Burger King 3Q earnings climb, costs fall
MIAMI (AP) — Burger King Worldwide Inc.'s third-quarter net income surged as it sharply reduced its restaurant expenses mostly due to the refranchising of company-owned restaurants and continued to grow overseas.
The Miami company's performance topped analysts' estimates. It also raised its quarterly dividend.
Its shares rose in premarket trading.
For the three months ended Sept. 30, the hamburger chain earned $68.2 million, or 19 cents per share. A year earlier it earned $6.6 million, or 2 cents per share.
Excluding certain items, earnings were 23 cents per share. Analysts expected earnings of 21 cents per share.
Revenue declined 40 percent to $275.1 million from $455.7 million mostly due to refranchising. Wall Street expected $264.5 million.
Sales at restaurants open at least a year, including both company-owned and franchised locations, rose 0.9 percent.
Restaurant expenses dropped to $22.9 million from $216.3 million.