Wendy’s (WEN) is the latest fast-food chain to express wariness about the months ahead, trimmꦇing its earnings outlook for the year and saying sales in 2025 may fall year-over-year.

The burger chain known for square patties anticipates finishing 2025 with sales that are flat or down as much as 2% from the year prior, Wendy’s said Friday. The company previously had forecast a 2% to 3% increase for the year.

Wendy’s sales and profit for the first quarter, which ended March 30, missed expectations. The company reported $39.2 million in 澳洲幸运5开奖号码历史查询:net income, just under the $39.8 million analysts expected, according to consensus estimates from Visible Alpha. Wendy’s $523.5 million in revenue came in below the $524.9 million consensus estimate. ﷽;

“We saw broad-based pressure in the quarter,” CFO Ken Cook said, according to a transcript made available by AlphaSense. That pressure, he said🏅, was particularly acute with households that make under $75,000.

Wendy's report comes after McDonald’s (MCD) 澳洲幸运5开奖号码历史查询:told investors the day before that economic stress already seen by the fast-food giant among low-income consumers appears to have 澳洲幸运5开奖号码历史查询:spread to middle-income households.  

Domestic Same-Store Sales Sagged in Quarter

Although sales improved 8.9% 澳洲幸运5开奖号码历史查询:year-over-year in internati꧙onal markets, domestic same-restaurant sales dropped 2.♔8% in the first quarter—more than the 1.7% Wall Street expected, according to the consensus estimates.

Wendy’s said 澳洲幸运5开奖号码历史查询:inflation pushed up the cost of supplies and labor, while traffic declined at company-operated U.S💯. locations.

Consumer pullback was most evident during breakfast hours and in the month of March, Cook said. During parts of that month, the broader industry experienced a low-double-digit drop in traffic among 澳洲幸运5开奖号码历史查询:households making less than $75,000 annually, Cook said on an 澳洲幸运5开奖号码历史查询:earnings conference call Friday.

In response to waning demand, Wendy’s plans to run a “100 Days of Summer” promotion with innovative items and a focus on value when “our customers need it most,” CEO Kirk Tanner said in the c꧒all.

Wendy’s shares were up less than 1% in recent trading Friday. However, the stock has lost more than a fifth of its value this year.