Timbits are tumbling into more American markets. The signature donut bites at Canadian coffee chain Tim Hortons are set to reach new U.S. consumers as Restaurant Brands International Inc., the parent company of Tim Hortons and Burger King, looks to expand the global presence of both businesses.
Since the creation of Restaurant Brands International last December, the company announced its first development agreement for Tim Hortons in the United States. Under the terms, its partners plan to open more than 150 Tim Hortons restaurants over the next 10 years in the Cincinnati area.
For the third quarter ended Sept. 30, Restaurant Brands International had net income of $182.9 million, equal to 25c per share on the common stock, up 9% from net income on a pro forma basis of $167.7 million, or 23c per share, for the prior-year period. Total revenues declined 8.3% to $1,019.7 million from year-ago pro forma revenues of $1,113 million, due to the negative impact of foreign currency exchange. The pro forma amounts reflect consolidated financial information as if the merger between Tim Hortons and Burger King Worldwide had occurred at the beginning of 2014.
System-wide sales for both brands grew on strong same-store results and net restaurant growth.
“We’re making good progress toward our goal to bring Tim Hortons to guests all around the world,” said Daniel Schwartz, chief executive officer of Restaurant Brands International, during an Oct. 27 earnings call with financial analysts. “Consistent with what we’ve said in prior quarters, we want to grow our market share in Canada while meaningfully accelerating the pace of expansion in the U.S. and around the world.”