Burger King Worldwide’s (BKW) drastically revamped business model post its acquisition by investment firm 3G Capital seems to be working out just fine. The fast food giant served up some good news in its third quarter earnings announcement for fiscal year 2013 (3QFY13).
Earnings were 35% higher from the year-ago quarter to $0.23 per share, even though revenues were down 32% to $274.5 million. Net income for the quarter grew nearly tenfold to $68.2 million from a mere $6.6 million in 3QFY12.
With a stellar increase in margins and a return to sustainable profitability, Burger King has surprised the industry especially since McDonald’s (MCD) – even though it beat analyst estimates for the third quarter earnings season – saw a slowdown in organic same store sales. MCD.