuring amid high costs and decreased transactions

Outlook

Meritage forecasts Wendy's sales and margin improvements in 2026

Project Fresh aims to enhance Wendy's performance and customer experience

Result Drivers

HIGH COSTS - Record prime costs in food, paper, and labor affected Q3 results, per CEO Robert E. Schermer, Jr.

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
$154.60 mln
$173.10 mln (1 Analyst)
Q3 Net Income
-$9 mln
Q3 Adjusted EBITDA
-$4.30 mln
$14.70 mln (1 Analyst)

Analyst Coverage

The one available analyst rating on the shares is "buy"

The average consensus recommendation for the restaurants & bars peer group is "buy"

Wall Street's median 12-month price target for Meritage Hospitality Group Inc is $20.00, about 68.9% above its November 7 closing price of $6.22

Press Release: ID:nGNX1btgK7

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(Reporting by Aby Jose Koilparambil in Bengaluru)

((abyjose.koilparambil@thomsonreuters.com; +917483275231;))