Burger King drives mixed quarterly results for Restaurant Brands

Restaurant Brands International reported mixed third-quarter results on Thursday as strong performance at Burger King offset weakness at Popeyes. The company posted adjusted earnings of $1.10 per share, slightly above the $1.09 forecast by analysts surveyed by LSEG. Revenue came in at $2.53 billion, missing the expected $2.54 billion.

Net income attributable to common shareholders rose to $542 million, or $1.54 per share, from $315 million, or 96 cents per share, in the same period last year. Net revenue increased by 3.1% to $2.53 billion. Same-store sales across the entire portfolio grew by 3.8%.

Burger King served as the primary driver of growth, recording an 8.4% increase in U.S. same-store sales. The chain is currently executing a multiyear strategy to improve food quality and restaurant conditions in its home market. Tim Hortons also contributed to positive results, with Canadian same-store sales rising by 1.8%.

Popeyes remained the weakest link in the group, with U.S. same-store sales dropping by 2.2%. The fried chicken brand has faced pressure from competitors offering discounts, prompting management to focus on core menu items and operational improvements to recover lost customers.

International operations showed resilience, with same-store sales increasing by 3.9% globally. This growth was largely attributed to the performance of Burger King locations outside the United States.