Restaurant Brands International (NYSE:QSR) reported first-quarter earnings and revenue ahead of Wall Street expectations on Wednesday, although the company’s shares slipped nearly 5% in premarket trading following the release.
The parent company of Burger King posted adjusted earnings per share of $0.86, exceeding analyst forecasts of $0.83.
Quarterly revenue reached $2.26 billion, slightly above consensus estimates of $2.24 billion.
Global sales growth supported by international momentum
Restaurant Brands reported consolidated system-wide sales growth of 6.2% year over year during the quarter.
International markets remained a major growth driver, with system-wide sales outside North America increasing 11.1%.
Comparable sales growth accelerated to 3.2%, while Burger King operations in both the U.S. and international markets delivered comparable sales increases of approximately 5.7% to 5.8%.
Profitability improves as earnings growth accelerates
Adjusted operating income rose to $610 million from $539 million in the same quarter last year.
Adjusted EBITDA increased to $706 million from $539 million a year earlier.
“We delivered a strong start to the year, converting solid topline results into double-digit earnings growth while returning capital to shareholders through the resumption of share repurchases and our growing dividend,” said Josh Kobza, chief executive officer of RBI.
“Tim Hortons and International each delivered their 20th consecutive quarter of positive comparable sales.”
Company outlines 2026 financial expectations
For fiscal 2026, Restaurant Brands forecast segment general and administrative expenses between $600 million and $620 million.
The company also projected adjusted interest expense of $500 million to $520 million, along with total capital expenditures and cash inducements of around $400 million.
Long-term growth targets reaffirmed
Restaurant Brands reiterated its longer-term financial objectives through 2028, including average annual comparable sales growth of at least 3% and organic adjusted operating income growth of 8% or more.