Restaurant Brands International Announces Plans to Expand Burger King, Tim Hortons, and Popeyes Globally
Restaurant Brands International, the parent company of Burger King, Popeyes Louisiana Kitchen, and Tim Hortons, plans to surpass 40,000 locations globally in the next eight to 10 years, increasing its store count by 55% in a move to become one of the world’s largest restaurant companies.
As of March 31, 2019, the company had 25,809 locations open as of March 31. The company’s competitors, McDonald’s has nearly 40,000 stores open already, with 37,971 open at the end of the first quarter. Yum Brands is almost at 50,000 locations with the global expansion of Taco Bell, KFC and Pizza Hut.
None the less, RBI has not done badly for itself. The BURGER KING brand is the second largest fast food hamburger chain in the world. It operates 18,000 locations in more than 100 countries and U.S. territories. Virtuallyall BURGER KINGRestaurants are owned and operated by independent franchisees, many of them family-owned operations that have been in business for several years. Meanwhile, Tim Horton’s is also thriving, having recently introduced a vegan breakfast option.
According to a report on CNBC, Restaurant Brands based in Toronto opened 1,300 locations last year, the equivalent of a new store every seven hours. Over 900 of those openings were new international Burger King locations; while 260 were in Russia and China. To be able to achieve its target of 40,000 stores in the next ten years, Restaurant Brands would need to add about 1,400 stores every year. The company’s Chief Operating Officer Josh Kobza confirmed this at its first investor day which was held recently.
CEO Jose Cil said in a recent statement, “RBI is fundamentally a growth company, with three amazing, iconic brands that we believe have a very long runway for growth — both at home and around the world.”
Five years ago, Brazillian investment group, 3G capital formed Restaurant Brands. They are also the creators of Kraft Heinz and Anheuser-Busch InBev. 3G Capital has a 41% stake in the company. Their mode of operation is to concentrate on cost-cutting. In addition, Restaurant Brands also has the added advantage of being able to franchise its stores, allowing it to quickly around the world, at a very cost-effective manner.
The Press Release states “RBI is well-positioned to take advantage of compelling long-term growth in the global quick service restaurant (QSR) market, with the 5-year outlook for growth in the global burger market expected to be 5% annually and growth in the global coffee and chicken markets expected to be 6% annually.”
About Restaurant Brands International Inc.
Restaurant Brands International Inc. ("RBI") is one of the world's largest quick-service restaurant companies with $32 billion in system-wide sales and 26,000 restaurants in over 100 countries and U.S. territories. RBI owns three of the world’s most prominent and iconic quick service restaurant brands – TIM HORTONS®, BURGER KING®, and POPEYES®. These independently operated brands have been serving their respective guests, franchisees, and communities for over 45 years.