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Segment Information (Notes)
9 Months Ended
Oct. 02, 2022
Segment Reporting [Abstract]  
Segment Information Segment Information
Revenues by segment were as follows:
Three Months EndedNine Months Ended
October 2,
2022
October 3,
2021
October 2,
2022
October 3,
2021
Wendy’s U.S.$445,934 $383,804 $1,303,685 $1,175,601 
Wendy’s International27,547 22,674 77,916 62,240 
Global Real Estate & Development59,088 63,777 177,394 185,954 
Total revenues$532,569 $470,255 $1,558,995 $1,423,795 
The following table reconciles profit by segment to the Company’s consolidated income before income taxes:
Three Months EndedNine Months Ended
October 2,
2022
October 3,
2021
October 2,
2022
October 3,
2021
Wendy’s U.S. (a)$123,696 $108,878 $355,519 $347,615 
Wendy’s International (b)8,560 6,949 23,363 21,161 
Global Real Estate & Development25,905 27,027 80,795 79,849 
Total segment profit$158,161 $142,854 $459,677 $448,625 
Unallocated franchise support and other costs(756)(70)(750)(70)
Advertising funds deficit(1,441)(1,574)(4,059)(4,440)
Unallocated general and administrative (c)(31,517)(30,744)(93,511)(84,715)
Depreciation and amortization (exclusive of amortization of cloud computing arrangements shown separately below)(34,252)(30,940)(100,911)(93,243)
Amortization of cloud computing arrangements(888)— (888)— 
System optimization gains, net452 1,437 4,138 32,719 
Reorganization and realignment costs(8)(345)(628)(7,381)
Impairment of long-lived assets(206)(566)(2,682)(1,831)
Unallocated other operating income, net8,590 143 8,911 399 
Interest expense, net(31,916)(26,000)(90,406)(82,990)
Loss on early extinguishment of debt— — — (17,917)
Investment income, net— — 2,107 
Other income, net2,910 171 4,355 455 
Income before income taxes$69,129 $54,366 $185,353 $189,617 
_______________

(a)Wendy’s U.S. includes advertising fund expense of $2,779 and $8,101 for the three and nine months ended October 2, 2022, respectively, and $8,979 and $16,503 for the three and nine months ended October 3, 2021, respectively, related to the Company’s funding of incremental advertising.

(b)Wendy’s International includes advertising fund expense of $1,002 and $2,924 for the three and nine months ended October 2, 2022, respectively, related to the Company’s funding of incremental advertising. In addition, Wendy’s International includes other international-related advertising surplus (deficit) of $538 and $(984) for the three and nine months ended October 2, 2022, respectively.

(c)Includes corporate overhead costs, such as employee compensation and related benefits.