Updated
Updated · Quartz · Aug 6
Restaurant Brands Beats Q2 Estimates With $1.07 EPS as Burger King U.S. Sales Jump 8.5%
Updated
Updated · Quartz · Aug 6

Restaurant Brands Beats Q2 Estimates With $1.07 EPS as Burger King U.S. Sales Jump 8.5%

3 articles · Updated · Quartz · Aug 6

Summary

  • $1.07 in adjusted EPS beat the $1.03 consensus, while revenue rose 4.5% to $2.52 billion as Restaurant Brands got a sharp lift from Burger King.
  • Burger King U.S. same-store sales climbed 8.5%, up from 1.5% a year earlier, reflecting momentum from the chain's Reclaim the Flame turnaround and higher operating income of $137 million.
  • Not all brands kept pace: Tim Hortons posted 0.1% comparable-sales growth, and Popeyes' U.S. same-store sales fell 5.2% amid heavy value competition.
  • Net income attributable to shareholders jumped to $507 million from $189 million, the company returned $435 million to shareholders, and it said it remains on track for 8% organic adjusted operating-income growth in 2026.

Insights

With Tim Hortons flatlining and Popeyes shrinking, is Restaurant Brands relying too heavily on the Whopper to mask deep portfolio flaws?
Will Popeyes' new value strategy cannibalize profits before Burger King's multi-million dollar Royal Reset can fully save the portfolio?
Can Burger King's massive sales surge actually be sustained once the initial $700 million remodel and marketing funds dry up?