Burger King Q3 revenue to be lower than expected
April 15, 2009
by FoodBusinessNews.net Staff
MIAMI — For the third quarter, Burger King Holdings, Inc. posted preliminary revenue results of $600 million, up 1% from $594 million during the same quarter of the previous year. Despite the gain, decreased restaurant traffic caused the results to still be lower than analysts’ expectations.
The company also is expecting its earnings per share to be in the range of 33c to 35c.
Worldwide company restaurant margins were lower than expected primarily due to an unanticipated traffic slowdown in the month of March across most company-owned restaurant markets, Burger King noted. The biggest declines were in Germany and Mexico, and the company took actions to improve sales in those countries.
The company said negative impact of lower-than-forecasted company restaurant margins on earnings was more than offset by continued revenue growth, improved general and administrative costs, lower interest expense and lower than forecasted tax expense.
The finalized quarterly results will be released on April 29.