Mar 31, 2024

RBI Q1 2024 Earnings Report

Reported strong first quarter results driven by global comparable sales and net restaurant growth.

Key Takeaways

Restaurant Brands International Inc. reported a consolidated comparable sales increase of 4.6% and net restaurant growth of 3.9% versus the prior year. Income from Operations was $544 million, and Net Income reached $328 million. Diluted EPS was $0.72.

Consolidated comparable sales increased 4.6% and net restaurants grew 3.9% year-over-year.

System-wide sales increased 8.1% year-over-year.

Income from Operations reached $544 million versus $447 million in the prior year.

Net Income was $328 million compared to $277 million in the previous year.

Total Revenue
$1.74B
Previous year: $1.59B
+9.4%
EPS
$0.73
Previous year: $0.75
-2.7%
TH Comparable Sales
6.9%
Previous year: 13.8%
-50.0%
BK Comparable Sales
3.8%
Previous year: 10.8%
-64.8%
Popeyes Comparable Sales
5.7%
Previous year: 5.6%
+1.8%
Gross Profit
$1B
Previous year: $646M
+55.2%
Cash and Equivalents
$1.05B
Previous year: $1.03B
+1.5%
Free Cash Flow
$122M
Previous year: $77M
+58.4%
Total Assets
$23.1B
Previous year: $22.5B
+2.7%

RBI

RBI

RBI Revenue by Segment

Forward Guidance

RBI continues to expect consolidated capital expenditures, tenant inducements and incentives of approximately $300 million and adjusted interest expense, net, between $555 million and $565 million. RBI now expects Segment G&A for 2024 between $665 million and $685 million, including share-based compensation and non-cash incentive compensation expense between $180 million and $190 million.

Positive Outlook

  • Consolidated capital expenditures, tenant inducements and incentives are expected to be approximately $300 million.
  • Adjusted interest expense, net, is projected to be between $555 million and $565 million.
  • Segment G&A for 2024 is expected to be between $665 million and $685 million.
  • Share-based compensation and non-cash incentive compensation expense is anticipated to be between $180 million and $190 million.
  • Long-term consolidated performance from 2024 to 2028: 3%+ Comparable Sales; 5%+ Net Restaurant Growth; 8%+ System-wide Sales growth; and Adjusted Operating Income growth at least as fast as system-wide sales growth.

Challenges Ahead

  • No specific negative guidance was provided in the text.

Revenue & Expenses

Visualization of income flow from segment revenue to net income