The hamburger chain, the third largest in the U.S., profited from international growth, sporting a 2.4% gain in sales in Europe, the Middle East and Africa (EMEA), a 3.7% gain in Asia-Pacific, and 2.1% growth in Latin America and the Caribbean. Growth in these regions offset a 0.3% decline in the U.S. and Canada, as consumer confidence remained low and economic conditions continued to be weak.
The Miami-based company reported earnings of 23 cents a share, 2 cents higher than analysts surveyed by Thomson Reuters expected. Revenue fell to $275.1 million, a 39.6% year-on-year decline, as the company refranchised 519 company-owned restaurants over the three months to September 30.
"Our positive momentum continued in the third quarter," said CEO Daniel Schwartz in a statement. "We grew comparable sales across all three international regions and opened 133 net new restaurants globally."Burger King also announced it had increased its dividend from 6 cents a share to 7 cents a share for the fourth quarter. TheStreet Ratings team rates Burger King Worldwide as a Hold with a ratings score of C. The team has this to say about their recommendation: "We rate Burger King Worldwide (BKW) a HOLD. The primary factors that have impacted our rating are mixed -- some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its impressive record of earnings per share growth, compelling growth in net income and expanding profit margins. However, as a counter to these strengths, we find that the company has favored debt over equity in the management of its balance sheet."
- You can view the full analysis from the report here: BKW Ratings Report
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV