Chain to open 700 ghost kitchens

Wendy's reported strong third-quarter sales, helped by breakfast, digital growth and international expansion.

Wendy’s is getting into the delivery business.

The Dublin, Ohio-based fast food chain plans to open 700 ghost kitchens in the United States, Canada, and the United Kingdom over the next five years.

Wendy’s would not say where the kitchens will be located, but on an earnings call Wednesday morning, Wendy’s CEO Todd Penegor said the move is intended to build a foothold in urban areas where Wendy’s has little market share.

Ghost kitchens only prepare food for delivery orders, and don’t have a storefront or a dining room. Some ghost kitchens use their own delivery service, whereas others rely on third-party delivery services like DoorDash and UberEats.

The fast-food chain said the Wendy’s ghost kitchens likely will use a third-party service.

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