Tim Hortons drives Restaurant Brands revenue above expectations.
- Restaurant Brands International's quarterly revenue was better than expected.
- During the quarter, Tim Hortons was the strongest-performing restaurant company.
The company reported quarterly revenue that exceeded analysts' expectations on Thursday, thanks to strong sales at Tim Hortons and its international restaurants.
Shares of the company fell less than 1% in premarket trading.
Based on a survey of analysts by LSEG, the company's reported results differed from Wall Street's expectations.
- Earnings per share: 86 cents adjusted vs. 87 cents expected
- Revenue: $2.08 billion vs. $2.02 billion expected
Restaurant Brands' second-quarter net income increased to $399 million, or 88 cents per share, from $351 million, or 77 cents per share, in the previous year.
Excluding items, the company earned 86 cents per share.
The company's net sales increased by 17% to $2.08 billion, mainly due to the acquisition of Burger King restaurants in the U.S. Additionally, the company's same-store sales rose by 1.9%.
Among Out of Restaurant Brands' four chains, Tim Hortons had the best performance, achieving a same-store sales growth of 4.6%, while Popeyes experienced a growth of 0.5%.
Both Burger King and Firehouse Subs experienced a 0.1% decrease in same-store sales during the quarter.
Restaurant Brands' international locations saw same-store sales growth of 2.6%.
In the quarter that ended two days ago, Restaurant Brands completed its acquisition of Popeyes China, which will be reflected in its next quarter's results. The company's new Restaurant Holdings segment encompasses the performance of Popeyes China and the restaurants it acquired from Carrols, which was previously Burger King's largest U.S. franchisee before Restaurant Brands bought it.
Business News
You might also like
- Chinese travel preferences are shifting, as indicated by bookings during the 'Golden Week'.
- America's small businesses are facing a crucial decision, similar to the rest of the nation.
- Kamala Harris is determined to combat price gouging, but there is a lack of consensus on its definition.
- EchoStar is close to finalizing a deal to sell Dish Network with a $2 billion debt payment impending.
- The number of viewers for the WNBA has surpassed a previous record, while attendance has reached a 20-year high.