Restaurant Brands International’s (QSR) fourth quarter financial results beat analyst expectations due to stronger-than-expected sales at Tim Hortons.
The Toronto-based company, which also owns Burger King, Popeyes chicken, and Firehouse Subs, reported earnings per share (EPS) of $0.75 U.S. versus $0.73 U.S. that was expected.
Revenue in the October through December period came in at $1.82 billion U.S. compared to $1.81 billion U.S. that was forecast. Total sales were up 8% from a year earlier.
Tim Hortons’ same-store sales rose 8.4% year-over-year, topping estimates of 4.7%. Burger King reported same-store sales growth of 6.3%. And Popeyes’ same-store sales grew 5.5%.
Burger King is now a year into a turnaround strategy that includes remodeling restaurants and spending more money on advertising to drive customer traffic and sales.
Restaurant Brands has also acquired Burger King’s largest U.S. franchisee, Carrols Restaurant Group, in a $1 billion U.S. deal to help the chain renovate locations faster.
This earnings report is the first time that Restaurant Brands has shared its results using a new reporting structure.
The company now reports results for its individual brands in the U.S. and Canada and places all of its international locations together under a separate “international” reporting segment.
International same-store sales grew 4.6% in Q4 2023, the company said.
Restaurant Brands International’s stock has risen 14% over the last 12 months to trade at $78.27 U.S. per share.
