QSR reported same-store sales growth of 4.0% in Q3-2025, compared to just 0.3% in the same quarter last year — the strongest figure in recent quarters, where trends hovered around 0%–2%. The growth was driven largely by the Tim Hortons and Burger King brands. Quarterly revenue came in at $2.45B, beating expectations of $2.4B, while adjusted EPS of $1.03 also came slightly ahead of expectations of $1.00. Although this is not high growth, it is encouraging to see a reacceleration in same-store sales growth, which could be the first step in a multi-year turnaround story. QSR has been quite active in recent years in expanding its franchise into international markets, especially China, but this segment does not yet contribute meaningfully to the company’s operating results. This quarter’s numbers are quite healthy, especially considering the weak consumer spending currently experienced by other brands such as CMG. We think QSR’s risk/reward profile is quite attractive at current prices, and we would be comfortable holding here.
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