Restaurant Brands International (QSR) Q4 2025 earnings summary

Executive summary

• Delivered solid results in 2025, with all major brands outperforming their categories and maintaining strong brand fundamentals despite macroeconomic and consumer headwinds.

• Achieved three consecutive years of approximately 8% organic adjusted operating income (AOI) growth and double-digit adjusted EPS growth.

• System-wide sales grew 5.8% in Q4 and 5.3% for 2025, with consolidated comparable sales up 3.1% in Q4, led by 6.1% at INTL, 2.8% at TH Canada, and 2.6% at BK US.

• Took strategic actions including acquiring Burger King China, beginning refranchising at Burger King US ahead of schedule, and simplifying the business portfolio.

• Franchisee profitability remained resilient overall, with targeted operational improvements and leadership changes at underperforming brands.

Financial highlights

• Comparable sales grew 2.4% year-over-year; net restaurant growth was 2.9%; system-wide sales increased 5.3%.

• Organic AOI grew 8.3% and adjusted EPS rose 10.7% to $3.69 per share.

• Total revenues reached $9,434M for 2025 (up 12.2% YoY); adjusted EBITDA was $2,970M for 2025 (up 6.7% YoY).

• Generated nearly $1.6 billion in free cash flow, returned $1.1 billion to shareholders via dividends, and increased the dividend target by 5% for 2026.

• Ended 2025 with $2.4 billion in liquidity and a net leverage ratio of 4.2x.

Outlook and guidance

• Committed to a fourth consecutive year of 8% AOI growth in 2026, supported by strong top-line performance and operational leverage.

• 2026 guidance: Segment G&A (excluding RH) of $600–$620M, RH Segment G&A ~$100M, adjusted net interest expense $500–$520M, and total capex/cash inducements ~$400M.

• Long-term targets: 3%+ comparable sales growth, 8%+ organic AOI growth, and 5%+ net restaurant growth by 2028.

• Dividend target raised to $2.60 per share for 2026.

• Expecting modestly positive net restaurant growth from Burger King China and a ramp-up toward 5% unit growth by the end of the algorithm period.