RBI established a joint venture (BK China JV) with CPE Alder Investment Limited on January 30, 2026, in which CPE invested $350 million of primary capital; RBI holds an approximately 17% equity interest and a board seat, deconsolidated BK China (reported as discontinued operations), and resumed recognizing franchise royalty revenue from the JV within its International segment during Q2 2026.
Q2 2026 consolidated comparable sales were 3.8% (vs. 2.4% a year earlier) and system-wide sales growth was 6.4% on a constant-currency basis; total system restaurant count reached 33,156 (up from 32,229). Segment highlights: Burger King comparable sales 8.6% (vs. 1.3%) with net restaurant growth of -0.8% reflecting Carrols refranchisings; Popeyes comparable sales -5.1% (vs. -1.4%); Firehouse Subs net restaurant growth 8.1% with count at 1,482; International comparable sales 5.5%; Tim Hortons comparable sales 0.1% (vs. 3.4%).
Under Burger King's multi-year 'Reclaim the Flame' plan (up to $700M through year-end 2028), RBI had funded $194M of the up to $550M allocated to 'Royal Reset' investments (remodels, relocations, restaurant technology, kitchen equipment, building enhancements) as of June 30, 2026; advertising and digital investments under the plan were completed in 2024.
RBI continues its planned sunset of the Restaurant Holdings (RH) segment: the Carrols Burger King restaurant count declined to 994 (from 1,012) as refranchisings proceed, while the Popeyes China start-up scaled from 32 to 110 restaurants and Firehouse Subs Brazil from 32 to 110 total international RH restaurants; the company expects to incur additional RH and BK China Transaction costs in 2026 and is seeking new long-term partners for PLK China and new investors for FHS Brazil.
RBI disclosed 'transformational corporate restructuring initiatives' to rationalize its corporate structure and optimize cash movements, as well as advisory costs related to significant tax reform legislation; these drove non-operating G&A of $2M in Q2 2026. Additionally, the company's effective tax rate was -12.3% for Q2 2026 (vs. 24.8% in Q2 2025), driven by discrete tax benefits from intra-group reorganizations and partially offset by OECD administrative guidance on pillar two.
In July 2026 (subsequent to quarter-end), RBI and the plaintiffs in the former Carrols shareholders' lawsuit filed in the Delaware Court of Chancery reached an agreement-in-principle to settle the case, subject to final court approval; the suit alleged coercion of Carrols into the acquisition and related fiduciary-duty and unjust-enrichment claims.
(Filed on May 6, 2026)
+7.3%
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$1B
On January 30, 2026, RBI established a joint venture (BK China JV) with CPE Alder Investment Limited for Burger King China operations; CPE contributed $350 million for approximately 83% ownership, while RBI retained ~17% and a board seat. RBI deconsolidated BK China (previously reported as discontinued operations after the Feb 2025 acquisition), moved to equity-method accounting with a $66 million initial investment, and resumed recognizing franchise royalty revenue from BK China within its INTL segment during Q1.
Consolidated system-wide sales grew 6.2% on a constant-currency basis to $11.51 billion (vs. 2.8% prior year); comparable sales rose to 3.2% (vs. 0.1% prior year); net restaurant growth was 2.6% with total system restaurant count at 32,985. Adjusted Operating Income increased $70 million to $610 million, driven by gains in INTL (+$57M to $196M), BK (+$12M to $115M), TH (+$8M to $229M), and FHS (+$3M to $14M), partially offset by declines in PLK (-$3M to $57M) and RH (-$8M to a $1M loss).
Segment-level comparable sales diverged materially: Burger King posted 5.8% comp (vs. -1.3% prior year) with 5.5% system-wide sales growth; INTL delivered 5.7% comp (vs. 2.6%) and 11.1% system-wide sales growth, aided by resumption of BK China royalties and a swing from net bad debt expense to net bad debt recoveries; Popeyes declined 6.5% comp (vs. -4.0%) with 3.9% system-wide sales contraction; Firehouse Subs grew 7.2% system-wide sales with 8.1% net restaurant growth to 1,461 locations.
Under Burger King's multi-year 'Reclaim the Flame' plan, the 'Royal Reset' component (high-quality remodels, relocations, restaurant technology, kitchen equipment, and building enhancements) is budgeted at up to $550 million through year-end 2028; as of March 31, 2026, RBI had funded $189 million of that amount. This is part of a broader up-to-$700 million plan that also included advertising and digital investments completed in 2024.
RBI continued its planned sunset of the Restaurant Holdings (RH) segment, which encompasses Carrols-acquired Burger King restaurants (995 U.S. locations), PLK China (94 locations), and FHS Brazil; the segment recorded a $1 million Adjusted Operating Loss in Q1 2026 (vs. $7 million profit prior year) as scaling costs for international start-ups and higher depreciation in BK U.S. outweighed a 4.3% BK U.S. comparable sales improvement. Non-recurring 'RH and BK China Transaction costs' of $6 million were incurred, with additional costs expected in 2026.
RBI completed an intra-group reorganization during Q1 2026 that produced a discrete tax benefit, reducing the effective tax rate to 7.9% (vs. 26.9% in Q1 2025); a second intra-group reorganization was completed subsequent to March 31, 2026, and RBI expects an additional ~$170 million discrete tax benefit in Q2 2026. Separately, RBI repurchased 463,442 common shares for $34 million during the quarter and an additional 337,204 shares for $26 million through April 30, 2026, leaving $940 million remaining under the $1 billion buyback authorization.
