In a November 3rd release, Restaurant Brands International Inc. (QSR) posted financial results for the 3rd quarter of fiscal 2022. Along with other QSRs and casual dining competitors, all are subject to the pressures of increased costs for food, packaging and labor in a competitive environment restrained by the hangover of COVID and inflation impacting consumers.

For the 3rd Quarter ending September 30th, net income was $530 million on total revenue of $1,726 million.  Comparable figures for the 3rd quarter of fiscal 2021 ending September 30th were net income of $329 million on total revenue of $1,495 million. Diluted EPS rose from $0.70 for the 3rd quarter of fiscal 2021 to $1.17 for the most recent quarter.

 For the quarter, system-wide sales increased by 14.0 percent compared to Q3 of FY 2021.

 Segment results comprised:-

Tim Horton’s: Revenue, $1,033 million; EBITDA, $305 million; Comparable store sales increase, 9.8 percent with 5,405 stores

Burger King: Revenue $6,668 million; EBITDA $262 million; Comparable store sales increase 10.3 percent with 19,401 stores

Popeye’s LA Kitchen: Revenue,  $1,532 million; EBITDA, $62 million; Comparable store sales increase, 3.1 percent with 3,928 stores

Firehouse Subs: Revenue,  $289 million; EBITDA, $13 million; Comparable store sales increase, 0 percent with 1,234 stores

José Cil, Chief Executive Officer of Restaurant Brands International Inc. ("RBI") commented, "Our strong results this quarter, including 9 percent consolidated comparable sales growth and 4 percent net restaurant growth, reflect the strength of our diversified, global business model, strong free cash flow generation and benefits from our focused investments in key areas including operations, technology, marketing, franchising, and people."

Cil noted "Tim Hortons remains a loved destination, with strong sales momentum driven by quality new menu items and great value for money, resulting in accelerated comparable sales growth versus 2019 levels”. Additionally, we are proud that our Burger King franchisees are behind our Reclaim the Flame plan to accelerate growth by engaging existing and new guests, with important investments in marketing, operations, digital, and remodels. Internationally, the Burger King business is driving strong results with over 20 percent system-wide sales growth for the quarter and remains a great example of the power of being guest-led in everything we do.

He concluded "We are fortunate to own iconic brands that offer great value for money with menu offerings that are loved by our guests. We will continue to provide guests with the value they love while driving results in a profitable way for our franchisees. I am incredibly proud of the hard work from our franchisees, team members and employees as they execute against our plans and work towards our big dream to build the most loved restaurant brands in the world."

On September 30th 2022, QSR posted assets of $22,557 million of which $16,436 million comprised goodwill, lease obligations and intangibles. The Company had an intraday market capitalization of $17,930 million on November 3rd. QSR trades with a forward P/E of 13.3 and has ranged over a 52-week period from $46.68 to $61.79 with a 50-day moving average of $57.11.  Twelve-month trailing operating margin was 32.6 percent and profit margin 13.4 percent.  Return on assets over the trailing twelve months was 5.4 percent and the return on equity 29.6 percent. At close of trading on November 2nd pre-release, QSR was priced at $58.18. At noon, post-release on November 3rd QSR traded at at $59.04