Restaurant Brands International (NYSE: QSR), parent company to brands like Burger King, Tim Hortons and Popeyes, topped earnings and revenue expectations on Friday. Shares rose 3% during morning trading, upon the news.
The multinational fast food holding company reported earnings of USD0.77 per share, compared to the expected USD0.61 a share. Revenue totaled USD1.44 Billion, higher than analysts expected USD1.36 Billion. Net income amounted to USD391 Million or USD0.84 per share, an increase from the previous year’s USD164 Million or USD0.35 a share.
José E. Cil, Chief Executive Officer of Restaurant Brands International Inc. (“RBI”) commented, “We are encouraged by the momentum across our business – including sales increases driven by quality menu items, rapid adoption of our digital channels by our guests and an acceleration in new restaurant openings around the world by our franchisees who believe strongly in our brands and business model.”
Throughout the quarter, digital sales surged almost 60% year-over-year and 15% in comparison to the last quarter in regard to its three brands’ domestic markets.
Out of all the brands in its portfolio, Tim Hortons has taken the longest to recuperate from the pandemic, amid the resurgence of Covid-19 in Canada. Nevertheless, executives are hopeful after this quarter’s financial results. Tims reported a same-store sales increase of 27.6%.
Furthermore, cill shared “We also announced an increase in our share buyback authorization to $1 billion over the next two years, demonstrating our confidence in the value creation opportunity we have ahead of us with our three iconic brands, scalable business model, expanding digital strength and dedicated franchise partners.”