(Filed on February 20, 2026)
+7.4%
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$1.2B
In Q4 2025 (agreed November 8, 2025; closed January 30, 2026), RBI entered a joint venture with CPE Alder Investment Limited for Burger King China operations. CPE invested $350 million of new primary capital, owning ~83% of the JV, while RBI retains ~17% and a board seat. RBI recognized a non-cash charge of $114 million in 2025 related to the BK China holdings; the operations (acquired February 14, 2025 for ~$151 million) are presented as discontinued operations. Going forward, RBI will recognize franchise revenue from the JV in its INTL segment at an initially lower royalty rate that steps to the full historical rate over time.
Annual (FY2025) consolidated operating metrics: system-wide sales of $46.76 billion (5.3% constant-currency growth), comparable sales +2.4%, net restaurant growth +2.9%, and 33,041 restaurants at year-end. Brand performance diverged materially: Popeyes U.S. comparable sales declined 2.9% (from +0.6% in 2024) on a 1.6% net restaurant growth base of 3,578 locations; Firehouse Subs posted 8.6% system-wide sales growth and 7.7% net restaurant growth to 1,449 locations; International segment grew 10.7% system-wide with 4.9% comparable sales and 4.9% net restaurant growth; Burger King (ex-Carrols) grew 0.9% system-wide with 1.5% comparable sales but negative 0.8% net restaurant growth; Tim Hortons grew 3.0% system-wide with 2.7% comparable sales and 1.0% net restaurant growth.
RBI is executing the Carrols Burger King refranchising plan (1,005 Company restaurants in the RH segment, 1,087 total RH restaurants at year-end). The company stated it intends to increase the pace of refranchising and to find new partners for PLK China (73 locations) and FHS Brazil (8 locations) over time, primarily funding renovations with restaurant cash flow. In the October 2025 annual impairment test, the Carrols Burger King reporting unit fair value was only ~7% above its $1,000 million carrying value (goodwill of $362 million), which KPMG identified as a critical audit matter; management noted the valuation is sensitive to sales growth assumptions, remodel timing, and discount rate.
Burger King's multi-year 'Reclaim the Flame' plan (up to $700 million through year-end 2028) saw its 'Fuel the Flame' advertising and digital investment component completed in Q4 2024. As of December 31, 2025, RBI had funded $176 million of the up-to-$550 million 'Royal Reset' component (high-quality remodels, relocations, restaurant technology, kitchen equipment, and building enhancements); these amounts exclude funds applied to Carrols-acquired restaurant remodels. Consolidated capital expenditures are expected to total approximately $400 million in 2026.
During 2025, RBI entered new master franchise agreements for Burger King and Popeyes in Ireland and for Firehouse Subs in Australia, and new development agreements for Burger King in Uzbekistan, Kazakhstan, and Bahrain; Popeyes in Mexico, Hungary, and Azerbaijan; and Firehouse Subs in Mexico. In Q4 2025, 17,626,570 Partnership exchangeable units (of 17,682,032 total for the year) were exchanged for newly issued RBI common shares, reducing outstanding Partnership units to 109,356,045 as of February 13, 2026. Peter Perdue was appointed President of Popeyes U.S. & Canada in November 2025, succeeding the role previously held by Sami Siddiqui (now CFO).
RBI's effective tax rate rose to 28.7% in 2025 from 20.1% in 2024, driven by a decrease in net deferred tax assets related to intra-group reorganizations (expected to favorably impact the 2026 rate), unfavorable impacts of OECD Pillar Two guidance issued during 2025, and jurisdictional income mix. Canada's EIFEL rules (effective for taxation years beginning on or after October 1, 2023) continue to restrict interest and financing deductions, increasing cash taxes. The 'One Big Beautiful Bill Act' enacted July 4, 2025, did not have a material impact on 2025 financial statements and is not expected to materially impact results going forward.
(Filed on October 30, 2025)
+6.9%
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$1.2B
Q3 2025 consolidated comparable sales accelerated to 4.0% (vs. 0.3% in Q3 2024) with system-wide sales growth of 6.9% and total restaurant count of 32,423. Segment comps were: Tim Hortons 4.2%, Burger King 3.1% (US 3.2%), International 6.5%, Firehouse Subs 2.6%, while Popeyes posted -2.4% (US -2.0%). Net restaurant growth was 2.8% overall, but Burger King was -1.1% (net closures), Firehouse Subs was 7.7%, and International was 5.1%.
The BK China Acquisition (completed February 14, 2025, ~$151 million all-cash) remains classified as held-for-sale and reported as discontinued operations. RBI is in discussions with several potential partners to acquire the controlling interest and inject primary capital, targeting completion within twelve months. RBI provided $137 million in funding to BK China during the nine months ended September 30, 2025; BK China cash was $91 million and outstanding debt $207 million at quarter-end.
Burger King's multi-year 'Reclaim the Flame' plan (up to $700 million through year-end 2028) continues: the 'Fuel the Flame' advertising and digital component was completed in Q4 2024, and the 'Royal Reset' component (high-quality remodels, relocations, restaurant technology, kitchen equipment, building enhancements) had $160 million funded out of up to $550 million planned as of September 30, 2025.
The Restaurant Holdings segment (Carrols Burger King restaurants, PLK China, and FHS Brazil included beginning 2025) posted 4.8% comparable sales in Q3 across 1,068 restaurants (vs. -2.2% in Q3 2024). Q3 Adjusted Operating Income fell to $10 million from $16 million, driven by higher beef commodity costs and restaurant wages. RBI states its intent to refranchise the vast majority of Carrols BK restaurants and is actively seeking a new partner for PLK China and new investors for FHS Brazil.
RBI disclosed ongoing 'transformational corporate restructuring initiatives that rationalize our structure and optimize cash movements,' along with advisory services related to significant tax reform legislation, generating 'Corporate restructuring and advisory fees' of $1 million in Q3 and $7 million in the nine months ended September 30, 2025. Additionally, the C$225 million TH Facility was repaid in full during Q3 2025, leaving no outstanding balance.
