Burger King income jumps ahead in third quarter
April 27, 2007
by FoodBusinessNews.net Staff
MIAMI — Net income for Burger King Holdings Inc. for the third quarter ended March 31 was $34 million, equal to 25c per share on the common stock, which compared with a $12 million loss during the same quarter of the previous year.
Revenue during the quarter was $539 million, up 9% compared with $495 million during the same quarter of the previous year.
"In the U.S., featured premium burger offerings and their related promotional campaigns including the Texas double whopper sandwich, the BK stacker, and the Angus cheesy bacon sandwich fueled comp sales and helped us deliver strong results this quarter," said John Chidsey, chief executive officer. "During the quarter, we also introduced the BK breakfast value menu and launched its national advertising campaign in March, and early results are encouraging."
The company also experienced its 13th consecutive quarter of positive system-wide comparable sales. Positive comparable sales and new restaurant openings helped increase revenue during the quarter.
In the last year, Burger King has opened 400 new company-owned and franchised restaurants, including 74 in the U.S. and Canada, 229 in Europe, the Middle East and Asia Pacific, and 97 in Latin America.
"We are pleased with our performance year-to-date and are confident about our fourth-quarter outlook," Mr. Chidsey said. "We anticipate an increase in comparable sales when the new U.S. late-night hours initiative goes into effect in May. And results should be positively impacted by a full quarter of the BK breakfast value menu. The current BK chicken fries/SpongeBob promotional tie-in is exceeding expectations, and we are excited about promotional tie-ins with Spider-Man 3in May and NASCAR BK racing in June."
Net income for the nine months ended March 31 was $112 million, up 203% from $37 million from the same nine months of the previous year.
Total revenue for the nine months was $1,644,000,000, a 9% increase compared with $1,515,000,000 during the same period of the previous year.