NYSE$QSR

Restaurant Brands International Inc. · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

RBI reported a strong resurgence in comparable sales and record first quarter new restaurant openings. Digital engagement reached its highest level, and over $400 million was returned to shareholders.

Restaurant Brands International (RBI) reported a 14% increase in system-wide sales, driven by double-digit comparable sales growth at Tim Hortons Canada and Burger King International. The company opened a record number of restaurants and returned over $400 million to shareholders through dividends and share repurchases.

  • System-wide sales grew by 14%, representing an increase of nearly $1 billion year-over-year.
  • Global comparable sales increased by 8%, with Tim Hortons Canada exceeding 10% and Burger King International exceeding 20%.
  • Digital sales in home markets reached their highest levels as a percentage of system-wide sales.
  • The company experienced a record number of restaurant openings in the first quarter, driven by multi-brand international growth and Popeyes in the US.

Headline financials

Total Revenue

$1.45B

Previous: $1.26B+15.2%
EPS (adj)

$0.64

Previous: $0.55+16.4%
TH Comparable Sales

8.4%

Previous: -2.3%+465.2%
BK Comparable Sales

10.3%

Previous: 0.7%+1371.4%
Popeyes Comparable Sales

-3.0%

Previous: 1.5%-300.0%
TH Restaurant Count

5.3K

Previous: 5.0K+6.7%
BK Restaurant Count

19.3K

Previous: 18.7K+3.1%
Popeyes Restaurant Count

3.8K

Previous: 3.5K+7.9%
Capital Expenditures

-$10M

Previous: -$15M+33.3%
Free Cash Flow

$260M

Previous: $256M+1.6%
Net Income

$270M

Previous: $271M-0.4%
Operating Income

$450M

Previous: $442M+1.8%
Gross Profit

$957M

Previous: $859M+11.4%
Cash & Equivalents

$895M

Previous: $1.56B-42.7%
Total Assets

$23.2B

Previous: $22.9B+1.4%
Stock-Based Comp

$27M

Previous: $26M+3.8%

Revenue & EPS history

RBI · Revenue · Quarterly

$1.45B

Q1 2022+15.2%vs Q1 2021
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

RBI · $1.45B total across 4 segments · Q1 2022

  • Tim Hortons
    $829M+16.8%
  • Burger King
    $443M+8.8%
  • Popeyes
    $148M+3.5%
  • Firehouse Subs
    $31M

Forward guidance

The company expects to continue its momentum from the first quarter, with experienced leaders guiding the brands and collaborating with franchisee networks to grow all four brands over the long-term.

Tailwinds

  • Strong resurgence in comparable sales.
  • Record first quarter new restaurant openings.
  • Highest level of digital engagement from guests across home markets.
  • Double digit comparable sales growth at Tim Hortons Canada and Burger King International.
  • Progress in ramping global development capabilities at Tim Hortons and Popeyes.

Headwinds

  • Continued impact of the COVID-19 pandemic on global restaurant operations.
  • Labor challenges in some regions resulting in reduced operating hours and service modes.
  • Supply chain pressures.
  • Burger King U.S. continues to lay the foundation to return to long term, sustainable growth.
  • Negative impact from the war in Ukraine

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

-0.5%

Avg return

Earnings day

-0.5%

Avg return

5 days after

+0.5%

Avg return

30 days after

36%

19 / 53 earnings

Positive

+8.3%

Q2 2022

Best reaction

-7.0%

Q3 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.5%-4.2%-11.1%
Q4 2025-6.2%-3.6%+2.8%
Q3 2025-2.0%+0.0%+8.0%
Q1 2025-0.5%-0.1%+5.0%
Q4 2024-1.6%-3.5%-1.2%
Q3 2024-2.5%-2.9%-0.4%
Q2 2024-0.0%+0.2%-4.1%
Q1 2024-0.8%+2.7%-9.6%
Q4 2023-2.2%-1.4%+4.2%
Q3 2023-3.0%-1.3%+5.1%
Q2 2023-1.7%-2.1%-9.6%
Q1 2023+1.7%+1.4%+6.7%
Q4 2022-3.5%-1.4%-9.6%
Q3 2022+4.5%+4.8%+14.3%
Q2 2022+8.3%+7.7%+7.7%
Q1 2022-4.7%-7.8%-7.2%
Q4 2021+2.5%-0.2%+1.3%
Q3 2021-7.0%-8.6%-5.2%
Q2 2021+3.1%+0.6%-0.4%
Q1 2021+3.9%+1.8%+2.9%
Q4 2020-1.7%-1.3%+5.7%
Q3 2020-4.9%-6.2%+7.0%
Q2 2020-6.9%-3.9%-2.9%
Q1 2020-0.6%-0.8%+10.7%
Q4 2019+4.0%+5.3%-25.1%
Q3 2019-5.2%-4.7%-3.2%
Q2 2019+4.7%+7.2%+7.8%
Q1 2019-1.8%+0.5%-0.8%
Q4 2018+2.5%+3.2%+0.5%
Q3 2018-0.8%-6.2%-2.6%
Q2 2018+0.8%-0.2%-9.1%
Q1 2018+2.6%+1.3%+8.3%
Q4 2017+2.2%+4.4%+2.8%
Q3 2017-3.3%-4.2%-2.0%
Q2 2017+2.4%+4.9%+3.4%
Q1 2017-2.9%-4.0%+5.0%
Q4 2016+6.0%+4.8%+6.7%
Q3 2016-5.3%-7.3%+1.6%
Q2 2016+4.2%+6.1%+7.7%
Q1 2016+2.0%
Q4 2015+7.8%
Q3 2014-4.6%
Q3 2015-4.6%
Q2 2015+0.4%
Q1 2014-3.4%
Q1 2015-1.9%
Q2 2013-1.4%
Q4 2014-1.4%
Q2 2014-1.4%
Q1 2013-1.4%
Q4 2013-1.4%
Q4 2012-1.4%
Q3 2013-1.4%

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