Burger King Parent Restaurant Brands Shows Signs Of Improvement Despite Pressures, Analysts Remain Bullish

Core Viewpoint - Oppenheimer analyst Brian Bittner maintains an Outperform rating on Restaurant Brands International Inc (QSR) with a price target of $77.00, anticipating EBIT growth for 2025 to exceed 8% [1] Financial Projections - The analyst projects 2025E same-store sales (SSS) growth of +2.5%, slightly below the company's target of 3%+ [2] - QSR is expected to experience +1.8% growth in the first quarter of FY25, followed by an average of +2.8% for the subsequent quarters [3] - Adjusted EPS for 2025E is projected at $3.61, down from $3.64, while EBITDA is adjusted to $2.96 billion from $2.99 billion [5] Unit Growth and Segment Performance - QSR anticipates a unit growth of +3.6% for 2025E, slightly higher than the +3.4% growth in 2024 [4] - The fourth-quarter report indicated improving trends, with same-store sales exceeding expectations across most segments, except for TH, which was only 20 basis points below expectations [6] International Performance and Challenges - International performance showed a notable increase of 190 basis points, with management confident in achieving long-term AOI growth of over 8% in 2025 despite challenges from foreign exchange and BK China [7] - Limited commentary on BK US trends for the first quarter raises concerns due to increased competitive pressures [7]