Burger King Attracts Price-Conscious Diners

Burger King’s U.S. turnaround accelerated in the third quarter, with same-store sales rising 8.4% and helping parent Restaurant Brands International grow profit and strengthen its position against fast-food rivals. The gains more than doubled Burger King’s 3.1% growth a year earlier.

Chief Executive Josh Kobza said the chain had reclaimed the No. 2 spot in the U.S. burger category after years of work under its “Reclaim the Flame” strategy, which focuses on modernizing restaurants and improving the menu.

The results were mixed across Restaurant Brands International. Total revenue rose 3.1% to $2.53 billion, slightly below analysts’ $2.55 billion forecast, while Popeyes U.S. same-store sales fell 1.8%. The company’s shares declined 3.3% to $72.02, though they remained up about 5.6% for the year.

Burger King’s strategy combines store renovations and digital marketing with $5 and $7 value tiers, upgraded menu items and brand collaborations, including Dragon Ball Z and Hello Kitty. The approach comes as fast-food chains face consumer resistance to rising prices.

“We widened our gap to Burger King QSR peers to nearly 10 points, and after years of hard work, we are incredibly proud to have reclaimed the No. 2 position in the U.S. burger category,” Kobza said on the earnings call Thursday.