Restaurant Brands International on Thursday reported quarterly earnings and revenue that topped expectations, fueled by strong international growth.
However, executives said that Burger King's progress on remodeling U.S. restaurants slowed last year in response to higher costs, and the chain will no longer meet its 2028 deadline to modernize 85% of its domestic locations. The news disappointed investors, and shares of the company fell 6% in afternoon trading.
Here's what the company reported for the period ended Dec. 31 compared with what Wall Street was expecting, based on a survey of analysts by LSEG:
Earnings per share: 96 cents adjusted vs. 95 cents expected
Revenue: $2.47 billion vs. $2.41 billion expected
Restaurant Brands reported fourth-quarter net income attributable to shareholders of $113 million, or 34 cents per share, down from $259 million, or 79 cents per share, a year earlier.
Excluding transaction costs, restructuring expenses and other items, the company reported adjusted earnings of 96 cents per share.
Net sales rose 7.4% to $2.47 billion. Stripping out currency fluctuations and sales from restaurants it plans to refranchise, Restaurant Brands' organic revenue ticked up 6.5%.
The company's same-store sales increased 3.1%, fueled by strong international growth.
Outside of the U.S. and Canada, Restaurant Brands' same-store sales climbed 6.1%. International Burger King restaurants, which represents the bulk of the segment, saw same-store sales growth of 5.8%.
Analysts were projecting international same-store sales growth of just 3.7%, based on StreetAccount estimates.
And Restaurant Brands plans to keep growing its business abroad. In November, the company announced its plan to form a joint venture for Burger King China to accelerate expansion. Under the terms of the deal, which closed in late January, CPE, a Chinese alternative asset manager, owns roughly 83% of Burger King China. Restaurant Brands has retained a minority stake of about 17%, along with a seat on the board of directors.
β Source: CNBC Business (https://www.cnbc.com/2026/02/12/restaurant-brands-international-qsr-q4-2025-earnings.html)