Canada’s Restaurant Brands International (QSR) has reported strong second-quarter financial results due largely to a recovery in the Burger King chain.
The Toronto-based company, which also owns Tim Hortons, Popeyes and Firehouse Subs, announced earnings per share (EPS) of $1.07 U.S., topping the $1.03 U.S. forecast on Wall Street.
Revenue in the spring quarter totaled $2.52 billion U.S., matching consensus expectations.
Burger King’s U.S. same-store sales rose 8.5% year-over-year. The growth comes as the burger chain undergoes a multi-year turnaround with restaurant renovations and new marketing.
Restaurant Brands said international Burger King restaurants saw same-store sales growth of 5.4% during the quarter.
“Burger King’s performance is a great example of what’s possible when you invest in the fundamentals and execute well,” said Restaurant Brands CEO Josh Kobza in the company’s earnings statement.
However, beyond Burger King, Restaurant Brands’ other chains did not perform well.
Tim Hortons’ same-store sales in Canada and abroad were flat year-over-year, while Popeyes reported a U.S. same-store sales decline of 5.2%.
The Popeyes fried chicken chain has struggled in recent quarters as it faces increased competition from chains targeting value-conscious diners.
QSR stock has risen 9% over the last 12 months to trade at $74.49 U.S. per share in New York.
