Restaurant Brands International (TSX: QSR) is one of the world’s largest quick service restaurants. They own and franchise iconic brands such as Tim Hortons, Burger King, Popeyes, Firehouse Subs. Although store count is relatively stable with a small increase since 2021, sales among existing restaurants have still grown steadily over that period. Streamlining efficiencies, offering new products and squeezing out value where it can be found has helped propel profitability over the last few years. Some metrics show that growth appears to be slowing but they are still very much alive and thriving. RBI offers high margin products and a Return on Equity (trailing twelve months) of 38.68%. It does have some sizeable long-term debt of $12b (Mkt. cap is hovering around $30b) but shows off a low-beta of 0.93 and a 3.3% dividend.
Revenue:
7,022 $ (2023)
6,505 $ (2022)
5,739 $ (2021)
Income from operations:
2,051 $ (2023)
1,898 $ (2022)
1,879 $ (2021)
Net income:
1,718 $ (2023)
1,482 $ (2022)
1,253 $ (2021)
“System-wide sales growth refers to the percentage change in sales at all franchised restaurants and Company restaurants (referred to as system-wide sales) in one period from the same period in the prior year.”
Consolidated SWSG:
2023: 12.2 %
2022: 12.9 %
2021: 13.8 %
“Comparable sales refers to the percentage change in restaurant sales in one period from the same prior year period for restaurants that have been open for 13 months or longer for Tim Hortons, Burger King and Firehouse Subs and 17 months or longer for Popeyes.”
Consolidated Sales:
2023: 8.1 %
2022: 7.9 %
2021: 7.9 %
“Net restaurant growth refers to the net change in restaurant count (openings, net of permanent closures) over a trailing twelve month period, divided by the restaurant count at the beginning of the trailing twelve month period.’
Consolidated NRG:
2023: 3.9 %
2022: 4.4 %
2021: 4.5 %
Consolidated Store count:
2023: 31,070
2022: 29,902
2021: 29,456
*I own and recommend shares of QSR*
Devlin Demontigny 