“Over the longer term, we continue to target free cash flow conversion in the 90%, reflecting the resiliency of our business model.”

In context

“2,200 restaurants this year, with about a quarter of these openings in our US and IOM segments. We expect to open more than 1,600 restaurants in our IDL segment, including about 1,000 in China. Overall, we anticipate slightly over 4% unit growth from the nearly 1,800 net restaurant additions in 2025. Our capital allocation priorities remain unchanged. First, to invest in the business to drive growth, including capital expenditures as well as investments in technology, digital, and GBS. Second, to prioritize our dividend, and third, to repurchase shares with remaining free cash flow over time. In 2025, we expect our net income to free cash flow conversion to be in the low to mid-80% range as we continue to step up strategic investments to drive sustainable long-term growth of the business. Over the longer term, we continue to target free cash flow conversion in the 90%, reflecting the resiliency of our business model. However, we do expect that the conversion percentage will be below that longer-term target during the peaks in an investment cycle. Lastly, with a strong US dollar that may continue to strengthen in 2025, we expect foreign currency to be a full-year headwind to 2025 EPS, totaling in the range of $0.20 to $0.30 based on current exchange rates. As always, this is directional guidance only, as rates will likely change as we move through the remainder of the year. The resilience of our business and our overall financial strength have put us in a position to succeed in any environment. And I'm confident that the continued execution of our Accelerated in the Archer strategy sets us up to deliver long-term growth for our system and create value for our shareholders. Now let me turn it back over”