U.S. Stocks: Burger King Parent Beats Sales Estimates Based on International Demand, Value Gains

Restaurant Brands International on Thursday reported fourth-quarter sales that beat expectations, thanks to the strength of its international Burger King stores, even as the company faces stiff competition for its value menus and higher commodity costs in the United States. Fast food chains are offering certain items at lower prices to attract consumers who have avoided dining out in the past two years due to high menu prices.“2025 was a demanding year for restaurant operators. Consumers were under pressure, costs were high and macro and geopolitical uncertainty weighed on confidence in many of our markets,” said Patrick Doyle, executive chairman of Restaurant Brands.

Expectations are for a similar consumer environment in 2026, executives said on a post-earnings call.

Market leader McDonald’s posted similar global sales estimates on a quarterly basis as the company also ramped up marketing to drive demand.

Burger King US, and also launched a $4.99 cheeseburger meal last month. Same-store sales at Burger King US rose 2.6% this quarter, but missed estimates of a 3.5% increase, according to data compiled by LSEG. The company’s shares fell 4% in early trading in Toronto.

Prices of beef, one of the key ingredients for the fast-food chain, reached record highs in the US, resulting in commodity inflation of about 7% at Burger King US, the company said. Higher costs also delayed renovation goals at Burger King US, the company said. Restaurant Brands’ supply chain costs rose 8.4% for the year as Tim Hortons also struggled with high coffee prices, partly due to tariffs. However, Burger King’s international segment saw comparable sales growth accelerate to 5.8% from 4.9% a year ago, helped by strong demand in Europe and Asia.

Tim Hortons, which has more than 4,000 stores in Canada and accounts for about 42% of the company’s operating profit, reported a 2.9% increase in quarterly same-store sales, but still fell short of estimates of a 3.7% increase. The company reported quarterly same-store sales growth of 3.1%, compared with estimates of a 2.73% increase, while adjusted earnings of 96 cents per share beat estimates by 1 cent.