Overview
- The company reported results on Thursday that topped expectations with adjusted EPS of $1.07, revenue of $2.52 billion, and net income of about $507 million.
- Burger King drove the beat with U.S. comparable sales up about 8.5% and international comps near 5.4%, gains the company attributes to years of remodels, sharper marketing and value meal deals.
- Tim Hortons showed essentially flat comparable sales of roughly 0.1% in Canada and Popeyes posted another quarterly U.S. decline of about 5.1–5.2%, muting overall portfolio growth.
- Restaurant Brands warned that rising commodity costs, especially beef which makes up roughly one-quarter of its food basket, pose a clear risk to margins under a value-led pricing strategy.
- The results come as quick-service rivals lean harder on promotions, which could keep consumer prices low but squeeze profits and put pressure on franchise margins and supply costs.