Restaurant Brands Beats Forecasts With Strong Global Growth

Earnings and Revenue Surpass Expectations

Restaurant Brands International released its fourth-quarter results for the year ending December 31, showing earnings and revenue that surpassed analyst expectations.

• Adjusted Profit: 96 cents per share (vs. 95 cents forecasted)
• Total Revenue: $2.47 billion (vs. $2.41 billion predicted)

Net Income and Adjusted Earnings

• Net Income Attributable to Shareholders: Dropped from $259 million (79 cents per share) to $113 million (34 cents per share)
• Adjusted Earnings (excluding one-time costs): Rose to 96 cents per share

Sales Growth Highlights

• Net Sales Increase: 7.4% to $2.47 billion
• Organic Revenue Growth (excluding currency swings): 6.5%
• Same-Store Sales Growth: 3.1% overall, with a 6.1% increase outside the U.S. and Canada

Burger King Performance

• International Growth: 5.8% (vs. 3.7% expected)
• Domestic Growth: 2.7% (vs. 2.4% expected)

Expansion and Strategic Moves

International Expansion

• Burger King China Joint Venture: Formed with Chinese asset manager CPE
• CPE Ownership: 83%
• Restaurant Brands Stake: 17%
• Objective: Accelerate growth in China, the fast-food giant’s biggest market

Domestic Performance

• Tim Hortons: 2.9% rise in same-store sales (vs. 3.8% forecast)
• Popeyes: 4.8% decline in same-store sales (vs. 2.4% predicted)
• Turnaround Plan: Hired former Burger King executive Peter Perdue to lead U.S. and Canadian operations
• New Chief Marketing Officer: Matt Rubin

Future Growth Strategies

• Investor Day in Miami: Scheduled for February 26
• Focus: Fresh ideas for boosting performance across all brands