In an April 30^th release, Restaurant Brands International Inc. (QSR) posted financial results for the 1^st quarter of FY 2024. Along with other QSRs and casual dining competitors, the Company and its franchisees among five operating divisions are subject to the pressures of increased costs for food, packaging and labor in a competitive environment restrained by inflation that is impacting discretionary spending by consumers.  The newly formed International Division faces geopolitical headwinds and the challenges of currency fluctuation.

For the 1^st Quarter of FY 2023 ending March 31^st 2024 the Company attained revenue consistent with consensus estimates but beat on EPS.  Net income was $328 million on total revenue of $1,739 million.  Comparable figures for the 1^st quarter of FY 2023 were net income of $272 million on total revenue of $1,590 million. Diluted EPS attained $0.72 for the most recent quarter compared to $0.61 for the corresponding 1^st quarter of FY 2023.

For the 1^st quarter, system-wide sales increased by 9.4 percent. Comparing Q1 FY 2023 with Q1 2024, operating margin increased from 25.1 percent to 31.2 percent for the most recent quarter.

 Segment results comprised:-

Tim Horton’s: Sales, $1,725 million; adjusted operating income (AOI), $224 million; Comparable store sales increase, 6.9 percent with 4,505 stores

Burger King: Sales $2,753 million; AOI, $106 million; Comparable store sales increase 3.8 percent with 7,139 stores

Popeye’s LA Kitchen: Sales,  $1,517 million; AOI, $58 million; Comparable store sales increase, 5.7 percent with 3,412 stores

Firehouse Subs: Sales, $301 million; AOI, $10 million; Comparable store sales increase, 0.3 percent with 1,277 stores.

International: Sales, $4,216 million; AOI, $142 million; Comparable store sales increase, 4.2 percent with 14,780 stores

Josh Kobza , CEO of RBI commented Josh Kobza, Chief Executive Officer of RBI commented, "I am proud of the hard work our teams and franchisees are doing to deliver high-quality products, great service and a compelling value proposition for guests every day. Our results are a reflection of their efforts and the strong foundation we have built that sets us up to drive continued improvements in franchisee profitability and deliver our long-term outlook."

On March 31^st 2023, QSR posted assets of $23,145 million of which $16,672 million comprised goodwill, lease obligations and intangibles against long-term debt and leases of $15,077 million. The Company had an intraday market capitalization of $23,370 million on April 30^th. QSR trades with a forward P/E of 15.5 and has ranged over a 52-week period from $61.77 to $83.29 with a 50-day moving average of $76.60. On April 29^th QSR closed at $$73.85 but opened higher post release closing on April 30^th at $76.13. Twelve-month trailing operating margin was 27.0 percent and profit margin 17.0 percent.  Return on assets over the trailing twelve months was 5.8 percent and the return on equity 38.2 percent.