Call Start: 8:45 January 1, 0000 9:49 AM ET

Restaurant Brands International Inc. (NYSE:QSR)
Q3 2024 Earnings Call Transcript
Nov 5, 2024 8:45 AM ET

Company Participants

Kendall Peck - Head of Investor Relations
Josh Kobza - Chief Executive Officer
Sami Siddiqui - Chief Financial Officer
Patrick Doyle - Executive Chairman

Conference Call Participants

Brian Bittner - Oppenheimer & Co
John Ivankoe - JPMorgan
Dennis Geiger - UBS
David Palmer - Evercore ISI
Gregory Francfort - Guggenheim
Lauren Silberman - Deutsche Bank
Danilo Gargiulo - AB Bernstein
Sara Senatore - Bank of America
Jon Tower - Citi
Christine Cho - Goldman Sachs

Operator

Good morning and welcome to the Restaurant Brands International Third Quarter 2024 Earnings Conference Call. All participants will be in listen-only mode. [Operator Instructions] Please note this event is being recorded.

I will now like to turn the conference over to Kendall Peck, RBI's Head of Investor Relations. Please go ahead.

Kendall Peck

Thank you, Barry. Good morning, everyone, and welcome to Restaurant Brands International's Earnings Conference Call for the Third Quarter Ended September 30, 2024. As a reminder, a live webcast of this call may be accessed on the Investor Relations webpage at rbi.com/investors, and a recording will be available for replay.

Joining me on the call today are Restaurant Brands International's Executive Chairman, Patrick Doyle; CEO, Josh Kobza; and CFO, Sami Siddiqui.

Today's earnings call contains forward-looking statements which are subject to various risks set forth in the press release issued this morning and in our SEC filings. In addition, this earnings call includes non-GAAP financial measures. Reconciliation of non-GAAP financial measures are included in the press release and trending schedules available on our website. As a reminder, following our acquisition of Carrols Restaurant Group, which closed on May 16, 2024, and our acquisition of Popeyes China, which closed on June 28, 2024, we introduced a sixth reportable segment, Restaurant Holdings. This segment includes results from operations of Popeyes China and the Burger King restaurants acquired as part of the Carrols acquisition.

The consolidated growth metrics discussed during the prepared remarks, including organic adjusted operating income growth, and organic adjusted EPS growth, exclude results from our Restaurant Holdings segment. And now I'll turn the call over to Josh.

Josh Kobza

Thanks Kendall, and good morning, everyone. Thank you for joining us today. Our teams and franchisee are doing a nice job, navigating difficult macro and competitive environment in the US, Canada and many of international markets. The brands winning today are consistently executing the fundamentals. They are serving fresh, delicious food and beverages in modern restaurants and providing excellent value to every guest on every occasion. We see the power of great fundamentals and great value in our own businesses, including Tim Hortons and our international division, which drove nearly 70% of our adjusted operating income. Tim Hortons, for example, remains number one value for money in Canada and is one of the only major QSR brands in the market with positive traffic growth in the year-to-date. And our international business continues to outperform many of our largest global peers. Our goal is for all of our businesses to provide compelling value to guests the right way, with quality products, exceptional service and unmatched convenience. If we can do this, we'll outperform the competition and deliver sustainable growth for our franchisees and our shareholders.